Allowance for Loan Losses (Tables)

3 Months Ended

Mar. 31, 2013

Allowance for Loan Losses [Abstract]

Allowance for loan losses

Allowance for loan losses as of March 31, 2013 and 2012 are summarized as follows:

(in thousands)	Construction		Land, Farm & Ag Loans		Residential			Commercial & Non- Residential Real Estate			Consumer			C&I		Multi- Family			Total
Allowance for credit losses:
Beginning balance December 31, 2012	$	115	$	373	$	6,980		$	2,011		$	162		$	1,075	$	1,431		$	12,147
Charge-offs		0		0		(633	)		(105	)		(115	)		0		(5	)		(858	)
Recoveries		0		1		120			1			21			0		0			143
Provision		7		44		213			(230	)		162			117		(213	)		100
Ending balance March 31, 2013	$	122	$	418	$	6,680		$	1,677		$	230		$	1,192	$	1,213		$	11,532
Ending balance
Individually evaluated for impairment	$	0	$	65	$	612		$	178		$	68		$	21	$	347		$	1,291
Collectively evaluated for impairment		122		353		6,068			1,499			162			1,171		866			10,241
Portfolio balances:
Individually evaluated for impairment
With no related allowance	$	13	$	458	$	635		$	990		$	0		$	65	$	0		$	2,161
With related allowance		0		225		11,268			2,709			487			98		6,095			20,882
Collectively evaluated for impairment		13,792		10,331		254,010			129,255			3,571			46,926		74,252			532,137
Ending balance March 31, 2013	$	13,805	$	11,014	$	265,913		$	132,954		$	4,058		$	47,089	$	80,347		$	555,180

(in thousands)	Construction		Land, Farm & Ag Loans		Residential			Commercial & Non- Residential		Consumer			C&I			Multi- Family			Total
Allowance for credit losses:
Beginning balance December 31, 2011	$	35	$	554	$	8,277		$	2,565	$	80		$	537		$	2,484		$	14,532
Charge-offs		0		0		(634	)		0		0			(46	)		(11	)		(691	)
Recoveries		0		1		50			10		0			39			8			108
Provision		393		488		(727	)		1,781		(32	)		35			(933	)		1,005
Ending balance March 31, 2012	$	428	$	1,043	$	6,966		$	4,356	$	48		$	565		$	1,548		$	14,954
Ending balance
Individually evaluated for impairment	$	4	$	373	$	424		$	395	$	12		$	27		$	412		$	1,647
Collectively evaluated for impairment	$	424	$	670	$	6,542		$	3,961	$	36		$	538		$	1,136		$	13,307
Portfolio balances:
Individually evaluated for impairment
With no related allowance		0		0		788			887		0			107			0			1,782
With related allowance		18		1,197		9,012			6,538		123			380			4,611			21,879
Collectively evaluated for impairment	$	23,155	$	12,686	$	297,467		$	157,537	$	3,410		$	37,208		$	77,000		$	608,463
Ending balance March 31, 2012	$	23,173	$	13,883	$	306,267		$	163,962	$	3,533		$	37,695		$	81,611		$	630,124

Non-accrual loans

The following table details non-accrual loans at March 31, 2013 and December 31, 2012:

(in thousands)	2013		2012
Construction	$	13	$	14
Land, Farmland, Agriculture		673		709
Residential / prime		7,063		7,152
Residential / subprime		9,028		9,195
Commercial / Non-residential		1,292		1,967
Consumer		513		491
Commercial and industrial		65		66
Multi Family		0		0
Total	$	18,647	$	19,594

Age analysis of past due loans

An age analysis of past due loans, segregated by class of loans were as follows:

March 31, 2013	Loans 30-59 Days Past Due		Loans 60 - 89 Days Past Due		Loans 90+ Days Past Due		Total Past Due		Current		Total Loans		Accruing Loans 90 Days Past Due
(in thousands)
Construction	$	0	$	0	$	0	$	0	$	13,805	$	13,805	$	0
Land, Farmland, Ag Loans		64		32		119		215		10,799		11,014		0
Residential / prime		1,555		229		4,950		6,734		202,429		209,163		0
Residential / subprime		1,635		428		5,380		7,443		49,307		56,750		0
Commercial		516		0		990		1,506		131,448		132,954		0
Consumer		2		2		124		128		3,930		4,058		0
Commercial and industrial		0		0		65		65		47,024		47,089		0
Multi Family		0		0		0		0		80,347		80,347		0
Total	$	3,772	$	691	$	11,628	$	16,091	$	539,089	$	555,180	$	0
December 31, 2012	Loans 30-59 Days Past Due		Loans 60 - 89 Days Past Due		Loans 90+ Days Past Due		Total Past Due		Current		Total Loans		Accruing Loans 90 Days Past Due
(in thousands)
Construction	$	0	$	0	$	0	$	0	$	13,815	$	13,815	$	0
Land, Farmland, Ag Loans		65		32		119		216		13,786		14,002		0
Residential / prime		2,316		906		5,212		8,434		210,217		218,651		0
Residential / subprime		2,509		1,181		4,562		8,252		48,993		57,245		0
Commercial		0		0		1,095		1,095		135,784		136,879		0
Consumer		100		1		28		129		3,919		4,048		0
Commercial and industrial		0		0		66		66		42,028		42,094		0
Multi Family		227		0		0		227		79,761		79,988		0
Total	$	5,217	$	2,120	$	11,082	$	18,419	$	548,303	$	566,722	$	0

Impaired loans

Impaired loans are set forth in the following table:

	Recorded Investment		Unpaid Principal Balance		Related Allowance		Recorded Investment		Unpaid Principal Balance		Related Allowance
(in thousands)	March 31, 2013						December 31, 2012
With no related allowance recorded:
Construction	$	13	$	13	$	0	$	14	$	14	$	0
Land, Farmland, Ag Loans		458		873		0		558		972		0
Residential		635		802		0		639		804		15
Commercial		990		1,115		0		1,095		1,121		0
Consumer		0		0		0		0		0		0
Commercial and industrial		65		65		0		66		65		0
Multi Family		0		0		0		0		0		0
Total	$	2,161	$	2,868	$	0	$	2,372	$	2,976	$	15
With a related specific allowance recorded:
Construction	$	0	$	0	$	0	$	0	$	0	$	0
Land, Farmland, Ag Loans		225		225		65		230		230		68
Residential		11,268		11,381		612		11,377		11,462		433
Commercial		2,709		2,709		178		2,735		2,735		295
Consumer		487		513		68		496		529		40
Commercial and industrial		98		98		21		107		107		25
Multi Family		6,095		6,095		347		6,120		6,120		416
Total	$	20,882	$	21,021	$	1,291	$	21,065	$	21,183	$	1,277

	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Investment Income Recognized
(in thousands)	3 Months Ended March 31, 2013				3 Months Ended March 31, 2012
With no related allowance recorded:
Construction	$	14	$	1	$	18	$	0
Land, Farmland, Ag Loans		508		22		0		0
Residential		637		0		831		0
Commercial		1,043		12		888		0
Consumer		0		0		0		0
Commercial and industrial		65		0		107		0
Multi Family		0		0		0		0
Total	$	2,267	$	35	$	1,844	$	0
With a related specific allowance recorded:
Construction	$	0	$	0	$	0	$	0
Land, Farmland, Ag Loans		228		18		1,200		4
Residential		11,323		428		9,049		83
Commercial		2,722		153		6,575		95
Consumer		491		17		125		2
Commercial and industrial		102		7		389		5
Multi Family		6,107		315		4,622		53
Total	$	20,973	$	938	$	21,960	$	242

Non-homogenous loans and leases

Based on the most recent analysis performed, the risk category of non-homogenous loans and leases is as follows:

	(In Thousands)
March 31, 2013	Pass		Watch		Special Mention		Substandard		Total(1)
Construction	$	9,293	$	4,499	$	0	$	13	$	13,805
Land, Farmland, Ag Loans		9,599		581		0		834		11,014
Commercial		106,812		14,699		6,086		5,357		132,954
Commercial and industrial		46,309		617		0		163		47,089
Multi Family		70,406		3,121		3,386		3,434		80,347
Total	$	242,419	$	23,517	$	9,472	$	9,801	$	285,209

December 31, 2012	Pass		Watch		Special Mention		Substandard		Total(1)
Construction	$	10,586	$	3,215	$	0	$	14	$	13,815
Land, Farmland, Ag Loans		13,063		0		0		939		14,002
Commercial		107,065		17,137		6,479		6,198		136,879
Commercial and industrial		39,666		2,256		0		172		42,094
Multi Family		65,142		7,762		3,409		3,675		79,988
Total	$	235,522	$	30,370	$	9,888	$	10,998	$	286,778

⁽¹⁾  There were no doubtful loans as of March 31, 2013 or December 31, 2012.

Loans modified in a TDR

The following presents by class, information related to loans modified in a TDR during the three months ended March 31, 2013.

	Loans Modified as a TDR for the
	Three Months Ended March 31, 2013
			Recorded
Troubled Debt Restructurings (1)	Number of		Investment
(dollars in thousands)	Contracts		(as of period end)(1)
Residential—prime		3	$	774
Residential—subprime		2		348
Multi-Family		2		3,406
Consumer Other		1		3
Total		8	$	4,531

⁽¹⁾  The period end balances are inclusive of all partial pay downs and charge-offs since the modification date. Loans modified in a TDR that were fully paid down, charged-off, or foreclosed upon by period end are not reported. In 2013, Advantage did not provide any debt forgiveness or charge-off related to modifications.

The following presents by class, information related to loans modified in a TDR during the three months ended March 31, 2012.

	Loans Modified as a TDR for the
	Three Months Ended March 31, 2012
			Recorded
Troubled Debt Restructurings (1)	Number of		Investment
(dollars in thousands)	Contracts		(as of period  end)(1)
Residential—prime		5	$	247
Residential—subprime		1		22
Commercial		1		300
Consumer Other		1		8
Total		8	$	577

⁽¹⁾  The period end balances are inclusive of all partial pay downs and charge-offs since the modification date. Loans modified in a TDR that were fully paid down, charged-off, or foreclosed upon by period end are not reported.

The following presents by class, loans modified in a TDR from April 1, 2012 through March 31, 2013 that subsequently defaulted (i.e., 60 days or more past due following a modification) during the three months ended March 31, 2013.

	Loans Modified as a TDR
	Within the Previous Twelve Months
	That Subsequently Defaulted During the
	Twelve Months Ended March 31, 2013
			Recorded
Troubled Debt Restructurings (1)	Number of		Investment
(dollars in thousands)	Contracts		(as of period end)  (1)
Land, farm & Ag loans		1	$	64
Residential—prime		2		135
Residential—subprime		5		397
Total		8	$	596

⁽¹⁾  The period end balances are inclusive of all partial pay downs and charge-offs since the modification date. Loans modified in a TDR that were fully paid down, charged-off, or foreclosed upon by period end are not reported.

The following presents by class, loans modified in a TDR from April 1, 2011 through March 31, 2012 that subsequently defaulted (i.e., 60 days or more past due following a modification) during the three months ended March 31, 2012.

	Loans Modified as a TDR
	Within the Previous Twelve Months
	That Subsequently Defaulted During the
	Twelve Months Ended March 31, 2012
			Recorded
Troubled Debt Restructurings (1)	Number of		Investment
(dollars in thousands)	Contracts		(as of period end)  (1)
Residential—subprime		1	$	102
Commercial and Industrial		1		52
Total		2	$	154

⁽¹⁾ The period end balances are inclusive of all partial pay downs and charge-offs since the modification date. Loans modified in a TDR that were fully paid down, charged-off, or foreclosed upon by period end are not reported.