EXHIBIT 2
RIGGS PARTNERS LLC
3945 CENTRAL AVENUE
WESTERN SPRINGS, ILLINIOS 60558
(708) 246-7022
January 19, 2001
Board of Directors
Algiers Bancorp, Inc.
1 Westbank Expressway
New Orleans, Louisiana 70114
Gentlemen,
Riggs Partners LLC currently owns approximately 8.3% of the common stock
of Algiers Bancorp, Inc. and has observed the company's performance since its
initial public offering in 1996. We note that since the company's $10.00 per
share IPO, your book value per share has declined from $14.50 to $13.74, in
spite of management's opportunities to repurchase stock in the open market at
prices below book value. Now that the company has been issued a "Cease and
Desist" order by the Office of Thrift Supervision due to management's failure to
comply with its regulatory responsibilities, the potential for the company to
enhance shareholder value by repurchasing shares is no longer likely to be an
option. In addition, the added expense associated with complying with the "Cease
and Desist" order make it unlikely that the company can operate profitably or
that shareholders can expect an acceptable return on their investment in the
company. Indeed, almost five years have passed since your IPO and the stock
remains mired below the IPO price.
We therefore believe that it is incumbent upon you as fiduciaries to
seriously consider all available means of maximizing shareholder value including
through the immediate retention of an investment banking firm to solicit and
consider offers from third parties with respect to the sale of the company or
its assets.
As concerned shareholders, we urge the Board to take immediate and
appropriate action.
Very truly yours,
/s/ Philip J. Timyan
Philip J. Timyan
cc: Frederick R. Casteel, Office of Thrift Supervision, Regional Director,
Midwest Region
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