Income Taxes

9 Months Ended

Sep. 30, 2012

Income Taxes [Abstract]

Income Taxes

Note 4 – Income Taxes

United States federal and state income tax expense from operations consists of the following components (dollars in thousands):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2012		2011		2012			2011
Current	$	1,003	$	848	$	(1,834	)	$	1,504
Deferred		347		321		4,056			(916	)
Total	$	1,350	$	1,169	$	2,222		$	588

Income tax expense for the periods ended September 30, 2012 and 2011 differed from the amount computed by applying the United States Federal income tax rate of 34% to earnings before Federal income taxes as a result of the following (dollars in thousands):

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2012			2011			2012			2011
Expected income tax expense	$	2,525		$	2,368		$	4,993		$	6,235
Foreign earned income not subject to U.S. taxation		(1,191	)		(1,224	)		(2,876	)		(5,763	)
Tax-exempt interest		(3	)		(4	)		(9	)		(10	)
State taxes and other		19			29			114			126
Total	$	1,350		$	1,169		$	2,222		$	588