CREDIT QUALITY OF LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES (Tables)

6 Months Ended

Jun. 30, 2012

CREDIT QUALITY OF LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES [Abstract]

Credit quality indicators, the aging of receivables, and disaggregated balances of loans receivable and the allowance for loan losses

Credit Quality Indicators

As of June 30, 2012

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
Credit risk profile by internally assigned grade:
Pass	$	16,735	$	82,917	$	4,555	$	127,785	$	5,034	$	2,409	$	239,435
Special mention		1,249		4,534		-		3,934		203		5		9,925
Substandard		42,729		12,399		-		16,390		3,312		-		74,830
Total	$	60,713	$	99,850	$	4,555	$	148,109	$	8,549	$	2,414	$	324,190
Credit risk profile based on payment activity:
Performing	$	55,410	$	83,648	$	4,555	$	144,159	$	6,495	$	2,414	$	296,681
Nonperforming		5,303		16,202		-		3,950		2,054		-		27,509
Total	$	60,713	$	99,850	$	4,555	$	148,109	$	8,549	$	2,414	$	324,190

Credit Quality Indicators

As of December 31, 2011

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
Credit risk profile by internally assigned grade:
Pass	$	28,194	$	86,467	$	4,458	$	118,723	$	6,359	$	2,734	$	246,485
Special mention		7,462		11,331		-		7,455		804		6		27,058
Substandard		27,342		12,823		-		15,710		686		158		56,719
Total	$	62,998	$	110,621	$	4,458	$	141,438	$	7,849	$	2,898	$	330,262
Credit risk profile based on payment activity:
Performing	$	36,437	$	94,759	$	4,458	$	132,508	$	7,681	$	2,892	$	278,735
Nonperforming		26,561		15,862		-		8,930		168		6		51,527
Total	$	62,998	$	110,621	$	4,458	$	141,438	$	7,849	$	2,898	$	330,262

Age analysis of past due loans receivable

Age Analysis of Past Due Loans Receivable

As of June 30, 2012

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
30-59 Days Past Due	$	855	$	4,665	$	-	$	2,612	$	2,002	$	-	$	10,134
60-89 Days Past Due		330		4,228		-		80		32		-		4,670
Greater Than 90 Days Past Due		4,118		7,309		-		1,258		20		-		12,705
Total Past Due		5,303		16,202		-		3,950		2,054		-		27,509
Current		55,410		83,648		4,555		144,159		6,495		2,414		296,681
Total Loans Receivable	$	60,713	$	99,850	$	4,555	$	148,109	$	8,549	$	2,414	$	324,190
Recorded Investment > 90 Days and Accruing		-		-		-		-		-		-		-

Age Analysis of Past Due Loans Receivable

As of December 31, 2011

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
30-59 Days Past Due	$	630	$	4,003	$	-	$	585	$	7	$	-	$	5,225
60-89 Days Past Due		1,117		4,335		-		2,389		-		1		7,842
Greater Than 90 Days Past Due		24,814		7,524		-		5,956		161		5		38,460
Total Past Due		26,561		15,862		-		8,930		168		6		51,527
Current		36,437		94,759		4,458		132,508		7,681		2,892		278,735
Total Loans Receivable	$	62,998	$	110,621	$	4,458	$	141,438	$	7,849	$	2,898	$	330,262
Recorded Investment > 90 Days and Accruing		-		-		-		-		-		-		-

Allowance for loan losses and recorded investment in loans receivable

Allowance for Loan Losses

For the Three Months Ended June 30, 2012

	Construction
	& Land			1-4 Family			Multi-Family		Commercial			Commercial
	Development			Residential			Residential		Real Estate			Business			Consumer			Unallocated			Total
Allowance for loan losses:
Beginning balance	$	3,874		$	2,916		$	13	$	4,502		$	989		$	164		$	675		$	13,133
Charge-offs		(1,303	)		(527	)		-		(461	)		(5	)		(164	)		-			(2,460	)
Recoveries		-			10			-		-			113			2			-			125
Provision		1,711			(236	)		7		(1,292	)		(59	)		2			(23	)		110
Ending balance	$	4,282		$	2,163		$	20	$	2,749		$	1,038		$	4		$	652		$	10,908

Allowance for Loan Losses

For the Three Months Ended June 30, 2011

	Construction
	& Land			1-4 Family			Multi-Family			Commercial			Commercial
	Development			Residential			Residential			Real Estate			Business			Consumer			Unallocated		Total
Allowance for loan losses:
Beginning balance	$	7,184		$	1,944		$	32		$	3,858		$	1,072		$	174		$	1,122	$	15,386
Charge-offs		(1,911	)		(552	)		-			(2,384	)		(1,105	)		(4	)		-		(5,956	)
Recoveries		26			-			-			52			-			2			-		80
Provision		(209	)		(70	)		(2	)		962			726			3			3,090		4,500
Ending balance	$	5,090		$	1,322		$	30		$	2,488		$	693		$	175		$	4,212	$	14,010

Allowance for Loan Losses and Recorded Investment in Loans Receivable

For the Six Months Ended June 30, 2012

	Construction
	& Land			1-4 Family			Multi-Family		Commercial			Commercial
	Development			Residential			Residential		Real Estate			Business			Consumer			Unallocated			Total
Allowance for loan losses:
Beginning balance	$	4,234		$	2,323		$	14	$	4,243		$	636		$	169		$	793		$	12,412
Charge-offs		(2,256	)		(1,241	)		-		(950	)		(149	)		(166	)		-			(4,762	)
Recoveries		-			15			-		62			116			5			-			198
Provision		2,304			1,066			6		(606	)		435			(4	)		(141	)		3,060
Ending balance	$	4,282		$	2,163		$	20	$	2,749		$	1,038		$	4		$	652		$	10,908
Ending balance individually evaluated for impairment	$	3,602		$	1,245		$	-	$	271		$	989		$	-		$	-		$	6,107
Ending balance collectively evaluated for impairment	$	680		$	918		$	20	$	2,478		$	49		$	4		$	652		$	4,801
Loans receivable:
Ending balance	$	60,713		$	99,850		$	4,555	$	148,109		$	8,549		$	2,414		$	-		$	324,190
Ending balance individually evaluated for impairment	$	42,729		$	16,004		$	-	$	27,898		$	3,312		$	-		$	-		$	89,943
Ending balance collectively evaluated for impairment	$	17,984		$	83,846		$	4,555	$	120,211		$	5,237		$	2,414		$	-		$	234,247

Allowance for Loan Losses and Recorded Investment in Loans Receivable

For the Six Months Ended June 30, 2011

	Construction
	& Land			1-4 Family			Multi-Family			Commercial			Commercial
	Development			Residential			Residential			Real Estate			Business			Consumer			Unallocated		Total
Allowance for loan losses:
Beginning balance	$	7,268		$	1,480		$	51		$	4,455		$	637		$	174		$	1,012	$	15,077
Charge-offs		(2,036	)		(610	)		-			(2,384	)		(1,115	)		(16	)		-		(6,161	)
Recoveries		26			8			-			52			-			8			-		94
Provision		(168	)		444			(21	)		365			1,171			9			3,200		5,000
Ending balance	$	5,090		$	1,322		$	30		$	2,488		$	693		$	175		$	4,212	$	14,010
Ending balance individually evaluated for impairment	$	688		$	172		$	-		$	33		$	34		$	160		$	-	$	1,087
Ending balance collectively evaluated for impairment	$	4,402		$	1,150		$	30		$	2,455		$	659		$	15		$	4,212	$	12,923
Loans receivable:
Ending balance	$	66,766		$	114,160		$	4,710		$	151,902		$	12,929		$	3,612		$	-	$	354,079
Ending balance individually evaluated for impairment	$	24,702		$	13,079		$	-		$	37,963		$	68		$	160		$	-	$	75,972
Ending balance collectively evaluated for impairment	$	42,064		$	101,081		$	4,710		$	113,939		$	12,861		$	3,452		$	-	$	278,107

Loans receivable on nonaccrual status

Loans Receivable on Nonaccrual Status

As of June 30, 2012

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
Unpaid Principal Balance	$	8,519	$	9,280	$	-	$	4,114	$	510	$	-	$	22,423

Loans Receivable on Nonaccrual Status

As of December 31, 2011

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
Unpaid Principal Balance	$	23,670	$	8,023	$	-	$	5,956	$	161	$	5	$	37,815

Troubled debt restructurings

Troubled Debt Restructurings

For the Six Months Ended June 30, 2012

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
Troubled Debt Restructurings:
Number of Loans		3		6		-		3		-		-		12
Pre-Modification Principal Balance	$	4,430	$	1,645	$	-	$	1,457	$	-	$	-	$	7,532
Post-Modification Principal Balance	$	2,791	$	1,604	$	-	$	1,455	$	-	$	-	$	5,850
Troubled Debt Restructurings That Subsequently Defaulted:
Number of Loans		1		4		-		2		-		-		7
Current Principal Balance	$	1,814	$	1,292	$	-	$	2,864	$	-	$	-	$	5,970

Troubled Debt Restructurings

For the Six Months Ended June 30, 2011

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
Troubled Debt Restructurings:
Number of Loans		-		9		-		2		-		-		11
Pre-Modification Principal Balance	$	-	$	1,726	$	-	$	11,443	$	-	$	-	$	13,169
Post-Modification Principal Balance	$	-	$	1,660	$	-	$	11,431	$	-	$	-	$	13,091
Troubled Debt Restructurings That Subsequently Defaulted:
Number of Loans		-		1		-		2		-		-		3
Current Principal Balance	$	-	$	673	$	-	$	1,339	$	-	$	-	$	2,012

Troubled Debt Restructurings

For the Three Months Ended June 30, 2012

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
Troubled Debt Restructurings:
Number of Loans		2		1		-		-		-		-		3
Pre-Modification Principal Balance	$	4,163	$	16	$	-	$	-	$	-	$	-	$	4,179
Post-Modification Principal Balance	$	2,524	$	16	$	-	$	-	$	-	$	-	$	2,540
Troubled Debt Restructurings That Subsequently Defaulted:
Number of Loans		-		2		-		-		-		-		2
Current Principal Balance	$	-	$	280	$	-	$	-	$	-	$	-	$	280

Troubled Debt Restructurings

For the Three Months Ended June 30, 2011

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
Troubled Debt Restructurings:
Number of Loans		-		1		-		2		-		-		3
Pre-Modification Principal Balance	$	-	$	54	$	-	$	11,443	$	-	$	-	$	11,497
Post-Modification Principal Balance	$	-	$	54	$	-	$	11,431	$	-	$	-	$	11,485
Troubled Debt Restructurings That Subsequently Defaulted:
Number of Loans		-		-		-		-		-		-		-
Current Principal Balance	$	-	$	-	$	-	$	-	$	-	$	-	$	-

Impaired loans

Impaired Loans

For the Three Months Ended June 30, 2012

	Construction
	& Land			1-4 Family		Multi-Family		Commercial			Commercial
	Development			Residential		Residential		Real Estate			Business		Consumer		Total
Loans With a Valuation Allowance:
Average Recorded Investment	$	1,085		$	470	$	-	$	495		$	374	$	79	$	2,503
Interest Income Recognized	$	14		$	57	$	-	$	(2	)	$	3	$	-	$	72
Loans Without a Valuation Allowance:
Average Recorded Investment	$	655		$	206	$	-	$	1,439		$	10	$	3	$	2,313
Interest Income Recognized	$	(1,202	)	$	80	$	-	$	187		$	-	$	-	$	(935	)
Totals:
Average Recorded Investment	$	1,740		$	676	$	-	$	1,934		$	384	$	82	$	4,816
Interest Income Recognized	$	(1,188	)	$	137	$	-	$	185		$	3	$	-	$	(863	)

Impaired Loans

For the Three Months Ended June 30, 2011

	Construction
	& Land		1-4 Family		Multi-Family		Commercial			Commercial
	Development		Residential		Residential		Real Estate			Business		Consumer		Total
Loans With a Valuation Allowance:
Average Recorded Investment	$	3,089	$	1,372	$	-	$	7,267		$	111	$	-	$	11,839
Interest Income Recognized	$	25	$	4	$	-	$	-		$	-	$	-	$	29
Loans Without a Valuation Allowance:
Average Recorded Investment	$	20,522	$	6,635	$	-	$	11,486		$	-	$	-	$	38,643
Interest Income Recognized	$	42	$	101	$	-	$	(31	)	$	-	$	-	$	112
Totals:
Average Recorded Investment	$	23,611	$	8,007	$	-	$	18,753		$	111	$	-	$	50,482
Interest Income Recognized	$	67	$	105	$	-	$	(31	)	$	-	$	-	$	141

Impaired Loans

As of and For the Six Months Ended June 30, 2012

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
Loans With a Valuation Allowance:
Unpaid Principal Balance	$	5,455	$	3,633	$	-	$	693	$	490	$	-	$	10,271
Related Allowance for Loan Losses	$	562	$	613	$	-	$	242	$	285	$	-	$	1,702
Average Recorded Investment	$	909	$	726	$	-	$	693	$	490	$	-	$	2,818
Interest Income Recognized	$	14	$	77	$	-	$	4	$	8	$	-	$	103
Loans Without a Valuation Allowance:
Unpaid Principal Balance	$	3,329	$	11,283	$	-	$	21,773	$	20	$	-	$	36,405
Related Allowance for Loan Losses	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Average Recorded Investment	$	277	$	198	$	-	$	1,281	$	20	$	-	$	1,776
Interest Income Recognized	$	18	$	197	$	-	$	476	$	-	$	-	$	691
Totals:
Unpaid Principal Balance	$	8,784	$	14,916	$	-	$	22,466	$	510	$	-	$	46,676
Related Allowance for Loan Losses	$	562	$	613	$	-	$	242	$	285	$	-	$	1,702
Average Recorded Investment	$	1,186	$	924	$	-	$	1,974	$	510	$	-	$	4,594
Interest Income Recognized	$	32	$	274	$	-	$	480	$	8	$	-	$	794

Impaired Loans

As of and For the Year Ended December 31, 2011

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
Loans With a Valuation Allowance:
Unpaid Principal Balance	$	6,214	$	3,658	$	-	$	1,013	$	-	$	-	$	10,885
Related Allowance for Loan Losses	$	405	$	560	$	-	$	130	$	-	$	-	$	1,095
Average Recorded Investment	$	4,986	$	2,963	$	-	$	7,168	$	260	$	80	$	15,457
Interest Income Recognized	$	116	$	179	$	-	$	50	$	-	$	-	$	345
Loans Without a Valuation Allowance:
Unpaid Principal Balance	$	17,457	$	11,433	$	286	$	22,701	$	661	$	163	$	52,701
Related Allowance for Loan Losses	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Average Recorded Investment	$	19,828	$	11,627	$	288	$	19,061	$	330	$	81	$	51,215
Interest Income Recognized	$	293	$	551	$	24	$	1,112	$	39	$	6	$	2,025
Totals:
Unpaid Principal Balance	$	23,671	$	15,091	$	286	$	23,714	$	661	$	163	$	63,586
Related Allowance for Loan Losses	$	405	$	560	$	-	$	130	$	-	$	-	$	1,095
Average Recorded Investment	$	24,814	$	14,590	$	288	$	26,229	$	590	$	161	$	66,672
Interest Income Recognized	$	409	$	730	$	24	$	1,162	$	39	$	6	$	2,370

Impaired Loans

As of and For the Six Months Ended June 30, 2011

	Construction
	& Land		1-4 Family		Multi-Family		Commercial		Commercial
	Development		Residential		Residential		Real Estate		Business		Consumer		Total
Loans With a Valuation Allowance:
Unpaid Principal Balance	$	1,989	$	663	$	-	$	-	$	-	$	-	$	2,652
Related Allowance for Loan Losses	$	344	$	20	$	-	$	-	$	-	$	-	$	364
Average Recorded Investment	$	2,874	$	1,056	$	-	$	4,998	$	-	$	-	$	8,928
Interest Income Recognized	$	25	$	10	$	-	$	-	$	-	$	-	$	35
Loans Without a Valuation Allowance:
Unpaid Principal Balance	$	16,892	$	5,769	$	-	$	13,528	$	-	$	-	$	36,189
Related Allowance for Loan Losses	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Average Recorded Investment	$	19,053	$	6,377	$	-	$	12,275	$	-	$	-	$	37,705
Interest Income Recognized	$	101	$	101	$	-	$	28	$	-	$	-	$	230
Totals:
Unpaid Principal Balance	$	18,881	$	6,432	$	-	$	13,528	$	-	$	-	$	38,841
Related Allowance for Loan Losses	$	344	$	20	$	-	$	-	$	-	$	-	$	364
Average Recorded Investment	$	21,927	$	7,433	$	-	$	17,273	$	-	$	-	$	46,633
Interest Income Recognized	$	126	$	111	$	-	$	28	$	-	$	-	$	265