NOTE 5 - OTHER REAL ESTATE OWNED

3 Months Ended

Mar. 31, 2013

Other Real Estate [Abstract]

OTHER REAL ESTATE OWNED

NOTE 5 – OTHER REAL ESTATE OWNED

The Company had $21,365,000 and $22,423,000 in other real estate owned (“OREO”) at March 31, 2013 and December 31, 2012, respectively. Below is a table with details of the changes in OREO (in thousands):

	March 31,			December 31,
	2013			2012
Beginning Balance	$	22,423		$	20,106
Properties transferred in		602			12,239
Sales of property		(1,426	)		(6,889	)
Loss on sale or writedown of property		(234	)		(3,033	)
Total	$	21,365		$	22,423

The following table presents the components of OREO expense (in thousands):

	March 31,
	2013			2012
Operating expenses	$	142		$	156
Provision for losses		261			396
Net, loss(gain) on disposal		(27	)		82
Total other real estate owned expense	$	376		$	634