7. Allowance For Loan Losses (Tables)

9 Months Ended

Sep. 30, 2013

Allowance for Loan and Lease Losses, Adjustments, Net [Abstract]

Summary Of Analysis Of Allowance For Loan Losses

An analysis of the allowance for loan losses for the nine month periods ended September 30, 2013 and 2012, and for the year ended December 31, 2012 is as follows:

	Nine Months Ended				Year Ended
	September 30,				December 31,
Dollars in thousands	2013		2012		2012
Balance, beginning of year	$	17,933	$	17,712	$	17,712
Losses:
Commercial		205		355		1,273
Commercial real estate
Owner occupied		1,067		636		636
Non-owner occupied		9		436		806
Construction and development
Land and land development		3,560		2,319		3,390
Construction		-		367		367
Residential real estate
Non-jumbo		494		1,257		1,372
Jumbo		3,739		737		737
Home equity		77		5		5
Consumer		55		91		136
Other		84		69		95
Total		9,290		6,272		8,817
Recoveries:
Commercial		7		7		13
Commercial real estate
Owner occupied		2		24		33
Non-owner occupied		633		20		31
Construction and development
Land and land development		13		16		61
Construction		-		-		-
Real estate - mortgage
Non-jumbo		106		51		81
Jumbo		4		85		86
Home equity		4		60		61
Consumer		53		53		95
Other		74		62		77
Total		896		378		538
Net losses		8,394		5,894		8,279
Provision for loan losses		3,500		6,002		8,500
Balance, end of year	$	13,039	$	17,820	$	17,933

Summary Of Activity In Allowance For Loan Losses By Loan Class

Activity in the allowance for loan losses by loan class during the first nine months of 2013 is as follows:

For the Nine Months Ended September 30, 2013
	Construction & Land Development
	Land &						Commercial Real Estate					Residential Real Estate
	Land								Non-
Dollars in	Develop-		Construc-		Commer-		Owner		Owner			Non-					Home			Con-
thousands	ment		tion		cial		Occupied		Occupied			jumbo			Jumbo		Equity			sumer			Other		Total
Allowance for loan losses
Beginning balance	$	5,220	$	138	$	782	$	1,387	$	3,269		$	2,617		$	3,942	$	425		$	132		$	21	$	17,933
Charge-offs		3,560		-		205		1,067		9			494			3,739		77			55			84		9,290
Recoveries		13		-		7		2		633			106			4		4			53			74		896
Provision		2,780		95		888		1,071		(3,716	)		(66	)		2,636		(162	)		(43	)		17		3,500
Ending balance	$	4,453	$	233	$	1,472	$	1,393	$	177		$	2,163		$	2,843	$	190		$	87		$	28	$	13,039
Allowance related to:
Loans individually
evaluated for impairment	$	1,390	$	-	$	702	$	216	$	110		$	316		$	1,040	$	27		$	13		$	-	$	3,814
Loans collectively
evaluated for impairment		3,063		233		770		1,177		67			1,847			1,803		163			74			28		9,225
Loans acquired with
deteriorated credit quality		-		-		-		-		-			-			-		-			-			-		-
Total	$	4,453	$	233	$	1,472	$	1,393	$	177		$	2,163		$	2,843	$	190		$	87		$	28	$	13,039
Loans
Loans individually
evaluated for impairment	$	25,519	$	-	$	6,157	$	11,551	$	5,884		$	6,017		$	17,786	$	213		$	52		$	-	$	73,179
Loans collectively
evaluated for impairment		47,570		12,323		77,687		139,709		273,528			209,041			41,915		53,461			20,420			3,375	$	879,029
Loans acquired with
deteriorated credit quality		-		-		-		-		-			-			-		-			-			-		-
Total	$	73,089	$	12,323	$	83,844	$	151,260	$	279,412		$	215,058		$	59,701	$	53,674		$	20,472		$	3,375	$	952,208