Annual report pursuant to Section 13 and 15(d)

OTHER REAL ESTATE OWNED

v3.8.0.1
OTHER REAL ESTATE OWNED
 12 Months Ended
Dec. 31, 2017
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):

   
2017
    
2016
    
2015
  
Beginning balance
  
$
22,864
    
$
28,377
    
$
43,071
  
Additions, transfers from loans
    
120
      
339
      
2,520
  
Proceeds from sales of other real estate owned
    
(7,034
)
    
(5,339
)
    
(11,540
)
Valuation allowance reversal upon sale
    
(7,367
)
    
(1,158
)
    
(4,748
)
Gain (loss) on sales of other real estate owned
    
557
      
645
      
(926
)
     
9,140
      
22,864
      
28,377
  
Less: valuation allowance
    
(3,373
)
    
(10,611
)
    
(10,805
)
Ending balance
  
$
5,767
    
$
12,253
    
$
17,572
  

Activity in the valuation allowance was as follows (dollars in thousands):

   
2017
    
2016
    
2015
  
Beginning balance
  
$
10,611
    
$
10,805
    
$
14,829
  
Additions charged to expense
    
129
      
964
      
724
  
Reversals upon sale
    
(7,367
)
    
(1,158
)
    
(4,748
)
Ending balance
  
$
3,373
    
$
10,611
    
$
10,805
  

At December 31, 2017, the balance of other real estate owned includes $59,500 of foreclosed residential real estate properties recorded as a result of obtaining physical possession of the property.  At December 31, 2017, the recorded investment of consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings are in process is $0.