<PAGE> 1
UNITED STATES 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 AND
EXCHANGE ACT OF 1934
For the quarterly period ended SEPTEMBER 30, 1999
----------------------
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT
For the transition period from to
---------- ----------
COMMISSION FILE NUMBER: 333-19081
GBC Bancorp, Inc.
-----------------------------------------------------------------
(Exact name of small business issuer as specified in its charter)
Georgia 58-2265327
- ------------------------------- ------------------
(State or other jurisdiction of (IRS Employer
incorporation or organization) Identification No.)
165 NASH STREET, LAWRENCEVILLE, GEORGIA 30045
---------------------------------------------
(Address of principal executive offices)
(770) 995-0000
---------------------------
(Issuer's telephone number)
N/A
--------------------------------------------------------------------------
(Former name, former address and former fiscal year, if changed since last
report)
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 [ ]
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
PROCEEDINGS DURING THE PRECEDING FIVE YEARS
Check whether the registrant filed all documents and reports required to be
filed by Section 12, 13 or 15(d) of the Exchange Act after the distribution of
securities under a plan confirmed by court.
Yes [ ] No [ ]
APPLICABLE ONLY TO CORPORATE ISSUERS
State the number of shares outstanding of each of the issuer's classes of common
equity, as of November 1, 1999: 950,080; $1 par value
Transitional Small Business Disclosure Format (Check One) Yes [ ] No [X]
<PAGE> 2
GBC BANCORP, INC. AND SUBSIDIARY
- --------------------------------------------------------------------------------
INDEX
<TABLE>
<CAPTION>
PAGE
----
<S> <C> <C>
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
CONSOLIDATED BALANCE SHEET - SEPTEMBER 30, 1999....................................3
CONSOLIDATED STATEMENTS OF OPERATIONS AND
COMPREHENSIVE INCOME (LOSS) - THREE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
AND NINE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998.................................4
CONSOLIDATED STATEMENTS OF CASH FLOWS - NINE
MONTHS ENDED SEPTEMBER 30, 1999 AND 1998..........................................5
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.........................................6
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS...........................7
PART II. OTHER INFORMATION
ITEM 6 - EXHIBITS AND REPORTS ON FORM 8-K............................................15
SIGNATURES...........................................................................16
</TABLE>
2
<PAGE> 3
PART I - FINANCIAL INFORMATION
FINANCIAL STATEMENTS
GBC BANCORP, INC. AND SUBSIDIARY
CONSOLIDATED BALANCE SHEET
SEPTEMBER 30, 1999
(UNAUDITED)
<TABLE>
<CAPTION>
ASSETS
<S> <C>
Cash and due from banks $ 2,192,632
Federal funds sold 7,210,000
Securities available-for-sale, at fair value 6,906,305
Loans 36,366,883
Less allowance for loan losses 552,603
------------
Loans, net 35,814,280
Premises and equipment 529,445
Other assets 408,529
------------
TOTAL ASSETS $ 53,061,191
============
LIABILITIES AND STOCKHOLDERS' EQUITY
DEPOSITS
Demand $ 7,582,232
Interest-bearing demand 8,418,277
Savings 3,898,949
Time 24,757,998
------------
TOTAL DEPOSITS 44,657,456
Other liabilities 211,349
------------
TOTAL LIABILITIES 44,868,805
------------
COMMITMENTS AND CONTINGENT LIABILITIES
STOCKHOLDERS' EQUITY
Common stock, par value $1; 3,000,000 shares authorized;
950,080 shares issued and outstanding 950,080
Capital surplus 8,526,827
Accumulated deficit (1,095,333)
Accumulated other comprehensive loss (189,188)
------------
TOTAL STOCKHOLDERS' EQUITY 8,192,386
------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 53,061,191
============
</TABLE>
SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.
3
<PAGE> 4
GBC BANCORP, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
THREE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998 AND
NINE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
(UNAUDITED)
<TABLE>
<CAPTION>
THREE MONTHS ENDED NINE MONTHS ENDED
SEPTEMBER 30, SEPTEMBER 30,
------------------------------ -------------------------------
1999 1998 1999 1998
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
INTEREST INCOME
Loans $ 1,070,573 $ 634,988 $ 2,811,722 $ 1,236,699
Taxable securities 99,564 60,824 224,559 144,413
Federal funds sold 61,803 59,657 145,403 336,030
----------- ----------- ----------- -----------
TOTAL INTEREST INCOME 1,231,940 755,469 3,181,684 1,717,142
----------- ----------- ----------- -----------
INTEREST EXPENSE ON DEPOSITS 405,371 178,829 978,801 413,737
----------- ----------- ----------- -----------
NET INTEREST INCOME 826,569 576,640 2,202,883 1,303,405
PROVISION FOR LOAN LOSSES 63,200 111,554 187,621 279,240
----------- ----------- ----------- -----------
NET INTEREST INCOME AFTER
PROVISION FOR LOAN LOSSES 763,369 465,086 2,015,262 1,024,165
----------- ----------- ----------- -----------
OTHER OPERATING INCOME 36,807 9,675 135,866 17,965
----------- ----------- ----------- -----------
OTHER EXPENSES
Salaries and employee benefits 316,273 283,200 949,924 818,284
Equipment and occupancy expenses 160,732 79,062 472,121 220,052
Other operating expenses 132,300 143,733 390,216 345,189
----------- ----------- ----------- -----------
609,305 505,995 1,812,261 1,383,525
----------- ----------- ----------- -----------
NET INCOME (LOSS) BEFORE INCOME TAXES 190,871 (31,234) 338,867 (341,395)
INCOME TAX EXPENSE -- -- -- --
----------- ----------- ----------- -----------
NET INCOME (LOSS) 190,871 (31,234) 338,867 (341,395)
----------- ----------- ----------- -----------
OTHER COMPREHENSIVE INCOME (LOSS):
Unrealized gains (losses) on securities
available-for-sale arising during period (55,152) 13,140 (200,747) 14,251
----------- ----------- ----------- -----------
COMPREHENSIVE INCOME (LOSS) $ 135,719 $ (18,094) $ 138,120 $ (327,144)
=========== =========== =========== ===========
BASIC AND DILUTED EARNINGS (LOSSES) PER COMMON SHARE $ 0.36 $ (0.03) $ 0.36 $ (0.36)
=========== =========== =========== ===========
WEIGHTED AVERAGE SHARES OUTSTANDING
(BASIC AND DILUTED) $ 950,080 $ 950,080 $ 950,080 $ 950,080
=========== =========== =========== ===========
CASH DIVIDENDS PER SHARE OF COMMON STOCK $ -- $ -- $ -- $ --
=========== =========== =========== ===========
</TABLE>
SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.
4
<PAGE> 5
GBC BANCORP, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS
NINE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
(UNAUDITED)
<TABLE>
<CAPTION>
1999 1998
------------ ------------
<S> <C> <C>
OPERATING ACTIVITIES
Net income (loss) $ 338,867 $ (341,395)
Adjustments to reconcile net income (loss) to net
cash provided by operating activities:
Depreciation and amortization 158,023 96,935
Provision for loan losses 187,621 279,240
Increase in interest receivable (98,269) (136,089)
Increase in interest payable 9,638 125,193
Other operating activities (74,668) 50,241
------------ ------------
Net cash provided by operating activities 521,212 74,125
------------ ------------
INVESTING ACTIVITIES
Purchases of securities available-for-sale (6,598,532) (3,996,894)
Proceeds from maturities of securities available-for-sale 3,500,000 -
Net (increase) decrease in Federal funds sold (4,470,000) 5,730,000
Net increase in loans (11,934,721) (18,545,918)
Purchase of premises and equipment (75,302) (355,656)
------------ ------------
Net cash used in investing activities (19,578,555) (17,168,468)
------------ ------------
FINANCING ACTIVITIES
Net increase in deposits 19,649,929 17,608,669
------------ ------------
Net cash provided by financing activities 19,649,929 17,608,669
------------ ------------
Net increase in cash and due from banks 592,586 514,326
Cash and due from banks at beginning of period 1,600,046 959,117
------------ ------------
Cash and due from banks at end of period $ 2,192,632 $ 1,473,443
============ ============
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Cash paid for interest $ 969,163 $ 288,544
NONCASH TRANSACTION
Unrealized (gains) losses on securities available-for-sale $ 200,747 $ (14,251)
</TABLE>
SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.
5
<PAGE> 6
GBC BANCORP, INC. AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
NOTE 1. NATURE OF BUSINESS AND BASIS OF PRESENTATION
The consolidated financial information included herein is unaudited;
however, such information reflects all adjustments (consisting solely
of normal recurring adjustments) which are, in the opinion of
management, necessary for a fair statement of results for the interim
period.
The results of operations for the nine month period ended September 30,
1999 are not necessarily indicative of the results to be expected for
the full year.
NOTE 2. CURRENT ACCOUNTING DEVELOPMENTS
In June 1998, the Financial Accounting Standards Board issued SFAS No.
133, "Accounting for Derivative Instruments and Hedging Activities".
The effective date of this statement has been deferred by SFAS No. 137
until fiscal years beginning after June 15, 2000. However, the
statement permits early adoption as of the beginning of any fiscal
quarter after its issuance. The Company expects to adopt this statement
effective January 1, 2001. SFAS No. 133 requires the Company to
recognize all derivatives as either assets or liabilities in the
balance sheet at fair value. For derivatives that are not designated as
hedges, the gain or loss must be recognized in earnings in the period
of change. For derivatives that are designated as hedges, changes in
the fair value of the hedged assets, liabilities, or firm commitments
must be recognized in earnings or recognized in other comprehensive
income until the hedged item is recognized in earnings, depending on
the nature of the hedge. The ineffective portion of a derivative's
change in fair value must be recognized in earnings immediately.
Management does not believe the adoption of SFAS No. 133 will have a
material effect on the Company's earnings or financial position.
There are no other recent accounting pronouncements that have had, or
are expected to have, a material effect on the Company's financial
statements.
6
<PAGE> 7
GBC BANCORP, INC. AND SUBSIDIARY
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS
The following is management's discussion and analysis of certain
significant factors which have affected the financial position and
operating results of the Company and its bank subsidiary, Gwinnett
Banking Company (the "Bank"), during the periods included in the
accompanying consolidated financial statements.
FORWARD-LOOKING STATEMENTS
The Company may from time to time make written or oral forward-looking
statements, including statements contained in the Company's filings
with the Securities and Exchange Commission and its reports to
stockholders. Statements made, other than those concerning historical
information, should be considered forward-looking and subject to
various risks and uncertainties. Such forward-looking statements are
made based upon management's belief as well as assumptions made by, and
information currently available to, management pursuant to "safe
harbor" provisions of the Private Securities Litigation Reform Act of
1995. The Company's actual results may differ materially from the
results anticipated in forward-looking statements due to a variety of
factors, including governmental monetary and fiscal policies, deposit
levels, loan demand, loan collateral values, securities portfolio
values, interest rate risk management; the effects of competition in
the banking business from other commercial banks, thrifts, mortgage
banking firms, consumer finance companies, credit unions, securities
brokerage firms, insurance companies, money market funds and other
financial institutions operating in the Company's market area and
elsewhere, including institutions operating through the Internet,
changes in governmental regulation relating to the banking industry,
including regulations relating to branching and acquisitions, failure
of assumptions underlying the establishment of reserves for loan
losses, including the value of collateral underlying delinquent loans
and other factors. The Company cautions that such factors are not
exclusive. The Company does not undertake to update any forward-looking
statement that may be made from time to time by, or on behalf of, the
Company.
LIQUIDITY AND CAPITAL RESOURCES
As of September 30, 1999, the liquidity ratio of the Bank, as
determined under guidelines established by regulatory authorities, was
satisfactory.
7
<PAGE> 8
As of September 30, 1999, the capital ratios of the Company and the
Bank were adequate based on regulatory minimum capital requirements.
The minimum capital requirements and the actual capital ratios for the
Company and the Bank are as follows:
<TABLE>
<CAPTION>
ACTUAL
-------------------------
GBC GWINNETT
BANCORP, BANKING REGULATORY
INC. COMPANY REQUIREMENT
--------- -------- -----------
<S> <C> <C> <C>
Leverage capital ratios 17.23% 16.25% 4.00%
Risk-based capital ratios:
Core capital 21.42 20.21 4.00
Total capital 22.67 21.46 8.00
</TABLE>
As the Company continues to grow, the capital ratios will decrease
rapidly during the next twelve months to levels closer to, but still in
excess of, regulatory minimum requirements.
8
<PAGE> 9
FINANCIAL CONDITION
Following is a summary of the Company's balance sheets for the periods
indicated:
<TABLE>
<CAPTION>
SEPTEMBER 30, DECEMBER 31,
1999 1998 INCREASE (DECREASE)
------------- ------------ -------------------
(DOLLARS IN THOUSANDS) AMOUNT PERCENT
--------------------------- -------- -------
<S> <C> <C> <C> <C>
Cash and due from banks $ 2,193 $ 1,600 $ 593 37.06%
Federal funds sold 7,210 2,740 4,470 163.14
Securities 6,906 4,009 2,897 72.26
Loans, net 35,814 24,067 11,747 48.81
Premises and equipment 529 612 (83) (13.56)
Other assets 409 297 112 37.71
------- ------- --------
$53,061 $33,325 $ 19,736 59.22
======= ======= ========
Deposits $44,658 $25,008 $ 19,650 78.57%
Other liabilities 211 263 (52) (19.77)
Stockholders' equity 8,192 8,054 138 1.71
------- ------- --------
$53,061 $33,325 $ 19,736 59.22
======= ======= ========
</TABLE>
As indicated in the above table, the Company's total assets grew at a rate of
59.22%. This high rate of growth is not uncommon for a de novo bank. Significant
deposit growth of $19,650,000 has been invested in loans, Federal funds sold,
and securities. Although the Company's loan to deposit ratio has decreased from
97.73% at December 31, 1998 to 81.44% at September 30, 1999, overall loan growth
has increased significantly, indicating strong loan demand and deposit growth in
the Company's primary market area of Gwinnett County, Georgia.
9
<PAGE> 10
RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998 AND
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
Following is a summary of the Company's operations for the periods indicated.
<TABLE>
<CAPTION>
THREE MONTHS ENDED
SEPTEMBER 30,
----------------------
1999 1998 INCREASE (DECREASE)
-------- ------- -------------------------
(DOLLARS IN THOUSANDS) AMOUNT PERCENT
---------------------- ------- -------
<S> <C> <C> <C> <C>
Interest income $ 1,232 $ 755 $ 477 63.18%
Interest expense 405 179 226 126.26
Net interest income 827 576 251 43.58
Provision for loan losses 63 111 (48) (43.24)
Other income 37 10 27 270.00
Other expense 610 506 104 20.55
Net income (loss) 191 (31) 222 716.13
</TABLE>
<TABLE>
<CAPTION>
NINE MONTHS ENDED
SEPTEMBER 30,
----------------------
1999 1998 INCREASE (DECREASE)
-------- ------- -------------------------
(DOLLARS IN THOUSANDS) AMOUNT PERCENT
---------------------- ------- -------
<S> <C> <C> <C> <C>
Interest income $ 3,182 $ 1,717 $ 1,465 85.32%
Interest expense 979 414 565 136.47
Net interest income 2,203 1,303 900 69.07
Provision for loan losses 188 279 (91) (32.62)
Other income 136 18 118 655.56
Other expense 1,812 1,383 429 31.02
Net income (loss) 339 (341) 680 199.41
</TABLE>
The Company's net interest income increased by $251,000 and $900,000 for the
third quarter and first nine months of 1999, respectively, as compared to the
same periods in 1998. The Company's net interest margin decreased to 7.36%
during the first nine months of 1999 as compared to 7.76% for the previous year.
The increase in net interest income is due primarily to the increased volume of
average loans and related loan fees. The decrease in net interest margin is due
to deposit growth beginning to outpace loan growth with the excess deposit
growth being invested in lower yielding securities and Federal funds sold.
10
<PAGE> 11
The provision for loan losses decreased by $48,000 and $91,000 for the third
quarter and first nine months of 1999, respectively, as compared to the same
periods in 1998. The decreases are due solely to a slower rate of loan growth.
The Company's allowance for loan losses amounted to 1.52% at September 30, 1999
as compared to 1.53% at December 31, 1998. The allowance for loan losses is
maintained at a level that is deemed appropriate by management to adequately
cover all known and inherent risks in the loan portfolio. Management's
evaluation of the loan portfolio includes a continuing review of loan loss
experience, current economic conditions which may affect the borrower's ability
to repay and the underlying collateral value.
Information with respect to nonaccrual, past due and restructured loans at
September 30, 1999 and 1998 is as follows:
<TABLE>
<CAPTION>
SEPTEMBER 30,
------------------------
1999 1998
-------- --------
(DOLLARS IN THOUSANDS)
------------------------
<S> <C> <C>
Nonaccrual loans $ 0 $ 0
Loans contractually past due ninety days or more as to interest
or principal payments and still accruing 0 0
Restructured loans 0 0
Loans, now current about which there are serious doubts as to the
ability of the borrower to comply with loan repayment terms 0 0
Interest income that would have been recorded on nonaccrual
and restructured loans under original terms 0 0
Interest income that was recorded on nonaccrual and restructured loans 0 0
</TABLE>
It is the policy of the Bank to discontinue the accrual of interest income when,
in the opinion of management, collection of such interest becomes doubtful. This
status is accorded such interest when (1) there is a significant deterioration
in the financial condition of the borrower and full repayment of principal and
interest is not expected and (2) the principal or interest is more than ninety
days past due, unless the loan is both well-secured and in the process of
collection.
Loans classified for regulatory purposes as loss, doubtful, substandard, or
special mention that have not been included in the table above do not represent
or result from trends or uncertainties which management reasonably expects will
materially impact future operating results, liquidity, or capital resources.
These classified loans do not represent material credits about which management
is aware of any information which causes management to have serious doubts as to
the ability of such borrowers to comply with the loan repayment terms.
11
<PAGE> 12
Information regarding certain loans and allowance for loan loss data through
September 30, 1999 and 1998 is as follows:
<TABLE>
<CAPTION>
NINE MONTHS ENDED
SEPTEMBER 30,
-----------------------
1999 1998
------- -------
(DOLLARS IN THOUSANDS)
-----------------------
<S> <C> <C>
Average amount of loans outstanding $31,126 $10,744
======= =======
Balance of allowance for loan losses at beginning of period $ 373 $ 29
------- -------
Loans charged off
Commercial and financial $ -- $ --
Real estate mortgage -- --
Instalment -- --
Other 8 --
------- -------
8 --
------- -------
Loans recovered
Commercial and financial -- --
Real estate mortgage -- --
Instalment -- --
------- -------
Other -- --
------- -------
Net charge-offs 8 --
------- -------
Additions to allowance charged to
operating expense during period 188 279
------- -------
Balance of allowance for loan losses at end of period $ 553 $ 308
======= =======
Ratio of net loans charged off during the period to
average loans outstanding .03% --
======= =======
</TABLE>
Other income increased by $27,000 and $118,000 for the third quarter and first
nine months of 1999, respectively, as compared to the same periods in 1998,
primarily due to service charges on deposit accounts and mortgage loan fees.
12
<PAGE> 13
Other expenses increased $104,000 and $429,000 for the third quarter and first
nine months of 1999, respectively, as compared to the same periods in 1998.
Salaries and employee benefits have increased by $17,000 and $132,000 during
these periods due to normal salary increases. Equipment and occupancy expenses
have increased by $113,000 and $252,000 during these periods due to the
occupation of new banking facilities in the latter part of 1998 and the related
rental and other occupancy costs.
The Company has recorded no provision for income taxes due to cumulative net
operating losses.
YEAR 2000 DISCLOSURES
The Year 2000 issue is the result of computer programs being written using two
digits rather than four to define the applicable year. Systems that do not
properly recognize the Year 2000 could generate erroneous data or cause systems
to fail. The Company is heavily dependent on computer processing and
telecommunication systems in the daily conduct of business activities. In
addition, the Company must rely on intermediaries, vendors, and customers to
appropriately modify their systems in order that all may continue normal
operations and operate without significant disruption.
To address the Year 2000 problems, the Company formed a Year 2000 committee made
up of key employees headed up by the Chief Operations Officer. This committee
has been charged with the responsibility of assessing problems, overseeing
corrective actions, as well as testing the Year 2000 readiness of all equipment,
software, and applications.
Under the directions of the committee, the Company has conducted a comprehensive
review of its computer systems, programs, applications, and other electronic
components. The systems and components which were identified as mission critical
have been tested to insure Year 2000 compliance. In addition, the Company has
developed a contingency plan to insure Year 2000 risks are minimal. Based on
these reviews and tests, management does not believe the cost of Year 2000
compliance will be material to the Company's financial statements. Management
also believes that the Company is in substantial compliance with regulatory
timetable requirements regarding the Year 2000 issue.
Another area of Year 2000 concern is customer awareness and preparedness. In
particular, loan customers who are not Year 2000 compliant could experience
business interruptions which could affect their ability to repay debts owed to
the Bank. The Company has communicated with its customers in an effort to insure
awareness and understand the potential impact on their business. Loan customers
considered to have Year 2000 exposure are being required to complete a
questionnaire in order to assess their Year 2000 readiness and the Company's
exposure.
The Company realizes that due to many factors, consumers may withdraw extra
amounts of money which could result in a liquidity issue for the Company.
Additional liquidity has been established to accommodate this issue. Cash
balances will be closely monitored throughout 1999, with extra emphasis placed
during the fourth quarter, to insure adequate liquidity.
13
<PAGE> 14
The foregoing are forward-looking statements reflecting management's current
assessment and estimates with respect to the Company's Year 2000 compliance
efforts and the impact of Year 2000 issues on the Company's business and
operations. Various factors could cause actual plans and results to differ
materially from those contemplated by such assessments, estimates, and
forward-looking statements, many of which are beyond the control of the Company.
Some of these factors include, but are not limited to representations made by
the Company's vendors and counterparties, technological advances, economic
considerations, and consumer perceptions. The Company's Year 2000 compliance
program is an ongoing process involving continual evaluation and may be subject
to change in response to new developments.
14
<PAGE> 15
PART II - OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K.
(a) Exhibits.
27. Financial Data Schedule (for SEC use only).
(b) Reports on Form 8-K.
None.
15
<PAGE> 16
SIGNATURES
In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.
GBC BANCORP, INC.
(Registrant)
DATE: November 12, 1999 BY: /s/ Larry D. Key
----------------- ------------------------------------
Larry D. Key, President and Chief
Executive Officer
DATE: November 12, 1999 BY: /s/ John Hopkins
----------------- --------------------------------------
John Hopkins, Chief Financial Officer
16
<TABLE> <S> <C>
<ARTICLE> 9
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> SEP-30-1999
<CASH> 2,192,632
<INT-BEARING-DEPOSITS> 0
<FED-FUNDS-SOLD> 7,210,000
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 6,906,305
<INVESTMENTS-CARRYING> 0
<INVESTMENTS-MARKET> 0
<LOANS> 36,366,883
<ALLOWANCE> 552,603
<TOTAL-ASSETS> 53,061,191
<DEPOSITS> 44,657,456
<SHORT-TERM> 0
<LIABILITIES-OTHER> 211,349
<LONG-TERM> 0
0
0
<COMMON> 950,080
<OTHER-SE> 7,242,306
<TOTAL-LIABILITIES-AND-EQUITY> 53,061,191
<INTEREST-LOAN> 2,811,722
<INTEREST-INVEST> 369,962
<INTEREST-OTHER> 0
<INTEREST-TOTAL> 3,181,684
<INTEREST-DEPOSIT> 978,801
<INTEREST-EXPENSE> 978,801
<INTEREST-INCOME-NET> 2,202,883
<LOAN-LOSSES> 187,621
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 1,812,261
<INCOME-PRETAX> 338,867
<INCOME-PRE-EXTRAORDINARY> 338,867
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 338,867
<EPS-BASIC> 0.36
<EPS-DILUTED> 0.36
<YIELD-ACTUAL> 7.36
<LOANS-NON> 0
<LOANS-PAST> 0
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 373,000
<CHARGE-OFFS> 8,000
<RECOVERIES> 0
<ALLOWANCE-CLOSE> 553,000
<ALLOWANCE-DOMESTIC> 553,000
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
