Peoples Bancorp of North Carolina Inc. reported consolidated unaudited earning results for the fourth quarter and full year ended December 31, 2011. For the quarter, net interest income was $8,569,000 compared with $8,550,000 for the same period a year ago. Earnings before income taxes was $2,485,000 compared with loss before income taxes of $904,000 for the ago period. Net earnings attributable to common shareholders for the quarter was $1,429,000 or $0.26 diluted per share compared with net loss attributable to common shareholders of $787,000 or $0.014 diluted per share for the same period a year ago. Return on average assets was 0.65% compared to negative return on assets of 0.16% a year ago. Return on average shareholders equity was 6.83% negative return on average shareholders equity of 1.71% a year ago. For the full year, net interest income was $34,313,000 compared with $33,332,000 for the same period a year ago. Earnings before income taxes was $6,622,000 compared with earnings before income taxes of $1,830,000 for the ago period. Net earnings attributable to common shareholders was $3,766,000 or $0.68 diluted per share compared with net earnings attributable to common shareholders of $447,000 or $0.08 diluted earnings per share for the same period a year ago. For the period, the company reported book value per share of $14.06 compared with $12.96 for the same period a year ago. Return on average assets was 0.48% compared to 0.17% a year ago. Return on average shareholders equity was 5.03% compared to 1.81% a year ago. The increase in year-to-date earnings is primarily attributable to aggregate increases in net interest income and non-interest income and a decrease in the provision for loan losses, which were partially offset by an increase in non-interest expense. The year to date increase in net interest income is primarily attributable to a reduction in interest expense due to a decrease in the cost of funds for deposits. The company reported charge off was $2,726,000 compared to $8,548,000 for the same quarter a year ago. For the full year, charge off was $12,260,000 compared to $16,910,000 a year ago. The board of directors of the company authorized a $0.05 per share special cash dividend. This cash dividend will be distributed on February 17, 2012 to the shareholders of record on February 6, 2012.