NOTE 5 - OTHER REAL ESTATE OWNED

3 Months Ended

Mar. 31, 2012

Real Estate Owned [Text Block]

NOTE 5 – OTHER REAL ESTATE OWNED

The Company had $16,906,000 and $20,106,000 in other real estate owned (“OREO”) at March 31, 2012 and December 31, 2011, respectively. Below is a table with details of the changes in OREO (in thousands):

	March 31,
	2012			2011
Balance, December 31, 2011	$	20,106		$	25,784
Properties transferred in		335			816
Sales of property		(3,056	)		(2,915	)
Loss on sale or writedown of property		(479	)		(366	)
Balance at March 31, 2012	$	16,906		$	23,319

The following table presents the components of other real estate owned expense (in thousands):

	March 31,
	2012		2011
Operating expenses	$	155	$	86
Provision for losses		396		511
Net, loss(gain) on disposal		83		(145	)
Total other real estate owned expense	$	634	$	452