OTHER REAL ESTATE OWNED

12 Months Ended

Dec. 31, 2016

OTHER REAL ESTATE OWNED [Abstract]

OTHER REAL ESTATE OWNED

(6)  OTHER REAL ESTATE OWNED

The following table presents the activity in OREO for the years ended December 31, 2016 and 2015:

	2016	2015
	(In thousands)
Balance at beginning of year	$         14,759	$        33,984
Additions to foreclosed properties
New foreclosed properties	9,752	7,422
Reductions in foreclosed properties
Sales including realized gains and losses, net	(14,183)	(20,649)
Writedowns for unrealized losses	(2,518)	(5,998)
Balance at end of year	$           7,810	$        14,759

Substantially all of these amounts related to construction, acquisition and development projects that were either completed or were in various stages of construction during the year presented.  The following table presents the OREO by collateral type at December 31, 2016 and 2015:

		December 31,
		2016		2015
		(In thousands)
Commercial and industrial	$	-	$	84
Real estate
Consumer mortgages		857		2,477
Home equity		39		101
Agricultural		22		25
Commercial and industrial-owner occupied		1,958		1,074
Construction, acquisition and development		3,746		10,212
Commercial real estate		1,128		678
All other		60		108
Total	$	7,810	$	14,759

The Company incurred total foreclosed property expenses of $4.4 million, $7.4 million and $17.1 million in 2016, 2015 and 2014, respectively.  Realized net losses on dispositions and holding losses on valuations of these properties, a component of total foreclosed property expenses, were $3.0 million, $5.7 million and $14.5 million in 2016, 2015 and 2014, respectively.