Mortgage Loans to be Sold

6 Months Ended

Jun. 30, 2012

Mortgage Loans To Be Sold

Mortgage Loans to be Sold

NOTE 4:  Mortgage Loans to be Sold:

Mortgage loans originated and intended for sale in the secondary market are carried at the lower of cost or estimated market value in the aggregate.  Net unrealized losses are provided for in a valuation allowance by charges to operations as a component of mortgage banking income.  At June 30, 2012 and December 31, 2011, the Company had approximately $6.5 million and $7.6 million in mortgage loans held for sale, respectively. Gains or losses on sales of these loans are recognized and included in mortgage banking income in the consolidated statements of income when control over these assets has been surrendered.