<PAGE>
U.S. SECURITIES AND EXCHANGE COMMISSION
WASHINGTON D.C. 20549
FORM 10-QSB
(Mark One)
[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 1998
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT
For transition period from__________ to___________
Commission file number 0-27464
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BROADWAY FINANCIAL CORPORATION
------------------------------
(Exact Name of Small Business Issuer as Specified in its Charter)
DELAWARE 95-4547287
-------- ----------
(State of Incorporation) (IRS Employer Identification No.)
4800 WILSHIRE BOULEVARD, LOS ANGELES, CALIFORNIA 90010
-------------------------------------------------------------
(Address of Principal Executive Offices)
(213) 634-1700
--------------
(Issuer's Telephone Number, Including Area Code)
Check whether the issuer (1) filed all reports required to be filed by Section
13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter
period that the registrant was required to file such reports), and (2) has been
subject to such filing requirements for the past 90 days. Yes [x] No [ ]
State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date: 863,447 shares of the Company's
Common Stock, par value $.01 per share, were issued and outstanding as of May
01, 1998.
Transitional Small Business Disclosure Format (Check one):
Yes [ ] No [x]
1
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INDEX
PART I-- FINANCIAL INFORMATION
Item 1. Financial Statements Page
Consolidated Balance Sheets
as of March 31, 1998 (unaudited)
and December 31, 1997 3
Consolidated Statements of
Operations (unaudited) for
the three months ended
March 31, 1998 and March 31, 1997 4
Consolidated Statement of
Cash Flows (unaudited) for the
three months ended March 31, 1998
and March 31, 1997 5
Notes to Consolidated Financial
Statements 7
Item 2. Management's Discussion and
Analysis of Operations 9
2
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BROADWAY FINANCIAL CORPORATION
AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>
March 31,
1998 December 31,
(Unaudited) 1997
------------- --------------
<S> <C> <C>
ASSETS:
Cash and Federal funds sold........................................... $ 6,565 $ 4,831
Investment securities, held to maturity............................... 8,638 9,207
Loans receivable, net................................................. 105,365 103,689
Loans receivable held for sale........................................ 816 222
Accrued interest receivable........................................... 766 834
Real estate acquired through foreclosure.............................. 515 1,144
Investments in capital stock of Federal Home Loan Bank, at cost....... 945 931
Office properties & equipment, net.................................... 4,290 3,995
Other assets.......................................................... 544 263
------------- --------------
Total Assets..................................................... $ 128,444 $ 125,116
------------- --------------
------------- --------------
LIABILITIES AND STOCKHOLDERS' EQUITY
Savings deposits...................................................... $ 113,554 $ 109,867
Advance payments by borrowers for taxes and insurance................. 17 199
Deferred income taxes................................................. 450 463
Other liabilities..................................................... 861 1,148
------------- --------------
Total Liabilities................................................ 114,882 111,677
Stockholders' equity:
Preferred nonconvertible, non-cumulative, and non-voting stock,
$.01 par value, authorized 1,000,000 shares; issued and
outstanding 55,199 shares at March 31, 1998..................... 1 1
Common Stock, $.01 par value, authorized 3,000,000 shares;
issued and outstanding 863,447 shares at March 31, 1998......... 9 9
Additional paid-in capital......................................... 8,833 8,820
Retained Earnings-substantially restricted......................... 5,522 5,427
Treasury Stock, at cost............................................ (318) (318)
Unearned Employee Stock Ownership Plan shares...................... (485) (500)
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Total stockholders' equity....................................... 13,562 13,439
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Total liabilities and stockholders' equity.................... $ 128,444 $ 125,116
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</TABLE>
See Notes to Consolidated Financial Statements
3
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BROADWAY FINANCIAL CORPORATION
AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>
Three Months Ended
March 31,
1998 1997
(Unaudited) (Unaudited)
--------------- ---------------
<S> <C> <C>
Interest Income:
Interest on loans receivable.............................. $ 2,172 $ 2,039
Interest on investment securities......................... 91 157
Interest on mortgage backed securities.................... 49 6
Other interest income..................................... 15 14
--------------- ---------------
Total interest income.................................. 2,327 2,216
Interest expense:
Interest on savings deposits.............................. 1,042 935
Interest on borrowings.................................... 3 -
--------------- ---------------
Total interest expense................................. 1,045 935
Net interest income before provision for loan losses... 1,282 1,281
Provision for loan losses...................................... 75 30
--------------- ---------------
Net interest income after provision for loan losses.... 1,207 1,251
Noninterest income:
Service charges........................................... 102 83
Gain on sale of mortgage loans............................ 19 -
Gain on sale of office properties and equipment........... 6 -
Other noninterest income.................................. 181 5
--------------- ---------------
308 88
--------------- ---------------
Noninterest expense:
Compensation and benefits................................. 693 575
Occupancy expense, net.................................... 280 222
Advertising and promotional expense....................... 37 45
Professional services..................................... 22 23
Federal insurance premiums................................ 25 12
Insurance bond premiums................................... 26 29
Real estate operations, net............................... 6 15
Contracted security services.............................. 36 27
Net operational losses.................................... 10 138
Other noninterest expense................................. 130 142
--------------- ---------------
1,265 1,228
--------------- ---------------
Earnings before income taxes.............................. 250 111
Income taxes................................................... 105 48
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Net earnings.............................................. $ 145 $ 63
--------------- ---------------
--------------- ---------------
Per share information
Number of shares.......................................... 863,477 892,688
Earnings per share........................................ $.16 $.06
Earnings per share -assuming dilution..................... .16 .06
</TABLE>
See Notes to Consolidated Financial Statements
4
<PAGE>
BROADWAY FINANCIAL CORPORATION
AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>
Three Months Ended
March 31, March 31,
1998 1997
(Unaudited) (Unaudited)
--------------- ---------------
<S> <C> <C>
OPERATING ACTIVITIES
Net earnings $145 $63
--------------- --------------
Adjustments to reconcile net earnings to net cash provided by
(used in) operating activities:
Depreciation 31 41
Amortization of net deferred loan origination fees (92) 12
Amortization of discounts and premium on securities 1 (2)
Federal Home Loan Bank stock dividends (14) (14)
Loss (Gain) on sale of real estate owned (25) 1
Gain on sale of loans receivable held for sale (25) -
Changes in operating assets and liabilities:
Provision for loan losses 75 30
Provision for write-downs and losses on real estate 17 10
Loans originated for sale, net of refinances (1,713) -
Proceeds from sale of loans receivable 1,144 -
Accrued interest receivable 68 (26)
Income tax receivable - 92
Other assets (281) 41
Deferred income taxes 119 -
Other liabilities (425) 120
--------------- --------------
Total adjustments (1,120) 305
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Net cash (used in) provided by operating activities (975) 368
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INVESTING ACTIVITIES
Loans originated, net of refinances (1,808) (3,765)
Loans purchased (4,780) (1,833)
Principal repayment on loans 4,736 2,667
Increase in investment in real estate - (99)
Proceeds from sale of office properties and equipment 132 -
Gain on sale of office properties and equipment (6) -
Purchases of investment securities held to maturity (3,125) -
Proceeds from maturities of investment securities held to
maturity 3,693 1,499
Capital expenditures for office properties and equipment (452) (241)
Proceeds from sale of real estate acquired through foreclosure 836 47
--------------- --------------
Net cash used in investing activities (774) (1,725)
--------------- --------------
</TABLE>
(Continued)
5
<PAGE>
BROADWAY FINANCIAL CORPORATION
AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>
Three Months Ended
March 31, March 31,
1998 1997
(Unaudited) (Unaudited)
--------------- ---------------
<S> <C> <C>
FINANCING ACTIVITIES
Net increase in savings deposits 3,687 1,730
Additional paid-in capital 12 -
Dividends declared (50) (56)
Unearned Employee Stock Ownership Plan 16 -
Increase in advances by borrowers
for taxes and insurance (182) (157)
--------------- ---------------
Net cash provided by financing activities 3,483 1,517
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Net increase in cash and cash equivalents 1,734 160
Cash and cash equivalents at beginning of period 4,831 5,180
--------------- ---------------
Cash and cash equivalents at end of period $6,565 $5,340
--------------- ---------------
--------------- ---------------
Supplemental disclosure of cash flow information:
Cash paid for interest expense $1,049 $937
Cash paid for income taxes - -
--------------- ---------------
--------------- ---------------
Supplemental disclosure of noncash investing and financing activities:
Additions to real estate acquired through foreclosure 245 356
Loans to facilitate the sale of real estate acquired through
foreclosure - -
</TABLE>
See Notes to Consolidated Financial Statements
6
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BROADWAY FINANCIAL CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
MARCH 31, 1998
1. In the opinion of management of Broadway Financial Corporation (the
"Company"), the preceding unaudited consolidated financial statements
contain all material adjustments (consisting solely of normal recurring
accruals and standard allowance for loan losses) necessary to present
fairly the consolidated financial position of the Company at March 31, 1998
and the results of its operations for the three months ended March 31, 1998
and 1997, and its cash flows for the three months ended March 31, 1998 and
1997. These consolidated financial statements do not include all
disclosures associated with the Company's annual financial statements
included in its annual report on Form 10-KSB for the year ended December
31, 1997 and, accordingly, should be read in conjunction with such audited
statements.
2. The results of operations for the three months ended March 31, 1998 are not
necessarily indicative of the results to be expected for the full year.
3. RECENT ACCOUNTING PRONOUNCEMENTS
EARNINGS PER SHARE - In February 1997, the Financial Accounting
Standards Board issued Statement No. 128, "Earnings per Share" ("SFAS
No. 128"). SFAS No. 128 establishes standards for computing and
presenting earnings per share (EPS) and applies to entities with
publicly held common stock. SFAS No. 128 simplifies the standards for
computing earnings per share previously found in APB Opinion No. 15 and
makes them comparable to international EPS standards. It replaces the
presentation of primary EPS with a presentation of basic EPS. It also
requires dual presentation of basic and diluted EPS on the face of the
statement of earnings for all entities with complex capital structures
and requires a reconciliation of the numerator and denominator of the
basic EPS computation to the numerator and denominator of the diluted
EPS computation. SFAS No. 128 is effective for financial statements
issued for periods ending after December 15, 1997. The Company adopted
SFAS No. 128 effective December 31, 1997. Adoption had no impact on the
basic EPS computation. The EPS-assuming dilution computation was
impacted only by stock-based employee compensation. All EPS amounts for
all periods have been presented, and where appropriate, restated, to
conform to the SFAS No. 128 requirements.
COMPREHENSIVE INCOME - In June 1997, the Financial Accounting Standards
Board issued Statement No. 130, "Reporting Comprehensive Income" ("SFAS
No. 130"). SFAS No. 130 establishes new rules for the reporting and
display of comprehensive income and its components in a full set of
general purpose
7
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financial statements. SFAS No. 130 requires companies to (a) display
items of other comprehensive income either below the total for net
income in the income statement, or in a statement of changes in equity,
and (b) disclose the accumulated balance of other comprehensive income
separately from retained earnings and additional paid-in-capital in the
equity section of the balance sheet. Other comprehensive income
includes unrealized gains and losses on available-for-sale securities
and foreign currency translation adjustments. SFAS No. 130 is
effective for the fiscal years beginning after December 15, 1997,
although earlier application is permitted. Reclassification of
financial statements for earlier periods provided for comparative
purposes is required. Disclosure of total comprehensive income is
required in interim period financial statements. The Company does not
believe that such adoption has any adverse impact on its financial
condition or results of operations.
8
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ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF OPERATIONS
GENERAL
Broadway Financial Corporation (the "Company") was incorporated under
Delaware law on September 25, 1995 for the purpose of acquiring and holding
all of the outstanding capital stock of Broadway Federal Bank, f.s.b.
("Broadway Federal" or "Bank") as part of the Bank's conversion from a
federally chartered mutual savings association to a federally chartered stock
savings bank (the "Conversion"). The Conversion was completed, and the Bank
became a wholly owned subsidiary of the Company, on January 8, 1996.
The Company's principal business is serving as a holding company for Broadway
Federal. The Company's results of operations are dependent primarily on
Broadway Federal's net interest income, which is the difference between the
interest income earned on its interest-earning assets, such as loans and
investments, and the interest expense on its interest-bearing liabilities,
such as deposits and borrowings. Broadway Federal also generates recurring
non-interest income such as transactional fees on its loan and deposit
portfolios. The Company's operating results are also affected by the amount
of the Bank's general and administrative expenses, which consist principally
of employee compensation and benefits, occupancy expense, and federal deposit
insurance premiums, and by its periodic provisions for loan losses. More
generally, the results of operations of thrift and banking institutions are
also affected by prevailing economic conditions, competition, and the
monetary and fiscal policies of governmental agencies.
COMPARISON OF OPERATING RESULTS FOR THE THREE MONTHS ENDED MARCH 31, 1998 AND
MARCH 31, 1997
GENERAL
The Company recorded net earnings of $145,000 for the three months ended
March 31, 1998, as compared to net earnings of $63,000 for the three months
ended March 31, 1997. The first quarter net earnings as of March 31, 1998
resulted from a number of offsetting factors which included higher interest
income, higher interest expense on savings deposits, higher provision for
loan losses, higher noninterest income, higher noninterest expense and higher
income taxes.
INTEREST INCOME
Interest income increased by $111,000 during the three months ended March 31,
9
<PAGE>
1998 as compared to the same period a year ago. This increase was primarily
the result of an increase in average assets of $9.0 million, to $127.0
million for the three months ended March 31, 1998 from $118.0 million for the
same period in the prior year. The increase in assets during the three
months ended March 31, 1998 was funded by an increase in savings deposits for
the period. The increase in average assets primarily resulted from the
Company's continued focus on increasing its loan portfolio.
INTEREST ON SAVINGS DEPOSITS
Interest on savings deposits and borrowings increased by $110,000 during the
three months ended March 31, 1998 as compared to the same period a year ago.
The increase in interest on savings deposits was due to an increase in
average deposits of $9.0 million, to $111.7 million for the three months
ended March 31, 1998 from $102.7 million during the same period a year ago.
The increase in interest on savings deposits also reflects the more
competitive interest rate environment as the average cost of deposits
increased 8-basis points, from 3.65% for the three months ended March 31,
1997 to 3.73% for the three months ended March 31, 1998.
PROVISION FOR LOAN LOSSES
The provision for loan losses increased by $45,000, from $30,000 for the
three months ended March 31, 1997 to $75,000 for the three months ended March
31, 1998.
Total non-performing assets, consisting of non-accrual loans and real estate
acquired through foreclosure ("REO"), decreased by $1.3 million, from $2.8
million at March 31, 1997 to $1.5 million at March 31, 1998. The $1.3
million decrease resulted from a decrease in non-accrual loans of $600,000
and a decrease in REO of $700,000. As a percentage of total assets,
non-performing assets were 1.22% at March 31, 1998, compared to 2.42% and
1.65% at March 31, 1997 and December 31, 1997, respectively. Since December
1997, non-accrual loans have increased by $129,000, to $1.0 million and REO
has decreased by $629,000, to $500,000. Non-accrual loans at March 31, 1998
included four loans totaling $406,000 secured by one- to four-unit
properties, three loans totaling $581,000 secured by multi-family properties
and two unsecured loans totaling$63,000. REO at March 31, 1998 included four
one- to four-unit properties totaling $292,000, one commercial property
totaling $93,000 and one parcel of land totaling $265,000.
As of March 31, 1998 the Company's allowance for loan losses totaled $1.1
million, representing a $27,000 increase from the balance at December 31,
1997. The allowance for loan losses represents 1.00% of total loans at March
31, 1998, consistent with allowance for loan losses at December 31, 1997. The
allowance for
10
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loan losses was 102.97% of non-accrual loans at March 31, 1998, compared to
114.44% at December 31, 1997. Net charge-offs as a percentage of the
beginning allowance for loan losses in 1998 represented 18.22% annualized, as
compared to 32.88% for 1997. As of March 31, 1998 management believes that,
given the improved asset quality, the allowance for loan losses is adequate
to cover inherent losses in its loan portfolio, however, there can be no
assurance that such losses will not exceed the estimated amounts.
NONINTEREST INCOME
Noninterest income increased by $220,000, from $88,000 for the three months
ended March 31, 1997 to $308,000 for the same period during 1998. Service
charges increased by $19,000 during the three-month period ended March 31,
1998 as compared to the same period a year ago. The increase resulted
primarily from increased fees charged on various savings products and from a
greater number of checking accounts at March 31, 1998 as compared to March
31, 1997, resulting in more fees earned. The Company also reports a gain on
sale of mortgage loans of $19,000 for the three months ended March 31, 1998,
which was due to the sale of twelve mortgage loans to other lenders. At March
31, 1998 loans held for sale totaled $816,000 and are recorded at the lower
of amortized cost or market value; there were no loans held for sale at March
31, 1997. The Company realizes a gain on sale of office properties and
equipment of $6,000 for the three months ended March 31, 1998 which was
attributable to the sale of property located at 8467 South Van Ness Avenue,
Inglewood, California. Finally, other noninterest income increased by
$176,000, from $5,000 for the three months ended March 31, 1997 to $181,000
for the same period in 1998. The increase primarily resulted from the
reversal of a $170,000 accrual that had been set up for interest and
penalties on funds escheated to the State of California in 1992. It was
determined that interest and penalties are not due.
NONINTEREST EXPENSE
Noninterest expense increased by $37,000 during the three-month period ended
March 31, 1998 as compared to the same period in 1997. The increase in
noninterest expense was due primarily to increases in compensation and
benefits, occupancy expense, federal insurance premiums and contracted
security services, offset by decreases in advertising expense, professional
services, insurance bond premiums, real estate operations, operational losses
and other noninterest expense. Compensation and benefits increased by
$118,000 for the three-month period ended March 31, 1998 as compared to the
same period a year ago. The increases resulted from general salary increases
during the year and an increase in the number of staff. Occupancy expense,
including depreciation and repair and maintenance costs on fixed assets,
increased by $58,000 for the three-month period ended March 31, 1998, as
compared to the same
11
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period during 1997. The increase was primarily due to increases in computer
expenses, rent and utilities, maintenance and repair and property taxes on
office buildings. Contracted security services increased by $9,000 during
the three-month period ended March 31, 1998 as compared to the same period in
1997. The increase was due to security services provided to the new branch
office at 4800 Wilshire Boulevard. Real estate operations decreased by
$9,000 for the three-month period ended March 31, 1998 as compared to the
same period a year ago. The decrease was mainly due to gain on sale of REO
offset by loss provisions and other maintenance costs. Net operational
losses decreased by $128,000 for the three-month period ended March 31, 1998
as compared to the same period during 1997. The first quarter of 1997 had
included losses resulting from a branch burglary in February, 1997. Other
noninterest expense decreased by $12,000 for the three-month period ended
March 31, 1998 as compared to the same period during 1997. The decrease was
primarily caused by the decrease in legal fees and audit fees. Advertising
and promotional expense decreased by $8,000 for the three-month period ended
March 31, 1998 as compared to the same period during 1997. The decrease was
mainly due to higher expenses in 1997 associated with various business
activities. Federal deposit insurance premiums increased by $13,000 for
the three-month period ended March 31, 1998 as compared to the same period a
year ago, due to an increase in deposits.
INCOME TAXES
Income tax expense increased by $58,000 for the three-month period ended
March 31, 1998, as compared to the same period in 1997. The increase in
income taxes was the result of higher earnings before income taxes during the
first quarter of 1998 as compared to the same period during 1997.
COMPARISON OF FINANCIAL CONDITION AT MARCH 31, 1998 AND DECEMBER 31, 1997
Total assets at March 31, 1998 were $128.4 million compared to $125.1 million
at December 31, 1997, representing an increase of $3.3 million. Net loans
receivable increased from $103.7 million at December 31, 1997 to $105.4
million at March 31, 1998 as a result of $3.6 million in new loan
originations and $4.8 million in loan purchases, offset by $4.7 million in
principal repayments, $200,000 in loans transferred to foreclosure, $1.7
million in loans transferred to held for sale and $100,000 in allowance for
loan losses. Loans held for sale at March 31, 1998 totaled $800,000 as
compared to $200,000 at December 31, 1997. Office properties & equipment
increased from $4.0 million at December 31, 1997 to $4.3 million at March 31,
1998, primarily as a result of renovation costs incurred for the Bank's
branch and administrative office located in the City of Los Angeles. The new
Wilshire Boulevard facility was acquired to replace the Bank's administrative
office lost by fire in 1992 during the civil disturbance in Los Angeles.
Since that time Bank administrative
12
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operations have been operated from Broadway Federal's branch office sites.
Total liabilities at March 31, 1998 were $114.9 million compared to $111.7
million at December 31, 1997. The $3.2 million increase is primarily
attributable to the increase in savings deposits and deferred income taxes
offset by the decrease in advance payments by borrowers and other liabilities.
Total capital at March 31, 1998 was $13.5 million as compared to $13.4
million at December 31, 1997, representing an increase of $123,000. This
increase resulted from the net of: 1) dividends declared totaling $50,000;
2) net earnings of $145,000 for three months ended March 31, 1998; 3)
additional paid-in-capital totaling $13,000, resulting from interest earned
on a loan to the employee stock ownership plan ("ESOP"); and 4) a decrease of
$15,000 in the unearned ESOP account resulting from principal payments
received on the loan to the ESOP.
13
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
BROADWAY FINANCIAL CORPORATION
Date: May 8, 1998 By: /s/ PAUL C. HUDSON
----------------- ------------------
Paul C. Hudson
President and Chief Executive Officer
By: /s/ BOB ADKINS
--------------
Bob Adkins
Secretary and Chief Financial Officer
14
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 9
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
PRECEDING FINANICAL STATEMENTS AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO
SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-START> JAN-01-1998
<PERIOD-END> MAR-31-1998
<CASH> 2,103
<INT-BEARING-DEPOSITS> 62
<FED-FUNDS-SOLD> 4,400
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 0
<INVESTMENTS-CARRYING> 8,638
<INVESTMENTS-MARKET> 8,595
<LOANS> 107,262
<ALLOWANCE> (1,081)
<TOTAL-ASSETS> 128,444
<DEPOSITS> 113,554
<SHORT-TERM> 0
<LIABILITIES-OTHER> 1,328
<LONG-TERM> 0
0
552
<COMMON> 8,290
<OTHER-SE> (802)
<TOTAL-LIABILITIES-AND-EQUITY> 128,444
<INTEREST-LOAN> 2,172
<INTEREST-INVEST> 140
<INTEREST-OTHER> 15
<INTEREST-TOTAL> 2,327
<INTEREST-DEPOSIT> 1,042
<INTEREST-EXPENSE> 1,045
<INTEREST-INCOME-NET> 1,282
<LOAN-LOSSES> 75
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 0
<INCOME-PRETAX> 251
<INCOME-PRE-EXTRAORDINARY> 251
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 145
<EPS-PRIMARY> 0.16
<EPS-DILUTED> 0.16
<YIELD-ACTUAL> 0.081
<LOANS-NON> 1,050
<LOANS-PAST> 0
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> (1,054)
<CHARGE-OFFS> 48
<RECOVERIES> 0
<ALLOWANCE-CLOSE> (1,081)
<ALLOWANCE-DOMESTIC> (1,081)
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 179
</TABLE>
