Note 4 - Premises and Equipment

12 Months Ended

Dec. 31, 2018

Notes to Financial Statements

Property, Plant and Equipment Disclosure [Text Block]

N

OTE

4

– PREMISES AND EQUIPMENT

Year-end premises and equipment were as follows:

	201 8			201 7
	(in thousands)
Land and buildings	$	19,999		$	23,124
Furniture and equipment		11,283			10,151
		31,282			33,275
Accumulated depreciation		(16,627	)		(16,486	)
	$	14,655		$	16,789

During

2018,

the Company recognized a

$692,000

gain on sale of a subdivided lot at the Company’s headquarters. The gain on sale is included in other non-interest income.

In connection with the completion of a core system conversion in

December 2018,

management approved the closure of the Bank’s central data processing facility. As a result, the data processing facility was transferred to Premises Held for Sale at fair value, as determined by an independent

third

party appraisal, less estimated cost to sell. The transfer to held for sale resulted in a

$392,000

impairment charge, which is included in other non-interest income. The carrying value is

$1.1

million at

December 31, 2018.

Depreciation expense was

$833,000,

$955,000

and

$1.1

million for

2018,

2017

and

2016,

respectively.