Condensed Financial Information (Parent Company Only)

12 Months Ended

Dec. 31, 2012

Condensed Financial Information (Parent Company Only) [Abstract]

Condensed Financial Information (Parent Company Only)

Note 18 - Condensed Financial Information (Parent Company Only)

Information as to the financial position of Severn Bancorp, Inc. as of December 31, 2012 and 2011 and results of operations and cash flows for each of the years ended December 31, 2012, 2011 and 2010 is summarized below.

	December 31,
	2012		2011
			(restated)
	(dollars in thousands)
Statements of Financial Condition
Cash	$	1,365	$	1,346
Equity in net assets of subsidiaries:
Bank		127,366		122,676
Non-Bank		3,652		4,728
Loans, net of allowance for loan losses of $19 and $19, respectively		581		607
Other assets		1,414		1,341
Total assets	$	134,378	$	130,698
Subordinated debentures	$	24,119	$	24,119
Other liabilities		1,263		114
Total liabilities		25,382		24,233
Stockholders' equity		108,996		106,465
Total liabilities and stockholders' equity	$	134,378	$	130,698

	For the Years Ended December 31,
	2012			2011			2010
				(restated)			(restated)
	(dollars in thousands)
Statements of Operations
Interest income	$	43		$	82		$	65
Interest expense on subordinated debentures		818			772			899
Net interest expense		(775	)		(690	)		(834	)
Dividends received from subsidiaries		-			-			-
General and administrative expenses		205			13			386
Loss before income taxes and equity in undistributed net income of subsidiaries		(980	)		(703	)		(1,220	)
Income tax (expense) benefit		98			(55	)		528
Equity in undistributed net income of subsidiaries		4,610			2,310			2,051
Net income	$	3,728		$	1,552		$	1,359

	For the Years Ended December 31,
	2012			2011			2010
				(restated)			(restated)
	(dollars in thousands)
Statements of Cash Flows
Cash Flows from Operating Activities:
Net income	$	3,728		$	1,552		$	1,359
Adjustments to reconcile net income to net
cash provided by (used in) operating activities:
Equity in undistributed earnings of subsidiaries		(4,610	)		(2,310	)		(2,051	)
(Increase) decrease in other assets		(73	)		290			(314	)
Stock-based compensation expense		43			61			162
Increase in other liabilities		1,145			6			-
Cash provided by (used in) operating activities		233			(401	)		(844	)
Cash Flows from Investing Activities:
Net decrease in loans		26			340			-
Contribution from subsidiaries		1,000			1,000			-
Cash provided by investing activities		1,026			1,340			-
Cash Flows from Financing Activities:
Dividends paid on common stock		-			-			-
Series A preferred stock dividend paid		(70	)		(280	)		(280	)
Series B preferred stock dividends declared		(1,170	)		(1,170	)		(1,170	)
Cash used in financing activities		(1,240	)		(1,450	)		(1,450	)
Increase (decrease) in cash and cash equivalents		19			(511	)		(2,294	)
Cash and cash equivalents at beginning of year		1,346			1,857			4,151
Cash and cash equivalents at end of year	$	1,365		$	1,346		$	1,857