XML 13 R9.htm IDEA: XBRL DOCUMENT v2.4.0.6
Loans
 3 Months Ended
Mar. 31, 2012
Loans [Abstract]  
LOANS

NOTE 4 LOANS

Loan balances as of March 31, 2012 and December 31, 2011:

 

                 
    (In Thousands)  
    March 31, 2012     December 31, 2011  

Loans:

                

Commercial real estate

   $ 200,865     $ 201,158  

Agricultural real estate

     31,814       31,993  

Consumer real estate

     79,716       81,585  

Commercial and industrial

     103,915       114,497  

Agricultural

     54,084       52,598  

Consumer

     21,839       23,375  

Industrial Development Bonds

     1,196       1,196  
   

 

 

    

 

 

  
    $ 493,429     $ 506,402  
   

 

 

    

 

 

  

Less: Net deferred loan fees and costs

     (187 )      (187 ) 
   

 

 

    

 

 

  
      493,242       506,215  

Less: Allowance for loan losses

     (5,152 )      (5,091 ) 
   

 

 

    

 

 

  

Loans - Net

   $ 488,090     $ 501,124  
   

 

 

    

 

 

  

The following is a maturity schedule by major category of loans as of March 31, 2012:

 

                         
    (In Thousands)  
    Within
One Year		     After One
Year Within
Five Years		     After
Five Years		  

Commercial Real Estate

   $ 23,416     $ 110,639     $ 66,810  

Agricultural Real Estate

     2,723       10,209       18,882  

Consumer Real Estate

     6,496       14,788       58,432  

Commercial/Industrial

     66,676       33,762       3,477  

Agricultural

     36,670       15,115       2,299  

Consumer

     4,998       14,693       1,961  

Industrial Development Bonds

     25       279       892  

The distribution of fixed rate loans and variable rate loans by major loan category is as follows as of March 31, 2012. Variable rate loans whose current rates are equal to their floor or ceiling are classified as fixed in this table.

 

                 
    (In Thousands)  
    Fixed
Rate		     Variable
Rate		  

Commercial Real Estate

   $ 86,111     $ 114,754  

Agricultural Real Estate

     10,891       20,923  

Consumer Real Estate

     11,266       68,450  

Commercial/Industrial

     24,725       79,190  

Agricultural

     3,595       50,489  

Consumer

     4,254       17,398  

Industrial Development Bonds

     —         1,196  

As of March 31, 2012 and December 31, 2011 one to four family residential mortgage loans amounting to $66.8 and $67.4 million, respectively, have been pledged as security for loans the Bank has received from the Federal Home Loan Bank.

The percentage of delinquent loans has trended downward since the beginning of 2010 from a high of 2.85% of total loans in January to a low of .64% as of the end of March 2012. These percentages do not include nonaccrual loans which are not past due (nonaccruals are not considered past due if current). This level of delinquency is due in part to an adherence to sound underwriting practices over the course of time, an improvement in the financial status of companies to which the Bank extends credit, continued financial stability in the agricultural loan portfolio, and the writing down of uncollectable credits in a timely manner.

Industrial Development Bonds are included in the commercial and industrial category for the remainder of the tables in this Note 4.

 

The following table represents the contractual aging of the recorded investment in past due loans by class or loans as of March 31, 2012 and December 31, 2011 net of deferred fees:

 

                                                         
    (In Thousands)  
     30-59 Days
Past Due		     60-89 Days
Past Due		     Greater Than
90 Days
Past Due		     Total
Past Due		     Current     Total
Financing
Receivables		     Recorded
Investment
> 90 Days
and Accruing		  

March 31, 2012

                                                        

Consumer real estate

   $ 292     $ 140     $ 443     $ 875     $ 78,841     $ 79,716     $ —    

Agricultural real estate

     97       —         —         97       31,717       31,814       —    

Agricultural

     —         —         —         —         54,084       54,084       —    

Commercial Real Estate

     20       —         1,455       1,475       199,390       200,865       —    

Commercial and Industrial

     97       —         553       650       104,461       105,111       —    

Consumer

     22       15       —         37       21,615       21,652       —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total

   $ 528     $ 155     $ 2,451     $ 3,134     $ 490,108     $ 493,242     $ —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
               
     30-59 Days
Past Due		     60-89 Days
Past Due		     Greater Than
90 Days
Past Due		     Total
Past Due		     Current     Total
Financing
Receivables		     Recorded
Investment
> 90 Days
and Accruing		  

December 31, 2011

                                                        

Consumer real estate

   $ 753     $ 248     $ 441     $ 1,442     $ 80,143     $ 81,585     $ —    

Agricultural real estate

     —         —         —         —         31,993       31,993       —    

Agricultural

     7       —         —         7       52,591       52,598       —    

Commercial Real Estate

     46       611       927       1,584       199,574       201,158       —    

Commercial and Industrial

     78       —         420       498       115,195       115,693       —    

Consumer

     24       —         —         24       23,164       23,188       —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total

   $ 908     $ 859     $ 1,788     $ 3,555     $ 502,660     $ 506,215     $ —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

The following table presents the recorded investment in nonaccrual loans by class or loans as of March 31, 2012 and December 31, 2011:

 

                 
    (In Thousands)  
    March 31
2012		     December 31
2011		  

Consumer real estate

   $ 841     $ 700  

Agricultural real estate

     —         —    

Agricultural

     —         7  

Commercial Real Estate

     1,529       1,003  

Commercial and Industrial

     553       421  

Consumer

     —         —    
   

 

 

    

 

 

  

Total

   $ 2,923     $ 2,131  
   

 

 

    

 

 

  

The Bank uses a nine tier risk rating system to grade its loans. The grade of a loan may change during the life of the loan.

The risk ratings are described as follows.

 

  1. Zero (0) Unclassified. Any loan which has not been assigned a classification.

 

  2. One (1) Excellent. Credit to premier customers having the highest credit rating based on an extremely strong financial condition, which compares favorably with industry standards (upper quartile of RMA ratios). Financial statements indicate a sound earnings and financial ratio trend for several years with satisfactory profit margins and excellent liquidity exhibited. Prime credits may also be borrowers with loans fully secured by highly liquid collateral such as traded stocks, bonds, certificates of deposit, savings account, etc. No credit or collateral exceptions exist and the loan adheres to the Bank’s loan policy in every respect. Financing alternatives would be readily available and would qualify for unsecured credit. This grade is summarized by high liquidity, minimum risk, strong ratios, and low handling costs.

 

  3. Two (2) Good. Desirable loans of somewhat less stature than Grade 1, but with strong financial statements. Loan supported by financial statements containing strong balance sheets, generally with a leverage position less than 1.50, and a history of profitability. Probability of serious financial deterioration is unlikely. Possessing a sound repayment source (and a secondary source), which would allow repayment in a reasonable period of time. Individual loans backed by liquid personal assets, established history and unquestionable character.

 

  4. Three (3) Satisfactory. Satisfactory loans of average or slightly above average risk – having some deficiency or vulnerability to changing economic conditions, but still fully collectible. Projects should normally demonstrate acceptable debt service coverage. Generally, customers should have a leverage position less than 2.00. May be some weakness but with offsetting features of other support readily available. Loans that are meeting the terms of repayment.

Loans may be graded 3 when there is no recent information on which to base a current risk evaluation and the following conditions apply:

At inception, the loan was properly underwritten and did not possess an unwarranted level of credit risk:

 

  a. At inception, the loan was secured with collateral possessing a loan value adequate to protect the Bank from loss;

 

  b. The loan exhibited two or more years of satisfactory repayment with a reasonable reduction of the principal balance;

 

  c. During the period that the loan has been outstanding, there has been no evidence of any credit weakness. Some examples of weakness include slow payment, lack of cooperation by the borrower, breach of loan covenants, or the business is in an industry which is known to be experiencing problems. If any of the credit weaknesses is observed, a lower risk grade is warranted.

 

  5. Four (4) Satisfactory / Monitored. A “4” (Satisfactory/Monitored) risk grade may be established for a loan considered satisfactory but which is of average credit risk due to financial weakness or uncertainty. The loans warrant a higher than average level of monitoring to ensure that weaknesses do not advance. The level of risk in Satisfactory/Monitored classification is considered acceptable and within normal underwriting guidelines, so long as the loan is given management supervision.

 

  6. Five (5) Special Mention. Loans that possess some credit deficiency or potential weakness which deserves close attention, but which do not yet warrant substandard classification. Such loans pose unwarranted financial risk that, if not corrected, could weaken the loan and increase risk in the future. The key distinctions of a 5 (Special Mention) classification are that (1) it is indicative of an unwarranted level of risk, and (2) weaknesses are considered “potential”, versus “defined”, impairments to the primary source of loan repayment and collateral.

 

  7. Six (6) Substandard. One or more of the following characteristics may be exhibited in loans classified substandard:

 

  a. Loans, which possess a defined credit weakness and the likelihood that a loan will be paid from the primary source, are uncertain. Financial deterioration is underway and very close attention is warranted to ensure that the loan is collected without loss.

 

  b. Loans are inadequately protected by the current net worth and paying capacity of the borrower.

 

  c. The primary source of repayment is weakened, and the Bank is forced to rely on a secondary source of repayment such as collateral liquidation or guarantees.

 

  d. Loans are characterized by the distinct possibility that the Bank will sustain some loss if deficiencies are not corrected.

 

  e. Unusual courses of action are needed to maintain a high probability of repayment.

 

  f. The borrower is not generating enough cash flow to repay loan principal; however, continues to make interest payments.

 

  g. The lender is forced into a subordinate position or unsecured collateral position due to flaws in documentation.

 

  h. Loans have been restructured so that payment schedules, terms and collateral represent concessions to the borrower when compared to the normal loan terms.

 

  i. The lender is seriously contemplating foreclosure or legal action due to the apparent deterioration in the loan.

 

  j. There is significant deterioration in the market conditions and the borrower is highly vulnerable to these conditions.

 

  8. Seven (7) Doubtful. One or more of the following characteristics may be exhibited in loans classified Doubtful:

 

  a. Loans have all of the weaknesses of those classified as Substandard. Additionally, however, these weaknesses make collection or liquidation in full based on existing conditions improbable.

 

  b. The primary source of repayment is gone, and there is considerable doubt as to the quality of the secondary source of repayment.

 

  c. The possibility of loss is high, but, because of certain important pending factors which may strengthen the loan, loss classification is deferred until its exact status is known. A Doubtful classification is established deferring the realization of the loss.

 

  9. Eight (8) Loss. Loans are considered uncollectable and of such little value that continuing to carry them as assets on the institution’s financial statements is not feasible. Loans will be classified Loss when it is neither practical nor desirable to defer writing off or reserving all or a portion of a basically worthless asset, even though partial recovery may be possible at some time in the future.

The following table represents the risk category of loans by class based on the most recent analysis performed as of March 31, 2012 and December 31, 2011 (in thousands):

 

                                         
    Agriculture
Real Estate		     Agriculture     Commercial
Real Estate		     Commercial
and Industrial		     Industrial
Development
Bonds		  

March 31, 2012

                                        

1-2

   $ 922     $ 1,505     $ 4,171     $ 511     $ 188  

3

     11,286       26,824       22,876       25,721       622  

4

     19,015       25,693       161,944       69,261       386  

5

     381       55       6,544       3,908       —    

6

     210       7       4,633       4,021       —    

7

     —         —         697       493       —    

8

     —         —         —         —            
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total

   $ 31,814     $ 54,084     $ 200,865     $ 103,915     $ 1,196  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
           
    Agriculture
Real Estate		     Agriculture     Commercial
Real Estate		     Commercial
and Industrial		     Industrial
Development
Bonds		  

December 31, 2011

                                        

1-2

   $ 1,059     $ 1,500     $ 3,545     $ 710     $ 188  

3

     12,613       25,019       23,346       22,506       622  

4

     17,255       26,008       162,788       82,745       386  

5

     383       57       6,098       3,897       —    

6

     683       7       4,677       4,219       —    

7

     —         7       704       420       —    

8

     —         —         —         —         —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total

   $ 31,993     $ 52,598     $ 201,158     $ 114,497     $ 1,196  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

For consumer residential real estate, and other, the Company also evaluates credit quality based on the aging status of the loan, which was previously stated, and by payment activity. The following tables present the recorded investment in those classes based on payment activity and assigned grading as of March 31, 2012 and December 31, 2011.

 

                 
    (In Thousands)  
    Consumer
Real Estate		     Consumer
Real Estate		  
    March 31
2012		     December 31
2011		  

Grade

                

Pass

   $ 79,377     $ 81,062  

Special Mention (5)

     —         —    

Substandard (6)

     155       240  

Doubtful (7)

     184       283  
   

 

 

    

 

 

  

Total

   $ 79,716     $ 81,585  
   

 

 

    

 

 

  

 

                                 
    (In Thousands)  
    Consumer
Credit		     Consumer
Credit		     Consumer
Other		     Consumer
Other		  
    March 31
2012		     December 31
2011		     March 31
2012		     December 31
2011		  

Performing

   $ 3,325     $ 3,607     $ 18,327     $ 19,531  

Nonperforming

     —         —         —         50  
   

 

 

    

 

 

    

 

 

    

 

 

  

Total

   $ 3,325     $ 3,607     $ 18,327     $ 19,581  
   

 

 

    

 

 

    

 

 

    

 

 

  

 

The Bank had approximately $207 thousand of its impaired loans classified as troubled debt restructured as of March 31, 2012 and December 31, 2011.

 

                         

March 31, 2012

Troubled Debt Restructurings

   Number of
Contracts		     Pre-
Modification
Outstanding
Recorded
Investment		     Post-
Modification
Outstanding
Recorded
Investment		  

Commercial Real Estate

     5     $ 3,940     $ 3,214  

Ag Real Estate

     2     $ 154     $ 150  

Commercial and Industrial

     1     $ 148     $ 23  
       

Troubled Debt Restructurings

That Subsequently Defaulted

   Number of
Contracts		     Recorded
Investment		        

Commercial Real Estate

     1     $ 207          

Ag Real Estate

     —       $ —            

Commercial and Industrial

     —       $ —            

December 31, 2011

Troubled Debt Restructurings

   Number of
Contracts		     Pre-
Modification
Outstanding
Recorded
Investment		     Post-
Modification
Outstanding
Recorded
Investment		  

Commercial Real Estate

     5     $ 3,940     $ 3,219  

Ag Real Estate

     2     $ 154     $ 150  

Commercial and Industrial

     1     $ 148     $ 25  
       

Troubled Debt Restructurings

That Subsequently Defaulted

   Number of
Contracts		     Recorded
Investment		        

Commercial Real Estate

     1     $ 207          

Ag Real Estate

     —       $ —            

Commercial and Industrial

     —       $ —            

For the majority of the Bank’s impaired loans, the Bank will apply the observable market price methodology. However, the Bank may also utilize a measurement incorporating the present value of expected future cash flows discounted at the loan’s effective rate of interest. To determine observable market price, collateral asset values securing an impaired loan are periodically evaluated. Maximum time for re-evaluation is every 12 months for chattels and titled vehicles and every two years for real estate. In this process, third party evaluations are obtained and heavily relied upon. Until such time that updated appraisals are received, the Bank may discount the collateral value used.

The Bank uses the following guidelines as stated in policy to determine when to realize a charge-off, whether a partial or full loan balance. A charge-off in whole or in part is realized when unsecured consumer loans, credit card credits and overdraft lines of credit reach 90 days delinquency. At 120 days delinquent, secured consumer loans are charged down to the value of the collateral, if repossession of the collateral is assured and/or in the process of repossession. Consumer mortgage loan deficiencies are charged down upon the sale of the collateral or sooner upon the recognition of collateral deficiency. Commercial and agricultural credits are charged down at 120 days delinquency, unless an established and approved work-out plan is in place or litigation of the credit will likely result in recovery of the loan balance. Upon notification of bankruptcy, unsecured debt is charged off. Additional charge-off may be realized as further unsecured positions are recognized.

 

The following table presents loans individually evaluated for impairment by class of loans as of March 31, 2012 and December 31, 2011 (in thousands):

 

                                         
March 31, 2012   Recorded
Investment		     Unpaid
Principal
Balance		     Related
Allowance		     Average
Recorded
Investment		     Interest
Income
Recognized		  

With no related allowance recorded:

                                        

Consumer real estate

   $ 155     $ 155     $ —       $ 158     $ 3  

Agriculture real estate

     —         —         —         —         —    

Agriculture

     —         —         —         —         —    

Commercial real estate

     207       384       —         207       —    

Commercial and industrial

     —         —         —         —         —    

Consumer

     —         —         —         —         —    

With a specific allowance recorded:

                             —            

Consumer real estate

     312       312       65       390       3  

Agriculture real estate

     —         —         —         —         —    

Agriculture

     —         —         —         —         —    

Commercial real estate

     696       846       22       702       —    

Commercial and industrial

     493       493       104       493       —    

Consumer

     4       4       —         4       2  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Totals:

                                        

Consumer real estate

   $ 467     $ 467     $ 65     $ 548     $ 6  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Agriculture real estate

     —         —         —       $ —         —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Agriculture

   $ —       $ —         —       $ —       $ —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Commercial real estate

   $ 903     $ 1,230       22     $ 909     $ —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Commercial and industrial

     493       493       104     $ 493     $ —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Consumer

     4       4       —         4       2  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
           
December 31, 2011   Recorded
Investment		     Unpaid
Principal
Balance		     Related
Allowance		     Average
Recorded
Investment		     Interest
Income
Recognized		  

With no related allowance recorded:

                                        

Consumer real estate

   $ 239     $ 239     $ —       $ 156     $ 36  

Agriculture real estate

     —         —         —         180       15  

Agriculture

     —         —         —         2,683       1,156  

Commercial real estate

     207       384       —         1,381       22  

Commercial and industrial

     —         —         —         485       1  

Consumer

     —         —         —         1       —    

With a specific allowance recorded:

                                        

Consumer real estate

     283       308       54       431       —    

Agriculture real estate

     —         —         —         —         —    

Agriculture

     —         —         —         —         —    

Commercial real estate

     704       854       29       144       —    

Commercial and industrial

     420       420       91       402       —    

Consumer

     —         —         —         —         —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Totals:

                                        

Consumer real estate

   $ 522     $ 547     $ 54     $ 587     $ 36  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Agriculture real estate

   $ —       $ —       $ —       $ 180     $ 15  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Agriculture

   $ —       $ —       $ —       $ 2,683     $ 1,156  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Commercial real estate

   $ 911     $ 1,238     $ 29     $ 1,525     $ 22  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Commercial and industrial

   $ 420     $ 420     $ 91     $ 887     $ 1  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Consumer

   $ —       $ —       $ —       $ 1     $ —    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

The ALLL has a direct impact on the provision expense. An increase in the ALLL is funded through recoveries and provision expense. The following tables summarize the activities in the allowance for credit losses.

 

                 
    (In Thousands)        
    March 31, 2012     December 31, 2011  

Allowance for Loan Losses

                

Balance at beginning of year

   $ 5,091     $ 5,706  

Provision for loan loss

     128       1,715  

Loans charged off

     (126 )      (2,681 ) 

Recoveries

     59       351  
   

 

 

    

 

 

  

Allowance for Loan & Leases Losses

   $ 5,152     $ 5,091  
   

 

 

    

 

 

  

Allowance for Unfunded Loan Commitments & Letters of Credit

   $ 140     $ 130  
   

 

 

    

 

 

  

Total Allowance for Credit Losses

   $ 5,292     $ 5,221  
   

 

 

    

 

 

  

 

The Company segregates its Allowance for Loan and Lease Losses (ALLL) into two reserves: The ALLL and the Allowance for Unfunded Loan Commitments and Letters of Credit (AULC). When combined, these reserves constitute the total Allowance for Credit Losses (ACL).

The AULC is reported within other liabilities on the balance sheet while the ALLL is netted within the loans, net asset line. The ACL presented above represents the full amount of reserves available to absorb possible credit losses.

The following table breaks down the activity within ALLL for each loan portfolio segment and shows the contribution provided by both the recoveries and the provision along with the reduction of the allowance caused by charge-offs.

Additional analysis related to the allowance for credit losses as of March 31, 2012 and December 31, 2011 is as follows (in thousands):

 

                                                                         
    Consumer
Real Estate		     Agriculture
Real Estate		     Agriculture     Commercial
Real Estate		     Commercial     Consumer (incl.
Credit Cards)		     Unfunded Loan
Commitment &
Letters of Credit		     Unallocated     Total  

March 31, 2012

                                                                        

ALLOWANCE FOR CREDIT LOSSES:

                                                                        

Beginning balance

   $ 261     $ 140     $ 266     $ 2,088     $ 1,947     $ 315     $ 130     $ 74     $ 5,221  

Charge Offs

     (40 )      —         0       0       0       (86 )                    ($ 126 ) 

Recoveries

     3       —         7       4       15       30                     $ 59  

Provision

     209       (51 )      (1 )      (522 )      (103 )      34       —         562     $ 128  

Other Non-interest expense related to unfunded

   $ —         —         —         —         —         —         10       —       $ 10  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending Balance

   $ 433     $ 89     $ 272     $ 1,570     $ 1,859     $ 293     $ 140     $ 636     $ 5,292  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: individually evaluated for impairment

   $ 65       —         —         22     $ 104       —                       $ 191  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

                    

 

 

  

Ending balance: collectively evaluated for impairment

   $ 368     $ 89     $ 272     $ 1,548     $ 1,755     $ 293     $ 140     $ 636     $ 5,101  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: loans acquired with deteriorated credit quality

     2       —         —         —         —         —                       $ 2  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

                    

 

 

  

FINANCING RECEIVABLES:

                                                                        

Ending balance

   $ 79,716     $ 31,814     $ 54,084     $ 200,865     $ 105,111     $ 21,652                     $ 493,242  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

                    

 

 

  

Ending balance: individually evaluated for impairment

   $ 467     $ —       $ —       $ 903       493       4                     $ 1,867  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

                    

 

 

  

Ending balance: collectively evaluated for impairment

   $ 79,249     $ 31,814     $ 54,084     $ 199,962     $ 104,618     $ 21,648                     $ 491,375  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

                    

 

 

  

Ending balance: loans acquired with deteriorated credit quality

   $ 709     $ —       $ —       $ —       $ —       $ —                       $ 709  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

                    

 

 

  

 

                                                                         
    Consumer
Real Estate		     Agriculture
Real Estate		     Agriculture     Commercial
Real Estate		     Commercial     Consumer (incl.
Credit Cards)		     Unfunded Loan
Commitment &
Letters of Credit		     Unallocated     Total  

December 31, 2011

                                                                        

ALLOWANCE FOR CREDIT LOSSES:

                                                                        

Beginning balance

   $ 258     $ 122     $ 327     $ 1,868     $ 2,354     $ 380     $ 153     $ 397     $ 5,859  

Charge Offs

     (422 )      —         (24 )      (360 )      (1,500 )      (375 )      —         —         (2,681 ) 

Recoveries

     61       —         67       32       19       172       —         —         351  

Provision

     364       18       (104 )      548       1,074       138       —         (323 )      1,715  

Other Non-interest expense related to unfunded

     —         —         —         —         —         —         (23 )      —         (23 ) 
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending Balance

   $ 261     $ 140     $ 266     $ 2,088     $ 1,947     $ 315     $ 130     $ 74     $ 5,221  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: individually evaluated for impairment

   $ 55       —         —       $ 29     $ 91       —       $ —       $ —       $ 175  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: collectively evaluated for impairment

   $ 206     $ 140     $ 266     $ 2,059     $ 1,856     $ 315     $ 130     $ 74     $ 5,046  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: loans acquired with deteriorated credit quality

   $ 2       —         —         —         —       $ —       $ —       $ —       $ 2  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

FINANCING RECEIVABLES:

                                                                        

Ending balance

   $ 81,585     $ 31,993     $ 52,598     $ 201,158     $ 115,693     $ 23,188     $ —       $ —       $ 506,215  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: individually evaluated for impairment

   $ 523     $ —       $ —       $ 911     $ 420       —       $ —       $ —       $ 1,854  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: collectively evaluated for impairment

   $ 81,062     $ 31,993     $ 52,598     $ 200,247     $ 115,273     $ 23,188     $ —       $ —       $ 504,361  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance: loans acquired with deteriorated credit quality

   $ 856       —         —         —         —       $ —       $ —       $ —       $ 856