24.	QUARTERLY FINANCIAL INFORMATION (UNAUDITED)

The following table presents summarized quarterly data for each of the years indicated.

	Unaudited
	First			Second		Third		Fourth
2017:	Quarter			Quarter		Quarter		Quarter			Total
	(Dollars in thousands, except per share data)
Interest income	$	21,060		$	23,553	$	24,048	$	24,849		$	93,510
Interest expense		2,584			3,059		3,545		3,969			13,157
Net interest income		18,476			20,494		20,503		20,880			80,353
Provision for loan losses		1,475			842		721		1,215			4,253
Net interest income after provision for loan losses		17,001			19,652		19,782		19,665			76,100
Non-interest income		5,384			7,090		6,305		6,460			25,239
Non-interest expenses		20,290	⁽¹⁾		15,176		15,464		17,329	⁽²⁾		68,259
Income before taxes		2,095			11,566		10,623		8,796			33,080
Income tax expense		557			3,377		3,067		4,294	⁽³⁾		11,295
Net income	$	1,538		$	8,189	$	7,556	$	4,502		$	21,785
Earnings per share:
Basic earnings	$	0.03		$	0.16	$	0.15	$	0.09		$	0.44
Diluted earnings		0.03			0.16		0.15		0.09			0.44

^1.

Non-interest expense was higher for the first quarter of 2017 as a result of the recognition of $5.0 million associated with the Ohio Legacy acquisition discussed above.

^2.

During the fourth quarter 2017, the Company recognized a $2.3 million other asset impairment charge. In 2003, Home Savings entered into two development loans on which the borrower subsequently filed bankruptcy, and a Court appointed receiver liquidated the collateral. The proceeds from the sale of the collateral have remained in escrow with the Court since 2007 as a number of competing claims were made against the proceeds. In 2011, a lower court affirmed Home Savings' priority position in the proceeds, and its lien validity was affirmed by the same Court in 2016. However, in December 2017, an Appellate Court ruled that a portion of the proceeds should be awarded to another claimant. The $2.3 million charge reflects the Appellate court ruling. It is the Company’s intent to continue to pursue a full recovery.

^3.

Includes $1.5 million in additional tax expense due to the remeasurement of net deferred tax assets as part of the Tax Cuts and Job Act.

	Unaudited
	First		Second		Third		Fourth
2016:	Quarter		Quarter		Quarter		Quarter			Total
	(Dollars in thousands, except per share data)
Interest income	$	17,020	$	17,399	$	17,815	$	18,495		$	70,729
Interest expense		2,147		2,065		2,055		2,161			8,428
Net interest income		14,873		15,334		15,760		16,334			62,301
Provision for loan losses		2,155		395		1,344		1,493			5,387
Net interest income after provision for loan losses		12,718		14,939		14,416		14,841			56,914
Non-interest income		4,658		5,780		6,003		5,635			22,076
Non-interest expenses		12,464		12,860		12,978		13,717	⁽¹⁾		52,019
Income before taxes		4,912		7,859		7,441		6,759			26,971
Income tax expense (benefit)		1,592		2,529		2,288		1,734			8,143
Net income	$	3,320	$	5,330	$	5,153	$	5,025		$	18,828
Earnings per share:
Basic earnings	$	0.07	$	0.11	$	0.11	$	0.11		$	0.40
Diluted earnings		0.07		0.11		0.11		0.11			0.40

^1.

Non-interest expense was higher for the fourth quarter of 2016 as a result of the recognition of $787,000 in merger related expenses associated with the Ohio Legacy acquisition discussed above.