Condensed Consolidated Statements of Cash Flows (unaudited) (USD $) In Thousands	6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010
OPERATING ACTIVITIES:
Net income (loss)	$ (3,730)	$ 1,543
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Provision for loan losses	791	116
Provision for real estate losses	2,999	1,141
Deferred tax provision	1,107	206
Change in deferred tax valuation allowance	(1,107)	(396)
Accretion of discounts on investment securities, net	(14)	(48)
Federal Home Loan Bank stock dividends	(3)	(6)
Gain on disposition of property and equipment	(16)	(1)
Loss on sale of repossessed assets, net	188	86
Loss on sales of investment securities, net	439
Originations of loans held for sale	(12,068)	(11,581)
Proceeds from sales of loans held for sale	14,882	11,171
Gain on sale of loans originated to sell	(284)	(206)
Depreciation	682	703
Amortization of deferred loan costs, net	121	184
Earnings on life insurance policies	(384)	(401)
Changes in operating assets and liabilities:
Accrued interest receivable	450	1,286
Prepaid expenses and other assets	1,722	426
Other liabilities	(73)	(21)
Net cash provided by operating activities	5,702	4,202
INVESTING ACTIVITIES:
Purchases of interest bearing time deposits in banks	(14,921)
Purchases of investment securities, held to maturity		(1,999)
Proceeds from maturities and calls of investment securities, held to maturity		59,285
Purchases of investment securities, available for sale	(9,999)
Proceeds from sales, maturities and calls of investment securities, available for sale	30,911
Federal Home Loan Bank stock purchased	(633)	(522)
Federal Home Loan Bank stock redeemed		2,080
Loan repayments, net of originations	29,919	39,878
Loan participations purchased	(417)	(1,188)
Proceeds from sales of real estate owned	4,828	4,563
Improvements to real estate owned	(26)	(291)
Proceeds from dispositions of office properties and equipment	20
Purchases of office properties and equipment	(161)	(61)
Net cash provided by investing activities	39,521	101,745
FINANCING ACTIVITIES:
Net decrease in deposits	(26,601)	(25,326)
Repayment of advances from Federal Home Loan Bank	(6,405)	(14,625)
Short-term FHLB advances, net		(24,000)
Net decrease in advance payments by borrowers for taxes and insurance	(233)	(349)
Proceeds from issuance of common stock	47,664
Net cash provided by (used in) financing activities	14,425	(64,300)
NET INCREASE IN CASH AND CASH EQUIVALENTS	59,648	41,647
CASH AND CASH EQUIVALENTS:
Beginning of year	36,407	22,149
End of year	96,055	63,796
Cash paid for:
Interest	3,618	5,515
Income taxes		38
SUPPLEMENTAL SCHEDULE OF NONCASH INVESTING AND FINANCING ACTIVITIES:
Real estate and other assets acquired in settlement of loans	5,613	12,563
Loans to facilitate sales of real estate owned	2,366	7,807
Investment securities purchased – not settled	3,575	9,997
Preferred stock dividends accrued, not paid		413
Preferred dividends cancelled	$ 929