Shore Bancshares, Inc. reported consolidated earnings results for the fourth quarter and year ended December 31, 2011. For the quarter, net interest income was $9.84 million against $10.87 million a year ago. Income before income taxes was $0.42 million against $1.34 million a year ago. Net income was $0.33 million or $0.04 diluted per share against $0.85 million or $0.10 diluted per share a year ago. Return on average assets was 0.11% against 0.30% a year ago. Return on average equity was 1.07% against 2.73% a year ago. The decrease in net interest income was primarily due to lower yields earned on average earning assets and a decline in higher-yielding average loan balances. The main reason for the lower net income was a decline in net interest income of $1.0 million, which was partially offset by a decrease in the provision for credit losses of $0.36 million. For the year, net interest income was $39.76 million against $42.64 million a year ago. Loss before income taxes was $1.56 million against $2.16 million a year ago. Net loss was $0.90 million or $0.11 diluted per share against $1.67 million or $0.20 diluted per share a year ago. Negative return on average assets was 0.08% against 0.15% a year ago. Negative return on average equity was 0.74% against 1.33% a year ago. Book value per common share was $14.34 compared to $14.51 a year ago. Tangible book value per common share was $12.37 compared to $12.32 a year ago. The company reported that net charge-offs were $3.3 million for the fourth quarter of 2011, lower than the $6.5 million for the third quarter of 2011 and even with the amount for the fourth quarter of 2010.