2012								Loss per
	Interest		Net Interest		Net			Share Basic
	Income		Income		Loss			and Diluted

First quarter (2)	$	4,648	$	4,284	$	(2,840	)	$	(0.73	)
Second quarter (3)		4,436		4,179		(2,531	)		(0.66	)
Third quarter (4)		4,043		3,816		(2,069	)		(0.55	)
Fourth quarter (5)		4,013		3,805		(5,140	)		(1.27	)

Total	$	17,140	$	16,084	$	(12,580	)	$	(3.21	)

2011								Loss per
	Interest		Net Interest		Net			Share Basic
	Income		Income		Loss			and Diluted (1)

First quarter (6)	$	5,449	$	4,648	$	(1,102	)	$	(0.32	)
Second quarter (7)		5,296		4,668		(2,282	)		(0.60	)
Third quarter (8)		5,064		4,543		(1,686	)		(0.46	)
Fourth quarter (9)		5,070		4,638		(1,617	)		(0.44	)

Total	$	20,879	$	18,497	$	(6,687	)	$	(1.81	)

(1)	Earnings per share for the quarters and fiscal year have been calculated separately. Accordingly, quarterly amounts may not add to the annual amounts because of rounding and differences to average shares outstanding from quarter to quarter.

(2)

During the first quarter 2012, the Company recognized $2.0 million of write-downs on other real estate owned as the values of these properties decreased. A provision for loan and lease losses of $1.4 million was made as real estate values on properties used as collateral for nonperforming loans declined. The Company also recognized a net loss on the sale of other real estate owned of $216,000.

(3)	During the second quarter 2012, there was a provision for loan and lease losses of $2.6 million as collateral values declined. The Company also recognized $723,000 of write-downs on other real estate owned as the values of these properties decreased.

(4)

During the third quarter of 2012, there was a provision for loan and lease losses of $2.1 million as collateral values declined. The Company also recognized $1.2 million of write-downs on other real estate owned as the values of these properties decreased. The Company reversed $238,000 of loan interest income as loans were placed on nonaccrual status.

(5)	During the fourth quarter of 2012, there was a provision for loan and lease losses of $5.0 million as collateral values declined. The Company also recognized $1.0 million of write-downs on other real estate owned as the values of these properties decreased.

(6)

During the first quarter 2011, there was a provision for loan and lease losses of $1.2 million as collateral values declined. The Company also recognized $673,000 of write-downs on other real estate owned as the values of these properties decreased. The Company recognized impairment write-downs of $163,000 on its collateralized debt obligations and equity securities carried in the Company's securities portfolio.

(7)

During the second quarter 2011, there was a provision for loan and lease losses of $2.5 million as nonperforming loans increased $11.7 million during the quarter. The Company recognized write-downs of $655,000 on its other real estate owned as real estate values declined and loan and collection expenses of $624,000 pertaining to nonperforming loans. The Company recognized gains on the sale of securities of $142,000.

(8)	During the third quarter of 2011, the Company had a provision for loan and lease losses of $2.0 million as collateral values declined. The Company recognized a write-down to its other real estate owned of $797,000. The Company recognized gains on the sale of securities of $135,000.

(9)

During the fourth quarter 2011, the Company recognized a write-down to its other real estate owned of $1.9 million as the value of these properties declined. The provision for loan and lease losses was $1.2 million as collateral values declined. The Company recognized gains on the sale of securities of $250,000.