RESTRICTED CASH BALANCES

12 Months Ended

Dec. 31, 2011

RESTRICTED CASH BALANCES

RESTRICTED CASH BALANCES

NOTE 2—RESTRICTED CASH BALANCES

        The Company is required to maintain reserve balances with the Federal Reserve Bank, or FRB. Such reserve requirements are based on a percentage of deposit liabilities and may be satisfied by cash on hand. The average reserves required to be held at the FRB for the years ended December 31, 2011 and 2010 were $2.2 million and $1.2 million.