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Deferred Compensation Plan
12 Months Ended
Dec. 31, 2011
Deferred Compensation Plan [Abstract]  
Deferred Compensation Plan
Note 12—Deferred Compensation Plan

The Company follows the provisions of ASC 710, for purposes of the First Mid-Illinois Bancshares, Inc. Deferred Compensation Plan (“DCP”).  At December 31, 2011, the Company classified the cost basis of its common stock issued and held in trust in connection with the DCP of approximately $2,904,000 as treasury stock.  The Company also classified the cost basis of its related deferred compensation obligation of approximately $2,904,000 as an equity instrument (deferred compensation).

The DCP was effective as of June 1984. The purpose of the DCP is to enable directors, advisory directors, and key employees the opportunity to defer a portion of the fees and cash compensation paid by the Company as a means of maximizing the effectiveness and flexibility of compensation arrangements.  The Company invests all participants’ deferrals in shares of common stock. Dividends paid on the shares are credited to participants’ DCP accounts and invested in additional shares.  During 2011 and 2010 the Company issued 5,920 common shares and 4,766 common shares, respectively, pursuant to the DCP.