6. Fair Value (Tables)

3 Months Ended

Mar. 31, 2014

Fair Value Tables

Fair value measurements

For level 3 assets and liabilities measured at fair value on a recurring basis or non-recurring basis as of March 31, 2014 and December 31, 2013 and significant unobservable inputs used in the fair value measurements were as follows:

	Fair Value at  March 31, 2014		Valuation Technique	Significant Unobservable Inputs	Range
Impaired Loans	$	11,762	Discounted appraised value	Discount for selling costs and age of appraisals		15%-55	%
Other Real Estate Owned	$	2,437	Discounted appraised value	Discount for selling costs and age of appraisals		15%-55	%

	Fair Value at December 31, 2013		Valuation Technique	Significant Unobservable Inputs	Range
Impaired Loans	$	10,239	Discounted appraised value	Discount for selling costs and age of appraisals		15%-55	%
Other Real Estate Owned	$	2,628	Discounted appraised value	Discount for selling costs and age of appraisals		15%-55	%

Schedule Assets and Liabilities at Fair Value on Recurring Basis

The tables below present the recorded amount of assets and liabilities measured at fair value on a recurring basis.

March 31, 2014	Total		Level 1		Level 2		Level 3
Government sponsored enterprises	$	10,075	$	-	$	10,075	$	-
Mortgage-backed obligations of federal agencies		1,166		-		1,166		-
Investment securities available for sale	$	11,241	$	-	$	11,241	$	-
Total assets at fair value	$	11,241	$	-	$	11,241	$	-
Total liabilities at fair value	$	-	$	-	$	-	$	-
Derivative financial instruments at fair value	$	30	$	-	$	30	$	-

December 31, 2013	Total		Level 1		Level 2		Level 3
Government sponsored enterprises	$	29,065	$	-	$	29,065	$	-
Mortgage-backed obligations of federal agencies		1,201		-		1,201		-
Investment securities available for sale		30,266		-		30,266		-
Total assets at fair value	$	30,266	$	-	$	30,266	$	-
Total liabilities at fair value	$	-	$	-	$	-	$	-
Derivative financial instruments at fair value	$	31	$	-	$	31	$	-

Schedule of Assets and Liabilities at Fair Value on Non-recurring Basis

Assets and Liabilities Recorded at Fair Value on a Non-recurring Basis

The table below presents the recorded amount of assets and liabilities measured at fair value on a non-recurring basis.  The Company has determined that Other Real Estate Owned and Impaired Loans are Level 3.

March 31, 2014	Total		Level 1		Level 2		Level 3
Other Real Estate Owned	$	2,437		-		-	$	2,437
				-		-
Construction/Land Development		9,804		-		-		9,804
Farmland		-		-		-		-
Real Estate		879		-		-		879
Multi-Family		-		-		-		-
Commercial Real Estate		834		-		-		834
Home Equity – closed end		158		-		-		158
Home Equity – open end		87		-		-		87
Commercial & Industrial – Non-Real Estate		-		-		-		-
Consumer		-		-		-		-
Credit cards		-		-		-		-
Dealer Finance		-		-		-		-
Total Impaired loans		11,762		-		-		11,762
Total assets at fair value	$	14,199	$	-	$	-	$	14,199
Total liabilities at fair value	$	-	$	-	$	-	$	-

December 31, 2013	Total		Level 1		Level 2		Level 3
Other Real Estate Owned	$	2,628		-		-	$	2,628
				-		-
Construction/Land Development		8,156		-		-		8,156
Farmland		-		-		-		-
Real Estate		991		-		-		991
Multi-Family		-		-		-		-
Commercial Real Estate		836		-		-		836
Home Equity – closed end		163		-		-		163
Home Equity – open end		91		-		-		91
Commercial & Industrial – Non-Real Estate		-		-		-		-
Consumer		2		-		-		2
Credit cards		-		-		-		-
Dealer Finance		-		-		-		-
Total Impaired loans		10,239		-		-		10,239
Total assets at fair value	$	12,867		-	$	-		12,867
Total liabilities at fair value	$	-	$	-	$	-	$	-