the increase in 2012 was due to increases in non-interest bearing and savings account balances offset by higher rate cds that matured and were not replaced . net interest margin , defined as net interest income divided by average interest-earning assets , was 3.38 % for 2013 , 3.44 % for 2012 and 3.45 % for 2011. the decrease during 2013 was primarily due to a greater decrease in rates on earning assets compared to the decline in rates on interest bearing liabilities . the decrease during 2012 was the result of a greater decline in asset yields for loans and and investments than deposit rates due to the continued historically low level of interest rates . net interest income increased to $ 49.9 million in 2013 from $ 49.6 million in 2012 and $ 48.3 million in 2011. the ability of the company to continue to grow net interest income is largely dependent on management 's ability to succeed in its overall business development efforts . management expects these efforts to continue but does not intend to compromise credit quality and prudent management of the maturities of interest-earning assets and interest-paying liabilities in order to achieve growth . 20 non-interest income increased to $ 19.3 million in 2013 compared to $ 18.3 million in 2012 and $ 15.8 million in 2011. the primary reason for the increase of $ 1 million or 5.6 % from 2012 to 2013 was more gains on the sale of securities primarily due to the sale of two trust preferred securities which resulted in a gain of $ 1.4 million . in addition to security gains , revenues from trust and wealth management also increased by $ 380,000 due to increased revenue from the retirement services area and more growth through the brokerage platform . these increases offset the decline in mortgage banking income during the year as refinances slowed with the increase in interest rates . the primary reason for the increase of $ 2.5 million or 16 % from 2011 to 2012 was increases in trust revenue and mortgage banking revenue and no other-than-temporary impairment charges on investment securities . non-interest expenses increased $ 666,000 , to $ 43.5 million in 2013 compared to $ 42.8 million in 2012 , and $ 43.1 million in 2011. the increase during 2013 of less than 2 % was primarily due to an increase in salaries and benefits expenses due to additions in sales staff and employees added for a new branch location . the decrease during 2012 was primarily due to a decline in expenses from other real estate owned offset by an increase in salaries and benefits expenses . following is a summary of the factors that contributed to the changes in net income ( in thousands ) : replace_table_token_4_th credit quality is an area of importance to the company . year-end total nonperforming loans were $ 6.5 million at december 31 , 2013 compared to $ 7.6 million at december 31 , 2012 , and $ 7.4 million at december 31 , 2011. the decrease in 2013 was the result of loans that paid off or became current during the year and loans transferred to other real estate owned . the increase in 2012 was primarily the result of additional loans becoming past-due and put on non-accrual . other real estate owned balances totaled $ 568,000 at december 31 , 2013 compared to $ 1.2 million at december 31 , 2012 , and $ 4.6 million at december 31 , 2011. the decreases in 2013 and 2012 were due to more properties sold during the year than properties transferred in . the company 's provision for loan losses was $ 2.2 million for 2013 , compared to $ 2.6 million for 2012 , and $ 3.1 million for 2011. at december 31 , 2013 , the composition of the loan portfolio remained similar to year-end 2012. loans secured by both commercial and residential real estate comprised of 74 % of the loan portfolio at december 31 , 2013 and 73 % for 2012. the company also held an investment in one trust preferred security with a fair value of $ 191,000 and unrealized losses of $ 3.5 million at december 31 , 2013 compared to three trust preferred securities with a fair value of $ 585,000 and unrealized losses of $ 4.4 million at december 31 , 2012. on july 22 , 2013 , the company sold its holding in pretsl i and ii . the proceeds of these sales were sufficient to pay off the book value of $ 1.1 million of these securities , reverse the recorded otti impairment of $ 2.9 million and record a gain on sale of approximately $ 1.4 million . during 2013 the company did not record any additional impairment charges for these securities . on july 3 , 2012 , the company 's holding in pretsl vi was redeemed in full . the payment received was sufficient to pay-off the book value of the security of $ 123,000 , reverse the recorded otti impairment of $ 127,000 and recover previously unrecorded interest of $ 11,500. during 2012 , the company recorded no other-than-temporary impairment charges for the credit portion of the unrealized losses of these securities compared to $ 886,000 during 2011. the charge during 2011 established a new , lower amortized cost basis for these securities and reduced non-interest income . see note 4 – “ investment securities ” for additional details regarding these investments . the company 's capital position remains strong and the company has consistently maintained regulatory capital ratios above the “ well-capitalized ” standards . the company 's tier 1 capital ratio to risk weighted assets ratio at december 31 , 2013 , 2012 , and 2011 was 14.37 % , 14.51 % , and 13.37 % , respectively . story_separator_special_tag 1,005 ) 5,256 ( 6,261 ) interest-bearing liabilities : deposits : demand deposits , interest-bearing ( 648 ) 83 ( 731 ) ( 882 ) 57 ( 939 ) savings deposits ( 734 ) 52 ( 786 ) ( 295 ) 166 ( 461 ) time deposits ( 758 ) ( 155 ) ( 603 ) ( 705 ) ( 425 ) ( 280 ) securities sold under agreements to repurchase ( 71 ) ( 22 ) ( 49 ) ( 55 ) 8 ( 63 ) fhlb advances ( 54 ) 66 ( 120 ) ( 457 ) ( 307 ) ( 150 ) federal funds purchased 9 9 — — — — subordinated debentures ( 40 ) — ( 40 ) ( 207 ) — ( 207 ) story_separator_special_tag style= `` font-family : arial narrow ; font-size:9pt ; `` > 26 total non-interest income increased to $ 19.3 million in 2013 compared to $ 18.3 million in 2012 and $ 15.8 million in 2011. the primary reasons for the more significant year-to-year changes in other income components are as follows : trust revenues increased $ 235,000 or 7.1 % in 2013 to $ 3,565,000 from $ 3,330,000 in 2012 and $ 3,030,000 in 2011. the increase from 2012 to 2013 in trust revenues was due primarily to an increase in revenues from from investment management & advisory agency accounts and increases in market value related fees . trust assets were $ 722.9 million at december 31 , 2013 compared to $ 633.8 million at december 31 , 2012 and $ 546.7 million at december 31 , 2011. revenue from brokerage annuity sales increased $ 145,000 or 21.1 % to $ 833,000 in 2013 from $ 688,000 in 2012 and $ 650,000 in 2011. the increase from 2012 to 2013 was due an increase in the number of brokerage accounts from new business development efforts . insurance commissions decreased $ 175,000 or 9.7 % to $ 1,638,000 in 2013 from $ 1,813,000 in 2012 compared to $ 1,786,000 in 2011. the decrease from 2012 to 2013 was due to a decrease in property and casualty insurance commissions during 2013 compared to 2012. fees from service charges increased $ 57,000 or 1.2 % to $ 4,865,000 in 2013 from $ 4,808,000 in 2012 and $ 4,817,000 in 2011. the increase from 2012 to 2013 was primarily due to an increase in commercial transaction account fees . net securities gains in in 2013 were $ 2.3 million up $ 1.4 million or 145.5 % from $ 934,000 in 2012 and $ 486,000 in 2011. t he increase in securities gains during 2013 was primarily due to the sale of two trust preferred securities that resulted in net security gains of $ 1.4 million . the remaining gains were due to several securities in the investment portfolio were sold to improve the overall portfolio mix and the margin . during 2012 , the company received payment for the redemption of one of its investments in trust preferred securities that resulted in the reversal of $ 127,000 of previous other-than-temporary impairment charges . during 2011 , the company recorded other-than-temporary impairment charges amounting to $ 886,000 for its investments in four trust preferred securities . see note 4 - investment securities in the notes to the financial statements for a more detailed description of these charges . mortgage banking income decreased $ 574,000 or 38.0 % to $ 935,000 in 2013 from $ 1,509,000 in 2012 and $ 788,000 in 2011. the decrease from 2012 to 2013 was due to an decrease in the volume of loans originated and sold by first mid bank due to less refinancing as interest rates rose on various loan types . loans sold balances are as follows : ▪ $ 65 million ( representing 552 loans ) in 2013 ▪ $ 101 million ( representing 796 loans ) in 2012 ▪ $ 60 million ( representing 500 loans ) in 2011 first mid bank generally releases the servicing rights on loans sold into the secondary market . revenue from atms and debit cards increased $ 218,000 or 6.1 % to $ 3,772,000 in 2013 from $ 3,554,000 in 2012 compared to $ 3,483,000 in 2011. the increase from 2012 to 2013 was primarily due to in increase in electronic transactions . the increase from 2011 to 2012 was due to an increase in the number of transactions processed offset by lower fees received for processing these transactions . other income decreased $ 107,000 or 6.9 % in 2013 to $ 1,440,000 from $ 1,547,000 in 2012 compared to $ 1,633,000 in 2011. the decrease from 2012 to 2013 was primarily due to a decline in rental income from other real estate owned that was sold during the third quarter of 2013 and less loan closing fees compared to 2012. the decrease from 2011 to 2012 was primarily due to non-recurring income received in 2011 for distribution of an investment in other assets and decreases in various other expenses . 27 other expense the major categories of other expense include salaries and employee benefits , occupancy and equipment expenses and other operating expenses associated with day-to-day operations . the following table sets forth the major components of other expense for the last three years ( in thousands ) : replace_table_token_6_th total non-interest expense increased to $ 43.5 million in 2013 from $ 42.8 million in 2012 and $ 43.1 million in 2011. the primary reasons for the more significant year-to-year changes in other expense components are as follows : salaries and employee benefits , the largest component of other expense , increased $ 695,000 or 3 % to $ 24.1 million from $ 23.4 million in 2012 , and $ 22.7 million in 2011. the increases in 2013 and 2012 were primarily due to increases in incentive compensation expense as a result of achieving desired objectives and merit raises for continuing employees . there were 406 full-time equivalent

other debt ( 326 ) ( 326 ) — 254 254 — total interest expense ( 2,622 ) ( 293 ) ( 2,329 ) ( 2,347 ) ( 247 ) ( 2,100 ) net interest income $ 314 $ 3,617 $ ( 3,303 ) $ 1,342 $ 5,503 $ ( 4,161 ) ( 1 ) changes attributable to the combined impact of volume and rate have been allocated proportionately to the change due to volume and the change due to rate . ( 2 ) the tax-exempt income is not recorded on a tax equivalent basis . ( 3 ) nonaccrual loans are not material and have been included in the average balances . net interest income increased $ 314,000 or .6 % in 2013 compared to an increase of $ 1.3 million or 2.8 % in 2012. the increase in 2013 was primarily due to growth in investment security and loan balances offset by a decline in earning asset rates that was greater than the decline in rates of interest-bearing liabilities . the increase in net interest income in 2012 was primarily due to a greater increase in investment and loan balances offset by declines in interest-bearing asset rates compared to declines in rates of interest-bearing liabilities during the same period .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```other debt ( 326 ) ( 326 ) — 254 254 — total interest expense ( 2,622 ) ( 293 ) ( 2,329 ) ( 2,347 ) ( 247 ) ( 2,100 ) net interest income $ 314 $ 3,617 $ ( 3,303 ) $ 1,342 $ 5,503 $ ( 4,161 ) ( 1 ) changes attributable to the combined impact of volume and rate have been allocated proportionately to the change due to volume and the change due to rate . ( 2 ) the tax-exempt income is not recorded on a tax equivalent basis . ( 3 ) nonaccrual loans are not material and have been included in the average balances . net interest income increased $ 314,000 or .6 % in 2013 compared to an increase of $ 1.3 million or 2.8 % in 2012. the increase in 2013 was primarily due to growth in investment security and loan balances offset by a decline in earning asset rates that was greater than the decline in rates of interest-bearing liabilities . the increase in net interest income in 2012 was primarily due to a greater increase in investment and loan balances offset by declines in interest-bearing asset rates compared to declines in rates of interest-bearing liabilities during the same period .
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 Suspicious Activity Report : the increase in 2012 was due to increases in non-interest bearing and savings account balances offset by higher rate cds that matured and were not replaced . net interest margin , defined as net interest income divided by average interest-earning assets , was 3.38 % for 2013 , 3.44 % for 2012 and 3.45 % for 2011. the decrease during 2013 was primarily due to a greater decrease in rates on earning assets compared to the decline in rates on interest bearing liabilities . the decrease during 2012 was the result of a greater decline in asset yields for loans and and investments than deposit rates due to the continued historically low level of interest rates . net interest income increased to $ 49.9 million in 2013 from $ 49.6 million in 2012 and $ 48.3 million in 2011. the ability of the company to continue to grow net interest income is largely dependent on management 's ability to succeed in its overall business development efforts . management expects these efforts to continue but does not intend to compromise credit quality and prudent management of the maturities of interest-earning assets and interest-paying liabilities in order to achieve growth . 20 non-interest income increased to $ 19.3 million in 2013 compared to $ 18.3 million in 2012 and $ 15.8 million in 2011. the primary reason for the increase of $ 1 million or 5.6 % from 2012 to 2013 was more gains on the sale of securities primarily due to the sale of two trust preferred securities which resulted in a gain of $ 1.4 million . in addition to security gains , revenues from trust and wealth management also increased by $ 380,000 due to increased revenue from the retirement services area and more growth through the brokerage platform . these increases offset the decline in mortgage banking income during the year as refinances slowed with the increase in interest rates . the primary reason for the increase of $ 2.5 million or 16 % from 2011 to 2012 was increases in trust revenue and mortgage banking revenue and no other-than-temporary impairment charges on investment securities . non-interest expenses increased $ 666,000 , to $ 43.5 million in 2013 compared to $ 42.8 million in 2012 , and $ 43.1 million in 2011. the increase during 2013 of less than 2 % was primarily due to an increase in salaries and benefits expenses due to additions in sales staff and employees added for a new branch location . the decrease during 2012 was primarily due to a decline in expenses from other real estate owned offset by an increase in salaries and benefits expenses . following is a summary of the factors that contributed to the changes in net income ( in thousands ) : replace_table_token_4_th credit quality is an area of importance to the company . year-end total nonperforming loans were $ 6.5 million at december 31 , 2013 compared to $ 7.6 million at december 31 , 2012 , and $ 7.4 million at december 31 , 2011. the decrease in 2013 was the result of loans that paid off or became current during the year and loans transferred to other real estate owned . the increase in 2012 was primarily the result of additional loans becoming past-due and put on non-accrual . other real estate owned balances totaled $ 568,000 at december 31 , 2013 compared to $ 1.2 million at december 31 , 2012 , and $ 4.6 million at december 31 , 2011. the decreases in 2013 and 2012 were due to more properties sold during the year than properties transferred in . the company 's provision for loan losses was $ 2.2 million for 2013 , compared to $ 2.6 million for 2012 , and $ 3.1 million for 2011. at december 31 , 2013 , the composition of the loan portfolio remained similar to year-end 2012. loans secured by both commercial and residential real estate comprised of 74 % of the loan portfolio at december 31 , 2013 and 73 % for 2012. the company also held an investment in one trust preferred security with a fair value of $ 191,000 and unrealized losses of $ 3.5 million at december 31 , 2013 compared to three trust preferred securities with a fair value of $ 585,000 and unrealized losses of $ 4.4 million at december 31 , 2012. on july 22 , 2013 , the company sold its holding in pretsl i and ii . the proceeds of these sales were sufficient to pay off the book value of $ 1.1 million of these securities , reverse the recorded otti impairment of $ 2.9 million and record a gain on sale of approximately $ 1.4 million . during 2013 the company did not record any additional impairment charges for these securities . on july 3 , 2012 , the company 's holding in pretsl vi was redeemed in full . the payment received was sufficient to pay-off the book value of the security of $ 123,000 , reverse the recorded otti impairment of $ 127,000 and recover previously unrecorded interest of $ 11,500. during 2012 , the company recorded no other-than-temporary impairment charges for the credit portion of the unrealized losses of these securities compared to $ 886,000 during 2011. the charge during 2011 established a new , lower amortized cost basis for these securities and reduced non-interest income . see note 4 – “ investment securities ” for additional details regarding these investments . the company 's capital position remains strong and the company has consistently maintained regulatory capital ratios above the “ well-capitalized ” standards . the company 's tier 1 capital ratio to risk weighted assets ratio at december 31 , 2013 , 2012 , and 2011 was 14.37 % , 14.51 % , and 13.37 % , respectively . story_separator_special_tag 1,005 ) 5,256 ( 6,261 ) interest-bearing liabilities : deposits : demand deposits , interest-bearing ( 648 ) 83 ( 731 ) ( 882 ) 57 ( 939 ) savings deposits ( 734 ) 52 ( 786 ) ( 295 ) 166 ( 461 ) time deposits ( 758 ) ( 155 ) ( 603 ) ( 705 ) ( 425 ) ( 280 ) securities sold under agreements to repurchase ( 71 ) ( 22 ) ( 49 ) ( 55 ) 8 ( 63 ) fhlb advances ( 54 ) 66 ( 120 ) ( 457 ) ( 307 ) ( 150 ) federal funds purchased 9 9 — — — — subordinated debentures ( 40 ) — ( 40 ) ( 207 ) — ( 207 ) story_separator_special_tag style= `` font-family : arial narrow ; font-size:9pt ; `` > 26 total non-interest income increased to $ 19.3 million in 2013 compared to $ 18.3 million in 2012 and $ 15.8 million in 2011. the primary reasons for the more significant year-to-year changes in other income components are as follows : trust revenues increased $ 235,000 or 7.1 % in 2013 to $ 3,565,000 from $ 3,330,000 in 2012 and $ 3,030,000 in 2011. the increase from 2012 to 2013 in trust revenues was due primarily to an increase in revenues from from investment management & advisory agency accounts and increases in market value related fees . trust assets were $ 722.9 million at december 31 , 2013 compared to $ 633.8 million at december 31 , 2012 and $ 546.7 million at december 31 , 2011. revenue from brokerage annuity sales increased $ 145,000 or 21.1 % to $ 833,000 in 2013 from $ 688,000 in 2012 and $ 650,000 in 2011. the increase from 2012 to 2013 was due an increase in the number of brokerage accounts from new business development efforts . insurance commissions decreased $ 175,000 or 9.7 % to $ 1,638,000 in 2013 from $ 1,813,000 in 2012 compared to $ 1,786,000 in 2011. the decrease from 2012 to 2013 was due to a decrease in property and casualty insurance commissions during 2013 compared to 2012. fees from service charges increased $ 57,000 or 1.2 % to $ 4,865,000 in 2013 from $ 4,808,000 in 2012 and $ 4,817,000 in 2011. the increase from 2012 to 2013 was primarily due to an increase in commercial transaction account fees . net securities gains in in 2013 were $ 2.3 million up $ 1.4 million or 145.5 % from $ 934,000 in 2012 and $ 486,000 in 2011. t he increase in securities gains during 2013 was primarily due to the sale of two trust preferred securities that resulted in net security gains of $ 1.4 million . the remaining gains were due to several securities in the investment portfolio were sold to improve the overall portfolio mix and the margin . during 2012 , the company received payment for the redemption of one of its investments in trust preferred securities that resulted in the reversal of $ 127,000 of previous other-than-temporary impairment charges . during 2011 , the company recorded other-than-temporary impairment charges amounting to $ 886,000 for its investments in four trust preferred securities . see note 4 - investment securities in the notes to the financial statements for a more detailed description of these charges . mortgage banking income decreased $ 574,000 or 38.0 % to $ 935,000 in 2013 from $ 1,509,000 in 2012 and $ 788,000 in 2011. the decrease from 2012 to 2013 was due to an decrease in the volume of loans originated and sold by first mid bank due to less refinancing as interest rates rose on various loan types . loans sold balances are as follows : ▪ $ 65 million ( representing 552 loans ) in 2013 ▪ $ 101 million ( representing 796 loans ) in 2012 ▪ $ 60 million ( representing 500 loans ) in 2011 first mid bank generally releases the servicing rights on loans sold into the secondary market . revenue from atms and debit cards increased $ 218,000 or 6.1 % to $ 3,772,000 in 2013 from $ 3,554,000 in 2012 compared to $ 3,483,000 in 2011. the increase from 2012 to 2013 was primarily due to in increase in electronic transactions . the increase from 2011 to 2012 was due to an increase in the number of transactions processed offset by lower fees received for processing these transactions . other income decreased $ 107,000 or 6.9 % in 2013 to $ 1,440,000 from $ 1,547,000 in 2012 compared to $ 1,633,000 in 2011. the decrease from 2012 to 2013 was primarily due to a decline in rental income from other real estate owned that was sold during the third quarter of 2013 and less loan closing fees compared to 2012. the decrease from 2011 to 2012 was primarily due to non-recurring income received in 2011 for distribution of an investment in other assets and decreases in various other expenses . 27 other expense the major categories of other expense include salaries and employee benefits , occupancy and equipment expenses and other operating expenses associated with day-to-day operations . the following table sets forth the major components of other expense for the last three years ( in thousands ) : replace_table_token_6_th total non-interest expense increased to $ 43.5 million in 2013 from $ 42.8 million in 2012 and $ 43.1 million in 2011. the primary reasons for the more significant year-to-year changes in other expense components are as follows : salaries and employee benefits , the largest component of other expense , increased $ 695,000 or 3 % to $ 24.1 million from $ 23.4 million in 2012 , and $ 22.7 million in 2011. the increases in 2013 and 2012 were primarily due to increases in incentive compensation expense as a result of achieving desired objectives and merit raises for continuing employees . there were 406 full-time equivalent

