Fair Value (Tables)

6 Months Ended

Jun. 30, 2012

Estimated Fair Values of Financial Instruments

The estimated fair values of the Company’s financial instruments are as follows:

(In thousands)	June 30, 2012				December 31, 2011
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Financial assets
Cash and due from banks	$	47,166	$	47,166	$	4,255	$	4,255
Interest-bearing deposits with banks		164		164		14,758		14,758
Federal funds sold		—		—		33,700		33,700
Securities, available for sale		82,552		82,552		57,105		57,105
Securities, held to maturity		12,824		13,500		12,950		13,662
Restricted equity securities		615		615		592		592
Total loans		119,924		122,683		130,158		132,837
Accrued interest receivable		827		827		824		824
Bank Owned Life Insurance		6,322		6,322		5,437		5,437
Financial liabilities
Deposits		246,437		248,768		232,411		234,816
Accrued interest payable		89		89		88		88
Off-balance sheet assets (liabilities)
Commitments to extend credit and standby letter of credit		—		14,030		—		11,912

Assets and Liabilities Measured at Fair Value on Recurring Basis

The table below presents the recorded amount of assets and liabilities measured at fair value on a recurring basis.

(In thousands)
June 30, 2012	Total		Level 1		Level 2		Level 3
Government sponsored enterprises	$	5,947	$	—	$	5,947	$	—
State and municipal securities		7,275		584		6,691		—
Mortgage-backed securities		67,228		—		67,228		—
Other securities		2,102		—		2,102		—
Total assets at fair value	$	82,552	$	584	$	81,968	$	—
(In thousands)
December 31, 2011	Total		Level 1		Level 2		Level 3
Government sponsored enterprises	$	1,952	$	—	$	1,952	$	—
State and municipal securities		5,493		355		5,138		—
Mortgage-backed securities		46,928		—		46,928		—
Other securities		2,732		—		2,732		—
Total assets at fair value	$	57,105	$	355	$	56,750	$	—

Assets Measured at Fair Value on Nonrecurring Basis

Assets measured at fair value on a nonrecurring basis are included in the table below:

(In thousands)
June 30, 2012	Total		Level 1		Level 2		Level 3
Loans:
Commercial	$	—	$	—	$	—	$	—
Real Estate
Construction and land development		1,891		—		1,891		—
Residential, 1-4 families		—		—		—		—
Nonfarm, nonresidential		4,186		—		4,186		—
Impaired Loans		6,077		—		6,077		—
Foreclosed assets		3,517		—		3,517		—
Total assets at fair value	$	9,594	$	—	$	9,594	$	—
(In thousands)
December 31, 2011	Total		Level 1		Level 2		Level 3
Loans:
Real Estate
Construction and land development	$	2,613	$	—	$	2,613	$	—
Residential, 1-4 families		539		—		539		—
Nonfarm, nonresidential		4,372		—		4,372		—
Impaired Loans		7,524		—		7,524		—
Foreclosed assets		3,418		—		3,418		—
Total assets at fair value	$	10,942	$	—	$	10,942	$	—