Income Taxes

6 Months Ended

Jun. 30, 2011

Income Taxes [Abstract]

INCOME TAXES

NOTE J: INCOME TAXES

The tax provision for net income for the first six months of 2011 totaled $560,000. An adjustment to the deferred tax valuation allowance was recorded in a like amount, and therefore there was no change in the carrying value of net deferred tax assets which are supported by tax planning strategies. Should the economy show improvement and the Company’s credit losses continue to moderate prospectively, increased reliance on management’s forecast of future taxable earnings could result in realization of additional future tax benefits from the net operating loss carryforwards. At June 30, 2011 the Company has approximately $47.3 million in its deferred tax valuation allowance related to its net operating loss carryforwards.