Loss Contingencies

3 Months Ended

Mar. 31, 2013

Loss Contingencies

Loss Contingencies

12) Loss Contingencies

        The Company's policy is to accrue for legal costs associated with both asserted and unasserted claims when it probable that such costs will be incurred and such costs can be reasonably estimated. The Company had previously accrued for such costs associated with an unasserted claim arising from an apparent transfer of funds for personal use by an authorized signatory of a customer. During the first quarter of 2013, a legal claim was asserted on this matter and the Company accrued an additional $266,000 for additional legal costs that are expected to be incurred to defend this matter. The litigation is in the very early stages and the Company intends to vigorously defend the litigation. At this time it is not possible to determine the amount of the loss, if any, arising from the claim in excess of the legal expenses expected to be incurred in defense of the litigation.