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COMMITMENTS, OFF-BALANCE SHEET RISKS AND CONTINGENCIES
 12 Months Ended
Dec. 31, 2011
Notes to Financial Statements [Abstract]  
COMMITMENTS, OFF-BALANCE SHEET RISKS AND CONTINGENCIES
NOTE 19 - COMMITMENTS, OFF-BALANCE SHEET RISKS AND CONTINGENCIES

During the normal course of business, the Company becomes a party to financial instruments with off-balance sheet risk in order to meet the financing needs of its customers. These financial instruments include commitments to make loans and open-ended revolving lines of credit. Amounts as of years ended December 31, 2011 and 2010, were as follows:


     2011    2010 
   
Fixed
  
Variable
  
Fixed
  
Variable
 
   
Rate
  
Rate
  
Rate
  
Rate
 
        (in thousands)    
Commercial loan lines of credit
 $44,800  $651,767  $49,750  $725,069 
Commercial letters of credit
  0   984   0   1,474 
Standby letters of credit
  0   39,614   23,914   16,227 
Real estate mortgage loans
  10,744   3,145   8,260   386 
Real estate construction mortgage loans
  1,040   2,809   126   571 
Home equity mortgage open-ended revolving lines
  0   126,982   0   119,242 
Consumer loan open-ended revolving lines
  31   5,086   0   4,746 
  Total
 $56,615  $830,387  $82,050  $867,715 
 
       The index on variable rate commercial loan commitments is principally the Company’s base rate, which is the national prime rate. Interest rate ranges on commitments and open-ended revolving lines of credit for years ended December 31, 2011 and 2010, were as follows:


    2011    2010 
 
Fixed
 
Variable
 
Fixed
 
Variable
 
 
Rate
 
Rate
 
Rate
 
Rate
 
     
Commercial loan
1.00-10.00
%
2.00-7.50
%
2.60-10.50
%
1.27-8.85
%
Real estate mortgage loan
3.00-5.50
%
2.88-5.00
%
3.63-5.25
%
5.25-6.00
%
Consumer loan open-ended revolving line
N/A
 
2.09-15.00
%
N/A
 
2.09-15.00
%

Commitments, excluding open-ended revolving lines, generally have fixed expiration dates of one year or less. Open-ended revolving lines are monitored for proper performance and compliance on a monthly basis. Since many commitments expire without being drawn upon, the total commitment amount does not necessarily represent future cash requirements. The Company follows the same credit policy (including requiring collateral, if deemed appropriate) to make such commitments as it follows for those loans that are recorded in its financial statements.

The Company’s exposure to credit losses in the event of nonperformance is represented by the contractual amount of the commitments. Management does not expect any significant losses as a result of these commitments.