Related Party Transactions

12 Months Ended

Dec. 31, 2013

Related Party Transactions [Abstract]

Related Party Transactions

NOTE 25. RELATED PARTY TRANSACTIONS

Some of the directors, and executive officers (and their associated or affiliated companies) were customers of and had banking transactions with the Bank in the ordinary course of the Bank’s business during 2013, and the Bank expects to have such transactions in the future. All deposits, loans and commitments to loans included in such transactions were made in compliance with the applicable laws on substantially the same terms, including interest rates and collateral, as those prevailing at the time for comparable transactions with other persons of similar creditworthiness.

The following table presents a summary of aggregate activity involving related party borrowers for the years ended December 31, 2013 and 2012:

(Dollars in thousands)	2013			2012
Balance at beginning of year	$	13,782		$	8,927
New loan additions		6			5,570
Advances on existing lines of credit		21,139			18,980
Principal repayments		(22,554	)		(19,695	)
Reclassifications (1)		(1,395	)		0
Balance at end of year	$	10,961		$	13,782

(1) Represents loans that were once considered related party but are no longer considered related party, or loans that were not related party that subsequently became related party loans.

At December 31, 2013 and 2012, deposits of related parties amounted to $3.0 million and $10.5 million, respectively. The majority of the change in deposits of related parties in the current year is due to the reclassification of the deposits and affiliated deposits of a former director. As of December 31, 2013 and 2012, there were no related party loans which were past due or classified. At December 31, 2013 and 2012 there was $6.2 million, and $5.9 million respectively, in outstanding loan commitments to related parties. In the opinion of the Company, these transactions did not involve more than a normal risk of collectability or present other unfavorable terms.