Mortgage Servicing Rights

9 Months Ended

Sep. 30, 2011

Mortgage Servicing Rights [Abstract]

Mortgage Servicing Rights

Note 10 – Mortgage Servicing Rights

The following tables summarize the activity in, and the main assumptions we used to determine the fair value of mortgage servicing rights for the periods indicated (dollars in thousands):

	Three months ended September 30,						NIne months ended September 30,
	2011			2010			2011			2010
Mortgage servicing rights:
Balance at beginning of period	$	4,818		$	4,033		$	4,605		$	4,089
Additions		220			481			655			1,043
Change in fair value		(800	)		(609	)		(1,022	)		(1,227	)
Balance at end of period	$	4,238		$	3,905		$	4,238		$	3,905
Servicing, late and ancillary fees received	$	375		$	323		$	1,106		$	945
Balance of loans serviced at:
Beginning of period	$	584,113		$	527,436		$	573,300		$	505,947
End of period	$	582,011		$	542,386		$	582,011		$	542,386
Weighted-average prepayment speed (CPR)								21.0	%		20.2	%
Discount rate								9.0	%		9.0	%

The changes in fair value of MSRs that occurred during the three and nine months ended September 30, 2011 and 2010 were mainly due to principal reductions and changes in estimated life of the MSRs.