Note 4 - Allowance for Loan Losses

9 Months Ended

Sep. 30, 2013

Disclosure Text Block Supplement [Abstract]

Allowance for Credit Losses [Text Block]

Note 4. Allowance for Loan Losses

The following table presents, as of September 30, 2013, the total allowance for loan losses, the allowance by impairment methodology (individually evaluated for impairment or collectively evaluated for impairment), the total loans and loans by impairment methodology (individually evaluated for impairment or collectively evaluated for impairment).

September 30, 2013	Allowance for loan losses																Loans
Class of Loan In thousands of dollars	Beginning balance		Charge- offs			Recoveries		Provisions			Ending balance		Ending balance: individually evaluated for impairment		Ending balance: collectively evaluated for impairment		Ending balance		Ending balance: individually evaluated for impairment		Ending balance: collectively evaluated for impairment
Construction loans:
Residential	$	117	$	-		$	-	$	(4	)	$	113	$	-	$	113	$	6,804	$	-	$	6,804
Land acquisition, development & commercial		811		-			-		(72	)		739		-		739		20,120		1,550		18,570
Real estate:
Residential		725		(301	)		81		382			887		163		724		68,733		664		68,069
Commercial		1,054		(88	)		250		(245	)		971		-		971		124,585		9,341		115,244
Commercial, industrial & agricultural		459		(27	)		-		(125	)		307		10		297		38,656		326		38,330
Equity lines		386		-			2		(39	)		349		-		349		19,409		-		19,409
Consumer		145		(148	)		-		61			58		-		58		9,017		-		9,017
Unallocated		93		-			-		167			260		-		260		-		-		-
Total	$	3,790	$	(564	)	$	333	$	125		$	3,684	$	173	$	3,511	$	287,324	$	11,881	$	275,443

The following table presents, as of December 31, 2012, the total allowance for loan losses, the allowance by impairment methodology (individually evaluated for impairment or collectively evaluated for impairment), the total loans and loans by impairment methodology (individually evaluated for impairment or collectively evaluated for impairment).

December 31, 2012	Allowance for loan losses																Loans
Class of Loan In thousands of dollars	Beginning balance		Charge- offs			Recoveries		Provisions			Ending balance		Ending balance: individually evaluated for impairment		Ending balance: collectively evaluated for impairment		Ending balance		Ending balance: individually evaluated for impairment		Ending balance: collectively evaluated for impairment
Construction loans:
Residential	$	90	$	-		$	-	$	27		$	117	$	-	$	117	$	5,036	$	-	$	5,036
Land acquisition, development & commercial		953		(519	)		-		377			811		-		811		20,198		3,632		16,566
Real estate:
Residential		538		(151	)		-		338			725		137		588		69,691		810		68,881
Commercial		1,314		(478	)		18		200			1,054		71		983		109,302		10,157		99,145
Commercial, industrial & agricultural		628		(71	)		-		(98	)		459		-		459		42,382		916		41,466
Equity lines		313		(393	)		-		466			386		-		386		20,504		115		20,389
Consumer		143		(4	)		1		5			145		-		145		7,824		-		7,824
Unallocated		-		-			-		93			93		-		93		-		-		-
Total	$	3,979	$	(1,616	)	$	19	$	1,408		$	3,790	$	208	$	3,582	$	274,937	$	15,630	$	259,307

Loans by credit quality indicators as of September 30, 2013 were as follows:

(Dollars In Thousands)	Pass		Special Mention		Substandard Accruing		Substandard Nonaccrual		Total
Construction loans:
Residential	$	6,804	$	-	$	-	$	-	$	6,804
Land acquisition, development & commercial		18,570		-		1,550		-		20,120
Real estate:
Residential		63,610		4,379		225		519		68,733
Commercial		120,497		425		3,663		-		124,585
Commercial, industrial & agricultural		37,589		105		778		184		38,656
Equity lines		19,350		-		-		59		19,409
Consumer		8,978		-		-		39		9,017
Total	$	275,398	$	4,909	$	6,216	$	801	$	287,324

Loans by credit quality indicators as of December 31, 2012 were as follows:

(Dollars In Thousands)	Pass		Special Mention		Substandard Accruing		Substandard Nonaccrual		Total
Construction loans:
Residential	$	5,036	$	-	$	-	$	-	$	5,036
Land acquisition, development & commercial		16,479		-		1,963		1,756		20,198
Real estate:
Residential		63,299		5,581		229		582		69,691
Commercial		103,010		2,479		3,577		236		109,302
Commercial, industrial & agricultural		41,313		131		938		-		42,382
Equity lines		20,364		25		-		115		20,504
Consumer		7,824		-		-		-		7,824
Total	$	257,325	$	8,216	$	6,707	$	2,689	$	274,937

At September 30, 2013 and December 31, 2012, the Company had no loans classified as Loss.