Regulatory Capital

12 Months Ended

Dec. 31, 2011

Regulatory Capital [Abstract]

Regulatory Capital

Note 10 – Regulatory Capital

The Company is subject to various regulatory capital requirements administered by the federal banking agencies.  Bank holding companies follow minimum regulatory requirements established by the Federal Reserve Board.  First Mid Bank follows similar minimum regulatory requirements established for national banks by the OCC.  Failure to meet minimum capital requirements can result in the initiation of certain mandatory and possibly additional discretionary action by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements.

Quantitative measures established by each regulatory agency to ensure capital adequacy require the reporting institutions to maintain minimum amounts and ratios (set forth in the table below) of total and Tier 1 capital to risk-weighted assets, and of Tier 1 capital to average assets.  Management believes, as of December 31, 2011 and 2010, that all capital adequacy requirements have been met.

As of December 31, 2011 and 2010, the most recent notification from the primary regulators categorized First Mid Bank as well capitalized under the regulatory framework for prompt corrective action.  To be categorized as well capitalized, minimum total risk-based, Tier 1 risk-based and Tier 1 leverage ratios must be maintained as set forth in the table.  At December 31, 2011, there are no conditions or events since the most recent notification that management believes have changed this categorization.

									To Be Well
									Capitalized Under
						For Capital			Prompt Corrective
	Actual					Adequacy Purposes			Action Provisions
	Amount		Ratio			Amount		Ratio	Amount		Ratio
December 31, 2011
Total Capital  (to risk-weighted assets)
Company	$	145,006		14.48	%	$	80,093	> 8.00%		N/A		N/A
First Mid Bank		127,386		12.83			79,434	> 8.00	$	99,292	> 10.00%
Tier 1 Capital  (to risk-weighted assets)
Company		133,886		13.37			40,046	> 4.00		N/A		N/A
First Mid Bank		116,266		11.71			39,717	> 4.00		59,575	> 6.00
Tier 1 Capital (to average assets)
Company		133,886		8.99			59,574	> 4.00		N/A		N/A
First Mid Bank		116,266		7.85			59,228	> 4.00		74,035	> 5.00
December 31, 2010
Total Capital  (to risk-weighted assets)
Company	$	118,622		12.84	%	$	73,914	> 8.00%		N/A		N/A
First Mid Bank		113,143		12.32			73,491	> 8.00	$	91,864	> 10.00%
Tier 1 Capital  (to risk-weighted assets)
Company		108,229		11.71			36,957	> 4.00		N/A		N/A
First Mid Bank		102,748		11.19			36,745	> 4.00		55,118	> 6.00
Tier 1 Capital (to average assets)
Company		108,229		7.42			58,369	> 4.00		N/A		N/A
First Mid Bank		102,748		7.07			58,141	> 4.00		72,676	> 5.00