<PAGE>
<PAGE>
U.S. SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-QSB
[ X ] Quarterly report under Section 13 or 15 (d) of the
Securities Exchange Act of 1934
For the quarterly period ended June 30, 1999
Commission file number 333-20489
Rocky Ford Financial, Inc.
------------------------------------------------------------
(Exact Name of Small business Issuer as Specified in Its
Charter)
Delaware 84-1413346
- ------------------------------- -----------------------
(State of Other Jurisdiction of (I.R.S. Employer
Incorporation or Organization) Identification No.)
801 Swink Avenue, Rocky Ford, Colorado 81067
--------------------------------------------------
(Address of Principal Executive Offices)
719-254-7642
--------------------------------------------------
(Issuer's Telephone Number, Including Area Code)
Check whether the issuer's: (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
----- -----
State the number of shares outstanding of each of the
issuer's classes of common equity, as of the latest practicable
date:
Shares of common stock outstanding as of June 30, 1999
408,350
<PAGE>
<PAGE>
ROCKY FORD FINANCIAL, INC.
CONTENTS
PART I - FINANCIAL INFORMATION
Item 1: Financial Statements
Consolidated Statement of Condition
at June 30, 1999 and September 30, 1998 3
Statements of Consolidated Income for
the Three Months and Nine Months Ended
June 30, 1999 and 1998 4
Statements of Consolidated Cash Flows
for the Nine Months Ended June 30, 1999
and 1998 5
Notes to Financial Statements 6 - 7
Item 2: Management's Discussion and Analysis of
Financial Condition and Results of
Operations 8 - 10
PART II - OTHER INFORMATION
Item 1: Legal Proceedings 11
Item 2: Changes in Securities 11
Item 3: Defaults Upon Senior Securities 11
Item 4: Submission of Matters to a Vote of
Security Holders 11
Item 5: Other Information 11
Item 6: Exhibits and Reports on Form 8-K 11
Signature 11
2
<PAGE>
<PAGE>
ROCKY FORD FINANCIAL, INC.
CONSOLIDATED STATEMENT OF FINANCIAL CONDITION
(UNAUDITED)
<TABLE>
<CAPTION>
June 30, September 30,
1999 1998
----------------------------
ASSETS
<S> <C> <C>
Cash and cash equivalents
Interest - bearing $ 4,500,000 $ 3,700,000
Non-interest bearing 344,186 267,576
Certificates of deposit 2,099,000 1,599,000
Securities available for sale
Equity securities (amortized cost
of $11,327) 670,944 574,062
Securities held to maturity
Mortgage-backed securities (estimated
market value of $1,320,100 and
$1,906,500) 1,280,265 1,806,286
U.S. agencies (estimated market value
of $252,600 and $264,700) 249,375 249,199
Loans receivable - net 13,636,272 14,092,549
Federal Home Loan Bank stock, at cost 163,600 209,900
Retirement trust assets 295,311 295,311
Accrued interest receivable 132,621 121,660
Premises and equipment 99,666 76,688
Prepaids 35,225 20,526
----------- -----------
TOTAL ASSETS $23,506,465 $23,012,757
=========== ===========
LIABILITIES AND EQUITY
Deposits $16,161,579 $15,597,944
Advances from borrowers for taxes and
insurance 20,806 33,050
Accounts payable and accrued expenses 405,259 452,376
Deferred income taxes 220,100 205,539
----------- -----------
TOTAL LIABILITIES 16,807,744 16,288,909
----------- -----------
Commitments and contingencies
Preferred stock - $.01 par value;
authorized 1,000,000 shares; no
shares issued or outstanding -- --
Common stock - $.01 par value;
authorized 3,000,000 shares;
issued and outstanding 423,200 4,232 4,232
Paid-in capital 3,848,838 3,844,821
Retained earnings - substantially
restricted 2,853,788 2,791,147
Net unrealized gain on securities
available for sale, net of tax of
$244,100 and $208,200 415,532 354,496
Treasury stock, at cost - 14,850 shares (152,821) --
Note receivable from ESOP Trust (270,848) (270,848)
----------- -----------
TOTAL EQUITY 6,698,721 6,723,848
----------- -----------
TOTAL LIABILITIES AND EQUITY $23,506,465 $23,012,757
=========== ===========
</TABLE>
SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
3
<PAGE>
<PAGE>
ROCKY FORD FINANCIAL, INC.
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
<TABLE>
<CAPTION>
Three Months Ended Nine Months Ended
June 30, June 30,
1999 1998 1999 1998
-------- ------- ------- -------
<S> <C> <C> <C> <C>
INTEREST INCOME
Loans receivable $282,499 $298,989 $ 880,999 $ 883,195
Securities held 34,205 58,341 132,431 187,092
Other interest-bearing assets 80,996 68,154 238,785 207,283
-------- -------- ---------- ----------
TOTAL INTEREST INCOME 397,700 425,484 1,252,215 1,277,570
INTEREST ON DEPOSITS 191,522 189,766 576,334 576,122
-------- -------- ---------- ----------
NET INTEREST INCOME 206,178 235,718 675,881 701,448
(PROVISION FOR) RECOVERY OF LOAN
LOSSES -- -- -- --
-------- -------- ---------- ----------
NET INTEREST INCOME AFTER
PROVISION FOR LOAN LOSSES 206,178 235,718 675,881 701,448
-------- -------- ---------- ----------
NON-INTEREST INCOME
Other charges 6,934 3,855 12,682 8,722
-------- -------- ---------- ----------
NON-INTEREST EXPENSE
GENERAL AND ADMINISTRATIVE
Compensation and benefits 74,463 77,274 231,764 233,682
Occupancy and equipment 10,747 7,795 25,423 22,957
Computer services 13,339 12,622 41,970 32,057
SAIF deposit insurance 4,152 4,296 12,458 13,145
Other 64,627 52,951 181,905 167,344
-------- -------- ---------- ----------
TOTAL NON-INTEREST EXPENSE 167,328 154,938 493,520 469,185
-------- -------- ---------- ----------
INCOME BEFORE TAXES 45,784 84,635 195,043 240,985
INCOME TAX (EXPENSE) BENEFIT (20,829) (30,887) (75,116) (95,620)
-------- -------- ---------- ----------
NET INCOME $ 24,955 $ 53,748 $ 119,927 $ 145,365
======== ======== ========== ==========
BASIC EARNINGS PER COMMON SHARE $ 0.06 $ 0.14 $ 0.31 $ 0.37
======== ======== ========== ==========
DILUTED EARNINGS PER COMMON SHARE $ 0.06 $ 0.14 $ 0.31 $ 0.37
======== ======== ========== ==========
WEIGHTED AVERAGE COMMON SHARES
OUTSTANDING BASIC 385,971 396,116 389,271 396,116
DILUTED 385,971 396,116 389,271 396,116
DIVIDENDS PER SHARE $ 0.15
</TABLE>
SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
4
<PAGE>
<PAGE>
ROCKY FORD FINANCIAL, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
<TABLE>
<CAPTION>
Nine Months Ended
June 30,
1999 1998
---------- ---------
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 119,927 $ 145,365
----------- -----------
Adjustments to reconcile net income to
net cash provided by operating activities:
Amortization of:
Deferred loan origination fees (11,900) (7,276)
Discounts on investments (176) (845)
Stock dividend received from FHLB (8,600) (18,900)
ESOP market value expense 4,017 15,617
Depreciation 16,337 12,568
Change in assets and liabilities
Accrued interest receivable (10,961) 9,318
Prepaids (14,699) 19,666
Accounts payable and accrued expenses (47,117) 3,281
Current income taxes -- 50,020
Deferred income taxes (21,285) 2,471
----------- -----------
TOTAL ADJUSTMENTS (94,384) 85,920
----------- -----------
NET CASH PROVIDED (USED) BY OPERATING
ACTIVITIES 25,543 231,285
----------- -----------
CASH FLOWS FROM INVESTING ACTIVITIES
Net change in certificates of deposit (500,000) 397,035
Loan originations and principal payments
on loans 468,177 (422,864)
Principal payments on mortgage-backed
securities 526,021 468,589
Capital purchases (39,315) (8,365)
Federal Home Loan Bank stock redeemed 54,900 --
----------- -----------
NET CASH PROVIDED (USED) BY INVESTING
ACTIVITIES 509,783 434,395
----------- -----------
CASH FLOWS FROM FINANCING ACTIVITIES
Purchase of treasury stock (152,821) --
Net change in deposits 563,635 (565,339)
Net change in mortgage escrow funds (12,244) (14,035)
Dividends paid (57,286) (58,402)
----------- -----------
NET CASH PROVIDED (USED) BY FINANCING
ACTIVITIES 341,284 (637,776)
----------- -----------
NET INCREASE IN CASH AND CASH EQUIVALENTS 876,610 27,904
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR 3,967,576 3,205,382
----------- -----------
CASH AND CASH EQUIVALENTS AT END OF YEAR $ 4,844,186 $ 3,233,286
=========== ===========
SUPPLEMENTAL DISCLOSURES OF CASH FLOWS
Cash paid for:
Taxes $ 213,822 $ 23,969
Interest 583,850 584,722
</TABLE>
SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
5
<PAGE>
<PAGE>
ROCKY FORD FINANCIAL, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
JUNE 30, 1999
Note 1. Nature of Business
Rocky Ford Financial, Inc. (the "Company") was incorporated under
the laws of the State of Delaware for the purpose of becoming the
holding company of Rocky Ford Federal Savings and Loan
Association (the "Association") in connection with the
Association's conversion from a federally chartered mutual
savings and loan association to a federally chartered stock
savings and loan association, pursuant to its Plan of Conversion.
The Company was organized in January 1997 to acquire all of the
common stock of Rocky Ford Federal Savings and Loan Association
upon its conversion to stock form
Note 2. Basis of Presentation
The accompanying unaudited consolidated financial
statements,(except for the statement of financial condition at
September 30, 1998, which is audited) have been prepared in
accordance with generally accepted accounting principles for
interim financial information and with the instructions to Form
10-QSB of Regulation S-X. Accordingly, they do not include all
of the information and footnotes required by generally accepted
accounting principles for complete financial statements. In the
opinion of management all adjustments necessary for a fair
presentation of the financial position and results of operations
for the periods presented have been included. The financial
statements of the Company are presented on a consolidated basis
with those of Rocky Ford Federal Saving and Loan Association. The
results of operations for the three and nine months ended June
30, 1998 are not necessarily indicative of the results of
operations that may be expected for the year ended September 30,
1999.
The accounting policies followed are as set forth in Note 1 of
the Notes to Financial Statements in the 1998 Rocky Ford
Financial Inc., financial statements, included as item 7 to the
Company's annual report on Form 10-KSB for the year ended
September 30, 1998, and incorporated herein by reference.
Note 3. Regulatory Capital Requirements
At June 30, 1999, the Association met each of the three current
minimum regulatory capital requirements. The following table
summarizes the Association's regulatory capital position at June
30, 1999:
<TABLE>
<CAPTION>
Tangible Capital:
<S> <C> <C>
Actual $4,829,000 22.31%
Required 325,000 1.50
Excess $4,504,000 20.81%
Tier 1 (Core) Capital:
Actual $4,829,000 22.31%
Required 866,000 4.00
Excess $3,963,000 18.31%
Total Risk-Based Capital:
Actual $5,191,000 56.96%
Required 729,000 8.00
Excess $4,462,000 48.96%
</TABLE>
6
<PAGE>
<PAGE>
ROCKY FORD FINANCIAL, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
JUNE 30, 1999
Note 3. Regulatory Capital Requirements (Continued)
Tangible and core capital levels are shown as a percentage of
total adjusted assets; risk-based capital levels are shown as
a percentage of risk-weighted assets.
Note 4. Earnings Per Share
The Company adopted Financial Accounting Standards Board
Statement No. 128 relating to earnings per share. The statement
requires dual presentations of basic and diluted earnings per
share on the face of the income statement. Basic EPS excludes
dilution and is computed by dividing income available to common
stockholders by the weighted-average number of common shares
outstanding for the period. Diltuted EPS reflects the potential
dilution that could occur if securities or other contracts to
issue common stock were exercised or converted into common stock
or resulted in the issuance of common stock that then shares in
the earnings of the entity.
Note 5 Dividends Paid
On January 11, 1999 and January 12, 1998, the Board of Directors
declared cash dividends of $0.15 per share and $.15 per share,
respectively, to stockholders of record as of February 26, 1999
and February 25, 1998, respectively.
7
<PAGE>
<PAGE>
ROCKY FORD FINANCIAL, INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
COMPARISON OF FINANCIAL CONDITION AT JUNE 30, 1999 AND SEPTEMBER
30, 1998
The Company's total assets increased by $489,000 or 2.13% from
$23.0 million at September 30, 1998 to $23.5 million at June 30,
1999. The growth is attributable to cash received from the
increase in deposits.
The Company's loan portfolio had a net decrease of approximately
$456,000 during the nine months ended June 30, 1999. Net loans
totaled $13.6 million at June 30, 1999 and $14.1 million at
September 30, 1998. During the nine months ended June 30, 1999,
the Company originated loans in the amount of $1.2 million and
received loan payments in the amount of $1.7 million. As of June
30, 1999, the outstanding loan commitments for real estate loans
was $86,000.
The allowance for loan losses totaled $60,000 at June 30, 1999
and September 30, 1998. As of June 30, 1999 the Company had
$86,500 of non-performing loans in its portfolio. There were no
loans charged off or recoveries of previous loan losses during
the nine months ended June 30, 1999. The determination of the
allowance for loan losses is based on management's analysis,
performed on a quarterly basis, of various factors, including the
market value of the underlying collateral, growth and composition
of the loan portfolio, the relationship of the allowance for loan
losses to outstanding loans, historical loss experience,
delinquency trends and prevailing economic conditions. Although
management believes its allowance for loan losses is adequate,
there can be no assurance that additional allowances will not be
required or that losses on loans will not be incurred. The
Company has had minimal losses on loans in prior years. At June
30, 1999, the ratio of the allowance for loan losses to net loans
was .44%. as compared to .44% at September 30, 1998.
The Company's interest earning assets, excluding loans, increased
$900,000 from $8.1 million at September 30, 1998 to $9.0 million
at June 30, 1999. The Company's investment portfolio, at June
30, 1999, included mortgage-backed and related securities
classified as "held to maturity" carried at amortized cost of
$1.5 million and an estimated fair value of $1.6 million, equity
securities classified as "available for sale" with an estimated
fair value of $671,000 and interest bearing deposits with various
financial institutions totaling $6.6 million.
At June 30, 1999 deposits increased to $16.2 million from $15.6
million at September 30, 1998 or a net increase of 3.61%. The
increase is attributed to normal seasonal deposits. Management
is continually evaluating the investment alternatives available
to the Company's customers, and adjusts the pricing on its
savings products to maintain its existing deposits.
COMPARISON OF OPERATING RESULTS FOR THE NINE MONTHS ENDED JUNE
30, 1999 AND 1998
Net Income. The Company's net income for the nine months ended
June 30, 1999 was $120,000 compared to net income of $145,000 for
the nine months ended June 30, 1998. The decrease in net
earnings for the nine months ended June 30, 1999 resulted
primarily from the reduction of higher paying interest earning
assets, primarily loans, to lower paying highly liquid assets
consisting of cash investment securities.
Net Interest Income. Net interest income for the nine months
ended June 30, 1999 was $675,000 compared to $701,000 for the
nine months ended June 30, 1998. The decrease in net interest
income for the nine months ended June 30, 1999 was due to an
decrease in the interest rate spread from 2.78% in 1998 to 2.56%
in 1999. The decrease in the interest rate spread is caused by
the rate of return on interest earning assets decreasing by 24
basis points from 7.64% as of June 30, 1998 to 7.40% as June 30,
1999, and the cost of deposits decreasing by only 2 basis points
from 4.86% as of June 30, 1998 to 4.84% as of June 30, 1999. The
decrease in the interest rate spread is attributed to payments on
loans and mortgage backed securities that have been invested in
highly liquid assets which have a lower rate of return.
8
<PAGE>
<PAGE>
ROCKY FORD FINANCIAL, INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
Interest Income. Interest income decreased by $25,000 from $1.28
million to $1.25 million or by 1.98%, during 1999 compared to
1998. The Company experienced a decrease in the average yield on
the interest-earning assets from 7.64% in 1998 to 7.40% in 1999,
with an increase in average interest earning assets from $22.3
million as of June 30, 1998 to $22.6 million as of June 30, 1999.
Interest Expense. Interest expense was $576,000 for the nine
months ended June 30, 1999 and the nine months ended June 30,
1998. The comparable expense for the periods was caused by the
insignificant decrease of the average rate paid from 4.86% in
1998 to 4.84% in 1999 with a corresponding increase in average
deposits from $15.8 million in 1998 to $15.9 million in 1999.
Provision for Loan Losses. The allowance for loan losses is
established through a provision for loan losses based on
management's evaluation of the risk inherent in its loan
portfolio and the general economy. Such evaluation considers
numerous factors including, general economic conditions, loan
portfolio composition, prior loss experience, the estimated fair
value of the underlying collateral and other factors that warrant
recognition in providing for an adequate loan loss allowance.
The Company determined a provision for loan loss was not required
for the nine months ended June 30, 1999 and 1998.
Non-Interest Expense. The increase in non-interest expense of
$24,000 is attributable to computer services and equipment
changes relative to the year 2000 situation, and increased
professional fees.
Income Tax Expense. Tax expense recognized for the nine months
ended June 30, 1999 and 1998 of $75,000 and $96,000 respectively,
represents the estimated tax due on taxable income at the
approximate effective tax rate of 40%. The rate exceeds the
statutory rate due to nondeductible ESOP expenses recognized and
the effect of state taxes.
COMPARISON OF OPERATING RESULTS FOR THE THREE MONTHS ENDED JUNE
30, 1999 AND 1998
Net Income. The Company's net income for the three months ended
June 30, 1999 and 1998 decreased from $54,000 in 1998 to $25,000
in 1999. The decrease is attributed to the reduced interest
income, and increased professional fees for the 1999 three month
period.
Net Interest Income. Net interest income for the three months
ended June 30, 1999 was $206,000 compared to $236,000 for the
three months ended June 30, 1998. The decrease in net interest
income for the three months ended June 30, 1999 was due to a 54
basis points decline in the rate spread from 2.78% for the three
months ended June 30, 1998 to 2.24% for the three months ended
June 30, 1999.
Interest Income. Interest income decreased by $27,000, from
$425,000 for the three months ended June 30, 1998 to $398,000 for
the three months ended June 30, 1999. The Company experienced a
decrease in the average yield on the interest-earning assets from
7.62% in 1998 to 7.02% in 1999.
Interest Expense. Interest expense decreased $2,000 for the
three months ended June 30, 1999 as compared to June 30, 1998.
The decrease in expense for the period was caused by the $360,000
increase in average deposits from $15.7 million for the three
months ended June 30, 1998 to $16.0 million for the three months
ended June 30, 1999, with a decrease in the rates paid from 4.84%
in 1998 to 4.78% in 1999.
9
<PAGE>
<PAGE>
ROCKY FORD FINANCIAL, INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
LIQUIDITY AND CAPITAL RESOURCES
The Company's primary sources of funds consists of deposits,
repayment of loans and mortgage-backed securities, maturities of
investments and interest-bearing deposits, and funds provided
from operations. While scheduled repayments of loans and
mortgage-backed securities and maturities of investment
securities are predicable sources of funds, deposit flows and
loan prepayments are greatly influenced by the general level of
interest rates, economic conditions and competition. The Company
uses its liquidity resources principally to fund existing and
future loan commitments, to fund maturing certificates of deposit
and demand deposit withdrawals, to invest in other
interest-earning assets, to maintain liquidity, and to meet
operating expenses. Management believes that proceeds from loan
repayments and other sources of funds will be adequate to meet
the Company's liquidity needs for the immediate future.
The Company is required to maintain minimum levels of liquid
assets as defined by OTS regulations. This requirement, which
may be varied at the direction of the OTS depending upon economic
conditions and deposit flows, is based upon a percentage of
deposits and short-term borrowings. The required minimum ratio
was 5% until November 24, 1997, when it was changed to 4%. The
Company has historically maintained a level of liquid assets in
excess of regulatory requirements. The Company's liquidity
ratios at June 30, 1999 and 1998 were 26% and 19%, respectively.
IMPACT OF INFLATION AND CHANGING PRICES
The financial statements and related data presented herein have
been prepared in accordance with generally accepted accounting
principles, which require the measurement of financial position
and results of operations in terms of historical dollars without
considering changes in the relative purchasing power of money
over time because of inflation. Unlike most industrial
companies, virtually all of the assets and liabilities of the
Company are monetary in nature. As a result, interest rates have
a more significant impact on the Company's performance than the
effects of general levels of inflation. Interest rates do not
necessarily move in same direction or in the same magnitude as
the prices of goods and services.
YEAR 2000 READINESS DISCLOSURE
The Company has an ongoing program of evaluating the effect of
the year 2000 on its information processing systems. The
Company's core data processing is performed by an outside vendor.
As of June 30, 1999, all of the vendors clients were running on
Year 2000-ready software, with the final Y2K client testing
scheduled for July 12-23, 1999. It is management's position that
the cost of additional modifications, if any, will not have a
material effect on the Company's operations. All costs
associated with modifications have been expensed as incurred. It
is not possible to be certain that all aspects of the Year 2000
issue affecting the Company, including those related to the
effort of customers, other financial institutions, or other third
parties, such as utility providers, will be fully resolved before
the year 2000.
The Company has adopted a contingency plan and business
resumption plan in case critical systems are found not Year 2000
ready or fail. The plan has identified alternative means of
operations, principally a manual accounting and transaction
system, due to the nature of the Company's business and number of
accounts. The plan has been reviewed and tested with no
exceptions noted.
10
<PAGE>
<PAGE>
ROCKY FORD FINANCIAL, INC.
PART II - OTHER INFORMATION
ITEM 1: Legal Proceedings
A former employee has filed a charge of employment
discrimination against Rocky Ford Federal Savings
and Loan, a wholly owned subsidiary of the Company,
with the Colorado Civil Rights Division ("CCRD").
The employee will be obligated to exhaust the
CCRD's processes before commencing any legal
action. The Association investigated her
allegations while she was employed and took
appropriate action to respond to the claims of
discrimination at the time. The Association
believes the claim is without merit, and will
vigorously defend this matter. A finding for the
plaintiff by the CCRD and/or any significant
damages awarded to the plaintiff in a subsequent
civil proceeding (if filed) could have a negative
impact on the Association and Company's results of
operations.
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
Exhibit 27 Financial Data Schedules
No form 8-K was filed for the quarter
SIGNATURE
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.
Rocky Ford Financial, Inc.
Registrant
Date July 30, 1999 /s/ Keith E. Waggoner
--------------------------------
Keith E. Waggoner, President
11
<TABLE> <S> <C>
<ARTICLE> 9
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> SEP-30-1999
<PERIOD-END> JUN-30-1999
<CASH> 344,186
<INT-BEARING-DEPOSITS> 6,599,000
<FED-FUNDS-SOLD> 0
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 670,944
<INVESTMENTS-CARRYING> 1,529,640
<INVESTMENTS-MARKET> 1,572,700
<LOANS> 13,636,272
<ALLOWANCE> 60,000
<TOTAL-ASSETS> 23,501,865
<DEPOSITS> 16,161,579
<SHORT-TERM> 0
<LIABILITIES-OTHER> 646,165
<LONG-TERM> 0
<COMMON> 4,232
0
0
<OTHER-SE> 6,694,489
<TOTAL-LIABILITIES-AND-EQUITY> 23,506,465
<INTEREST-LOAN> 880,999
<INTEREST-INVEST> 132,431
<INTEREST-OTHER> 238,785
<INTEREST-TOTAL> 1,252,215
<INTEREST-DEPOSIT> 576,334
<INTEREST-EXPENSE> 576,334
<INTEREST-INCOME-NET> 674,881
<LOAN-LOSSES> 0
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 493,520
<INCOME-PRETAX> 195,043
<INCOME-PRE-EXTRAORDINARY> 195,043
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 119,927
<EPS-BASIC> 0.31
<EPS-DILUTED> 0.31
<YIELD-ACTUAL> 7.40
<LOANS-NON> 86,500
<LOANS-PAST> 0
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 60,000
<CHARGE-OFFS> 0
<RECOVERIES> 0
<ALLOWANCE-CLOSE> 60,000
<ALLOWANCE-DOMESTIC> 60,000
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
