v2.4.0.6
DOCUMENT AND ENTITY INFORMATION
3 Months Ended
Sep. 30, 2012
Nov. 05, 2012
Entity Registrant Name CONSUMERS BANCORP INC /OH/  
Entity Central Index Key 0001006830  
Current Fiscal Year End Date --06-30  
Entity Filer Category Smaller Reporting Company  
Trading Symbol cbkm  
Entity Common Stock, Shares Outstanding   2,060,743
Document Type 10-Q  
Amendment Flag false  
Document Period End Date Sep. 30, 2012  
Document Fiscal Period Focus Q1  
Document Fiscal Year Focus 2013  
v2.4.0.6
CONSOLIDATED BALANCE SHEETS (USD $)
In Thousands, unless otherwise specified
Sep. 30, 2012
Jun. 30, 2012
ASSETS    
Cash on hand and noninterest-bearing deposits in financial institutions $ 8,248 $ 6,663
Federal funds sold and interest-bearing deposits in financial institutions 2,385 7,082
Total cash and cash equivalents 10,633 13,745
Certificates of deposit in other financial institutions 5,645 5,645
Securities, available-for-sale 105,662 105,335
Federal bank and other restricted stocks, at cost 1,186 1,186
Loans held for sale 408 377
Total loans 202,118 197,430
Less allowance for loan losses (2,338) (2,335)
Net loans 199,780 195,095
Cash surrender value of life insurance 5,652 5,605
Premises and equipment, net 5,849 5,752
Accrued interest receivable and other assets 2,150 2,021
Total assets 336,965 334,761
LIABILITIES    
Non-interest bearing demand 66,131 65,915
Interest bearing demand 35,453 35,055
Savings 98,116 99,041
Time 84,757 84,470
Total deposits 284,457 284,481
Short-term borrowings 15,005 13,722
Federal Home Loan Bank advances 6,427 6,446
Accrued interest and other liabilities 2,316 2,222
Total liabilities 308,205 306,871
Commitments and contingent liabilities 0 0
SHAREHOLDERS' EQUITY    
Preferred stock (no par value, 350,000 shares authorized, none outstanding) 0 0
Common stock (no par value, 3,500,000 shares authorized; 2,190,488 and 2,186,791 shares issued as of September 30, 2012 and June 30, 2012, respectively) 5,258 5,205
Retained earnings 23,108 22,740
Treasury stock, at cost (129,745 and 130,442 common shares as of September 30, 2012 and June 30, 2012, respectively) (1,650) (1,659)
Accumulated other comprehensive income 2,044 1,604
Total shareholders' equity 28,760 27,890
Total liabilities and shareholders' equity $ 336,965 $ 334,761
v2.4.0.6
CONSOLIDATED BALANCE SHEETS [Parenthetical]
Sep. 30, 2012
Jun. 30, 2012
Preferred stock, shares authorized 350,000 350,000
Preferred stock, shares outstanding 0 0
Common stock, shares authorized 3,500,000 3,500,000
Common stock, shares issued 2,190,488 2,186,791
Treasury stock, shares 129,745 130,442
v2.4.0.6
CONSOLIDATED STATEMENTS OF INCOME (USD $)
In Thousands, except Per Share data, unless otherwise specified
3 Months Ended
Sep. 30, 2012
Sep. 30, 2011
Interest income    
Loans, including fees $ 2,605 $ 2,535
Securities, taxable 383 480
Securities, tax-exempt 304 245
Federal funds sold and other interest bearing deposits 15 16
Total interest income 3,307 3,276
Interest expense    
Deposits 270 330
Short-term borrowings 6 11
Federal Home Loan Bank advances 50 60
Total interest expense 326 401
Net interest income 2,981 2,875
Provision for loan losses 25 92
Net interest income after provision for loan losses 2,956 2,783
Non-interest income    
Service charges on deposit accounts 342 356
Debit card interchange income 193 179
Bank owned life insurance income 47 51
Securities gains, net 21 49
Other 61 37
Total non-interest income 664 672
Non-interest expenses    
Salaries and employee benefits 1,565 1,326
Occupancy and equipment 314 258
Data processing expenses 85 139
Professional and director fees 92 94
FDIC Assessments 49 50
Franchise taxes 70 65
Marketing and advertising 117 76
Telephone and network communications 65 58
Debit card processing expenses 103 94
Amortization of intangible 0 41
Other 407 361
Total non-interest expenses 2,867 2,562
Income before income taxes 753 893
Income tax expense 138 206
Net Income $ 615 $ 687
Basic and diluted earnings per share (in dollars per share) $ 0.30 $ 0.34
v2.4.0.6
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $)
In Thousands, unless otherwise specified
3 Months Ended
Sep. 30, 2012
Sep. 30, 2011
Net Income $ 615 $ 687
Other comprehensive income, net of tax:    
Unrealized gains arising during the period 689 446
Reclassification adjustment for gains included in income (21) (49)
Net unrealized gains 668 397
Income tax effect 228 135
Other comprehensive income 440 262
Total comprehensive income $ 1,055 $ 949
v2.4.0.6
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (USD $)
In Thousands, except Per Share data, unless otherwise specified
3 Months Ended
Sep. 30, 2012
Sep. 30, 2011
Balance at beginning of period $ 27,890 $ 25,324
Net Income 615 687
Other comprehensive income 440 262
Issuance of 697 shares for vested restricted stock awards 9 0
Common stock issued for dividend reinvestment and stock purchase plan (3,697 shares for three months in 2012) 53 0
Common cash dividends (247) (226)
Balance at the end of the period $ 28,760 $ 26,047
Common cash dividends per share (in dollars per share) $ 0.12 $ 0.11
v2.4.0.6
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY [Parenthetical]
3 Months Ended
Sep. 30, 2012
Issuance of shares for vested restricted stock awards 697
Common shares issued for dividend reinvestment and stock purchase plan (in shares) 3,697
v2.4.0.6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)
In Thousands, unless otherwise specified
3 Months Ended
Sep. 30, 2012
Sep. 30, 2011
Cash flows from operating activities    
Net cash from operating activities $ 759 $ 1,407
Cash flow from investing activities    
Purchases (5,478) (17,212)
Maturities, calls and principal pay downs 4,973 5,660
Proceeds from sales of available-for-sale securities 530 4,951
Net decrease in certificates of deposits in other financial institutions 0 1,225
Net increase in loans (4,710) (2,456)
Acquisition of premises and equipment (241) (26)
Net cash from investing activities (4,926) (7,858)
Cash flow from financing activities    
Net increase (decrease) in deposit accounts (24) 14,108
Net change in short-term borrowings 1,283 624
Repayments of Federal Home Loan Bank advances (19) (19)
Issuance of treasury stock 9 0
Proceeds from dividend reinvestment and stock purchase plan 53 0
Dividends paid (247) (226)
Net cash from financing activities 1,055 14,487
Increase (decrease) in cash or cash equivalents (3,112) 8,036
Cash and cash equivalents, beginning of period 13,745 13,828
Cash and cash equivalents, end of period 10,633 21,864
Supplemental disclosure of cash flow information:    
Interest 320 409
Federal income taxes $ 150 $ 0
v2.4.0.6
Summary of Significant Accounting Policies
3 Months Ended
Sep. 30, 2012
Organization, Consolidation and Presentation Of Financial Statements [Abstract]  
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block]

Note 1 – Summary of Significant Accounting Policies:

 

Nature of Operations: Consumers Bancorp, Inc. (the Corporation) is a bank holding company headquartered in Minerva, Ohio that provides, through its banking subsidiary, Consumers National Bank (the Bank), a broad array of products and services throughout its primary market area of Stark, Columbiana, Carroll and contiguous counties in Ohio. The Bank’s business involves attracting deposits from businesses and individual customers and using such deposits to originate commercial, mortgage and consumer loans in its primary market area.

 

Basis of Presentation: The consolidated financial statements for interim periods are unaudited and reflect all adjustments (consisting of only normal recurring adjustments), which, in the opinion of management, are necessary to present fairly the financial position and results of operations and cash flows for the periods presented. The unaudited financial statements are presented in accordance with the requirements of Form 10-Q and do not include all disclosures normally required by accounting principles generally accepted in the United States of America. The financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Corporation’s Form 10-K for the year ended June 30, 2012. The results of operations for the interim period disclosed herein are not necessarily indicative of the results that may be expected for a full year.

 

The consolidated financial statements include the accounts of the Corporation and the Bank. All significant inter-company transactions and accounts have been eliminated in consolidation.

 

Segment Information: Consumers Bancorp, Inc. is a bank holding company engaged in the business of commercial and retail banking, which accounts for substantially all of the revenues, operating income, and assets. Accordingly, all of its operations are recorded in one segment, banking.

 

Reclassifications: Certain items in prior financial statements have been reclassified to conform to the current presentation.

v2.4.0.6
Securities
3 Months Ended
Sep. 30, 2012
Investments, Debt and Equity Securities [Abstract]  
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]

Note 2 – Securities

Description of Securities   Amortized
Cost
    Gross
Unrealized
Gains
    Gross
Unrealized
Losses
    Fair
Value
 
September 30, 2012                                
Obligations of U.S. government-sponsored entities and agencies   $ 7,426     $ 68     $     $ 7,494  
Obligations of state and political subdivisions     37,547       1,918       (51 )     39,414  
Mortgage-backed securities – residential     46,107       1,189       (41 )     47,255  
Collateralized mortgage obligations     11,283       146       (4 )     11,425  
Trust preferred security     202             (128 )     74  
Total securities   $ 102,565     $ 3,321     $ (224 )   $ 105,662  

 

    Amortized
Cost
    Gross
Unrealized
Gains
    Gross
Unrealized
Losses
    Fair
Value
 
June 30, 2012                                
Obligations of U.S. government-sponsored entities and agencies   $ 8,487     $ 80     $     $ 8,567  
Obligations of state and political subdivisions     33,808       1,577       (109 )     35,276  
Mortgage-backed securities - residential     48,255       1,108       (32 )     49,331  
Collateralized mortgage obligations     12,154       25       (82 )     12,097  
Trust preferred security     202             (138 )     64  
Total securities   $ 102,906     $ 2,790     $ (361 )   $ 105,335  

 

Proceeds from the sale of available-for-sale securities were as follows:

 

    Three Months Ended
September 30,
 
    2012     2011  
Proceeds from sales   $ 530     $ 4,951  
Gross realized gains     21       49  

 

The amortized cost and fair values of available-for-sale securities at September 30, 2012, by expected maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date, primarily mortgage-backed securities, collateralized mortgage obligations and the trust preferred security are shown separately.

  

    Amortized
Cost
    Estimated Fair
Value
 
Due in one year or less   $ 2,502     $ 2,512  
Due after one year through five years     5,874       5,971  
Due after five years through ten years     11,312       11,954  
Due after ten years     25,285       26,471  
Total     44,973       46,908  
                 
Mortgage-backed securities – residential     46,107       47,255  
Collateralized mortgage obligations     11,283       11,425  
Trust preferred security     202       74  
Total   $ 102,565     $ 105,662  

 

The following table summarizes the securities with unrealized losses at September 30, 2012 and June 30, 2012, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position:

 

   

Less than 12 Months

   

12 Months or more

   

Total

 
Description of Securities  

Fair
Value

   

Unrealized
Loss

   

Fair
Value

   

Unrealized
Loss

   

Fair
Value

   

Unrealized
Loss

 
                                     
September 30, 2012                                                
                                                 
Obligations of states and political subdivisions   $ 4,594     $ (51 )   $     $     $ 4,594     $ (51 )
Mortgage-backed securities - residential     7,494       (41 )                 7,494       (41 )
Collateralized mortgage obligations     1,412       (4 )                 1,412       (4 )
Trust preferred security                 74       (128 )     74       (128 )
Total temporarily impaired   $ 13,500     $ (96 )   $ 74     $ (128 )   $ 13,574     $ (224 )

 

    Less than 12 Months     12 Months or more     Total  
Description of Securities   Fair
Value
    Unrealized
Loss
    Fair
Value
    Unrealized
Loss
    Fair
Value
    Unrealized
Loss
 
                                     
June 30, 2012                                                
                                                 
Obligations of states and political subdivisions   $ 6,002     $ (109 )   $     $     $ 6,022     $ (109 )
Mortgage-backed securities - residential     11,135       (32 )                 11,135       (32 )
Collateralized mortgage obligations     6,411       (62 )     2,314       (20 )     8,725       (82 )
Trust preferred security                 64       (138 )     64       (138 )
Total temporarily impaired   $ 23,548     $ (203 )   $ 2,378     $ (158 )   $ 25,926     $ (361 )

 

Management evaluates securities for other-than-temporary impairment (OTTI) on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. The securities portfolio is evaluated for OTTI by segregating the portfolio into two general segments and applying the appropriate OTTI model. Investment securities are generally evaluated for OTTI under FASB ASC Topic 320, Accounting for Certain Investments in Debt and Equity Securities. However, the trust preferred security is evaluated using the model outlined in FASB ASC Topic 325, Recognition of Interest Income and Impairment on Purchased Beneficial Interests and Beneficial Interests that Continue to be Held by a Transfer in Securitized Financial Assets.

 

In determining OTTI under the ASC Topic 320 model, management considers many factors, including: (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, (3) whether the market decline was affected by macroeconomic conditions, and (4) whether the entity has the intent to sell the debt security or more likely than not will be required to sell the debt security before its anticipated recovery. The assessment of whether an other-than-temporary decline exists involves a high degree of subjectivity and judgment and is based on the information available to management at a point in time.

 

Unrealized losses on obligations of state and political subdivisions, residential mortgage-backed securities and collateralized mortgage obligations have not been recognized into income because the decline in fair value is not attributed to credit quality, management does not intend to sell and it is likely that management will not be required to sell the securities prior to their anticipated recovery. The decline in fair value of the residential mortgage-backed securities and collateralized mortgage obligations is attributable to higher than projected prepayment speeds increasing the premium amortization and the decline in fair value of obligations of state and political subdivisions is largely due to spreads for these securities being wider at September 30, 2012 than when the securities were purchased. The fair value is expected to recover as the securities approach maturity.

 

Under the ASC Topic 325 model, the present value of the remaining cash flows as estimated at the preceding evaluation date are compared to the current expected remaining cash flows. An OTTI is deemed to have occurred if there has been an adverse change in the remaining expected future cash flows. The analysis of the trust preferred security falls within the scope of ASC Topic 325.

 

The Corporation owns a trust preferred security with an adjusted amortized cost of $202 and a fair value of $74, which represents collateralized debt obligations (CDOs) issued by other financial institutions, bank holding companies and a limited number of insurance companies. The security is part of a pool of issuers that support a more senior tranche of securities. Due to principal and/or interest deferrals by the issuers of the underlying securities, the cash interest payments for the trust preferred security are being deferred. On September 30, 2012, the lowest credit rating on this security was Fitch’s rating of C, which is defined as highly speculative. The investment security is evaluated using a model to compare the present value of expected cash flows to prior periods expected cash flows to determine if there has been an adverse change in cash flows during the period. The discount rate used to calculate the cash flows is the coupon rate of the security, based on the forward LIBOR curve. The OTTI model considers the structure and term of the CDO and the financial condition of the underlying issuers. In addition we use the model to “stress” the CDO, or make assumptions more severe than expected activity, to determine the degree to which assumptions could deteriorate before the CDO could no longer fully support repayment of the Corporation’s note class. According to the September 30, 2012 analysis, the expected cash flows were above the recorded amortized cost of the trust preferred security. The accumulated other-than-temporary impairment loss that has been recognized in earnings was $780 at September 30, 2012 and June 30, 2012. If there is further deterioration in the underlying collateral of this security, other-than-temporary impairments may also occur in future periods. Due to the illiquidity in the market, it is unlikely the Corporation would be able to recover its investment in this security if the Corporation sold the security at this time.

v2.4.0.6
Loans
3 Months Ended
Sep. 30, 2012
Receivables [Abstract]  
Loans, Notes, Trade and Other Receivables Disclosure [Text Block]

Note 3 – Loans

 

Major classifications of loans were as follows:

 

    September 30,
2012
    June 30,
2012
 
Commercial   $ 23,506     $ 23,041  
Commercial real estate:                
Construction     2,607       1,546  
Other     113,811       110,775  
1 – 4 Family residential real estate:                
Owner occupied     33,417       34,000  
Non-owner occupied     18,739       18,794  
Construction     248       187  
Consumer     10,121       9,407  
Subtotal     202,449       197,750  
Less: Net deferred loan fees     (331 )     (320 )
Allowance for loan losses     (2,338 )     (2,335 )
Net Loans   $ 199,780     $ 195,095  

 

The following table presents the activity in the allowance for loan losses by portfolio segment for the three months ending September 30, 2012:

 

                1-4 Family              
          Commercial     Residential              
          Real     Real              
    Commercial     Estate     Estate     Consumer     Total  
                               
Allowance for loan losses:                                        
Beginning balance   $ 143     $ 1,283     $ 712     $ 197     $ 2,335  
Provision for loan losses     6       (8 )     (20 )     47       25  
Loans charged-off     (4 )           (15 )     (19 )     (38 )
Recoveries                       16       16  
Total ending allowance balance   $ 145     $ 1,275     $ 677     $ 241     $ 2,338  

 

The following table presents the activity in the allowance for loan losses by portfolio segment for the three months ended September 30, 2011:

 

                1-4 Family              
          Commercial     Residential              
          Real     Real              
    Commercial     Estate     Estate     Consumer     Total  
                               
Allowance for loan losses:                                        
Beginning balance   $ 179     $ 882     $ 947     $ 93     $ 2,101  
Provision for loan losses     (82 )     172       (33 )     35       92  
Loans charged-off                 (69 )     (50 )     (119 )
Recoveries                       13       13  
Total ending allowance balance   $ 97     $ 1,054     $ 845     $ 91     $ 2,087  

 

The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of September 30, 2012. Included in the recorded investment in loans is $534 of accrued interest receivable net of deferred loan fees of $331.

 

                1-4 Family              
          Commercial     Residential              
          Real     Real              
    Commercial     Estate     Estate     Consumer     Total  
Allowance for loan losses:                              
Ending allowance balance attributable to loans:                                        
Individually evaluated for impairment   $ 46     $ 62     $ 257     $     $ 365  
Collectively evaluated for impairment     99       1,213       420       241       1,973  
Total ending allowance balance   $ 145     $ 1,275     $ 677     $ 241     $ 2,338  
                                         
Recorded investment in loans:                                        
Loans individually evaluated for impairment   $ 104     $ 949     $ 1,392     $     $ 2,445  
Loans collectively evaluated for impairment     23,458       115,513       51,134       10,102       200,207  
Total ending loans balance   $ 23,562     $ 116,462     $ 52,526     $ 10,102     $ 202,652  

 

The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of June 30, 2012. Included in the recorded investment in loans is $494 of accrued interest receivable net of deferred loan fees of $320.

 

                1-4 Family              
          Commercial     Residential              
          Real     Real              
    Commercial     Estate     Estate     Consumer     Total  
Allowance for loan losses:                              
Ending allowance balance attributable to loans:                                        
Individually evaluated for impairment   $ 50     $ 82     $ 258     $     $ 390  
Collectively evaluated for impairment     93       1,201       454       197       1,945  
Total ending allowance balance   $ 143     $ 1,283     $ 712     $ 197     $ 2,335  
                                         
Recorded investment in loans:                                        
Loans individually evaluated for impairment   $ 148     $ 996     $ 1,417     $     $ 2,561  
Loans collectively evaluated for impairment     22,940       111,352       51,683       9,388       195,363  
Total ending loans balance   $ 23,088     $ 112,348     $ 53,100     $ 9,388     $ 197,924  

 

The following table presents information related to loans individually evaluated for impairment by class of loans as of and for the three months ended September 30, 2012:

 

    Unpaid           Allowance for     Average     Interest     Cash Basis  
    Principal     Recorded     Loan Losses     Recorded     Income     Interest  
    Balance     Investment     Allocated     Investment     Recognized     Recognized  
With no related allowance recorded:                                                
Commercial   $ 11     $ 11     $     $ 11     $     $  
Commercial real estate:                                                
Other     94       94             103              
1-4 Family residential real estate:                                                
Owner occupied     81       81             81              
Non-owner occupied     57       58             57       1       1  
With an allowance recorded:                                                
Commercial     93       93       46       122              
Commercial real estate:                                                
Other     854       855       62       863       2       2  
1-4 Family residential real estate:                                                
Owner occupied     310       310       42       314              
Non-owner occupied     942       943       215       946       6       6  
Total   $ 2,442     $ 2,445     $ 365     $ 2,497     $ 9     $ 9  

 

The following table presents information related to loans individually evaluated for impairment by class of loans as of June 30, 2012 and for the three months ended September 30, 2011:

    As of June 30, 2012     Three Months ended September 30, 2011  
    Unpaid           Allowance for     Average     Interest     Cash Basis  
    Principal     Recorded     Loan Losses     Recorded     Income     Interest  
    Balance     Investment     Allocated     Investment     Recognized     Recognized  
With no related allowance recorded:                                                
Commercial   $ 12     $ 12     $     $ 17     $     $  
Commercial real estate:                                                
Other     144       144             635       3       3  
1-4 Family residential real estate:                                                
Owner occupied     238       238             97       2       2  
Non-owner occupied     64       65             43              
With an allowance recorded:                                                
Commercial     136       136       50       63              
Commercial real estate:                                                
Other     851       852       82       763       5       5  
1-4 Family residential real estate:                                                
Owner occupied     160       160       13       218       2       2  
Non-owner occupied     952       954       245       871              
Total   $ 2,557     $ 2,561     $ 390     $ 2,707     $ 12     $ 12  

 

The following table presents the recorded investment in non-accrual and loans past due over 90 days still on accrual by class of loans as of September 30, 2012 and June 30, 2012:

    September 30, 2012     June 30, 2012  
          Loans Past Due           Loans Past Due  
          Over 90 Days           Over 90 Days  
          Still           Still  
    Non-accrual     Accruing     Non-accrual     Accruing  
Commercial   $ 93     $     $ 51     $  
Commercial real estate:                                
Other     863             911        
1 – 4 Family residential:                                
Owner occupied     300             307        
Non-owner occupied     716             663        
Consumer                        
Total   $ 1,972     $     $ 1,932     $  

 

Non-accrual loans and loans past due 90 days still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans.

 

The following table presents the aging of the recorded investment in past due loans as of September 30, 2012 by class of loans:

    Days Past Due                    
                90 Days or                    
    30 - 59     60 - 89     Greater &     Total     Loans Not        
    Days     Days     Non-accrual     Past Due     Past Due     Total  
Commercial   $ 9     $     $ 78     $ 87     $ 23,475     $ 23,562  
Commercial real estate:                                                
Construction                             2,609       2,609  
Other     26             280       306       113,547       113,853  
1-4 Family residential:                                                
Owner occupied     159             254       413       33,126       33,539  
Non-owner occupied           87       43       130       18,610       18,740  
Construction                             247       247  
Consumer     7                   7       10,095       10,102  
Total   $ 201     $ 87     $ 655     $ 943     $ 201,709     $ 202,652  

 

The above table of past due loans includes the recorded investment in non-accrual loans of $63 in the 60-89 days past due category and $1,254 in the loans not past due category.

 

The following table presents the aging of the recorded investment in past due loans as of June 30, 2012 by class of loans:

 

    Days Past Due                    
                90 Days or                    
    30 - 59     60 - 89     Greater &     Total     Loans Not        
    Days     Days     Non-accrual     Past Due     Past Due     Total  
Commercial   $ 85     $     $ 33     $ 118     $ 22,970     $ 23,088  
Commercial real estate:                                                
Construction     202                   202       1,345       1,547  
Other     82             268       350       110,451       110,801  
1-4 Family residential:                                                
Owner occupied     174             178       352       33,766       34,118  
Non-owner occupied     43                   43       18,753       18,796  
Construction                             186       186  
Consumer           8             8       9,380       9,388  
Total   $ 586     $ 8     $ 479     $ 1,073     $ 196,851     $ 197,924  

 

The above table of past due loans includes the recorded investment in non-accrual loans of $43 in the 30 – 59 days past due category and $1,410 in the loans not past due category.

 

Troubled Debt Restructurings:

As of September 30, 2012, the recorded investment of loans classified as troubled debt restructurings was $1,806 with $193 of specific reserves allocated to these loans. As of June 30, 2012, the recorded investment of loans classified as troubled debt restructurings was $1,973 with $258 of specific reserves allocated to these loans. As of September 30, 2012 and June 30, 2012, the Corporation had not committed to lend any additional amounts to customers with outstanding loans that are classified as troubled debt restructurings.

 

During the three months ended September 30, 2012, there were no loan modifications completed that were classified as troubled debt restructurings. During the year ended June 30, 2012, the terms of certain loans were modified as troubled debt restructurings. The modification of the terms of such loans included one or a combination of the following: a reduction of the stated interest rate of the loan; an extension of the maturity date at a stated rate of interest lower than the current market rate for new debt with similar risk; a permanent reduction of the recorded investment in the loan; or a temporary reduction in the payment amount to interest only.

 

Modifications involving a reduction of the stated interest rate of the loan were for periods ranging from 12 months to 25 years. Modifications involving an extension of the maturity date were for a period of 6.5 years to 25 years.

 

The following table presents loans by class modified as troubled debt restructurings that occurred during the year ended June 30, 2012:

 

          Pre-Modification     Post-Modification  
    Number of     Outstanding Recorded     Outstanding Recorded  
    Loans     Investment     Investment  
Commercial 1   $ 85     $ 85          
Commercial real estate:                        
Other     2       137       137  
1 – 4 Family residential:                        
Owner occupied     1       114       114  
Non-owner occupied     7       534       466  
Total     11     $ 870     $ 802  

 

There were no troubled debt restructurings or impact on the provision for loan losses for the three months ended September 30, 2012. Troubled debt restructurings increased the allowance for loan losses by $20 and resulted in charge offs of $63 during the period ended September 30, 2011.

 

The following table presents loans by class modified as troubled debt restructurings for which there was a payment default within 12 months following the modification during the period ending September 30, 2012:

 

    Number of     Recorded  
    Loans     Investment  
Commercial real estate:                
Other     1     $ 428  

 

A loan is considered to be in payment default once it is 90 days contractually past due under the modified terms. Subsequent to the payment default, the above referenced loan has been paid current under the modified terms of the loan. The troubled debt restructuring that subsequently defaulted did not increase the allowance for loan losses or have any charge-off during the periods ending September 30, 2012 or June 30, 2012.

 

Credit Quality Indicators:

The Corporation categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Corporation analyzes loans individually by classifying the loans as to credit risk. This analysis includes loans with a total outstanding loan relationship greater than $100 and non-homogeneous loans, such as commercial and commercial real estate loans. Management monitors the loans on an ongoing basis for any changes in the borrower’s ability to service their debt and affirm the risk ratings for the loans and leases in their respective portfolio on an annual basis. The Corporation uses the following definitions for risk ratings:

 

Special Mention. Loans classified as special mention have a potential weakness that deserves management's close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution's credit position at some future date.

 

Substandard. Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected.

 

Doubtful. Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable.

 

Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass rated loans. Loans listed as not rated are either less than $100 or are included in groups of homogeneous loans. Based on the most recent analysis performed, the recorded investment by risk category of loans by class of loans was as follows:

 

    As of September 30, 2012  
          Special                 Not  
    Pass     Mention     Substandard     Doubtful     Rated  
Commercial   $ 22,292     $ 38     $ 74     $ 104     $ 1,054  
Commercial real estate:                                        
Construction     2,421       158                   30  
Other     103,514       5,833       2,752       949       805  
1-4 Family residential real estate:                                        
Owner occupied     3,953             99       391       29,096  
Non-owner occupied     14,109       2,157       860       1,001       613  
Construction     200                         47  
Consumer                             10,102  
Total   $ 146,489     $ 8,186     $ 3,785     $ 2,445     $ 41,747  

 

    As of June 30, 2012  
          Special                 Not  
    Pass     Mention     Substandard     Doubtful     Rated  
Commercial   $ 21,642     $ 240     $ 14     $ 148     $ 1,044  
Commercial real estate:                                        
Construction     1,353       163                   31  
Other     98,942       7,332       2,657       996       874  
1-4 Family residential real estate:                                        
Owner occupied     4,256             99       398       29,365  
Non-owner occupied     14,205       2,197       875       1,019       500  
Construction     47                         139  
Consumer                             9,388  
Total   $ 140,445     $ 9,932     $ 3,645     $ 2,561     $ 41,341  
v2.4.0.6
Fair Value
3 Months Ended
Sep. 30, 2012
Fair Value Disclosures [Abstract]  
Fair Value Disclosures [Text Block]

Note 4 - Fair Value

 

Fair value is the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values:

 

Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date.

 

Level 2: Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data.

 

Level 3: Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability.

 

Financial assets and financial liabilities measured at fair value on a recurring basis include the following:

 

Securities available-for-sale: When available, the fair values of available-for-sale securities are determined by obtaining quoted prices on nationally recognized securities exchanges (Level 1 inputs). For securities where quoted market prices are not available, fair values are calculated based on market prices of similar securities (Level 2 inputs). For securities where quoted prices or market prices of similar securities are not available, fair values are calculated using discounted cash flows or other market indicators (Level 3 inputs). The fair value of the Level 3 security is obtained from a third-party pricing service. Discounted cash flows are calculated using spread to the swap and LIBOR curves. Rating agency and industry research reports as well as defaults and deferrals on the individual security is reviewed and incorporated into the calculation.

 

Loans held for sale: The fair value of loans held for sale is estimated based upon binding contracts and quotes from third party investors resulting in a Level 2 classification.

 

Assets and liabilities measured at fair value on a recurring basis are summarized below, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value:

    Balance at
September 30,
    Fair Value Measurements at
September 30, 2012 Using
 
    2012     Level 1     Level 2     Level 3  
Assets:                                
Obligations of U.S. government-sponsored entities and agencies   $ 7,494     $     $ 7,494     $  
Obligations of states and political subdivisions     39,414             39,414        
Mortgage-backed securities – residential     47,255             47,255        
Collateralized mortgage obligations     11,425             11,425        
Trust preferred security     74                   74  
Loans held for sale     408             415        

 

    Balance at     Fair Value Measurements at
June 30, 2012 Using
 
    June 30, 2012     Level 1     Level 2     Level 3  
Assets:                                
Obligations of U.S. government-sponsored entities and agencies   $ 8,567     $     $ 8,567     $  
Obligations of states and political subdivisions     35,276             35,276        
Mortgage-backed securities - residential     49,331             49,331        
Collateralized mortgage obligations     12,097             12,097        
Trust preferred security     64                   64  
Loans held for sale     377             387        

 

There were no transfers between Level 1 and Level 2 during the first quarter of the 2013 fiscal year or the during the 2012 fiscal year.

 

The following table presents a reconciliation of the trust preferred security measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three months ended September 30, 2012 and 2011:

 

    2012     2011  
Beginning balance   $ 64     $ 67  
Change in fair value included in other comprehensive income     10       (3 )
Ending balance, September 30   $ 74     $ 64  

 

The significant unobservable inputs used in the fair value measurement of the Corporation’s trust preferred security are probabilities of specific-issuer defaults and deferrals and specific-issuer recovery assumptions. Significant increases in specific-issuer default assumptions or decreases in specific-issuer recovery assumptions would result in a significantly lower fair value measurement. Conversely, decreases in specific-issuer default assumptions or increases in specific-issuer recovery assumptions would result in a higher fair value measurement.

 

Certain financial assets and financial liabilities are measured at fair value on a non-recurring basis; that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances. Financial assets and financial liabilities measured at fair value on a non-recurring basis include the following:

 

Impaired Loans: At the time a loan is considered impaired, it is valued at the lower of cost or fair value. Impaired loans carried at fair value generally receive specific allocations of the allowance for loan losses. For collateral dependent loans, fair value is commonly based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value.

 

Financial assets and financial liabilities measured at fair value on a non-recurring basis are summarized below:

 

    Balance at
September 30,
    Fair Value Measurements at
September 30, 2012 Using
 
    2012     Level 1     Level 2     Level 3  
Impaired loans:                                
Commercial   $ 47     $     $     $ 47  
Commercial real estate:                                
Other     661                   661  
1-4 Family                                
Owner occupied     161                   161  
Non-owner occupied     458                   458  

 

    Balance at     Fair Value Measurements at
June 30, 2012 Using
 
    June 30, 2012     Level 1     Level 2     Level 3  
Impaired loans:                                
Commercial   $ 11     $     $     $ 11  
Commercial real estate:                                
Other     647                   647  
1-4 Family                                
Owner occupied     40                   40  
Non-owner occupied     438                   438  

 

Impaired loans, which are generally measured for impairment using the fair value of the collateral for collateral dependant loans, had a principal balance of $1,643, with a valuation allowance of $317 at September 30, 2012. As of June 30, 2012, impaired loans with a principal balance of $1,479 had a valuation allowance of $343. The resulting impact to the provision for loan losses was a reduction of $27 being recorded for the three month period ended September 30, 2012. For the three month period ended September 30, 2011, there was no additional provision for loan losses recorded.

 

The valuation technique used by an independent third party appraiser in the fair value measurement of collateral for collateral-dependent commercial real estate impaired loans primarily consisted of the sales comparison approach. The valuation technique used by an independent third party appraiser in the fair value measurement of collateral for collateral-dependent 1-4 family non-owner occupied impaired loans primarily consisted of the sales comparison and income approach. The significant unobservable inputs used in the fair value measurement relate to adjustments made to the value set forth in the appraisal by deducting estimated holding costs, costs to sell and a distressed sale adjustment. For the September 30, 2012 period, collateral discounts for commercial real estate impaired loans ranged from 30% to 39%, for 1-4 family owner occupied impaired loans ranged from 33% to 37% and for 1-4 family non-owner occupied impaired loans was 30%. For the June 30, 2012 period, collateral discounts for commercial real estate impaired loans ranged from 33% to 41% and for 1-4 family non-owner occupied impaired loans ranged from 15% to 39%.

 

Estimated fair value for cash and cash equivalents, certificates of deposits in other financial institutions, accrued interest receivable and payable, demand and savings deposits and short-term borrowings were considered to approximate carrying value. The methodologies for other financial assets and financial liabilities are discussed below:

 

Loans: Fair value for loans was estimated for portfolios of loans with similar financial characteristics. For adjustable rate loans that reprice at least annually and for fixed rate commercial loans with maturities of six months or less which possess normal risk characteristics, carrying value was determined to be fair value. Fair value of other types of loans (including adjustable rate loans which reprice less frequently than annually and fixed rate term loans or loans which possess higher risk characteristics) was estimated by discounting future cash flows using the current rates at which similar loans would be made to borrowers with similar credit ratings and for similar anticipated maturities resulting in a Level 3 classification. The methods utilized to estimate the fair value of loans do not necessarily represent an exit price. 

 

Time deposits: Fair value of fixed-maturity certificates of deposit was estimated using the rates offered at September 30, 2012 and June 30, 2012, for deposits of similar remaining maturities. Estimated fair value does not include the benefit that result from low-cost funding provided by the deposit liabilities compared to the cost of borrowing funds in the market resulting in a Level 2 classification.

 

Federal Home Loan Bank advances: Fair value of Federal Home Loan Bank advances was estimated using current rates at September 30, 2012 and June 30, 2012 for similar financing resulting in a Level 2 classification.

 

Federal bank and other restricted stocks include stock acquired for regulatory purposes, such as Federal Home Loan Bank stock and Federal Reserve Bank stock that are accounted for at cost due to restrictions placed on their transferability; and therefore, are not subject to the fair value disclosure requirements. The Corporation’s lending commitments have variable interest rates and “escape” clauses if the customer’s credit quality deteriorates. Therefore, the fair values of these items are not significant and are not included in the following table.

 

The following table shows the estimated fair values of financial instruments that are reported at amortized cost in the Corporation’s consolidated balance sheets, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value:

 

    September 30, 2012     June 30, 2012  
    Carrying
Amount
    Estimated
Fair
Value
    Carrying
Amount
    Estimated
Fair
Value
 
Financial Assets:                                
Level 1 inputs:                                
Cash and cash equivalents   $ 10,633     $ 10,633     $ 13,745     $ 13,745  
Level 2 inputs:                                
Certificates of deposits in other financial institutions     5,645       5,674       5,645       5,645  
Accrued interest receivable     1,145       1,145       1,043       1,043  
Level 3 inputs:                                
Loans, net     199,780       200,813       195,095       196,592  
Financial Liabilities:                                
Level 2 inputs:                                
Demand and savings deposits     199,700       199,700       200,011       200,011  
Time deposits     84,757       85,520       84,470       85,262  
Short-term borrowings     15,005       15,005       13,722       13,722  
Federal Home Loan Bank advances     6,427       7,377       6,446       7,398  
Accrued interest payable     62       62       56       56  
v2.4.0.6
Earnings Per Share
3 Months Ended
Sep. 30, 2012
Earnings Per Share [Abstract]  
Earnings Per Share [Text Block]

Note 5 – Earnings Per Share

 

Basic earnings per share is the amount of earnings available to each share of common stock outstanding during the reporting period and is equal to net income divided by the weighted average number of shares outstanding during the period.  Diluted earnings per share is the amount of earnings available to each share of common stock outstanding during the reporting period adjusted to include the effect of potentially dilutive common shares that may be issued upon the vesting of restricted stock awards.  The following table details the calculation of basic and diluted earnings per share:

 

    For the Three Months
Ended September 30,
 
    2012     2011  
Basic:                
Net income available to common shareholders   $ 615     $ 687  
Weighted average common shares outstanding     2,057,751       2,049,974  
Basic income per share   $ 0.30     $ 0.34  
                 
Diluted:                
Net income available to common shareholders   $ 615     $ 687  
Weighted average common shares outstanding     2,057,751       2,049,974  
Dilutive effect of restricted stock     416       256  
Total common shares and dilutive potential common shares     2,058,167       2,050,230  
Dilutive income per share   $ 0.30     $ 0.34  
v2.4.0.6
Summary of Significant Accounting Policies (Policies)
3 Months Ended
Sep. 30, 2012
Organization, Consolidation and Presentation Of Financial Statements [Abstract]  
Basis Of Accounting Policy [Policy Text Block]

Nature of Operations: Consumers Bancorp, Inc. (the Corporation) is a bank holding company headquartered in Minerva, Ohio that provides, through its banking subsidiary, Consumers National Bank (the Bank), a broad array of products and services throughout its primary market area of Stark, Columbiana, Carroll and contiguous counties in Ohio. The Bank’s business involves attracting deposits from businesses and individual customers and using such deposits to originate commercial, mortgage and consumer loans in its primary market area.

Basis of Presentation and Significant Accounting Policies [Text Block]

Basis of Presentation: The consolidated financial statements for interim periods are unaudited and reflect all adjustments (consisting of only normal recurring adjustments), which, in the opinion of management, are necessary to present fairly the financial position and results of operations and cash flows for the periods presented. The unaudited financial statements are presented in accordance with the requirements of Form 10-Q and do not include all disclosures normally required by accounting principles generally accepted in the United States of America. The financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Corporation’s Form 10-K for the year ended June 30, 2012. The results of operations for the interim period disclosed herein are not necessarily indicative of the results that may be expected for a full year.

 

The consolidated financial statements include the accounts of the Corporation and the Bank. All significant inter-company transactions and accounts have been eliminated in consolidation.

Segment Reporting, Policy [Policy Text Block]
Segment Information: Consumers Bancorp, Inc. is a bank holding company engaged in the business of commercial and retail banking, which accounts for substantially all of the revenues, operating income, and assets. Accordingly, all of its operations are recorded in one segment, banking.
Prior Period Reclassification Adjustment, Description [Policy Text Block]
Reclassifications: Certain items in prior financial statements have been reclassified to conform to the current presentation.
v2.4.0.6
Securities (Tables)
3 Months Ended
Sep. 30, 2012
Investments, Debt and Equity Securities [Abstract]  
Trading Securities (and Certain Trading Assets) [Table Text Block]
Description of Securities   Amortized
Cost
    Gross
Unrealized
Gains
    Gross
Unrealized
Losses
    Fair
Value
 
September 30, 2012                                
Obligations of U.S. government-sponsored entities and agencies   $ 7,426     $ 68     $     $ 7,494  
Obligations of state and political subdivisions     37,547       1,918       (51 )     39,414  
Mortgage-backed securities – residential     46,107       1,189       (41 )     47,255  
Collateralized mortgage obligations     11,283       146       (4 )     11,425  
Trust preferred security     202             (128 )     74  
Total securities   $ 102,565     $ 3,321     $ (224 )   $ 105,662  

 

    Amortized
Cost
    Gross
Unrealized
Gains
    Gross
Unrealized
Losses
    Fair
Value
 
June 30, 2012                                
Obligations of U.S. government-sponsored entities and agencies   $ 8,487     $ 80     $     $ 8,567  
Obligations of state and political subdivisions     33,808       1,577       (109 )     35,276  
Mortgage-backed securities - residential     48,255       1,108       (32 )     49,331  
Collateralized mortgage obligations     12,154       25       (82 )     12,097  
Trust preferred security     202             (138 )     64  
Total securities   $ 102,906     $ 2,790     $ (361 )   $ 105,335  
Schedule of Realized Gain (Loss) [Table Text Block]

Proceeds from the sale of available-for-sale securities were as follows:

 

    Three Months Ended
September 30,
 
    2012     2011  
Proceeds from sales   $ 530     $ 4,951  
Gross realized gains     21       49  
Available-for-sale Securities [Table Text Block]

The amortized cost and fair values of available-for-sale securities at September 30, 2012, by expected maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date, primarily mortgage-backed securities, collateralized mortgage obligations and the trust preferred security are shown separately.

 

    Amortized
Cost
    Estimated Fair
Value
 
Due in one year or less   $ 2,502     $ 2,512  
Due after one year through five years     5,874       5,971  
Due after five years through ten years     11,312       11,954  
Due after ten years     25,285       26,471  
Total     44,973       46,908  
                 
Mortgage-backed securities – residential     46,107       47,255  
Collateralized mortgage obligations     11,283       11,425  
Trust preferred security     202       74  
Total   $ 102,565     $ 105,662  
Available For Sale Securities Continuous Unrealized Loss Position Fair Value [Table Text Block]

The following table summarizes the securities with unrealized losses at September 30, 2012 and June 30, 2012, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position:

 

   

Less than 12 Months

   

12 Months or more

   

Total

 
Description of Securities  

Fair
Value

   

Unrealized
Loss

   

Fair
Value

   

Unrealized
Loss

   

Fair
Value

   

Unrealized
Loss

 
                                     
September 30, 2012                                                
                                                 
Obligations of states and political subdivisions   $ 4,594     $ (51 )   $     $     $ 4,594     $ (51 )
Mortgage-backed securities - residential     7,494       (41 )                 7,494       (41 )
Collateralized mortgage obligations     1,412       (4 )                 1,412       (4 )
Trust preferred security                 74       (128 )     74       (128 )
Total temporarily impaired   $ 13,500     $ (96 )   $ 74     $ (128 )   $ 13,574     $ (224 )

 

    Less than 12 Months     12 Months or more     Total  
Description of Securities   Fair
Value
    Unrealized
Loss
    Fair
Value
    Unrealized
Loss
    Fair
Value
    Unrealized
Loss
 
                                     
June 30, 2012                                                
                                                 
Obligations of states and political subdivisions   $ 6,002     $ (109 )   $     $     $ 6,022     $ (109 )
Mortgage-backed securities - residential     11,135       (32 )                 11,135       (32 )
Collateralized mortgage obligations     6,411       (62 )     2,314       (20 )     8,725       (82 )
Trust preferred security                 64       (138 )     64       (138 )
Total temporarily impaired   $ 23,548     $ (203 )   $ 2,378     $ (158 )   $ 25,926     $ (361 )
v2.4.0.6
Loans (Tables)
3 Months Ended
Sep. 30, 2012
Receivables [Abstract]  
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block]

Major classifications of loans were as follows:

 

    September 30,
2012
    June 30,
2012
 
Commercial   $ 23,506     $ 23,041  
Commercial real estate:                
Construction     2,607       1,546  
Other     113,811       110,775  
1 – 4 Family residential real estate:                
Owner occupied     33,417       34,000  
Non-owner occupied     18,739       18,794  
Construction     248       187  
Consumer     10,121       9,407  
Subtotal     202,449       197,750  
Less: Net deferred loan fees     (331 )     (320 )
Allowance for loan losses     (2,338 )     (2,335 )
Net Loans   $ 199,780     $ 195,095  
Allowance for Credit Losses on Financing Receivables [Table Text Block]

The following table presents the activity in the allowance for loan losses by portfolio segment for the three months ending September 30, 2012:

 

                1-4 Family              
          Commercial     Residential              
          Real     Real              
    Commercial     Estate     Estate     Consumer     Total  
                               
Allowance for loan losses:                                        
Beginning balance   $ 143     $ 1,283     $ 712     $ 197     $ 2,335  
Provision for loan losses     6       (8 )     (20 )     47       25  
Loans charged-off     (4 )           (15 )     (19 )     (38 )
Recoveries                       16       16  
Total ending allowance balance   $ 145     $ 1,275     $ 677     $ 241     $ 2,338  

 

The following table presents the activity in the allowance for loan losses by portfolio segment for the three months ended September 30, 2011:

 

                1-4 Family              
          Commercial     Residential              
          Real     Real              
    Commercial     Estate     Estate     Consumer     Total  
                               
Allowance for loan losses:                                        
Beginning balance   $ 179     $ 882     $ 947     $ 93     $ 2,101  
Provision for loan losses     (82 )     172       (33 )     35       92  
Loans charged-off                 (69 )     (50 )     (119 )
Recoveries                       13       13  
Total ending allowance balance   $ 97     $ 1,054     $ 845     $ 91     $ 2,087  
Loans Evaluated For Impairment [Table Text Block]

The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of September 30, 2012. Included in the recorded investment in loans is $534 of accrued interest receivable net of deferred loan fees of $331.

 

                1-4 Family              
          Commercial     Residential              
          Real     Real              
    Commercial     Estate     Estate     Consumer     Total  
Allowance for loan losses:                              
Ending allowance balance attributable to loans:                                        
Individually evaluated for impairment   $ 46     $ 62     $ 257     $     $ 365  
Collectively evaluated for impairment     99       1,213       420       241       1,973  
Total ending allowance balance   $ 145     $ 1,275     $ 677     $ 241     $ 2,338  
                                         
Recorded investment in loans:                                        
Loans individually evaluated for impairment   $ 104     $ 949     $ 1,392     $     $ 2,445  
Loans collectively evaluated for impairment     23,458       115,513       51,134       10,102       200,207  
Total ending loans balance   $ 23,562     $ 116,462     $ 52,526     $ 10,102     $ 202,652  

 

The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of June 30, 2012. Included in the recorded investment in loans is $494 of accrued interest receivable net of deferred loan fees of $320.

 

                1-4 Family              
          Commercial     Residential              
          Real     Real              
    Commercial     Estate     Estate     Consumer     Total  
Allowance for loan losses:                              
Ending allowance balance attributable to loans:                                        
Individually evaluated for impairment   $ 50     $ 82     $ 258     $     $ 390  
Collectively evaluated for impairment     93       1,201       454       197       1,945  
Total ending allowance balance   $ 143     $ 1,283     $ 712     $ 197     $ 2,335  
                                         
Recorded investment in loans:                                        
Loans individually evaluated for impairment   $ 148     $ 996     $ 1,417     $     $ 2,561  
Loans collectively evaluated for impairment     22,940       111,352       51,683       9,388       195,363  
Total ending loans balance   $ 23,088     $ 112,348     $ 53,100     $ 9,388     $ 197,924  
Impaired Financing Receivables [Table Text Block]

The following table presents information related to loans individually evaluated for impairment by class of loans as of and for the three months ended September 30, 2012:

 

    Unpaid           Allowance for     Average     Interest     Cash Basis  
    Principal     Recorded     Loan Losses     Recorded     Income     Interest  
    Balance     Investment     Allocated     Investment     Recognized     Recognized  
With no related allowance recorded:                                                
Commercial   $ 11     $ 11     $     $ 11     $     $  
Commercial real estate:                                                
Other     94       94             103              
1-4 Family residential real estate:                                                
Owner occupied     81       81             81              
Non-owner occupied     57       58             57       1       1  
With an allowance recorded:                                                
Commercial     93       93       46       122              
Commercial real estate:                                                
Other     854       855       62       863       2       2  
1-4 Family residential real estate:                                                
Owner occupied     310       310       42       314              
Non-owner occupied     942       943       215       946       6       6  
Total   $ 2,442     $ 2,445     $ 365     $ 2,497     $ 9     $ 9  

 

The following table presents information related to loans individually evaluated for impairment by class of loans as of June 30, 2012 and for the three months ended September 30, 2011:

    As of June 30, 2012     Three Months ended September 30, 2011  
    Unpaid           Allowance for     Average     Interest     Cash Basis  
    Principal     Recorded     Loan Losses     Recorded     Income     Interest  
    Balance     Investment     Allocated     Investment     Recognized     Recognized  
With no related allowance recorded:                                                
Commercial   $ 12     $ 12     $     $ 17     $     $  
Commercial real estate:                                                
Other     144       144             635       3       3  
1-4 Family residential real estate:                                                
Owner occupied     238       238             97       2       2  
Non-owner occupied     64       65             43              
With an allowance recorded:                                                
Commercial     136       136       50       63              
Commercial real estate:                                                
Other     851       852       82       763       5       5  
1-4 Family residential real estate:                                                
Owner occupied     160       160       13       218       2       2  
Non-owner occupied     952       954       245       871              
Total   $ 2,557     $ 2,561     $ 390     $ 2,707     $ 12     $ 12  
Investment In Non-Accrual and Loans Past Due Over 90 Days [Table Text Block]

The following table presents the recorded investment in non-accrual and loans past due over 90 days still on accrual by class of loans as of September 30, 2012 and June 30, 2012:

    September 30, 2012     June 30, 2012  
          Loans Past Due           Loans Past Due  
          Over 90 Days           Over 90 Days  
          Still           Still  
    Non-accrual     Accruing     Non-accrual     Accruing  
Commercial   $ 93     $     $ 51     $  
Commercial real estate:                                
Other     863             911        
1 – 4 Family residential:                                
Owner occupied     300             307        
Non-owner occupied     716             663        
Consumer                        
Total   $ 1,972     $     $ 1,932     $  
Past Due Financing Receivables [Table Text Block]

The following table presents the aging of the recorded investment in past due loans as of September 30, 2012 by class of loans:

    Days Past Due                    
                90 Days or                    
    30 - 59     60 - 89     Greater &     Total     Loans Not        
    Days     Days     Non-accrual     Past Due     Past Due     Total  
Commercial   $ 9     $     $ 78     $ 87     $ 23,475     $ 23,562  
Commercial real estate:                                                
Construction                             2,609       2,609  
Other     26             280       306       113,547       113,853  
1-4 Family residential:                                                
Owner occupied     159             254       413       33,126       33,539  
Non-owner occupied           87       43       130       18,610       18,740  
Construction                             247       247  
Consumer     7                   7       10,095       10,102  
Total   $ 201