U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
[X] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange
Act of 1934
For the quarterly period ended June 30, 1997
[ ] Transition Report Pursuant to Section 13 or 15(d) of the Exchange Act
For the transition period from ______ to ______
Commission File Number:
COMMUNITY FIRST BANKING COMPANY
- ------------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
GEORGIA 58-2309605
--------------------------------- ---------------------
(State or Other Jurisdiction of (I.R.S. Employer
Incorporation or Organization) Identification No.)
110 Dixie Street
Carrollton, Georgia 30117
(770) 834-1071
-------------------------------------------------------
(Address of Principal Executive Offices and Telephone Number)
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
------ ------
Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the latest practicable date: As of
June 30, 1997, there were 2,413,562 shares issued and 2,220,477 shares
outstanding of the Registrant's Common Stock, par value $.01 per share.
CONTENTS
PART I. FINANCIAL INFORMATION
---------------------
Item 1. Financial Statements
Consolidated Balance Sheets as of June 30, 1997 (unaudited) and
December 31, 1996
Consolidated Statements of Earnings for the Three Months and Six Months
Ended June 30, 1997 and 1996 (unaudited)
Consolidated Statements of Cash Flows for the Six Months Ended June 30,
1997 and 1996 (unaudited)
Notes to Consolidated Financial Statements
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations
PART II. OTHER INFORMATION
Item 1. Legal Proceedings
Item 2. Changes in Securities
Item 3. Defaults Upon Senior Securities
Item 4. Submission of Matters to a Vote of Security Holders
Item 5. Other Information
Item 6. Exhibits and Reports on Form 8-K
SIGNATURES
<PAGE>
<TABLE>
COMMUNITY FIRST BANKING COMPANY
Consolidated Balance Sheets
<CAPTION>
Unaudited
6-30-97 12-31-96
-------------- -------------
<S> <C> <C>
Assets
Cash and due from banks 11,224,089 11,061,383
Interest-bearing deposits in financial institutions 75,338,625 3,355,586
Federal funds sold 6,490,000 8,680,000
---------- ----------
Cash & cash equivalents 93,052,714 23,096,969
---------- ----------
Securities available for sale 44,669,346 33,927,243
Securities held to maturity 7,027,339 7,764,058
Other investments 2,379,592 2,599,741
Mortgage loans held for sale 156,500 282,488
Loans, net 282,814,770 269,834,098
Premises & equipment, net 9,849,925 9,288,592
Accrued interest receivable 2,699,194 2,687,472
Other assets 8,000,791 3,050,849
----------- -----------
Total assets 450,650,171 352,531,510
=========== ===========
Liabilities and Stockholders' Equity
Deposits:
Demand 19,739,774 15,903,005
Interest-bearing demand 50,544,598 47,288,357
Savings 82,943,324 34,076,732
Time 161,651,150 163,257,956
Time, over $100,000 46,719,486 47,230,149
----------- -----------
Total deposits 361,598,332 307,756,199
----------- -----------
Federal Home Loan Bank advances 15,957,608 16,295,186
Subordinated debentures 900,000 2,000,000
Accrued interest payable & other liabilities 2,804,946 1,222,602
----------- ----------
Total Liabilities 381,260,886 327,273,987
----------- -----------
Stockholders' Equity:
Common stock, $.01 par, 10,000,000 authorized, 2,413,562 issued, 2,220,477
outstanding 24,135
Additional paid in capital 46,997,681
Unearned ESOP shares (3,861,700)
Retained Earnings 26,282,745 25,278,036
Net unrealized loss on securities available for sale, net of tax (53,576) (20,513)
----------- ----------
Total stockholders' equity 69,389,285 25,257,523
---------- ----------
Total liabilities & stockholders' equity 450,650,171 352,531,510
=========== ===========
</TABLE>
See Notes to Consolidated Financial Statements.
<PAGE>
<TABLE>
COMMUNITY FIRST BANKING COMPANY
CONSOLIDATED STATEMENTS OF EARNINGS
(Unaudited)
<CAPTION>
Three Months Ended June 30 Six Months Ended June 30
1997 1996 1997 1996
---- ---- ---- ----
<S> <C> <C> <C> <C>
Interest income:
Interest and fees on loans 6,492,213 6,135,414 12,733,173 12,234,115
Interest-bearing deposits and federal funds sold 266,783 211,619 418,509 572,234
Interest and dividends on investment securities:
U.S. Treasury 6,874 2,146 13,749 25,364
U.S. Govt. agency and mortgage-backed 881,182 522,055 1,679,202 692,694
State, county & municipals 22,169 9,776 50,322 11,520
Other 41,046 59,556 88,449 116,671
--------- --------- ---------- ----------
Total Interest Income 7,710,267 6,940,566 14,983,404 13,652,598
--------- --------- ---------- ----------
Interest Expense:
Interest on deposits:
Demand 390,335 354,113 750,934 703,558
Savings 321,852 214,703 575,091 421,723
Time 2,985,815 2,776,722 5,908,311 5,507,321
--------- --------- --------- ---------
3,698,002 3,345,538 7,234,336 6,632,602
--------- --------- --------- ---------
Interest on FHLB advances & subordinated debentures 261,041 264,602 522,108 530,268
------- ------- ------- -------
Total interest expense 3,959,043 3,610,140 7,756,444 7,162,870
--------- --------- --------- ---------
Net interest income 3,751,224 3,330,426 7,226,960 6,489,728
--------- --------- --------- ---------
Provision for loan losses 209,000 105,000 303,500 210,000
------- ------- ------- -------
Net interest inc. after provision for loan loss 3,542,224 3,225,426 6,923,460 6,279,728
--------- --------- --------- ---------
Other Income:
Service charges on deposits 682,988 565,989 1,287,604 1,075,629
Miscellaneous 274,570 155,586 450,364 315,289
------- ------- ------- -------
Total other income 957,558 721,575 1,737,968 1,390,918
------- ------- --------- ---------
Other expenses:
Salaries and related benefits 1,786,671 1,567,763 3,589,963 3,095,438
Occupancy and equipment 452,512 383,205 919,138 754,121
Depository insurance premiums 46,466 152,999 58,264 305,997
Other operating 1,260,401 1,216,713 2,583,822 2,247,491
--------- --------- --------- ---------
Total other expenses 3,546,050 3,320,680 7,151,187 6,403,047
--------- --------- --------- ---------
Earnings before income tax expense 953,732 626,321 1,510,241 1,267,599
Income tax expense 317,422 209,229 505,532 406,846
------- ------- ------- -------
Net Earnings 636,310 417,092 1,004,709 860,753
======= ======= ========= =======
</TABLE>
See Notes to Consolidated Financial Statements.
<PAGE>
<TABLE>
COMMUNITY FIRST BANKING COMPANY
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
<CAPTION>
Six Months Ended June 30
1997 1996
---- ----
<S> <C> <C>
Net earnings 1,004,709 860,753
Adjustments to reconcile net earnings to net cash provided by operating
activities:
Depreciation, amortization and accretion 646,080 565,363
Provision for loan losses 303,500 210,000
(Gain) or loss on sales of premises and equipment, net (19,372) 25,848
Change in:
Mortgage loans held for sale 125,988 1,438,613
Accrued interest receivable (11,722) (379,261)
Other assets (73,313) (292,206)
Accrued interest payable 164,598 (106,764)
Accrued expenses and other liabilities 1,417,746 (37,479)
--------- ---------
Net cash provided by operating activities 3,558,214 2,284,867
--------- ---------
Cash flows from investing activities:
Proceeds from maturities of securities available for sale 4,000,000 55,898
Proceeds from maturities of securities held to maturity 736,719 969,544
Proceeds from maturities of other investments 220,149
Purchases of other investments (130,376)
Purchases of securities available for sale (14,742,103) (27,537,813)
Net change in loans (18,173,649) 254,852
Proceeds from sale of real estate 11,643
Proceeds from sales of premises and equipment 28,401 80,000
Purchases of premises and equipment (1,216,440) (1,999,121)
Organization costs (31,860)
----------- -----------
Net cash used in investing activities (29,167,140) (28,307,016)
------------ ------------
Cash flows from financing activities:
Net change in demand and savings deposits 55,959,602 4,724,184
Net change in time deposits (2,117,470) 3,631,389
Payment of FHLB advances (337,578) (337,578)
Payment of subordinated debentures (1,100,000)
Net Proceeds from issuance of common stock 43,160,116
---------- ---------
Net cash provided by financing activities 95,564,670 8,017,995
---------- ---------
Net change in cash and cash equivalents 69,955,744 (18,004,154)
---------- ------------
Cash and cash equivalents at beginning of year 23,096,970 34,057,178
---------- ----------
Cash and cash equivalents at quarter end 93,052,714 16,053,024
========== ==========
Supplemental schedule of non-cash investing activity:
Transfer from loans to other real estate owned 4,901,121 57,056
</TABLE>
See Notes to Consolidated Financial Statements.
<PAGE>
COMMUNITY FIRST BANKING COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)
NOTE 1. NATURE OF BUSINESS
Community First Banking Company (the "Company") was incorporated in the State of
Georgia on March 12, 1997, for the purpose of becoming a holding company to own
all of the outstanding capital stock of Carrollton Federal Bank, FSB (the
"Savings Bank"), an existing federally chartered stock savings bank, which was
100% owned by CF Mutual Holdings (the "Mutual Holding Company"). Upon
consummation of the plan of conversion and reorganization, ("the Conversion")
(see Note 3. below), the Company became the unitary holding company for the
Savings Bank and the Mutual Holding Company was dissolved.
NOTE 2. BASIS OF PRESENTATION
Prior to June 27, 1997, the Company had not issued any stock, had no assets or
liabilities, and had not engaged in any business activities other than of an
organizational nature. Accordingly, the financial data for periods prior to June
27, 1997 included herein reflect the operations of the consolidated Mutual
Holding Company.
The accompanying unaudited consolidated financial statements (except for
statements of financial condition at December 31, 1996, which are audited) have
been prepared in accordance with generally accepted accounting principles for
interim financial information and with the instructions contained in 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 (none of which were
other than normal recurring accruals) necessary for a fair presentation of the
financial position and results of operations for the periods presented have been
included.
The results of operations for the six months ended June 30, 1997 are not
necessarily indicative of the results of operations that may be expected for the
year ended December 31, 1997. For further information, refer to the audited
consolidated financial statements and footnotes thereto for the year ended
December 31, 1996, included in the Prospectus of the Company dated May 14,1997.
NOTE 3. STOCK CONVERSION
On June 27,1997 the Conversion to a stock holding company organized under the
laws of Georgia, the issuance of common stock, and dissolution of the Mutual
Holding Company were completed. In connection therewith, the Company sold
2,413,562 shares of common stock, par value $.01 per share, at an initial price
of $20 per share in subscription offerings. Costs associated with the Conversion
were approximately $1,379,000 including underwriting fees. These conversion
costs were deducted from the gross proceeds of the sale of the common stock.
NOTE 4. EMPLOYEE STOCK OWNERSHIP PLAN
In connection with the Conversion, the Company established an employee stock
ownership plan (the "ESOP"). The ESOP purchased approximately 8%, or 193,085
shares, of the total shares of common stock sold. The Company lent $3,861,700 to
the ESOP for the purchase of the shares of common stock. All existing employees
over age 21 and new employees who have completed at least 1000 hours of service
during a twelve month period and who have attained age 21 are eligible to
participate in the ESOP. The Company will make discretionary contributions to
the ESOP in an amount not less than the amount needed to pay any principal and
interest payments required by the acquisition loan. The Company will account for
its ESOP in accordance with Statement of Position 93-6, "Employer's Accounting
for Employee Stock Ownership Plans". As shares are committed to be released to
participants, the Company will report compensation expense equal to the average
market price of the shares during the period.
NOTE 5. EARNINGS PER SHARE
The initial public offering was completed June 27, 1997. Accordingly, net income
per share calculations for the three and six month periods ended June 30, 1997
are not meaningful and are therefore not presented.
NOTE 6. RECENTLY ISSUED ACCOUNTING STANDARDS
During 1997, the Financial Accounting Standards Board issued Statement of
Financial Accounting Standards No. 128, " Earnings Per Share" (SFAS 128) and
SFAS No. 129 "Disclosure of Information About Capital Structure". SFAS 128
simplifies current standards by eliminating the presentation of primary earnings
per share (EPS) and requiring the presentation of basic EPS, which includes no
potential common shares and thus no dilution. The Statement also requires
entities with complex capital structures to present basic and diluted EPS on the
face of the income statement and also eliminates the modified treasury stock
method of computing potential common shares. SFAS 129 simply consolidates the
established accounting pronouncements on required disclosure of information
about a company's capital structure. The statement contains no new requirements
for companies that reported previously under those established accounting
pronouncements. Both standards are effective for financial statements issued for
periods ending after December 15, 1997, including interim periods. Early
application is not permitted. Upon adoption of SFAS 128, restatement of all
prior-period EPS data presented is required. Based upon the current capital
structure of the Company, these statements will not have a material impact on
the Company's financial statements.
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
COMPARISON OF FINANCIAL CONDITION AT JUNE 30, 1997 AND DECEMBER 31, 1996
Total assets at June 30, 1997 grew approximately 27.8% to $451 million from $353
million at December 31, 1996. The increase in total assets was primarily
attributable to a $72 million increase in interest-bearing deposits in financial
institutions, a $10.7 million increase in securities available for sale, a $13
million increase in net loans, and a $4.9 million increase in other assets. The
asset growth was funded primarily by the net proceeds received by the Company
from its initial public offering and increase in demand deposits of $7.1
million.
The increase in interest-bearing deposits in financial institutions resulted
from the proceeds of the initial public offering. The initial public offering
was over subscribed by $44.9 million and although refunds of over-subscriptions
were mailed on June 27, 1997, the checks had not cleared and remained in
overnight interest bearing deposits at June 30, 1997 .
Total net loans grew $13 million, or 4.81%, from December 31, 1996 through June
30, 1997. The increase in loans was primarily due to commercial installment
loans ($15 million), commercial adjustable line of credit loans ($5.5 million),
commercial single pay loans ($3 million), and indirect automobile loans ($3.1
million). Mortgage loans decreased $10 million during the first six months of
1997.
The increase in other assets resulted from foreclosure on five loans to one
commercial borrower ($4. 9 million). The foreclosed property is represented by
two parcels of undeveloped land. In July 1997, the Savings Bank entered into a
Purchase and Sale Agreement on the largest of the tracts of property. The
Agreement calls for a 90 day inspection period for the purchaser to determine
whether the property is suitable for the purchaser's purposes. No loss is
anticipated from the sale of these parcels of undeveloped land.
The net asset growth was funded primarily by the initial public offering which
resulted in subscriptions of $91.7 million. As mentioned above, $44.9 million in
over subscriptions is in the process of being refunded which will result in a
decrease in interest bearing deposits in financial institutions and a decrease
in savings deposit liabilities in the month following June 30, 1997.
Non-interest bearing demand deposits increased $3.8 million and interest bearing
demand deposits increased $3.3 million from December 31, 1996 through June 30,
1997. Savings deposit liabilities increased $48.9 million which includes the
$44.9 million being refunded for the over subscription. Time deposit liabilities
decreased $2.1 million as the result of deposits being used for stock
subscriptions.
Of the growth in deposits during the period from December 31, 1996 through June
30, 1997, $9.9 million came from the four Wal-Mart branches opened in 1996.
COMPARISON OF RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED JUNE 30, 1997 AND
1996
Net earnings totaled $636,310 for the three months ended June 30, 1997, an
increase of 53% from the $417,092 earned for the three months ended June 30,
1996. This increase is primarily attributable to the continued increases in net
interest income.
Net Interest Income
Net interest income for the three months ended June 30, 1997 increased $420,798,
or 12.6%, over the same period in 1996. This increase reflects the continued
change in loan mix, moving toward more commercial and consumer loans and away
from 1 - 4 family mortgage loans.
Provision for Loan Losses
The provision for loan losses increased to $209,000 for the three months ended
June 30, 1997 compared to $105,000 for the three months ended June 30, 1996.
This increase has been deemed appropriate by management to reflect the higher
risk associated with the change in the loan portfolio mix.
Other Income
Other income increased $235,983 for the three months ended June 30, 1997 verses
1996. This is primarily the result of increased service charges and fees on
transaction accounts generated by the increase in accounts from the four
Wal-Mart branches opened from March through September 1996.
Other Expenses
Other expenses increased $225,370 for the three months ended June 30, 1997 over
the same period in 1996. Salaries and related employee benefits increased
$218,908 or 14%, occupancy expense increased $69,307 or 18% and other expense
increased $43,688 or 4%. These increases are primarily associated with the
Wal-Mart branches which were opened in 1996. Depository insurance premiums
decreased for the same three months ended June 30, 1997 and 1996 because of the
special assessment made in September 1996 to equalize the Savings Association
Insurance Fund (SAIF) with the Bank Insurance Fund (BIF).
Income Taxes
Income tax expense increased $108,193 or 52% for the quarter ended June 30, 1997
as compared to the same period in 1996. The effective tax rate as a percentage
of pretax income for both periods was approximately 33%.
COMPARISON OF OPERATING RESULTS FOR THE SIX MONTHS ENDED JUNE 30, 1997 AND 1996.
Net earnings were $1,004,709 for the six months ended June 30, 1997 compared to
$860,753 for the same period in 1996. This 16.7% increase in net earnings
resulted primarily from an increase in net interest income and a reduction in
deposit insurance premiums during the six months ended June 30, 1997 as compared
to the six months ended June 30, 1996.
Net Interest Income
Net interest income for the six months ended June 30, 1997 increased $737,232,
or 11.4%, over the same period in 1996. Total interest income increased
$1,330,806 during the six months ended June 30, 1997 as compared to the same
period of the prior year. This increase was primarily the result of an increase
in interest on investment securities. Total interest expense increased $593,574
during the first six months of 1997 compared to the same period in 1996.
Provision For Loan Losses
The provision for loan losses increased by $93,500 for the six months ended June
30, 1997 over the amount for the six months ended June 30, 1996. This increase
for the comparative six months period reflects the higher risk associated with
the increased commercial and consumer lending activities.
Other Income
Other income increased $347,050, or 25.0%, for the six months ended June 30,
1997 versus the same period in 1996. This increase is primarily attributable to
the increased volume of transaction accounts generated from the Wal-Mart
branches.
Other Expenses
Other expenses for the six months ended June 30, 1997 increased $748,140 over
the amount for the six months ended June 30, 1996. This increase is primarily
the result of increased costs associated with the Wal-Mart branches opened
during 1996. An offset to this increase, however, was the reduction in the SAIF
deposit insurance premium of $247,733 during the six months ended June 30, 1997
compared to the same six months in 1996.
Income Taxes
Income tax expense increased approximately $99,000 or 24% during the first half
of 1997 as compared to the same period in 1996. The effective tax rate as a
percentage of pretax income for the six months ended June 30, 1997 and 1996 was
33% and 32% respectively. These tax rates differ from the statutory Federal tax
rate of 34 percent primarily due to tax exempt interest income on certain
investment securities. For the first six months of 1997 and 1996, tax exempt
investment securities interest expressed as a percentage of pretax earnings
increased to 3% from 1%, respectively.
LIQUIDITY AND CAPITAL RESOURCES
The Company's primary sources of funds are time, savings and demand deposits,
principal and interest payments on loans and securities and, to a limited
extent, borrowings from the FHLB of Atlanta. While maturities and scheduled
amortization of loans and securities provide an indication of the timing of the
receipt of funds, changes in interest rates, economic conditions and competition
strongly influence mortgage prepayment rates and savings deposit flows, reducing
the predictability of the timing of sources of funds.
On June 27, 1997 the Conversion from a federally chartered mutual holding
company to a state chartered stock holding company was completed, and all of the
capital stock of the Savings Bank was acquired by the Company. The Company
issued and sold 2,413,562 shares of its common stock, $.01 par value, at a price
of $20.00 per share in a subscription offering (the "Offering") to certain
depositors of the Savings Bank and to the Company's Employee Stock Ownership
Plan. Net proceeds from the Offering were $46.9 million. At June 30, 1997, total
stockholders' equity of Community First Banking Company was $69.4 million. The
ratio of the Company's equity to total assets at June 30, 1997 was 15.4%.
The Savings Bank is required to maintain an average daily balance of liquid
assets and short-term liquid assets as a percentage of net withdrawable deposit
accounts plus short-term borrowings, as defined by the regulations of the Office
of Thrift Supervision (the "OTS"). The minimum required liquidity and short-term
liquidity ratios are currently 5.0% and 1.0%, respectively. At June 30, 1997,
the Savings Bank's liquidity ratio was 19.1% and its short-term liquidity ratio
was 15.7%. The levels of the Savings Bank's short-term liquid assets are
dependent on the Savings Bank's operating, financing and investing activities
during any given period. Management believes it will have adequate resources to
fund all commitments on a short-term and long-term basis in accordance with its
business strategy.
See the "Statements of Cash Flows" in the Unaudited Consolidated Financial
Statements included in this Form 10-Q for the sources and uses of cash flows for
operating activities, investing activities and financing activities for the six
months ended June 30, 1997 and 1996.
The Savings Bank has other sources of liquidity if a need for additional funds
arises, including the ability to obtain FHLB of Atlanta advances of up to $53
million. The Savings Bank had $16 million in outstanding FHLB advances at June
30, 1997.
The Savings Bank continued to substantially exceed all regulatory capital
requirements at June 30, 1997. The following table shows the Savings Bank's
regulatory capital amounts and ratios along with the required amounts of the
Office of Thrift Supervision.
<TABLE>
<CAPTION>
Tangible Capital Tier One Capital Total Risk-Based Capital
---------------- ---------------- ------------------------
Amount Amount Amount
Thousands Percent Thousands Percent Thousands Percent
--------- ------- --------- ------- --------- -------
<S> <C> <C> <C> <C> <C> <C>
Capital for regulatory purposes 46,641 10.3% 46,641 10.3% 48,608 17.0%
Minimum regulatory requirement 6,781 1.5% 13,563 3.0% 22,915 8.0%
Excess 39,860 8.8% 33,078 7.3% 25,693 9.0%
</TABLE>
NON PERFORMING ASSETS AND ALLOWANCE FOR POSSIBLE LOAN LOSSES
Non performing assets, comprised of nonaccrual loans, other real estate owned
and loans for which payments are more than 90 days past due, totaled $7.7
million at June 30, 1997, as compared to $7.5 million at December 31, 1996. In
addition, non performing assets as a percentage of total loans and other real
estate owned was 2.7% and 2.8% at June 30, 1997 and December 31, 1996,
respectively.
Management considers the size and character of the loan portfolio, changes in
nonperforming and past due loans, historical loan loss experience, the existing
risk of individual loans, concentrations of loans to specific borrowers and
existing and prospective economic conditions when determining the adequacy of
the allowance for loan losses. The allowance for loan losses totaled $2.6
million (.96% of loans outstanding) at 12/31/96 and $2.4 million (.83% of loans
outstanding) at 6/30/97. The reduction in the ratio is a result of loan growth
for the first six months of 1997, strengthening of underwriting criteria for
consumer loans, and overall improvement in the quality of the loan portfolios.
Management believes the allowance for loan losses is adequate to absorb loss in
the portfolio.
<PAGE>
PART II. OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
None.
ITEM 2. CHANGES IN SECURITIES
None.
ITEM 3. DEFAULTS UPON SENIOR SECURITIES
None.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY-HOLDERS
None.
ITEM 5. OTHER INFORMATION
None.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) The following exhibit is filed herewith:
Exhibit 27 Financial Data Schedule
(b) No reports on Form 8-K were filed during the quarter ended June
30, 1997.
<PAGE>
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.
COMMUNITY FIRST BANKING COMPANY
Date: August 14 , 1997 /s/ Gary D. Dorminey
--------------------------
Gary D. Dorminey
President
(Principal Executive Officer)
Date: August 14, 1997 /s/ C. Lynn Gable
-------------------------
C. Lynn Gable
Chief Financial Officer
(Principal Financial Officer)
<TABLE> <S> <C>
<ARTICLE> 9
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> JUN-30-1997
<CASH> 11,224,089
<INT-BEARING-DEPOSITS> 75,338,625
<FED-FUNDS-SOLD> 6,490,000
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 44,669,346
<INVESTMENTS-CARRYING> 7,027,339
<INVESTMENTS-MARKET> 6,955,270
<LOANS> 285,572,390
<ALLOWANCE> 2,601,120
<TOTAL-ASSETS> 450,650,171
<DEPOSITS> 361,598,332
<SHORT-TERM> 10,800,155
<LIABILITIES-OTHER> 2,804,946
<LONG-TERM> 6,057,453
0
0
<COMMON> 24,135
<OTHER-SE> 69,365,150
<TOTAL-LIABILITIES-AND-EQUITY> 450,650,171
<INTEREST-LOAN> 12,733,173
<INTEREST-INVEST> 1,831,722
<INTEREST-OTHER> 418,509
<INTEREST-TOTAL> 14,983,404
<INTEREST-DEPOSIT> 7,234,336
<INTEREST-EXPENSE> 7,756,444
<INTEREST-INCOME-NET> 7,226,960
<LOAN-LOSSES> 303,500
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 7,151,187
<INCOME-PRETAX> 1,510,241
<INCOME-PRE-EXTRAORDINARY> 1,510,241
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 1,004,709
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
<YIELD-ACTUAL> 0
<LOANS-NON> 2,929,508
<LOANS-PAST> 0
<LOANS-TROUBLED> 1,119,465
<LOANS-PROBLEM> 1,178,000
<ALLOWANCE-OPEN> 2,601,120
<CHARGE-OFFS> 616,268
<RECOVERIES> 87,884
<ALLOWANCE-CLOSE> 2,376,236
<ALLOWANCE-DOMESTIC> 2,376,236
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
