Real Estate Owned

12 Months Ended

Jun. 30, 2012

Real Estate Owned:

Real Estate Owned

5.   Real Estate Owned:

Real estate owned at June 30, 2012 and 2011 consisted of the following:

(In Thousands)	June 30,
	2012		2011
Real estate owned	$  5,731		$  9,573
Allowance for estimated real estate owned losses	(242	)	(1,244	)
Total real estate owned, net	$  5,489		$  8,329

Real estate owned was primarily the result of real estate acquired in the settlement of loans.  As of June 30, 2012, real estate owned was comprised of 24 properties, primarily single-family residences located in Southern California.  This compares to 54 real estate owned properties at June 30, 2011, primarily single-family residences located in Southern California.

During fiscal 2012, the Bank acquired 68 real estate owned properties in the settlement of loans and sold 98 properties for a net loss of $287,000.  In fiscal 2011, the Bank acquired 113 real estate owned properties in the settlement of loans and sold 136 properties for a net gain of $185,000.

A summary of the disposition and operations of real estate owned acquired in the settlement of loans for the years ended June 30, 2012, 2011 and 2010 consisted of the following:

(In Thousands)	Year Ended June 30,
	2012		2011		2010
Net (losses) gains on sale	$   (287	)	$   185		$   2,692
Net operating expenses	(835	)	(1,702	)	(2,072	)
Recovery (provision) for estimated losses	1,002		166		(604	)
(Loss) gain on sale and operations of real estate owned acquired in the settlement of loans, net	$   (120	)	$ (1,351	)	$        16