ALLOWANCE FOR LOAN LOSSES (Tables)

6 Months Ended

Jun. 30, 2014

Schedule of Aging Analysis of Loans

The following table provides an analysis of the aging of loans as of the dates presented (dollars in thousands):

	June 30, 2014
	Past Due and Accruing						Non- accrual		Total Past Due & Non- accrual		Current		Total Loans
	30-59 days		60-89 days		90 or more days
Construction and development	$	167	$	—	$	—	$	455	$	622	$	59,711	$	60,333
1-4 Family		377		—		—		392		769		124,477		125,246
Multifamily		—		—		—		—		—		17,706		17,706
Farmland		—		—		—		—		—		2,282		2,282
Nonfarm, nonresidential		—		—		—		119		119		191,701		191,820
Total real estate loans		544		—		—		966		1,510		395,877		397,387
Commercial and industrial		—		—		—		185		185		34,593		34,778
Consumer		70		126		—		159		355		131,455		131,810
Total	$	614	$	126	$	—	$	1,310	$	2,050	$	561,925	$	563,975

	December 31, 2013
	Past Due and Accruing						Non- accrual		Total Past Due & Non- accrual		Current		Total Loans
	30-59 days		60-89 days		90 or more days
Construction and development	$	62	$	34	$	—	$	891	$	987	$	62,183	$	63,170
1-4 Family		81		—		—		141		222		104,463		104,685
Multifamily		—		—		—		—		—		14,286		14,286
Farmland		—		—		—		—		—		830		830
Nonfarm, nonresidential		122		—		—		187		309		157,054		157,363
Total real estate loans		265		34		—		1,219		1,518		338,816		340,334
Commercial and industrial		—		—		—		119		119		32,546		32,665
Consumer		120		27		—		151		298		130,798		131,096
Total	$	385	$	61	$	—	$	1,489	$	1,935	$	502,160	$	504,095

Schedule of Allowance for Loan Losses

An analysis of the allowance for loan losses is as follows as of the dates presented (dollars in thousands):

	June 30, 2014			December 31, 2013
Balance, beginning of period	$	3,380		$	2,722
Provision for loan losses		693			1,026
Loans charged-off		(218	)		(389	)
Recoveries		27			21
Balance, end of period	$	3,882		$	3,380

Summary of Allowance for Loan Losses

The following tables outline the changes in the allowance for loan losses by collateral type, the allowances for loans individually and collectively evaluated for impairment, and the amount of loans individually and collectively evaluated for impairment as of and for the six months ended June 30, 2014 and the year ended December 31, 2013 (dollars in thousands):

	June 30, 2014
	Construction & Development		Farmland		1-4 Family			Multifamily		Nonfarm, Nonresidential			Commercial & Industrial			Consumer			Total
Allowance for loan losses:
Beginning balance	$	420	$	4	$	567		$	101	$	992		$	397		$	899			3,380
Charge-offs		—		—		(30	)		—		(3	)		(16	)		(169	)		(218	)
Recoveries		1		—		1			—		—			—			25			27
Provision		46		7		141			19		429			(88	)		139			693
Ending balance	$	467	$	11	$	679		$	120	$	1,418		$	293		$	894		$	3,882
Ending allowance balance for loans individually evaluated for impairment		—		—		—			—		—			—			64			64
Ending allowance balance for loans collectively evaluated for impairment	$	467	$	11	$	679		$	120	$	1,418		$	293		$	830		$	3,818
Ending allowance balance for loans acquired with deteriorated credit quality	$	—	$	—	$	—		$	—	$	—		$	—		$	—		$	—
Loans receivable:
Balance of loans individually evaluated for impairment	$	1,079	$	—	$	1,481		$	1,034	$	244		$	193		$	207		$	4,238
Balance of loans collectively evaluated for impairment		59,254		2,282		123,765			16,672		191,576			34,585			131,603			559,737
Total period-end balance	$	60,333	$	2,282	$	125,246		$	17,706	$	191,820		$	34,778		$	131,810		$	563,975
Balance of loans acquired with deteriorated credit quality	$	1,162	$	—	$	1,021		$	1,034	$	—		$	—		$	48		$	3,265

	December 31, 2013
	Construction & Development		Farmland		1-4 Family		Multifamily		Nonfarm, Nonresidential		Commercial & Industrial			Consumer			Total
Allowance for loan losses:
Beginning balance	$	276	$	—	$	415	$	17	$	977	$	333		$	704			2,722
Charge-offs		—		—		—		—		—		(118	)		(271	)		(389	)
Recoveries		—		—		—		—		—		—			21			21
Provision		144		4		152		84		15		182			445			1,026
Ending balance	$	420	$	4	$	567	$	101	$	992	$	397		$	899		$	3,380
Ending allowance balance for loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—		$	37		$	37
Ending allowance balance for loans collectively evaluated for impairment	$	420	$	4	$	567	$	101	$	992	$	397		$	862		$	3,343
Ending allowance balance for loans acquired with deteriorated credit quality	$	—	$	—	$	—	$	—	$	—	$	—		$	—		$	—
Loans receivable:
Balance of loans individually evaluated for impairment	$	1,409	$	—	$	1,018	$	967	$	545	$	122		$	151		$	4,212
Balance of loans collectively evaluated for impairment	$	61,761	$	830	$	103,667	$	13,319	$	156,818	$	32,543		$	130,945		$	499,883
Total period-end balance	$	63,170	$	830	$	104,685	$	14,286	$	157,363	$	32,665		$	131,096		$	504,095
Balance of loans acquired with deteriorated credit quality	$	1,477	$	—	$	996	$	967	$	545	$	—		$	47		$	4,032

Summary of TDR Pre- and Post-modification Outstanding Recorded Investments by Loan Categories

The following table presents the TDR pre- and post-modification outstanding recorded investments by loan categories as of the dates presented (dollars in thousands):

	June 30, 2014						December 31, 2013
Troubled debt restructurings	Number of Contracts		Pre- Modification Outstanding Recorded Investment		Post- Modification Outstanding Recorded Investment		Number of Contracts		Pre- Modification Outstanding Recorded Investment		Post- Modification Outstanding Recorded Investment
Other Construction Loans		3	$	473	$	473		2	$	454	$	454
Commercial Real Estate: Non-owner occupied		1		358		358		1		358		358
Commercial & Industrial		1		2		2		1		3		3
Consumer		1		48		48		0		—		—
			$	881	$	881			$	815	$	815

Impaired Loans [Member]

Schedule of Aging Analysis of Loans

The average balances are calculated based on the month-end balances of the loans during the period reported (dollars in thousands).

	As of and for the six months ended June 30, 2014
	Recorded Investment		Unpaid Principal Balance		Related Allowance		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded:
Construction and development	$	1,080	$	1,079	$	—	$	1,091	$	21
1-4 Family residential		1,488		1,481		—		1,470		30
Multifamily		1,041		1,034		—		1,012		31
Nonfarm, nonresidential		246		244		—		249		6
Total		3,855		3,838		—		3,822		88
Commercial and industrial		193		193		—		448		—
Consumer		78		77		—		81		4
Total		4,126		4,108		—		4,351		92
With related allowance recorded:
Consumer		130		130		64		137		—
Total		130		130		64		137		—
Total loans:
Construction and development		1,080		1,079		—		1,091		21
1-4 Family residential		1,488		1,481		—		1,470		30
Multifamily		1,041		1,034		—		1,012		31
Nonfarm, nonresidential		246		244		—		249		6
Total		3,855		3,838		—		3,822		88
Commercial and industrial		193		193		—		448		—
Consumer		208		207		64		218		4
Total	$	4,256	$	4,238	$	64	$	4,488	$	92

	As of and for the year ended December 31, 2013
	Recorded Investment		Unpaid Principal Balance		Related Allowance		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded:
Construction and development	$	1,649	$	1,409	$	—	$	1,425	$	25
1-4 Family residential		1,040		1,018		—		1,025		45
Multifamily		969		967		—		910		671
Nonfarm, nonresidential		555		545		—		563		19
Total		4,213		3,939		—		3,923		760
Commercial & industrial		140		122		—		133		—
Consumer		21		18		—		76		2
Total		4,374		4,079		—		4,132		762
With related allowance recorded:
Consumer		136		133		37		138		5
Total		136		133		37		138		5
Total loans:
Construction and development		1,649		1,409		—		1,425		25
1-4 Family residential		1,040		1,018		—		1,025		45
Multifamily		969		967		—		910		671
Nonfarm, nonresidential		555		545		—		563		19
Total		4,213		3,939		—		3,923		760
Commercial and industrial		140		122		—		133		—
Consumer		157		151		37		214		7
Total	$	4,510	$	4,212	$	37	$	4,270	$	767