COMPREHENSIVE INCOME

6 Months Ended

Jun. 30, 2011

COMPREHENSIVE INCOME [Abstract]

COMPREHENSIVE INCOME

NOTE 3 – COMPREHENSIVE INCOME

Comprehensive income as defined by current accounting standards for the three months and six months ended June 30, 2011 and 2010 is as follows:

	Three months ended June 30,					Six months ended June 30,
(dollars in thousands – unaudited)	2011			2010		2011			2010
Net income	$	1,226		$	1,208	$	2,511		$	2,089
Unrealized gain on securities available for sale, net of tax		337			97		284			219
Reclassification adjustment for security loss included in net income, net of tax		–			12		–			12
Amortization of unrealized gain on securities available for sale transferred to
securities held to maturity included in net income, net of tax		(77	)		–		(163	)		–
Unrealized loss on interest rate swap, net of tax		(155	)		–		(129	)		–
Reclassification of interest rate swap settlements included in earnings, net of tax		28			–		55			–
Comprehensive income	$	1,359		$	1,317	$	2,558		$	2,320