Note 16 - Commitments, Guarantees and Other Contingencies

6 Months Ended

Jun. 30, 2013

Commitments and Contingencies Disclosure [Text Block]

Commitments and Contingencies Disclosure [Text Block]

16.   Commitments, Guarantees and Other Contingencies 

Unused lending commitments to clients are not recorded in the Consolidated Balance Sheets until funds are advanced. For commercial clients, lending commitments generally take the form of unused revolving credit arrangements to finance clients’ working capital requirements. For retail clients, lending commitments are generally unused lines of credit secured by residential property. The Company routinely extends lending commitments for both floating and fixed-rate loans.

The following table summarizes the contractual amounts of the Company’s unused lending commitments relating to extensions of credit with off-balance sheet risk at June 30, 2013 (in thousands).

Commitments to extend credit:
Revolving, open-end lines secured by single-family residential properties	$	58,171
Commercial real estate, construction, and land development loans secured by real estate
Single-family residential construction loan commitments		7,512
Commercial real estate, other construction loan, and land development loan commitments		30,812
Commercial and industrial loan commitments		34,248
Overdraft protection line commitments		30,331
Other		6,776
Total commitments to extend credit	$	167,850

In addition, the maximum potential amount of undiscounted future advances related to letters of credit was $3.2 million and $3.6 million at June 30, 2013 and December 31, 2012, respectively.

The reserve for estimated credit losses on unfunded lending commitments at June 30, 2013 and December 31, 2012 was $294 thousand and $367 thousand, respectively, and is recorded in Other liabilities in the Consolidated Balance Sheets.

For disclosure regarding our derivative financial instruments and hedging activities, see Note 17, Derivative Financial Instruments and Hedging Activities.