Discontinued Operations

9 Months Ended

Sep. 30, 2011

DISCONTINUED OPERATIONS [Abstract]

Discontinued Operations

Note 12 – Discontinued Operations

LCNB sold its insurance agency subsidiary on March 23, 2011 and therefore its financial results are reported in the income statements as income from discontinued operations, net of taxes.  Income from discontinued operations for the nine months ended September 30, 2011 include the gain recognized from the sale less certain related closing costs, taxes, and a curtailment expense recognized in LCNB's nonqualified defined benefit retirement plan due to the sale.  The following table summarizes income from discontinued operations for the periods indicated (in thousands):

	For the Three Months					For the Nine Months
	Ended September 30,					Ended September 30,
	2011		2010			2011			2010
Dakin Insurance Agency financial results:
Revenue	$	-		380			381			1,225
Non-interest expenses		-		322			301			957
Income from operations before income taxes		-		58			80			268
Gain from sale of insurance agency		-		-			1,503			-
Closing costs related to sale		-		-			(60	)		-
Curtailment expense on nonqualified defined benefit retirement plan		-		-			(191	)		-
Provision for income taxes		-		(19	)		(539	)		(91	)
Total income (loss) from discontinued operations, net of tax	$	-		39			793			177