<PAGE> 1
FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
(Mark One)
[X] QUARTERLY REPORT UNDER SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended December 31, 1998
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or
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from to
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Commission File Number 0-28070
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Jacksonville Bancorp, Inc.
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(Exact name of registrant as specified in its charter)
Texas 75-2632781
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(State of other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification Number)
Commerce at Neches
Jacksonville, Texas 75766
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(Address of principal (Zip Code)
executive office)
Registrant's telephone number, including area code: (903) 586-9861
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 Exchange Act of 1934
during the preceding 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
--- ---
As of February 10, 1999, the latest practicable date, 2,675,972 shares of the
registrant's common stock, $.01 par value, were issued and 2,341,447 shares were
outstanding.
<PAGE> 2
JACKSONVILLE BANCORP, INC. AND SUBSIDIARIES
INDEX
<TABLE>
<CAPTION>
PART I. Financial Information
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Page
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<S> <C> <C>
Item 1. Financial Statements
Consolidated Statements of Financial
Condition as of December 31, 1998
(Unaudited)and September 30, 1998(Audited) 3
Consolidated Statements of Earnings for the
Three Months Ended December 31, 1998
and 1997 (Unaudited) 4
Consolidated Statements of Cash Flows for
the Three Months Ended December 31, 1998 and
1997 (Unaudited) 5
Consolidated Statements of Changes in
Stockholders' Equity for the Three Months Ended
December 31, 1998 (Unaudited) 6
Notes to Consolidated Financial Statements 7
Item 2. Management's Discussion and Analysis of 8
Financial Condition and Results of Operations
for the Three Months Ended December 31, 1998
Item 3. Quantitative and Qualitative Disclosures about
Market Risk 11
PART II. Other Information
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Item 1. Legal Proceedings 13
Item 2. Changes in Securities 13
Item 3. Defaults upon Senior Securities 13
Item 4. Submission of Matters to a Vote of Security Holders 13
Item 5. Other Information 13
Item 6. Exhibits and Reports on Form 8-K 13
Signatures
</TABLE>
<PAGE> 3
JACKSONVILLE BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(DOLLARS IN THOUSANDS)
<TABLE>
<CAPTION>
December 31, September 30,
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1998 1998
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(Unaudited) (Audited)
<S> <C> <C>
ASSETS
Cash on hand and in banks $ 1,589 $ 3,086
Interest-bearing deposits 6,573 7,781
Investment securities:
Held-to-maturity, at cost 10,496 15,493
Available-for-sale, at estimated market value 5,539 4,520
Mortgage-backed certificates:
Held-to-maturity, at cost 6,461 7,045
Available-for-sale, at estimated market value 23,454 24,821
Loans receivable, net 197,157 191,153
Accrued interest receivable 1,990 2,090
Foreclosed real estate, net 568 531
Premises and equipment, net 3,885 3,936
Stock in Federal Home Loan Bank of Dallas, at cost 1,646 1,622
Mortgage servicing rights 567 534
Deferred tax assets 336 322
Prepaid expenses and other assets 151 226
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Total assets $ 260,412 $ 263,160
============= =============
LIABILITIES
Deposits $ 206,258 $ 204,490
FHLB Advances 15,000 17,000
Advances from borrowers for taxes and insurance 1,212 3,807
Accrued expenses and other liabilities 1,951 2,131
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Total liabilities 224,421 227,428
DEFERRED INCOME
Gain on sale of real estate owned 145 169
STOCKHOLDERS' EQUITY
Common stock, $.01 par value, 25,000,000
shares authorized; 2,675,972 shares issued; 27 27
2,366,547 and 2,390,047 shares outstanding at
December, 1998 And September,
1998, respectively
Additional paid in capital 22,678 22,650
Retained earnings, substantially restricted 19,539 18,963
Less:
Treasury shares, at cost (4,789) (4,413)
(309,425 & 285,925 shares, respectively)
Shares acquired by Employee Stock Ownership Plan (1,185) (1,224)
Shares acquired by Management Recognition Plan (473) (515)
Net of unrealized gain in market value
of securities available for sale 49 75
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Total stockholders' equity 35,846 35,563
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Total liabilities and stockholders' equity $ 260,412 $ 263,160
============= =============
</TABLE>
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<PAGE> 4
JACKSONVILLE BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF EARNINGS
(DOLLARS IN THOUSANDS)
UNAUDITED
<TABLE>
<CAPTION>
THREE MONTHS ENDED
DECEMBER 31,
----------------------
1998 1997
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<S> <C> <C>
INTEREST INCOME
Loans receivable $ 4,062 $ 3,738
Mortgage-backed securities 480 346
Investment securities 281 381
Other 93 59
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Total interest income 4,916 4,524
INTEREST EXPENSE
Other 198 30
Deposits 2,429 2,376
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Total interest expense 2,627 2,406
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Net interest income 2,289 2,118
PROVISION FOR LOSSES ON LOANS 15 -
---------- ----------
Net interest income after
provision for losses on loans 2,274 2,118
NONINTEREST INCOME
Fees and deposit service charges 346 332
Real estate operations, net 45 24
Other 60 31
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Total noninterest income 451 387
NONINTEREST EXPENSE
Compensation and benefits 929 860
Occupancy and equipment 154 136
Insurance expense 40 43
Other 298 287
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Total noninterest expense 1,421 1,326
INCOME BEFORE TAXES ON INCOME 1,304 1,179
TAXES ON INCOME 446 396
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Net earnings $ 858 $ 783
========== ==========
EARNINGS PER SHARE
Basic $ .38 $ .34
========== ==========
Diluted $ .37 $ .32
========== ==========
</TABLE>
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<PAGE> 5
JACKSONVILLE BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(DOLLARS IN THOUSANDS)
UNAUDITED
<TABLE>
<CAPTION>
THREE MONTHS ENDED
DECEMBER 31,
------------------------
1998 1997
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<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES
Net income $ 858 783
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation 63 52
Amortization/Accretion of securities 3 4
Provision for losses on loans and real estate 15 -
Loans originated for sale (8,877) (8,514)
Loans sold 8,877 8,514
Gain on sale of other real estate (59) (32)
Gain on sale of loans (32) (14)
Accrual of MRP awards 42 41
Release of ESOP shares 67 79
Change in assets and liabilities:
(Increase) decrease in accrued interest receivable 101 (13)
(Increase) decrease in prepaid expenses and
other assets 73 (36)
(Increase)Decrease in FIT receivable (14) 444
Decrease in accrued expenses and other liabilities (180) (797)
Decrease in deferred income (25) (17)
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Net cash provided by (used in) operating
activities 912 494
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of investment securities (1,037) (1,500)
Proceeds on maturity of investment securities 4,986 2,007
Net principal payments (origination) on loans (6,012) (964)
Proceeds from sale of foreclosed real estate 16 1
Purchase of mortgage-backed securities - (2,171)
Principal paydowns on mortgage-back securities 1,951 1,189
Capital expenditures (12) (174)
Purchase of stock in FHLB (25) (28)
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Net cash (used in) provided by investing
activities (133) (1,640)
CASH FLOWS FROM FINANCING ACTIVITIES
Net increase in deposits 1,768 4,000
Net decrease in advances for taxes and insurance (2,595) (2,558)
Dividends paid (282) (288)
Payment on FHLB advances (2,000) -
Proceeds from other borrowings - 65
Purchase of Treasury stock (376) -
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Net cash provided by financing activities (3,485) 1,219
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Net increase (decrease)in cash and cash equiv. (2,706) 73
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD 10,868 4,114
---------- ----------
CASH AND CASH EQUIVALENTS AT END OF PERIOD $ 8,161 $ 4,187
========== ==========
</TABLE>
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<PAGE> 6
JACKSONVILLE BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
FOR THE THREE MONTHS ENDED DECEMBER 31, 1998
(DOLLARS IN THOUSANDS)
UNAUDITED
<TABLE>
<CAPTION>
Total
Stockholders'
Equity
-------------
<S> <C> <C>
BALANCE AT SEPTEMBER 30, 1998 $ 35,562
Net earnings 858
Other comprehensive income - net change in
unrealized gain on securities available for sale (26)
----
Comprehensive income 832
Accrual of MRP awards 42
Accrual of ESOP compensation 39
Cash dividends (282)
Treasury shares purchased (375)
Reflect change in cost and current market value of ESOP shares 28
------
BALANCE AT DECEMBER 31, 1998 $ 35,846
==========
</TABLE>
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<PAGE> 7
JACKSONVILLE BANCORP, INC.
NOTES TO UNAUDITED FINANCIAL STATEMENTS
DECEMBER 31, 1998 AND 1997
NOTE 1 - BASIS OF PRESENTATION
The unaudited financial statements were prepared in accordance with
instructions for Form 10-Q and, therefore, do not include information or
footnotes necessary for a complete presentation of financial position, results
of operations, and cash flows in conformity with generally accepted accounting
principles. However, all adjustments (consisting only of normal recurring
adjustments) which, in the opinion of management, are necessary for a fair
presentation of the financial statements have been included. The results of
operations for the three-month periods ended December 31, 1998 and 1997 are
not necessarily indicative of the results which may be expected for an entire
fiscal year.
NOTE 2 - EARNINGS PER SHARE
Basic earnings per share for the three month periods ended December 31, 1998
and 1997 have been computed by dividing net earnings by the weighted average
number of shares outstanding. Shares controlled by the ESOP are accounted for
in accordance with Statement of Position 93-6 under which unallocated shares
are not considered in the weighted average number of shares of common
stock outstanding. Diluted earnings per share have been computed, giving
effect to outstanding stock purchase options by application of the treasury
stock method.
Following is a summary of shares used for calculating basic and diluted
earnings per share:
<TABLE>
<CAPTION>
Three Months Ended
December 31,
1998 1997
---- ----
<S> <C> <C>
Basic EPS - Average
shares outstanding 2,264,332 2,305,271
Effect of dilutive
stock options 75,360 106,155
---------- ----------
Diluted EPS - Average
shares outstanding 2,339,692 2,411,426
============ ==========
</TABLE>
NOTE 3 - RECLASSIFICATION OF PREVIOUS STATEMENTS
Certain items previously reported have been reclassified to conform with the
current period's reporting format.
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<PAGE> 8
JACKSONVILLE BANCORP, INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATION
Discussion of Changes in Financial Condition from September 30, 1998 to
December 31, 1998.
At December 31, 1998, the assets of Jacksonville totaled $260.4 million
compared to $263.2 million at September 30, 1998, a decrease of $2.8 million.
This decrease was primarily the result of using cash and interest bearing
deposits to pay $2.0 million on advances at Federal Home Loan Bank and the
payment of annual taxes from customers escrow accounts.
Cash on hand decreased from $3.1 million at September 30, 1998 to $1.6
million at December 31, 1998 while interest-bearing deposits decreased $1.2
million for the respective periods.
The investment securities portfolios, held-to-maturity and
available-for-sale, declined during the quarter from a total of $20.0 million
at September 30, 1998 to $16.0 million at December 31,1998. The $4.0 million
decrease was the result of maturities and calls of securities in the
portfolios.
Mortgage-backed securities, held-to-maturity and available-for-sale,
decreased from $31.9 million at September 30, 1998 to $29.9 million at the end
of the quarter, primarily representing principal reductions for the period.
Loans receivable, net increased by $6.0 million from $191.2 million at
September 30, 1998 to $197.2 million at December 31, 1998. The increase was
primarily funded with investment securities maturities and calls and from
payments in the mortgage-backed securities portfolio.
All remaining asset classifications for December 31, 1998 remained
relatively comparable to those numbers disclosed at September 30, 1998 with the
exception of prepaid expenses and other assets which reduced from $226,000 to
$151,000 for the quarter.
At December 31, 1998 liabilities of the Company totaled $224.4 million
compared to $227.4 million at September 30, 1998. Deposits grew $1.8 million
for the quarter from $204.5 million to $206.3 million at December 31, 1998,
principally as a result of interest credited to accounts and growth in savings
deposits for the period. FHLB advances decreased from $17.0 million to $15.0
million for the comparable periods due to the repayment of a $2.0 million
advance.
Advances from borrowers for taxes and insurance decreased from $3.8
million to $1.2 million for the quarter ended December 31, 1998. This decrease
is the result of the payment from customer's escrow accounts all amounts due to
taxing agencies for the year 1998.
8
<PAGE> 9
Accrued expenses and other liabilities decreased from $2.1 million at
September 30, 1998 to $2.0 million at December 31, 1998.
Deferred income, gain on sale of real estate owned, decreased from
$169,000 at September 30, 1998 to $145,000 at December 31, 1998. This decrease
was primarily the result of the recognition of deferred profits from the sale
of real estate owned as payments were received on the related loans.
Stockholder's equity increased during the period by $283,000 from
$35.6 million to $35.9 million. Retained earnings increased from $19.0 million
at September 30, 1998 to $19.5 million at December 31, 1998 primarily as a
result of net income for the quarter after dividends. Treasury shares increased
for the quarter from $4.4 million to $4.8 million due to the repurchase of
23,500 shares during the period bringing total treasury shares to 309,425.
Shares acquired by the Employee Stock Ownership Plan decreased by
$39,000 due to the release of ESOP shares during the quarter ended December 31,
1998. Shares acquired by the Management Recognition Plan decreased by $42,000
from $515,000 at September 30, 1998 to $473,000 at December 31, 1998, due
primarily to accrual of Management Recognition Plan awards.
Net unrealized gain/loss on securities, available for sale, decreased
from a $75,000 gain at September 30, 1998 to a $49,000 gain at December 31,
1998. These gains were based on "marked-to-market" values of the portfolios at
the respective periods in accordance with FASB 115.
Comparison of Operating Results for the three month period ended December 31,
1998 to the three month period ended December 31, 1997.
Jacksonville reported net earnings of $858,000 for the three months
ended December 31, 1998 compared to $783,000 for the three months ended
December 31, 1997. The increase in net income of $75,000 was due to an increase
in net interest income after provision for losses on loans of $156,000; an
increase of $64,000 in noninterest income; partially offset by an increase in
noninterest expenses of $95,000 and an increase in Federal Income Tax of
$50,000.
Net Interest Income
Total interest income increased by $392,000 during the three months
ended December 31, 1998 compared to the same period in the prior year. Interest
income from loans receivable increased $324,000 due primarily to an increase in
the average balances of loans in the comparative periods. Interest on
mortgage-backed securities increased $134,000 from $346,000 for the quarter
ended December 31, 1997 to $480,000 for the quarter ended December 31, 1998 due
primarily to an increase in portfolio balances for the comparable periods.
Interest on investment securities decreased $100,000 from $381,000 for the
quarter ended December 31, 1997 to $281,000 at December 31, 1998 as the average
balance of the portfolio during the comparable quarters decreased as
Jacksonville shifted funds from investment securities to mortgage-backed
certificates and loan
9
<PAGE> 10
originations. Other interest income increased from $59,000 for the three month
period ended December 31, 1997 to $93,000 for the comparable period ended
December 31, 1998.
Total interest expense increased by $221,000 for the three months
ended December 31, 1998 compared to the same period in 1997 due primarily to an
increase in interest paid on FHLB advances of $168,000 and an increase of
$53,000 on deposits.
Provisions for Losses on Loans
Jacksonville recorded $15,000 in provision for loan losses for the
quarter ended December 31, 1998 as compared to no provision during the same
period in the prior year. The provision is consistent with management's
estimate which takes into account the adequacy of the allowance for loan losses
for the loan portfolio by loan types.
Noninterest Income
Total noninterest income increased from $387,000 for the three months
ended December 31, 1997 to $451,000 for the comparable period in 1998. The
$64,000 increase was the result of an increase of $14,000 in fees and deposit
service charges; an increase of $21,000 in real estate operations, net; and a
$29,000 increase in other non-interest income.
Noninterest Expense
For the three months ended December 31, 1998, noninterest expense
increased by $95,000 over the comparable period ended December 31, 1997. The
increase was primarily due to an increase in compensation and benefits of
$69,000; an increase of $18,000 in occupancy and equipment; an increase of
$11,000 in other noninterest expense; offset by a reduction in insurance
expense of $3,000.
Income Tax Expense
For the three months ended December 31, 1997 and December 31, 1998,
the provisions for income tax amounted to $396,000 and $446,000, respectively.
The higher provisions for income tax during the quarter ended December 31, 1998
was due to the higher taxes resulting from increased earnings during the
quarter.
Liquidity
The State of Texas regulations require the Company's wholly owned
subsidiary, Jacksonville Savings Bank, SSB ("the Bank") to maintain liquidity
in an amount not less than 10% of an amount equal to its average daily deposits
for the most recently completed calendar quarter in cash and readily marketable
investments. For the quarter ended December 31, 1998 the Bank's liquidity was
$57.4 million with a liquidity ratio of 27.55%.
10
<PAGE> 11
Regulatory Capital Requirements
The Bank is required to maintain specified amounts of capital pursuant
to the Financial Institutions Reform, Recovery, and Enforcement Act of 1989
("FIRREA") and regulations promulgated by the FDIC thereunder. The capital
standards generally require the maintenance of regulatory capital sufficient to
meet Tier 1 leveraged capital requirement, a Tier 1 risk-based capital
requirement and a total risk-based capital requirement. At December 31, 1998,
the Bank had Tier 1 leveraged capital, Tier 1 risk-based capital and total risk
based capital levels of 13.01%, 24.23% and 25.07%, respectively, which levels
exceed all current regulatory capital standards. These capital levels exceeded
the minimum requirements at that date by approximately $23.5 million, $28.3
million, and $23.9 million respectively.
"Safe Harbor" Statement
In addition to historical information, forward-looking statements are
contained herein that are subject to risks and uncertainties that could cause
actual results to differ materially from those reflected in the forward-looking
statements. Factors that could cause future results to vary from current
expectations, include, but are not limited to, the impact of economic
conditions (both generally and more specifically in the markets in which
Jacksonville operates), the impact of competition for Jacksonville's customers
from other providers of financial services, the impact of government
legislation and regulation (which changes from time to time and over which
Jacksonville has no control), and other risks detailed in this Form 10-Q and in
Jacksonville's other Securities and Exchange Commission filings. Readers are
cautioned not to place undue reliance on these forward-looking statements,
which reflect management's analysis only as of the date hereof. Jacksonville
undertakes no obligation to publicly revise these forward-looking statements,
to reflect events or circumstances that arise after the date hereof. Readers
should carefully review the risk factors described in other documents
Jacksonville files from time to time with the Securities and Exchange
Commission.
Year 2000 Statement
Jacksonville has been actively addressing the Year 2000 problem since
1996. The data system operated by Jacksonville is maintained by an in-house
staff consisting of five personnel. The Year 2000 Compliance Project consist of
five phases: Awareness, Assessment, Modification, Testing and Implementation.
The in-house system has been through all five phases of the Year 2000
Compliance Project. A full system test was completed successfully on November
6, 1998. All internal programs have been placed into production and
Jacksonville's system is considered to be Year 2000 compliant. Since the main
system has been through all five phases of the plan, the possibility of failure
is minute. However, Jacksonville employs a staff of programmers to remedy
software problems that may occur.
11
<PAGE> 12
For all software supplied by external vendors three phases of the plan
have been completed and the staff is currently working in phase four, testing.
Should any of the small number of external vendors not be ready by the March
31, 1999 deadline, a replacement would be introduced.
The cost of the Year 2000 plan is considered to be minimal to the
institution since an in-house staff has been able to perform the majority of
the necessary steps toward Y2K compliance.
Quantitative and Qualitative Disclosures about Market Risk
The Bank's interest rate risk and asset-liability management are the
responsibility of the Interest Rate Risk Committee which reports to the Board
of Directors and is comprised of members of the Bank's senior management. The
Committee is actively involved in formulating the economic projections used by
the Bank in its planning and budgeting process and establishes policies which
monitor and coordinate the Bank's sources, uses and pricing of funds.
Interest rate risk, including mortgage prepayment risk, is the most
significant non-credit related risk to which the Bank is exposed. Net interest
income, the Bank's primary source of revenue, is affected by changes in
interest rates as well as fluctuations in the level and duration of assets and
liabilities on the Bank's balance sheet.
Interest rate risk can be defined as the exposure of the Bank's net
interest income or financial position to adverse movements in interest rates.
In addition to directly impacting net interest income, changes in the level of
interest rates can also affect, (i) the amount of loans originated and sold by
the institution, (ii) the ability of borrowers to repay adjustable or variable
rate loans, (iii) the average maturity of loans, which tend to increase when
new loan rates are substantially higher than rates on existing loans and
conversely, decrease when rates on new loans are substantially lower than rates
on existing loans, (iv) the value of the Bank's mortgage loans and the
resultant ability to realize gains on the sale of such assets and (v) the
carrying value of investment securities classified as available-for-sale and
the resultant adjustments to shareholder's equity.
The primary objective of the Bank's asset-liability management is to
maximize net interest income while maintaining acceptable levels of interest
rate sensitivity. To accomplish this the Bank monitors interest rate
sensitivity by use of a sophisticated simulation model which analyzes resulting
net interest income under various interest rate scenarios and anticipated
levels of business activity. Complicating management's efforts to measure
interest rate risk is the uncertainty of assumptions used for the maturity,
repricing, and/or runoff characteristics of some of the Bank's assets and
liabilities.
To cope with these uncertainties, management gives careful attention to
its assumptions. For example, certain of the Bank's interest-bearing deposit
products (NOW accounts, savings and money market deposits) have no contractual
maturity and based on historical experience have only a fractional sensitivity
to movements in market rates. Because management believes it has some control
with respect to the extent and timing of rates paid on non-maturity deposits,
certain assumptions based on historical experience are built into the model.
Another major assumption built into the model involves the ability customers
have to prepay loans, often without penalty. The risk of prepayment tends to
increase when interest rates fall. Since future prepayment behavior of loan
12
<PAGE> 13
customers is uncertain, the resultant interest rate sensitivity of loan assets
cannot be determined exactly. The Bank utilizes market consensus prepayment
assumptions related to residential mortgages.
The Bank uses simulation analysis to measure the sensitivity of net
interest income over a specified time period (generally 1 year) under various
interest-rate scenarios using the assumptions discussed above. The Bank's
policy on interest rate risk specifies that if interest rates were to shift
immediately up or down 200 basis points, estimated net interest income should
decline by less than 20%. Management estimates, based on its simulation model,
that an instantaneous 200 basis point increase in interest rates at December
31, 1998, would result in a 3.1% decrease in net interest income over the next
twelve months, while a 200 basis point decrease in rates would result in a 9.4%
decrease in net interest income over the next twelve months. It should be
emphasized that the results are highly dependent on material assumptions such
as those discussed above. It should also be noted that the exposure of the
Bank's net interest income to gradual and/or modest changes in interest rates
is relatively small.
At December 31, 1998, the Bank was within the acceptable ranges set
forth in the Bank's Interest Rate Risk policy.
13
<PAGE> 14
JACKSONVILLE BANCORP, INC.
PART II - OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
The Jacksonville Bancorp, Inc., is involved only in routine legal
proceedings occurring in the ordinary course of business which in the
aggregate are believed by management to be immaterial to the financial
condition of the Association.
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
Not Applicable
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibit 27: Financial Data Schedule
(b) 8K dated November 5, 1998 - Announces Annual Earnings
8K dated December 11, 1998 - Declaration of Dividends
8K dated December 21, 1998 - Receives Approval for New Branch
14
<PAGE> 15
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.
<TABLE>
<S> <C>
JACKSONVILLE BANCORP, INC.
DATE: February 10, 1999 By: /s/ JERRY CHANCELLOR
------------------- ------------------
Jerry Chancellor, President
DATE: February 10, 1999 By: /s/ BILL W. TAYLOR
------------------ ---------------
Bill W. Taylor
Exec. Vice President
Chief Financial Officer
</TABLE>
15
<TABLE> <S> <C>
<ARTICLE> 9
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> SEP-30-1998
<PERIOD-START> OCT-01-1998
<PERIOD-END> DEC-31-1998
<CASH> 1,589
<INT-BEARING-DEPOSITS> 6,573
<FED-FUNDS-SOLD> 0
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 28,993
<INVESTMENTS-CARRYING> 16,957
<INVESTMENTS-MARKET> 17,057
<LOANS> 198,342
<ALLOWANCE> 1,185
<TOTAL-ASSETS> 260,412
<DEPOSITS> 206,258
<SHORT-TERM> 0
<LIABILITIES-OTHER> 3,308
<LONG-TERM> 15,000
0
0
<COMMON> 27
<OTHER-SE> 35,819
<TOTAL-LIABILITIES-AND-EQUITY> 260,412
<INTEREST-LOAN> 4,062
<INTEREST-INVEST> 761
<INTEREST-OTHER> 93
<INTEREST-TOTAL> 4,916
<INTEREST-DEPOSIT> 2,429
<INTEREST-EXPENSE> 2,627
<INTEREST-INCOME-NET> 2,289
<LOAN-LOSSES> 15
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 1,421
<INCOME-PRETAX> 1,304
<INCOME-PRE-EXTRAORDINARY> 1,304
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 858
<EPS-PRIMARY> .38
<EPS-DILUTED> .37
<YIELD-ACTUAL> 7.787
<LOANS-NON> 834
<LOANS-PAST> 0
<LOANS-TROUBLED> 378
<LOANS-PROBLEM> 1,318
<ALLOWANCE-OPEN> 1,170
<CHARGE-OFFS> 0
<RECOVERIES> 0
<ALLOWANCE-CLOSE> 1,185
<ALLOWANCE-DOMESTIC> 1,185
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>