Loans Held-For-Sale

6 Months Ended

Jun. 30, 2013

Note 6. Loans Held-For-Sale

Activity relating to our loans held-for-sale for the six months ended June 30, 2013 was as follows ($ in thousands):


	Gross Book Value		Valuation Allowance			Net Book Value

December 31, 2012	$	—	$	—		$	—

Reclassification from loans receivable		6,601		(4,601	)		2,000
Valuation allowance on loans held-for-sale		—		1,800			1,800

June 30, 2013	$	6,601	($	2,801	)	$	3,800

During the first quarter of 2013, we reclassified a $6.6 million subordinate mortgage loan and its related $4.6 million reserve for loan losses to loans held-for-sale. During the six months ended June 30, 2013, we recorded a $1.8 million valuation adjustment to reflect this loan at its approximate fair value as of June 30, 2013.