EMPLOYEE RETIREMENT PLANS

12 Months Ended

Dec. 31, 2011

EMPLOYEE RETIREMENT PLANS [Abstract]

EMPLOYEE RETIREMENT PLANS

NOTE H – EMPLOYEE RETIREMENT PLANS

The Bank has two defined contribution plans (a [401(k)] and an employee stock ownership plan [ESOP]) which covers all employees who satisfy the initial eligibility requirements of one year of service and being age twenty-one or older.

In the 401(k) plan, employees may contribute up to the maximum amount of their salary allowable by law which is matched by the Bank at the rate of 60% up to the first 5% deferred into the plan.

Employer profit-sharing contributions are subject to Board discretion.  The Bank's contribution was approximately $177,000 for 2011, $171,000 for 2010, and $297,000 for 2009.

The ESOP is funded solely by employer profit-sharing contributions at the discretion of the Board.      The ESOP invests primarily in the stock of the Corporation.  Dividends on ESOP shares are recorded as a reduction of retained earnings and the shares are considered outstanding for earnings per share computation.  Bank contributions were approximately $433,000 for 2011, $430,000 for 2010, and $301,000 for 2009.  The ESOP held 210,078 and 205,887 shares of Corporation common stock, all of which were allocated shares, at December 31, 2011 and 2010, respectively.