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Form 10-Q/A
QUARTERY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
FOR THE QUARTERLY PERIOD ENDED MARCH 31, 1997
COMMISSION FILE NUMBER 0-27686
1st BERGEN BANCORP
-----------------------------------------------------
(Exact name of registrant as specific in its charter)
New Jersey 22-3409845
- ------------------------------- -------------------------------
State or other juridiction of IRS Employer Identification No.
Incorporation or Organization
250 VALLEY BOULEVARD, WOOD-RIDGE, NJ 07075
------------------------------------------
Address of Principal Executive Offices
(201) 939-3400
--------------------------
Registrant's Telephone No.
NOT APPLICABLE
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Former Name, Address, and Fiscal year, if changed since last report
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities and Exchange Act of 1934
during the preceding 12 months (or for such shorter period that the registrant
was required was required to file such reports), and (2) had been subject to
such filing requirements for the past 90 days.
Yes ( X ) No ( )
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practible date.
CLASS OUTSTANDING AT MARCH 31, 1997
------------ -----------------------------
Common Stock 3,015,300 shares
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<PAGE>
1ST BERGEN BANCORP AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(UNAUDITED)
(DOLLARS IN THOUSANDS)
MARCH 31, DECEMBER 31,
1997 1996
-------- ------------
ASSETS:
Cash and due from banks $ 11,509 $ 5,231
Interest-bearing deposits in other banks 6,500 2,500
-------- --------
Total cash and cash equivalents 18,009 7,731
Investment securities held to maturity 33,054 33,136
Investment securities available for sale 19,411 19,604
Mortgage-backed securities held to maturity 48,890 51,769
Mortgage-backed Securities available for sale 2,764 2,817
Loans receivable, net 121,908 123,825
Premises and equipment 3,049 2,699
Real estate owned 226 537
FHLB stock 1,627 1,487
Accrued interest and dividends receivable 1,282 1,466
Deferred income taxes 1,851 1,817
Other assets 223 185
-------- ------
TOTAL ASSETS $252,294 $247,073
======== ========
LIABILITIES AND STOCKHOLDERS' EQUITY
LIABILITIES:
Deposits $208,745 $204,154
Escrow 971 932
Accrued income taxes 881 592
Other liabilities 212 160
-------- --------
TOTAL LIABILITIES 210,809 205,838
TOTAL STOCKHOLDERS' EQUITY 41,485 41,235
-------- --------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $252,294 $247,073
======== --------
See accompanying notes to (unaudited) consolidated financial statements
<PAGE>
1ST BERGEN BANCORP AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>
THREE MONTHS ENDED
MARCH 31,
------------------
1997 1996
------- ------
<S> <C> <C>
INTEREST INCOME
Interest on loans $ 2,561 $ 2,369
Interest on securities held to maturity 709 633
Interest on securities available for sale 299 137
Interest on mortgage-backed securities held to maturity 810 828
Interest on mortgage-backed securities available for sale 43 32
------- -------
Total interest income 4,422 3,999
INTEREST EXPENSE
Deposits 2,213 2,359
Advances from FHLB NY 0 0
------- -------
Total interest expense 2,213 2,359
NET INTEREST INCOME 2,209 1,640
Provision for loan losses 175 125
------- -------
NET INTEREST INCOME AFTER PROVISION
FOR LOAN LOSSES 2,034 1,515
NON-INTEREST INCOME:
Loan fees and service charges 44 36
Other income 23 10
------- -------
Total other income 67 46
NON-INTEREST EXPENSE:
Compensation and employee benefits 712 576
Occupancy expense 72 77
Equipment 112 97
Advertising 52 47
Federal deposit insurance premiums 35 119
Net (gain) loss from real estate owned (9) 108
Insurance and bond premiums 34 29
Other 300 184
------- -------
Total non-interest expense 1,308 1,237
Income before income taxes 793 324
Federal and state tax expense (benefit) 289 117
------- -------
Net Income $ 504 $ 207
======= =======
Earnings Per Share .18 N/A
------- -------
</TABLE>
See accompanying notes to (unaudited) consolidated financial statements
<PAGE>
1ST BERGEN BANCORP AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
FOR THE THREE MONTHS ENDED MARCH 31, 1997 AND 1996
(IN THOUSANDS)
<TABLE>
<CAPTION>
MARCH 31
----------------------
1997 1996
---------- ----------
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Income $ 504 $ 207
Adjustments to reconcile net income to net cash provided
by operating activities
Provision for loan loss 175 125
Net gain on sales of real estate owned (49) (23)
Depreciation of premises and equipment 52 41
Net accretion of premiums and amortization of discounts 12 16
Net increase in deferred loan fees 10 13
Decrease (increase) in interest and dividends receivable 184 (75)
(Increase) decrease in other assets (38) 374
Increase in other liabilities 52 32
Increase in deferred income taxes 50 --
Increase in income taxes payable 289 117
-------- --------
Net cash provided by operating activities $ 1,241 $ 827
-------- --------
CASH FLOWS FROM INVESTING ACTIVITIES:
Net decrease in loans receivable $ 1,656 $ 1,555
Purchases of investment securities held to maturity -- (9,958)
Purchases of investment securities available for sale -- (5,000)
Proceeds from sales of real estate owned 436 391
Purchases of mortgage-backed securities held to maturity -- (2,942)
Purchases of mortgage-backed securities available for sale -- (3,128)
Investment securities held to maturity called -- 2,670
Principle payments on investment securities held to maturity 83 76
Principle payments on mortgage-backed securities held to maturity 2,867 3,236
Principle payments on mortgage-backed securities securities - AFS 2 3
Purchases of premises and equipment (402) (7)
Purchases of FHLB-NY stock (140) (41)
-------- --------
Net cash provided by (used in) investing activities $ 4,502 $(13,145)
-------- --------
CASH FLOWS FROM FINANCING ACTIVITIES:
Net increase in deposits $ 4,591 $ 1,146
Proceeds from issuance of common stock, net of ESOP loan -- 28,088
Stock subscriptions received -- 4,097
Net increase in advances by borrowers (taxes & insurance) 39 83
Dividends paid (95) --
-------- --------
Net cash provided by financing activities 4,535 33,414
Net increase in cash and cash equivalents 10,278 21,096
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE PERIOD 7,731 15,127
-------- --------
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD $ 18,009 $ 36,223
======== ========
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash paid during the period for:
Interest 2,227 2,387
Income taxes -- --
Non-cash investing and financing activities:
Transfer of loans to real estate owned $ 76 $ 442
</TABLE>
See accompanying notes to (unaudited) consolidated financial statements
<PAGE>
1ST BERGEN BANCORP AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
1. BASIS OF FINANCIAL STATEMENT PRESENTATION
The Consolidated Financial Statements include the accounts of 1st Bergen
Bancorp, (the Company) and its wholly owned subsidiary South Bergen Savings
Bank, (the Bank), and the Bank's wholly owned subsidiary South Bergen
Financial Services, Inc. All significant intercompany balances and
transactions have been eliminated in consolidation. The Bank provides a
full range of banking services to individuals and corporate customers
through its branch system consisting of offices in Bergen, Morris and
Passaic Counties. The Bank is subject to competition from other financial
institutions and to the regulations of certain regulatory agencies and
undergoes periodic examinations by those regulatory authorities.
The accompanying unaudited consolidated financial statements have been
prepared in accordance with generally accepted accounting principles
("GAAP") for interim financial information and in conformity with the
instructions to form 10Q and Article 10 of Regulations S-X for the Company
and its subsidiary.
In the opinion of management, all adjustments (consisting of only normal
recurring adjustments) necessary to present fairly the financial condition,
results of operations, and changes in cash flows have been made at and for
the three month period ended March 31, 1997. The results of operations for
the three months ended March 31, 1997 are not necessarily indicative of
results that may be expected for the entire year ending December 31, 1997.
During 1996, the Company changed its fiscal year end from September 30th to
December 31st. This change enables the Company to conform to the financial
reporting system of most publicly held companies.
2. ORGANIZATION OF THE HOLDING COMPANY AND CONVERSION TO STOCK FORM OF OWNERSHIP
On November 28, 1995, 1st Bergen Bancorp (the Holding Company) was
organized for the purpose of acquiring all of the capital stock of the Bank
to be issued in the Bank's conversion from the mutual to stock form of
ownership. On March 29, 1996, the Company completed an initial public
offering. The offering resulted in the sale of 3,174,000 shares of common
stock including the sale of 253,920 shares to the Bank's tax qualified
Employee Stock Ownership Plan (the ESOP).
In connection with the conversion from a mutual to a capital stock form,
the Company established the ESOP for the benefit of the employees of the
Company and the Bank. The ESOP purchased 253,920 shares, or 8% of the total
stock sold in the subscription, for $2,539,200 which was financed by a loan
from the Company.
The ESOP was effective upon completion of the conversion. Full time
employees of the Company or the Bank who have been credited with at least
1000 hours of service during a twelve month period and who have attained
the age of 21 are eligible to participate in the ESOP. The loan to the ESOP
will be repaid principally from the Bank's discretionary contributions to
the ESOP over a period of ten years, and the collateral for the loan will
be the Common Stock purchased by the ESOP that has not been committed to be
released.
3. NET INCOME PER SHARE
The Company earned $0.18 cents per share for the quarter ended March 31,
1997, as compared to $0.16 cents per share for the preceding quarter. The
Company completed its initial public offering on March 29, 1996, and
accordingly, per share data is not applicable for the quarter ended March
31, 1996.
<PAGE>
4. STOCKHOLDERS' EQUITY
The components of stockholders' equity were as follows:
<TABLE>
<CAPTION>
MARCH 31, 1997 DECEMBER 31, 1996
-------------- -----------------
(dollars in thousands)
<S> <C> <C>
Preferred Stock, no par value, 2,000,000 shares
authorized: No shares issued -- --
Common Stock, no par value, 6,000,000 shares
authorized: 3,174,000 shares issued $30,621 30,621
(3,015,300 shares outstanding)
Retained earnings, substantially restricted 16,365 $15,957
Unearned ESOP Shares (2,539) (2,539)
Net unrealized loss on securities available for sale,
net of tax (1,068) (910)
Treasury stock at cost (158,700 shares) (1,894) (1,894)
------- -------
Total stockholders' equity $41,485 $41,235
======= =======
5. NON PERFORMING LOANS AND THE ALLOWANCE FOR LOAN LOSS.
Non-performing loans were as follows:
MARCH 31, 1997 DECEMBER 31, 1996
-------------- -----------------
(dollars in thousands)
Loans delinquent 90 days or more
and other non-performing loans $1,631 $1,522
Loans delinquent 90 days or more and other
non-performing loans as a percentage of gross loans 1.30% 1.20%
An analysis of the allowance for loan losses for
the three month periods ended March 31, 1997
and 1996 follows:
MARCH 31, 1997 MARCH 31, 1996
-------------- -----------------
(dollars in thousands)
Balance at the beginning of the period $3,126 $4,747
Provision charged to operations 175 125
Charge-offs, net 296 1,011
------ ------
Balance at end of period $3,005 $3,861
====== ======
</TABLE>
<PAGE>
6. RECENT ACCOUNTING PRONOUNCEMENTS
Statement of Financial Accounting Standards No. 128, "Earnings per Share"
(SFAS 128) establishes standards for computing and presenting earnings per
share (EPS) and applies to entities with publicly held common stock or
potential common stock. SFAS 128 replaces the presentation of primary EPS
with a presentation of basic EPS and requires dual presentation of basic
and diluted EPS on the face of the income statement for all entities with
complex capital structures. SFAS 128 requires a reconciliation of the
numerator and denominator of the basic EPS computation to the numerator and
denominator of the diluted EPS computation. SFAS 128 is effective for
financial statements issued for periods ending after December 15, 1997,
including interim periods, earlier application is not permitted. SFAS 128
also requires restatement of all prior period EFS data presented. SFAS 128
is not expected to have a material effect on the Bank's consolidated
financial statements.
<PAGE>
1ST BERGEN BANCORP SUBSIDIARIES
MANAGEMENT DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
FINANCIAL CONDITION
OVERVIEW
1st Bergen Bancorp, the holding company for South Bergen Savings Bank, earned
net income for the quarter ended March 31, 1997 of $504,000 compared to $207,000
for the same period last year and an increase of $42,000, or 9.09% over the
$462,000 earned for the prior quarter. The $297,000 increase in earnings over
the prior year is primarily attributable to a $569,000 increase in net interest
income partially offset by a $50,000 increase in the provision for loan losses
and increases in non-interest expense and tax expense of $71,000 and $172,000,
respectively.
ASSETS AND LIABILITIES
Total assets increased $5.2 million, or 2.1%, to $252.3 million at March 31,
1997 from $247.1 million at December 31, 1996. Cash and Cash equivalents
increased $10.3 million, or 133.8%, to $18.0 million as of March 31, 1997 from
$7.7 million at December 31, 1996, primarily due to mortgage-backed securities
amortization of $2.9 million and an increase in deposits of $4.6 million, or
2.2%, to $208.7 million at March 31, 1997 from $204.2 million st December 31,
1996. Funds from these amortizations and deposits were invested in short-term
cash equivalents pending deployment. These funds will be used to fund loan
commitments and security purchases. Loans receivable, net decreased $1.9
million, or 1.5%, to $121.9 million at March 31, 1997 from $123.8 million at
December 31, 1996. The decrease in loans receivable, net, resulted from loan
payoffs and amortizations in excess of new loan closings. Mortgage-backed
securities held to maturity decreased $2.9 million, or 5.6%, to $48.9 million at
March 31, 1997 from $51.8 million at December 31, 1996. The decrease in
mortgage-backed securities held to maturity was due to normal amortization.
Securities and mortgage-backed securities available for sale, net, decreased
$246,000, or 1.1%, due to a decline in the market price of the available for
sale portfolio.
The Company, consistent in keeping with its franchise expansion program, opened
its fourth retail office on March 22nd, which is located at 339 Route 202,
Montville, Morris County.
The Company intends to continue its program to develop the Bank's franchise by
establishing additional retail banking locations in areas which it believes can
successfully market its products and services.
STOCKHOLDERS EQUITY
Stockholders equity increased $250,000, or .61%, to $41.5 million at March 31,
1997 from $41.2 million at December 31, 1996. The increase in stockholders
equity is due to net income of $504,000 for the quarter ended March 31, 1997
partially offset by an increase in unrealized loss on available for sale
securities of $158,000 and the payment of a cash dividend totalling $95,000.
LIQUIDITY AND CAPITAL RESOURCE
Liquidity is a measure of a bank's ability to fund loans and withdrawals of
deposits in a cost effective manner. The Company's principal sources of funds
are deposits, scheduled amortization and prepayments of loan principal and
mortgage-backed securities, maturities of investment securities and funds
provided by operations. Liquidity is also available through borrowings from the
Federal Home Loan Bank of New York.
While loan repayments and maturing investment securities are a relatively
predictable source of funds, deposit flows, prepayments and calls of investment
securities and prepayment of mortgage-backed securities are influenced by
interest rates, general economic conditions and competition in the marketplace.
At March 31, 1997, total liquid assets, consisting of cash, interest bearing
deposits in other banks, investment securities and mortgage-backed securities,
all with final maturities of five years or less, were $ 62.7 million, or 24.9%
of total assets. This amount includes $29.3 million scheduled to mature within
one year, which represented 11.6% of total assets and 14.0% of total deposits at
March 31, 1997.
<PAGE>
At March 31, 1997, the Company had commitments to originate loans totalling $2.0
million and outstanding unused lines of credit of $5.2 million. The Company is
committed to maintaining a strong liquidity position and anticipates that it
will have sufficient funds to meet its current funding commitments. The Company
does not have any balloon or other payments due on any long-term obligations or
any off-balance sheet items other than the loan commitments and unused lines of
credit noted above.
The OTS requires that the Bank meet minimum tangible, core and risk-based
capital requirements. As of March 31, 1997, the Bank exceeded all regulatory
capital requirements. The Bank's required and actual capital levels as of March
31, 1997 are as follows:
<TABLE>
<CAPTION>
TO BE WELL CAPITALIZED
FOR CAPITAL UNDER PROMPT
ACTUAL ADEQUACY PURPOSE CORRECTION ACTION
---------------- ----------------- ----------------------
AMOUNT RATIO AMOUNT RATIO AMOUNT RATIO
------ ----- ------ ----- ------- --------
<S> <C> <C> <C> <C> <C> <C>
As of March 31, 1997:
Tangible capital $28,591 11.3% $3,794 1.5% $ 3,794 1.5%
Core capital $28,591 11.3% $7,587 3.0% $12,645 5.0%
Tier 1 risk-based capital $28,591 27.6% $4,144 4.0% $ 6,215 6.0%
Risk-based capital $29,902 28.9% $8,288 8.0% $10,359 10.0%
AS OF DECEMBER 31, 1996:
Tangible capital $28,151 11.4% $3,712 1.5% $ 3,712 1.5%
Core capital $28,151 11.4% $7,425 3.0% $12,374 5.0%
Tier 1 risk-based capital $28,151 26.9% $4,194 4.0% $ 6,051 6.0%
Risk-based capital $29,477 28.1% $8,387 8.0% $10,484 10.0%
</TABLE>
COMPARISON OF OPERATING RESULTS FOR THE THREE MONTHS ENDED MARCH 31, 1997
NET INCOME
For the three months ended March 31, 1997, net income increased $297,000 to
$504,000 from $207,000 for the same period last year. The $297,000 increase in
earnings over the prior year is primarily attributable to a $569,000 increase in
net interest income partially offset by a $50,000 increase in the provision for
loan losses and increase in non-interest expense and tax expense of $71,000 and
$172,000, respectively.
INTEREST INCOME
Interest on loans increased $192,000, or 8.1%, to $2.6 million for the three
months ended March 31, 1997 from $2.4 million for the same period in 1996. The
increase in the interest on loans was primarily due to an increase in the
average balance of loans outstanding during the period to $123.0 million for the
three months ended March 31, 1997 from $107.3 million for the same period in
1996. This was offset by a decrease in the average yield from 8.83% to 8.32%,
reflecting current market rates of interest which are below the average yield on
the Bank's existing portfolio.
Interest on mortgage-backed securities held to maturity decreased $18,000, or
2.17%, to $810,000 for the three months ended March 31, 1997 from $828,000 for
the same period in 1996. The decrease was primarily due to an decrease in the
average balance of mortgage-backed securities held to maturity to $50.5 million
from $55.6 million for the same period in 1996, partially offset by an increase
in the average yield from 5.95% to 6.41%.
<PAGE>
Interest on investments held to maturity increased $76,000, or 12.0%, to
$709,000 for the three months ended March 31, 1997 from $633,000 for the same
period in 1996. The increase was primarily due to an increase in the average
yield to 6.94% from 5.86%.
Interest income on securities available for sale increased $162,000, or 118.2%,
to $299,000 for the three months ended March 31, 1997, compared to $137,000 for
the same period in 1996. The increase was primarily due to an increase in the
average balance of securities available for sale outstanding during the period
to $19.6 million for the three months ended March 31, 1997 from $9.1 million for
the same period in 1996. This was coupled with an increase in the average yield
to 6.12% for the three months ended March 31, 1997 from 6.03% for the same
period in 1996.
Interest income on mortgage-backed securities available for sale increased
$11,000, or 34.4%, to $43,000 for the three months ended March 31, 1997 compared
to $32,000 for the same period in 1996. The increase was primarily due to an
increase in the average balance of mortgage-backed securities available for sale
outstanding during the period to $2.8 million for the three months ended March
31, 1997 from $2.0 million for the same period in the prior year, partially
offset by a decrease in the average yield to 6.22% from 6.27%, reflecting market
rates of interest.
INTEREST EXPENSE
Interest expense decreased $146,000, or 6.2%, to $2.2 million for the three
months period ended March 31, 1997, compared to $2.4 million for the same period
in 1996. The decrease was primarily due to a decrease of $4.9 million in the
average balance of deposits outstanding to $205.4 million during the three
months ended March 31, 1997 from $210.3 million for the same period in 1996,
combined with a decrease in the average rate paid on deposits to 4.31% from
4.49% reflecting decreasing market rates of interest.
PROVISION FOR LOAN LOSSES
The provision for loan losses increased $50,000, or 40.0%, to $175,000 for the
three months ended March 31, 1997 from $125,000 for the same period in 1996.
Non-performing loans, defined as non-accrued loans and accruing loans delinquent
90 days or more, decreased $2.8 million, or 63.6%, to $1.6 million, or 1.3% of
gross loans at March 31, 1997 from $4.4 million, or 4.0% of gross loans at March
31, 1996. Real estate owned decreased by $311,000, or 57.9% to $226,000 at March
31, 1997 from $537,000 at March 31, 1996. Management is continuing its efforts
to sell these properties and reinvest the proceeds in interest bearing assets.
At March 31, 1997 and 1996, the allowance for loan losses was $3.0 million and
$3.9 million, respectively. The Company's ratio of non-performing assets to
total assets was .74% at March 31, 1997, compared to 2.47% at March 31, 1996.
NON-INTEREST INCOME AND NON-INTEREST EXPENSE
Non-interest income for the three months ended March 31, 1997 increased $21,000,
or 45.7%, to $67,000 from $46,000 for the same period last year. This increase
was due primarily to an increase in loan late charges and NOW service charges,
as well as income received on safe deposit box rental fees.
Non-interest expense increased $71,000, or 5.7%, to $1.3 million for the three
months ended March 31, 1997 from $1.2 million or the same period in 1996. The
increase was primarily due to an increase in compensation and employee benefits
of $136,000 as the Company opened its two new retail offices in Passaic and
Morris Counties. Coupled with an increase in other expenses, these increases
were partially offset by a reduction in FDIC Insurance Premium of $84,000,
compared to the first quarter of 1996 as FDIC Insurance Premiums for SAIF
insured institutions were reduced in connection with the recapitalization of the
SAIF. In connection with the Company's expansion, establishment of additional
branches and implementation of certain stock based benefit plans, management
anticipates that certain non-interest expenses such as compensation, occupancy,
equipment and other expenses may increase in future periods.
INCOME TAX EXPENSE
Income tax expense increased $172,000, or 147.0%, to $289,000 for the three
months ended March 31, 1997 from $117,000 for the same period in 1996. The
increase was due to the Company's increased net income for the quarter ended
March 31, 1997, compared to the same period in the prior year.
<PAGE>
PART II. OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS.
There are various claims and lawsuits in which the Registrant is
periodically involved incidental to the Registrant's business. In the
opinion of management, no material loss is expected from any of such
pending claims and lawsuits.
ITEM 2. CHANGES IN SECURITIES.
Not applicable
ITEM 3. DEFAULTS UPON SENIOR SECURITIES.
Not applicable
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
Not applicable
ITEM 5. OTHER INFORMATION.
None
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K.
(a) Exhibits
(27) Financial Data Schedule
(b) Reports of Form 8-K
The Registrant filed a current report on February 9, 1997 announcing the
Registrant's earnings for the period ending December 31, 1996.
The Registrant filed a current report on March 4, 1997 announcing the
payment of a cash dividend.
<PAGE>
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.
1ST BERGEN BANCORP
Date: May 9, 1997 By: William M. Brickman
President and Chief Executive Officer
Date: May 9, 1997 By: Albert E. Gossweiler
Executive Vice President and Chief
Financial Officer
<TABLE> <S> <C>
<ARTICLE> 9
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM
THE REGISTRANTS INTERIM FINANCIAL STATEMENTS AT AND FOR THE PERIOD ENDED MARCH
31, 1997 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-31-1997
<PERIOD-END> MAR-31-1997
<CASH> 18,009
<INT-BEARING-DEPOSITS> 6,500
<FED-FUNDS-SOLD> 0
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 22,175
<INVESTMENTS-CARRYING> 81,944
<INVESTMENTS-MARKET> 81,944
<LOANS> 121,908
<ALLOWANCE> 3,005
<TOTAL-ASSETS> 252,294
<DEPOSITS> 208,745
<SHORT-TERM> 0
<LIABILITIES-OTHER> 212
<LONG-TERM> 0
0
0
<COMMON> 30,621
<OTHER-SE> 10,864
<TOTAL-LIABILITIES-AND-EQUITY> 252,294
<INTEREST-LOAN> 2,605
<INTEREST-INVEST> 1,861
<INTEREST-OTHER> 0
<INTEREST-TOTAL> 4,422
<INTEREST-DEPOSIT> 2,213
<INTEREST-EXPENSE> 2,213
<INTEREST-INCOME-NET> 2,034
<LOAN-LOSSES> 175
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 1,308
<INCOME-PRETAX> 793
<INCOME-PRE-EXTRAORDINARY> 793
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 504
<EPS-PRIMARY> .18
<EPS-DILUTED> .18
<YIELD-ACTUAL> 7.47
<LOANS-NON> 1,631
<LOANS-PAST> 1,631
<LOANS-TROUBLED> 1,273
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 3,126
<CHARGE-OFFS> 285
<RECOVERIES> 0
<ALLOWANCE-CLOSE> 3,005
<ALLOWANCE-DOMESTIC> 3,005
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
