<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
March 31, 1998
- ----------------------------------------------------------------------------
(Date of earliest event reported)
Commonwealth Bancorp, Inc.
- -----------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
Pennsylvania 0-27942 23-2828883
- -----------------------------------------------------------------------------
(State or other jurisdiction (Commission File Number) (IRS Employer
of incorporation) Identification No.)
2 West Lafayette Street, Norristown, Pennsylvania 19401
- -----------------------------------------------------------------------------
(Address of principal executive offices) (Zip Code)
(610) 251-1600
- -----------------------------------------------------------------------------
(Registrant's telephone number, including area code)
Not Applicable
- ------------------------------------------------------------------------------
(Former name, former address and former fiscal year, if changed since last
report)
<PAGE>
Item 5. Other Events
------------
On March 31, 1998, Commonwealth Bancorp. Inc. (the "Company") announced
that Commonwealth Bank, through ComNet Mortgage Services, its mortgage
banking division, acquired selected assets of Edmunds Financial Corporation
d/b/a Service First Mortgage, a mortgage company headquartered in Annandale,
Virginia. For additional information, reference is made to the Press
Release, March 31, 1998, which is attached hereto as Exhibit 99 and is
incorporated herein by reference.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
------------------------------------------------------------------
(a) Financial Statements.
Not Applicable.
(b) Pro Forma Financial Information.
Not Applicable
(c) Exhibits:
99 Press Release dated March 31, 1998
2
<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.
COMMONWEALTH BANCORP, INC.
Date: April 6, 1998 By: /s/Charles M. Johnston
-------------------------------
Charles M. Johnston
Chief Financial Officer
3
<PAGE>
For release: IMMEDIATELY
Contact: Charles M. Johnston, Chief Financial Officer
Commonwealth Bancorp, Inc.
(610) 313-2189
COMMONWEALTH BANK ACQUIRES VIRGINIA MORTGAGE COMPANY
NORRISTOWN, PA, MARCH 31, 1998 -- Commonwealth Bancorp, Inc. (NASDAQ: CMSB)
announced today that Commonwealth Bank, through ComNet Mortgage Services
(ComNet), its mortgage banking division, has acquired selected assets of
Edmunds Financial Corporation d/b/a Service First Mortgage, a mortgage company
headquartered in Annandale, Virginia. Terms of the transaction, which were not
material to Commonwealth, were not disclosed.
Among the assets acquired from Service First Mortgage was the production branch
located in Annandale, Virginia. In 1997, this branch originated approximately
$75 million in mortgages in Virginia, Maryland and the District of Columbia.
Under the terms of the transaction, the group will operate under the ComNet
Mortgage Services name.
"This acquisition further demonstrates Commonwealth's commitment to the
mortgage banking business in the Mid-Atlantic Region," said Patrick J. Ward,
President and Chief Operating Officer of Commonwealth Bank. He added, "We're
excited about expanding an already profitable core business."
ComNet has been an active purchaser of mortgages in the Mid-Atlantic markets
through its wholesale lending department, as well as retail originations in
Maryland where it operates as Homestead Mortgage. "This acquisition increases
our retail mortgage presence in the important Washington, D.C. mortgage market,"
said Peter A. Kehoe, President of ComNet. He also noted that, "Partnering with
a professional organization with a proven track record will enable ComNet to
increase its business in targeted mortgage markets much faster than through de
novo branch expansion."
"The affiliation with ComNet Mortgage Services will allow our organization to
grow and prosper," said Thomas L. Edmunds, President of First Service Mortgage.
He also stated, "This is a win-win situation for both our employees and
customers." He will join ComNet as Regional Vice President, and will report
directly to Peter A. Kehoe, President. He will be responsible for the daily
management of the retail and wholesale production for the Mid-Atlantic Region.
Commonwealth Bancorp, Inc., with consolidated assets of $2.3 billion, is the
holding company for Commonwealth Bank, which has 56 branches throughout
southeast Pennsylvania. ComNet Mortgage Services, a division of Commonwealth
Bank, has offices in Pennsylvania, Connecticut, New Jersey, and Rhode Island.
ComNet operates under the trade name of Homestead Mortgage in Maryland.
<PAGE>
