Annual report pursuant to Section 13 and 15(d)

OTHER REAL ESTATE OWNED

v3.6.0.2
OTHER REAL ESTATE OWNED
 12 Months Ended
Dec. 31, 2016
OTHER REAL ESTATE OWNED [Abstract]  
OTHER REAL ESTATE OWNED
NOTE 4 – OTHER REAL ESTATE OWNED

Other real estate owned was as follows (dollars in thousands):

   
2016
    
2015
    
2014
  
Beginning balance
  
$
28,377
    
$
43,071
    
$
53,501
  
Additions, transfers from loans
    
339
      
2,520
      
4,932
  
Proceeds from sales of other real estate owned
    
(5,339
)
    
(11,540
)
    
(12,487
)
Valuation allowance reversal upon sale
    
(1,158
)
    
(4,748
)
    
(3,499
)
Gain (loss) on sales of other real estate owned
    
645
      
(926
)
    
624
  
     
22,864
      
28,377
      
43,071
  
Less: valuation allowance
    
(10,611
)
    
(10,805
)
    
(14,829
)
Ending balance
  
$
12,253
    
$
17,572
    
$
28,242
  

Activity in the valuation allowance was as follows (dollars in thousands):
 
   
2016
    
2015
    
2014
  
Beginning balance
  
$
10,805
    
$
14,829
    
$
16,705
  
Additions charged to expense
    
964
      
724
      
1,623
  
Reversals upon sale
    
(1,158
)
    
(4,748
)
    
(3,499
)
Ending balance
  
$
10,611
    
$
10,805
    
$
14,829
  
 
At December 31, 2016, the balance of other real estate owned includes $136,000 of foreclosed residential real estate properties recorded as a result of obtaining physical possession of the property.  At December 31, 2016, the recorded investment of consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings are in process is $238,000.