NOTE 15   COMMITMENTS AND CONTINGENCIES Commitments to originate mortgage loans are legally binding agreements to lend to the Company's customers and generally expire in ninety days or less.There were no commitments at June 30, 2013 to originate adjustable-rate mortgage loans or to originate fixed-rate mortgage loans with a term of twenty years or less. The Company has $320 in unfunded letters of credit and $27,663 in unfunded lines of credit at June 30, 2013. The Company also has $15,330 in commitments to fund residential construction, commercial real estate construction and land development loans at June 30, 2013. The Company has entered into employment agreements with its President and CEO Anderson L. Smith and two other officers. Agreement stipulations are terms, duties, compensation and performance bonuses and provide remedies for all parties upon certain events occurring.Mr. Smith s agreement provides for deferred compensation upon attaining the age of 65. Upon completion of the Bank s conversion from mutual to stock form, a  liquidation account  was established in an amount equal to the total equity of the Bank as of the latest practicable date prior to the conversion.The liquidation account was established to provide limited priority claim to the assets of the Bank to  eligible account holders , as defined in the Plan of Conversion, who continue to maintain deposits in the Bank after the conversion. In the unlikely event of a complete liquidation of the Bank, and only in such event, each eligible account holder and supplemental eligible account holder would receive a liquidation distribution, prior to any payment to the holder of the Bank s common stock. This distribution would be based upon each eligible account holder s and supplemental eligible account holder s proportionate share of the then total remaining qualifying deposits.At the time of the conversion, the liquidation account, which is an off-balance sheet memorandum account, amounted to $29.5 million.