Discontinued Operations

6 Months Ended

Jun. 30, 2011

DISCONTINUED OPERATIONS [Abstract]

Discontinued Operations

Note 12 – Discontinued Operations

LCNB sold its insurance agency subsidiary on March 23, 2011 and therefore its financial results are reported in the income statements as income from discontinued operations, net of taxes.  Income from discontinued operations for the six months ended June 30, 2011 include the gain recognized from the sale less certain related closing costs, taxes, and a curtailment expense recognized in LCNB's nonqualified defined benefit retirement plan due to the sale.  The following table summarizes income from discontinued operations for the periods indicated (in thousands):

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2011			2010			2011			2010
Dakin Insurance Agency financial results:
Revenue	$	-			424			381			845
Non-interest expenses		(2	)		322			301			635
Income from operations before income taxes		2			102			80			210
Gain from sale of insurance agency		-			-			1,503			-
Closing costs related to sale		(13	)		-			(60	)		-
Curtailment expense on nonqualified defined benefit retirement plan		-			-			(191	)		-
Provision for income taxes		(20	)		(35	)		(539	)		(72	)
Total income (loss) from discontinued operations, net of taxes		(31	)		67			793			138