XML 41 R17.htm IDEA: XBRL DOCUMENT v2.4.0.6
Business Segments
 9 Months Ended
Sep. 30, 2012
Business Segments [Abstract]  
Business Segments

Note 8 – Business Segments

The Company has two reportable business segments: (i) a traditional full service community banking segment and, (ii) a mortgage loan origination business.  The community banking business segment includes Bank of the James which provides loans, deposits, investments and insurance to retail and commercial customers throughout Region 2000.  The mortgage segment provides a variety of mortgage loan products principally within Region 2000.  Mortgage loans are originated and sold in the secondary market through purchase commitments from investors.  Because of the pre-arranged purchase commitments, there is minimal risk to the Company.

Both of the Company’s reportable segments are service based.  The mortgage business is a fee-based business while the Bank’s primary source of revenue is net interest income.  The Bank also provides a referral network for the mortgage origination business.  The mortgage business may also be in a position to refer its customers to the Bank for banking services when appropriate.

Information about reportable business segments and reconciliation of such information to the consolidated financial statements for the three and nine months ended September 30, 2012 and 2011 was as follows (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

Business Segments

 

 

 

 

 

 

 

 

 

 

 

 

Community

 

 

 

 

 

Banking

 

Mortgage

 

Total

Nine months ended September 30, 2012

 

 

 

 

 

  Net interest income

$       11,729 

 

$            - 

 

$     11,729 

  Provision for loan losses
1,776 

 

 -

 
1,776 

  Net interest income after provision for loan losses
9,953 

 

 -

 
9,953 

  Noninterest income
1,649 

 
917 

 
2,566 

  Noninterest expenses
9,898 

 
728 

 
10,626 

  Income before income taxes
1,704 

 
189 

 
1,893 

  Income tax expense
444 

 
64 

 
508 

    Net income

$         1,260 

 

$       125 

 

$       1,385 

    Total assets

$     421,830 

 

$    4,247 

 

$   426,077 

 

 

 

 

 

 

Nine months ended September 30, 2011

 

 

 

 

 

  Net interest income

$       11,359 

 

$            - 

 

$     11,359 

  Provision for loan losses
2,757 

 

 -

 
2,757 

  Net interest income after provision for loan losses
8,602 

 

 -

 
8,602 

  Noninterest income
1,851 

 
779 

 
2,630 

  Noninterest expenses
9,415 

 
665 

 
10,080 

  Income before income taxes
1,038 

 
114 

 
1,152 

  Income tax expense
295 

 
39 

 
334 

    Net income

$            743 

 

$         75 

 

$          818 

    Total assets

$     428,924 

 

$       516 

 

$   429,440 

 

 

 

 

 

 

 

Community

 

 

 

 

 

Banking

 

Mortgage

 

Total

Three months ended September 30, 2012

 

 

 

 

 

  Net interest income

$         4,027 

 

$            - 

 

$       4,027 

  Provision for loan losses
601 

 

 -

 
601 

  Net interest income after provision for loan losses
3,426 

 

 -

 
3,426 

  Noninterest income
650 

 
402 

 
1,052 

  Noninterest expenses
3,491 

 
292 

 
3,783 

  Income before income taxes
585 

 
110 

 
695 

  Income tax expense
119 

 
37 

 
156 

    Net income

$            466 

 

$         73 

 

$          539 

    Total assets

$     421,830 

 

$    4,247 

 

$   426,077 

 

 

 

 

 

 

Three months ended September 30, 2011

 

 

 

 

 

  Net interest income

$         3,846 

 

$            - 

 

$       3,846 

  Provision for loan losses
1,272 

 

 -

 
1,272 

  Net interest income after provision for loan losses
2,574 

 

 -

 
2,574 

  Noninterest income
950 

 
250 

 
1,200 

  Noninterest expenses
3,500 

 
206 

 
3,706 

  Income before income taxes
24 

 
44 

 
68 

  Income tax expense
(11)

 
15 

 
4 

    Net income

$              35 

 

$         29 

 

$            64 

    Total assets

$     428,924 

 

$       516 

 

$   429,440