Note 5 - Allowances For Loan and Real Estate Losses

3 Months Ended

Mar. 31, 2012

Allowance for Credit Losses [Text Block]

5.         ALLOWANCES FOR LOAN AND REAL ESTATE LOSSES

The tables below provide a rollforward of the allowance for loan losses by portfolio segment (in thousands):

Three Months Ended March 31, 2012	One- to four-family residential			Home equity and second mortgage			Speculative one- to four-family			Multifamily residential			Land development			Land		Commercial real estate			Commercial			Consumer			Total
Allowance for loan losses:
Balance, beginning of period:	$	6,306		$	693		$	84		$	3,332		$	--		$	1,889	$	7,316		$	972		$	226		$	20,818
Provision charged to expense		(110	)		(24	)		(15	)		427			(702	)		277		646			(487	)		4			16
Losses charged off		(335	)		(101	)		--			(997	)		--			--		(1,736	)		--			(96	)		(3,265	)
Recoveries		12			6			--			17			702			--		4			6			24			771
Balance, end of period	$	5,873		$	574		$	69		$	2,779		$	--		$	2,166	$	6,230		$	491		$	158		$	18,340
Ending balance: individually evaluated for impairment	$	612		$	93		$	--		$	--		$	--		$	537	$	1,140		$	--		$	1		$	2,383
Ending balance: collectively evaluated for impairment	$	5,261		$	481		$	69		$	2,779		$	--		$	1,629	$	5,090		$	491		$	157		$	15,957
Loans:
Ending balance	$	174,866		$	11,531		$	1,150		$	24,770		$	--		$	14,162	$	104,261		$	11,223		$	6,664		$	348,627
Ending balance: individually evaluated for impairment	$	10,751		$	622		$	--		$	3,773		$	--		$	4,400	$	10,552		$	484		$	55		$	30,637
Ending balance: collectively evaluated for impairment	$	164,115		$	10,909		$	1,150		$	20,997		$	--		$	9,762	$	93,709		$	10,739		$	6,609		$	317,990

Year Ended December 31, 2011	One- to four-family residential			Home equity and second mortgage			Speculative one- to four-family			Multifamily residential			Land development			Land			Commercial real estate			Commercial			Consumer			Total
Allowance for loan losses:
Balance, beginning of year:	$	5,440		$	1,275		$	81		$	6,581		$	1,473		$	2,562		$	9,491		$	3,543		$	638		$	31,084
Provision charged to expense		3,993			(160	)		31			(454	)		(361	)		(113	)		189			(2,139	)		(127	)		859
Losses charged off		(3,177	)		(486	)		(28	)		(2,795	)		(1,562	)		(628	)		(2,375	)		(517	)		(409	)		(11,977	)
Recoveries		50			64			--			--			450			68			11			85			124			852
Balance, end of year	$	6,306		$	693		$	84		$	3,332		$	--		$	1,889		$	7,316		$	972		$	226		$	20,818
Ending balance: individually evaluated for impairment	$	305		$	81		$	--		$	703		$	--		$	280		$	1,879		$	--		$	45		$	3,293
Ending balance: collectively evaluated for impairment	$	6,001		$	612		$	84		$	2,629		$	--		$	1,609		$	5,437		$	972		$	181		$	17,525
Loans:
Ending balance	$	184,086		$	12,502		$	1,463		$	28,879		$	622		$	14,418		$	95,920		$	7,603		$	8,015		$	353,508
Ending balance: individually evaluated for impairment	$	13,085		$	831		$	--		$	8,133		$	622		$	3,061		$	13,238		$	72		$	119		$	39,161
Ending balance: collectively evaluated for impairment	$	171,001		$	11,671		$	1,463		$	20,746		$	--		$	11,357		$	82,682		$	7,531		$	7,896		$	314,347

The Bank does not have any loans acquired with deteriorated credit quality.

A summary of the activity in the allowances for loan and real estate losses is as follows for the three months ended March 31 (in thousands):

	Three Months Ended March 31, 2012						Three Months Ended March 31, 2011
	Loans			Real Estate			Loans			Real Estate
Balance—beginning of year	$	20,818		$	20,934		$	31,084		$	7,841
Provisions for estimated losses		16			28			160			1,644
Recoveries		771			--			529			--
Losses charged off		(3,265	)		(461	)		(2,660	)		(632	)
Balance—end of period	$	18,340		$	20,501		$	29,113		$	8,853