7. Allowance for Loan Losses

The following tables detail activity in the Allowance for the periods indicated:



Three Months Ended March 31,	Commercial		Real estate construction one-to-four family		Real estate construction other		Real estate term owner occupied		Real estate term non-owner occupied		Real estate term other		Consumer secured by 1st deeds of trust		Consumer other		Unallocated		Total
	(In Thousands)
2013
Balance, beginning of period	$	6,308	$	1,029	$	326	$	1,441	$	4,065	$	539	$	344	$	388	$	1,968	$	16,408
Charge-Offs		-		-		-		-		-		-		-		(14)		-		(14)
Recoveries		76		-		18		-		-		-		-		3		-		97
Provision (benefit)		533		(303)		227		(7)		377		116		7		25		(825)		150
Balance, end of period	$	6,917	$	726	$	571	$	1,434	$	4,442	$	655	$	351	$	402	$	1,143	$	16,641
Balance, end of period:
Individually evaluated
for impairment	$	395	$	242	$	-	$	-	$	-	$	-	$	22	$	-	$	-	$	659
Balance, end of period:
Collectively evaluated
for impairment	$	6,522	$	484	$	571	$	1,434	$	4,442	$	655	$	329	$	402	$	1,143	$	15,982

2012
Balance, beginning of period	$	6,783		468	$	1,169	$	1,272		2,975		788		374	$	418	$	2,256	$	16,503
Charge-Offs		(231)		-		-		(146)		-		(280)		-		-		-		(657)
Recoveries		349		-		-		-		-		-		-		4		-		353
Provision (benefit)		(818)		260		(679)		48		455		85		(77)		(120)		935		89
Balance, end of period	$	6,083	$	728	$	490	$	1,174	$	3,430	$	593	$	297	$	302	$	3,191	$	16,288
Balance, end of period:
Individually evaluated
for impairment	$	436	$	-	$	342	$	-	$	-	$	-	$	-	$	-	$	-	$	778
Balance, end of period:
Collectively evaluated
for impairment	$	5,647	$	728	$	148	$	1,174	$	3,430	$	593	$	297	$	302	$	3,191	$	15,510

The following is a detail of the recorded investment in the loan portfolio, segregated by amounts evaluated individually or collectively in the Allowance at the periods indicated:



(In Thousands)	Commercial		Real estate construction one-to-four family		Real estate construction other		Real estate term owner occupied		Real estate term non-owner occupied		Real estate term other		Consumer secured by 1st deeds of trust		Consumer other		Total

March 31, 2013
Balance, end of period	$	289,389	$	30,284	$	22,511	$	76,854	$	239,377	$	31,626	$	17,036	$	17,993	$	725,070
Balance, end of period:
Individually evaluated
for impairment	$	1,956	$	1,240	$	2,497	$	1,486	$	2,223	$	1,605	$	374	$	230	$	11,611
Balance, end of period:
Collectively evaluated
for impairment	$	287,433	$	29,044	$	20,014	$	75,368	$	237,154	$	30,021	$	16,662	$	17,763	$	713,459

December 31, 2012
Balance, end of period	$	273,432	$	32,573	$	21,061	$	78,107	$	234,643	$	31,809	$	17,714	$	18,305	$	707,644
Balance, end of period:
Individually evaluated
for impairment	$	2,452	$	794	$	2,748	$	1,083		2,260	$	3,505		93	$	158	$	13,093
Balance, end of period:
Collectively evaluated
for impairment	$	270,980	$	31,779	$	18,313	$	77,024	$	232,383	$	28,304	$	17,621	$	18,147	$	694,551

The following represents the balance of the Allowance for the periods indicated segregated by segment and class:



(In Thousands)	Total		Commercial		Real estate construction 1-4 family		Real estate construction other		Real estate term owner occupied		Real estate term non-owner occupied		Real estate term other		Consumer secured by 1st deeds of trust		Consumer other		Unallocated

March 31, 2013
Individually evaluated for
impairment:
AQR Substandard	$	508	$	244	$	-	$	242	$	-	$	-	$	-	$	22	$	-	$	-
AQR Loss		151		151		-		-		-		-		-		-		-		-
Collectively evaluated for
impairment:
AQR Pass		14,012		6,163		599		297		1,304		4,338		655		291		365		-
AQR Special Mention		592		332		37		32		103		36		-		38		14		-
AQR Substandard		231		23		90		-		27		68		-		-		23		-
AQR Doubtful		4		4		-		-		-		-		-		-		-		-
Unallocated		1,143		-		-		-		-		-		-		-		-		1,143
	$	16,641	$	6,917	$	726	$	571	$	1,434	$	4,442	$	655	$	351	$	402	$	1,143

December 31, 2012
Individually evaluated for
impairment:
AQR Substandard	$	284	$	284	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
AQR Doubtful		374		160		214		-		-		-		-		-		-		-
Collectively evaluated for
impairment:
AQR Pass		12,930		5,520		711		326		1,242		3,961		539		280		351		-
AQR Special Mention		490		321		16		-		51		34		-		56		12		-
AQR Substandard		362		23		88		-		148		70		-		8		25		-
Unallocated		1,968		-		-		-		-		-		-		-		-		1,968
	$	16,408	$	6,308	$	1,029	$	326	$	1,441	$	4,065	$	539	$	344	$	388	$	1,968