SUBORDINATED DEBENTURES

9 Months Ended

Sep. 30, 2014

SUBORDINATED DEBENTURES [Abstract]

SUBORDINATED DEBENTURES

NOTE 7 – SUBORDINATED DEBENTURES

The Company, including through ABI, which the Company acquired by merger, has participated in four offerings related to debt securities and trust preferred securities, each with 30-year lives.  Interest on all subordinated debentures related to trust preferred securities is payable quarterly.  Under these arrangements, the Company has the right to defer dividend payments to the trust preferred security holders for up to five years.  During the year ended December 31, 2012, the Company exercised its contractual right to defer interest payments with respect to all of the outstanding trust preferred securities.  Under the terms of the related indentures, the Company may defer interest payments for up to 20 consecutive quarters without default or penalty.  Subsequent to their deferral, these payments were periodically evaluated and were reinstated as of March 15, 2013.  Previously deferred payments were paid in full as of the same date.