UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
(Amendment No. )*
SFB BANCORP, INC.
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(Name of Issuer)
COMMON STOCK, PAR VALUE $0.10 PER SHARE
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(Title of Class of Securities)
78412C10
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(CUSIP Number)
Mr. Terry Maltese,
Sandler O'Neill Asset Management LLC,
712 Fifth Avenue - 22nd Floor,
New York, NY 10019
(212) 974-1700
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(Name, Address, Telephone Number of Person Authorized
to Receive Notices and Communications)
December 16, 1997
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(Date of Event which Requires Filing of this Statement)
If the filing person has previously filed a statement on Schedule 13G to report
the acquisition which is the subject of this Schedule 13D, and is filing this
schedule because of Rule 13d-1(b)(3) or (4), check the following box [ ].
Note: Six copies of this statement, including all exhibits, should be filed with
the Commission. See Rule 13d-1(a) for other parties to whom copies are to be
sent.
*The remainder of this cover page shall be filled out for a reporting person's
initial filing on this form with respect to the subject class of securities, and
for any subsequent amendment containing information which would alter
disclosures provided in a prior cover page.
The information required on the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934 ("Act") or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (however, see the
Notes).
Page 1 of 13 Pages
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CUSIP No. 78412C10 Page 2 of 13 Pages
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1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Sandler O'Neill Asset Management LLC
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2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) / /
(b) / /
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3. SEC USE ONLY
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4. SOURCE OF FUNDS
00
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5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) OR 2(e) / /
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6. CITIZENSHIP OR PLACE OF ORGANIZATION
New York
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7. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SOLE VOTING POWER
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8. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SHARED VOTING POWER
40,600
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9. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SOLE DISPOSITIVE POWER
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10. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SHARED DISPOSITIVE POWER
40,600
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11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
40,600
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12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES / /
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13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
5.3%
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14. TYPE OF REPORTING PERSON
00
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CUSIP No. 78412C10 Page 3 of 13 Pages
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1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
SOAM Holdings, LLC
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2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) / /
(b) / /
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3. SEC USE ONLY
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4. SOURCE OF FUNDS
00
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5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) OR 2(e) / /
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6. CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
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7. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SOLE VOTING POWER
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8. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SHARED VOTING POWER
40,600
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9. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SOLE DISPOSITIVE POWER
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10. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SHARED DISPOSITIVE POWER
40,600
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11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
40,600
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12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES / /
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13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
5.3%
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14. TYPE OF REPORTING PERSON
00
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CUSIP No. 78412C10 Page 4 of 13 Pages
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1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Malta Partners, L.P.
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2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) / /
(b) / /
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3. SEC USE ONLY
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4. SOURCE OF FUNDS
WC
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5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) OR 2(e) / /
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6. CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
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7. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SOLE VOTING POWER
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8. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SHARED VOTING POWER
26,500
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9. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SOLE DISPOSITIVE POWER
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10. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SHARED DISPOSITIVE POWER
26,500
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11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
26,500
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12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES / /
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13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
3.5%
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14. TYPE OF REPORTING PERSON
PN
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CUSIP No. 78412C10 Page 5 of 13 Pages
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1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Malta Hedge Fund, L.P.
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2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) / /
(b) / /
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3. SEC USE ONLY
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4. SOURCE OF FUNDS
WC
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5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) OR 2(e) / /
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6. CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
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7. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SOLE VOTING POWER
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8. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SHARED VOTING POWER
14,100
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9. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SOLE DISPOSITIVE POWER
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10. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SHARED DISPOSITIVE POWER
14,100
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11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
14,100
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12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES / /
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13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
1.8%
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14. TYPE OF REPORTING PERSON
PN
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CUSIP No. 78412C10 Page 6 of 13 Pages
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1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Terry Maltese
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2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) / /
(b) / /
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3. SEC USE ONLY
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4. SOURCE OF FUNDS
00
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5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) OR 2(e) / /
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6. CITIZENSHIP OR PLACE OF ORGANIZATION
USA
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7. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SOLE VOTING POWER
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8. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SHARED VOTING POWER
40,600
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9. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SOLE DISPOSITIVE POWER
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10. NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING
PERSON WITH SHARED DISPOSITIVE POWER
40,600
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11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
40,600
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12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES / /
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13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
5.3%
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14. TYPE OF REPORTING PERSON
IN
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Item 1. Security and Issuer.
The class of equity securities to which this statement relates is the
common stock, par value $0.10 per share ("Common Stock"), of SFB Bancorp, Inc.
(the "Issuer"), a Delaware corporation having its principal office at 632 East
Elk Avenue, Elizabethton, Tennessee 37643-3378.
Item 2. Identity and Background.
(a) This statement is being filed by (i) Sandler O'Neill Asset Management LLC, a
New York limited liability company ("SOAM"), with respect to shares of Common
Stock beneficially owned by Malta Partners, L.P., a Delaware limited partnership
("MP"), and Malta Hedge Fund, L.P., a Delaware limited partnership ("MHF"), (ii)
SOAM Holdings, LLC, a Delaware limited liability company ("Holdings"), with
respect to shares of Common Stock beneficially owned by MP and MHF, (iii) MP,
with respect to shares of Common Stock beneficially owned by it, (iv) MHF, with
respect to shares of Common Stock beneficially owned by it, and (v) Terry
Maltese, with respect to shares of Common Stock beneficially owned by MP and
MHF. The foregoing persons are hereinafter sometimes referred to collectively as
the "Reporting Persons" and MP and MHF are sometimes collectively referred to
herein as the "Partnerships." Any disclosures herein with respect to persons
other than the Reporting Persons are made on information and belief after making
inquiry to the appropriate party.
The sole general partner of each of the Partnerships is Holdings, and
administrative and management services for the Partnerships are provided by
SOAM. The managing member and President of Holdings and SOAM is Mr. Maltese. In
his capacity as President and managing member of Holdings and SOAM, Mr. Maltese
exercises voting and dispositive power over all shares of Common Stock
beneficially owned by MP, MHF, SOAM and Holdings. The non-managing member of
Holdings and SOAM is 2 WTC LLC, a New York limited liability company ("2WTC").
(b) The address of the principal offices of each of MP, MHF, Holdings and SOAM
and the business address of Mr. Maltese is Sandler O'Neill Asset Management LLC,
712 Fifth Avenue, 22nd Floor, New York, New York 10019. The address of the
principal offices of 2WTC is c/o Sandler O'Neill & Partners, L.P., 2 World Trade
Center -- 104th Floor, New York, New York 10048.
(c) The principal business of MP and MHF is that of private partnerships engaged
in investment in securities for its own account. The principal business of
Holdings is that of acting as general partner for the Partnerships. The
principal business of SOAM is that of providing administrative and management
services to the Partnerships. The present principal occupation or employment of
Mr. Maltese is President of SOAM and Holdings. The principal business of 2WTC is
investing in Holdings and SOAM.
(d) During the last five years, none of MP, MHF, Holdings, SOAM, 2WTC or Mr.
Maltese has been convicted in a criminal proceeding (excluding traffic
violations or similar misdemeanors).
Page 7 of 13
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(e) During the last five years, none of MP, MHF, Holdings, SOAM, 2WTC or Mr.
Maltese has been a party to a civil proceeding of a judicial or administrative
body of competent jurisdiction as a result of which such person was or is
subject to a judgment, decree or final order enjoining future violations of, or
prohibiting or mandating activities subject to, federal or state securities laws
or finding any violation with respect to such laws.
(f) Mr. Maltese is a U.S. citizen.
Item 3. Source and Amount of Funds.
The net investment cost (including commissions, if any) of the shares
of Common Stock held by MP and MHF is $409,600 and $217,975, respectively. Such
shares were purchased with the investment capital of the respective entities.
Item 4. Purpose of Transaction.
The purpose for which the Common Stock was acquired by the Reporting
Persons is for investment. As such, in the ordinary course of their business,
the Reporting Persons will continuously evaluate the financial condition,
results of operations, business and prospects of the Issuer, the securities
markets in general and the market for the Common Stock in particular, conditions
in the economy and the financial institutions industry generally and other
investment opportunities, all with a view to determining whether to hold,
decrease or increase its investment in the Common Stock, through open market,
privately negotiated or any other transactions. Representatives of the Reporting
Persons may from time to time seek to (or be invited to) discuss the business
and policies of the Issuer with the management of the Issuer. However, none of
the Reporting Persons has any plan or proposal as of the date hereof which would
relate to or result in any transaction, change or event specified in clauses (a)
through (j) of Item 4 of Schedule 13D.
Item 5. Interest in Securities of the Issuer.
(a) Based upon an aggregate of 767,000 shares of Common Stock outstanding, as
set forth in the Issuer's Quarterly Report on Form 10-Q for the quarter ended
September 30, 1997, as of the close of business on December 16, 1997:
(i) MP beneficially owned 26,500 shares of Common Stock, constituting
approximately 3.5% of the shares outstanding.
(ii) MHF beneficially owned 14,100 shares of Common Stock, constituting
approximately 1.8% of the shares outstanding.
Page 8 of 13
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(iii) Holdings owned directly no shares of Common Stock. By reason of its
position as general partner of MP and MHF, under the provisions of
Rule 13d-3 of the Securities and Exchange Commission ("Rule 13d-3"),
Holdings may be deemed to beneficially own the 26,500 shares owned by
MP and the 14,100 shares owned by MHF, or an aggregate of 40,600
shares of Common Stock, constituting approximately 5.3% of the shares
outstanding.
(iv) SOAM owned directly no shares of Common Stock. By reason of its
position as management company for MP and MHC, under the provisions of
Rule 13d-3, SOAM may be deemed to beneficially own the 26,500 shares
owned by MP and the 14,100 shares owned by MHF, or an aggregate of
40,600 shares of Common Stock, constituting approximately 5.3% of the
shares outstanding.
(v) Mr. Maltese directly owned no shares of Common Stock. By reason of his
position as President of Holdings and SOAM, Mr. Maltese may be deemed
to beneficially own the 26,500 shares owned by MP and the 14,100
shares owned by MHF, or an aggregate of 40,600 shares of Common Stock,
constituting approximately 5.3% of the shares outstanding.
(vi) In the aggregate, the Reporting Persons beneficially own an aggregate
of 40,600 shares of Common Stock, constituting approximately 5.3% of
the shares outstanding.
(vii) 2WTC directly owned no shares of Common Stock.
(b) The Partnerships each have the power to dispose of and to vote the shares of
Common Stock beneficially owned by it, which power may be exercised by its
general partner, Holdings. Holdings is a party to a management agreement with
SOAM pursuant to which SOAM shares the power to dispose of and to vote the
shares of Common Stock beneficially owned by Holdings. Mr. Maltese, as President
and managing member of Holdings and SOAM, shares the power to dispose of and to
vote the shares of Common Stock beneficially owned by the other Reporting
Persons.
(c) During the sixty days prior to December 16, 1997, MP effected the following
transactions in the Common Stock in open market transactions with brokers:
Number Price
Date Action of Shares per Share
---- ------ --------- ---------
10/16/97 Bought 6,800 $15.50
10/21/97 Bought 2,700 15.25
10/27/97 Bought 700 15.00
11/10/97 Bought 5,400 15.37
11/25/97 Bought 1,300 15.00
12/16/97 Bought 9,600 15.62
Page 9 of 13
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During the sixty days prior to December 16, 1997, MHF effected the
following transactions in the Common Stock in open market transactions with
brokers:
Number Price
Date Action of Shares per Share
---- ------ --------- ---------
10/16/97 Bought 3,300 $15.50
10/21/97 Bought 1,300 15.25
10/27/97 Bought 300 15.00
11/10/97 Bought 3,000 15.37
11/25/97 Bought 800 15.00
12/16/97 Bought 5,400 15.62
(d) Not applicable.
(e) Not applicable.
Item 6. Contracts, Arrangements, Understandings or Relationships With Respect
to Securities of the Issuer.
There are no contracts, arrangements, understandings or relationships
among the persons named in Item 2 or between such persons and any other person
with respect to any securities of the Issuer.
Item 7. Material to be Filed as Exhibits.
Exhibit 1 Written Agreement relating to the filing of joint acquisition
statements as required by Rule 13d-1(f)(1) of the Securities and
Exchange Commission
Page 10 of 13
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SIGNATURES
After reasonable inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete and
correct.
Dated: December 23, 1997
MALTA PARTNERS, L.P.
By: SOAM Holdings, LLC,
the sole general partner
By: /s/ Terry Maltese
-------------------------
Terry Maltese
President
MALTA HEDGE FUND, L.P.
By: SOAM Holdings, LLC,
the sole general partner
By: /s/ Terry Maltese
-------------------------
Terry Maltese
President
SOAM Holdings, LLC
By: /s/ Terry Maltese
-------------------------
Terry Maltese
President
Sandler O'Neill Asset Management LLC
By: /s/ Terry Maltese
-------------------------
Terry Maltese
President
By: /s/ Terry Maltese
-------------------------
Terry Maltese
Page 11 of 13
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EXHIBIT INDEX
Page
----
Exhibit 1 Written Agreement relating to the 13
filing of joint acquisition statements
as required by Rule 13d-1(f)(1) of the
Securities and Exchange Commission
Page 12 of 13
EXHIBIT 1
JOINT ACQUISITION STATEMENT
PURSUANT TO RULE 13d-1(f)(1)
The undersigned acknowledge and agree that the foregoing statement on
Schedule 13D is filed on behalf of each of the undersigned and that all
subsequent amendments to this statement on Schedule 13D shall be filed on behalf
of each of the undersigned without the necessity of filing additional joint
acquisition statements. The undersigned acknowledge that each shall be
responsible for the timely filing of such amendments, and for the completeness
and accuracy of the information concerning it contained herein, but shall not be
responsible for the completeness and accuracy of the information concerning the
other, except to the extent that it knows or has reason to believe that such
information is inaccurate.
Dated: December 23, 1997
MALTA PARTNERS, L.P. MALTA HEDGE FUND, L.P.
By: SOAM Holdings, LLC, By: SOAM Holdings, LLC,
the sole general partner the sole general partner
By: /s/ Terry Maltese By: /s/ Terry Maltese
------------------------ -------------------------
Terry Maltese Terry Maltese
President President
SOAM Holdings, LLC
By: /s/ Terry Maltese
------------------------
Terry Maltese
President
Sandler O'Neill Asset Management LLC
By: /s/ Terry Maltese
-------------------------
Terry Maltese
President
Terry Maltese
/s/ Terry Maltese
-------------------------
Page 13 of 13