Defined Benefit Retirement Plan

9 Months Ended

Sep. 30, 2011

Defined Benefit Retirement Plan

Defined Benefit Retirement Plan

(7) Defined Benefit Retirement Plan

The Bank sponsors an unfunded, non-qualified, defined benefit retirement plan for certain key officers with no plan to add additional participants.  Benefits vest based on years of service.  The actuarially determined pension costs are expensed and accrued over the service period, and benefits are paid from the Bank’s assets.  The net periodic benefits costs, which include interest cost and amortization of net losses, totaled $31,000 for the three months ended September 30, 2011 and 2010.  For each of the nine month periods ended September 30, 2011 and 2010, the net periodic benefit costs totaled $93,000.