OTHER REAL ESTATE OWNED

12 Months Ended

Dec. 31, 2015

OTHER REAL ESTATE OWNED [Abstract]

OTHER REAL ESTATE OWNED

5.  OTHER REAL ESTATE OWNED

At December 31, 2015 and 2014, the Company had other real estate owned, net of valuation allowances, totaling $563 thousand and $1.3 million, respectively.

The following table shows the activity in other real estate owned, excluding the valuation allowance, for the years ended December 31,

(In thousands)	2015			2014
Balance, beginning of year	$	3,744		$	3,961
OREO properties added		233			744
Sales during year		(744	)		(961	)
Balance, end of year	$	3,233		$	3,744

The following table shows the activity in the valuation allowance for the years ended December 31,

(In thousands)	2015		2014		2013
Balance, beginning of year	$	2,420	$	2,020	$	1,010
Additions charged to expense		250		400		1,010
Direct writedowns		—		—		—
Balance, end of year	$	2,670	$	2,420	$	2,020

The following table shows expenses related to other real estate owned for the years ended December 31,

(In thousands)	2015		2014			2013
Net (gain)/loss on sales	$	—	$	(139	)	$	(85	)
Provision for unrealized losses		250		400			1,010
Operating expenses, net of rental income		51		179			179
Total	$	301	$	440		$	1,104