ALLOWANCE FOR POSSIBLE LOAN LOSSES

12 Months Ended

Sep. 30, 2011

ALLOWANCE FOR POSSIBLE LOAN LOSSES

ALLOWANCE FOR POSSIBLE LOAN LOSSES

NOTE 4—ALLOWANCE FOR POSSIBLE LOAN LOSSES

        The following is an analysis of the allowance for possible loan losses (dollars in thousands):

	Year Ended September 30,
	2011			2010			2009
Balance at beginning of year	$	3,165		$	1,618		$	6,710
Provision for loan loss		—			3,165			17,110
Recovery of previously provided allowance		(3,595	)		(365	)		—
Charge-offs		(609	)		(1,480	)		(24,619	)
Recoveries		1,039			227			2,417
Balance at end of year	$	—		$	3,165		$	1,618

        The allowance for possible losses applies to two loans aggregating $26,655,000 at September 30, 2010, and one loan of $2,256,000 at September 30, 2009.