<PAGE> 1
As filed with the Securities and Exchange Commission on November 12, 1997
Registration No.333-32113
===============================================================================
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
-----------------
POST-EFFECTIVE AMENDMENT NO. 1 TO THE
FORM S-1
REGISTRATION STATEMENT
UNDER
THE SECURITIES ACT OF 1933
----------------
STATEN ISLAND BANCORP, INC.
(Exact name of registrant as specified in its articles of incorporation)
----------------
<TABLE>
<S> <C> <C>
Delaware 6711 13-3958850
- ---------------------------- -------------- ------------------
(State or other jurisdiction of (Primary Standard (I.R.S. Employer
incorporation or organization) Industrial Classification Code Number) Identification No.)
</TABLE>
15 Beach Street
Staten Island, New York 10304
(718) 447-7900
(Address, including zip code, and telephone number, including area code, of
registrant's principal executive offices)
Harry P. Doherty
Chairman of the Board and Chief Executive Officer
15 Beach Street
Staten Island, New York 10304
(Name, address, including zip code, and telephone number, including area code,
of agent for service)
Copy to:
Raymond A. Tiernan, Esq.
Hugh T. Wilkinson, Esq.
Kevin M. Houlihan, Esq.
Elias, Matz, Tiernan & Herrick L.L.P.
734 15th Street, N.W.
12th Floor
Washington, D.C. 20005
APPROXIMATE DATE OF COMMENCEMENT OF PROPOSED SALE TO PUBLIC: As soon as
practicable after this Registration Statement becomes effective.
If any of the securities being registered on this Form are to be offered on
a delayed or continuous basis pursuant to Rule 415 under the Securities Act of
1933, check the following box. [ X ]
<TABLE>
<CAPTION>
==================================================================================================================================
AMOUNT
TITLE OF EACH CLASS OF TO BE PURCHASE PRICE AGGREGATE REGISTRATION
SECURITIES TO BE REGISTERED REGISTERED PER SHARE OFFERING PRICE FEE
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Common Stock, $.01 par value per
share (1) 45,130,313 shares $12.00 $541,563,756(2) $164,110.23(3)
- ----------------------------------------------------------------------------------------------------------------------------------
Participation interests 1,518,689 shares -- -- (4)
==================================================================================================================================
</TABLE>
(1) Includes shares of Common Stock to be issued to the SISB Community
Foundation, a private foundation.
(2) Estimated solely for the purpose of calculating the registration fee.
(3) $140,265.16 was previously paid. Balance of $23,845.07 is being
transmitted concurrently herewith.
(4) The securities of Staten Island Bancorp, Inc. to be purchased by the Staten
Island Savings Bank 401(k) Savings Plan are included in the amount shown
for Common Stock. Accordingly, no separate fee is required for the
participation interests. In accordance with Rule 457(h) of the Securities
Act, as amended, the registration fee has been calculated on the basis of
the number of shares of Common Stock that may be purchased with the current
assets of such Plan.
===============================================================================
<PAGE> 2
PROSPECTUS SUPPLEMENT
STATEN ISLAND BANCORP, INC.
(Proposed Holding Company for Staten Island Savings Bank)
37,375,000 Shares of Common Stock
(Which Amount May Be Increased to 42,981,250 Shares)
$12.00 per Share
On November 6, 1997, RP Financial, L.C. ("RP Financial") updated its
appraisal of the estimated pro forma market value of the common stock, par
value $.01 per share ("Common Stock"), of Staten Island Bancorp, Inc. (the
"Company") which will be sold in connection with the conversion of Staten
Island Savings Bank from a federally-chartered mutual savings bank to a
federally-chartered stock savings bank ("Staten Island Savings" or the "Bank")
pursuant to the Bank's plan of conversion (the "Plan" or "Plan of Conversion").
The simultaneous conversion of the Bank to stock form, the issuance of the
Bank's stock to the Company and the offer and sale of the Common Stock by the
Company are referred to herein as the "Conversion." Based upon the Bank's
results of operation for the quarter and nine months ended September 30, 1997,
increases in the market prices for publicly traded securities of comparable
institutions and market demand for the Common Stock, as reflected by the level
of subscriptions received, RP Financial concluded that the estimated pro forma
market value of the shares of Common Stock to be issued by the Company in
connection with the Conversion has increased to a range of $331.5 million to
$448.5 million (the "Amended Valuation Range"), as compared to the range of
$283.3 million to $383.3 million established by the appraisal of RP Financial
dated July 17, 1997, as updated on September 5, 1997, which constitutes a 17%
increase in the range. The appraisal process was described in the Company's
prospectus ("Prospectus") dated September 12, 1997. See "The Conversion -
Stock Pricing and Number of Shares to be Issued" in the Prospectus.
As a result of the increase in the pro forma market value of the Common
Stock as reflected in the November 6, 1997 appraisal update, the Company and
the Bank have received permission from the Office of Thrift Supervision ("OTS")
to increase the purchase price from $10.00 per share to $12.00 per share (the
"Amended Purchase Price"). Based on the Amended Valuation Range and the
Amended Purchase Price, the number of shares of Common Stock being offered for
sale in the Conversion ranges from 27,625,000 to 37,375,000 shares (which
amount may be increased to 42,981,250 shares without a further resolicitation
of subscribers). For further information as to the effects of the change in
the estimate of the pro forma market value of the Common Stock, see "Use of
Proceeds," "Capitalization," "Pro Forma Data" and "Amended Valuation Range"
herein.
In view of the November 6, 1997 appraisal update, all persons who
subscribed for shares of Common Stock pursuant to the Subscription Offering are
being offered the opportunity to (i) rescind their subscription order, which
will result in a return of all of their funds submitted, plus interest earned,
or a cancellation of their withdrawal authorizations; (ii) continue their order
for the same dollar amount of Common Stock originally subscribed for, which
will result in fewer shares being received due to the increase in the Amended
Purchase Price and a refund in lieu of fractional shares, if any; (iii)
decrease the total dollar amount of their subscription order, which, after
taking into consideration the number of desired shares at the Amended Purchase
Price, will result in an adjustment of the withdrawal authorization or a refund
of the overpayment, plus interest earned; or (iv)
<PAGE> 3
subject to applicable purchase limitations, increase the total dollar amount of
their subscription, which, due to the Amended Purchase Price, will require the
submission of additional funds or an increase in the withdrawal authorization.
IN ORDER TO CONFIRM YOUR ORDER FOR SHARES OF COMMON STOCK, YOU MUST COMPLETE
AND RETURN THE ENCLOSED SUPPLEMENTAL ORDER FORM TO THE BANK, ACCOMPANIED, IF
APPLICABLE, BY PAYMENT OR A WITHDRAWAL AUTHORIZATION, SO THAT IT IS RECEIVED NO
LATER THAN 12:00 NOON, EASTERN TIME, ON DECEMBER ___, 1997. FAILURE TO RETURN
A SUPPLEMENTAL ORDER FORM WILL RESULT IN YOUR ORDER BEING RESCINDED, A RETURN
OF ALL OF YOUR FUNDS SUBMITTED, PLUS INTEREST EARNED, OR A CANCELLATION OF YOUR
WITHDRAWAL AUTHORIZATION.
With the exception of the Company's Employee Stock Ownership Plan ("ESOP"),
the maximum amount that any person may purchase in any particular priority
category in the Offerings is generally limited to one-tenth of one percent
(0.10%) of the shares of Common Stock sold in the Conversion. Assuming the sale
of 42,981,250 shares, which is the maximum, as adjusted, of the Amended
Valuation Range, the maximum amount of Common Stock that any person may
subscribe for generally in any category is 42,981 shares or $515,772. Payments
authorized by withdrawal from deposit accounts at the Bank will continue to
earn interest at the contractual rate until the Conversion is completed or
terminated; these funds will otherwise be unavailable until such time. See
"Limitation on Common Stock purchases" in this Prospectus Supplement.
FOR A DISCUSSION OF CERTAIN FACTORS THAT SHOULD BE CONSIDERED BY EACH
PROSPECTIVE INVESTOR, SEE "RISK FACTORS" IN THE PROSPECTUS AND "ADDITIONAL RISK
FACTORS" IN THIS PROSPECTUS SUPPLEMENT.
THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SECURITIES
AND EXCHANGE COMMISSION, THE OFFICE OF THRIFT SUPERVISION, OR ANY
OTHER FEDERAL AGENCY OR STATE SECURITIES COMMISSION, NOR HAS
SUCH COMMISSION, OFFICE OR OTHER AGENCY OR COMMISSION
PASSED UPON THE ACCURACY OR ADEQUACY OF THIS
PROSPECTUS. ANY REPRESENTATION TO
THE CONTRARY IS A CRIMINAL
OFFENSE.
<TABLE>
<CAPTION>
==================================================================================================
Estimated
Amended Underwriting Estimated
Purchase Fees and Other Net
Price(1) Expenses(2) Proceeds(3)
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Minimum Per Share . . . . . . . . . . . . $12.00 $0.25 $11.75
- --------------------------------------------------------------------------------------------------
Midpoint Per Share . . . . . . . . . . . $12.00 $0.23 $11.77
- --------------------------------------------------------------------------------------------------
Maximum Per Share . . . . . . . . . . . . $12.00 $0.22 $11.78
- --------------------------------------------------------------------------------------------------
Maximum Per Share, as adjusted(4) . . . . $12.00 $0.21 $11.79
- --------------------------------------------------------------------------------------------------
Total Minimum(1) . . . . . . . . . . . . $331,500,000 $6,932,000 $324,568,000
- --------------------------------------------------------------------------------------------------
Total Midpoint(1) . . . . . . . . . . . . $390,000,000 $7,551,000 $382,449,000
- --------------------------------------------------------------------------------------------------
Total Maximum(1) $448,500,000 $8,170,000 $440,330,000
- --------------------------------------------------------------------------------------------------
Total Maximum, as adjusted(4) . . . . . . $515,775,000 $8,882,000 $506,893,000
==================================================================================================
</TABLE>
(1) Determined in accordance with the Amended Valuation Range established by RP
Financial and the Amended Purchase Price, which has been approved by the
Board of Directors of the Company and the Bank.
<PAGE> 4
(2) Consists of the estimated costs to the Company and the Bank arising from
the Conversion, including estimated fixed expenses of $3,500,000 and fees
to be paid to Keefe, Bruyette & Woods, Inc. ("Keefe, Bruyette") in
connection with the Offerings, which fees are estimated to be $3,432,000,
$4,051,000 $4,670,000 and $5,382,000 at the minimum, midpoint, maximum and
maximum, as adjusted, of the Amended Valuation Range, respectively. Keefe,
Bruyette is not obligated to purchase any shares of Common Stock in the
Offerings. Such fees paid to Keefe, Bruyette may be deemed to be
underwriting fees. See "The Conversion - Marketing Arrangements" in the
Prospectus. The actual fees and expenses may vary from the estimates. See
"Pro Forma Data" herein.
(3) Actual net proceeds may vary substantially from estimated amounts.
Includes the purchase of shares of Common Stock by the ESOP, which
initially will be deducted from the Company's stockholders' equity. For
the effects of such purchase, see "Capitalization" and "Pro Forma Data"
herein.
(4) Gives effect to an increase in the number of shares of Common Stock which
may be sold in the Conversion at the Amended Purchase Price, without
resolicitation of subscribers or any right of cancellation, due to a 15%
increase in the Amended Valuation Range (42,981,250 shares). See "The
Conversion - Stock Pricing and Number of Shares to be Issued" in the
Prospectus and "Pro Forma Data" herein.
FOR INFORMATION, CALL THE STOCK SALES CENTER AT (718) 815-7171
------------------------------
THIS PROSPECTUS SUPPLEMENT SUPPLEMENTS AND AMENDS THE PROSPECTUS OF THE
COMPANY, DATED SEPTEMBER 12, 1997, WHICH IS INCORPORATED HEREIN BY REFERENCE
AND SHOULD BE READ IN CONJUNCTION HEREWITH. ANY INFORMATION PRESENTED HEREIN
SUPERSEDES THAT CONTAINED IN THE PROSPECTUS. UNLESS OTHERWISE SPECIFICALLY SET
FORTH HEREIN, CAPITALIZED TERMS USED, BUT NOT DEFINED, IN THIS PROSPECTUS
SUPPLEMENT SHALL HAVE THE SAME MEANING AS THEY DO IN THE PROSPECTUS. SEE
"EXTENSION OF TIME PERIOD TO COMPLETE THE CONVERSION" FOR INFORMATION ON HOW A
SUBSCRIBER MAY OBTAIN AN ADDITIONAL COPY OF THE PROSPECTUS. THE SHARES OF
COMMON STOCK OFFERED HEREBY ARE NOT SAVINGS ACCOUNTS OR DEPOSITS AND ARE NOT
INSURED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY OTHER GOVERNMENT
AGENCY.
-----------------------------------
KEEFE, BRUYETTE & WOODS, INC.
-----------------------------------
The date of this Prospectus Supplement is November __, 1997
<PAGE> 5
RESULTS OF THE SPECIAL MEETING OF MEMBERS AND
THE SUBSCRIPTION OFFERING
At the Special Meeting of Members of the Bank held on October 28, 1997,
7,526,403 votes, or 50.92% of the 14,779,735 total votes eligible to be cast,
were voted in favor of the Bank's Plan of Conversion, and 7,398,736 votes, or
50.06%, were voted in favor of the establishment of the SISB Community
Foundation (the "Foundation") and the proposed contribution of Common Stock to
the Foundation in conjunction with the consummation of the Conversion.
Accordingly, each of the Plan of Conversion and the creation of, and
contribution to, the Foundation were approved by more than the required
majority of the total votes entitled to be cast at the Special Meeting.
The Bank originally offered 38,333,000 shares of Common Stock in the
Subscription Offering. The Bank received orders to purchase 81,702,824 shares
of Common Stock (including the ESOP), or 185.3% of the shares initially
offered, from eligible depositors of the Bank and directors, officers and
employees of the Bank. Eligible Account Holders subscribed for approximately
74.2 million shares. See "The Conversion - Subscription Offering and
Subscription Rights."
AMENDED VALUATION RANGE
As required by applicable regulations, upon conclusion of the initial
Subscription Offering, RP Financial submitted an updated appraisal of the pro
forma market value of the Common Stock to the Bank and the OTS. The updated
appraisal of RP Financial dated November 6, 1997 set forth an estimated Amended
Valuation Range of the Common Stock to be sold in the Conversion of $331.5
million at the minimum and $448.5 million at the maximum, with a midpoint of
$390.0 million, which constitutes a 17.0% increase from the midpoint valuation
established by the appraisal report dated July 17, 1997, as updated on
September 5, 1997, which was set forth in the Prospectus. The increased
valuation set forth in RP Financial's updated appraisal was based on the Bank's
results of operations for the quarter and nine months ended September 30, 1997,
increases in market prices for publicly traded securities of comparable
institutions and market demand for the Common Stock, as reflected by the level
of subscriptions received. In determining the reasonableness and adequacy of
RP Financial's updated appraisal, the Board of Trustees reviewed the
methodology and the appropriateness of the assumptions used by RP Financial.
Copies of RP Financial's appraisal report and updated appraisals are available
for inspection at the main office of the Bank and are otherwise publicly
available. See "Additional Information."
As a result of the increase in the pro forma market value of the Common
Stock as reflected in the updated appraisal, the Company and the Bank have
received permission from the OTS to increase the purchase price from $10.00 per
share to the Amended Purchase Price of $12.00 per share. Based on the Amended
Valuation Range and the Amended Purchase Price, the number of shares being
offered in the Conversion ranges from 27,625,000 shares to 37,375,000 shares.
In the event the Company receives orders for Common Stock in excess of $448.5
million (the maximum of the Amended Valuation
<PAGE> 6
Range), the final valuation may be increased by RP Financial to a maximum of
$515.775 million (the maximum of the Amended Valuation Range, as adjusted by
15%) and the Company may accept orders for up to 42,981,250 shares of Common
Stock without an additional resolicitation of subscribers or any right of
cancellation.
Subscribers should note that the change in the estimated pro forma market
value has a material impact on the pro forma data presented in this Prospectus
Supplement when compared to the values presented in the Prospectus. At the
maximum of the Amended Valuation Range, pro forma per share net income and
stockholders' equity per share at or for the nine months ended September 30,
1997 would be $0.63 and $15.10, respectively, while the price per share to pro
forma net income per share would be 14.29x and the ratio of price per share to
pro forma stockholders' equity per share and pro forma tangible stockholders'
equity per share would be 79.47% and 82.08%, respectively. Assuming 42,981,250
shares of Common Stock are sold in the Conversion, based upon the maximum, as
adjusted, of the Amended Valuation Range, the price per share to pro forma net
income per share would be 15.79x and the ratio of price per share to pro forma
stockholders' equity per share and pro forma tangible stockholders' equity per
share would be 82.99% and 85.47%, respectively. These amounts may be compared
to pro forma per share net income and stockholders' equity at or for the four
months ended April 30, 1997 of $0.25 and $12.83, respectively, at the maximum
of the previous Estimated Valuation Range, and the ratio of price per share to
pro forma net income per share of 13.33x and the price per share to pro forma
stockholders' equity per share and pro forma tangible stockholders' equity per
share of 77.94% and 81.04%, respectively, at such previous maximum. The number
of shares ultimately sold in the Conversion within the Amended Valuation Range
will depend upon market demand for the Common Stock as well as market and
financial conditions following the conclusion of the resolicitation period, and
will affect the price to book value ratio, price to earnings ratio,
stockholders' equity per share and net income per share of the Common Stock.
Prospective investors should be aware that the increased valuation reflected in
the Amended Valuation Range may result in less favorable after-market price
performance of the Common Stock than might have occurred if the Estimated
Valuation Range had not been increased. See "Capitalization" and "Pro Forma
Data" herein for the effect on the pro forma stockholders' equity, stockholders'
equity per share, net income, net income per share, price to book value ratios
and price to earnings ratios resulting from the Amended Valuation Range.
In view of the appraisal update, all persons who subscribed for shares of
Common Stock in the Subscription Offering are being offered the opportunity to
(i) rescind their subscription, which will result in a return of all of their
funds submitted, plus interest earned, or a cancellation of their withdrawal
authorizations; (ii) continue their order for the same dollar amount of Common
Stock originally subscribed for, which will result in fewer shares being
received due to the increase in the Amended Purchase Price and a refund in lieu
of fractional shares, if any; (iii) decrease the total dollar amount of their
subscription, which will result in an adjustment of the withdrawal
authorization or a refund of the overpayment, plus interest earned; or (iv)
subject to applicable purchase limitations, increase the total dollar amount of
their subscription, which will require the submission of additional funds or an
increase in the withdrawal authorization. IN ORDER TO CONFIRM YOUR
2
<PAGE> 7
ORDER FOR SHARES OF COMMON STOCK, YOU MUST COMPLETE AND RETURN THE ENCLOSED
SUPPLEMENTAL ORDER FORM TO THE BANK, ACCOMPANIED, IF APPLICABLE, BY PAYMENT OR
A WITHDRAWAL AUTHORIZATION, SO THAT IT IS RECEIVED NO LATER THAN 12:00 NOON,
EASTERN TIME, ON DECEMBER ___, 1997. FAILURE TO RETURN A SUPPLEMENTAL ORDER
FORM WILL RESULT IN YOUR ORDER BEING RESCINDED, A RETURN OF ALL OF YOUR FUNDS
SUBMITTED, PLUS INTEREST EARNED, OR A CANCELLATION OF YOUR WITHDRAWAL
AUTHORIZATION. As a result of this resolicitation offer, the number of shares
of Common Stock set forth under "Results of the Special Meeting of Members and
the Subscription Offering" which were subscribed for in the Subscription
Offering may change.
ADDITIONAL RISK FACTORS
Prospective investors should consider carefully the matters presented below
and in the "Risk Factors" section of the Prospectus in addition to the other
information contained herein and in the Prospectus.
POSSIBLE ADVERSE EFFECT ON AFTER-MARKET PRICE PERFORMANCE
Prospective investors should be aware that the increased valuation
reflected in the Amended Valuation Range may result in less favorable
after-market price performance of the Common Stock than might have occurred if
the Estimated Valuation Range of the Common Stock had not been increased.
BASIS OF UPDATED APPRAISAL
The updated appraisal of RP Financial is based upon the Bank's results of
operations for the quarter and nine months ended September 30, 1997, increases
in the market prices for publicly traded securities of comparable institutions,
increased demand for initial public offerings of financial service companies
and strong after market performance for the common stock of such companies,
market demand as reflected by the level of subscriptions received as well as
current conditions in the market for thrift institution common stocks. Among
other factors, acquisition activity both in New York and in other comparable
market areas has generally resulted in higher bank and thrift stock prices as
investors speculate that industry consolidation will continue. No assurance
can be given that such speculative activity will continue.
EXTENSION OF TIME PERIOD TO COMPLETE THE CONVERSION
OTS regulations provide that the sale of the Common Stock must be completed
within 45 days following the termination of the subscription period, unless
such period is extended by the OTS. As a result of the need to resolicit all
persons who previously subscribed for shares of Common Stock in the
Subscription Offering, the resolicitation will terminate at
3
<PAGE> 8
12:00 noon, Eastern Time on December __, 1997 unless extended by the Bank and
the Company, with approval of the OTS, if necessary. Any Community Offering or
Syndicated Community Offering must be completed within 45 days after the close
of the resolicitation period, unless extended by the Bank and the Company with
the approval of the OTS, if necessary. As a result of the increase in the
Estimated Valuation Range, all subscribers have been given the right to
continue their order for the dollar amount of shares subscribed for, or to
increase, decrease or rescind their subscriptions. See "Amended Valuation
Range." If the Subscription and Community Offerings are not completed by
________ __, 1998, either all funds received will be returned with interest and
withdrawal authorizations cancelled or, if the OTS has granted an extension of
such period, all subscribers will again be given the right to continue their
order for the dollar amount of shares subscribed for, or to increase, decrease
or rescind their subscriptions at any time prior to 20 days before the end of
the extension period. ANY SUBSCRIBER WHO REQUIRES AN ADDITIONAL COPY OF THE
PROSPECTUS PREVIOUSLY PROVIDED BY THE COMPANY MAY OBTAIN ONE BY CONTACTING THE
STOCK SALES CENTER AT (718) 815-7171. THE COMPANY WILL PROMPTLY PROCESS SUCH A
REQUEST. SINCE THE RESOLICITATION PERIOD ENDS ON DECEMBER ___, 1997, ANY
SUBSCRIBER WHO DESIRES TO OBTAIN A COPY OF THE PROSPECTUS SHOULD REQUEST ONE
PROMPTLY.
SUBSCRIPTION BY THE ESOP
The Plan of Conversion provides that the ESOP may subscribe for up to 8% of
the Common Stock to be issued in the Conversion. Based on the Amended
Valuation Range, the ESOP intends to purchase in the Conversion an amount of
Common Stock equal to 8% of the total number of shares of Common Stock issued
in the Conversion, or 2,210,000 shares and 2,990,000 shares of Common Stock at
the minimum and maximum of the Amended Valuation Range, respectively (3,438,500
shares at the maximum, as adjusted).
LIMITATION ON COMMON STOCK PURCHASES
As a result of the Amended Valuation Range, each Eligible Account Holder,
Supplemental Eligible Account Holder and Other Member generally may subscribe
for one-tenth of one percent (0.10%) of total shares of Common Stock sold in
the Conversion (42,981 shares or $515,772 assuming 42,981,250 shares of Common
Stock are sold in the Conversion based on the maximum, as adjusted, of the
Amended Valuation Range), except for certain subscribers whose subscription
rights are based on the amount of the deposits at the Bank. In the event that
the number of shares sold in the Conversion is less than 42,981,250, orders for
the maximum number of shares will be reduced to the number of shares equal to
one-tenth of one percent (0.10%) of the number of shares sold and subject to
the allocation procedures of the Plan in the event of oversubscription. See
"The Conversion - Limitations on Common Stock Purchases" in the Prospectus.
Except for the ESOP and Eligible Account Holders and Supplemental Eligible
Account Holders whose subscription rights are based upon the amount of their
deposits, the maximum number of shares of Common Stock subscribed for or
purchased in all categories of the Conversion by any person, together with
associates of and groups of persons acting in concert with such persons, shall
not exceed 1.0% of the total number of shares of Common Stock sold in the
Conversion. In light of the level of subscriptions by Eligible Account Holders,
4
<PAGE> 9
no assurance can be given that shares of Common Stock will be available for
allocation to other subscribers.
All purchases will be subject to the maximum and minimum purchase
limitations and to certain other terms and conditions described in the
Prospectus. The minimum purchase is 25 shares or $300. Any person who
previously subscribed for 25 shares will be required to pay the difference in
order to maintain their order. Alternatively, as an example, any person who
subscribed for $1,200 or 120 shares of Common Stock would now receive 100
shares of Common Stock for the same $1,200. Subscribers who have paid or pay
for additional shares of Common Stock by cash, check, bank draft or money order
will earn interest at the Bank's stated rate on passbook accounts from the date
of receipt until the Conversion is completed or terminated.
USE OF PROCEEDS
Although the actual net proceeds from the sale of the Common Stock cannot
be determined until the Conversion is completed, it is presently anticipated
that the net proceeds from the sale of the Common Stock will be between $324.6
million and $440.3 million ($506.9 million assuming an increase in the Amended
Valuation Range by 15%). See "Pro Forma Data" herein as to the assumptions
used to arrive at such amounts.
The Company will purchase all of the capital stock of the Bank to be issued
in the Conversion in exchange for 50% of the net Conversion proceeds, and the
Company will retain the remaining 50% of the net proceeds. The Company intends
to use a portion of the net proceeds to make a loan directly to the ESOP to
enable the ESOP to purchase up to 8% of the Common Stock sold in the
Conversion. Based upon the issuance of 27,625,000 shares or 37,375,000 shares
at the minimum and maximum of the Amended Valuation Range, respectively, the
loan to the ESOP would be $26.5 million and $35.9 million, respectively. The
remaining net proceeds retained by the Company initially may be used to invest
in investment securities, mortgage-backed securities, U.S. Government and
federal agency securities of various maturities, deposits in either the Bank or
other financial institutions, or a combination thereof. The portion of the net
proceeds retained by the Company may ultimately be used to support the Bank's
lending activities, to support the future expansion of operations through
acquisitions of other financial institutions or branch offices (although no
such transactions are specifically being considered at this time), and for
other business and investment purposes, including the payment of regular or
special cash dividends, possible repurchases of the Common Stock or returns of
capital (the Company and the Bank have committed that no return of capital will
be made on the Common Stock during the one-year period subsequent to
consummation of the Conversion). Management of the Company may consider
expanding or diversifying, should such opportunities become available. Neither
the Bank nor the Company has any specific plans, arrangements, or
understandings regarding any acquisitions or diversification of activities at
this time, nor have criteria been established to identify potential candidates
for acquisition.
Following the six-month anniversary of the completion of the Conversion (to
the extent permitted by the OTS), and based upon then existing facts and
circumstances, the
5
<PAGE> 10
Company's Board of Directors may determine to repurchase some shares of Common
Stock, subject to any applicable statutory and regulatory requirements. Such
facts and circumstances may include but not be limited to (i) market and
economic factors such as the price at which the stock is trading in the market,
the volume of trading, the attractiveness of other investment alternatives in
terms of the rate of return and risk involved in the investment, the ability to
increase the book value and/or earnings per share of the remaining outstanding
shares, and an improvement in the Company's return on equity; (ii) the
avoidance of dilution to stockholders by not having to issue additional shares
to cover the exercise of stock options or to fund employee stock benefit plans;
and (iii) any other circumstances in which repurchases would be in the best
interests of the Company and its stockholders. Any stock repurchases will be
subject to the determination of the Company's Board of Directors that the Bank
will be capitalized in excess of all applicable regulatory requirements after
any such repurchases. The payment of dividends or repurchase of stock,
however, would be prohibited if the Bank's net worth would be reduced below the
amount required for the liquidation account to be established for the benefit
of Eligible Account Holders and Supplemental Eligible Account Holders. As of
September 30, 1997, the initial balance of the liquidation account would be
approximately $195.3 million. See "Dividend Policy," "The Conversion -
Liquidation Rights" and "The Conversion - Certain Restrictions on Purchase or
Transfer of Shares After the Conversion" in the Prospectus.
The Company will be a unitary savings and loan holding company which, under
existing laws, would generally not be restricted as to the types of business
activities in which it may engage, provided that the Bank continues to be a
qualified thrift lender ("QTL"). See "Regulation - Regulation of Savings and
Loan Holding Companies" in the Prospectus for a description of certain
regulations applicable to the Company.
The portion of the net proceeds used by the Company to purchase the capital
stock of the Bank will be added to the Bank's general funds to be used for
general corporate purposes, including increased lending activities and
purchases of securities. While the amount of net proceeds received by the Bank
will further strengthen the Bank's capital position, which already
substantially exceeds all regulatory requirements, it should be noted that the
Bank is not converting primarily to raise capital. After the Conversion, the
Bank's tangible capital ratio will be 13.85% (based upon the midpoint of the
Amended Valuation Range). As a result, the Bank will continue to be a
well-capitalized institution. After the Conversion, the Bank intends to
emphasize growth in assets and earnings and capital strength.
THE NET PROCEEDS MAY VARY BECAUSE TOTAL EXPENSES OF THE CONVERSION MAY BE
MORE OR LESS THAN THOSE ESTIMATED. The net proceeds will also vary if the
number of shares to be issued in the Conversion is adjusted to reflect a change
in the estimated pro forma market value of the Bank. Payments for shares made
through withdrawals from existing deposit accounts at the Bank will not result
in the receipt of new funds for investment by the Bank but will result in a
reduction of the Bank's interest expense and liabilities as funds are
transferred from interest-bearing certificates or other deposit accounts.
6
<PAGE> 11
MARKET FOR COMMON STOCK
The Company and the Bank have never issued capital stock, and,
consequently, there is no established market for the Common Stock at this time.
The Company has received approval to have its Common Stock listed on the NYSE
under the symbol "SIB." Making a market involves maintaining bid and ask
quotations and being able, as principal, to effect transactions in reasonable
quantities at these quoted prices, subject to various securities laws and other
regulatory requirements. Additionally, the development of a liquid public
market depends on the existence of willing buyers and sellers, the presence of
which is not within the control of the Company, the Bank or any market maker.
Accordingly, the number of active buyers and sellers of the Common Stock at any
particular time may be limited. Under such circumstances, investors in the
Common Stock could have difficulty disposing of their shares and should not
view the Common Stock as a short-term investment. Accordingly, there can be no
assurance that an active and liquid trading market for the Common Stock will
develop or that, if developed, it will continue, nor is there any assurance
that persons purchasing shares of Common Stock will be able to sell them at or
above the Amended Purchase Price. Keefe, Bruyette has indicated its intention
to act as a market maker in the Common Stock following the consummation of the
Conversion, depending on trading volume and subject to compliance with
applicable laws and regulatory requirements.
7
<PAGE> 12
CAPITALIZATION
The following table presents the historical capitalization of the Bank at
September 30, 1997, and the pro forma consolidated capitalization of the
Company after giving effect to the Conversion, based upon the sale of the
number of shares shown below and the other assumptions set forth under "Pro
Forma Data."
<TABLE>
<CAPTION>
The Company - Pro Forma
Based Upon Sale at $12.00 Per Share
---------------------------------------------------------------------------
42,981,250
The Bank- 27,625,000 32,500,000 37,375,000 Shares(1)
Historical Shares (Minimum of Shares (Midpoint Shares (Maximum (15% above
Capitalization Range) of Range) of Range) Maximum of Range)
-------------- ------------------ ---------------- --------------- -----------------
(In Thousands)
<S> <C> <C> <C> <C> <C>
Deposits(2) . . . . . . . . . . . . . $1,666,492 $1,666,492 $1,666,492 $1,666,492 $1,666,492
Borrowings . . . . . . . . . . . . . 245,841 245,841 245,841 245,841 245,841
--------- --------- --------- --------- ---------
Total deposits and borrowings . . . . $1,912,333 $1,912,333 $1,912,333 $1,912,333 $1,912,333
========= ========= ========= ========= =========
Stockholders' equity:
Preferred Stock, $.01 par value,
25,000,000 shares authorized;
none to be issued . . . . . . . . $ -- $ -- $ -- $ -- $ --
Common Stock, $.01 par value,
100,000,000 shares authorized;
shares to be issued as
reflected(3) . . . . . . . . . . -- 290 341 392 451
Additional paid-in capital . . . . -- 324,278 382,108 439,938 506,442
Shares issued to Foundation(4) . . -- 16,575 19,500 22,425 25,789
Retained earnings(5) . . . . . . . 183,947 183,947 183,947 183,947 183,947
Net unrealized gain on marketable
securities . . . . . . . . . . . 11,336 11,336 11,336 11,336 11,336
Less:
Expense of contribution to
Foundation, net(6) . . . . . . . -- (8,785) (10,335) (11,885) (13,668)
Common Stock to be acquired by
the ESOP(7) . . . . . . . . . . . -- (26,520) (31,200) (35,880) (41,262)
Common Stock to be acquired by
the Recognition Plan(8) . . . . . -- (13,260) (15,600) (17,940) (20,631)
------- ------- ------- ------- -------
Total stockholders' equity . . . . . $195,283 $487,861 $540,097 $592,333 $652,404
======= ======= ======= ======= =======
</TABLE>
(Footnotes on following page)
8
<PAGE> 13
- --------------------------------
(1) As adjusted to give effect to an increase in the number of shares
which could occur due to an increase in the Amended Valuation Range of
up to 15%.
(2) Does not reflect withdrawals from deposit accounts for the purchase of
Common Stock in the Offerings. Such withdrawals would reduce pro
forma deposits by the amount of such withdrawals.
(3) Reflects the issuance of the shares of Common Stock to be sold in the
Offerings. No effect has been given to the issuance of additional
shares of Common Stock pursuant to the proposed Option Plan. See "Pro
Forma Data" herein and "Management - Benefits - Stock Option Plan" in
the Prospectus. Reflects issuance of additional shares of Common
Stock to the Foundation.
(4) Reflects shares to be contributed to the Foundation at an assumed
value of $12.00 per share.
(5) The retained earnings of the Bank will be substantially restricted
after the Conversion by virtue of the liquidation account to be
established in connection with the Conversion. See "The Conversion -
Liquidation Rights" in the Prospectus. In addition, certain
distributions from the Bank's retained earnings may be treated as
being from its accumulated bad debt reserve for tax purposes, which
would cause the Bank to have additional taxable income. See
"Taxation" in the Prospectus.
(6) Net of the tax effect of the contribution of Common Stock based upon a
47% marginal tax rate. The realization of the deferred tax benefit is
limited annually to 10% of the Company's annual taxable income,
subject to the ability of the Company to carry forward any unused
portion of the deduction for five years following the year in which
the contribution is made.
(7) Assumes that 8.0% of the Common Stock sold in the Offerings will be
purchased by the ESOP, which is reflected as a reduction of
stockholders' equity. The ESOP shares will be purchased with funds
loaned to the ESOP by the Company. See "Pro Forma Data."
(8) The Company intends to adopt the Recognition Plan and to submit such
plan to stockholders at an annual or special meeting of stockholders
held at least six months following the consummation of the Conversion.
If the plan is approved by stockholders, the Company intends to
contribute sufficient funds to the trust created under the Recognition
Plan to enable the trust to purchase a number of shares of Common
Stock equal to 4.0% of the Common Stock sold in the Offerings.
Assumes that stockholder approval has been obtained and that the
shares have been purchased in the open market at the Amended Purchase
Price. However, in the event the Company issues authorized but
unissued shares of Common Stock to the Recognition Plan in the amount
of 4.0% of the Common Stock sold in the Offerings, the voting
interests of existing stockholders would be diluted approximately
3.8%. The shares are reflected as a reduction of stockholders'
equity. See "Pro Forma Data."
9
<PAGE> 14
PRO FORMA DATA
The actual net proceeds from the sale of the Common Stock cannot be
determined until the Conversion is completed. However, net proceeds are
currently estimated to be between $324.6 million and $440.3 million (or $506.9
million in the event the Amended Valuation Range is increased by 15%) based
upon the following assumptions: (i) all shares of Common Stock will be sold in
the Subscription Offering; (ii) no fees will be paid to Keefe, Bruyette on
shares purchased by (x) the ESOP and any other employee benefit plan of the
Company or the Bank, (y) officers, directors, employees and members of their
immediate families or (z) the Foundation; (iii) Keefe, Bruyette will receive a
fee equal to 1.15% of the aggregate Amended Purchase Price for sales in the
Subscription Offering (excluding the sale of shares to the ESOP, employee
benefit plans, officers, directors and their immediate families and the
Foundation); (iv) the Company will contribute to the Foundation an amount of
Common Stock equal to 5% of the Common Stock sold in the Conversion from
authorized but unissued shares; and (v) total expenses, including the marketing
fees paid to Keefe, Bruyette, will be between $6.9 million and $8.2 million (or
$8.9 million in the event the Amended Valuation Range is increased by 15%).
Actual expenses may vary from those estimated.
Pro forma consolidated net income and stockholders' equity of the
Company have been calculated for the nine months ended September 30, 1997 and
the year ended December 31, 1996 as if the Common Stock to be issued in the
Offerings had been sold at the beginning of the period and the net proceeds had
been invested at 5.44% and 5.49%, respectively, which represents the yield on
one-year U.S. Government securities at September 30, 1997 and December 31, 1996
(which, in light of changes in interest rates in recent periods, are deemed by
the Company and the Bank to more accurately reflect pro forma reinvestment
rates than the arithmetic average method). The effect of withdrawals from
deposit accounts for the purchase of Common Stock has not been reflected. A
marginal tax rate of 47% has been assumed for the period, resulting in an
after-tax yield of 2.88% (annualized) and 2.91%, respectively, for the nine
months ended September 30, 1997 and the year ended December 31, 1996.
Historical and pro forma per share amounts have been calculated by dividing
historical and pro forma amounts by the indicated number of shares of Common
Stock, as adjusted to give effect to the shares purchased by the ESOP and the
effect of the issuance of shares to the Foundation. See Note 3 to the tables
below. No effect has been given in the pro forma stockholders' equity
calculations for the assumed earnings on the net proceeds. As discussed under
"Use of Proceeds," the Company intends to make a loan to fund the purchase of
8.0% of the Common Stock by the ESOP and retain 50% of the net proceeds from
the Offerings.
No effect has been given in the tables to the issuance of additional
shares of Common Stock pursuant to the proposed Option Plan. See "Management -
Benefits - Stock Option Plan" in the Prospectus. The table below gives effect
to the Recognition Plan, which is expected to be adopted by the Company
following the Conversion and presented (together with the Stock Option Plan) to
stockholders for approval at an annual or special meeting
10
<PAGE> 15
of stockholders to be held at least six months following the consummation of
the Conversion. If the Recognition Plan is approved by stockholders, the
Recognition Plan intends to acquire an amount of Common Stock equal to 4.0% of
the shares of Common Stock sold in the Offerings, either through open market
purchases or from authorized but unissued shares of Common Stock. The table
below assumes that stockholder approval has been obtained, as to which there
can be no assurance, and that the shares acquired by the Recognition Plan are
purchased in the open market at the Purchase Price. No effect has been given
to (i) the Company's results of operations after the Conversion, (ii) the
market price of the Common Stock after the Conversion, or (iii) a less than
4.0% purchase by the Recognition Plan.
The following pro forma information may not be representative of the
financial effects of the foregoing transactions at the dates on which such
transactions actually occur and should not be taken as indicative of future
results of operations. Pro forma stockholders' equity represents the
difference between the stated amount of assets and liabilities of the Company
computed in accordance with GAAP.
THE FOLLOWING TABLE GIVES EFFECT TO THE ISSUANCE OF AUTHORIZED BUT
UNISSUED SHARES OF THE COMPANY'S COMMON STOCK TO THE FOUNDATION CONCURRENTLY
WITH THE COMPLETION OF THE CONVERSION. THE PRO FORMA STOCKHOLDERS' EQUITY IS
NOT INTENDED TO REPRESENT THE FAIR MARKET VALUE OF THE COMMON STOCK AND MAY BE
DIFFERENT THAN AMOUNTS THAT WOULD BE AVAILABLE FOR DISTRIBUTION TO STOCKHOLDERS
IN THE EVENT OF LIQUIDATION.
11
<PAGE> 16
<TABLE>
<CAPTION>
At or For the Nine Months Ended September 30, 1997
-----------------------------------------------------------
27,625,000 32,500,000 37,375,000 42,981,250
Shares Sold Shares Sold Shares Sold Shares Sold
at $12.00 at $12.00 at $12.00 at $12.00
Per Share Per Share Per Share Per Share (15%
(Minimum of (Midpoint (Maximum of above Maximum
Range) of Range) Range) of Range)(8)
----------- ----------- ----------- --------------
(Dollars in Thousands, Except Per Share Amounts)
<S> <C> <C> <C> <C>
Gross proceeds . . . . . . . . . . . . . . . . . $331,500 $390,000 $448,500 $515,775
Plus: Shares acquired by Foundation (equal to
5% of the shares issued in the Conversion) . . 16,575 19,500 22,425 25,789
-------- -------- -------- --------
Pro forma market capitalization . . . . . . . . $348,075 $409,500 $470,925 $541,564
======== ======== ======== ========
Gross proceeds . . . . . . . . . . . . . . . . . $331,500 $390,000 $448,500 $515,775
Less offering expenses and commissions . . . . . 6,932 7,551 8,170 8,882
-------- -------- -------- --------
Estimated net proceeds . . . . . . . . . . . . 324,568 382,449 440,330 506,893
Less: Shares purchased by the ESOP . . . . . . . (26,520) (31,200) (35,880) (41,262)
Shares purchased by the
Recognition Plan . . . . . . . . . . . . (13,260) (15,600) (17,940) (20,631)
-------- -------- -------- --------
Total estimated net proceeds, as adjusted(1) . . $284,788 $335,649 $386,510 $445,000
======== ======== ======== ========
Net income (2):
Historical . . . . . . . . . . . . . . . . . . $16,997 $ 16,997 $ 16,997 $ 16,997
Pro forma income on net proceeds, as
adjusted . . . . . . . . . . . . . . . . . . 6,158 7,258 8,358 9,623
Pro forma ESOP adjustment(3) . . . . . . . . . (703) (827) (951) (1,093)
Pro forma Recognition Plan
adjustment(4) . . . . . . . . . . . . . . . . (1,054) (1,240) (1,426) (1,640)
-------- -------- -------- --------
Pro forma net income . . . . . . . . . . . . . $ 21,398 $ 22,188 $ 22,978 $ 23,887
======== ======== ======== ========
Net income per share(2)(5):
Historical . . . . . . . . . . . . . . . . . . $ 0.63 $ 0.54 $ 0.47 $ 0.41
Pro forma income on net proceeds, as
adjusted . . . . . . . . . . . . . . . . . . 0.23 0.23 0.23 0.23
Pro forma ESOP adjustment(3) . . . . . . . . . (0.03) (0.03) (0.03) (0.03)
Pro forma Recognition Plan
adjustment(4) . . . . . . . . . . . . . . . . (0.04) (0.04) (0.04) (0.04)
-------- -------- -------- --------
Pro forma net income per share(4)(6) . . . . . $ 0.79 $ 0.70 $ 0.63 $ 0.57
======== ======== ======== ========
Offering price to pro forma net
income per share (5) . . . . . . . . . . . . . 11.39x 12.86x 14.29x 15.79x
======== ======== ======== ========
Stockholders' equity:
Historical . . . . . . . . . . . . . . . . . . $195,283 $195,283 $195,283 $195,283
Estimated net proceeds . . . . . . . . . . . . 324,568 382,449 440,330 506,893
Plus: Shares issued to Foundation . . . . . . . 16,575 19,500 22,425 25,789
Less: Contribution to Foundation . . . . . . . (16,575) (19,500) (22,425) (25,789)
Plus: Tax benefit of the contribution
to Foundation . . . . . . . . . . . . . 7,790 9,165 10,540 12,121
Less: Common Stock acquired
by the ESOP(3) . . . . . . . . . . . . (26,520) (31,200) (35,880) (41,262)
Common Stock to be acquired by
the Recognition Plan(4) . . . . . . . . (13,260) (15,600) (17,940) (20,631)
-------- -------- -------- --------
Pro forma stockholders' equity(4)(6)(7) . . . . $487,861 $540,097 $592,333 $652,404
======== ======== ======== ========
Stockholders' equity per share(5):
Historical . . . . . . . . . . . . . . . . . . $ 6.73 $ 5.72 $ 4.98 $ 4.33
Estimated net proceeds . . . . . . . . . . . . 11.19 11.21 11.22 11.23
Plus: Shares issued to Foundation . . . . . . . 0.57 0.57 0.57 0.57
Less: Contribution to Foundation . . . . . . . (0.57) (0.57) (0.57) (0.57)
Plus: Tax benefit of contribution to
Foundation . . . . . . . . . . . . 0.27 0.27 0.27 0.27
Less: Common Stock acquired
by the ESOP(3) . . . . . . . . . . . . (0.91) (0.91) (0.91) (0.91)
Common Stock to be acquired by
the Recognition Plan(4) . . . . . . . . (0.46) (0.46) (0.46) (0.46)
-------- -------- -------- --------
Pro forma stockholders' equity
per share(4)(6)(7) . . . . . . . . . . . . . $ 16.82 $ 15.83 $ 15.10 $ 14.46
======== ======== ======== ========
Offering price as a percentage of pro
forma stockholders' equity per share(5) . . . . 71.34% 75.81% 79.47% 82.99%
======== ======== ======== ========
Offering price as a percentage of pro forma
tangible stockholders' equity per share(5) . . 74.21% 78.53% 82.08% 85.47%
======== ======== ======== ========
</TABLE>
(Footnotes on following page)
12
<PAGE> 17
- --------------------------------
(1) Estimated net proceeds, as adjusted, consist of the estimated net
proceeds from the Offerings minus (i) the proceeds attributable to the
purchase by the ESOP and (ii) the value of the shares to be purchased
by the Recognition Plan, subject to stockholder approval, after the
Conversion at an assumed purchase price of $12.00 per share.
(2) Does not give effect to the non-recurring expense that will be
recognized in 1997 as a result of the establishment of the Foundation.
The Company will recognize an after-tax expense for the amount of the
contribution to the Foundation which is expected to be $8.9 million,
$10.3 million, $11.9 million and $13.7 million at the minimum,
midpoint, maximum and maximum, as adjusted, of the Amended Valuation
Range, respectively. Assuming the contribution to the Foundation was
expensed during the nine months ended September 30, 1997, pro forma
net earnings per share would be $0.47, $0.37, $0.30 and $0.24, at the
minimum, midpoint, maximum and maximum as adjusted, respectively. Per
share net income data is based on 29,906,750, 31,655,000, 36,403,250
and 41,863,738 shares outstanding which represents shares sold in the
Offerings, shares contributed to the Foundation and shares to be
allocated or distributed under the ESOP and Recognition Plan for the
period presented.
(3) It is assumed that 8.0% of the shares of Common Stock sold in the
Offerings will be purchased by the ESOP with funds loaned by the
Company. The Company and the Bank intend to make annual contributions
to the ESOP in an amount at least equal to the principal and interest
requirement of the debt. The pro forma net earnings assumes (i) that
the loan to the ESOP is payable over 15 years, with the ESOP shares
having an average fair value of $12.00 per share in accordance with
SOP 93-6, entitled "Employers' Accounting for Employee Stock Ownership
Plans," of the AICPA, and (ii) the effective tax rate was 47% for the
period. See "Management -Benefits - Employee Stock Ownership Plan" in
the Prospectus.
(4) It is assumed that the Recognition Plan will purchase, following
stockholder approval of such plan, a number of shares of Common Stock
equal to 4.0% of the shares of Common Stock for issuance to directors,
officers and employees. Funds used by the Recognition Plan to
purchase the shares initially will be contributed to the Recognition
Plan by the Company. It is further assumed that the shares were
acquired by the Recognition Plan at the beginning of the period
presented in open market purchases at the Amended Purchase Price and
that 15.0%, of the amount contributed, net of taxes, was an amortized
expense during the nine months ended September 30, 1997. The issuance
of authorized but unissued shares of Common Stock pursuant to the
Recognition Plan in the amount of 4.0% of the Common Stock sold in the
Offerings would dilute the voting interests of existing stockholders
by approximately 3.8% and under such circumstances pro forma net
earnings per share for the nine months ended September 30, 1997 would
be $0.77, $0.68, $0.62 and $0.56, at the minimum, midpoint, maximum
and 15% above the maximum of the Amended Valuation Range,
respectively, and pro forma stockholders' equity per share at
September 30, 1997 would be $16.64, $15.69, $14.98 and $14.37 at the
minimum, midpoint, maximum and 15% above the maximum of such range,
respectively. There can be no assurance that the actual purchase
price of shares purchased by or issued to the Recognition Plan will be
equal to the Amended Purchase Price. See "Management - Benefits -
Recognition Plan" in the Prospectus.
(footnotes continued on following page)
13
<PAGE> 18
(5) The per share calculations are determined by adding the number of
shares assumed to be issued in the Conversion as well as contributed
to the Foundation and for purposes of calculating earnings per share,
in accordance with SOP 93-6, subtracting 2,099,500 shares, 2,470,000
shares, 2,840,500 shares, and 3,266,575 shares, respectively,
representing the ESOP shares which have not been committed for release
during the nine months ended September 30, 1997. Thus, it is assumed
at September 30, 1997 that 26,906,750, 31,655,000, 36,403,250 and
41,863,788 shares of Common Stock are outstanding at the minimum,
midpoint, maximum and 15% above the maximum of the Amended Valuation
Range, respectively. Assuming the uncommitted ESOP shares were not
subtracted from the number of shares of Common Stock outstanding at
September 30, 1997, the offering price as a multiple of pro forma net
earnings per share would be 12.20x, 13.84x, 15.37x and 17.00x at the
minimum, midpoint, maximum and 15% above the maximum of the Amended
Valuation Range, respectively. For purposes of calculating pro forma
stockholders' equity per share, it is assumed that shares outstanding
total 29,006,250, 34,125,000, 39,243,750 and 45,130,313 shares at the
minimum, midpoint, maximum and 15% above the maximum of the Amended
Valuation Range.
(6) No effect has been given to the issuance of additional shares of
Common Stock pursuant to the Option Plan, which will be adopted by the
Company following the Conversion and presented for approval by
stockholders at an annual or special meeting of stockholders of the
Company held at least six months following the consummation of the
Conversion. If the Option Plan is approved by stockholders, an amount
equal to 10% of the Common Stock sold in the Offerings, or 2,762,500,
3,250,000, 3,737,500 and 4,298,125 shares at the minimum, midpoint,
maximum and 15% above the maximum of the Amended Valuation Range,
respectively, will be reserved for future issuance upon the exercise
of options to be granted under the Option Plan. The issuance of Common
Stock pursuant to the exercise of options under the Option Plan will
result in the dilution of existing stockholders' interests. Assuming
stockholder approval of the Option Plan, that all these options were
exercised at the beginning of the period at an exercise price of
$12.00 per share and that the shares to fund the Recognition Plan are
acquired through open market purchases at the Amended Purchase Price,
pro forma net earnings per share for the nine months ended September
30, 1997 would be $0.75, $0.66, $0.60 and $0.54 at the minimum,
midpoint, maximum and 15% above the maximum of the Amended Valuation
Range, respectively, and pro forma stockholders' equity per share at
September 30, 1997 would be $16.40, $15.49, $14.82 and $14.24 at the
minimum, midpoint, maximum and 15% above the maximum of such range,
respectively. See "Management - Benefits - Stock Option Plan" in the
Prospectus.
(7) The retained earnings of the Bank will be substantially restricted
after the Conversion by virtue of the liquidation account to be
established in connection with the Conversion. See "Dividend Policy"
and "The Conversion - Liquidation Rights" in the Prospectus. In
addition, certain distributions from the Bank's retained earnings may
be treated as being from its accumulated bad debt reserve for tax
purposes, which would cause the Bank to have additional taxable
income. See "Taxation - Federal Taxation" in the Prospectus. Pro
forma stockholders' equity and pro forma stockholders' equity per
share do not give effect to the liquidation account or the bad debt
reserves established by the Bank for federal income tax purposes in
the event of a liquidation of the Bank.
(8) As adjusted to give effect to an increase in the number of shares
which could occur due to an increase in the Amended Valuation Range of
up to 15%.
14
<PAGE> 19
<TABLE>
<CAPTION>
At or For the Year Ended December 31, 1996
-----------------------------------------------------------
27,625,000 32,500,000 37,375,000 42,981,250
Shares Sold Shares Sold Shares Sold Shares Sold
at $12.00 at $12.00 at $12.00 at $12.00
Per Share Per Share Per Share Per Share (15%
(Minimum of (Midpoint (Maximum of above Maximum
Range) of Range) Range) of Range)(8)
----------- ----------- ----------- --------------
(Dollars in Thousands, Except Per Share Amounts)
<S> <C> <C> <C> <C>
Gross proceeds . . . . . . . . . . . . . . . . . . $331,500 $390,000 $448,500 $515,775
Plus: Shares acquired by Foundation (equal to
5% of the shares issued in the Conversion) . . . 16,575 19,500 22,425 25,789
-------- -------- -------- --------
Pro forma market capitalization . . . . . . . . . $348,075 $409,500 $470,925 $541,564
======== ======== ======== ========
Gross proceeds . . . . . . . . . . . . . . . . . . $331,500 $390,000 $448,500 $515,775
Less offering expenses and commissions . . . . . . 6,932 7,551 8,170 8,882
-------- -------- -------- --------
Estimated net proceeds . . . . . . . . . . . . . 324,568 382,449 440,330 506,893
Less: Shares purchased by the ESOP . . . . . . . . (26,520) (31,200) (35,880) (41,262)
Shares purchased by the
Recognition Plan . . . . . . . . . . . . . (13,260) (15,600) (17,940) (20,631)
-------- -------- -------- --------
Total estimated net proceeds, as adjusted(1) . . . $284,788 $335,649 $386,510 $445,000
======== ======== ======== ========
Net income (2):
Historical . . . . . . . . . . . . . . . . . . . $ 21,775 $ 21,775 $ 21,775 $ 21,775
Pro forma income on net proceeds, as
adjusted . . . . . . . . . . . . . . . . . . . 8,286 9,766 11,246 12,948
Pro forma ESOP adjustment(3) . . . . . . . . . . (937) (1,102) (1,268) (1,458)
Pro forma Recognition Plan
adjustment(4) . . . . . . . . . . . . . . . . . (1,406) (1,654) (1,902) (2,187)
-------- -------- -------- --------
Pro forma net income . . . . . . . . . . . . . . $ 27,718 $ 28,785 $ 29,851 $ 31,078
======== ======== ======== ========
Net income per share(2)(5):
Historical . . . . . . . . . . . . . . . . . . . $ 0.81 $ 0.69 $ 0.60 $ 0.52
Pro forma income on net proceeds, as
adjusted . . . . . . . . . . . . . . . . . . . 0.31 0.31 0.31 0.31
Pro forma ESOP adjustment(3) . . . . . . . . . . (0.03) (0.03) (0.03) (0.03)
Pro forma Recognition Plan
adjustment(4) . . . . . . . . . . . . . . . . . (0.05) (0.05) (0.05) (0.05)
-------- -------- -------- --------
Pro forma net income per share(4)(6) . . . . . . $ 1.04 $ 0.92 $ 0.83 $ 0.75
======== ======== ======== ========
Offering price to pro forma net
income per share (5) . . . . . . . . . . . . . . 11.54x 13.04x 14.46x 16.00x
======== ======== ======== ========
Stockholders' equity:
Historical . . . . . . . . . . . . . . . . . . . $171,080 $171,080 $171,080 $171,080
Estimated net proceeds . . . . . . . . . . . . . 324,568 382,449 440,330 506,893
Plus: Shares issued to Foundation . . . . . . . . 16,575 19,500 22,425 25,789
Less: Contribution to Foundation . . . . . . . . (16,575) (19,500) (22,425) (25,789)
Plus: Tax benefit of the contribution
to Foundation . . . . . . . . . . . . . . 7,790 9,165 10,540 12,121
Less: Common Stock acquired
by the ESOP(3) . . . . . . . . . . . . . (26,520) (31,200) (35,880) (41,262)
Common Stock to be acquired by
the Recognition Plan(4) . . . . . . . . . (13,260) (15,600) (17,940) (20,631)
-------- -------- -------- --------
Pro forma stockholders' equity(4)(6)(7) . . . . . $463,658 $515,894 $568,130 $628,201
======== ======== ======== ========
Stockholders' equity per share(5):
Historical . . . . . . . . . . . . . . . . . . . $ 5.90 $ 5.01 $ 4.36 $ 3.79
Estimated net proceeds . . . . . . . . . . . . . 11.19 11.21 11.22 11.23
Plus: Shares issued to Foundation . . . . . . . . 0.57 0.57 0.57 0.57
Less: Contribution to Foundation . . . . . . . . (0.57) (0.57) (0.57) (0.57)
Plus: Tax benefit of contribution to
Foundation . . . . . . . . . . . . . . 0.27 0.27 0.27 0.27
Less: Common Stock acquired
by the ESOP(3) . . . . . . . . . . . . . (0.91) (0.91) (0.91) (0.91)
Common Stock to be acquired by
the Recognition Plan(4) . . . . . . . . . (0.46) (0.46) (0.46) (0.46)
-------- -------- -------- --------
Pro forma stockholders' equity
per share(4)(6)(7) . . . . . . . . . . . . . . $ 15.99 $ 15.12 $ 14.48 $ 13.92
======== ======== ======== ========
Offering price as a percentage of pro
forma stockholders' equity per share(5) . . . . . 75.05% 79.37% 82.87% 86.21%
======== ======== ======== ========
Offering price as a percentage of pro forma
tangible stockholders' equity per share(5) . . . 78.53% 82.64% 85.96% 89.09%
======== ======== ======== ========
</TABLE>
(Footnotes on following page)
15
<PAGE> 20
- --------------------------------
(1) Estimated net proceeds, as adjusted, consist of the estimated net
proceeds from the Offerings minus (i) the proceeds attributable to the
purchase by the ESOP and (ii) the value of the shares to be purchased
by the Recognition Plan, subject to stockholder approval, after the
Conversion at an assumed purchase price of $12.00 per share.
(2) Does not give effect to the non-recurring expense that will be
recognized in 1997 as a result of the establishment of the Foundation.
The Company will recognize an after-tax expense for the amount of the
contribution to the Foundation which is expected to be $8.9 million,
$10.3 million, $11.9 million and $13.7 million at the minimum,
midpoint, maximum and maximum as adjusted, of the Amended Valuation
Range, respectively. Assuming the contribution to the Foundation was
expensed during the year ended December 31, 1996, pro forma net
earnings per share would be $0.71, $0.59, $0.50 and $0.42, at the
minimum, midpoint, maximum and maximum as adjusted, respectively. Per
share net income data is based on 26,943,583, 31,698,333, 36,453,083
and 41,921,046 shares outstanding which represents shares sold in the
Offerings, shares contributed to the Foundation and shares to be
allocated or distributed under the ESOP and Recognition Plan for the
period presented.
(3) It is assumed that 8.0% of the shares of Common Stock sold in the
Offerings will be purchased by the ESOP with funds loaned by the
Company. The Company and the Bank intend to make annual contributions
to the ESOP in an amount at least equal to the principal and interest
requirement of the debt. The pro forma net earnings assumes (i) that
the loan to the ESOP is payable over 15 years, with the ESOP shares
having an average fair value of $12.00 per share in accordance with
SOP 93-6, entitled "Employers' Accounting for Employee Stock Ownership
Plans," of the AICPA, and (ii) the effective tax rate was 47% for the
period. See "Management -Benefits - Employee Stock Ownership Plan" in
the Prospectus.
(4) It is assumed that the Recognition Plan will purchase, following
stockholder approval of such plan, a number of shares of Common Stock
equal to 4.0% of the shares of Common Stock for issuance to directors,
officers and employees. Funds used by the Recognition Plan to
purchase the shares initially will be contributed to the Recognition
Plan by the Company. It is further assumed that the shares were
acquired by the Recognition Plan at the beginning of the period
presented in open market purchases at the Amended Purchase Price and
that 20.0% of the amount contributed, net of taxes, was an amortized
expense during the year ended December 31, 1996. The issuance of
authorized but unissued shares of Common Stock pursuant to the
Recognition Plan in the amount of 4.0% of the Common Stock sold in the
Offerings would dilute the voting interests of existing stockholders
by approximately 3.8% and under such circumstances pro forma net
earnings per share for the year ended December 31, 1996 would be
$1.00, $0.89, $0.80 and $0.73, at the minimum, midpoint, maximum and
15% above the maximum of the Amended Valuation Range, respectively,
and pro forma stockholders' equity per share at December 31, 1996
would be $15.84, $15.00, $14.39 and $13.85 at the minimum, midpoint,
maximum and 15% above the maximum of such range, respectively. There
can be no assurance that the actual purchase price of shares purchased
by or issued to the Recognition Plan will be equal to the Amended
Purchase Price. See "Management - Benefits - Recognition Plan" in the
Prospectus.
(footnotes continued on following page)
16
<PAGE> 21
(5) The per share calculations are determined by adding the number of
shares assumed to be issued in the Conversion as well as contributed
to the Foundation and for purposes of calculating earnings per share,
in accordance with SOP 93-6, subtracting 93.3% the ESOP shares which
have not been committed for release during the year ended December 31,
1996. Thus, it is assumed at December 31, 1996 that 26,943,583,
31,698,333, 36,453,083 and 41,921,046 shares of Common Stock are
outstanding at the minimum, midpoint, maximum and 15% above the
maximum of the Amended Valuation Range, respectively. Assuming the
uncommitted ESOP shares were not subtracted from the number of shares
of Common Stock outstanding at December 31, 1996, the offering price
as a multiple of pro forma net earnings per share would be 12.56x,
14.23x, 15.78x and 17.43x at the minimum, midpoint, maximum and 15%
above the maximum of the Amended Valuation Range, respectively.
(6) No effect has been given to the issuance of additional shares of
Common Stock pursuant to the Option Plan, which will be adopted by the
Company following the Conversion and presented for approval by
stockholders at an annual or special meeting of stockholders of the
Company held at least six months following the consummation of the
Conversion. If the Option Plan is approved by stockholders, an amount
equal to 10% of the Common Stock sold in the Offerings, or 2,762,500,
3,250,000, 3,737,500 and 4,298,125 shares at the minimum, midpoint,
maximum and 15% above the maximum of the Amended Valuation Range,
respectively, will be reserved for future issuance upon the exercise
of options to be granted under the Option Plan. The issuance of Common
Stock pursuant to the exercise of options under the Option Plan will
result in the dilution of existing stockholders' interests. Assuming
stockholder approval of the Option Plan, that all these options were
exercised at the beginning of the period at an exercise price of
$12.00 per share and that the shares to fund the Recognition Plan are
acquired through open market purchases at the Amended Purchase Price,
pro forma net earnings per share for the year ended December 31, 1996
would be $0.97, $0.86, $0.78 and $0.70 at the minimum, midpoint,
maximum and 15% above the maximum of the Amended Valuation Range,
respectively, and pro forma stockholders' equity per share at December
31, 1996 would be $15.64, $14.85, $14.26 and $13.75 at the minimum,
midpoint, maximum and 15% above the maximum of such range,
respectively. See "Management - Benefits - Stock Option Plan" in the
Prospectus.
(7) The retained earnings of the Bank will be substantially restricted
after the Conversion by virtue of the liquidation account to be
established in connection with the Conversion. See "Dividend Policy"
and "The Conversion - Liquidation Rights" in the Prospectus. In
addition, certain distributions from the Bank's retained earnings may
be treated as being from its accumulated bad debt reserve for tax
purposes, which would cause the Bank to have additional taxable
income. See "Taxation - Federal Taxation" in the Prospectus. Pro
forma stockholders' equity and pro forma stockholders' equity per
share do not give effect to the liquidation account or the bad debt
reserves established by the Bank for federal income tax purposes in
the event of a liquidation of the Bank.
(8) As adjusted to give effect to an increase in the number of shares
which could occur due to an increase in the Amended Valuation Range of
up to 15%.
17
<PAGE> 22
REGULATORY CAPITAL
At September 30, 1997, the Bank exceeded all of the regulatory capital
requirements applicable to it. The table on the following page sets forth the
Bank's historical regulatory capital at September 30, 1997 and the pro forma
regulatory capital of the Bank after giving effect to the Conversion, based
upon the sale of the number of shares shown in the table. The pro forma
regulatory capital amounts reflect the receipt by the Bank of 50% of the net
Conversion proceeds, minus the amounts to be loaned to the ESOP and contributed
to the RRP. The pro forma risk-based capital amounts assume the investment of
the net proceeds received by the Bank in assets which have a risk-weight of 50%
under applicable regulations, as if such net proceeds had been received and so
applied at September 30, 1997.
18
<PAGE> 23
<TABLE>
<CAPTION>
Pro Forma at September 30, 1997 Based on
-------------------------------------------------
27,625,000 32,500,000
Shares Sold Shares Sold
Historical at at $12.00 at $12.00
September 30, 1997 Per Share Per Share
---------------------- ------------------------ ----------------------
Percent of Percent of Percent of
Amount Assets(1) Amount Assets(1) Amount Assets(1)
------- ---------- -------- ---------- ------- ----------
(Dollars in Thousands)
<S> <C> <C> <C> <C> <C> <C>
Tangible capital(2):
Actual . . . . . . . . $164,631 7.79% $294,925 12.99% $318,221 13.85%
Requirement . . . . . . 31,694 1.50 34,046 1.50 34,466 1.50
-------- ----- ------- ----- ------- -----
Excess . . . . . . . . $132,937 6.29% $260,879 11.49% $283,755 12.35%
======= ===== ======= ===== ======= =====
Core capital(2)(3):
Actual . . . . . . . . $169,200 8.01% $299,494 13.20% $322,790 14.05%
Requirement . . . . . . 63,524 3.00 68,228 3.00 69,068 3.00
-------- ----- ------- ----- ------- -----
Excess . . . . . . . . $105,676 5.01% $231,266 10.20% $253,722 11.05%
======= ===== ======= ===== ======= =====
Risk-based capital(2)(3):
Actual . . . . . . . . $181,234 18.87% $311,528 29.99% $334,824 31.81%
Requirement . . . . . . 76,820 8.00 83,093 8.00 84,212 8.00
-------- ----- ------- ----- ------- -----
Excess . . . . . . . . $104,414 10.87% $ 228,436 21.99% $250,612 23.81%
======= ===== ======== ===== ======= =====
</TABLE>
<TABLE>
<CAPTION>
Pro Forma at September 30, 1997 Based on
-------------------------------------------------
37,375,000 42,981,250
Shares Sold Shares Sold
at $12.00 at $12.00
Per Share Per Share
---------------------- -----------------------
Percent of Percent of
Amount Assets(1) Amount Assets(1)
-------- ---------- -------- ----------
(Dollars in Thousands)
<S> <C> <C> <C> <C>
Tangible capital(2):
Actual . . . . . . . . $341,516 14.68% $368,305 15.62%
Requirement . . . . . . 34,885 1.50 35,368 1.50
------- ----- ------- -----
Excess . . . . . . . . $306,630 13.18% $332,937 14.12%
======= ===== ======= =====
Core capital(2)(3):
Actual . . . . . . . . $346,085 14.88% $372,874 15.81%
Requirement . . . . . . 69,907 3.00 70,872 3.00
------- ----- ------- -----
Excess . . . . . . . . $276,178 11.88% $302,002 12.81%
======= ===== ======= =====
Risk-based capital(2)(3):
Actual . . . . . . . . $358,119 33.57% $384,908 35.55%
Requirement . . . . . . 85,331 8.00 86,617 8.00
------- ----- ------- -----
Excess . . . . . . . . $272,788 25.57% $298,291 27.55%
======= ===== ======= =====
</TABLE>
- ----------------------------
(1) Adjusted total or adjusted risk-weighted assets, as appropriate.
(2) Based on the OTS regulatory capital requirements which became
applicable to the Bank upon its conversion to a federal savings bank
in August 1997.
(3) Does not reflect the interest rate risk component to be added to the
risk-based capital requirements or, in the case of the core capital
requirement, the 4.0% requirement to be met in order for an
institution to be "adequately capitalized" under applicable laws and
regulations. See "Regulation - Regulation of Federal Savings Banks
-Regulatory Capital Requirements" in the Prospectus.
19
<PAGE> 24
COMPARISON OF VALUATION AND PRO FORMA INFORMATION WITH NO FOUNDATION
In the event that the Foundation was not being established as part of
the Conversion, RP Financial has estimated that the pro forma aggregate market
capitalization of the Company would be approximately $427.5 million at the
midpoint of the Amended Valuation Range, which is approximately $18 million
greater than the pro forma aggregate market capitalization of the Company if
the Foundation is included, and would result in an approximately $37.5 million
increase in the amount of Common Stock offered for sale in the Conversion. The
pro forma price to book ratio would be approximately the same under both the
current appraisal and the estimate of the value of the Company without the
Foundation and the pro forma price to earnings ratio would be slightly lower
under the current appraisal and the estimate of the value of the Company
without the Foundation. Further, assuming the midpoint of the Amended
Valuation Range, pro forma stockholders' equity per share and pro forma
earnings per share would be substantially the same at $15.83 and $15.82,
respectively, and $0.70 and $0.69, respectively, with the Foundation or without
the Foundation. There is no assurance that in the event the Foundation was not
formed that the appraisal prepared at the time would have concluded that the
pro forma market value of the Company would be the same as that estimated
herein. Any appraisals prepared at that time would be based on the facts and
circumstances existing at that time, including, among other things, market and
economic conditions.
For comparative purposes only, set forth below are certain pricing
ratios and financial data and ratios, at the minimum, midpoint, maximum and
maximum, as adjusted, of the Amended Valuation Range, assuming the Conversion
was completed at September 30, 1997.
<TABLE>
<CAPTION>
At the Minimum At the Midpoint
--------------------------- ---------------------------
With No With No
Foundation Foundation Foundation Foundation
----------- ------------ ----------- -----------
(Dollars in thousands, except per share amounts)
<S> <C> <C> <C> <C>
Estimated offering amount . . . . . . . . . . . . . . $ 331,500 $ 363,375 $ 390,000 $ 427,500
Pro forma market capitalization . . . . . . . . . . . 348,075 363,375 409,500 427,500
Total assets . . . . . . . . . . . . . . . . . . . . 2,437,078 2,457,000 2,489,314 2,512,752
Total liabilities . . . . . . . . . . . . . . . . . . 1,949,217 1,949,217 1,949,217 1,949,217
Pro forma stockholders' equity . . . . . . . . . . . 487,861 507,783 540,097 563,535
Pro forma consolidated net earnings . . . . . . . . . 21,398 21,829 22,188 22,695
Pro forma stockholders' equity per share . . . . . . 16.82 16.77 15.83 15.82
Pro forma consolidated net earnings per
share . . . . . . . . . . . . . . . . . . . . . . 0.79 0.78 0.70 0.69
Pro forma pricing ratios:
Offering price as a percentage of pro
forma stockholders' equity per
share . . . . . . . . . . . . . . . . . . . . . 71.34% 71.56% 75.81% 75.85%
Offering price to pro forma net
earnings per share (1) . . . . . . . . . . . . . 11.39x 11.54x 12.86x 13.04x
Pro forma market capitalization to
assets . . . . . . . . . . . . . . . . . . . . . 14.28% 14.79% 16.45% 17.01%
Pro forma financial ratios:
Return on assets (2) . . . . . . . . . . . . . . . 1.17% 1.18% 1.19% 1.20%
Return on stockholders' equity (3) . . . . . . . . 5.85% 5.73% 5.48% 5.37%
Stockholders' equity to assets . . . . . . . . . . 20.02% 20.67% 21.70% 22.43%
</TABLE>
<TABLE>
<CAPTION>
At the Maximum,
At the Maximum As Adjusted
---------------------------- ---------------------------
With No With No
Foundation Foundation Foundation Foundation
------------ ----------- ------------ -----------
(Dollars in thousands, except per share amounts)
<S> <C> <C> <C> <C>
Estimated offering amount . . . . . . . . . . . . . . $ 448,500 $ 491,625 $ 515,775 $ 565,369
Pro forma market capitalization . . . . . . . . . . . 470,925 491,625 541,564 565,369
Total assets . . . . . . . . . . . . . . . . . . . . 2,541,550 2,568,504 2,601,621 2,632,618
Total liabilities . . . . . . . . . . . . . . . . . . 1,949,217 1,949,217 1,949,217 1,949,217
Pro forma stockholders' equity . . . . . . . . . . . 592,333 619,287 652,404 683,401
Pro forma consolidated net earnings . . . . . . . . . 22,978 23,561 23,887 24,555
Pro forma stockholders' equity per share . . . . . . 15.10 15.12 14.46 14.50
Pro forma consolidated net earnings per
share . . . . . . . . . . . . . . . . . . . . . . 0.63 0.62 0.57 0.56
Pro forma pricing ratios:
Offering price as a percentage of pro
forma stockholders' equity per
share . . . . . . . . . . . . . . . . . . . . . 79.47% 79.37% 82.99% 82.76%
Offering price to pro forma net
earnings per share (1) . . . . . . . . . . . . . 14.29x 14.52x 15.79x 16.07x
Pro forma market capitalization to
assets . . . . . . . . . . . . . . . . . . . . . 18.53% 19.14% 20.82% 21.48%
Pro forma financial ratios:
Return on assets (2) . . . . . . . . . . . . . . . 1.21% 1.22% 1.22% 1.24%
Return on stockholders' equity (3) . . . . . . . . 5.17% 5.07% 4.88% 4.79%
Stockholders' equity to assets . . . . . . . . . . 23.31% 24.11% 25.08% 25.96%
</TABLE>
20
<PAGE> 25
- ----------------------
(1) If the contribution to the Foundation had been expensed during the nine
months ended September 30, 1997, the offering price to pro forma net
earnings per share would have been 19.15x, 24.32x, 30.00x and 37.50x at
the minimum, midpoint, maximum and maximum, as adjusted, respectively.
(2) If the contribution to the Foundation had been expensed during the nine
months ended September 30, 1997, return on assets would have been 0.69%,
0.63%, 0.58% and 0.52% at the minimum, midpoint, maximum and maximum, as
adjusted, respectively.
(3) If the contribution to the Foundation had been expensed during the nine
months ended September 30, 1997, return on stockholders' equity would have
been 3.45%, 2.93%, 2.50% and 2.09% at the minimum, midpoint, maximum and
maximum, as adjusted, respectively.
21
<PAGE> 26
ADDITIONAL INFORMATION
The Company has filed with the SEC a Registration Statement under the
Securities Act with respect to the Common Stock offered hereby. As permitted
by the rules and regulations of the SEC, this Prospectus Supplement does not
contain all the information set forth in the Registration Statement. Such
information, including the Conversion Valuation Appraisal Report, as updated
and revised, which is an exhibit to the Registration Statement, can be examined
without charge at the public reference facilities of the SEC located at 450
Fifth Street, N.W., Washington, D.C. 20549, and copies of such material can be
obtained from the SEC at prescribed rates. In addition, the SEC maintains a
web site (http://www.sec.gov) that contains reports, proxy and information
statements and other information regarding registrants that file electronically
with the SEC, including the Company. The statements contained in this
Prospectus Supplement as to the contents of any contract or other document
filed as an exhibit to the Registration Statement are, of necessity, brief
descriptions thereof and are not necessarily complete; each such statement is
qualified by reference to such contract or document.
The Bank has filed an Application for Conversion with the OTS with
respect to the Conversion. This Prospectus Supplement omits certain
information contained in that application. The Application may be examined at
the principal office of the OTS, 1700 G Street, N.W., Washington, D.C. 20552,
and at the Northeast Regional Office of the OTS located at 10 Exchange Place,
18th Floor, Jersey City, New Jersey 07302.
The Company has filed with the Office of Thrift Supervision an
Application to Form a Holding Company. This Prospectus Supplement omits
certain information contained in such Application. Such Application may be
inspected at the principal office of the OTS, 1700 G Street, N.W., Washington,
D.C. 20552, and at the Northeast Regional Office of the OTS located at 10
Exchange Place, 18th Floor, Jersey City, New Jersey 07302.
In connection with the Conversion, the Company will register its
Common Stock with the SEC under Section 12 of the Exchange Act, and, upon such
registration, the Company and the holders of its stock will become subject to
the proxy solicitation rules, reporting requirements and restrictions on stock
purchases and sales by directors, officers and greater than 10% stockholders,
the annual and periodic reporting and certain other requirements of the
Exchange Act. Under the Plan, the Company has undertaken that it will not
terminate such registration for a period of at least three years following the
Conversion.
A copy of the Plan of Conversion and the Certificate of Incorporation
and Bylaws of the Company and the Federal Stock Charter and Bylaws of the Bank
are available without charge from the Bank. Requests for such information
should be directed to: Frank J. Besignano, Senior Vice President, Staten Island
Savings Bank, 15 Beach Street, Staten Island, New York 10304.
22
<PAGE> 27
APPENDIX
Attached to this Prospectus Supplement is a copy of the Company's
Quarterly Report on Form 10-Q for the quarter ended September 30, 1997 as filed
with the SEC. Such quarterly report is incorporated herein by reference.
23
<PAGE> 28
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
[x] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 1997
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the Transition period from __________ to __________
Commission File Number 333-32113
Staten Island Bancorp, Inc.
- --------------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 13-3958850
- ------------------------------------------ ------------------------
(State or other jurisdiction of incorporation (I.R.S. Employer
or organization) Identification Number)
15 Beach Street
Staten Island, New York 10304
- ------------------------------------------ ------------------------
(Address of principal executive office) (Zip Code)
(718-447-7900)
----------------------------------------------------
(Registrant's telephone number, including area code)
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 receding 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 No X
--- ---
Indicate the number of shares outstanding of each of the issuer's classes
of common stock, as of the latest practicable date: As of September 30, 1997 and
as of the date hereof, Staten Island Savings Bank, the registrant's to-be wholly
owned subsidiary, had not yet completed it mutual-to-stock conversion and
reorganization into a holding company format. Accordingly, there are no issued
and outstanding shares of the Registrant's Common Stock, par value $.01 share.
The financial information presented herein is for Staten Island Savings Bank as
the registrant has not yet commenced operations.
<PAGE> 29
STATEN ISLAND BANCORP, INC.
<TABLE>
<CAPTION>
Table of Contents PAGE
- ----------------- ----
<S> <C> <C>
Part I Financial Information
Item 1 Financial Statements
Statement of Condition 2
As of September 30, 1997 and December 31, 1996 (unaudited)
Statement of Income (For three months and nine months ended 3
September 30, 1997 and 1996)(unaudited)
Statement of Equity (For nine months ended September 30, 1997 4
and 1996)(unaudited)
Statement of Cash Flows (For the nine months ended September 5
30, 1997 and 1996)(unaudited)
Notes to Financial Statements (unaudited) 6-10
Item 2 Management's Discussion and Analysis of Financial Condition
and Results of Operations 11-18
Part II Other Information 19
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
--------------------------------
</TABLE>
<PAGE> 30
STATEN ISLAND SAVINGS BANK
STATEMENTS OF CONDITION
<TABLE>
<CAPTION>
--------------------------------------------
ASSETS SEPTEMBER 30, 1997 DECEMBER 31, 1996
------------------- -------------------
(Dollars In Thousands)
<S> <C> <C>
ASSETS:
Cash and due from banks $ 48,445 $ 43,522
Federal funds sold 36,300 9,100
Securities available for sale 960,375 703,134
Loans, net 1,037,862 968,015
Accrued interest receivable 12,968 11,739
Bank premises and equipment, net 19,945 18,675
Intangible assets, net 18,933 20,490
Other assets 9,672 7,648
------------------- -------------------
Total assets $ 2,144,500 $ 1,782,323
=================== ===================
LIABILITIES AND EQUITY
LIABILITIES:
Deposits-
Savings $ 815,817 $ 832,584
Time 547,230 500,570
Money market 83,381 79,704
NOW accounts 27,417 14,298
Demand deposits 192,647 150,592
------------------- -------------------
1,666,492 1,577,748
Borrowed funds 245,841 54
Advances from borrowers for taxes and insurance 5,798 4,563
Accrued interest and other liabilities 31,086 28,878
------------------- -------------------
Total liabilities 1,949,217 1,611,243
------------------- -------------------
EQUITY:
Retained Earnings 183,947 166,950
Unrealized appreciation on securities available for
sale, net of taxes 11,336 4,130
------------------- -------------------
Total equity 195,283 171,080
------------------- -------------------
Total liabilities and equity $ 2,144,500 $ 1,782,323
=================== ===================
</TABLE>
-2-
<PAGE> 31
STATEN ISLAND SAVINGS BANK
STATEMENTS OF INCOME
<TABLE>
<CAPTION>
FOR THE THREE MONTHS ENDED
SEPTEMBER 30,
-------------------------------------------
1997 1996
-------------------------------------------
(Dollars In Thousands)
<S> <C> <C>
Interest income:
Loans, including fees $ 21,071 $ 18,965
Securities available for sale and held to maturity 13,619 11,889
Federal funds sold 541 268
-------------------- ------------------
Total interest income 35,231 31,122
-------------------- ------------------
Interest expense:
Savings accounts 5,479 5,308
Time deposits 6,967 6,470
Money market accounts 611 609
NOW accounts 115 282
Escrow accounts 22 19
Borrowed funds 1,888 1
-------------------- ------------------
Total interest expense 15,082 12,689
-------------------- ------------------
Net interest and dividend income 20,149 18,433
-------------------- ------------------
Provision for loan losses 501 500
Net interest income after provision
-------------------- ------------------
for possible loan losses 19,648 17,933
Other income (loss):
Service and fee income 1,925 1,615
Securities transactions 193 (402)
-------------------- ------------------
Total other income (loss) 2,118 1,213
Other expenses
Personnel 5,858 5,311
Occupancy and equipment 1,449 1,299
Amortization of intangible assets 519 519
FDIC insurance 75 1
Data processing 1,048 593
Marketing 324 325
Professional fees 253 365
Stationery and supplies 254 225
Other 1,688 1,523
-------------------- ------------------
Total other expenses 11,468 10,161
-------------------- ------------------
Income before provision for income taxes 10,298 8,985
-------------------- ------------------
Provision for income taxes 4,261 2,739
-------------------- ------------------
Net income $ 6,037 $ 6,246
==================== ==================
<CAPTION>
FOR THE NINE MONTHS ENDED
SEPTEMBER 30,
---------------------------------------------
1997 1996
(Dollars In Thousands)
---------------------------------------------
<S> <C> <C>
Interest income:
Loans, including fees $ 61,591 $ 53,898
Securities available for sale and held to maturity 36,984 36,130
Federal funds sold 1,742 1,074
-------------------- ------------------
Total interest income 100,317 91,102
-------------------- ------------------
Interest expense:
Savings accounts 16,240 15,804
Time deposits 20,033 19,260
Money market accounts 1,821 1,825
NOW accounts 269 818
Escrow accounts 66 59
Borrowed funds 2,441 5
-------------------- ------------------
Total interest expense 40,870 37,771
-------------------- ------------------
Net interest and dividend income 59,447 53,331
Provision for loan losses 5,502 500
Net interest income after provision
-------------------- ------------------
for possible loan losses 53,945 52,831
Other income (loss):
Service and fee income 5,581 4,829
Securities transactions (412) (184)
-------------------- ------------------
Total other income (loss) 5,169 4,645
Other expenses
Personnel 15,954 15,055
Occupancy and equipment 4,233 4,125
Amortization of intangible assets 1,557 1,624
FDIC insurance 197 2
Data processing 3,186 2,103
Marketing 972 976
Professional fees 683 760
Stationery and supplies 942 643
Other 5,181 4,818
-------------------- ------------------
Total other expenses 32,905 30,106
-------------------- ------------------
Income before provision for income taxes 26,209 27,370
Provision for income taxes 9,212 10,782
-------------------- ------------------
Net income $ 16,997 $ 16,588
==================== ==================
</TABLE>
-3-
<PAGE> 32
STATEN ISLAND SAVINGS BANK
STATEMENTS OF CHANGES IN EQUITY
<TABLE>
<CAPTION>
UNREALIZED
GAIN (LOSS)
ON SECURITIES
RETAINED AVAILABLE FOR SALE, TOTAL
EARNINGS NET OF TAXES EQUITY
------------------- ------------------- -------------------
(Dollars In Thousands)
<S> <C> <C> <C>
BALANCE, DECEMBER 31, 1995 $ 145,175 $ 4,907 $ 150,082
Net Income 16,558 16,558
Change in unrealized loss on securities
available for sale, net of taxes (4,036) (4,036)
------------------- ------------------- -------------------
BALANCE, SEPTEMBER 30, 1996 $ 161,733 $ 871 $ 162,604
=================== =================== ===================
BALANCE, DECEMBER 31, 1996 $ 166,950 $ 4,130 $ 171,080
Net Income 16,997 16,997
Change in unrealized gain on securities
available for sale, net of taxes 7,206 7,206
------------------- ------------------- -------------------
BALANCE, SEPTEMBER 30, 1997 $ 183,947 $ 11,336 $ 195,283
=================== =================== ===================
</TABLE>
-4-
<PAGE> 33
STATEN ISLAND SAVINGS BANK
STATEMENT OF CASH FLOWS
<TABLE>
<CAPTION>
Nine Months Ended
September 30
------------- --------------
1997 1996
------------- --------------
(Unaudited)
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Income $ 16,997 $ 16,588
Adjustments to reconcile net income to net cash provided by operating activities
Depreciation and amortization 1,267 1,165
Amortization (accretion) of bond and mortgage premiums (discounts) 187 493
Amortization of intangible assets 1,557 1,624
Loss (gain) on sale of available for sale securities 412 184
Other noncash expense (income) (2,919) (2,730)
Provision for loan losses 5,502 500
Increase in deferred loan fees 206 626
Decrease (increase) in accrued interest receivable (1,230) 1,365
Decrease (increase) in other assets (2,024) (4,376)
(Decrease) increase in accrued interest and other liabilities (143) (10,001)
(Increase) decrease in deferred income taxes (4,855) 2,247
Recoveries 717 840
------------- --------------
Net cash provided by operating activities 15,674 8,525
------------- --------------
CASH FLOWS FROM INVESTING ACTIVITIES:
REDEMPTION OF TRADING SECURITIES 20,564
Maturities of available for sale securities 117,133 193,856
Sales of available for sale securities 51,805 225,286
Purchases of available for sale securities (431,865) (351,143)
Principal collected on loans 157,778 122,457
Loans made to customers (235,144) (253,364)
Purchases of loans
Sales of loans 2,967 3,071
Capital expenditures (2,554) (2,605)
------------- --------------
Net cash used in investing activities (319,316) (62,442)
------------- --------------
CASH FLOWS FROM FINANCING ACTIVITIES:
Net increase in deposit accounts 89,978 46,004
Borrowings 245,787 (1)
------------- --------------
Net cash provided by financing activities 335,765 46,003
------------- --------------
Net (decrease) increase in cash and cash equivalents 32,123 (7,914)
CASH AND CASH EQUIVALENTS, beginning of year 52,622 76,464
------------- --------------
CASH AND CASH EQUIVALENTS, end of year $ 84,745 $ 68,550
============= ==============
SUPPLEMENTAL DISCLOSURES OF CASH LOW INFORMATION:
Cash paid for - $ 39,652 37,777
Interest 13,945 $ 12,390
Income taxes ============= ==============
</TABLE>
-5-
<PAGE> 34
STATEN ISLAND SAVINGS BANK
Notes to Financial Statements
(1) Summary of Significant Accounting Policies
Basis of Financial Statement Presentation
Staten Island Bancorp, Inc. (the Company) is a Delaware corporation organized in
July 1997 by Staten Island Savings Bank (the Bank) in connection with the
conversion of the Bank from a federally chartered mutual savings bank to a
federally chartered stock savings bank. For purposes of this Form 10-Q the
financial statements of the Company have been omitted because as of September
30, 1997, the Company had not yet issued any stock, had no assets (other than
advance subscription proceeds) and no liabilities, and had not yet conducted any
business other than of an organizational nature. Alternatively, the unaudited
financial statements and the Management's Discussion and Analysis of Financial
Condition and Results of the Operations presented herein are for the Bank as a
predecessor entity to the Company. No proforma effect has been given to the sale
of the Company's common stock in the Conversion.
The accompanying financial statements were prepared in accordance with
instructions to Form-10Q and therefore, do not include information or footnotes
necessary for a complete presentation of financial position, results of
operations and cash flows in conformity with generally accepted accounting
principles. All normal, recurring adjustments which, in the opinion of
management, are necessary for a fair presentation of the financial statements
have been included. The results of operations for the three and nine months
ended September 30, 1997 are not necessarily indicative of the results to be
expected for the year ending December 31, 1997. These interim financial
statements should be read in conjunction with the Bank's audited financial
statements and note disclosures contained in the Company's Prospectus dated
September 12, 1997.
Business
The Company's principal business is conducted through the Bank which is a
traditional, full service, community oriented savings bank located in Staten
Island, New York. The Bank operates 16 full service and three limited service
branch offices on Staten Island and one in Brooklyn. The Bank's deposits are
insured by the Bank Insurance Fund (BIF) to the maximum extent permitted by law.
The Bank is subject to examination and regulation by the Office of Thrift
Supervision (OTS) which is the Bank's chartering authority and primary federal
regulator. The Bank is also regulated by the Federal Deposit Insurance
Corporation (FDIC), the administrator of the BIF. The Bank is also subject to
certain reserve requirements established by the Board of Governors of the
Federal Reserve System (FRB) and is a member of the Federal Home Loan Bank
(FHLB) of New York, which is one of the 12 regional banks comprising the FHLB
system.
-6-
<PAGE> 35
2. Loan Portfolio Composition. The following table sets forth the composition
of the Bank's loans at the dates indicated
<TABLE>
<CAPTION>
------------------------------------- --------------------------------
SEPTEMBER 30, DECEMBER 31,
1997 1996
------------------------------------- --------------------------------
PERCENT OF PERCENT OF
AMOUNT TOTAL AMOUNT TOTAL
----------------- ----------------- ----------------- -------------
(DOLLARS IN THOUSANDS)
<S> <C> <C> <C> <C>
Mortgage loans:
Single-family residential $ 827,272 79.71% $ 720,873 74.47%
Multi-family residential 29,019 2.80% 26,444 2.73%
Commercial real estate 115,817 11.16% 115,593 11.94%
Construction and land 41,090 3.96% 28,779 2.97%
Home equity 5,984 0.58% 29,680 3.07%
----------------- ----------------- ----------------- -------------
Total mortgage loans 1,019,182 98.20% 921,369 95.18%
Other loans:
Student loans 3,729 0.36% 4,522 0.47%
Automobile leases - 0.00% 28,249 2.92%
Passbook loans 6,830 0.66% 5,933 0.61%
Commercial business loans 15,066 1.45% 14,995 1.55%
Other consumer loans 12,560 1.21% 9,712 1.00%
----------------- ----------------- ----------------- -------------
Total other loans 38,185 3.68% 63,411 6.55%
----------------- ----------------- ----------------- -------------
Total loans receivable 1,057,367 101.88% 984,780 101.73%
Less:
Discount on loans purchased (728) (0.07)% (3,475) (0.36)%
Allowance for loan losses (14,530) (1.40)% (9,977) (1.03)%
Deferred loan fees (4,247) (0.41)% (3,313) (0.34)%
----------------- ----------------- ----------------- -------------
Loans receivable, net $ 1,037,862 100.00% $ 968,015 100.00%
================= ================= ================= =============
</TABLE>
-7-
<PAGE> 36
3. Non-Performing Assets. The following table sets forth information
with respect to non-performing assets identified by the Bank, including
non-accrual loans, other real estate owned, and non-performing investments in
real estate at the dates indicated.
<TABLE>
<CAPTION>
SEPTEMBER 30, DECEMBER 31,
1997 1996
-------------------- --------------------
(DOLLARS IN THOUSANDS)
<S> <C> <C>
Accruing loans 90 days or more
past due:
Mortgage loans: $ 66 $ -
Other loans: 342 1
-------------------- --------------------
Total accruing loans 408 1
-------------------- --------------------
Non-accrual loans:
Mortgage loans:
Single-family residential 10,338 10,417
Multi-family residential 934 322
Commercial real estate 9,668 11,102
Construction and land 1,469 -
Home equity 545 644
Other loans:
Automobile leases - 15
Commercial and discounted business loans 194 106
Other loans 392 144
-------------------- --------------------
Total non-accruing loans 23,540 22,750
-------------------- --------------------
Total non-performing loans 23,948 22,751
-------------------- --------------------
Other real estate owned, net 780 1,103
-------------------- --------------------
-------------------- --------------------
Total non-performing assets $ 24,728 $ 23,854
==================== ====================
Non-performing assets to total
loans 2.35% 2.42%
Non-performing assets to total
assets 1.15% 1.34%
Non-performing loans to total
loans 2.28% 2.31%
Non-performing loans to total
assets 1.12% 1.28%
</TABLE>
-8-
<PAGE> 37
4. ALLOWANCE FOR LOAN LOSSES. The following table sets forth the activity
5. in the Bank's allowance for loan losses during the periods
indicated.
<TABLE>
<CAPTION>
NINE MONTHS ENDED YEAR ENDED
SEPTEMBER 30, DECEMBER 31,
-------------------------------------------- -------------------
1997 1996 1996
----------------- ------------------- -------------------
(DOLLARS IN THOUSANDS)
<S> <C> <C> <C>
Allowance at beginning of period $ 9,977 $ 10,704 $ 10,704
Provisions 5,502 500 1,000
Charge-offs:
Mortgage loans:
Construction, land and land development 2 - -
Single-family residential 624 1,137 1,590
Multi-family residential 100 -
Commercial real estate 444 239 376
Other loans 485 329 729
----------------- ------------------- -------------------
Total charge-offs 1,655 1,705 2,695
Recoveries:
Mortgage loans:
Construction, land and land development 10 - -
Single-family residential 295 345 408
Multi-family residential - - -
Commercial real estate 238 388 413
Other loans 163 107 147
----------------- ------------------- -------------------
Total recoveries 706 840 968
----------------- ------------------- -------------------
Allowance at end of period $ 14,530 $ 10,339 $ 9,977
================= =================== ===================
Allowance for loan losses
to total nonperforming loans at
end of period 61.72% 44.50% 43.85%
Allowance for loan losses
to total loans at end of period 1.38% 1.10% 1.02%
</TABLE>
-9-
<PAGE> 38
(5) Subsequent Events
The Company's initial subscription offering closed at 12:00 noon, Eastern Time,
on October 16, 1997. Based on the Bank's results of operation for the quarter
and nine months ended September 30, 1997, increases on market prices for
publicly traded securities of comparable institutions and market demand for the
Company's common stock, as reflected by the level of subscriptions received, the
estimated pro forma value of the shares of the Company's common stock has been
increased and, as a result, the Company will conduct a resolicitation offering.
Payments for subscriptions made by cash, check or money order have been placed
in a segregated account at the Bank earning interest at the Bank's current
passbook rate of 2.85% from the date of receipt. Payments authorized by
withdrawal from deposit accounts at the Bank will continue to earn interest at
the contractual rate until the Conversion is completed and the funds are
withdrawn. The Company currently anticipates that the resolicitation offering
will be completed, and the Company's Common Stock will commence trading on the
New York Stock Exchange, during the fourth quarter of 1997.
On October 28, 1997, the Bank's members approved the conversion of the Bank to a
federally chartered stock savings bank. The members also approved the
establishment of a private charitable foundation (SISB Community Foundation) to
further the Bank's commitment to the communities it serves and enhance the bond
between the Bank and the community. The Company will fund the Foundation by
contributing to the Foundation, immediately following the Conversion, a number
of authorized but unissued shares of common stock equal to 5% of the common
stock sold in the Conversion.
(6) Earnings Per Share
Earnings per share for the three months ended September 30, 1997 is not
applicable, as the Bank's conversion from mutual to stock form and
reorganization into a holding company format has not been completed.
-10-
<PAGE> 39
Part 2 - Managements Discussion and Analysis of Financial Condition and Results
of Operation Changes in Financial Conditions
Total assets of the Bank increased $362.2 million or 20.3% from $1.79
billion December 31, 1996 to $2.14 billion September 30, 1997.
The increase in total assets for the first nine months of 1997 was
primarily due to a $257.2 million, or 36.6% increase in the Bank's
investment portfolio which is a result of the Bank's leveraging program
and use of the borrowed funds in the Bank's investment portfolio to
attain an acceptable spread.
Loans receivable net increased $69.8 million or 7.2% to $1.04 billion at
September 30, 1997 compared to $968.0 million at December 31, 1996. Such
increase was due to continued growth in the loan portfolio.
Deposits increased $88.7 million or 5.6% from $1.6 billion at December
31, 1996 to $1.7 billion at September 30, 1997. The largest increase was
in time deposits and demand deposits which increased $46.7 million and
$42.1 million, respectively. The growth in time deposits was primarily
due to an increase in deposits made in anticipation of payment for the
Company's stock offering. The growth in demand deposits was a result of
the Bank's continued emphasis on business development and in anticipation
of the Company's stock offering.
Borrowed funds totaled $245.8 million at September 30, 1997 compared to
$54,000 at December 31,1996. Management has deemed borrowings to be a
cost-effective alternative to deposits which facilitate the Bank's
ability to leverage it balance sheet. Borrowed funds consist primarily of
short-term repurchase agreements maturing prior to September 30, 1998.
Equity increased by $24.2 million or 14.1% from $171.1 million at
December 31, 1996 to $195.3 million at September 30, 1997. The increase
was a result of net income of $17.0 million and an unrealized gain on the
Bank's securities available for sale of $11.3 million at September 30,
1997 compared to $4.1 million at December 31, 1996. The recent volatility
in the financial markets has resulted in the appreciation in value of the
Bank's investment portfolio.
Results of Operations
The Bank reported net income of $6.0 million for the three months ended
September 30, 1997 compared to $6.2 million for the three months ended
September 30, 1996 a decrease of $209,000 or 3.3%. The decrease in net
income was primarily the result of an increase of $1.3 million in total
other expenses and an increase in the provision for income taxes of $1.5
million partially offset by increases in net interest income of $1.7
million and other income of $905,000.
Net income for the nine months ended September 30, 1997 amounted to $17.0
million compared to $16.6 million for the nine months ended September 30,
1996. The increase of $409,000 or 2.5% was primarily due to an increase
of $6.1 million in net income and a $1.6 million decrease in the
provision for income taxes, partially offset by a $5.0 million increase
in the provision for loan losses and a $2.8 million increase in total
other expenses.
-11-
<PAGE> 40
Interest Income
The Bank's total interest income was $35.2 million for the three months ended
September 30 1997 compared to $31.1 million for the three months ended September
30, 1996. The $4.1 million or 13.2% increase was primarily due to a $2.1 million
increase in interest income from loans and a $1.7 million increase in interest
income from securities. The primary reason for the increase in interest income
from loans was an increase of $118.6 million in the average balance of loans
partially offset by a decrease in the average yield of 14 basis points from
8.27% to 8.13%. The average balance of the loan portfolio increased due to
increased loan demand, new loan products and continued emphasis on commercial
and other lending. The decrease in the average yield on the loan portfolio was
primarily due to the increased loan repayment activity in higher yielding loans
and the downward pricing of certain of the Bank's adjustable rate loans. The
increase in interest income on securities was due to a $81.5 million increase in
the average balance of the securities portfolio and a 20 basis point increase in
the average yield on the securities portfolio. The increase in the average
balance is a result of the Bank's leveraging strategy.
For the nine months ended September 30, 1997 interest income totaled $100.3
million compared with $91.1 million for the nine months ended September 30,
1996. The $9.2 million or 10.1% increase between the periods was primarily the
result of higher interest income for loans and securities. Interest on loans
increased $7.7 million or 14.3% as a result of a $146.3 million increase in the
average balance of the loan portfolio. This was offset to some extent by a
decrease in the average yield on loans from 8.28% for the nine months ended
September 30, 1996 to 8.10% for the nine months ended September 30, 1997. These
changes for the nine month period were due primarily to the same factors
described above with respect to the changes during the third quarter of 1997
compared to the third quarter of 1996. Interest income on securities increased
$854,000 or 2.4% primarily as a result of an increase in the average yield to
6.66% for the nine months ended September 30, 1997 compared to 6.37% for the
nine months ended September 30, 1996. This increase in yield was partially
offset by a $15.5 million decrease in the average balance of securities during
the same time period.
The increase in the average yield reflects the sale of lower rate securities to
purchase higher yielding securities in connection with the Bank's restructuring
of its investment securities portfolio in the past twelve months, while the
decrease in the average balance is a result of the paydowns and maturities
earlier in the year exceeding the investment due to the funding of lending
activities.
Interest Expense
The Bank's total interest expense was $15.1 million for the three months ended
September 30, 1997 compared with $12.7 million for the three months ended
September 30, 1996. The increase of $2.4 million or 18.9% was primarily due to
an increase of $497,000 in interest for time deposits and $1.9 million increase
in interest expense on borrowed funds. The increase in interest expense for time
deposits was primarily due to an increase of $41.6 million in the average
balance of time deposits primarily due to deposits in anticipation of payment
for the Company's stock offering. The increase in interest expense for borrowed
funds was due to an increase in the
-12-
<PAGE> 41
average balance of $125.2 million due to the Bank's leveraging strategy which
was not in place the third quarter of 1996.
Interest expense was $40.9 million for the nine months ended September 30, 1997
compared to $37.8 million for nine months ended September 30, 1996, an increase
of $3.1 million or 8.20%. Interest on borrowed funds increased $2.4 million due
to a $55.4 million increase in the average balance of borrowings between the
periods. Average borrowings for the nine months ended September 30, 1996 was
$47,000. The significant increase in the average balance reflects the leveraging
strategy instituted by the Bank during the current fiscal year. The average
balance of interest bearing deposits increased by $82.6 million from September
30, 1996 to September 30, 1997, while the average cost of these deposits
decreased from 3.66% for the nine months ended September 30, 1996 to 3.52% for
the nine months ended September 30, 1997. This was a result of the Bank's
continued business development efforts for demand deposits along with deposits
made in anticipation of payment for the Company's stock offering
Net Interest Income
Net interest income increased $1.7 million or 9.3% in the three months ended
September 30, 1997 to $20.1 million, compared to $18.4 million in the same
period in 1996. Such increase was due to a $4.1 million increase in interest
income which was partially offset by a $2.4 million increase in interest
expense. The increase in interest income was due to an increase of $218.9
million or 13% in the average balance of interest earning assets. The average
yield on interest earning assets was 7.30% for the three months ended September
30, 1997 compared with 7.42% for the three months ended September 30, 1996. The
increase in interest expense was due to an increase of $211.8 million or 15.3%
in the average balance of interest bearing liabilities. The average cost of
interest bearing liabilities for the third quarter of 1997 was 3.78% compared
with 3.66% for the same period last year. The Bank's interest rate spread (the
difference between the weighted average yield on interest earning assets and
weighted average cost of interest bearing liabilities) and net interest margin
(net interest income as a percentage of average interest earning assets)
amounted to 3.65% and 4.25%, respectively during the three months ended
September 30, 1997 compared to 3.75% and 4.39, respectively, for the comparable
period in 1996. Net interest income was $59.4 million for the nine months ended
September 30, 1997 compared to $53.3 million for the nine months ended September
30, 1996. This represents an increase of $6.1 million or 11.5%. The increase was
a result of $9.2 million increase in interest income which was partially offset
by a $3.1 million increase in interest expense. The increase in interest income
was a result of an increase of $146.8 million in the average balance of interest
earning assets along with an increase of 8 basis points from 7.36% for the nine
months ended September 30, 1996 to 7.44% for the nine months ended September 30,
1997 in the average yield on interest earning assets. Interest expense increased
due to a $38.0 million increase in the average balance of interest bearing
liabilities which was partially offset by a decrease of 6 basis points in the
average rate paid from 3.66% for the nine months ended September 30, 1996 to
3.60% for the nine months ended September 30, 1997. The net interest spread and
margin increased to 3.84% and 4.41%, respectively, for the nine months ended
September 30, 1997 compared to 3.70% and 4.31%, respectively, for the nine
months ended September 30, 1996.
-13-
<PAGE> 42
Provision for Loan Losses
The provision for loan losses for the three months ended September 30, 1997 was
$501,000 compared to $500,000 for the three months ended September 30, 1996. The
provision for loan losses in the third quarter of 1997 was based on management's
continuing review of the risk elements in the Bank's loan portfolio and the
growth of the portfolio.
For the nine months ended September 30, 1997, the provision for loan losses was
$5.5 million compared to $500,000 for the first nine months of 1996. In addition
to general provisions of approximately $1.5 million during the nine months ended
September 30, 1997, management determined that additional provisions of
approximately $4.0 million were necessary in light of estimated losses with
respect to the loans acquired from Gateway Bancorp, Inc. in connection with the
Bank's acquisition of Gateway Bancorp, Inc. in 1995; and with respect to the
Bank's portfolio of non-performing loans. Management views approximately $4.0
million of the provisions during the nine months ended September 30, 1997 as
generally non-recurring in nature and anticipates that the amount of provisions
for loan losses in the future will be more consistent with the $1.5 million of
provisions which it otherwise would have made. While no assurance can be given
that future chargeoffs and/or additional provisions will be necessary,
management of the Bank believes that, as of September 30, 1997, the allowance
for loan losses was adequate.
Other Income
Other income increased $905,000 or 74.6% to $2.1 million for the three months
ended September 30, 1997 from $1.2 million for the three months ended September
30, 1996. Such increase was due to a $193,000 gain on securities transactions
during the 1997 period compared to a $402,000 loss during the third quarter of
1996. The loss on securities transactions during the third quarter of 1996 was
due to the restructuring of the Bank's securities portfolio in an effort to
improve both yield and asset quality. Service and fee income increased from $1.6
million for the three months ended September 1996 to $1.9 million for the three
months ended September 1997. The increase in service and fee income was due to
an increase in the volume of transactions as well as an increase in demand
deposit accounts.
For the nine months ended September 30, 1997, other income increased $524,000 or
11.3% primarily as a result of higher service and fee income.
Total Other Expenses
Total other expenses increased $1.3 million or 12.9% to $11.5 million for the
three months ended September 30, 1997 from $10.2 million for the same period in
1996. Such increase was primarily due to a $455,000 or 76.7% increase in data
processing fees and a $547,000 or 10.3% increase in personnel expenses. The
increase in data processing expenses was primarily due to increased fees charged
by the Bank's service bureau as a result of the service bureau's shrinking
customer base due to consolidation within the banking industry. The increase in
personnel expenses was due to normal increases in compensation and employee
benefit costs along with bonuses paid in the third quarter of 1997 for achieving
certain performance goals.
-14-
<PAGE> 43
For the nine months ended September 30, 1997 total other expenses have increased
$2.8 million or 9.3% to $32.9 million from $30.1 million for the nine months
ended September 30, 1996. Such increase was primarily due to an increase of $1.1
million or 51.5% in data processing fees, an increase of $899,000 or 6.0% in
personnel expenses and a $363,000 or 7.5% increase in other expenses. The
increase in data processing expenses was primarily due to the write-off of the
Bank's investment in its service bureau. Given among other things, consolidation
in the banking industry, the number of bank customers of such service bureau has
decreased significantly in recent years. Based on its assessment of the
continuing viability of such service bureau, the Bank wrote-off $969,000 with
respect to this investment. The Bank is reevaluating its data processing needs
in general and, in particular, whether it will continue its relationship with is
current service bureau. Although it has made no decision with respect to how
best to meet its future data processing needs, any determination by the Bank to
enhance its data processing capabilities and/or convert its systems to a new
service bureau may result in increases in other expenses. In this reevaluation
process, the Bank is only considering vendors that can guarantee their systems
will be ready for the year 2000. The Bank's current service bureau is in the
process of implementing program changes needed for the year 2000. The increase
in personnel expenses was due to normal increases in compensation and benefits
as well as bonuses paid to officers and staff in the current quarter. The
increase in other expenses was due to a variety of increases, including expenses
related to loan collateral and real estate owned.
Provision for Income Taxes
The provision for income taxes increased $1.5 million to $4.3 million for the
three months ended September 30, 1997 from $2.8 million or the three months
ended September 30, 1996. The increase was primarily due to a $2.1 million
reversal of previously deferred income taxes related to bad debt reserves
accumulated for New York State purposes in the third quarter of 1996. The New
York State tax law was amended during the third quarter of 1996 to prevent
future recapture of the Bank's bad debt reserves and permit continued future use
of the bad debt reserve method for purposes of determining the Bank's New York
State tax liability. The provision for income taxes for the three months ended
September 30, 1997 reflects a refund of city taxes from 1996 and accruing at a
lower rate for city taxes due to a similar change in the New York City tax law
which took place in April 1997.
For the nine months ended September 30, 1997 the provision for income taxes
decreased $1.6 million to $9.2 million compared with $10.8 million for nine
months ended September 30, 1997. In addition to the reasons stated above, in
April of 1997 there was a $2.6 million reversal of previously deferred income
taxes related to bad debt reserves accumulated for New York city purposes. The
change in the New York City tax law also permits continued future use of the bad
debt reserve method for purposes of determining the Bank's New York City tax
liability.
Liquidity and Commitments
The Bank's liquidity, represented by cash and cash equivalents, is a product of
its operating, investing and financing activities. The Bank's primary sources of
funds are deposits, amortization, prepayments and maturities of outstanding
loans and mortgage backed securities, maturities of investment securities and
other short term investments and funds provided from operations. While scheduled
payments from the amortization of loans and mortgage related securities and
maturing investment securities and short
-15-
<PAGE> 44
term investments are relatively predictable sources of funds, deposit flows and
loan prepayments are greatly influenced by general interest rates, economic
conditions and competition. In addition, the Bank invests excess funds in
federal funds sold and other short term interest earning assets which provide
liquidity to meet lending requirements. Historically, the Bank has been able to
generate sufficient cash through its deposits and has only utilized borrowings
to a very limited degree. As of September 30, 1997 the Bank had entered into
repurchase agreements totaling $245.8 million as an alternative funding source
to leverage its capital base. All of these repurchase agreements are short term
and mature before September 30, 1998.
The Bank intends to continue the use of repurchase agreements and in the future
FHLB advances, to leverage its capital base and provide funds for its lending
and investment activities.
Liquidity management is both a daily and long term function of business
management. Excess liquidity is generally invested in short term investments
such as federal funds. The Bank uses its sources of funds primarily to meet its
ongoing commitments, to pay maturing certificates of deposit and savings
withdrawals, fund loan commitments and maintain a portfolio of mortgage backed
and mortgage related securities and investment securities. At September 30, 1997
the total approved loan origination commitments outstanding amounted to $48.0
million. At the same date, the unadvanced portion of construction loans
approximate $7.2 million. Certificates of deposits scheduled to mature in one
year or less at September 30, 1997 total $420.2 million. Investment securities
scheduled to mature in one year or less at September 30, 1997 total $48.1
million. Based on historical experience, management believes that a significant
portion of maturing deposits will remain with the Bank. The Bank anticipates
that it will continue to have sufficient funds, together with borrowings, to
meet it current commitments.
Capital
At September 30, 1997, the Bank had regulatory capital which was well in excess
of regulatory limits set by the Office of Thrift Supervision. The current
requirements and the Bank's actual levels are detailed below (dollars in
thousands):
<TABLE>
<CAPTION>
Required Capital Actual Capital Excess Capital
----------------------------- -------------------------- -----------------------
Amount Percent Amount Percent Amount Percent
---------- ---------- ---------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
Tangible capital $ 31,694 1.50% $ 164,631 7.79% $ 132,937 6.29%
Core capital $ 63,524 3.00% $ 169,200 8.01% $ 105,676 5.01%
Risk-based capital $ 76,820 8.00% $ 181,234 18.87% $ 104,414 10.87%
</TABLE>
-16-
<PAGE> 45
Average balances, Net Interest Income, Yields Earned and Rates Paid
<TABLE>
<CAPTION>
THREE MONTHS ENDED SEPTEMBER 30,
---------------------------------------------------------------------
1997 1996
----------------------------------- ---------------------------------
AVERAGE AVERAGE
AVERAGE YIELD/ AVERAGE YIELD/
BALANCE INTEREST COST BALANCE INTEREST COST
------------ ----------- ---------- ------------ ---------- ---------
<S> <C> <C> <C> <C> <C> <C>
Interest-earning assets
Loans receivable (1):
Real estate loans $ 998,929 $ 20,082 8.04% $ 860,796 $ 17,685 8.22%
Other loans 37,277 989 10.61% 56,790 1,280 9.02%
------------ ----------- ------------ ----------
Total loans 1,036,206 21,071 8.13% 917,586 18,965 8.27%
Securities 822,569 13,619 6.62% 741,064 11,889 6.42%
Federal funds sold 38,791 541 5.58% 20,054 268 5.35%
------------ ----------- ---------- ------------ ---------- ---------
Total interest-earning assets 1,897,566 35,231 7.43% 1,678,704 31,122 7.42%
----------- ---------- ---------- ---------
Noninterest-earning assets 109,103 88,587
------------ ------------
Total assets $2,006,669 $1,767,291
============ ============
Interest-bearing liabilities:
Deposits:
NOW and money market deposits 105,622 726 2.75% 138,095 891 2.58%
Savings deposits 824,052 5,501 2.67% 746,623 5,327 2.85%
Certificates of deposits 542,039 6,967 5.14% 500,466 6,470 5.17%
------------ ----------- ---------- ------------ ---------- ---------
Total deposits 1,471,713 13,194 3.59% 1,385,184 12,688 3.66%
Total Other Borrowings 125,292 1,888 6.03% 51 1 11.09%
------------ ----------- ---------- ------------ ---------- ---------
Total interest-bearing liabilities 1,597,005 15,082 3.78% 1,385,235 12,689 3.66%
----------- ---------- ---------- ---------
Noninterest-bearing liabilities 221,157 227,096
------------ ------------
Total liabilities 1,818,162 1,612,331
Stockholder's equity 188,507 154,960
------------ ------------
Total liabilities and equity $2,006,669 $1,767,291
============ ============
Net interest-earning assets $ 300,561 $ 293,469
============ ----------- ============ ----------
Net interest income/interest rate spread 20,149 3.65% 18,433 3.75%
=========== ========== ========== =========
Net interest margin 4.25% 4.39%
========== =========
Ratio of average interest-earning assets
to average interest-bearing liabilities 118.82% 121.19%
========== =========
</TABLE>
<TABLE>
<CAPTION>
NINE MONTHS ENDED SEPTEMBER 30,
------------------------------------------------------------------
1997 1996
--------------------------------- --------------------------------
AVERAGE AVERAGE
AVERAGE YIELD/ AVERAGE YIELD/
BALANCE INTEREST COST BALANCE INTEREST COST
------------ ---------- --------- ----------- --------- ----------
<S> <C> <C> <C> <C> <C> <C>
Interest-earning assets
Loans receivable (1):
Real estate loans $ 964,870 $ 58,221 8.05% $ 811,143 $50,144 8.24%
Other loans 49,034 3,370 9.16% 56,448 3,754 8.87%
------------ ---------- -------- ---------
Total loans 1,013,904 61,591 8.10% 867,591 53,898 8.28%
Securities 740,502 36,984 6.66% 755,960 36,130 6.37%
Federal funds sold 42,651 1,741 5.44% 26,661 1,074 5.37%
------------ ---------- --------- ----------- --------- ----------
Total interest-earning assets 1,797,057 100,316 7.44% 1,650,212 91,102 7.36%
---------- --------- --------- ----------
Noninterest-earning assets 98,551 92,700
------------ -----------
Total assets $1,895,608 $1,742,912
============ ===========
Interest-bearing liabilities:
Deposits:
NOW and money market deposits 101,644 2,099 2.75% 136,844 2,643 2.58%
Savings deposits 827,077 16,296 2.63% 747,324 15,863 2.83%
Certificates of deposits 528,210 20,033 5.06% 490,149 19,260 5.24%
------------ ---------- --------- ----------- --------- ----------
Total deposits 1,456,931 38,428 3.52% 1,374,317 37,766 3.66%
Total Other Borrowings 55,439 2,441 5.87% 47 5 14.06%
------------ ---------- --------- ----------- --------- ----------
Total interest-bearing liabilities 1,512,370 40,869 3.60% 1,374,364 37,771 3.66%
---------- --------- --------- ----------
Noninterest-bearing liabilities 203,672 216,419
------------ -----------
Total liabilities 1,716,042 1,590,783
Stockholder's equity 179,566 152,129
------------ -----------
Total liabilities and equity $1,895,608 $1,742,912
============ ===========
Net interest-earning assets $ 284,687 $ 275,848
============ ---------- =========== ---------
Net interest income/interest rate spread 59,447 3.84% 53,331 3.70%
========== ========= ========= ==========
Net interest margin 4.41% 4.31%
========= ==========
Ratio of average interest-earning assets
to average interest-bearing liabilities 118.82% 120.07%
========= ==========
</TABLE>
-17-
<PAGE> 46
Rate/Volume Analysis
The following table sets forth effects of changing rates and volumes
on net interest income of the Bank. Information is provided with
respect to (1) effects on interest income attributable to changes in
volume (changes in volume multiplied by prior rate); (ii) effects on
interest income attributable to changes in rate (changes in rate
multiplied by prior volume); and (iii) changes in rate/volume (change
in rate multiplied by change in volume).
<TABLE>
<CAPTION>
THREE MONTHS ENDED SEPTEMBER 30, 1997
COMPARED TO THREE MONTHS ENDED
SEPTEMBER 30, 1996
-----------------------------------------------------------------------------
INCREASE (DECREASE) DUE TO
---------------------------------------------------
RATE/ TOTAL NET INCREASE
RATE VOLUME VOLUME (DECREASE)
------------- --------------- ------------- ------------------
(DOLLARS IN THOUSANDS)
<S> <C> <C> <C> <C>
Interest-earning assets (1):
Loans receivable (2):
Real estate loans $ (380) $ 2,838 $ (61) $ 2,397
Other loans 227 (440) (78) (291)
------------- --------------- ------------- ----------------
Total loans receivable (153) 2,398 (139) 2,106
Securities 380 1,308 42 1,730
Federal funds sold 12 250 11 273
Total net change in income on interest-
------------- --------------- ------------- ----------------
earning assets 239 3,956 (86) 4,109
------------- --------------- ------------- ----------------
Interest-bearing liabilities:
Deposits:
NOW and money market deposits 58 (209) (14) (165)
Savings accounts (343) 552 (35) 174
Certificates of deposit (37) 537 (3) 497
------------- --------------- ------------- ----------------
Total deposits (322) 880 (52) 506
Other Borrowings (1) 3,471 (1,583) 1,887
Total net change in expense on
------------- --------------- ------------- ----------------
interest-bearing liabilities (323) 4,351 (1,635) 2,393
------------- --------------- ------------- ----------------
Net change in net interest income 562 (395) 1,549 1,716
============= =============== ============= ================
<CAPTION>
NINE MONTHS ENDED SEPTEMBER 30, 1997
COMPARED TO NINE MONTHS ENDED
SEPTEMBER 30, 1996
-------------------------------------------------------------------------------
INCREASE (DECREASE) DUE TO
------------------------------------------------------
RATE/ TOTAL NET INCREASE
RATE VOLUME VOLUME (DECREASE)
----------------- --------------- -------------- -------------------
(DOLLARS IN THOUSANDS)
<S> <C> <C> <C> <C>
Interest-earning assets (1):
Loans receivable (2):
Real estate loans $ (1,199) $ 9,503 $ (227) $ 8,077
Other loans 125 (493) (16) (384)
---------------- --------------- --------------- ------------------
Total loans receivable (1,074) 9,010 (243) 7,693
Securities 1,626 (739) (33) 854
Federal funds sold 14 644 9 667
Total net change in income on interest-
---------------- --------------- --------------- ------------------
earning assets 566 8,915 (267) 9,214
---------------- --------------- --------------- ------------------
Interest-bearing liabilities:
Deposits:
NOW and money market deposits 183 (680) (47) (544)
Savings accounts (1,138) 1,693 (122) 433
Certificates of deposit (671) 1,496 (52) 773
---------------- --------------- --------------- ------------------
Total deposits (1,626) 2,509 (221) 662
Other Borrowings (3) 5,841 (3,402) 2,436
Total net change in expense on
---------------- --------------- --------------- ------------------
interest-bearing liabilities (1,629) 8,350 (3,623) 3,098
---------------- --------------- --------------- ------------------
Net change in net interest income 2,195 565 3,356 6,116
================ =============== =============== ==================
</TABLE>
-18-
<PAGE> 47
Part II Other Information
Item 1 Legal Proceedings
-----------------
Not applicable
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
-----------------
Not applicable
Item 6 Exhibits and Reports on Form 8-K
--------------------------------
a) Not applicable
b) No Form 8-K reports were filed during the quarter
-19-
<PAGE> 48
PART II
INFORMATION NOT REQUIRED IN PROSPECTUS
ITEM 13. OTHER EXPENSES OF ISSUANCE AND DISTRIBUTION.
<TABLE>
<S> <C>
SEC filing fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 164,110
OTS filing fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,400
NYSE filing fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 185,000
Printing, postage and mailing . . . . . . . . . . . . . . . . . . . . . . . . . . . . 800,000
Legal fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 800,000
Blue Sky filing fees and expenses . . . . . . . . . . . . . . . . . . . . . . . . . . 50,000
Accounting fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 425,000
Appraiser's fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100,000
Fees and expenses related to business plan . . . . . . . . . . . . . . . . . . . . . . 30,000
Conversion agent fees and expenses . . . . . . . . . . . . . . . . . . . . . . . . . . 250,000
Transfer agent fees and expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . 50,000
Conversion center telephone, temporary support staff and equipment . . . . . . . . . . 525,000
Miscellaneous . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 112,490
----------
TOTAL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,500,000
==========
</TABLE>
In addition to the foregoing expenses, Keefe, Bruyette & Woods, Inc.
will receive fees based on the number of shares of Common Stock sold in the
Conversion, plus expenses. Based upon the assumptions and the information set
forth under "Pro Forma Data" and in the Prospectus Supplement, it is estimated
that such fees will amount to $3,432,000, $4,051,000, $4,670,000 and $5,382,000
in the event that 27,625,000 shares, 32,500,000 shares, 37,375,000 shares and
42,981,250 shares of Common Stock are sold by the Bank in the Conversion,
respectively.
ITEM 14. INDEMNIFICATION OF DIRECTORS AND OFFICERS.
Section 145 of the Delaware General Corporation Law sets forth
circumstances under which directors, officers, employees and agents may be
insured or indemnified against liability which they may incur in their capacity
as such. The Certificate of Incorporation and the Bylaws of the Company
provide that the directors, officers, employees and agents of the Company shall
be indemnified to the full extent permitted by law. Such indemnity shall
extend to expenses, including attorney's fees, judgments, fines and amounts
paid in the settlement, prosecution or defense of the foregoing actions.
Article 10 of the Registrant's Certificate of Incorporation provides
as follows:
ARTICLE 10. INDEMNIFICATION. The Corporation shall indemnify its
directors, officers, employees, agents and former directors, officers,
employees and agents, and any other persons serving at the request of the
Corporation as a director, officer, employee or agent of another corporation,
association, partnership, joint venture, trust or other enterprise, against
expenses (including attorneys' fees, judgments, fines and amounts paid in
settlement) incurred in connection with any pending or threatened action, suit
or proceeding, whether
II-1
<PAGE> 49
civil, criminal, administrative or investigative, with respect to which such
director, officer, employee, agent or other person is a party, or is threatened
to be made a party, to the full extent permitted by the General Corporation Law
of the State of Delaware, provided, however, that the Corporation shall not be
liable for any amounts which may be due to any person in connection with a
settlement of any action, suit or proceeding effected without its prior written
consent or any action, suit or proceeding initiated by any person seeking
indemnification hereunder without its prior written consent. The
indemnification provided herein (i) shall not be deemed exclusive of any other
right to which any person seeking indemnification may be entitled under any
bylaw, agreement or vote of stockholders or disinterested directors or
otherwise, both as to action in his or her official capacity and as to action
in any other capacity, and (ii) shall inure to the benefit of the heirs,
executors and administrators of any such person. The Corporation shall have
the power, but shall not be obligated, to purchase and maintain insurance on
behalf of any person or persons enumerated above against any liability asserted
against or incurred by them or any of them arising out of their status as
corporate directors, officers, employees, or agents whether or not the
Corporation would have the power to indemnify them against such liability under
the provisions of this Article 10.
Article VI of the Company's Bylaws provides as follows:
6.1 Indemnification. The Corporation shall provide indemnification
to its directors, officers, employees, agents and former directors, officers,
employees and agents and to others in accordance with the Corporation's
Certificate of Incorporation.
6.2 Advancement of Expenses. Reasonable expenses (including
attorneys' fees) incurred by a director, officer or employee of the Corporation
in defending any civil, criminal, administrative or investigative action, suit
or proceeding described in Section 6.1 may be paid by the Corporation in
advance of the final disposition of such action, suit or proceeding as
authorized by the Board of Directors only upon receipt of an undertaking by or
on behalf of such person to repay such amount if it shall ultimately be
determined that the person is not entitled to be indemnified by the
Corporation.
6.3 Other Rights and Remedies. The indemnification and
advancement of expenses provided by, or granted pursuant to, this Article VI
shall not be deemed exclusive of any other rights to which those seeking
indemnification or advancement of expenses may be entitled under the
Corporation's Certificate of Incorporation, any agreement, vote of stockholders
or disinterested directors or otherwise, both as to actions in their official
capacity and as to actions in another capacity while holding such office, and
shall continue as to a person who has ceased to be a director, officer or
employee and shall inure to the benefit of the heirs, executors and
administrators of such person.
6.4 Insurance. Upon resolution passed by the Board of Directors,
the Corporation may purchase and maintain insurance on behalf of any person who
is or was a director, officer of employee of the Corporation, or is or was
serving at the request of the corporation as a director, officer or employee of
another corporation, partnership, joint venture, trust or other enterprise,
against any liability asserted against him or incurred by him in any such
capacity or arising out of his status as such, whether or not the Corporation
would have the
II-2
<PAGE> 50
power to indemnify him against such liability under the provisions of its
Certificate of Incorporation or this Article VI.
6.5 Modification. The duties of the Corporation to indemnify and
to advance expenses to a director, officer or employee provided in this Article
VI shall be in the nature of a contract between the Corporation and each such
person, and no amendment or repeal of any provision of this Article VI shall
alter, to the detriment of such person, the right of such person to the advance
of expenses or indemnification related to a claim based on an act or failure to
act which took place prior to such amendment or repeal.
ITEM 15. RECENT SALES OF UNREGISTERED SECURITIES
Not applicable.
ITEM 16. EXHIBITS AND FINANCIAL STATEMENTS SCHEDULES
The exhibits and financial statement schedules filed as a part of this
Registration Statement are as follows:
(a) LIST OF EXHIBITS (filed herewith unless otherwise noted)
<TABLE>
<S> <C>
1.1* Engagement Letter with Keefe, Bruyette & Woods, Inc.
1.2* Form of Agency Agreement with Keefe, Bruyette & Woods, Inc.
2.0* Plan of Conversion
3.1* Certificate of Incorporation of Staten Island Bancorp, Inc.
3.2* Bylaws of Staten Island Bancorp, Inc.
4.0* Form of Stock Certificate of Staten Island Bancorp, Inc.
5.0* Opinion of Elias, Matz, Tiernan & Herrick L.L.P. re: legality
8.1* Opinion of Elias, Matz, Tiernan & Herrick L.L.P. re: Federal tax matters
8.2* Opinion of KPMG Peat Marwick re: New York tax matters
8.3* Letter of RP Financial, LC re: Subscription Rights
10.1* Form of Employment Agreement to be entered into among Staten Island Bancorp, Inc., Staten
Island Savings Bank and certain executive officers.
10.2* Form of Employment Agreement to be entered into between Staten Island Bancorp, Inc. and each
of Harry P. Doherty and James R. Coyle.
10.3* Form of Employment Agreement to be entered into between Staten Island Savings Bank and each
of Harry P. Doherty and James R. Coyle
23.1* Consent of Elias, Matz, Tiernan & Herrick L.L.P. (included in Exhibits 5.0 and 8.1, respectively)
23.2 Consent of Arthur Andersen LLP
23.3 Consent of RP Financial, LC.
23.4* Consent of Potter Anderson Corroon
23.5* Consent of KPMG Peat Marwick (included in Exhibit 8.2)
24.0 Power of Attorney (previously included in Signature Page of this Registration Statement)
99.1* Appraisal Report of RP Financial, LC.
99.2* Subscription Order Form and Instructions
99.3* Additional Solicitation Material
99.4* Form of the SISB Foundation Gift Instrument
99.5 Appraisal Report Update
</TABLE>
- -------------------
* Previously filed.
II-3
<PAGE> 51
(b) FINANCIAL STATEMENT SCHEDULES
All schedules have been omitted as not applicable or not required
under the rules of Regulation S-X.
ITEM 17. UNDERTAKINGS.
The undersigned Registrant hereby undertakes:
(1) To file, during any period in which offers or sales are being
made, a post-effective amendment to this Registration Statement:
(i) To include any Prospectus required by Section 10(a)(3) of
the Securities Act of 1933;
(ii) To reflect in the Prospectus any facts or events arising
after the effective date of the Registration Statement (or the most
recent post-effective amendment thereof) which, individually or in the
aggregate, represent a fundamental change in the information set forth
in the Registration Statement. Notwithstanding the foregoing, any
increase or decrease in volume of securities offered (if the total
dollar value of the securities offered would not exceed that which was
registered) and any deviation from the low or high and the estimated
maximum offering range may be reflected in the form of Prospectus
filed with the Commission pursuant to Rule 424 (b) if, in the
aggregate, the changes in volume and price represent no more than 20
percent change in the maximum aggregate offering price set forth in
the "Calculation of Registration Fee" table in the effective
Registration Statement;
(iii) To include any material information with respect to the
plan of distribution not previously disclosed in the Registration
Statement or any material change to such information in the
Registration Statement;
(2) That, for the purpose of determining any liability under the
Securities Act of 1933, each such post-effective amendment shall be deemed to
be a new Registration Statement relating to the securities offered therein, and
the offering of such securities at that time shall be deemed to be the initial
bona fide offering thereof.
(3) To remove from registration by means of a post-effective
amendment any of the securities being registered which remain unsold at the
termination of the Offering.
The undersigned Registrant hereby undertakes to furnish stock
certificates to or in accordance with the instructions of the respective
purchasers of the Common Stock, so as to make delivery to each purchaser
promptly following the closing under the Plan of Conversion.
II-4
<PAGE> 52
Insofar as indemnification for liabilities arising under the
Securities Act of 1933 may be permitted to directors, officers and controlling
persons of the Registrant pursuant to the foregoing provisions, or otherwise,
the Registrant has been advised that in the opinion of the Securities and
Exchange Commission such indemnification is against public policy as expressed
in the Act and is, therefore, unenforceable. In the event that a claim for
indemnification against such liabilities (other than the payment by the
Registrant of expenses incurred or paid by a director, officer or controlling
person of the Registrant in the successful defense of any action, suit or
proceeding) is asserted by such director, officer or controlling person in
connection with the securities being registered, the Registrant will, unless in
the opinion of its counsel the matter has been settled by controlling
precedent, submit to a court of appropriate jurisdiction the question of
whether such indemnification by it is against public policy as expressed in the
Act and will be governed by the final adjudication of such issue.
II-5
<PAGE> 53
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, the
Registrant has duly caused this Post-Effective Amendment No. 1 to the Form S-1
Registration Statement to be signed on its behalf by the undersigned, thereunto
duly authorized, in the State of New York on November 10, 1997.
STATEN ISLAND BANCORP, INC.
By: /s/ Harry P. Doherty
------------------------------------
Harry P. Doherty
Chairman and Chief Executive Officer
Pursuant to the requirements of the Securities Act of 1933, this
Registration Statement has been signed by the following persons in the
capacities and on the dates indicated.
<TABLE>
<CAPTION>
Name Title Date
- -------------------------- ------------------------------- ------------------
<S> <C> <C>
/s/ Harry P. Doherty Chairman and Chief November 10, 1997
- -------------------------- Executive Officer
Harry P. Doherty
/s/ James R. Coyle * Director, President and November 10, 1997
- -------------------------- Chief Operating Officer
James R. Coyle
/s/ Edward J. Klingele * Senior Vice President November 10, 1997
- -------------------------- and Chief Financial
Edward J. Klingele Officer (principal
financial and accounting
officer)
/s/ Harold Banks * Director November 10, 1997
- --------------------------
Harold Banks
/s/ Charles J. Bartels * Director November 10, 1997
- --------------------------
Charles J. Bartels
</TABLE>
<PAGE> 54
<TABLE>
<CAPTION>
Name Title Date
- -------------------------- ------------------------------- ------------------
<S> <C> <C>
/s/ William G. Horn *
- --------------------------
William G. Horn
Director November 10, 1997
/s/ Denis P. Kelleher * Director November 10, 1997
- --------------------------
Denis P. Kelleher
/s/ Julius Mehrberg * Director November 10, 1997
- --------------------------
Julius Mehrberg
/s/ John R. Morris * Director November 10, 1997
- --------------------------
John R. Morris
/s/ Kenneth W. Nelson * Director November 10, 1997
- --------------------------
Kenneth W. Nelson
/s/ William E. O'Mara * Director November 10, 1997
- --------------------------
William E. O'Mara
</TABLE>
- -------------
* By Harry P. Doherty, attorney-in-fact.
<PAGE> 1
EXHIBIT 23.2
ARTHUR ANDERSEN LLP
CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS
As independent public accountants, we hereby consent to the incorporation by
reference of our report (and to all references to our Firm) included in or made
part of Post-Effective Amendment No. 1 to the Form S-1 Registration Statement
(No. 333-32113).
/s/ ARTHUR ANDERSEN LLP
New York, New York
November 10, 1997
<PAGE> 1
EXHIBIT 23.3
RP FINANCIAL, LC. LETTERHEAD
November 10, 1997
Board of Trustees
Staten Island Bancorp, Inc.
Staten Island Savings Bank
15 Beach Street
Staten Island, New York 10304
Gentlemen:
We hereby consent to the use of our firm's name in the Application for
Conversion of Staten Island Savings Bank, Staten Island, New York and any
amendments thereto, in the Form S-1 Registration Statement and any amendments
thereto and in the Form H(e)1 for Staten Island Bancorp, Inc. We also hereby
consent to the inclusion of, summary of and references to our Appraisal Report
and subsequent updates and our statement concerning subscription rights in such
filings including the Prospectus Supplement of Staten Island Bancorp, Inc.
Sincerely,
RP FINANCIAL, LC.
/s/ RONALD S. RIGGINS
Ronald S. Riggins
President
<PAGE> 1
EXHIBIT 99.5
----------------------------------
CONVERSION APPRAISAL UPDATE REPORT
STATEN ISLAND BANCORP, INC.
PROPOSED HOLDING COMPANY FOR
STATEN ISLAND SAVINGS BANK
STATEN ISLAND, NEW YORK
DATED AS OF:
NOVEMBER 6, 1997
----------------------------------
PREPARED BY:
RP FINANCIAL, LC.
1700 NORTH MOORE STREET
SUITE 2210
ARLINGTON, VIRGINIA 22209
<PAGE> 2
[RP FINANCIAL, LC. LETTERHEAD]
November 6, 1997
Board of Directors
Staten Island Bancorp, Inc.
Staten Island Savings Bank
15 Beach Street
Staten Island, New York 10304
Gentlemen:
We have completed and hereby provide an updated appraisal of the
estimated pro forma market value of the common stock of Staten Island Savings
Bank, Staten Island, New York ("SISB" or the "Bank"). The stock will be issued
in connection with the Bank's Plan of Conversion, pursuant to which the Bank
will convert from a federally chartered mutual savings bank to a federally
chartered stock savings bank and holding company reorganization such that the
Bank will be a subsidiary of Staten Island Bancorp, Inc. (the "Company"),
whereby the Company's stock will be offered through a subscription and
community offering. This appraisal update is being furnished to the Office of
Thrift Supervision, Washington, D.C. ("OTS"). Our original appraisal report,
dated July 17, 1997 (the "Original Appraisal") and first updated appraisal,
dated September 5, 1997 (the "First Update") are incorporated herein by
reference. As in the preparation of our Original Appraisal, we believe the
data and information used herein is reliable; however, we cannot guarantee the
accuracy and completeness of such information.
This updated appraisal reflects: (1) the Bank's recent financials
through September 30, 1997; (2) an updated comparison of SISB's financial
condition and operating results versus the Peer Group companies; (3) changes
in market conditions for thrift stocks since September 5, 1997; and (4) the
subscription offering results.
Pro forma market value is defined as the price at which SISB's stock
immediately upon its conversion from a mutual to a stock institution would
change hands between a willing buyer and a willing seller, neither being under
any compulsion to buy or sell and both having reasonable knowledge of relevant
facts.
Our valuation is not intended, and must not be construed, as a
recommendation of any kind as to the advisability of purchasing shares of the
common stock. Moreover, because such valuation is necessarily based upon
estimates and projections of a number of matters, all of which are subject to
change from time to time, no assurance can be given that persons who purchase
shares of common stock in the conversion will thereafter be able to buy or sell
such shares at prices related to the foregoing valuation of the pro forma
market value thereof. RP Financial is not a seller of securities within the
meaning of any federal and state securities laws and any report prepared by RP
Financial shall not be used as an offer or solicitation with respect to the
purchase or sale of any securities. RP Financial maintains a policy which
prohibits the company, its principals or employees from purchasing stock of its
client institutions.
<PAGE> 3
RP Financial, LC.
Board of Directors
November 6, 1997
Page 2
Discussion of Relevant Considerations
1. Updated Financial Results
The Bank has released its Form 10Q for September 30, 1997,
reflecting unaudited financial statements for the first nine months of calendar
1997, thus this update reflects the most recent financial information (the Form
10Q is incorporated by reference). The First Update, dated September 5, 1997,
incorporated recent developments through June 30, 1997.
During the last three months, the Bank continued to
demonstrate asset growth, increasing by $222.7 million to $2.194 billion. The
interim growth largely reflected a leveraging strategy, whereby securities
(largely mortgage-backed and related securities or "MBS") have been purchased
utilizing borrowed funds, primarily repurchase agreements. Specifically,
during the last three months, securities available for sale increased $189.5
million to $960.4 million, funded by a $185.8 million increase in borrowings to
$245.8 million. Over 80 percent of the investment securities at September 30,
1997 were comprised of MBS (primarily agency securities), and all investment
securities continue to be designated as available for sale ("AFS").
The Bank's $33.8 million loan growth over the last three
months has continued to reflect a moderate pace, representing 0.3 percent for
the quarter. The loan portfolio growth reflected increased loan demand, new
loan products and continued emphasis on commercial and other lending.
The Bank's updated credit quality measures reflected
stabilization of the non-performing assets ratio as the 1.15 percent ratio at
September 30, 1997 compared closely to the 1.18 percent ratio at June 30, 1997,
even though the balance of non-performing assets increased to $24.7 million
from $22.8 million, respectively.
Intangible assets declined by $0.5 million during the
September 1997 quarter to $18.9 million, reflecting continued amortization.
Deposits grew by $24.1 million or 1.4 percent during the
quarter to $1.666 billion, led by growth in time deposits.
The Bank's equity capital increased by $10 million during the
September 1997 quarter, reflecting $6 million of retained earnings and a $4
million increase in the equity adjustment resulting from FAS 115.
The Bank's operating results for the 12 months ended September
30, 1997 over the 12 month period ended June 30, 1997 showed marginal
improvement, both in terms of reported and core profitability. Specifically,
reported earnings increased to nearly $24 million for the September period, or
1.23 percent of average assets, as compared to $22.4 million for the June
period, or 1.22 percent of average assets. Pre-tax earnings also showed
improvement for the most recent trailing 12 months period, though to a lesser
degree than after-tax earnings, $35.2 million for the September period versus
$34.4 million for the June period. Both periods were impacted by non-recurring
items or losses on securities transaction from portfolio restructuring as well
as a $4.7 million reversal of previously deferred income taxes related to bad
debt reserves accumulated for state and city purposes. Adjusting earnings to
exclude the impact of such items
<PAGE> 4
RP Financial, LC.
Board of Directors
November 6, 1997
Page 3
Table 1
Staten Island Savings Bank
Recent Financial Data
<TABLE>
<CAPTION>
At April 30, 1997 At June 30, 1997 At September 30, 1997
------------------------- ------------------------- --------------------------
(% of (% of (% of
Amount Assets) Amount Assets) Amount Assets)
------ ------- ------ ------- ------ -------
($000) (%) ($000) (%) ($000) (%)
<S> <C> <C> <C> <C> <C> <C>
Balance Sheet Data
- ------------------
Total assets $1,848,295 100.0% $1,921,810 100.0% $2,144,500 100.0%
Cash and cash equivalents 113,744 6.2% 77,399 4.0% 36,300 1.7%
Securities available for sale 677,486 36.7% 770,830 40.1% 960,375 44.8%
Loans receivable, net 976,501 52.8% 1,004,039 52.2% 1,037,862 48.4%
Intangible assets 19,798 1.1% 19,452 1.0% 18,933 0.9%
Deposit accounts 1,606,793 86.9% 1,642,343 85.5% 1,666,492 77.7%
Borrowings 30,043 1.6% 60,043 3.1% 245,841 11.5%
Total equity (1) 177,295 9.6% 185,251 9.6% 195,283 9.1%
</TABLE>
<TABLE>
<CAPTION>
12 Months Ended 12 Months Ended 12 Months Ended
April 30, 1997 June 30, 1997 September 30, 1997
------------------------ ------------------------ -------------------------
(% of Avg. (% of Avg. (% of Avg.
Amount Assets) Amount Assets) Amount Assets)
------ ------- ------ ------- ------ -------
($000) (%) ($000) (%) ($000) (%)
<S> <C> <C> <C> <C> <C> <C>
Summary Income Statement
- ------------------------
Interest income $ 128,149 7.15% $ 129,536 7.04% $ 133,645 6.85%
Interest expense (50,597) -2.82% (51,144) -2.78% (53,536) -2.75%
--------- ---- --------- ---- --------- ----
Net interest income 77,552 4.33% 78,392 4.26% 80,109 4.10%
Provision for losses (5,667) -0.32% (6,001) -0.33% (6,502) -0.33%
Other operating income 6,980 0.39% 7,083 0.38% 7,391 0.38%
Securities transactions (3,436) -0.19% (3,533) -0.19% (2,938) -0.15%
Non-interest expense
(incl. amort. of intang.) (41,689) -2.33% (41,558) -2.26% (42,865) -2.20%
--------- ---- --------- ---- --------- ----
Income before taxes 33,740 1.88% 34,383 1.87% 35,195 1.80%
Income taxes (2) (11,945) -0.67% (11,989) -0.65% (11,201) -0.57%
--------- ---- --------- ---- --------- ----
Net income $ 21,795 1.22% $ 22,394 1.22% $ 23,994 1.23%
Earnings Excl. Non-Oper. Items
- ------------------------------
Net income before tax $ 33,740 1.88% $ 34,383 1.87% $ 35,195 1.80%
Less: Non-recurring expense 3,636 0.19% 3,533 0.19% 2,938 0.15%
Tax effect (47%) 17,473 -0.98% (17,821) -0.97% (17,923) -0.91%
--------- ---- --------- ---- --------- ----
Adjusted earnings $ 19,703 1.10% $ 20,095 1.09% $ 20,210 1.04%
</TABLE>
(1) Reflects FAS 115 available for sale adjustments to equity capital of $3.5,
$6.7 and $11.3 million as of April 30, June 30 and September 30, 1997,
respectively.
(2) Reflects income tax reversal of $4.7 million for each 12 month period.
Sources: SISB's original and amended prospectus, data provided by SISB and
RP Financial calculations.
<PAGE> 5
RP Financial, LC.
Board of Directors
November 6, 1997
Page 4
indicated a small increase from $20.1 million for the trailing 12 months ended
June 30, 1997 to $20.2 million for the trailing 12 months ended September 30,
1997. The adjusted profitability ratio as a percent of average assets declined
in the most recent 12 month period to 1.04 percent due to a decline in the net
interest income ratio, which is attributable to (1) a narrower spread from the
leveraging strategy, (2) a decrease in the average yield on the loan portfolio
primarily due to the increased loan repayment activity in higher yielding loans
and the downward repricing of certain adjustable rate mortgage loans, and (3) an
increase in interest expense due to the increased proportion of time deposits.
The dollar amount of operating expenses increased for the most
recent trailing 12 month period, but the higher average assets balance led to a
small decline in the operating expense ratio to 2.20 percent. Other operating
income increased marginally for the most recent 12 month period, while the
ratio as a percent of average assets remained unchanged at 0.38 percent.
The Bank's efficiency ratio (operating expenses, net of
amortization of intangibles, as a percent of the sum of net interest income and
other operating income) remained nearly constant for the most recent 12 month
period at 46.3 percent, as compared to 46.2 percent for the 12 months ended
June 30, 1997 -- the lower net interest income ratio was offset by a lower
operating expense ratio (before intangibles amortization).
Loan loss provisions exhibited little change for the most
recent trailing 12 month period, resulting in the same ratio as a percent of
average assets at 0.33 percent. Valuation allowances as a percent of total
loans and non-performing loans at September 30, 1997 equaled 1.38 and 61.7
percent, respectively, versus comparative ratios of 1.44 and 64.4 percent,
respectively, at June 30, 1997.
The Bank's effective tax rate for the 12 months ended
September 30, 1997 equaled 31.8 percent, versus 34.9 percent for the trailing
12 months ended June 30, 1997. As previously noted, both periods reflect a
$4.7 million reversal of previously deferred income taxes related to the bad
debt reserves accumulated for state and city purposes. Excluding the tax
reversal, the effective tax rate would have closely approximated the Bank's
effective statutory rate of 47 percent.
2. Peer Group Financial Comparisons
Tables 2 and 3 present the financial characteristics and
operating results for SISB, the Peer Group and all publicly-traded SAIF-insured
thrifts.
In general, the comparative balance sheet ratios for the Bank
and the Peer Group did not vary significantly from the ratios exhibited in the
Original Appraisal and First Update. Relative to the Peer Group, the Bank's
interest-earning asset composition continued to reflect lower concentrations of
cash and investments and loans and a higher level of mortgage-backed
securities. Overall, consistent with the Original Appraisal, SISB maintained a
relatively comparable level of interest-earning assets to assets as the
Peer Group, with each at 97.1 percent.
The overall mix of deposits and borrowings showed small change
since the First Update. SISB's funding composition continued to reflect a
higher concentration of deposits and
<PAGE> 6
RP Financial, LC.
Board of Directors
November 6, 1997
Page 5
a lower concentration of borrowings, relative to the comparative Peer Group
measures, despite the rapid growth in the Bank's borrowings utilization.
Updated interest-bearing liabilities to assets ratios equaled 89.2 percent and
87.4 percent for the Bank and the Peer Group, respectively, with SISB's
slightly higher ratio attributable to a lower capital position. SISB posted an
updated equity-to-assets ratio of 9.1 percent, versus a comparative ratio of
10.4 percent for the Peer Group. The Bank continues to have a higher level of
intangible assets, equaling 0.9 percent and 0.5 percent of SISB's and the Peer
Group's assets, respectively. Overall, SISB's updated interest-earning assets
to interest-bearing liabilities ("IEA/IBL") ratio equaled 108.9 percent, which
remained below the comparative Peer Group average of 111.1 percent. The
additional capital realized from the stock conversion should serve to address
the lower IEA/IBL ratio currently maintained by the Bank.
Credit quality measures continued to indicate a higher degree
of credit risk exposure for SISB. The Bank's updated ratios for non-performing
assets/assets and nonperforming loans/loans equaled 1.15 percent and 2.35
percent, respectively, versus comparative ratios of 0.64 percent and 1.00
percent for the Peer Group. Loss reserves remained higher for the Peer Group
as a percent of non-performing assets (101.4 percent versus 59.2 percent for
SISB) and remained higher for SISB as a percent of loans (1.38 percent versus
0.97 percent for the Peer Group).
Updated growth rates for SISB reflect annualized growth for
the 9 months ended September 30, 1997; the Peer Group's growth rates reflect
growth for the latest 12 months. The Bank's faster growth is attributable to
its leveraging strategy during 1997. In terms of deposit growth, the Bank
realized faster growth, although this may partially reflect net deposit inflow
from those seeking to gain subscription rights.
Consistent with the Original Appraisal and First Update, the
Bank posted stronger total and tangible capital growth rates than the Peer
Group (excluding the one recent stock conversion in the Peer Group), reflecting
the Bank's higher return on average assets and lower capital position and the
Peer Group's various capital management strategies, most notably dividend
payments and stock repurchases.
Table 3 displays comparative operating results for SISB and
the Peer Group, based on their respective earnings for the most recent trailing
12 months. The difference between the Bank's and the Peer Group's reported
earnings did not change materially since the First Update, with the Bank and
the Peer Group posting return on average assets ratios of 1.23 percent and 0.82
percent, respectively. Consistent with the First Update, the difference
between the Bank's and the Peer Group's reported earnings was largely
attributable to non-recurring items negatively impacting the Peer Group's
earnings, most notably the one time special SAIF assessment paid by the
majority of the Peer Group members and the one time expense associated with
Ocean Federal's charitable foundation contribution. Accordingly, on a
recurring earnings basis, the Bank's and Peer Group's earnings remained
comparable, with SISB's stronger net interest margin continuing to be largely
offset by the Peer Group's lower level of operating expenses and lower level of
loss provisions.
<PAGE> 7
RP FINANCIAL, LC.
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Table 2
Balance Sheet Composition and Growth Rates
Comparable Institution Analysis
As of June 30, 1997
<TABLE>
<CAPTION>
Balance Sheet as a Percent of Assets
----------------------------------------------------------------------------------------
Cash and Borrowed Subd. Net Goodwill Tng Net MEMO:
Investments Loans MBS Deposits Funds Debt Worth & Intang Worth Pref.Stock
----------- ------ ------ -------- -------- ------- -------- -------- ------- ----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Staten Island Savings Bank
- --------------------------
September 30, 1997 12.7 48.4 36.1 77.7 11.5 0.0 9.1 0.9 8.2 0.0
SAIF-Insured Thrifts 18.0 67.5 11.2 70.7 14.6 0.2 12.8 0.2 12.5 0.0
State of NY 24.4 54.1 18.1 72.8 12.8 0.0 11.6 0.6 11.0 0.1
Comparable Group Average 20.4 54.7 22.0 73.3 14.1 0.1 10.9 0.5 10.4 0.0
Mid-Atlantic Companies 20.4 54.7 22.0 73.3 14.1 0.1 10.9 0.5 10.4 0.0
Comparable Group
- ----------------
Mid-Atlantic Companies
- ----------------------
ALBK ALBANK Fin. Corp. of Albany NY 15.4 71.8 8.3 82.9 3.7 0.0 9.2 1.2 8.0 0.0
DIME Dime Community Bancorp of NY 21.2 56.3 17.9 73.3 10.6 0.0 14.5 2.0 12.5 0.0
FMCO FMS Financial Corp. of NJ 29.7 55.5 10.3 85.6 5.0 1.8 6.6 0.1 6.4 0.0
FSPG First Home Bancorp of NJ 39.5 51.7 7.0 59.2 33.7 0.0 6.7 0.1 6.6 0.0
FFIC Flushing Fin. Corp. of NY 20.6 54.7 22.3 68.7 14.7 0.0 15.5 0.0 15.5 0.0
HAVN Haven Bancorp of Woodhaven NY 31.5 54.6 11.2 69.4 23.2 0.0 5.9 0.0 5.9 0.0
IBSF IBS Financial Corp. of NJ 24.4 27.6 46.4 77.0 4.8 0.0 17.4 0.0 17.4 0.0
JSB JSB Financial, Inc. of NY 38.3 58.5 0.3 74.0 0.0 0.0 22.9 0.0 22.9 0.0
OCFC Ocean Fin. Corp. of NJ 15.3 50.1 31.6 66.3 16.8 0.0 16.3 0.0 16.3 0.0
PFSB PennFed Fin. Services of NJ 4.5 70.5 21.8 69.5 22.4 0.0 7.4 1.2 6.2 0.0
PSBK Progressive Bank, Inc. of NY 15.3 66.8 14.2 90.8 0.0 0.0 8.6 0.9 7.6 0.0
PULS Pulse Bancorp of S. River NJ 38.3 23.0 37.1 79.4 11.7 0.0 8.0 0.0 8.0 0.0
QCSB Queens County Bancorp of NY 6.7 86.7 4.2 70.3 14.8 0.0 11.9 0.0 11.9 0.0
RELY Reliance Bancorp, Inc. of NY 5.2 46.0 44.6 72.6 17.8 0.0 8.2 2.3 5.9 0.0
SFIN Statewide Fin. Corp. of NJ 6.8 48.7 42.3 66.6 22.9 0.0 9.7 0.0 9.7 0.0
ROSE T R Financial Corp. of NY 13.5 52.3 32.7 67.5 24.2 0.0 6.2 0.0 6.2 0.0
</TABLE>
<TABLE>
<CAPTION>
Balance Sheet Annual Growth Rates Regulatory Capital
------------------------------------------------------------ -------------------------
Cash and Loans Borrows. Net Tng Net
Assets Investments & MBS Deposits &Subdebt Worth Worth Tangible Core Reg.Cap.
------ ----------- ------ -------- -------- -------- ------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Staten Island Savings Bank
- --------------------------
September 30, 1997 27.09 6.51 31.53 7.50 NM 18.86 22.81 7.79 8.01 18.87
SAIF-Insured Thrifts 12.20 8.28 13.10 8.14 18.23 0.73 0.15 11.24 11.26 23.83
State of NY 10.00 -3.14 12.26 6.59 7.84 -0.41 0.04 9.81 9.58 24.04
Comparable Group Average 7.98 -3.57 14.63 4.55 28.00 2.05 3.07 9.11 8.79 22.08
Mid-Atlantic Companies 7.98 -3.57 14.63 4.55 28.00 2.05 3.07 9.11 8.79 22.08
Comparable Group
- ----------------
Mid-Atlantic Companies
- ----------------------
ALBK ALBANK Fin. Corp. of Albany NY 8.32 -18.65 15.26 3.97 NM 4.67 3.56 6.40 6.40 11.70
DIME Dime Community Bancorp of NY -4.14 -47.64 24.38 1.40 NM -10.41 -10.86 9.62 9.62 19.44
FMCO FMS Financial Corp. of NJ 7.14 66.88 -7.61 9.57 -14.57 5.99 6.74 7.51 7.51 16.23
FSPG First Home Bancorp of NJ 8.99 3.05 14.02 11.51 4.18 12.86 13.81 6.46 6.46 17.00
FFIC Flushing Fin. Corp. of NY 12.18 -32.61 38.76 4.17 NM -3.52 -3.52 10.17 10.17 21.05
HAVN Haven Bancorp of Woodhaven NY 14.92 1.77 21.96 10.24 33.27 12.61 12.87 6.67 6.67 14.46
IBSF IBS Financial Corp. of NJ -2.06 -36.25 19.37 -1.69 82.03 -14.40 -14.40 17.00 17.00 62.94
JSB JSB Financial, Inc. of NY 0.33 -9.48 8.42 -2.73 NM 5.16 5.16 NM NM NM
OCFC Ocean Fin. Corp. of NJ 21.51 20.47 21.41 2.31 NM NM NM 12.23 12.23 30.90
PFSB PennFed Fin. Services of NJ 21.65 40.30 22.24 9.77 93.50 7.40 12.78 5.68 5.71 12.33
PSBK Progressive Bank, Inc. of NY -2.54 -32.54 6.91 -2.91 NM 4.60 7.47 NM 7.75 15.34
PULS Pulse Bancorp of S. River NJ 3.00 7.05 1.59 3.74 -6.84 6.42 6.42 NM 7.63 27.74
QCSB Queens County Bancorp of NY 12.64 -3.72 14.17 5.53 NM -19.49 -19.49 NM 10.32 16.85
RELY Reliance Bancorp, Inc. of NY 10.90 9.66 12.33 6.72 32.22 5.89 12.49 NM NM NM
SFIN Statewide Fin. Corp. of NJ -0.77 -41.45 4.83 0.46 -3.56 -2.51 -2.42 9.36 9.36 24.62
ROSE T R Financial Corp. of NY 15.56 16.06 16.12 10.67 31.75 15.41 15.41 NM 6.27 18.56
</TABLE>
Source: Audited and unaudited financial statements, corporate reports and
offering circulars, and RP Financial, LC. calculations. The
information provided in this table has been obtained from sources we
believe are reliable, but we cannot guarantee the accuracy or
completeness of such information.
Copyright (c) 1997 by RP Financial, LC.
<PAGE> 8
RP FINANCIAL, LC.
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Table 3
Income as a Percent of Average Assets and Yields, Costs, Spreads
Comparable Institution Analysis
For the Twelve Months Ended June 30, 1997
<TABLE>
<CAPTION>
Net Interest Income Other Income
---------------------------- -------------------
Loss NII Total
Net Provis. After Loan R.E. Other Other
Income Income Expense NII on IEA Provis. Fees Oper. Income Income
------ ------ ------- ------ ------- ------- ---- ----- ------ ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Staten Island Savings Bank
- --------------------------
September 30, 1997 1.23 6.85 2.75 4.10 0.33 3.77 0.00 0.00 0.38 0.38
SAIF-Insured Thrifts 0.66 7.38 4.09 3.29 0.14 3.16 0.11 0.01 0.30 0.42
State of NY 0.72 7.12 3.70 3.42 0.19 3.23 0.07 -0.03 0.24 0.28
Comparable Group Average 0.82 7.23 3.81 3.42 0.09 3.33 0.07 -0.01 0.19 0.24
Mid-Atlantic Companies 0.82 7.23 3.81 3.42 0.09 3.33 0.07 -0.01 0.19 0.24
Comparable Group
- ----------------
Mid-Atlantic Companies
- ----------------------
ALBK ALBANK Fin. Corp. of Albany NY 0.84 7.34 3.61 3.73 0.19 3.54 0.05 -0.04 0.29 0.31
DIME Dime Community Bancorp of NY 0.96 6.98 3.26 3.72 0.33 3.39 0.05 -0.04 0.19 0.20
FMCO FMS Financial Corp. of NJ 0.69 7.22 3.67 3.55 0.03 3.52 0.04 -0.03 0.43 0.44
FSPG First Home Bancorp of NJ 0.89 7.56 4.51 3.05 0.08 2.97 0.04 -0.04 0.16 0.17
FFIC Flushing Fin. Corp. of NY 0.93 7.44 3.61 3.83 0.02 3.80 0.06 -0.03 0.15 0.18
HAVN Haven Bancorp of Woodhaven NY 0.56 7.11 4.05 3.07 0.17 2.90 0.07 -0.01 0.53 0.58
IBSF IBS Financial Corp. of NJ 0.49 6.99 3.86 3.13 0.01 3.12 0.05 0.00 0.04 0.09
JSB JSB Financial, Inc. of NY 1.80 7.04 2.60 4.44 0.04 4.40 0.20 0.11 0.03 0.34
OCFC Ocean Fin. Corp. of NJ 0.03 6.77 3.57 3.20 0.07 3.13 0.14 0.03 0.03 0.20
PFSB PennFed Fin. Services of NJ 0.57 7.10 4.41 2.69 0.05 2.63 0.14 -0.02 0.02 0.15
PSBK Progressive Bank, Inc. of NY 0.99 7.73 3.94 3.78 0.28 3.50 0.02 -0.07 0.37 0.32
PULS Pulse Bancorp of S. River NJ 0.72 7.00 4.31 2.69 0.00 2.69 0.05 -0.04 0.01 0.03
QCSB Queens County Bancorp of NY 1.60 7.93 3.54 4.39 0.00 4.39 0.02 0.00 0.12 0.14
RELY Reliance Bancorp, Inc. of NY 0.58 7.09 3.81 3.28 0.05 3.23 0.04 -0.02 0.14 0.15
SFIN Statewide Fin. Corp. of NJ 0.54 7.24 3.71 3.53 0.08 3.46 0.00 -0.01 0.30 0.29
ROSE T R Financial Corp. of NY 0.98 7.15 4.54 2.61 0.03 2.58 0.09 -0.01 0.17 0.25
</TABLE>
<TABLE>
<CAPTION>
G&A/Other Exp. Non-Op. Items Yields, Costs, and Spreads
---------------- -------------- -------------------------
MEMO: MEMO:
G&A Goodwill Net Extrao. Yield Cost Yld-Cost Assets/ Effective
Expense Amort. Gains Items On Assets Of Funds Spread FTE Emp. Tax Rate
------- ------- ------- ------- --------- -------- ------ ---------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Staten Island Savings Bank
- --------------------------
September 30, 1997 2.08 0.12 -0.15 0.00 7.44 3.60 3.84 3,756 31.83
SAIF-Insured Thrifts 2.22 0.02 -0.31 0.00 7.44 4.67 2.77 4,387 37.01
State of NY 2.10 0.06 -0.20 0.00 7.35 4.31 3.04 4,684 37.26
Comparable Group Average 1.86 0.06 -0.34 0.00 7.46 4.38 3.08 4,938 41.01
Mid-Atlantic Companies 1.86 0.06 -0.34 0.00 7.46 4.38 3.08 4,938 41.01
Comparable Group
- ----------------
Mid-Atlantic Companies
- ----------------------
ALBK ALBANK Fin. Corp. of Albany NY 2.16 0.10 -0.29 0.00 7.67 4.11 3.56 2,945 35.13
DIME Dime Community Bancorp of NY 1.78 0.19 -0.11 0.00 7.32 4.10 3.22 5,346 39.30
FMCO FMS Financial Corp. of NJ 2.37 0.06 -0.50 0.00 7.56 3.97 3.59 2,025 32.89
FSPG First Home Bancorp of NJ 1.78 0.00 -0.41 0.00 7.71 4.85 2.86 4,427 37.09
FFIC Flushing Fin. Corp. of NY 2.23 0.00 -0.06 0.00 7.66 4.41 3.25 4,943 47.83
HAVN Haven Bancorp of Woodhaven NY 2.22 0.01 -0.41 0.00 7.30 4.39 2.91 2,828 33.29
IBSF IBS Financial Corp. of NJ 1.89 0.00 -0.56 0.00 7.11 4.77 2.34 5,432 35.23
JSB JSB Financial, Inc. of NY 1.83 0.00 0.14 0.00 7.26 3.46 3.80 3,504 41.30
OCFC Ocean Fin. Corp. of NJ 1.68 0.00 -1.46 0.01 6.99 4.45 2.54 6,324 92.02
PFSB PennFed Fin. Services of NJ 1.25 0.21 -0.40 0.00 7.37 4.83 2.54 6,957 37.91
PSBK Progressive Bank, Inc. of NY 2.20 0.16 0.02 0.00 8.05 4.34 3.71 3,329 33.12
PULS Pulse Bancorp of S. River NJ 1.08 0.00 -0.55 0.00 7.14 4.71 2.43 9,126 37.35
QCSB Queens County Bancorp of NY 1.87 0.00 -0.03 0.00 8.13 4.30 3.83 5,258 41.42
RELY Reliance Bancorp, Inc. of NY 1.65 0.18 -0.43 0.00 7.45 4.22 3.22 5,082 48.11
SFIN Statewide Fin. Corp. of NJ 2.46 0.01 -0.56 0.00 7.41 4.15 3.26 3,349 24.26
ROSE T R Financial Corp. of NY 1.34 0.00 0.15 0.00 7.27 4.96 2.31 8,128 39.98
</TABLE>
Source: Audited and unaudited financial statements, corporate reports and
offering circulars, and RP Financial, LC. calculations. The
information provided in this table has been obtained from sources we
believe are reliable, but we cannot guarantee the accuracy or
completeness of such information.
Copyright (c) 1997 by RP Financial, LC.
<PAGE> 9
RP Financial, LC.
Board of Directors
November 6, 1997
Page 8
In terms of core earnings strength, updated expense coverage
ratios posted by SISB and the Peer Group equaled 1.97x and 1.84x, respectively.
SISB's slightly higher expense coverage ratio continued to be supported by its
higher net interest income to average assets ratio (4.10 percent versus 3.42
percent for the Peer Group), which was partially offset by the Peer Group's
lower operating expense to average assets ratio (1.86 percent versus 2.08
percent for the Bank). The Bank's lower interest expense ratio remained the
primary difference between the Bank's and the Peer Group's net interest
margins, reflecting SISB's relatively lower cost of deposits.
Non-interest operating income remained a slightly larger
contributor to the Bank's updated earnings, with such income amounting to 0.38
percent and 0.24 percent of the Bank's and the Peer Group's average assets,
respectively. SISB's higher level of non-interest operating income and higher
net interest margin continued to provide the Bank with a more favorable
efficiency ratio than the Peer Group, at 46.3 percent and 50.8 percent,
respectively.
Provisions for loan losses remained a more significant factor
in the Bank's updated earnings than for the Peer Group, amounting to 0.33
percent and 0.09 percent of average assets, respectively. The higher loss
provisions established by the Bank continued to be largely attributable to the
increase in non-performing loans resulting from the Gateway acquisition and the
longer than anticipated work-out period associated with the non-performing
loans acquired in the Gateway acquisition.
The Bank's and the Peer Group's updated earnings continued to
be negatively impacted by non-operating losses, amounting to 0.15 percent and
0.34 percent of average assets, respectively. The Peer Group's more
significant loss remained primarily attributable to the special SAIF assessment
recorded by most of the Peer Group companies and the one time expense related
to Ocean Financial's charitable foundation contribution. Comparatively, SISB's
non-operating loss continued to be attributable to losses recorded on the sale
of investment securities, with such sales reflecting the Bank's ongoing
management and restructuring of the investment portfolio.
SISB's effective tax rate remained below the Peer Group's, as
indicated by updated effective tax rates of 31.8 percent and 41.0 percent for
the Bank and the Peer Group, respectively. Consistent with the Original
Appraisal, the Bank's lower effective tax was attributable to the reversal of
previously deferred state and city income taxes related to the bad debt
reserves. Accordingly, in assessing the Bank's core earnings relative to the
Peer Group's, SISB's current effective statutory tax rate of approximately 47
percent should be applied in deriving the Bank's core earnings.
3. Stock Market Conditions
Since the date of the First Update, the performance of overall
stock market has been mixed. Following a somewhat volatile market environment
in early-September 1997, the stock market settled into a narrow trading range
during mid-September in anticipation of third quarter earnings and August
economic data. The low inflation reading indicated by the August consumer
price index sent stock and bond prices sharply higher on September 16, 1997,
with the
<PAGE> 10
RP Financial, LC.
Board of Directors
November 6, 1997
Page 9
DJIA posting a 175 point increase and the yield on the 30-year U.S. Treasury
bond posting its second largest decline in the 1990s. Uncertainty over third
quarter earnings provided for a mixed stock market performance towards the end
of September, while generally favorable inflation readings pushed interest
rates to their lowest level in two years.
September employment data served to further the rally in bond
prices in early-October 1997, as the September unemployment rate was unchanged
at 4.9 percent and fewer jobs than expected were added to the economy during
September. Lower interest rates provided for a positive stock market
environment as well in the beginning of October. However, congressional
testimony by the Federal Reserve Chairman, in which he indicated that it would
be difficult to maintain the current balance between tight labor markets and
low inflation, caused stock and bond prices to skid in mid-October.
Disappointing third quarter earnings in the technology sector sharpened the
sell-off in the stock market, with the Dow Jones Industrial Average ("DJIA")
posting consecutive losses of more than 1.0 percent on October 16 and 17.
Stocks bounced back in early-week trading the following week,
reflecting positive third quarter earnings surprises posted by some of the blue
chip stocks. However, the recovery was abbreviated by global selling pressure
led by the decline in the Hong Kong stock market, as the DJIA posted a two-day
loss approximating 320 points on October 23 and 24. The sell-off in the world
financial markets turned into a rout on the following Monday, with a 5.8
percent decline in the Hong Kong stock market fueling the largest ever point
decline in the DJIA. On October 24, the DJIA declined 554 points or 7.2
percent. While the selling was broad based, technology stocks sensitive to
Asian demand experienced some of the sharpest declines. The turmoil in the
stock market provided for a sharp rally in bond prices, reflecting a flight to
quality by skittish investors. The stock market recovered strongly the day
after the record breaking point decline, as the DJIA surged a record breaking
337 points on October 28. Bond prices declined sharply as investors pulled out
of the Treasury market to reinvest into the stock market. Market conditions
remained uneven through the week ended October 31, which was followed by a
soaring stock market on November 3. The DJIA posted a 232 point increase on
November 3, which was supported by a resurgence in the Hong Kong market.
Following the one day rally stocks traded in a narrow range through November 6,
while bond prices edged higher based on expectations of slowing growth in the
U.S. economy. On November 6, 1997, the DJIA closed at 7683.24, a decline of 1.8
percent since the date of the First Update.
Since the First Update, thrift issues in general have
outperformed the overall stock market. In contrast to the overall stock
market, thrift prices rallied strongly during the first half of September 1997.
Stable interest rates and acquisition news sustained the positive market for
thrift issues. The decline in interest rates following the release of the
August consumer price index in mid-September served to further the rally in
thrift prices. During late-September and early-October, interest-rate
sensitive issues in general benefited from the declining interest rate
environment and expectations of strong third quarter earnings. Prices of
thrift and bank stocks also continued to be positively influenced by industry
consolidation and rising acquisition multiples being paid for thrift and bank
franchises. The upward trend in thrift prices stalled in early-October, as
interest rates moved higher following warnings by the Federal Reserve Chairman
of inflation back into the economy due to the tight labor markets. Thrift
<PAGE> 11
RP Financial, LC.
Board of Directors
November 6, 1997
Page 10
stocks gyrated in conjunction with the overall market in late-October, with the
SNL index declining by 5.2 percent on October 27 and increasing by 2.4 percent
on October 28. Thrift prices further recovered on October 29, which was
supported by a rally in the bond market. Aided by the favorable interest rate
climate, thrift stocks posted further gains in early-November. On November 6,
1997, the SNL Index for all publicly-traded thrifts closed at 770.0, an
increase of 11.2 percent since the date of the First Update.
Consistent with the SNL index, the pricing measures for all
publicly-traded thrifts and the Peer Group generally increased since the date
of the First Update. Overall, the pricing measure increases posted by all
publicly-traded thrifts were similar to the comparative increases posted by the
Peer Group. As in the First Update, the Peer Group maintained a higher
price/book ratio and lower price/earnings multiples relative to the comparative
averages for all publicly-traded thrifts. Since the date of the First Update,
fifteen out of the sixteen Peer Group companies were trading at higher prices
as of November 6, 1997.
The "new issue" market is separate and distinct from the
market for seasoned issues like the Peer Group companies. Accordingly, as
discussed in the Original Appraisal and First Update, RP Financial has
considered the pro forma pricing and trading level of recently converted
companies in this updated appraisal. Since the date of the First Update,
market interest for converting thrifts has remained very strong. In recent
conversion activity, most issues have experienced oversubscriptions and have
posted notable price increases in initial trading activity. As shown in Table
4, the average one week change in price for standard conversion offerings
completed during the latest three months equaled positive 54.0 percent. The
average pro forma price/tangible book and price/earnings ratios of the recent
conversions, excluding second step conversions, was 72.1 percent and 16.6
times, respectively, generally reflecting closings at supermaximum values.
<PAGE> 12
RP Financial, LC.
Board of Directors
November 6, 1997
Page 11
<TABLE>
<CAPTION>
Average Pricing Characteristics
At September 5, At November 6, %
1997 1997 Change
------ ------ ------
<S> <C> <C> <C>
Peer Group
- ----------
Price/Earnings (x) 19.37x 21.00x 8.4%
Price/Core Earnings (x) 17.18 18.29 6.5
Price/Book (%) 154.96% 168.60% 8.8
Price/Assets (%) 17.42 18.52 6.3
Avg. Mkt. Capitalization ($Mil) $244.74 $263.82 7.8
All Publicly-Traded Thrifts
- ---------------------------
Price/Earnings (x) 19.83x 21.46x 8.2%
Price/Core Earnings (x) 18.14 19.53 7.7
Price/Book (%) 145.42% 160.09% 10.1
Price/Assets (%) 17.83 19.53 9.5
Avg. Mkt. Capitalization ($Mil) $166.60 $186.41 11.9
Recent Conversions(l)
- ---------------------
Price/Core Earnings (x)(2) 28.57x 25.89 (9.4)%
Price/Book (%) 116.96% 127.28% 8.8
</TABLE>
(1) Ratios based on conversions completed for prior three months.
(2) Companies with P/E multiples of greater than 30x have been excluded
from the average.
Shown in Table 5 is a summary of recently completed
conversions which closed in the last three months. Relative to the First
Update, which reflected pricing ratios as of September 5, 1997, the newly
converted companies increased in value by 8.8 percent on a price-to-book basis,
from an average 116.96 percent pro forma P/B ratio at September 5, 1997 to an
average 127.28 percent pro forma P/B ratio at November 6, 1997. Comparatively,
a decline was recorded in the pro forma core P/E multiple for the recent
conversions, although companies with core P/E multiples of greater than 30
times have been excluded from the average. Only three of the five recently
converted companies were trading at a core P/E multiple of less than 30 times
at November 6, 1997. Likewise, in the First Update, the core P/E multiple for
the recent conversions consisted of only one company with a multiple of less
than 30x and, thus, the comparative core P/E multiples indicated for the recent
conversions are not viewed as being highly meaningful in our analysis. In
comparison to the average P/B ratio of all publicly-traded thrifts, which
equaled 160.09 percent at November 6, 1997, the average P/B ratio of the recent
conversions was discounted by 20.5 percent, and the average core P/E ratio for
the recent conversions reflected a notable premium to the all publicly-traded
average core P/E ratio of 19.53 times. As noted in the Original Appraisal and
First Update, the pricing ratios of the better capitalized but lower earning
recently converted thrifts suggest that the investment community has determined
to discount their stock price on a book basis, until the earnings improve
through redeployment and leveraging of the proceeds over the longer term.
<PAGE> 13
RP Financial, LC.
TABLE 4
RECENT CONVERSIONS (LAST THREE MONTHS)
CONVERSION PRICING CHARACTERISTICS: SORTED CHRONOLOGICALLY
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------------------------
Institutional Information Pre-Conversion Data Offering Information
-------------------------------
Financial Info. Asset Quality
- ----------------------------------------------------------------------------------------------------------------
Conversion Equity/ NPAs/ Res. Gross % of Exp./
Institution State Date Ticker Assets Assets Assets Cov. Proc. Mid. Proc.
- ----------- ----- ---- ------ ------ ------ ------ ---- ----- ---- -----
($Mil) (%) (%)(2) (%) ($Mil.) (%) (%)
- ----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
First Security Fed. Fin., Inc. IL 10/31/97 FSFF $ 260 11.52% 0.87% 74% $ 64.1 132% 1.7%
Oregon Trail Financial Corp. OR 10/06/97 OTFC 220 10.08% 0.12% 280% 46.9 132% 2.3%
Riverview Bancorp, Inc.(8) WA* 10/01/97 RVSB 230 11.24% 0.14% 245% 35.7 132% 2.8%
SHS Bancorp, Inc. PA 10/01/97 SHSB 83 5.52% 1.41% 36% 8.2 132% 5.7%
Ohio State Financial Serv. OH* 09/29/97 P. Sheet 34 14.45% 0.47% 86% 6.3 94% 5.7%
Citizens Bancorp IN 09/19/97 P. Sheet 46 12.28% 0.45% 84% 10.6 132% 4.6%
WSB Holding Company PA 08/29/97 P. Sheet 33 6.04% 2.34% 26% 3.3 132% 8.5%
Bayonne Bancshares(8) NJ 08/22/97 FSNJ 577 8.33% 0.81% 53% 48.7 132% 3.8%
AVERAGES: $ 185 9.93% 0.83% 111% $ 28.0 127% 4.4%
AVERAGES, EXCLUDING 2ND STEPS: $ 113 9.98% 0.94% 98% $ 23.2 126% 4.8%
MEDIANS: $ 152 10.66% 0.64% 79% $ 23.2 132% 4.2%
MEDIANS, EXCLUDING 2ND STEPS: $ 65 10.80% 0.67% 79% $ 9.4 132% 5.2%
- --------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------------------------
Institutional Information Insider Purchases Pro Forma Data
--------------------------------------------
Pricing Ratios(4) Financial Charac.
- -------------------------------------------------------------------------------------------------------------------------------
Benefit Plans
-------------
Conversion Recog. Mgmt.& Core
Institution State Date Ticker ESOP Plans Dirs. P/TB P/E(5) P/A ROA TE/A ROE
- ----------- ----- ---- ------ ---- ----- ----- ---- ------ --- --- ---- ---
(%) (%) (%)(3) (%) (x) (%) (%) (%) (%)
- --------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
First Security Fed. Fin., Inc. IL 10/31/97 FSFF 8.0% 4.0% 4.4% 78.1% 16.5x 21.1% 0.5% 27.0% 1.8%
Oregon Trail Financial Corp. OR 10/06/97 OTFC 8.0% 4.0% 3.9% 75.3% 13.6 18.1% 1.0% 20.7% 5.1%
Riverview Bancorp, Inc.(8) WA* 10/01/97 RVSB 8.0% 4.0% 2.9% 109.0% 17.7 23.6% 1.3% 21.6% 6.2%
SHS Bancorp, Inc. PA 10/01/97 SHSB 8.0% 4.0% 5.2% 72.3% 24.5 9.1% 0.4% 12.6% 3.0%
Ohio State Financial Serv. OH* 09/29/97 P. Sheet 8.0% 4.0% 8.3% 62.3% 13.4 16.0% 1.2% 25.7% 4.6%
Citizens Bancorp IN 09/19/97 P. Sheet 8.0% 4.0% 16.1% 72.9% 14.8 14.8% 1.1% 46.3% 2.4%
WSB Holding Company PA 08/29/97 P. Sheet 8.0% 4.0% 31.0% 71.4% 16.6 9.2% 0.6% 12.9% 4.3%
Bayonne Bancshares(8) NJ 08/22/97 FSNJ 8.0% 4.0% 10.0% 100.9% N.M. 14.6% N.M. 14.4% N.M.
AVERAGES: 8.0% 4.0% 10.2% 80.3% 16.7x 15.8% 0.9% 22.7% 3.9%
AVERAGES, EXCLUDING 2ND STEPS: 8.0% 4.0% 11.5% 72.1% 16.6x 14.7% 0.8% 24.2% 3.5%
MEDIANS: 8.0% 4.0% 6.8% 74.1% 16.5x 15.4% 1.0% 21.2% 4.3%
MEDIANS, EXCLUDING 2ND STEPS: 8.0% 4.0% 6.8% 72.6% 15.7x 15.4% 0.8% 23.2% 3.7%
- --------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------
Institutional Information Post-IPO Pricing Trends
----------------------------------------------------------
Closing Price:
- ------------------------------------------------------------------------------------------------------------------------------
First After After
Conversion IPO Trading % First % First %
Institution State Date Ticker Price Day Change Week(6) Change Month(7) Change
- ----------- ----- ---- ------ ----- --- ------ ------- ------ -------- ------
($) ($) (%) ($) (%) ($) (%)
- ------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
First Security Fed. Fin., Inc. IL 10/31/97 FSFF $ 10.00 $15.06 50.6% $15.38 53.8% N.A. N.A.
Oregon Trail Financial Corp. OR 10/06/97 OTFC 10.00 16.75 67.5% 16.75 67.5% $ 16.25 62.5%
Riverview Bancorp, Inc.(8) WA* 10/01/97 RVSB 10.00 13.25 32.5% 13.63 36.3% 14.25 42.5%
SHS Bancorp, Inc. PA 10/01/97 SHSB 10.00 14.75 47.5% 16.25 62.5% 15.94 59.4%
Ohio State Financial Serv. OH* 09/29/97 P. Sheet 10.00 15.50 55.0% 15.50 55.0% 14.97 49.7%
Citizens Bancorp IN 09/19/97 P. Sheet 10.00 14.00 40.0% 14.00 40.0% 15.38 53.8%
WSB Holding Company PA 08/29/97 P. Sheet 10.00 13.50 35.0% 14.50 45.0% 13.75 37.5%
Bayonne Bancshares(8) NJ 08/22/97 FSNJ 10.00 11.75 17.5% 11.88 18.8% 12.38 23.8%
AVERAGES: $ 10.00 $14.32 43.2% $14.74 47.4% $ 14.70 47.0%
AVERAGES, EXCLUDING 2ND STEPS: $ 10.00 $14.93 49.3% $15.40 54.0% $ 15.26 52.6%
MEDIANS: $ 10.00 $14.38 43.8% $14.94 49.4% $ 14.97 49.7%
MEDIANS, EXCLUDING 2ND STEPS: $ 10.00 $14.91 49.1% $15.44 54.4% $ 15.38 53.8%
- ------------------------------------------------------------------------------------------------------------------------------
</TABLE>
Note: * - Appraisal performed by RP Financial; "NT" - Not Traded; "NA" - Not
Applicable, Not Available.
(1) Non-OTS regulated thrift.
(2) As reported in summary pages of prospectus.
(3) As reported in prospectus.
(4) Does not take into account the adoption of SOP 93-6.
(5) Excludes impact of special SAIF assessment on earnings.
(6) Latest price if offering less than one week old.
(7) Latest price if offering more than one week but less than one month old.
(8) Second-step conversions.
(9) Simultaneously converted to commercial bank charter. November 4, 1997
<PAGE> 14
RP FINANCIAL, LC.
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Table 5
Market Pricing Comparatives
Prices As of November 6, 1997
<TABLE>
<CAPTION>
Market Per Share Data
Capitalization --------------- Pricing Ratios(3) Dividends(4)
--------------- Core Book --------------------------------------- -----------------------
Price/ Market 12-Mth Value/ Amount/ Payout
Financial Institution Share(1) Value EPS(2) Share P/E P/B P/A P/TB P/CORE Share Yield Ratio(5)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- -------- ------- ------ -------
($) ($Mil) ($) ($) (X) (%) (%) (%) (x) ($) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
SAIF-Insured Thrifts 24.54 176.59 1.14 15.59 22.65 155.90 19.21 161.28 19.82 0.38 1.60 30.64
Converted Last 3 Mths (no MHC) 14.79 77.35 0.43 11.80 25.89 127.28 25.51 127.28 25.89 0.03 0.27 0.00
Comparable Group
- ----------------
Converted Last 3 Mths (no MHC)
- ------------------------------
FSNJ Bayonne Banchsares of NJ 12.62 113.49 -0.04 9.91 NM 127.35 18.36 127.35 NM 0.17 1.35 NM
FSFF First SecurityFed Fin of IL 15.19 97.34 0.61 12.80 24.90 118.67 32.08 118.67 24.90 0.00 0.00 0.00
OTFC Oregon Trail Fin. Corp of OR 16.12 75.68 0.59 13.29 27.32 121.29 29.13 121.29 27.32 0.00 0.00 0.00
RVSB Riverview Bancorp of WA 14.25 87.32 0.56 9.18 25.45 155.23 33.58 155.23 25.45 0.00 0.00 0.00
SHSB SHS Bancorp, Inc. of PA 15.75 12.92 0.41 13.83 NM 113.88 14.39 113.88 NM 0.00 0.00 0.00
</TABLE>
<TABLE>
<CAPTION>
Financial Characteristics(6)
-------------------------------------------------------
Reported Core
Total Equity/ NPAs/ ---------------- ---------------
Financial Institution Assets Assets Assets ROA ROE ROA ROE
- --------------------- ------ ------- ------- ------- ------- ------- -------
($Mil) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C>
SAIF-Insured Thrifts 1,153 13.08 0.72 0.65 5.58 0.86 7.49
Converted Last 3 Mths (no MHC) 306 19.95 0.87 0.74 3.17 0.80 3.57
Comparable Group
- ----------------
Converted Last 3 Mths (no MHC)
- ------------------------------
FSNJ Bayonne Banchsares of NJ 618 14.42 1.22 -0.35 -2.42 -0.06 -0.40
FSFF First SecurityFed Fin of IL 303 27.03 1.44 1.29 4.77 1.29 4.77
OTFC Oregon Trail Fin. Corp of OR 260 24.02 0.10 1.07 4.44 1.07 4.44
RVSB Riverview Bancorp of WA 260 21.63 0.14 1.32 6.10 1.32 6.10
SHSB SHS Bancorp, Inc. of PA 90 12.64 1.44 0.37 2.96 0.37 2.96
</TABLE>
(1) Average of High/Low or Bid/Ask price per share.
(2) EPS (estimate core basis) is based on actual trailing twelve month data,
adjusted to omit non-operating items (including the SAIF assessment) on a
tax effected basis.
(3) P/E = Price to earnings; P/B = Price to book; P/A = Price to assets; P/TB =
Price to tangible book value; and P/CORE = Price to estimated core
earnings.
(4) Indicated twelve month dividend, based on last quarterly dividend declared.
(5) Indicated dividend as a percent of trailing twelve month estimated core
earnings.
(6) ROA (return on assets) and ROE (return on equity) are indicated ratios
based on trailing twelve month earnings and average equity and assets
balances.
(7) Excludes from averages those companies the subject of actual or rumored
acquisition activities or unusual operating characteristics.
Source: Corporate reports, offering circulars, and RP Financial, LC.
calculations. The information provided in this report has been
obtained from sources we believe are reliable, but we cannot guarantee
the accuracy or completeness of such information.
Copyright (c) 1997 by RP Financial, LC.
<PAGE> 15
RP Financial, LC.
Board of Directors
November 6, 1997
Page 14
4. Results of the Offering
SISB's stock offering commenced on September 12, 1997 and
terminated on October 16, 1997. The total takedown of the offering amounted to
$817,028,240, based on orders received for 81,702,824 shares at $10.00 per
share. There were 27,417 orders received for the Bank's stock. A preliminary
distribution summary of the shares subscribed, as provided by the selling agent
Keefe, Bruyette & Woods, Inc. ("Keefe Bruyette"), is shown in the table below.
<TABLE>
<CAPTION>
Average Percent of
Shares Number of Share Total
Subscribed Subscribers Order Subscriptions
---------- ----------- ----- -------------
<S> <C> <C> <C> <C>
Eligible Acct. Holders 74,162,915 24,836 2,986 90.77%
ESOP 3,526,666 (1) 1 3,526,666 4.32
Suppl. Eligible Acct. Holders 3,495,396 2,022 1,729 4.28
Other Members 312,877 292 1,071 0.38
Directors, Officers & Employees 14,369 25 575 0.02
Community 190,601 241 791 0.23
------- --- --- ----
Total 81,702,824 27,417 2,980 100.00%
</TABLE>
(1) Based on 8.0 percent of supermaximum of the offering range set forth
in the prospectus.
The breakdown of orders indicates that there was notable
professional investor interest in the Bank's stock offering. Based on
information provided by Keefe Bruyette, there were 870 orders for $300,000 or
more and 2,320 orders for $100,000 or more. Orders for $100,000 or more,
excluding the ESOP, accounted for $528.3 million, or 64.7 percent, of the total
takedown. The degree of the oversubscription is believed to be in part
attributable to favorable local press coverage of the Bank's offering, which
served to heighten local demand for the stock. As indicated in the Bank's
prospectus, proposed purchases by the Board and management of SISB amounted to
$6,515,000.
Summary of Adjustments
In the First Update, we made the following adjustments to SISB's pro
forma value based upon our comparative analysis to the Peer Group:
<PAGE> 16
RP Financial, LC.
Board of Directors
November 6, 1997
Page 15
<TABLE>
<CAPTION>
Previous Valuation
Key Valuation Parameters: Adjustment
------------------------- ----------
<S> <C>
Financial Condition No Adjustment
Profitability, Growth and Viability of Earnings Slight Downward
Asset Growth Moderate Downward
Primary Market Area No Adjustment
Dividends No Adjustment
Liquidity of the Shares No Adjustment
Marketing of the Issue No Adjustment
Management No Adjustment
Effect of Government Regulations and Regulatory Reform No Adjustment
</TABLE>
The factors concerning the valuation parameters of primary
market area, dividends, liquidity of the shares, management and effect of
government regulation and regulatory reform did not change since the First
Update. Accordingly, those parameters were not discussed further in this
update.
There were no material changes in the updated financial
conditions of the Bank and the Peer Group, with SISB's and the Peer Group's
overall asset/liability composition remaining comparable. Credit quality
measures continued to be more favorable for the Peer Group, which is viewed as
being somewhat offset by the Bank's slightly greater borrowing capacity and pro
forma capital position. While favorable from a risk perspective, the increase
in capital realized from conversion proceeds will depress the Bank's ROE to a
level that will be well below the Peer Group's ROE. As noted in the Original
Appraisal and First Update, the Bank's contemplated leverage strategy will more
closely align SISB's interest-bearing funding composition with the Peer
Group's, resulting in higher funding costs and reduced spreads for the Bank.
Therefore, as compared to the Peer Group, RP Financial concluded no adjustment
continues to be appropriate for SISB's financial condition.
Updated earnings for the Bank and the Peer Group also did not
reflect any notable changes from the First Update, with the core earnings
advantages currently maintained by SISB being more than offset by the Bank's
higher credit risk exposure, less favorable earnings growth potential and lower
pro forma ROE. As noted in the Original Appraisal and First Update, future
earnings growth for the Bank will be diminished by a higher effective tax rate
than applied for the most recent 12 month period (47 percent effective tax rate
on a pro forma basis versus 32 percent for the 12 months ended September 30,
1997), higher operating expenses resulting from the implementation of stock
benefit plans, and less profitable growth in the net interest margin in light
of the SISB's market saturation on Staten Island with respect to core deposit
growth and the lower interest rate spreads that will result from the Bank's
leveraging strategy. Accordingly, we continue to believe a slight downward
adjustment remains appropriate for the quality, predictability and growth of
the Bank's earnings relative to the Peer Group's.
<PAGE> 17
RP Financial, LC.
Board of Directory
November 6, 1997
Page 16
While the Bank's update asset growth rate was stronger than
the Peer Group's, SISB's higher growth rate was largely attributable to growth
of investment securities funded by borrowings -- a form of growth that is less
profitable than recorded by the Bank historically. As highlighted in the
Original Appraisal and First Update, given the Bank's market saturation on
Staten Island, future retail growth for the Bank will be somewhat contingent
upon expanding into new markets, which is an untested strategic direction for
the Bank in terms of adequacy of resources and ability to penetrate new
markets. Comparatively, the Peer Group companies operate in less isolated
markets and do not have the same level of market saturation as the Bank,
indicating that retail growth opportunities for the Peer Group companies can be
more readily achieved without having to expand into new and untested markets.
Overall, the Bank's asset growth continues to warrant a moderate downward
adjustment.
The market for thrift stocks has outperformed the overall
stock market since the First Update, with all publicly-traded thrifts and the
Peer Group exhibiting higher pricing ratios compared to the First Update.
Recent conversions which have closed since the date of the First Update have
posted notable price increases in initial trading activity, indicating strong
market demand for converting issues. Interest in the Bank's offering was
notable, as indicated by the degree of the oversubscription. In reaching our
conclusion to increase the Bank's value, we took into account the positive
trends exhibited in the trading levels of all publicly-traded thrifts, the Peer
Group, the strong aftermarket performance of recent conversions, and the
results of the Bank's offering.
Valuation Approaches
In applying the accepted valuation methodology promulgated by
the OTS, i.e., the pro forma market value approach, we considered the three key
pricing ratios in valuing SISB's to-be-issued stock -- price/earnings ("P/E"),
price/book ("P/B"), and price/assets ("P/A") approaches -- all performed on a
pro forma basis including the effects of the conversion proceeds. In computing
the pro forma impact of the conversion and the related pricing ratios, the
valuation parameters for effective tax rate and stock benefit plan assumptions
utilized in the First Update did not change in this update. Offering expenses
were revised upward, due to additional expenses resulting from the proposed
resolicitation. The reinvestment rate was revised to equal the one-year U.S.
Treasury bill rate as of September 30, 1997 (5.44 percent), which is
consistent with the reinvestment rate reflected in the Bank's prospectus
supplement. The pro forma assumptions are summarized in Exhibits 3 and 4.
Consistent with the Original Appraisal and First Update, this
updated appraisal continues to be based primarily on fundamental analysis
techniques applied to the Peer Group, including the P/E approach, the P/B
approach and the P/A approach. Also consistent with the Original Appraisal and
First Update, this updated appraisal incorporates a "technical" analysis of
recently completed stock conversions, including principally the P/B approach
which (as discussed in the Original Appraisal and First Update) is the most
meaningful pricing ratio as the pro forma P/E ratios reflect an assumed
reinvestment rate and do not yet reflect the actual use of proceeds.
<PAGE> 18
RP Financial, LC.
Board of Directors
November 6, 1997
Page 17
Based on the Bank's results of operations for the quarter and
nine months ended September 30, 1997 and increases in the market for new thrift
offerings, existing thrift issues and the overall market for financial
institutions, coupled with the subscription results, we have concluded that the
pro forma market value range of SISB' stock is subject to an increase.
Therefore, as of November 6, 1997, the pro forma market value of SISB's stock
has been increased from $350,000,000 to $409,500,000, incorporating the shares
to be issued to the charitable foundation immediately following the closing of
the conversion, representing an increase of 17.0 percent from the midpoint
value as set forth in the First Update. Such an increase in the valuation is
outside the range set forth in the prospectus and thus triggers resolicitation
of the offering at the increased valuation.
The valuation analysis for the updated appraisal, and the
rationale for the valuation conclusion, are set forth in the following
paragraphs. Consistent with the Original Appraisal and First Update, RP
Financial's updated valuation placed a similar emphasis on the three valuation
approaches as in our previous valuations.
The Bank has adopted Statement of Position ("SOP" 93-6) which
will cause earnings per share computations to be based on shares issued and
outstanding excluding shares owned by an ESOP where there is not a commitment
to release such shares. For the purpose of preparing the pro forma pricing
tables and exhibits, we have reflected all shares issued in the offering
including shares purchased by the ESOP as outstanding to capture the full
dilutive impact of such stock to the Bank's shareholders. However, we have
considered the impact of the Bank's adoption of SOP 93-6 in the determination
of SISB's pro forma value.
1. P/E Approach. In applying the P/E approach, RP
Financial's valuation conclusions considered both reported earnings and a
recurring or "core" earnings base, that is, earnings adjusted to exclude any
one time non-operating and extraordinary items, plus the estimated after tax
earnings benefit from reinvestment of net conversion proceeds. SISB's reported
earnings for the 12 months ended September 30, 1997 were $23.994 million.
Consistent with the Original Appraisal and First Update, adjustments made to
the Bank's reported earnings to derive core earnings were the addback of the
net loss on the sale of securities ($2.938 million), and application of the
effective statutory tax rate of 47.0 percent to core pre-tax earnings (thereby
eliminating the impact of the $4.7 million tax reversal). On a tax-effected
basis, the Bank's adjusted earnings approximate $20.210 million for the 12
months ended September 30, 1997. Exhibit 2 provides the adjustments applied to
the Peer Group's earnings in the calculation of core earnings.
Based on SISB's reported and estimated core earnings, and
incorporating the impact of the pro forma assumptions discussed previously, the
Bank's reported and core P/E multiples at the $409.5 million midpoint value
were 13.25 times and 15.09 times, respectively. Comparatively, the Peer Group
posted median reported and core P/E multiples of 20.66 times and 17.45 times,
respectively, which provided for discounts of 35.9 percent and 13.5 percent
from the Bank's reported and core P/E multiples. The implied conversion
pricing ratios relative to the Peer Group's pricing ratios are indicated in
Table 3, and the updated pro forma calculations are detailed in Exhibits 3 and
4.
<PAGE> 19
RP Financial, LC.
Board of Directors
November 6, 1997
Page 18
2. P/B Approach. P/B ratios have generally served as a useful
benchmark in the valuation of thrift stocks, with the greater determinant of
long term value being earnings. In applying the P/B approach we considered
both the reported and tangible book value. Based on the $409.5 million
midpoint value, SISB's pro forma P/B and P/TB ratios were 75.82 percent and
78.57 percent, respectively. Relative to the median P/B and P/TB ratios
indicated for the Peer Group of 173.01 percent and 181.87 percent,
respectively, SISB's updated ratios were discounted by 56.2. percent and 56.8
percent (versus discounts of 52.1 percent and 53.2 percent from the Bank's P/B
and P/TB ratios as indicated in the First Update).
In addition to the fundamental analysis applied to the Peer
Group, RP Financial utilized a technical analysis of recent conversion pricing
characteristics at conversion (excluding second step conversions) and in the
aftermarket. As indicated in the Original Appraisal and First Update, the
pricing characteristics of recent conversions is not the primary determinate of
value. Consistent with the Original Appraisal and First Update, particular
focus was placed on the P/B approach in this analysis, since the P/E multiples
do not reflect the actual impact of reinvestment and the source of the
conversion funds (i.e., external funds versus deposit withdrawals). The recent
conversions indicated a current average P/TB ratio of 127.28 percent and a
median P/TB ratio at closing of 72.6 percent for standard conversion offerings
completed within the past three months. At the $409.5 million midpoint value,
SISB's pro forma valuation resulted in a 38.3 percent discount relative to the
average of the newly converted companies. Relative to the 72.6 percent median
closing P/TB ratio of the recent standard conversions, SISB's updated P/TB
ratio of 78.6 percent at the $409.5 million midpoint value reflected a premium
of 8.3 percent in the First Update. We believe the relevance of the recent
conversions to SISB's pro forma market value has been diminished somewhat due
to several factors. First, the level of conversion activity over the last
three months has been low; only three companies which were subsequently
publicly-traded have converted over the three month period analyzed, excluding
the two second step mutual holding company transactions. Second, all the
recent transactions were smaller than SISB's transaction.
3. P/A Approach. P/A ratios are generally not as a
reliable indicator of market value, as investors do not place significant
weight on total assets as a determinant of market value. Investors place
significantly greater weight on book value and earnings -- which have received
greater weight in our valuation analysis. At the $409.5 million midpoint
value, SISB's pro forma P/A ratio equaled 16.45 percent. In comparison to the
Peer Group's median P/A ratio of 15.65 percent, SISB's P/A ratio indicated a
premium of 5.1 percent.
Valuation Conclusion
We have concluded that the Bank's estimated pro forma market value
should be increased since the date of the First Update, based on the September
30, 1997 financial data, results of the Subscription and Community offerings,
recent events in the new issue market, as well as the general improvement in
thrift stock market conditions, including the Peer Group's pricing ratios.
Based on the foregoing, it is our opinion that, as of November 6, 1997, the
aggregate pro forma market value of the shares to be issued, including the
shares to be contributed to the charitable
<PAGE> 20
RP Financial, LC.
Board of Directors
November 6, 1997
Page 19
foundation, was $409.5 million ("midpoint"), resulting in a range of value of
15 percent above and below the midpoint value, indicating a minimum value of
$348.1 million and a maximum value of $470.9 million. Based on the $12.00 per
share offering price determined by the Board, this valuation range equates to
an offering of 29.006 million shares at the minimum to 39.244 million shares at
the maximum, and 34.125 million at the midpoint. In the event the appraised
value is subject to an increase, up to 45,130,313 shares may be sold at an
issue price of $12.00 per share, for an aggregate market value of $541,563,756.
Based on this valuation, incorporating the 5 percent shares issued to
the Foundation following consummation of the offering, the offering range is as
follows: $331,500,000 at the minimum, $390,000,000 at the midpoint,
$448,500,000 at the maximum and $515,775,000 at the supermaximum. Based on a
$12.00 per share offering price, the number of offering shares is as follows:
27,625,000 at the minimum, 32,500,000 at the midpoint, 37,375,000 at the
maximum and 42,981,250 at the supermaximum.
The comparative pro forma valuation ratios relative to the Peer Group
are shown in Table 3, and the key valuation assumptions are detailed in Exhibit
3. The pro forma calculations for the range are detailed in Exhibit 4.
In light of the resulting revised valuation range, in which the
maximum value exceeds the supermaximum value as set forth in the prospectus,
the Bank's offering will be resolicited.
Respectfully submitted,
RP FINANCIAL, LC.
/s/ RONALD S. RIGGINS
Ronald S. Riggins
President
<PAGE> 21
RP FINANCIAL, LC.
- ------------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Table 6
Public Market Pricing
Staten Island Savings Bank and the Comparables
As of November 6, 1997
<TABLE>
<CAPTION>
Market Per Share Data
Capitalization --------------
-------------- Core Book Pricing Ratios(3)
Price/ Market 12-Mth Value/ ----------------------------------------
Share(1) Value EPS(2) Share P/E P/B P/A P/TB P/CORE
-------- ------ ------ ------ --- --- --- ---- ------
($) ($Mil) ($) ($) (X) (%) (%) (%) (X)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Staten Island Savings Bank
- --------------------------
Superrange 12.00 541.56 0.74 14.46 16.32 83.01 20.82 85.49 18.42
Range Maximum 12.00 470.93 0.81 15.09 14.73 79.05 18.53 82.13 16.71
Range Midpoint 12.00 409.50 0.91 15.83 13.25 75.82 16.45 78.57 15.09
Range Minimum 12.00 348.08 1.03 16.82 11.66 71.35 14.28 74.23 13.35
All Public Companies 24.94 186.41 1.20 15.54 21.46 160.09 19.53 165.68 19.53
All Non-MHC State of NY(7)
- --------------------------
Averages 30.15 472.70 1.40 18.22 22.36 155.44 19.39 166.72 20.21
Medians --- --- --- --- 22.97 150.47 16.74 157.29 20.22
Comparable Group Averages
- -------------------------
Averages 31.36 263.82 1.84 18.38 21.00 168.60 18.52 180.36 18.29
Medians --- --- --- --- 20.66 173.01 15.65 181.87 17.45
State of NY
- -----------
AFED AFSALA Bancorp, Inc. of NY 18.75 27.28 0.82 14.74 22.87 127.20 17.14 127.20 22.87
ALBK ALBANK Fin. Corp. of Albany NY 44.50 572.80 2.81 25.75 19.43 172.82 15.90 197.69 15.84
ALBC Albion Banc Corp. of Albion NY 29.25 7.31 0.96 23.96 NM 122.08 10.66 122.08 NM
AHCI Ambanc Holding Co., Inc. of NY 16.87 74.09 -0.67 14.29 NM 118.05 15.28 118.05 NM
ASFC Astoria Financial Corp. of NY 55.31 1143.04 2.84 29.02 27.79 190.59 14.91 226.96 19.48
CNY Carver Bancorp, Inc. of NY 13.00 30.08 0.01 14.93 NM 87.07 7.27 90.78 NM
CATB Catskill Fin. Corp. of NY 17.98 83.73 0.88 15.28 20.91 117.67 29.46 117.67 20.43
DME Dime Bancorp, Inc. of NY 24.69 2505.84 1.36 10.44 23.07 236.49 12.47 248.14 18.15
DIME Dime Community Bancorp of NY 22.62 285.58 1.05 15.12 23.08 149.60 21.72 173.60 21.54
FIBC Financial Bancorp, Inc. of NY 24.12 41.25 1.56 15.46 27.41 156.02 14.60 156.73 15.46
FFIC Flushing Fin. Corp. of NY 22.50 179.62 0.97 16.67 24.19 134.97 20.89 134.97 23.20
GOSB GSB Financial Corp. of NY 15.75 35.41 0.44 13.78 NM 114.30 30.93 114.30 NM
GPT GreenPoint Fin. Corp. of NY 68.69 2941.72 3.25 32.02 20.63 214.52 22.12 NM 21.14
HAVN Haven Bancorp of Woodhaven NY 42.00 184.21 3.10 24.15 20.10 173.91 10.34 174.49 13.55
JSB JSB Financial, Inc. of NY 48.69 481.93 2.63 35.35 17.58 137.74 31.48 137.74 18.51
LISB Long Island Bancorp, Inc of NY 45.75 1099.05 1.67 22.12 NM 206.83 18.60 208.90 27.40
MBB MSB Bancorp of Middletown NY 28.50 81.05 0.52 21.15 NM 134.75 9.96 274.57 NM
NYB New York Bancorp, Inc. of NY 35.06 747.44 2.35 7.83 17.53 NM 22.76 NM 14.92
PEEK Peekskill Fin. Corp. of NY 17.25 55.08 0.75 14.71 NM 117.27 30.17 117.27 23.00
PKPS Poughkeepsie Fin. Corp. of NY(7) 10.00 125.95 0.37 5.85 NM 170.94 14.31 170.94 27.03
PSBK Progressive Bank, Inc. of NY 34.00 130.15 2.26 19.63 14.85 173.20 14.81 193.95 15.04
QCSB Queens County Bancorp of NY 36.75 555.22 1.47 11.51 25.34 NM 37.85 NM 25.00
RELY Reliance Bancorp, Inc. of NY 33.37 290.72 1.87 18.67 26.48 178.74 14.71 248.10 17.84
RSLN Roslyn Bancorp, Inc. of NY 22.06 962.74 0.93 14.58 NM 151.30 30.47 152.03 23.72
<CAPTION>
Financial Characteristics(6)
Dividends(4) ------------------------------------------------------
----------------------- Reported Core
Amount/ Payout Total Equity/ NPAs/ ---------- -----------
Share Yield Ratio(5) Assets Assets Assets ROA ROE ROA ROE
----- ----- -------- ------ ------ ------ --- --- --- ---
($) (%) (%) ($Mil) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Staten Island Savings Bank
- --------------------------
Superrange 0.00 0.00 0.00 2,602 25.08 0.93 1.28 5.09 1.13 4.51
Range Maximum 0.00 0.00 0.00 2,542 23.31 0.96 1.26 5.40 1.11 4.76
Range Midpoint 0.00 0.00 0.00 2,489 21.70 0.98 1.24 5.72 1.09 5.02
Range Minimum 0.00 0.00 0.00 2,437 20.02 1.00 1.23 6.12 1.07 5.35
All Public Companies 0.39 1.59 30.51 1,188 13.03 0.73 0.73 6.40 0.90 7.97
All Non-MHC State of NY(7)
- --------------------------
Average 0.43 1.37 28.71 2,642 12.50 0.87 0.74 6.65 0.87 8.06
Medians --- --- --- --- --- --- --- --- --- ---
Comparable Group Averages
- -------------------------
Averages 0.58 1.82 33.97 1,421 10.93 0.64 0.82 8.32 1.05 10.66
Medians --- --- --- --- --- --- --- --- --- ---
State of NY
- -----------
AFED AFSALA Bancorp, Inc. of NY 0.16 0.85 19.51 159 13.47 0.45 0.79 6.46 0.79 6.46
ALBK ALBANK Fin. Corp. of Albany NY 0.72 1.62 25.62 3,602 9.20 0.94 0.85 9.19 1.04 11.28
ALBC Albion Banc Corp. of Albion NY 0.32 1.09 33.33 69 8.73 0.72 0.11 1.14 0.38 4.07
AHCI Ambanc Holding Co., Inc. of NY 0.20 1.19 NM 485 12.94 0.63 -0.59 -4.26 -0.62 -4.45
ASFC Astoria Financial Corp. of NY 0.60 1.08 21.13 7,664 7.82 0.46 0.56 7.09 0.79 10.12
CNY Carver Bancorp, Inc. of NY 0.00 0.00 0.00 414 8.35 NA -0.44 -4.95 0.01 0.07
CATB Catskill Fin. Corp. of NY 0.28 1.56 31.82 284 25.04 0.40 1.43 5.20 1.46 5.32
DME Dime Bancorp, Inc. of NY 0.16 0.65 11.76 20,087 5.27 1.02 0.56 10.54 0.71 13.40
DIME Dime Community Bancorp of NY 0.24 1.06 22.86 1,315 14.52 0.60 0.97 6.00 1.04 6.43
FIBC Financial Bancorp, Inc. of NY 0.40 1.66 25.64 282 9.36 1.75 0.56 5.77 1.00 10.23
FFIC Flushing Fin. Corp. of NY 0.24 1.07 24.74 860 15.47 0.39 0.93 5.55 0.97 5.79
GOSB GSB Financial Corp. of NY 0.00 0.00 0.00 114 27.06 NA 1.02 3.77 0.86 3.19
GPT GreenPoint Fin. Corp. of NY 0.00 0.00 0.00 13,300 10.31 2.88 1.06 9.98 1.03 9.74
HAVN Haven Bancorp of Woodhaven NY 0.60 1.43 19.35 1,782 5.95 0.76 0.56 9.29 0.83 13.78
JSB JSB Financial, Inc. of NY 1.40 2.88 53.23 1,531 22.85 NA 1.80 8.14 1.71 7.72
LISB Long Island Bancorp, Inc of NY 0.60 1.31 35.93 5,909 8.99 0.92 0.62 6.60 0.71 7.65
MBB MSB Bancorp of Middletown NY 0.60 2.11 NM 814 7.39 0.71 0.17 2.40 0.18 2.55
NYB New York Bancorp, Inc. of NY 0.60 1.71 25.53 3,284 5.08 0.88 1.38 26.74 1.62 31.42
PEEK Peekskill Fin. Corp. of NY 0.36 2.09 48.00 183 25.73 1.22 0.98 3.54 1.29 4.65
PKPS Poughkeepsie Fin. Corp. of NY(7) 0.10 1.00 27.03 880 8.37 4.19 0.35 4.21 0.54 6.49
PSBK Progressive Bank, Inc. of NY 0.68 2.00 30.09 879 8.55 0.94 0.99 11.99 0.98 11.83
QCSB Queens County Bancorp of NY 0.80 2.18 54.42 1,467 11.85 0.69 1.60 10.80 1.63 10.95
RELY Reliance Bancorp, Inc. of NY 0.64 1.92 34.22 1,977 8.23 NA 0.58 7.07 0.87 10.49
RSLN Roslyn Bancorp, Inc. of NY 0.24 1.09 25.81 3,159 20.14 0.27 0.86 4.12 1.35 6.49
</TABLE>
<PAGE> 22
RP FINANCIAL, LC.
- -----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Market Pricing Comparatives
Prices As of November 6,1997
<TABLE>
<CAPTION>
Market Per Share Data
Capitalization --------------- Pricing Ratios(3)
------------------- Core Book ------------------------------------
Price/ Market 12-Mth Value/
Financial Institution Share(1) Value EPS(2) Share P/E P/B P/A P/TB P/CORE
- --------------------- -------- ------ ------ ------- ----- ----- ----- ------ ------
($) ($Mil) ($) ($) (X) (%) (%) (%) (x)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
SAIF-Insured Thrifts 24.54 176.59 1.14 15.59 22.65 155.90 19.21 161.28 19.82
All Public Companies 24.94 186.41 1.20 15.54 21.46 160.54 19.53 166.13 19.53
State of NY 30.05 442.60 1.35 17.78 22.58 167.38 19.85 177.88 20.63
Comparable Group Average 31.36 263.82 1.84 18.38 21.00 178.02 18.52 189.04 18.29
Mid-Atlantic Companies 31.36 263.82 1.84 18.38 21.00 178.02 18.52 189.04 18.29
Comparable Group
- ----------------
Mid-Atlantic Companies
- ----------------------
ALBK ALBANK Fin. Corp. of Albany NY 44.50 572.80 2.81 25.75 19.43 172.82 15.90 197.69 15.84
DIME Dime Community Bancorp of NY 22.62 285.58 1.05 15.12 23.08 149.60 21.72 173.60 21.54
FMCO FMS Financial Corp. of NJ 30.00 71.64 2.29 15.24 19.23 196.85 12.91 200.40 13.10
FSPG First Home Bancorp of NJ 22.75 61.61 2.14 12.85 13.87 177.04 11.79 179.98 10.63
FFIC Flushing Fin. Corp. of NY 22.50 179.62 0.97 16.67 24.19 134.97 20.89 134.97 23.20
HAVN Haven Bancorp of Woodhaven NY 42.00 184.21 3.10 24.15 20.10 173.91 10.34 174.49 13.55
IBSF IBS Financial Corp. of NJ 15.75 173.44 0.58 11.59 NM 135.89 23.65 135.89 27.16
JSB JSB Financial, Inc. of NY 48.69 481.93 2.63 35.35 17.58 137.74 31.48 137.74 18.51
OCFC Ocean Fin. Corp. of NJ 37.50 322.73 1.49 27.35 NM 137.11 22.29 137.11 25.17
PFSB PennFed Fin. Services of NJ 31.00 149.51 2.09 20.17 21.68 153.69 11.31 183.76 14.83
PSBK Progressive Bank, Inc. of NY 34.00 130.15 2.26 19.63 14.85 173.20 14.81 193.95 15.04
PULS Pulse Bancorp of S. River NJ 25.25 77.80 1.79 13.59 21.22 185.80 14.95 185.80 14.11
QCSB Queens County Bancorp of NY 36.75 555.22 1.47 11.51 25.34 319.29 37.85 319.29 25.00
RELY Reliance Bancorp, Inc. of NY 33.37 290.72 1.87 18.67 26.48 178.74 14.71 248.10 17.84
SFIN Statewide Fin. Corp of NJ 22.00 103.62 1.29 13.90 28.95 158.27 15.39 158.50 17.05
ROSE T R Financial Corp. of NY 33.00 580.54 1.65 12.53 17.93 263.37 16.34 263.37 20.00
</TABLE>
<TABLE>
<CAPTION>
Financial Characteristics(6)
Dividends(4) -------------------------------------------------------
------------------------ Reported Core
Amount/ Payout Total Equity/ NPAs/ ------------- ---------------
Financial Institution Share Yield Ratio(5) Assets Assets Assets ROA ROE ROA ROE
- --------------------- ------ ----- -------- ------- ------ ------ ------ ----- ----- ------
($) (%) (%) ($Mil) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
SAIF-Insured Thrifts 0.38 1.60 30.64 1,153 13.08 0.72 0.65 5.58 0.86 7.49
All Public Companies 0.39 1.59 30.51 1,188 13.03 0.73 0.73 6.40 0.90 7.97
State of NY 0.42 1.36 28.14 2,480 12.38 0.86 0.73 6.57 0.86 7.95
Comparable Group Average 0.58 1.82 33.97 1,421 10.93 0.64 0.82 8.32 1.05 10.66
Mid-Atlantic Companies 0.58 1.82 33.97 l,421 10.93 0.64 0.82 8.32 1.05 10.66
Comparable Group
- ----------------
Mid-Atlantic Companies
- ----------------------
ALBK ALBANK Fin. Corp. of Albany NY 0.72 1.62 25.62 3,602 9.20 0.94 0.85 9.19 1.04 11.28
DIME Dime Community Bancorp of NY 0.24 1.06 22.86 l,315 14.52 0.60 0.97 6.00 1.04 6.43
FMCO FMS Financial Corp. of NJ 0.28 0.93 12.23 555 6.56 1.06 0.69 10.76 1.02 15.79
FSPG First Home Bancorp of NJ 0.40 1.76 18.69 522 6.66 0.64 0.89 13.61 1.16 17.76
FFIC Flushing Fin. Corp. of NY 0.24 1.07 24.74 860 15.47 0.39 0.93 5.55 0.97 5.79
HAVN Haven Bancorp of Woodhaven NY 0.60 1.43 19.35 1,782 5.95 0.76 0.56 9.29 0.83 13.78
IBSF IBS Financial Corp. of NJ 0.40 2.54 68.97 733 17.41 0.08 0.49 2.68 0.86 4.71
JSB JSB Financial, Inc. of NY 1.40 2.88 53.23 l,53l 22.85 NA 1.80 8.14 1.71 7.72
OCFC Ocean Fin. Corp. of NJ 0.80 2.13 53.69 l,448 16.25 0.55 0.03 0.16 0.98 5.97
PFSB PennFed Fin. Services of NJ 0.28 0.90 13.40 l,322 7.36 NA 0.57 7.43 0.84 10.86
PSBK Progressive Bank, Inc. of NY 0.68 2.00 30.09 879 8.55 0.94 0.99 11.99 0.98 11.83
PULS Pulse Bancorp of S. River NJ 0.70 2.77 39.11 520 8.05 0.75 0.72 9.19 1.08 13.82
QCSB Queens County Bancorp of NY 0.80 2.18 54.42 l,467 11.85 0.69 1.60 10.80 1.63 10.95
RELY Reliance Bancorp, Inc. of NY 0.64 1.92 34.22 l,977 8.23 NA 0.58 7.07 0.87 10.49
SFIN Statewide Fin. Corp of NJ 0.44 2.00 34.11 673 9.73 0.43 0.54 5.46 0.91 9.26
ROSE T R Financial Corp. of NY 0.64 1.94 38.79 3,552 6.21 0.54 0.99 15.79 0.88 14.16
</TABLE>
(1) Average of High/Low or Bid/Ask price per share.
(2) EPS (estimate core basis) is based on actual trailing twelve month data,
adjusted to omit non-operating items (including the SAIF assessment) on a
tax effected basis.
(3) P/E = Price to earnings; P/B = Price to book; P/A = Price to assets;
P/TB = Price to tangible book value; and P/CORE = Price to estimated core
earnings.
(4) Indicated twelve month dividend, based on last quarterly dividend
declared.
(5) Indicated dividend as a percent of trailing twelve month estimated core
earnings.
(6) ROA (return on assets) and ROE (return on equity) are indicated ratios
based on trailing twelve month earnings and average equity and assets
balance.
(7) Excludes from averages those companies the subject of actual or rumored
acquisition activities or unusual operating characteristics.
Source: Corporate reports, offering circulars, and RP Financial, LC.
calculations. The information provided in this report has been
obtained from sources we believe are reliable, but we cannot guarantee
the accuracy or completeness of such information.
Copyright (c) 1997 by RP Financial, LC.
<PAGE> 23
EXHIBITS
<PAGE> 24
LIST OF EXHIBITS
<TABLE>
<CAPTION>
Exhibit
Number Description
- ------ -----------
<S> <C>
1 Stock Prices: As of November 6, 1997
2 Peer Group Core Earnings Analysis
3 Pro Forma Analysis Sheet
4 Pro Forma Effect of Conversion Proceeds
5 Firm Qualifications Statement
</TABLE>
<PAGE> 25
EXHIBIT 1
Stock Prices
As of November 6, 1997
<PAGE> 26
RP FINANCIAL, LC.
- --------------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1
Weekly Thrift Market Line - Part One
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Price Change Data
Market Capitalization -----------------------------------------------
----------------------- 52 Week (1) % Change From
Shares Market --------------- -----------------------
Price/ Outst- Capital- Last Last Dec 31, Dec 31,
Financial Institution Share(1) anding ization(9) High Low Week Week 1994(2) 1995(2)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- --------
($) (000) ($Mil) ($) ($) ($) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Market Averages. SAIF-Insured Thrifts(no MHC)
- ---------------------------------------------
SAIF-Insured Thrifts(301) 24.32 5,688 182.5 25.71 15.83 23.87 1.48 243.89 43.80
NYSE Traded Companies(10) 46.14 33,668 1,762.0 47.90 27.52 44.87 2.71 340.60 50.57
AMEX Traded Companies(16) 17.50 3,148 55.6 20.16 12.61 17.41 0.63 281.83 28.43
NASDAQ Listed OTC Companies(275) 23.87 4,744 128.3 25.16 15.57 23.43 1.48 231.02 44.41
California Companies(21) 30.30 18,714 859.3 32.02 18.28 29.75 1.37 161.88 48.96
Florida Companies(5) 31.10 13,749 464.9 32.95 17.57 31.14 0.09 186.55 53.47
Mid-Atlantic Companies(60) 25.37 6,996 189.0 26.58 15.99 25.07 1.19 221.42 52.43
Mid-West Companies(144) 22.93 3,495 99.6 24.11 15.13 22.43 1.48 273.39 40.44
New England Companies(9) 29.16 5,013 189.6 30.40 17.03 28.74 0.65 455.12 60.65
North-West Companies(8) 23.44 11,774 339.1 25.33 17.29 22.93 2.12 184.09 36.18
South-East Companies(41) 23.92 3,347 76.4 26.03 16.65 23.35 2.23 224.13 37.32
South-West Companies(7) 20.07 1,904 43.5 21.87 13.01 19.64 2.75 44.44 45.92
Western Companies (Excl CA)(6) 22.43 5,273 114.0 23.51 16.01 22.37 0.24 338.68 32.97
Thrift Strategy(241) 23.18 3,601 92.6 24.51 15.40 22.81 1.20 220.48 41.89
Mortgage Banker Strategy(36) 29.54 15,311 619.9 30.97 17.95 28.45 3.74 315.92 55.12
Real Estate Strategy(10) 26.60 7,823 244.8 28.08 15.79 26.20 0.66 231.12 49.67
Diversified Strategy(10) 36.37 26,486 1,036.6 39.21 21.74 35.91 1.46 213.24 46.36
Retail Banking Strategy(4) 18.84 4,340 95.2 19.75 11.64 18.54 2.14 400.02 42.78
Companies Issuing Dividends(255) 24.56 5,503 180.4 25.98 16.08 24.14 1.50 257.23 42.49
Companies Without Dividends(46) 22.89 6,799 195.8 24.03 14.38 22.25 1.37 157.70 52.99
Equity/Assets less than 6%(22) 29.73 19,901 700.3 31.02 17.19 28.98 2.22 207.33 54.06
Equity/Assets 6-12%(140) 27.49 5,965 215.2 28.81 16.87 26.95 1.89 261.38 51.69
Equity/Assets greater than 12%(139) 20.54 3,220 71.8 22.00 14.67 20.22 0.98 193.20 33.85
Converted Last 3 Mths (no MHC)(4) 14.92 5,229 74.9 15.36 12.76 11.22 -0.90 0.00 60.97
Actively Traded Companies(39) 35.24 18,723 787.5 36.49 21.17 34.39 2.63 275.00 56.44
Market Value Below $20 Million(50) 19.04 824 14.4 19.96 13.03 18.71 1.61 283.12 39.92
Holding Company Structure(266) 24.31 5,473 181.4 25.75 15.99 23.89 1.27 228.83 42.02
Assets Over $1 Billion(58) 35.87 18,907 734.9 37.54 21.75 34.98 2.35 279.06 50.22
Assets $500 Million-$1 Billion(50) 23.84 5,549 117.6 25.33 14.85 23.50 1.17 275.76 49.99
Assets $250-$500 Million(66) 24.28 2,702 61.0 25.53 15.82 23.71 1.47 227.66 48.92
Assets less than $250 Million(127) 19.46 1,455 26.6 20.75 13.62 19.23 1.22 156.19 35.65
Goodwill Companies(123) 28.19 9,576 320.0 29.68 17.47 27.63 1.73 268.86 48.73
Non-Goodwill Companies(177) 21.68 3,043 89.0 22.99 14.73 21.31 1.29 205.11 40.15
Acquirors of FSLIC Cases(10) 43.24 35,626 1,903.4 44.73 25.84 41.77 3.84 362.53 53.77
</TABLE>
<TABLE>
<CAPTION>
Current Per Share Financials
-----------------------------------------
Tangible
Trailing 12 Mo. Book Book
12 Mo. Core Value/ Value/ Assets/
Financial Institution EPS(3) EPS(3) Share Share(4) Share
- --------------------- -------- ------- ------- ------- -------
($) ($) ($) ($) ($)
<S> <C> <C> <C> <C> <C>
Market Averages. SAIF-Insured Thrifts(no MHC)
- ---------------------------------------------
SAIF-Insured Thrifts(301) 0.86 1.16 15.78 15.33 152.24
NYSE Traded Companies(10) 2.05 2.77 21.66 20.86 339.55
AMEX Traded Companies(16) 0.40 0.72 14.34 14.14 107.19
NASDAQ Listed OTC Companies(275) 0.84 1.12 15.63 15.19 147.56
California Companies(21) 0.95 1.44 17.07 16.46 262.61
Florida Companies(5) 0.92 0.85 13.38 12.67 183.36
Mid-Atlantic Companies(60) 0.96 1.35 16.20 15.60 167.23
Mid-West Companies(144) 0.84 1.09 15.78 15.45 134.89
New England Companies(9) 0.87 1.40 16.63 15.93 226.54
North-West Companies(8) 0.86 1.08 13.64 13.24 117.10
South-East Companies(41) 0.79 1.02 15.05 14.72 118.41
South-West Companies(7) 0.62 1.08 14.74 13.97 191.98
Western Companies (Excl CA)(6) 0.90 1.06 16.12 15.43 107.39
Thrift Strategy(241) 0.81 1.10 15.98 15.61 137.61
Mortgage Banker Strategy(36) 1.16 1.51 15.45 14.45 226.18
Real Estate Strategy(10) 0.90 1.39 14.36 14.06 220.76
Diversified Strategy(10) 1.54 1.80 13.68 13.15 194.47
Retail Banking Strategy(4) 0.18 -0.18 13.37 12.78 191.34
Companies Issuing Dividends(255) 0.92 1.23 15.91 15.43 149.10
Companies Without Dividends(46) 0.50 0.78 15.00 14.76 171.15
Equity/Assets less than 6%(22) 0.98 1.60 13.69 12.84 284.21
Equity/Assets 6-12%(140) 1.05 1.40 16.09 15.41 193.38
Equity/Assets greater than 12%(139) 0.67 0.87 15.81 15.65 93.61
Converted Last 3 Mths (no MHC)(4) 0.34 0.39 12.46 12.46 70.21
Actively Traded Companies(39) 1.48 2.01 17.40 16.78 232.58
Market Value Below $20 Million(50) 0.53 0.85 15.57 15.53 124.04
Holding Company Structure(266) 0.84 1.13 16.02 15.60 149.22
Assets Over $1 Billion(58) 1.37 1.86 17.65 16.42 250.16
Assets $500 Million-$1 Billion(50) 0.92 1.11 14.19 13.67 153.29
Assets $250-$500 Million(66) 0.86 1.19 16.44 15.99 158.40
Assets less than $250 Million(127) 0.62 0.86 15.22 15.16 105.84
Goodwill Companies(123) 1.07 1.40 16.13 15.04 196.84
Non-Goodwill Companies(177) 0.72 1.00 15.54 15.54 122.04
Acquirors of FSLIC Cases(10) 1.83 2.66 20.35 19.16 333.34
</TABLE>
(1) Average of high/low or bid/ask price per share.
(2) Or since offering price if converted or first listed in 1994 or 1995.
Percent change figures are actual year-to-date and are not annualized
(3) EPS (earnings per share) is based on actual trailing twelve month data and
is not shown on a pro forma basis.
(4) Excludes intangibles (such as goodwill, value of core deposits, etc.).
(5) ROA (return on assets) and ROE (return on equity) are indicated ratios
based on trailing twelve month common earnings and average common equity
and assets balances.
(6) Annualized, based on last regular quarterly cash dividend announcement.
(7) Indicated dividend as a percent of trailing twelve month earnings.
(8) Excluded from averages due to actual or rumored acquisition activities or
unusual operating characteristics.
(9) For MHC institutions, market value reflects share price multiplied by
public (non-MHC) shares.
* All thrifts are SAIF insured unless otherwise noted with an asterisk.
Parentheses following market averages indicate the number of institutions
included in the respective averages. All figures have been adjusted for
stock splits, stock dividends, and secondary offerings.
Source: Corporate reports and offering circulars for publicly traded companies,
and RP Financial, Inc. calculations. The information provided in this
report has been obtained from sources we believe are reliable, but we
cannot guarantee the accuracy or completeness of such information.
Copyright (c) 1997 by RP Financial, LC.
<PAGE> 27
RP FINANCIAL, LC.
- --------------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part One
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Price Change Data
Market Capitalization -----------------------------------------------
----------------------- 52 Week (1) % Change From
Shares Market --------------- -----------------------
Price/ Outst- Capital- Last Last Dec 31, Dec 31,
Financial Institution Share(1) anding ization(9) High Low Week Week 1994(2) 1995(2)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- --------
($) (000) ($Mil) ($) ($) ($) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Market Averages. BIF-Insured Thrifts(no MHC)
- --------------------------------------------
BIF-Insured Thrifts(60) 26.95 7,967 238.7 28.23 16.57 26.32 2.55 254.58 53.46
NYSE Traded Companies(2) 46.69 72,159 2,723.8 47.53 30.12 44.19 4.79 145.43 56.00
AMEX Traded Companies(6) 27.02 2,194 61.7 27.92 15.89 26.62 1.03 156.09 62.18
NASDAQ Listed OTC Companies(52) 26.10 5,850 151.8 27.44 16.07 25.53 2.62 270.14 52.40
California Companies(1) 20.12 7,847 157.9 21.25 14.00 20.00 0.60 0.00 34.13
Mid-Atlantic Companies(15) 28.90 17,481 565.1 29.96 17.52 28.20 2.28 182.18 54.92
Mid-West Companies(2) 10.53 1,707 16.5 11.44 8.06 10.38 2.00 0.00 25.31
New England Companies(33) 27.33 4,440 126.7 28.64 16.13 26.47 3.21 283.62 59.85
North-West Companies(4) 19.62 7,340 149.4 21.51 12.31 19.09 3.38 152.37 48.72
South-East Companies(5) 31.30 2,083 44.9 32.92 22.67 31.80 -0.19 0.00 31.59
Thrift Strategy(43) 27.01 4,869 166.2 28.25 16.66 26.39 2.59 248.95 52.60
Mortgage Banker Strategy(7) 27.82 31,238 761.4 29.50 16.63 26.96 3.51 273.65 68.05
Real Estate Strategy(5) 20.44 5,823 118.3 21.31 13.50 20.13 1.53 515.73 36.23
Diversified Strategy(5) 28.42 13,256 424.8 29.88 17.06 27.87 1.44 183.38 56.81
Companies Issuing Dividends(51) 27.69 7,669 202.5 28.98 16.96 27.09 2.51 256.19 53.62
Companies Without Dividends(9) 22.69 9,683 446.8 23.91 14.36 21.89 2.79 232.09 52.57
Equity/Assets less than 6%(5) 18.52 29,977 707.3 19.72 9.90 18.25 1.42 173.14 81.62
Equity/Assets 6-12%(40) 29.84 6,166 231.1 31.08 17.65 28.91 3.25 271.80 58.01
Equity/Assets greater than 12%(15) 22.45 6,299 131.5 23.84 15.83 22.42 1.22 51.05 34.06
Actively Traded Companies(18) 28.97 11,779 328.5 30.53 17.59 28.26 2.46 286.94 53.54
Market Value Below $20 Million(5) 15.49 953 14.2 16.38 10.19 15.44 0.64 0.00 38.65
Holding Company Structure(40) 26.17 6,509 176.0 27.65 16.36 25.76 2.15 239.42 50.67
Assets Over $1 Billion(14) 33.01 24,491 820.8 34.62 20.32 32.21 1.90 226.40 55.87
Assets $500 Million-$1 Billion(16) 29.38 5,028 121.2 30.57 17.77 28.66 2.31 230.83 55.15
Assets $250-$500 Million(13) 22.84 3,139 65.7 23.97 13.54 21.98 4.31 294.19 55.77
Assets less than $250 Million(17) 22.96 1,549 28.9 24.19 14.80 22.74 1.92 277.26 48.16
Goodwill Companies(28) 29.66 11,897 386.2 30.73 17.90 28.65 3.30 244.11 57.82
Non-Goodwill Companies(32) 24.62 4,579 111.5 26.08 15.42 24.31 1.91 272.67 49.86
</TABLE>
<TABLE>
<CAPTION>
Current Per Share Financials
----------------------------------------
Tangible
Trailing 12 Mo. Book Book
12 Mo. Core Value/ Value/ Assets/
Financial Institution EPS(3) EPS(3) Share Share(4) Share
- --------------------- -------- ------- ------- ------- -------
($) ($) ($) ($) ($)
<S> <C> <C> <C> <C> <C>
Market Averages. BIF-Insured Thrifts(no MHC)
- --------------------------------------------
BIF-Insured Thrifts(60) 1.55 1.54 15.70 14.84 151.07
NYSE Traded Companies(2) 2.20 2.31 21.23 13.98 254.24
AMEX Traded Companies(6) 1.13 1.05 17.02 14.64 170.97
NASDAQ Listed OTC Companies(52) 1.57 1.56 15.32 14.90 144.56
California Companies(1) 1.44 1.44 11.91 11.86 108.35
Mid-Atlantic Companies(15) 1.24 1.32 16.09 14.18 168.90
Mid-West Companies(2) 0.21 0.26 11.14 10.78 35.44
New England Companies(33) 1.93 1.86 14.51 13.93 167.17
North-West Companies(4) 1.00 0.97 10.75 10.38 90.60
South-East Companies(5) 1.29 1.33 26.77 26.77 98.52
Thrift Strategy(43) 1.50 1.49 16.36 15.43 146.89
Mortgage Banker Strategy(7) 1.49 1.58 14.14 13.65 178.38
Real Estate Strategy(5) 1.73 1.57 10.84 10.82 101.31
Diversified Strategy(5) 2.11 2.08 13.02 12.01 186.81
Companies Issuing Dividends(51) 1.49 1.48 16.12 15.43 156.38
Companies Without Dividends(9) 1.91 1.90 13.28 11.42 120.53
Equity/Assets less than 6%(5) 1.14 1.05 7.47 7.24 137.87
Equity/Assets 6-12%(40) 1.94 1.90 15.59 14.34 182.15
Equity/Assets greater than 12%(15) 0.78 0.84 18.16 18.03 82.08
Actively Traded Companies(18) 1.89 1.84 15.22 14.40 176.53
Market Value Below $20 Million(5) 1.44 1.54 13.44 13.26 71.41
Holding Company Structure(40) 1.47 1.47 15.90 15.21 135.78
Assets Over $1 Billion(14) 1.89 1.90 15.67 13.91 183.50
Assets $500 Million-$1 Billion(16) 1.85 1.78 16.33 15.03 183.82
Assets $250-$500 Million(13) 1.14 1.14 13.24 12.92 125.27
Assets less than $250 Million(17) 1.33 1.35 17.06 16.93 113.02
Goodwill Companies(28) 1.64 1.62 15.93 14.07 188.93
Non-Goodwill Companies(32) 1.48 1.48 15.50 15.50 118.44
</TABLE>
(1) Average of high/low or bid/ask price per share.
(2) Or since offering price if converted or first listed in 1994 or 1995.
Percent change figures are actual year-to-date and are not annualized
(3) EPS (earnings per share) is based on actual trailing twelve month data and
is not shown on a pro forma basis.
(4) Excludes intangibles (such as goodwill, value of core deposits, etc.).
(5) ROA (return on assets) and ROE (return on equity) are indicated ratios
based on trailing twelve month common earnings and average common equity
and assets balances.
(6) Annualized, based on last regular quarterly cash dividend announcement.
(7) Indicated dividend as a percent of trailing twelve month earnings.
(8) Excluded from averages due to actual or rumored acquisition activities or
unusual operating characteristics.
(9) For MHC institutions, market value reflects share price multiplied by
public (non-MHC) shares.
* All thrifts are SAIF insured unless otherwise noted with an asterisk.
Parentheses following market averages indicate the number of institutions
included in the respective averages. All figures have been adjusted for
stock splits, stock dividends, and secondary offerings.
Source: Corporate reports and offering circulars for publicly traded companies,
and RP Financial, Inc. calculations. The information provided in this
report has been obtained from sources we believe are reliable, but we
cannot guarantee the accuracy or completeness of such information.
Copyright (c) 1997 by RP Financial, LC.
<PAGE> 28
RP FINANCIAL, LC.
- --------------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part One
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Price Change Data
Market Capitalization -----------------------------------------------
----------------------- 52 Week (1) % Change From
Shares Market --------------- -----------------------
Price/ Outst- Capital- Last Last Dec 31, Dec 31,
Financial Institution Share(1) anding ization(9) High Low Week Week 1994(2) 1995(2)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- --------
($) (000) ($Mil) ($) ($) ($) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Market Averages. MHC Institutions
- ---------------------------------
SAIF-Insured Thrifts(20) 29.05 4,959 56.9 31.40 14.12 28.73 1.33 391.00 98.38
BIF-Insured Thrifts(3) 31.04 22,105 291.1 32.71 12.03 29.21 6.69 330.37 158.69
NASDAQ Listed OTC Companies(23) 29.40 7,985 98.3 31.63 13.75 28.81 2.28 360.69 111.30
Florida Companies(3) 32.25 5,933 90.2 36.13 16.56 32.38 -0.44 0.00 67.90
Mid-Atlantic Companies(11) 29.32 5,800 59.5 31.24 12.26 28.37 3.87 0.00 158.66
Mid-West Companies(7) 27.52 2,111 25.3 29.40 14.59 27.40 0.27 391.00 78.90
New England Companies(1) 33.87 61,126 828.2 37.37 17.33 32.75 3.42 330.37 75.95
Thrift Strategy(22) 29.12 4,664 52.6 31.27 13.53 28.57 2.20 391.00 114.02
Diversified Strategy(1) 33.87 61,126 828.2 37.37 17.33 32.75 3.42 330.37 75.95
Companies Issuing Dividends(22) 30.09 8,311 103.0 32.37 13.76 29.53 2.06 360.69 111.30
Companies Without Dividends(1) 18.37 2,760 22.8 19.75 13.62 17.37 5.76 0.00 0.00
Equity/Assets 6-12%(17) 30.69 9,676 121.0 33.11 13.94 29.94 2.90 360.69 118.54
Equity/Assets greater than 12%(6) 25.22 2,487 24.3 26.84 13.12 25.15 0.25 0.00 84.76
Holding Company Structure(2) 28.25 1,917 24.9 28.25 9.25 25.12 12.46 0.00 201.17
Assets Over $1 Billion(5) 40.46 31,921 400.4 43.71 15.15 39.92 1.56 330.37 138.63
Assets $500 Million-$1 Billion(3) 32.25 5,933 90.2 36.13 16.56 32.38 -0.44 0.00 67.90
Assets $250-$500 Million(5) 30.87 2,848 37.6 32.00 16.19 30.33 1.83 391.00 79.53
Assets less than $250 Million(10) 24.60 2,174 19.6 26.49 11.85 23.82 3.27 0.00 127.99
Goodwill Companies(8) 36.42 21,073 266.8 39.72 16.51 36.05 1.07 360.69 108.32
Non-Goodwill Companies(15) 26.48 2,531 28.0 28.26 12.60 25.80 2.78 0.00 112.96
MHC Institutions(23) 29.40 7,985 98.3 31.63 13.75 28.81 2.28 360.69 111.30
</TABLE>
<TABLE>
<CAPTION>
Current Per Share Financials
----------------------------------------
Tangible
Trailing 12 Mo. Book Book
12 Mo. Core Value/ Value/ Assets/
Financial Institution EPS(3) EPS(3) Share Share(4) Share
- --------------------- -------- ------- ------- ------- -------
($) ($) ($) ($) ($)
<S> <C> <C> <C> <C> <C>
Market Averages. MHC Institutions
- ---------------------------------
SAIF-Insured Thrifts(20) 0.49 0.77 11.84 11.66 109.33
BIF-Insured Thrifts(3) 0.89 0.80 10.41 10.41 101.01
NASDAQ Listed OTC Companies(23) 0.56 0.78 11.59 11.44 107.86
Florida Companies(3) 0.62 0.94 13.90 13.86 142.47
Mid-Atlantic Companies(11) 0.49 0.67 10.99 10.74 98.08
Mid-West Companies(7) 0.51 0.85 11.87 11.84 107.45
New England Companies(1) 1.39 1.03 10.92 10.91 128.75
Thrift Strategy(22) 0.51 0.76 11.63 11.47 106.56
Diversified Strategy(1) 1.39 1.03 10.92 10.91 128.75
Companies Issuing Dividends(22) 0.58 0.79 11.71 11.55 109.43
Companies Without Dividends(1) 0.36 0.54 9.71 9.71 82.81
Equity/Assets 6-12%(17) 0.57 0.80 11.63 11.43 119.65
Equity/Assets greater than 12%(6) 0.54 0.71 11.45 11.45 69.55
Holding Company Structure(2) 1.06 0.95 11.68 11.68 99.58
Assets Over $1 Billion(5) 0.92 0.95 11.32 10.54 133.25
Assets $500 Million-$1 Billion(3) 0.62 0.94 13.90 13.86 142.47
Assets $250-$500 Million(5) 0.57 0.96 12.56 12.52 120.40
Assets less than $250 Million(10) 0.43 0.62 10.84 10.84 87.53
Goodwill Companies(8) 0.79 0.96 12.01 11.50 142.55
Non-Goodwill Companies(15) 0.47 0.70 11.41 11.41 93.41
MHC Institutions(23) 0.56 0.78 11.59 11.44 107.86
</TABLE>
(1) Average of high/low or bid/ask price per share.
(2) Or since offering price if converted or first listed in 1994 or 1995.
Percent change figures are actual year-to-date and are not annualized
(3) EPS (earnings per share) is based on actual trailing twelve month data and
is not shown on a pro forma basis.
(4) Excludes intangibles (such as goodwill, value of core deposits, etc.).
(5) ROA (return on assets) and ROE (return on equity) are indicated ratios
based on trailing twelve month common earnings and average common equity
and assets balances.
(6) Annualized, based on last regular quarterly cash dividend announcement.
(7) Indicated dividend as a percent of trailing twelve month earnings.
(8) Excluded from averages due to actual or rumored acquisition activities or
unusual operating characteristics.
(9) For MHC institutions, market value reflects share price multiplied by
public (non-MHC) shares.
* All thrifts are SAIF insured unless otherwise noted with an asterisk.
Parentheses following market averages indicate the number of institutions
included in the respective averages. All figures have been adjusted for
stock splits, stock dividends, and secondary offerings.
Source: Corporate reports and offering circulars for publicly traded companies,
and RP Financial, Inc. calculations. The information provided in this
report has been obtained from sources we believe are reliable, but we
cannot guarantee the accuracy or completeness of such information.
Copyright (c) 1997 by RP Financial, LC.
<PAGE> 29
RP FINANCIAL, LC.
- --------------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part One
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Price Change Data
Market Capitalization -----------------------------------------------
----------------------- 52 Week (1) % Change From
Shares Market --------------- -----------------------
Price/ Outst- Capital- Last Last Dec 31, Dec 31,
Financial Institution Share(1) anding ization(9) High Low Week Week 1994(2) 1995(2)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- --------
($) (000) ($Mil) ($) ($) ($) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C>
NYSE Traded Companies
- ---------------------
AHM Ahmanson and Co. H.F. of CA 61.87 94,411 5,841.2 62.06 30.62 59.25 4.42 229.97 90.37
CSA Coast Savings Financial of CA 60.81 18,644 1,133.7 61.44 33.12 58.69 3.61 426.04 66.06
CFB Commercial Federal Corp. of NE 50.00 21,582 1,079.1 51.19 29.08 48.50 3.09 ***.** 56.25
DME Dime Bancorp, Inc. of NY* 24.69 101,492 2,505.8 26.00 14.62 24.00 2.88 145.43 67.39
DSL Downey Financial Corp. of CA 27.06 26,754 724.0 27.56 16.35 26.25 3.09 149.17 44.78
FED FirstFed Fin. Corp. of CA 37.06 10,585 392.3 38.25 20.50 35.00 5.89 129.47 68.45
GSB Glendale Fed. Bk, FSB of CA 34.00 50,456 1,715.5 36.12 19.75 33.25 2.26 109.23 46.24
GDW Golden West Fin. Corp. of CA 88.44 56,770 5,020.7 93.81 59.87 86.75 1.95 237.69 40.11
GPT GreenPoint Fin. Corp. of NY* 68.69 42,826 2,941.7 69.06 45.62 64.37 6.71 N.A. 44.61
JSB JSB Financial, Inc. of NY 48.69 9,898 481.9 49.56 35.87 48.19 1.04 323.39 28.13
NYB New York Bancorp, Inc. of NY 35.06 21,319 747.4 35.37 16.75 34.25 2.36 394.50 81.00
WES Westcorp Inc. of Orange CA 18.44 26,256 484.2 23.62 13.25 18.56 -0.65 151.57 -15.72
AMEX Traded Companies
- ---------------------
ANA Acadiana Bancshares of LA* 23.25 2,731 63.5 24.75 14.12 23.00 1.09 N.A. 56.36
ANE Alliance Bancorp of New Englan* 17.25 1,627 28.1 18.00 8.72 17.12 0.76 137.93 91.67
BKC American Bank of Waterbury CT* 46.00 2,313 106.4 46.00 27.37 44.50 3.37 145.33 64.29
BFD BostonFed Bancorp of MA 20.12 5,650 113.7 22.31 13.87 20.50 -1.85 N.A. 36.41
CFX CFX Corp of NH(8)* 26.50 23,977 635.4 26.50 14.05 24.62 7.64 122.69 70.97
CNY Carver Bancorp, Inc. of NY 13.00 2,314 30.1 13.37 7.37 12.75 1.96 108.00 57.58
CBK Citizens First Fin.Corp. of IL 18.50 2,594 48.0 19.50 12.12 18.37 0.71 N.A. 28.74
ESX Essex Bancorp of VA(8) 5.50 1,057 5.8 7.94 1.00 5.37 2.42 -67.16 151.14
FCB Falmouth Co-Op Bank of MA* 20.12 1,455 29.3 22.00 12.87 20.50 -1.85 N.A. 53.35
FAB FirstFed America Bancorp of MA 20.56 8,707 179.0 22.12 13.62 20.50 0.29 N.A. N.A.
GAF GA Financial Corp. of PA 18.87 7,973 150.5 19.62 13.62 19.50 -3.23 N.A. 24.80
KNK Kankakee Bancorp of IL 31.75 1,426 45.3 34.62 22.50 31.50 0.79 217.50 28.28
KYF Kentucky First Bancorp of KY 13.62 1,303 17.7 15.12 10.56 13.75 -0.95 N.A. 25.30
MBB MSB Bancorp of Middletown NY* 28.50 2,844 81.1 28.87 16.37 28.00 1.79 185.00 45.26
PDB Piedmont Bancorp of NC 10.87 2,751 29.9 19.12 9.25 11.00 -1.18 N.A. 3.52
SSB Scotland Bancorp of NC 10.81 1,914 20.7 19.25 10.50 10.56 2.37 N.A. -23.44
SZB SouthFirst Bancshares of AL 18.87 848 16.0 20.87 12.25 19.50 -3.23 N.A. 42.42
SRN Southern Banc Company of AL 17.12 1,230 21.1 17.37 13.12 17.25 -0.75 N.A. 30.49
SSM Stone Street Bancorp of NC 19.50 1,898 37.0 27.25 19.37 19.62 -0.61 N.A. -4.88
TSH Teche Holding Company of LA 21.75 3,438 74.8 23.50 13.00 20.87 4.22 N.A. 51.36
FTF Texarkana Fst. Fin. Corp of AR 25.75 1,790 46.1 27.00 13.62 26.00 -0.96 N.A. 64.75
THR Three Rivers Fin. Corp. of MI 19.37 824 16.0 20.12 13.62 18.00 7.61 N.A. 38.36
WSB Washington SB, FSB of MD 7.75 4,348 33.7 8.25 4.38 7.50 3.33 520.00 59.14
NASDAQ Listed OTC Companies
- ---------------------------
FBCV 1st Bancorp of Vincennes IN 35.87 692 24.8 41.00 27.14 35.50 1.04 N.A. 25.86
AFED AFSALA Bancorp, Inc. of NY 18.75 1,455 27.3 19.50 11.37 18.75 0.00 N.A. 56.25
ALBK ALBANK Fin. Corp. of Albany NY 44.50 12,872 572.8 47.75 28.13 46.25 -3.78 91.40 41.86
AMFC AMB Financial Corp. of IN 16.37 964 15.8 17.75 12.50 16.37 0.00 N.A. 23.55
ASBP ASB Financial Corp. of OH 13.12 1,721 22.6 18.25 11.50 13.00 0.92 N.A. 0.92
ABBK Abington Savings Bank of MA* 35.50 1,840 65.3 36.50 19.00 35.50 0.00 436.25 82.05
AABC Access Anytime Bancorp of NM 9.75 1,217 11.9 10.12 5.15 8.75 11.43 44.44 80.89
AFBC Advance Fin. Bancorp of WV 17.75 1,084 19.2 17.87 12.75 17.75 0.00 N.A. N.A.
AADV Advantage Bancorp of WI 59.38 3,236 192.2 60.00 31.25 56.00 6.04 545.43 84.12
AFCB Affiliated Comm BC, Inc of MA 29.00 6,493 188.3 32.12 17.10 29.25 -0.85 N.A. 69.59
ALBC Albion Banc Corp. of Albion NY 29.25 250 7.3 30.50 16.50 29.25 0.00 125.00 74.63
ABCL Allied Bancorp of IL 26.75 8,020 214.5 28.37 16.00 26.00 2.88 301.05 60.47
</TABLE>
<TABLE>
<CAPTION>
Current Per Share Financials
----------------------------------------
Tangible
Trailing 12 Mo. Book Book
12 Mo. Core Value/ Value/ Assets/
Financial Institution EPS(3) EPS(3) Share Share(4) Share
- --------------------- -------- ------- ------- ------- -------
($) ($) ($) ($) ($)
<S> <C> <C> <C> <C> <C>
NYSE Traded Companies
- ---------------------
AHM Ahmanson and Co. H.F. of CA 2.04 3.26 20.98 17.88 503.46
CSA Coast Savings Financial of CA 0.99 2.48 24.03 23.72 488.24
CFB Commercial Federal Corp. of NE 2.04 2.89 19.74 17.51 328.82
DME Dime Bancorp, Inc. of NY* 1.07 1.36 10.44 9.95 197.92
DSL Downey Financial Corp. of CA 0.86 1.43 15.25 15.04 219.99
FED FirstFed Fin. Corp. of CA 1.13 2.07 19.13 18.91 396.15
GSB Glendale Fed. Bk, FSB of CA 0.79 1.85 17.77 15.80 321.43
GDW Golden West Fin. Corp. of CA 6.74 8.21 43.88 43.88 688.66
GPT GreenPoint Fin. Corp. of NY* 3.33 3.25 32.02 18.00 310.56
JSB JSB Financial, Inc. of NY 2.77 2.63 35.35 35.35 154.69
NYB New York Bancorp, Inc. of NY 2.00 2.35 7.83 7.83 154.02
WES Westcorp Inc. of Orange CA 1.11 0.55 12.68 12.64 140.09
AMEX Traded Companies
- ---------------------
ANA Acadiana Bancshares of LA* 0.47 0.47 16.70 16.70 95.82
ANE Alliance Bancorp of New Englan* 1.06 1.11 10.17 9.88 146.42
BKC American Bank of Waterbury CT* 3.13 2.68 21.70 20.83 261.94
BFD BostonFed Bancorp of MA 0.78 1.01 15.18 14.67 172.73
CFX CFX Corp of NH(8)* 0.60 0.72 5.77 5.40 77.53
CNY Carver Bancorp, Inc. of NY -0.74 0.01 14.93 14.32 178.81
CBK Citizens First Fin.Corp. of IL 0.30 0.59 14.74 14.74 104.69
ESX Essex Bancorp of VA(8) -0.05 0.05 0.49 0.31 179.83
FCB Falmouth Co-Op Bank of MA* 0.52 0.49 15.40 15.40 64.49
FAB FirstFed America Bancorp of MA -0.21 0.50 14.26 14.26 117.25
GAF GA Financial Corp. of PA 0.80 1.02 14.27 14.12 94.04
KNK Kankakee Bancorp of IL 1.62 2.02 26.57 24.98 239.61
KYF Kentucky First Bancorp of KY 0.58 0.76 11.30 11.30 68.19
MBB MSB Bancorp of Middletown NY* 0.49 0.52 21.15 10.38 286.18
PDB Piedmont Bancorp of NC -0.19 0.30 7.42 7.42 44.62
SSB Scotland Bancorp of NC 0.51 0.62 13.44 13.44 36.30
SZB SouthFirst Bancshares of AL -0.03 0.25 16.06 16.06 114.72
SRN Southern Banc Company of AL 0.12 0.43 14.58 14.43 85.72
SSM Stone Street Bancorp of NC 0.80 0.96 16.13 16.13 55.91
TSH Teche Holding Company of LA 0.78 1.08 15.53 15.53 118.17
FTF Texarkana Fst. Fin. Corp of AR 1.31 1.62 15.03 15.03 95.73
THR Three Rivers Fin. Corp. of MI 0.62 0.90 15.54 15.48 115.45
WSB Washington SB, FSB of MD 0.25 0.35 5.16 5.16 61.61
NASDAQ Listed OTC Companies
- ---------------------------
FBCV 1st Bancorp of Vincennes IN 1.19 0.51 32.27 31.61 390.88
AFED AFSALA Bancorp, Inc. of NY 0.82 0.82 14.74 14.74 109.40
ALBK ALBANK Fin. Corp. of Albany NY 2.29 2.81 25.75 22.51 279.85
AMFC AMB Financial Corp. of IN 0.66 0.73 14.61 14.61 97.70
ASBP ASB Financial Corp. of OH 0.39 0.56 10.29 10.29 65.35
ABBK Abington Savings Bank of MA* 2.17 1.93 18.85 16.98 272.42
AABC Access Anytime Bancorp of NM -0.44 -0.11 6.41 6.41 85.99
AFBC Advance Fin. Bancorp of WV 0.51 0.77 14.88 14.88 96.46
AADV Advantage Bancorp of WI 1.27 2.81 29.03 27.14 315.05
AFCB Affiliated Comm BC, Inc of MA 1.52 1.74 16.42 16.33 167.94
ALBC Albion Banc Corp. of Albion NY 0.27 0.96 23.96 23.96 274.51
ABCL Allied Bancorp of IL 0.61 0.89 15.60 15.40 175.10
</TABLE>
<PAGE> 30
RP FINANCIAL, LC.
- --------------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part One
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Price Change Data
Market Capitalization -----------------------------------------------
----------------------- 52 Week (1) % Change From
Shares Market --------------- -----------------------
Price/ Outst- Capital- Last Last Dec 31, Dec 31,
Financial Institution Share(1) anding ization(9) High Low Week Week 1994(2) 1995(2)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- --------
($) (000) ($Mil) ($) ($) ($) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
ATSB AmTrust Capital Corp. of IN 14.00 526 7.4 14.25 9.75 13.87 0.94 N.A. 40.00
AHCI Ambanc Holding Co., Inc. of NY* 16.87 4,392 74.1 17.37 10.37 16.00 5.44 N.A. 49.96
ASBI Ameriana Bancorp of IN 20.50 3,231 66.2 22.00 14.25 20.25 1.23 122.10 28.13
AFFFZ America First Fin. Fund of CA(8) 44.50 6,011 267.5 44.50 28.75 43.50 2.30 137.33 47.11
ANBK American Nat'l Bancorp of MD(8) 20.25 3,613 73.2 20.69 11.37 20.06 0.95 N.A. 67.08
ABCW Anchor Bancorp Wisconsin of WI 30.50 9,054 276.1 32.25 17.31 29.00 5.17 107.62 70.68
ANDB Andover Bancorp, Inc. of MA* 38.62 5,149 198.9 40.50 25.00 36.75 5.09 259.26 50.74
ASFC Astoria Financial Corp. of NY 55.31 20,666 1,143.0 56.62 34.00 52.25 5.86 110.70 50.01
AVND Avondale Fin. Corp. of IL 17.12 3,495 59.8 18.87 12.75 17.00 0.71 N.A. 0.00
BKCT Bancorp Connecticut of CT* 38.00 2,543 96.6 39.25 21.50 37.75 0.66 334.29 68.89
BPLS Bank Plus Corp. of CA 11.94 19,341 230.9 13.75 9.62 12.00 -0.50 N.A. 3.83
BWFC Bank West Fin. Corp. of MI 22.25 1,753 39.0 22.50 10.25 21.75 2.30 N.A. 109.51
BANC BankAtlantic Bancorp of FL 13.69 22,276 305.0 17.12 12.12 13.87 -1.30 229.09 2.39
BKUNA BankUnited SA of FL 13.25 8,869 117.5 13.75 8.00 13.12 0.99 144.01 32.50
BVCC Bay View Capital Corp. of CA 30.50 12,421 378.8 30.62 19.50 30.50 0.00 54.43 43.94
FSNJ Bayonne Banchsares of NJ 12.62 8,993 113.5 13.06 5.46 12.75 -1.02 N.A. 60.97
BFSB Bedford Bancshares of VA 27.25 1,142 31.1 27.25 17.50 25.00 9.00 159.52 54.65
BFFC Big Foot Fin. Corp. of IL 18.37 2,513 46.2 19.62 12.31 18.75 -2.03 N.A. 41.31
BSBC Branford SB of CT(8)* 5.25 6,559 34.4 6.31 3.19 5.63 -6.75 147.64 35.66
BYFC Broadway Fin. Corp. of CA 12.94 835 10.8 13.00 9.00 12.94 0.00 N.A. 39.89
CBES CBES Bancorp of MO 20.37 1,025 20.9 22.37 13.25 19.37 5.16 N.A. 42.95
CCFH CCF Holding Company of GA 21.00 820 17.2 21.00 14.25 21.00 0.00 N.A. 42.37
CENF CENFED Financial Corp. of CA 40.00 5,959 238.4 42.25 23.86 40.37 -0.92 155.10 50.43
CFSB CFSB Bancorp of Lansing MI 32.00 5,087 162.8 32.50 16.36 31.25 2.40 255.56 80.49
CKFB CKF Bancorp of Danville KY 18.00 925 16.7 20.50 17.50 17.75 1.41 N.A. -11.11
CNSB CNS Bancorp of MO 17.25 1,653 28.5 20.00 13.75 17.25 0.00 N.A. 14.09
CSBF CSB Financial Group Inc of IL* 12.44 942 11.7 12.75 9.62 12.50 -0.48 N.A. 22.92
CBCI Calumet Bancorp of Chicago IL 50.25 2,111 106.1 51.00 28.50 50.50 -0.50 148.15 51.13
CAFI Camco Fin. Corp. of OH 23.12 3,214 74.3 23.75 14.05 23.00 0.52 N.A. 52.91
CMRN Cameron Fin. Corp. of MO 19.50 2,627 51.2 19.50 14.50 19.12 1.99 N.A. 21.88
CAPS Capital Savings Bancorp of MO 18.25 1,892 34.5 19.25 12.31 18.25 0.00 37.74 40.38
CFNC Carolina Fincorp of NC* 17.50 1,851 32.4 17.87 13.00 17.00 2.94 N.A. 30.89
CASB Cascade SB of Everett WA(8) 14.00 2,570 36.0 16.80 10.40 13.00 7.69 9.38 8.53
CATB Catskill Fin. Corp. of NY* 17.98 4,657 83.7 19.12 13.00 17.75 1.30 N.A. 28.43
CNIT Cenit Bancorp of Norfolk VA 67.00 1,654 110.8 67.87 38.50 65.00 3.08 321.91 61.45
CEBK Central Co-Op. Bank of MA* 23.75 1,965 46.7 24.87 15.50 22.50 5.56 352.38 35.71
CENB Century Bancshares of NC* 81.00 407 33.0 84.00 62.00 84.00 -3.57 N.A. 24.62
CBSB Charter Financial Inc. of IL 21.37 4,150 88.7 21.56 12.50 21.37 0.00 N.A. 70.96
COFI Charter One Financial of OH 58.87 49,563 2,917.8 61.91 36.91 58.12 1.29 236.40 47.17
CVAL Chester Valley Bancorp of PA 26.00 2,189 56.9 26.00 13.90 26.00 0.00 129.48 84.40
CTZN CitFed Bancorp of Dayton OH 54.87 8,656 475.0 55.50 28.25 49.25 11.41 509.67 66.27
CLAS Classic Bancshares of KY 15.75 1,305 20.6 17.12 11.25 15.75 0.00 N.A. 35.54
CMSB Cmnwealth Bancorp of PA 18.50 16,243 300.5 19.50 13.12 18.25 1.37 N.A. 23.33
CBSA Coastal Bancorp of Houston TX 30.12 4,992 150.4 33.25 21.50 28.13 7.07 N.A. 31.70
CFCP Coastal Fin. Corp. of SC 24.00 4,647 111.5 27.75 14.44 23.50 2.13 140.00 52.38
CMSV Commty. Svgs, MHC of FL (48.5) 36.50 5,095 90.2 39.75 16.75 36.50 0.00 N.A. 78.05
CFTP Community Fed. Bancorp of MS 16.87 4,629 78.1 20.00 16.00 17.00 -0.76 N.A. -0.76
CFFC Community Fin. Corp. of VA 23.12 1,275 29.5 23.50 20.50 22.50 2.76 230.29 11.42
CFBC Community First Bnkg Co. of GA 37.50 2,414 90.5 40.00 31.87 36.62 2.40 N.A. N.A.
CIBI Community Inv. Bancorp of OH 15.75 916 14.4 16.00 10.33 15.00 5.00 N.A. 39.01
COOP Cooperative Bk.for Svgs. of NC 16.75 2,983 50.0 17.25 9.50 16.75 0.00 235.00 65.51
CRZY Crazy Woman Creek Bncorp of WY 15.06 955 14.4 15.50 11.25 15.12 -0.40 N.A. 25.50
DNFC D&N Financial Corp. of MI 25.16 8,244 207.4 25.25 14.81 25.12 0.16 187.54 50.21
DCBI Delphos Citizens Bancorp of OH 17.50 1,960 34.3 18.25 11.75 17.75 -1.41 N.A. 45.83
DIME Dime Community Bancorp of NY 22.62 12,625 285.6 23.12 13.87 21.12 7.10 N.A. 53.36
</TABLE>
<TABLE>
<CAPTION>
Current Per Share Financials
----------------------------------------
Tangible
Trailing 12 Mo. Book Book
12 Mo. Core Value/ Value/ Assets/
Financial Institution EPS(3) EPS(3) Share Share(4) Share
- --------------------- -------- ------- ------- ------- -------
($) ($) ($) ($) ($)
<S> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
ATSB AmTrust Capital Corp. of IN 0.25 0.41 14.19 14.05 137.35
AHCI Ambanc Holding Co., Inc. of NY* -0.64 -0.67 14.29 14.29 110.42
ASBI Ameriana Bancorp of IN 0.75 1.05 13.49 13.48 123.10
AFFFZ America First Fin. Fund of CA(8) 5.51 6.76 30.76 30.38 364.44
ANBK American Nat'l Bancorp of MD(8) 0.37 0.86 12.54 12.54 139.86
ABCW Anchor Bancorp Wisconsin of WI 1.55 1.99 13.24 12.99 212.71
ANDB Andover Bancorp, Inc. of MA* 2.57 2.65 19.58 19.58 242.95
ASFC Astoria Financial Corp. of NY 1.99 2.84 29.02 24.37 370.87
AVND Avondale Fin. Corp. of IL -0.85 -2.63 15.85 15.85 173.75
BKCT Bancorp Connecticut of CT* 2.15 2.02 17.26 17.26 168.45
BPLS Bank Plus Corp. of CA -0.46 0.04 9.26 9.24 182.72
BWFC Bank West Fin. Corp. of MI 0.53 0.47 12.89 12.89 88.80
BANC BankAtlantic Bancorp of FL 0.98 0.72 6.89 5.66 122.57
BKUNA BankUnited SA of FL 0.29 0.48 7.59 6.15 203.77
BVCC Bay View Capital Corp. of CA 1.01 1.65 15.80 13.26 249.27
FSNJ Bayonne Banchsares of NJ -0.24 -0.04 9.91 9.91 68.72
BFSB Bedford Bancshares of VA 1.14 1.46 16.80 16.80 118.61
BFFC Big Foot Fin. Corp. of IL 0.04 0.35 14.34 14.34 84.46
BSBC Branford SB of CT(8)* 0.32 0.32 2.64 2.64 28.44
BYFC Broadway Fin. Corp. of CA -0.19 0.29 14.65 14.65 146.40
CBES CBES Bancorp of MO 0.84 1.03 17.34 17.34 98.61
CCFH CCF Holding Company of GA 0.05 0.07 14.36 14.36 122.93
CENF CENFED Financial Corp. of CA 1.90 2.71 20.04 20.01 385.22
CFSB CFSB Bancorp of Lansing MI 1.37 1.73 12.67 12.67 166.20
CKFB CKF Bancorp of Danville KY 1.17 0.86 15.75 15.75 65.74
CNSB CNS Bancorp of MO 0.25 0.46 14.84 14.84 59.50
CSBF CSB Financial Group Inc of IL* 0.16 0.26 12.98 12.27 51.85
CBCI Calumet Bancorp of Chicago IL 2.72 3.45 36.46 36.46 235.23
CAFI Camco Fin. Corp. of OH 1.11 1.24 14.58 13.45 152.41
CMRN Cameron Fin. Corp. of MO 0.78 0.97 17.18 17.18 79.22
CAPS Capital Savings Bancorp of MO 0.82 1.15 11.28 11.28 128.18
CFNC Carolina Fincorp of NC* 0.68 0.65 13.75 13.75 60.24
CASB Cascade SB of Everett WA(8) 0.47 0.71 8.78 8.78 143.24
CATB Catskill Fin. Corp. of NY* 0.86 0.88 15.28 15.28 61.03
CNIT Cenit Bancorp of Norfolk VA 3.74 3.43 31.05 28.51 428.99
CEBK Central Co-Op. Bank of MA* 1.44 1.46 17.07 15.20 163.33
CENB Century Bancshares of NC* 4.33 4.36 74.45 74.45 247.27
CBSB Charter Financial Inc. of IL 1.05 1.47 13.71 12.13 94.76
COFI Charter One Financial of OH 2.78 3.48 19.70 18.45 293.86
CVAL Chester Valley Bancorp of PA 0.88 1.25 12.36 12.36 147.86
CTZN CitFed Bancorp of Dayton OH 1.94 2.73 22.79 20.52 357.85
CLAS Classic Bancshares of KY 0.45 0.63 14.84 12.52 100.81
CMSB Cmnwealth Bancorp of PA 0.73 0.93 13.57 10.61 140.92
CBSA Coastal Bancorp of Houston TX 1.44 2.51 19.77 16.44 593.77
CFCP Coastal Fin. Corp. of SC 0.95 1.04 6.68 6.68 108.19
CMSV Commty. Svgs, MHC of FL (48.5) 0.73 1.09 15.44 15.44 137.35
CFTP Community Fed. Bancorp of MS 0.59 0.72 12.40 12.40 45.16
CFFC Community Fin. Corp. of VA 1.32 1.67 18.86 18.86 137.58
CFBC Community First Bnkg Co. of GA 1.05 1.06 28.74 28.35 186.68
CIBI Community Inv. Bancorp of OH 0.64 0.98 12.13 12.13 100.77
COOP Cooperative Bk.for Svgs. of NC -0.90 0.22 9.02 9.02 118.15
CRZY Crazy Woman Creek Bncorp of WY 0.58 0.71 14.67 14.67 56.83
DNFC D&N Financial Corp. of MI 1.09 1.44 10.88 10.77 195.15
DCBI Delphos Citizens Bancorp of OH 0.75 0.75 15.53 15.53 54.68
DIME Dime Community Bancorp of NY 0.98 1.05 15.12 13.03 104.16
</TABLE>
<PAGE> 31
RP FINANCIAL, LC.
- --------------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part One
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Price Change Data
Market Capitalization -----------------------------------------------
----------------------- 52 Week (1) % Change From
Shares Market --------------- -----------------------
Price/ Outst- Capital- Last Last Dec 31, Dec 31,
Financial Institution Share(1) anding ization(9) High Low Week Week 1994(2) 1995(2)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- --------
($) (000) ($Mil) ($) ($) ($) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
DIBK Dime Financial Corp. of CT* 30.75 5,162 158.7 32.00 16.50 30.50 0.82 192.86 78.26
EGLB Eagle BancGroup of IL 18.75 1,198 22.5 19.50 13.25 18.75 0.00 N.A. 26.09
EBSI Eagle Bancshares of Tucker GA 18.50 5,660 104.7 20.94 13.62 18.25 1.37 155.17 19.35
EGFC Eagle Financial Corp. of CT(8) 52.50 6,316 331.6 52.50 26.50 50.25 4.48 500.00 72.13
ETFS East Texas Fin. Serv. of TX 19.37 1,025 19.9 21.50 15.00 19.37 0.00 N.A. 18.33
EMLD Emerald Financial Corp of OH 18.50 5,072 93.8 19.00 10.62 18.00 2.78 N.A. 64.44
EIRE Emerald Island Bancorp, MA(8)* 31.75 2,250 71.4 31.87 13.40 31.75 0.00 316.67 98.44
EFBC Empire Federal Bancorp of MT 17.00 2,592 44.1 18.25 12.50 16.50 3.03 N.A. N.A.
EFBI Enterprise Fed. Bancorp of OH 25.50 1,985 50.6 27.37 14.12 25.25 0.99 N.A. 75.86
EQSB Equitable FSB of Wheaton MD 44.66 602 26.9 45.75 26.50 44.50 0.36 N.A. 58.09
FCBF FCB Fin. Corp. of Neenah WI 27.75 4,073 113.0 28.13 18.50 27.25 1.83 N.A. 50.00
FFBS FFBS Bancorp of Columbus MS 23.25 1,557 36.2 26.00 21.00 22.50 3.33 N.A. 1.09
FFDF FFD Financial Corp. of OH 18.75 1,455 27.3 19.50 12.25 18.25 2.74 N.A. 41.51
FFLC FFLC Bancorp of Leesburg FL 35.25 2,301 81.1 36.75 19.50 35.25 0.00 N.A. 63.95
FFFC FFVA Financial Corp. of VA 33.12 4,522 149.8 35.12 20.00 34.25 -3.30 N.A. 61.56
FFWC FFW Corporation of Wabash IN 32.50 715 23.2 32.50 20.75 31.25 4.00 N.A. 48.54
FFYF FFY Financial Corp. of OH 29.75 4,122 122.6 29.75 24.87 28.75 3.48 N.A. 17.54
FMCO FMS Financial Corp. of NJ 30.00 2,388 71.6 31.50 16.66 28.50 5.26 233.33 64.38
FFHH FSF Financial Corp. of MN 19.44 3,010 58.5 21.00 13.62 19.12 1.67 N.A. 28.57
FOBC Fed One Bancorp of Wheeling WV 25.25 2,373 59.9 27.00 15.37 24.62 2.56 152.50 60.32
FBCI Fidelity Bancorp of Chicago IL 24.50 2,795 68.5 25.75 16.87 24.06 1.83 N.A. 44.12
FSBI Fidelity Bancorp, Inc. of PA 24.00 1,550 37.2 25.00 16.82 24.00 0.00 210.48 32.01
FFFL Fidelity FSB, MHC of FL (47.7) 28.00 6,771 90.3 32.50 16.37 28.25 -0.88 N.A. 57.75
FFED Fidelity Fed. Bancorp of IN 9.75 2,791 27.2 11.25 7.50 10.00 -2.50 38.30 0.00
FFOH Fidelity Financial of OH 15.12 5,580 84.4 16.37 10.25 15.00 0.80 N.A. 31.48
FIBC Financial Bancorp, Inc. of NY 24.12 1,710 41.2 24.25 14.00 24.25 -0.54 N.A. 60.80
FBSI First Bancshares of MO 25.25 1,093 27.6 28.00 15.25 28.00 -9.82 98.04 51.93
FBBC First Bell Bancorp of PA 17.25 6,511 112.3 18.37 13.12 17.50 -1.43 N.A. 30.19
FBER First Bergen Bancorp of NJ 19.00 2,865 54.4 19.50 11.37 19.25 -1.30 N.A. 65.22
SKBO First Carnegie,MHC of PA(45.0) 18.62 2,300 19.3 19.87 11.62 18.12 2.76 N.A. N.A.
FSTC First Citizens Corp of GA 40.75 1,833 74.7 40.75 21.25 38.50 5.84 226.00 61.39
FCME First Coastal Corp. of ME* 13.50 1,359 18.3 15.75 7.00 12.75 5.88 N.A. 74.19
FFBA First Colorado Bancorp of Co 20.62 16,485 339.9 21.50 15.87 20.37 1.23 524.85 21.29
FDEF First Defiance Fin.Corp. of OH 15.37 8,957 137.7 16.00 11.25 15.87 -3.15 N.A. 24.25
FESX First Essex Bancorp of MA* 19.87 7,527 149.6 20.50 12.25 20.00 -0.65 231.17 51.45
FFES First FS&LA of E. Hartford CT 36.50 2,682 97.9 37.12 20.00 35.62 2.47 461.54 58.70
FFSX First FS&LA. MHC of IA (46.1) 32.75 2,833 42.7 35.00 20.75 32.25 1.55 391.00 67.95
BDJI First Fed. Bancorp. of MN 24.62 683 16.8 25.50 16.00 24.62 0.00 N.A. 33.08
FFBH First Fed. Bancshares of AR 21.50 4,896 105.3 21.75 15.75 21.50 0.00 N.A. 35.48
FTFC First Fed. Capital Corp. of WI 26.25 9,165 240.6 29.00 15.17 27.25 -3.67 250.00 67.52
FFKY First Fed. Fin. Corp. of KY 21.50 4,159 89.4 23.50 17.75 21.75 -1.15 36.51 6.17
FFBZ First Federal Bancorp of OH 19.25 1,572 30.3 20.50 13.50 19.25 0.00 92.50 20.31
FFCH First Fin. Holdings Inc. of SC 41.25 6,357 262.2 41.25 21.50 38.62 6.81 236.73 83.33
FFBI First Financial Bancorp of IL 19.25 415 8.0 20.00 15.50 19.25 0.00 N.A. 21.30
FFHS First Franklin Corp. of OH 24.25 1,192 28.9 24.50 16.00 23.00 5.43 84.83 46.97
FGHC First Georgia Hold. Corp of GA 8.37 3,052 25.5 9.50 4.17 8.13 2.95 118.54 47.62
FSPG First Home Bancorp of NJ 22.75 2,708 61.6 23.62 13.50 23.25 -2.15 279.17 64.02
FFSL First Independence Corp. of KS 14.50 997 14.5 14.75 9.81 14.75 -1.69 N.A. 39.83
FISB First Indiana Corp. of IN 24.62 10,561 260.0 26.00 17.37 25.00 -1.52 82.37 15.05
FKFS First Keystone Fin. Corp of PA 32.12 1,228 39.4 33.25 19.00 30.00 7.07 N.A. 66.86
FLKY First Lancaster Bncshrs of KY 15.75 959 15.1 16.37 14.50 15.75 0.00 N.A. 7.73
FLFC First Liberty Fin. Corp. of GA 28.25 7,725 218.2 28.37 17.62 26.37 7.13 456.10 53.78
CASH First Midwest Fin. Corp. of IA 19.69 2,734 53.8 20.75 15.00 19.50 0.97 N.A. 28.44
FMBD First Mutual Bancorp of IL 19.94 3,507 69.9 21.50 13.75 18.37 8.55 N.A. 32.93
FMSB First Mutual SB of Bellevue WA* 18.25 4,067 74.2 20.17 9.54 17.16 6.35 253.68 72.01
</TABLE>
<TABLE>
<CAPTION>
Current Per Share Financials
----------------------------------------
Tangible
Trailing 12 Mo. Book Book
12 Mo. Core Value/ Value/ Assets/
Financial Institution EPS(3) EPS(3) Share Share(4) Share
- --------------------- -------- ------- ------- ------- -------
($) ($) ($) ($) ($)
<S> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
DIBK Dime Financial Corp. of CT* 2.81 2.82 13.48 13.04 169.29
EGLB Eagle BancGroup of IL -0.12 0.28 17.25 17.25 145.50
EBSI Eagle Bancshares of Tucker GA 0.64 0.87 12.45 12.45 149.91
EGFC Eagle Financial Corp. of CT(8) 0.19 1.08 21.89 17.09 318.77
ETFS East Texas Fin. Serv. of TX 0.34 0.70 19.97 19.97 109.95
EMLD Emerald Financial Corp of OH 0.81 1.00 9.01 8.87 118.90
EIRE Emerald Island Bancorp, MA(8)* 1.52 1.59 13.36 13.36 188.90
EFBC Empire Federal Bancorp of MT 0.35 0.46 14.76 14.76 42.30
EFBI Enterprise Fed. Bancorp of OH 0.82 0.92 15.94 15.92 129.32
EQSB Equitable FSB of Wheaton MD 2.20 3.51 25.80 25.80 511.96
FCBF FCB Fin. Corp. of Neenah WI 0.60 0.71 11.65 11.65 66.58
FFBS FFBS Bancorp of Columbus MS 0.95 1.20 16.15 16.15 83.98
FFDF FFD Financial Corp. of OH 0.98 0.55 14.76 14.76 60.48
FFLC FFLC Bancorp of Leesburg FL 1.07 1.54 22.68 22.68 168.23
FFFC FFVA Financial Corp. of VA 1.32 1.60 16.29 15.94 123.59
FFWC FFW Corporation of Wabash IN 1.88 2.35 23.97 21.60 251.83
FFYF FFY Financial Corp. of OH 1.29 1.83 19.94 19.94 145.38
FMCO FMS Financial Corp. of NJ 1.56 2.29 15.24 14.97 232.38
FFHH FSF Financial Corp. of MN 0.79 1.00 14.26 14.26 125.66
FOBC Fed One Bancorp of Wheeling WV 0.99 1.41 16.63 15.86 150.32
FBCI Fidelity Bancorp of Chicago IL 0.95 1.33 18.20 18.16 175.26
FSBI Fidelity Bancorp, Inc. of PA 1.08 1.72 15.83 15.83 234.39
FFFL Fidelity FSB, MHC of FL (47.7) 0.50 0.79 12.36 12.27 147.58
FFED Fidelity Fed. Bancorp of IN 0.04 0.27 4.63 4.63 85.99
FFOH Fidelity Financial of OH 0.51 0.75 12.17 10.74 94.04
FIBC Financial Bancorp, Inc. of NY 0.88 1.56 15.46 15.39 165.20
FBSI First Bancshares of MO 1.29 1.57 20.32 20.29 150.02
FBBC First Bell Bancorp of PA 1.06 1.23 10.78 10.78 109.72
FBER First Bergen Bancorp of NJ 0.40 0.69 14.10 14.10 99.39
SKBO First Carnegie,MHC of PA(45.0) 0.33 0.33 10.52 10.52 63.97
FSTC First Citizens Corp of GA 2.86 2.82 17.99 13.99 184.86
FCME First Coastal Corp. of ME* 4.50 4.36 10.35 10.35 112.13
FFBA First Colorado Bancorp of Co 0.79 0.78 11.81 11.65 91.59
FDEF First Defiance Fin.Corp. of OH 0.45 0.61 13.15 13.15 61.65
FESX First Essex Bancorp of MA* 1.32 1.15 11.54 10.02 165.46
FFES First FS&LA of E. Hartford CT 1.52 2.50 23.58 23.58 366.74
FFSX First FS&LA. MHC of IA (46.1) 0.68 1.19 13.72 13.60 165.40
BDJI First Fed. Bancorp. of MN 0.47 1.00 17.60 17.60 161.92
FFBH First Fed. Bancshares of AR 0.81 1.11 16.36 16.36 109.31
FTFC First Fed. Capital Corp. of WI 1.17 1.37 10.61 9.95 166.97
FFKY First Fed. Fin. Corp. of KY 1.15 1.36 12.42 11.70 90.74
FFBZ First Federal Bancorp of OH 0.88 1.23 9.66 9.65 128.03
FFCH First Fin. Holdings Inc. of SC 1.43 2.10 16.03 16.03 262.26
FFBI First Financial Bancorp of IL -0.85 0.94 17.63 17.63 203.69
FFHS First Franklin Corp. of OH 0.36 1.21 17.17 17.06 190.39
FGHC First Georgia Hold. Corp of GA 0.32 0.25 4.21 3.86 51.24
FSPG First Home Bancorp of NJ 1.64 2.14 12.85 12.64 192.91
FFSL First Independence Corp. of KS 0.47 0.75 11.60 11.60 111.21
FISB First Indiana Corp. of IN 1.17 1.43 13.77 13.60 144.00
FKFS First Keystone Fin. Corp of PA 1.35 1.93 19.09 19.09 261.24
FLKY First Lancaster Bncshrs of KY 0.47 0.57 14.71 14.71 44.64
FLFC First Liberty Fin. Corp. of GA 1.32 1.08 12.30 11.09 166.85
CASH First Midwest Fin. Corp. of IA 1.00 1.27 15.62 13.84 137.10
FMBD First Mutual Bancorp of IL 0.10 0.32 15.30 11.59 119.10
FMSB First Mutual SB of Bellevue WA* 1.04 1.01 7.25 7.25 106.23
</TABLE>
<PAGE> 32
RP FINANCIAL, LC.
- --------------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part One
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Price Change Data
Market Capitalization -----------------------------------------------
----------------------- 52 Week (1) % Change From
Shares Market --------------- -----------------------
Price/ Outst- Capital- Last Last Dec 31, Dec 31,
Financial Institution Share(1) anding ization(9) High Low Week Week 1994(2) 1995(2)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- --------
($) (000) ($Mil) ($) ($) ($) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
FNGB First Northern Cap. Corp of WI 13.75 8,840 121.6 14.00 8.00 13.50 1.85 89.39 69.13
FFPB First Palm Beach Bancorp of FL 39.75 5,048 200.7 40.56 23.00 38.50 3.25 N.A. 68.29
FSLA First SB SLA MHC of NJ (47.5)(8) 39.50 8,007 134.5 47.50 14.26 42.50 -7.06 295.00 134.84
SOPN First SB, SSB, Moore Co. of NC 23.75 3,687 87.6 25.00 17.75 23.25 2.15 N.A. 26.67
FWWB First Savings Bancorp of WA* 23.37 10,519 245.8 26.37 16.75 23.75 -1.60 N.A. 27.22
FSFF First SecurityFed Fin of IL 15.19 6,408 97.3 15.37 15.06 0.00 -1.00 N.A. N.A.
SHEN First Shenango Bancorp of PA 34.00 2,069 70.3 35.00 21.75 34.00 0.00 N.A. 51.11
FSFC First So.east Fin. Corp. of SC(8) 15.75 4,388 69.1 16.75 9.25 15.81 -0.38 N.A. 67.91
FBNW FirstBank Corp of Clarkston WA 17.00 1,984 33.7 19.00 15.50 16.50 3.03 N.A. N.A.
FFDB FirstFed Bancorp of AL 22.00 1,148 25.3 22.75 12.50 22.00 0.00 N.A. 76.00
FSPT FirstSpartan Fin. Corp. of SC 37.94 4,430 168.1 39.00 35.00 36.50 3.95 N.A. N.A.
FLAG Flag Financial Corp of GA 19.87 2,037 40.5 19.87 10.25 17.25 15.19 102.76 84.84
FLGS Flagstar Bancorp, Inc of MI 18.62 13,670 254.5 21.75 13.00 18.87 -1.32 N.A. N.A.
FFIC Flushing Fin. Corp. of NY* 22.50 7,983 179.6 24.00 17.37 21.75 3.45 N.A. 24.17
FBHC Fort Bend Holding Corp. of TX 20.00 1,656 33.1 24.00 9.87 19.50 2.56 N.A. 56.86
FTSB Fort Thomas Fin. Corp. of KY 14.00 1,495 20.9 14.75 9.25 13.37 4.71 N.A. -4.24
FKKY Frankfort First Bancorp of KY 9.50 3,280 31.2 12.25 8.00 9.62 -1.25 N.A. -16.45
FTNB Fulton Bancorp of MO 20.00 1,719 34.4 26.50 14.00 20.12 -0.60 N.A. 30.12
GFSB GFS Bancorp of Grinnell IA 17.00 988 16.8 17.37 10.12 17.00 0.00 N.A. 60.08
GUPB GFSB Bancorp of Gallup NM 20.00 801 16.0 22.25 14.31 21.25 -5.88 N.A. 26.02
GSLA GS Financial Corp. of LA 17.56 3,438 60.4 18.75 13.37 17.37 1.09 N.A. N.A.
GOSB GSB Financial Corp. of NY 15.75 2,248 35.4 16.75 14.25 15.06 4.58 N.A. N.A.
GWBC Gateway Bancorp of KY(8) 19.00 1,076 20.4 19.25 14.00 18.87 0.69 N.A. 33.33
GBCI Glacier Bancorp of MT 22.00 6,816 150.0 22.50 15.33 21.50 2.33 355.49 34.72
GFCO Glenway Financial Corp. of OH 30.50 1,140 34.8 32.50 18.50 30.50 0.00 N.A. 48.78
GTPS Great American Bancorp of IL 18.75 1,697 31.8 19.50 14.25 19.00 -1.32 N.A. 26.60
GTFN Great Financial Corp. of KY(8) 44.81 13,823 619.4 45.94 29.12 44.00 1.84 N.A. 53.88
GSBC Great Southern Bancorp of MO 21.62 8,105 175.2 22.00 16.00 20.75 4.19 640.41 21.39
GDVS Greater DV SB,MHC of PA (19.9)* 31.00 3,272 20.2 32.50 9.50 29.75 4.20 N.A. 198.94
GSFC Green Street Fin. Corp. of NC 18.37 4,298 79.0 20.75 15.12 17.75 3.49 N.A. 18.52
GFED Guarnty FS&LA,MHC of MO (31.0)(8) 24.75 3,125 24.0 27.87 10.50 22.25 11.24 N.A. 105.22
HCBB HCB Bancshares of AR 13.50 2,645 35.7 14.25 12.62 13.94 -3.16 N.A. N.A.
HEMT HF Bancorp of Hemet CA 16.00 6,282 100.5 17.12 10.75 15.87 0.82 N.A. 43.88
HFFC HF Financial Corp. of SD 25.00 2,983 74.6 27.00 16.25 25.75 -2.91 400.00 44.43
HFNC HFNC Financial Corp. of NC 14.25 17,192 245.0 22.06 14.12 14.75 -3.39 N.A. -20.26
HMNF HMN Financial, Inc. of MN 25.25 4,212 106.4 25.75 17.75 24.50 3.06 N.A. 39.35
HALL Hallmark Capital Corp. of WI 29.50 1,443 42.6 30.75 17.00 29.25 0.85 N.A. 66.20
HARB Harbor FSB, MHC of FL (46.6)(8) 64.00 4,973 148.2 69.75 30.12 64.62 -0.96 N.A. 79.02
HRBF Harbor Federal Bancorp of MD 21.50 1,693 36.4 23.50 15.00 20.50 4.88 115.00 36.51
HFSA Hardin Bancorp of Hardin MO 18.00 859 15.5 18.62 12.00 18.00 0.00 N.A. 44.00
HARL Harleysville SA of PA 30.12 1,662 50.1 30.25 14.60 30.25 -0.43 69.69 90.63
HFGI Harrington Fin. Group of IN 13.25 3,257 43.2 13.75 9.75 12.25 8.16 N.A. 23.26
HARS Harris SB, MHC of PA (24.3) 57.25 11,260 155.9 61.00 16.25 57.00 0.44 N.A. 213.70
HFFB Harrodsburg 1st Fin Bcrp of KY 16.75 2,025 33.9 19.00 14.75 16.50 1.52 N.A. -11.23
HHFC Harvest Home Fin. Corp. of OH 13.75 915 12.6 14.75 9.25 14.50 -5.17 N.A. 41.03
HAVN Haven Bancorp of Woodhaven NY 42.00 4,386 184.2 45.37 27.25 42.75 -1.75 N.A. 46.75
HTHR Hawthorne Fin. Corp. of CA 18.25 3,088 56.4 20.12 7.37 18.50 -1.35 -33.64 124.48
HMLK Hemlock Fed. Fin. Corp. of IL 17.12 2,076 35.5 17.50 12.50 17.00 0.71 N.A. N.A.
HBNK Highland Federal Bank of CA 32.00 2,300 73.6 32.50 16.25 32.00 0.00 N.A. 88.24
HIFS Hingham Inst. for Sav. of MA* 28.50 1,303 37.1 29.00 15.50 28.50 0.00 525.00 52.00
HBEI Home Bancorp of Elgin IL 17.50 6,856 120.0 19.31 12.44 17.56 -0.34 N.A. 29.63
HBFW Home Bancorp of Fort Wayne IN 24.00 2,525 60.6 24.75 17.50 24.00 0.00 N.A. 26.32
HBBI Home Building Bancorp of IN 21.62 312 6.7 23.75 17.50 21.62 0.00 N.A. 9.47
HCFC Home City Fin. Corp. of OH 16.75 952 15.9 16.75 12.00 15.50 8.06 N.A. 26.42
HOMF Home Fed Bancorp of Seymour IN 38.00 3,401 129.2 38.00 20.67 36.75 3.40 278.11 47.57
</TABLE>
<TABLE>
<CAPTION>
Current Per Share Financials
----------------------------------------
Tangible
Trailing 12 Mo. Book Book
12 Mo. Core Value/ Value/ Assets/
Financial Institution EPS(3) EPS(3) Share Share(4) Share
- --------------------- -------- ------- ------- ------- -------
($) ($) ($) ($) ($)
<S> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
FNGB First Northern Cap. Corp of WI 0.44 0.63 8.13 8.13 72.14
FFPB First Palm Beach Bancorp of FL -0.09 0.08 21.69 21.16 330.11
FSLA First SB SLA MHC of NJ (47.5)(8) 0.72 1.14 12.15 10.83 128.99
SOPN First SB, SSB, Moore Co. of NC 1.06 1.27 18.22 18.22 79.80
FWWB First Savings Bancorp of WA* 0.89 0.84 14.13 13.00 95.79
FSFF First SecurityFed Fin of IL 0.61 0.61 12.80 12.80 47.35
SHEN First Shenango Bancorp of PA 1.70 2.20 21.78 21.78 198.85
FSFC First So.east Fin. Corp. of SC(8) 0.53 0.80 7.99 7.99 79.43
FBNW FirstBank Corp of Clarkston WA 0.54 0.44 14.00 14.00 77.62
FFDB FirstFed Bancorp of AL 0.95 1.45 14.48 13.20 153.77
FSPT FirstSpartan Fin. Corp. of SC 1.00 1.16 27.63 27.63 104.97
FLAG Flag Financial Corp of GA -0.03 0.17 10.44 10.44 108.95
FLGS Flagstar Bancorp, Inc of MI 1.50 0.50 8.44 8.06 116.77
FFIC Flushing Fin. Corp. of NY* 0.93 0.97 16.67 16.67 107.73
FBHC Fort Bend Holding Corp. of TX 0.37 0.85 11.60 10.81 192.43
FTSB Fort Thomas Fin. Corp. of KY 0.33 0.50 10.40 10.40 64.84
FKKY Frankfort First Bancorp of KY -0.11 0.22 6.81 6.81 40.26
FTNB Fulton Bancorp of MO 0.51 0.61 14.69 14.69 58.50
GFSB GFS Bancorp of Grinnell IA 0.88 1.08 10.66 10.66 93.18
GUPB GFSB Bancorp of Gallup NM 0.79 1.00 17.41 17.41 117.09
GSLA GS Financial Corp. of LA 0.34 0.34 16.36 16.36 35.85
GOSB GSB Financial Corp. of NY 0.52 0.44 13.78 13.78 50.92
GWBC Gateway Bancorp of KY(8) 0.52 0.72 16.04 16.04 59.32
GBCI Glacier Bancorp of MT 1.10 1.23 8.11 7.90 83.28
GFCO Glenway Financial Corp. of OH 1.06 1.78 23.89 23.57 251.83
GTPS Great American Bancorp of IL 0.20 0.25 17.30 17.30 80.72
GTFN Great Financial Corp. of KY(8) 1.58 1.51 20.35 19.49 220.37
GSBC Great Southern Bancorp of MO 1.15 1.30 7.45 7.45 87.33
GDVS Greater DV SB,MHC of PA (19.9)* 0.23 0.42 8.64 8.64 74.69
GSFC Green Street Fin. Corp. of NC 0.56 0.68 14.73 14.73 40.62
GFED Guarnty FS&LA,MHC of MO (31.0)(8) 0.37 0.56 8.80 8.80 63.83
HCBB HCB Bancshares of AR 0.09 0.10 14.27 13.73 75.75
HEMT HF Bancorp of Hemet CA -0.66 -2.68 12.90 10.59 156.76
HFFC HF Financial Corp. of SD 1.23 1.67 17.76 17.76 188.29
HFNC HFNC Financial Corp. of NC 0.43 0.59 9.37 9.37 51.94
HMNF HMN Financial, Inc. of MN 0.94 1.17 19.42 19.42 134.58
HALL Hallmark Capital Corp. of WI 1.33 1.68 20.56 20.56 284.01
HARB Harbor FSB, MHC of FL (46.6)(8) 2.05 2.64 18.84 18.22 224.56
HRBF Harbor Federal Bancorp of MD 0.58 0.90 16.48 16.48 127.80
HFSA Hardin Bancorp of Hardin MO 0.58 0.89 15.69 15.69 125.75
HARL Harleysville SA of PA 1.45 1.99 13.23 13.23 202.57
HFGI Harrington Fin. Group of IN 0.61 0.51 7.67 7.67 137.18
HARS Harris SB, MHC of PA (24.3) 0.79 0.99 14.54 12.72 181.55
HFFB Harrodsburg 1st Fin Bcrp of KY 0.55 0.73 14.49 14.49 53.80
HHFC Harvest Home Fin. Corp. of OH 0.23 0.50 11.35 11.35 90.82
HAVN Haven Bancorp of Woodhaven NY 2.09 3.10 24.15 24.07 406.19
HTHR Hawthorne Fin. Corp. of CA 0.63 1.36 12.85 12.85 279.50
HMLK Hemlock Fed. Fin. Corp. of IL 0.10 0.55 14.88 14.88 79.26
HBNK Highland Federal Bank of CA 0.96 1.41 16.39 16.39 219.30
HIFS Hingham Inst. for Sav. of MA* 1.86 1.86 15.62 15.62 166.99
HBEI Home Bancorp of Elgin IL 0.25 0.43 13.73 13.73 51.43
HBFW Home Bancorp of Fort Wayne IN 0.72 1.15 17.62 17.62 132.62
HBBI Home Building Bancorp of IN 0.29 0.74 18.51 18.51 144.44
HCFC Home City Fin. Corp. of OH 0.61 0.80 15.00 15.00 73.49
HOMF Home Fed Bancorp of Seymour IN 2.01 2.35 17.03 16.50 200.76
</TABLE>
<PAGE> 33
RP FINANCIAL, LC.
- --------------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part One
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Price Change Data
Market Capitalization -----------------------------------------------
----------------------- 52 Week (1) % Change From
Shares Market --------------- -----------------------
Price/ Outst- Capital- Last Last Dec 31, Dec 31,
Financial Institution Share(1) anding ization(9) High Low Week Week 1994(2) 1995(2)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- --------
($) (000) ($Mil) ($) ($) ($) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
HWEN Home Financial Bancorp of IN 16.75 470 7.9 17.25 12.50 16.37 2.32 N.A. 31.37
HPBC Home Port Bancorp, Inc. of MA* 22.75 1,842 41.9 25.00 15.75 23.25 -2.15 184.38 37.88
HMCI Homecorp, Inc. of Rockford IL(8) 23.37 1,708 39.9 23.50 11.83 23.12 1.08 133.70 83.29
HZFS Horizon Fin'l. Services of IA 23.00 426 9.8 26.00 14.50 22.25 3.37 N.A. 52.12
HRZB Horizon Financial Corp. of WA* 17.25 7,434 128.2 18.00 10.65 16.37 5.38 51.05 46.93
IBSF IBS Financial Corp. of NJ 15.75 11,012 173.4 18.75 12.94 15.37 2.47 N.A. 15.89
ISBF ISB Financial Corp. of LA 25.00 6,901 172.5 28.00 16.50 24.62 1.54 N.A. 38.89
ITLA Imperial Thrift & Loan of CA* 20.12 7,847 157.9 21.25 14.00 20.00 0.60 N.A. 34.13
IFSB Independence FSB of DC 14.25 1,281 18.3 15.12 7.37 13.50 5.56 612.50 78.13
INCB Indiana Comm. Bank, SB of IN(8) 20.44 922 18.8 20.44 15.00 15.75 29.78 N.A. 25.78
INBI Industrial Bancorp of OH 18.00 5,173 93.1 18.25 12.00 17.50 2.86 N.A. 41.18
IWBK Interwest SB of Oak Harbor WA 38.37 8,050 308.9 43.25 27.62 38.25 0.31 283.70 18.98
IPSW Ipswich SB of Ipswich MA* 12.00 2,378 28.5 14.12 5.25 11.75 2.13 N.A. 100.00
JXVL Jacksonville Bancorp of TX 19.25 2,490 47.9 19.25 12.75 18.50 4.05 N.A. 31.67
JXSB Jcksnville SB,MHC of IL (45.6) 26.50 1,272 15.4 29.50 11.50 26.50 0.00 N.A. 100.00
JSBA Jefferson Svgs Bancorp of MO 43.50 5,005 217.7 43.50 22.25 41.50 4.82 N.A. 67.31
JOAC Joachim Bancorp of MO 15.00 722 10.8 15.63 14.00 15.00 0.00 N.A. 3.45
KSAV KS Bancorp of Kenly NC 21.50 885 19.0 25.50 14.81 21.50 0.00 N.A. 44.20
KSBK KSB Bancorp of Kingfield ME(8)* 15.37 1,238 19.0 16.00 7.08 14.00 9.79 N.A. 100.39
KFBI Klamath First Bancorp of OR 20.87 10,019 209.1 24.25 14.50 22.37 -6.71 N.A. 32.51
LSBI LSB Fin. Corp. of Lafayette IN 25.00 932 23.3 27.37 17.38 25.62 -2.42 N.A. 34.63
LVSB Lakeview SB of Paterson NJ 25.50 4,509 115.0 26.00 11.50 24.75 3.03 N.A. 104.98
LARK Landmark Bancshares of KS 23.50 1,711 40.2 27.25 16.50 23.00 2.17 N.A. 30.56
LARL Laurel Capital Group of PA 26.50 1,443 38.2 26.50 15.63 25.75 2.91 107.03 60.61
LSBX Lawrence Savings Bank of MA* 14.25 4,284 61.0 16.37 7.12 13.87 2.74 314.24 75.28
LFED Leeds FSB, MHC of MD (36.3) 31.87 3,455 40.0 33.00 14.00 31.50 1.17 N.A. 99.19
LXMO Lexington B&L Fin. Corp. of MO 16.94 1,138 19.3 17.25 11.50 16.00 5.88 N.A. 25.48
LIFB Life Bancorp of Norfolk VA(8) 30.69 9,848 302.2 30.75 16.75 30.31 1.25 N.A. 70.50
LFBI Little Falls Bancorp of NJ 18.62 2,745 51.1 18.75 11.50 18.25 2.03 N.A. 46.04
LOGN Logansport Fin. Corp. of IN 15.75 1,261 19.9 16.00 11.12 15.75 0.00 N.A. 40.00
LONF London Financial Corp. of OH 20.12 515 10.4 21.00 12.00 20.50 -1.85 N.A. 42.49
LISB Long Island Bancorp, Inc of NY 45.75 24,023 1,099.1 47.50 30.37 44.50 2.81 N.A. 30.71
MAFB MAF Bancorp of IL 33.12 15,249 505.0 34.75 20.17 32.12 3.11 289.65 42.94
MBLF MBLA Financial Corp. of MO 25.75 1,268 32.7 27.00 19.00 25.75 0.00 N.A. 35.53
MFBC MFB Corp. of Mishawaka IN 22.50 1,651 37.1 23.75 15.75 22.75 -1.10 N.A. 35.38
MLBC ML Bancorp of Villanova PA(8) 28.75 11,293 324.7 29.06 13.75 27.50 4.55 N.A. 103.61
MSBF MSB Financial Corp. of MI 18.00 1,234 22.2 18.50 9.12 18.50 -2.70 N.A. 89.47
MARN Marion Capital Holdings of IN 27.50 1,768 48.6 28.13 19.25 26.75 2.80 N.A. 42.86
MRKF Market Fin. Corp. of OH 15.12 1,336 20.2 15.75 12.25 15.00 0.80 N.A. N.A.
MFCX Marshalltown Fin. Corp. of IA(8) 17.12 1,411 24.2 17.25 14.25 17.06 0.35 N.A. 15.13
MFSL Maryland Fed. Bancorp of MD 47.50 3,234 153.6 50.50 30.71 46.50 2.15 352.38 36.69
MASB MassBank Corp. of Reading MA* 45.00 3,561 160.2 47.75 25.50 43.25 4.05 356.39 57.40
MFLR Mayflower Co-Op. Bank of MA* 26.25 890 23.4 26.25 14.75 23.00 14.13 425.00 54.41
MECH Mechanics SB of Hartford CT* 25.81 5,293 136.6 27.25 15.37 25.37 1.73 N.A. 63.87
MDBK Medford Bank of Medford, MA* 35.25 4,541 160.1 38.50 24.50 35.75 -1.40 403.57 36.89
MERI Meritrust FSB of Thibodaux LA 49.25 774 38.1 49.75 31.00 49.25 0.00 N.A. 55.76
MWBX MetroWest Bank of MA* 8.13 13,956 113.5 9.00 4.12 8.13 0.00 97.33 51.40
MCBS Mid Continent Bancshares of KS(8) 40.06 1,958 78.4 43.25 18.75 40.25 -0.47 N.A. 71.42
MIFC Mid Iowa Financial Corp. of IA 10.37 1,676 17.4 11.00 6.25 10.37 0.00 107.40 62.79
MCBN Mid-Coast Bancorp of ME 28.37 233 6.6 28.37 18.50 28.03 1.21 396.85 49.32
MWBI Midwest Bancshares, Inc. of IA 51.25 339 17.4 52.25 26.50 49.25 4.06 412.50 93.40
MWFD Midwest Fed. Fin. Corp of WI 25.25 1,628 41.1 26.75 16.75 26.00 -2.88 405.00 36.49
MFFC Milton Fed. Fin. Corp. of OH 15.63 2,305 36.0 15.94 12.75 15.63 0.00 N.A. 7.79
MIVI Miss. View Hold. Co. of MN 17.62 740 13.0 19.75 11.75 17.62 0.00 N.A. 46.83
MBSP Mitchell Bancorp of NC* 17.00 931 15.8 18.00 12.12 17.50 -2.86 N.A. 19.30
</TABLE>
<TABLE>
<CAPTION>
Current Per Share Financials
----------------------------------------
Tangible
Trailing 12 Mo. Book Book
12 Mo. Core Value/ Value/ Assets/
Financial Institution EPS(3) EPS(3) Share Share(4) Share
- --------------------- -------- ------- ------- ------- -------
($) ($) ($) ($) ($)
<S> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
HWEN Home Financial Bancorp of IN 0.54 0.68 15.31 15.31 90.44
HPBC Home Port Bancorp, Inc. of MA* 1.72 1.71 11.39 11.39 107.90
HMCI Homecorp, Inc. of Rockford IL(8) 0.27 0.85 12.70 12.70 194.15
HZFS Horizon Fin'l. Services of IA 0.65 1.04 19.75 19.75 201.81
HRZB Horizon Financial Corp. of WA* 1.06 1.05 10.88 10.88 69.77
IBSF IBS Financial Corp. of NJ 0.33 0.58 11.59 11.59 66.59
ISBF ISB Financial Corp. of LA 0.77 1.04 16.58 14.06 136.06
ITLA Imperial Thrift & Loan of CA* 1.44 1.44 11.91 11.86 108.35
IFSB Independence FSB of DC 0.29 0.66 13.38 11.73 205.12
INCB Indiana Comm. Bank, SB of IN(8) 0.19 0.53 12.37 12.37 101.63
INBI Industrial Bancorp of OH 0.46 0.90 11.86 11.86 67.00
IWBK Interwest SB of Oak Harbor WA 1.82 2.47 15.43 15.10 227.65
IPSW Ipswich SB of Ipswich MA* 0.84 0.66 4.55 4.55 79.64
JXVL Jacksonville Bancorp of TX 0.90 1.18 13.55 13.55 90.84
JXSB Jcksnville SB,MHC of IL (45.6) 0.36 0.79 13.43 13.43 127.94
JSBA Jefferson Svgs Bancorp of MO 0.69 1.63 21.24 16.18 259.13
JOAC Joachim Bancorp of MO 0.23 0.38 13.63 13.63 48.39
KSAV KS Bancorp of Kenly NC 1.08 1.40 16.22 16.21 119.91
KSBK KSB Bancorp of Kingfield ME(8)* 1.08 1.10 8.46 8.00 117.84
KFBI Klamath First Bancorp of OR 0.55 0.83 14.20 14.20 72.65
LSBI LSB Fin. Corp. of Lafayette IN 1.51 1.33 18.44 18.44 208.28
LVSB Lakeview SB of Paterson NJ 1.34 0.97 13.71 11.74 112.19
LARK Landmark Bancshares of KS 1.13 1.33 18.38 18.38 133.31
LARL Laurel Capital Group of PA 1.61 2.03 14.73 14.73 146.91
LSBX Lawrence Savings Bank of MA* 1.39 1.38 7.43 7.43 85.51
LFED Leeds FSB, MHC of MD (36.3) 0.68 0.95 13.53 13.53 83.07
LXMO Lexington B&L Fin. Corp. of MO 0.55 0.71 14.74 14.74 52.05
LIFB Life Bancorp of Norfolk VA(8) 1.01 1.23 15.94 15.48 151.12
LFBI Little Falls Bancorp of NJ 0.29 0.51 14.51 13.40 109.29
LOGN Logansport Fin. Corp. of IN 0.74 0.96 12.66 12.66 65.94
LONF London Financial Corp. of OH 0.48 0.73 14.60 14.60 74.25
LISB Long Island Bancorp, Inc of NY 1.44 1.67 22.12 21.90 245.96
MAFB MAF Bancorp of IL 1.85 2.45 16.94 14.81 217.82
MBLF MBLA Financial Corp. of MO 1.14 1.46 22.50 22.50 185.19
MFBC MFB Corp. of Mishawaka IN 0.79 1.19 20.53 20.53 150.36
MLBC ML Bancorp of Villanova PA(8) 1.27 1.15 12.70 12.48 183.32
MSBF MSB Financial Corp. of MI 0.66 0.81 10.28 10.28 60.53
MARN Marion Capital Holdings of IN 1.38 1.65 22.10 22.10 98.02
MRKF Market Fin. Corp. of OH 0.32 0.32 14.82 14.82 42.35
MFCX Marshalltown Fin. Corp. of IA(8) 0.30 0.65 14.23 14.23 90.38
MFSL Maryland Fed. Bancorp of MD 2.16 3.12 30.00 29.62 357.90
MASB MassBank Corp. of Reading MA* 2.74 2.60 27.05 27.05 254.26
MFLR Mayflower Co-Op. Bank of MA* 1.39 1.31 13.67 13.44 141.20
MECH Mechanics SB of Hartford CT* 2.76 2.76 15.92 15.92 155.60
MDBK Medford Bank of Medford, MA* 2.45 2.29 21.24 19.79 236.19
MERI Meritrust FSB of Thibodaux LA 1.99 3.10 24.22 24.22 295.20
MWBX MetroWest Bank of MA* 0.52 0.52 3.02 3.02 40.59
MCBS Mid Continent Bancshares of KS(8) 1.87 2.12 19.59 19.59 208.68
MIFC Mid Iowa Financial Corp. of IA 0.71 1.00 7.00 7.00 74.91
MCBN Mid-Coast Bancorp of ME 1.06 1.66 22.06 22.06 256.39
MWBI Midwest Bancshares, Inc. of IA 1.86 3.09 29.86 29.86 432.28
MWFD Midwest Fed. Fin. Corp of WI 1.39 1.37 11.21 10.81 127.18
MFFC Milton Fed. Fin. Corp. of OH 0.40 0.54 11.39 11.39 86.87
MIVI Miss. View Hold. Co. of MN 0.66 0.97 17.80 17.80 94.29
MBSP Mitchell Bancorp of NC* 0.51 0.60 15.39 15.39 35.49
</TABLE>
<PAGE> 34
RP FINANCIAL, LC.
- --------------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part One
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Price Change Data
Market Capitalization -----------------------------------------------
----------------------- 52 Week (1) % Change From
Shares Market --------------- -----------------------
Price/ Outst- Capital- Last Last Dec 31, Dec 31,
Financial Institution Share(1) anding ization(9) High Low Week Week 1994(2) 1995(2)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- --------
($) (000) ($Mil) ($) ($) ($) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
MBBC Monterey Bay Bancorp of CA 18.75 3,242 60.8 20.50 14.62 18.25 2.74 N.A. 27.12
MONT Montgomery Fin. Corp. of IN 12.50 1,653 20.7 14.00 11.00 12.56 -0.48 N.A. -3.85
MSBK Mutual SB, FSB of Bay City MI 14.00 4,279 59.9 14.62 5.25 12.12 15.51 60.00 154.55
NHTB NH Thrift Bancshares of NH 22.00 2,048 45.1 22.75 11.62 22.50 -2.22 376.19 74.33
NSLB NS&L Bancorp of Neosho MO 18.75 707 13.3 19.50 13.25 18.50 1.35 N.A. 37.67
NMSB Newmil Bancorp. of CT* 13.25 3,835 50.8 14.25 8.00 12.50 6.00 108.01 35.90
NASB North American SB of MO 54.00 2,229 120.4 55.00 30.75 49.75 8.54 ***.** 57.66
NBSI North Bancshares of Chicago IL 27.00 962 26.0 27.12 15.75 27.12 -0.44 N.A. 63.64
FFFD North Central Bancshares of IA 18.00 3,258 58.6 19.25 12.62 18.12 -0.66 N.A. 32.74
NBN Northeast Bancorp of ME* 27.12 1,275 34.6 27.50 13.00 23.00 17.91 130.81 93.71
NEIB Northeast Indiana Bncrp of IN 21.00 1,763 37.0 21.00 12.87 20.00 5.00 N.A. 54.19
NWEQ Northwest Equity Corp. of WI 18.00 839 15.1 18.00 11.25 17.25 4.35 N.A. 48.51
NWSB Northwest SB, MHC of PA (30.7) 30.25 23,377 217.1 32.75 11.87 30.00 0.83 N.A. 126.25
NSSY Norwalk Savings Society of CT* 37.50 2,410 90.4 37.50 22.94 35.50 5.63 N.A. 60.46
NSSB Norwich Financial Corp. of CT* 29.87 5,432 162.3 31.62 18.00 28.50 4.81 326.71 52.24
NTMG Nutmeg FS&LA of CT 12.00 738 8.9 12.37 7.00 11.87 1.10 N.A. 60.00
OHSL OHSL Financial Corp. of OH 27.50 1,235 34.0 28.25 20.00 28.00 -1.79 N.A. 28.69
OCFC Ocean Fin. Corp. of NJ 37.50 8,606 322.7 38.37 25.12 37.50 0.00 N.A. 47.06
OCN Ocwen Financial Corp. of FL 53.56 30,253 1,620.4 56.56 25.25 54.94 -2.51 N.A. 100.22
OTFC Oregon Trail Fin. Corp of OR 16.12 4,695 75.7 16.75 15.75 16.12 0.00 N.A. N.A.
PBHC OswegoCity SB, MHC of NY (46.)* 28.25 1,917 24.9 28.25 9.25 25.12 12.46 N.A. 201.17
OFCP Ottawa Financial Corp. of MI 28.25 5,353 151.2 28.25 14.66 27.12 4.17 N.A. 84.76
PFFB PFF Bancorp of Pomona CA 19.37 17,903 346.8 21.50 12.75 19.25 0.62 N.A. 30.26
PSFI PS Financial of Chicago IL 17.37 2,182 37.9 18.00 11.62 17.56 -1.08 N.A. 47.83
PVFC PVF Capital Corp. of OH 20.25 2,556 51.8 21.75 13.18 20.25 0.00 360.23 41.41
PALM Palfed, Inc. of Aiken SC(8) 25.87 5,299 137.1 26.50 13.12 25.00 3.48 68.31 84.79
PBCI Pamrapo Bancorp, Inc. of NJ 25.00 2,843 71.1 26.75 18.50 24.75 1.01 344.05 25.00
PFED Park Bancorp of Chicago IL 18.12 2,431 44.0 18.12 11.75 17.25 5.04 N.A. 39.38
PVSA Parkvale Financial Corp of PA 28.62 5,106 146.1 29.50 19.60 28.13 1.74 245.65 37.60
PEEK Peekskill Fin. Corp. of NY 17.25 3,193 55.1 17.50 13.37 16.75 2.99 N.A. 21.05
PFSB PennFed Fin. Services of NJ 31.00 4,823 149.5 33.50 19.87 30.00 3.33 N.A. 53.09
PWBC PennFirst Bancorp of PA 18.50 5,306 98.2 19.50 12.27 18.37 0.71 131.83 49.31
PWBK Pennwood SB of PA* 19.00 580 11.0 19.00 12.00 19.00 0.00 N.A. 38.18
PBKB People's SB of Brockton MA* 19.25 3,595 69.2 20.00 10.12 19.25 0.00 224.07 81.26
PFDC Peoples Bancorp of Auburn IN 35.00 2,274 79.6 36.00 19.50 34.87 0.37 100.00 72.84
PBCT Peoples Bank, MHC of CT (40.1)* 33.87 61,126 828.2 37.37 17.33 32.75 3.42 330.37 75.95
TSBS Peoples Bcrp, MHC of NJ (35.9)(8) 35.50 9,037 115.3 39.12 14.00 36.00 -1.39 N.A. 121.88
PFFC Peoples Fin. Corp. of OH 13.62 1,491 20.3 19.00 12.00 14.00 -2.71 N.A. 0.89
PHBK Peoples Heritage Fin Grp of ME* 41.19 27,475 1,131.7 43.25 24.00 39.37 4.62 169.04 47.11
PSFC Peoples Sidney Fin. Corp of OH 18.00 1,785 32.1 18.50 12.56 17.25 4.35 N.A. N.A.
PERM Permanent Bancorp of IN 26.00 2,011 52.3 27.37 17.50 25.50 1.96 N.A. 28.40
PMFI Perpetual Midwest Fin. of IA 26.00 1,873 48.7 27.50 18.50 26.00 0.00 N.A. 35.06
PERT Perpetual of SC, MHC (46.8)(8) 53.50 1,505 37.7 58.00 20.25 51.75 3.38 N.A. 120.62
PCBC Perry Co. Fin. Corp. of MO 23.75 828 19.7 23.75 17.00 21.00 13.10 N.A. 39.71
PHFC Pittsburgh Home Fin. of PA 18.75 1,969 36.9 19.87 12.00 18.75 0.00 N.A. 40.24
PFSL Pocahnts Fed, MHC of AR (47.0)(8) 35.00 1,632 26.9 37.12 14.25 36.50 -4.11 N.A. 100.00
PTRS Potters Financial Corp of OH 31.50 487 15.3 31.50 17.50 26.87 17.23 N.A. 57.50
PKPS Poughkeepsie Fin. Corp. of NY(8) 10.00 12,595 126.0 10.56 5.12 9.94 0.60 29.03 90.48
PHSB Ppls Home SB, MHC of PA (45.0) 18.37 2,760 22.8 19.75 13.62 17.37 5.76 N.A. N.A.
PRBC Prestige Bancorp of PA 18.00 915 16.5 19.37 12.00 18.50 -2.70 N.A. 33.33
PFNC Progress Financial Corp. of PA 15.00 4,010 60.2 16.37 7.50 15.12 -0.79 36.24 87.97
PSBK Progressive Bank, Inc. of NY* 34.00 3,828 130.2 38.00 22.67 35.25 -3.55 154.30 49.45
PROV Provident Fin. Holdings of CA 20.25 4,836 97.9 21.12 13.25 19.69 2.84 N.A. 44.64
PULB Pulaski SB, MHC of MO (29.8) 29.87 2,094 18.6 32.50 14.12 29.87 0.00 N.A. 106.00
PLSK Pulaski SB, MHC of NJ (46.0) 19.00 2,070 18.1 24.50 11.50 18.50 2.70 N.A. N.A.
</TABLE>
<TABLE>
<CAPTION>
Current Per Share Financials
----------------------------------------
Tangible
Trailing 12 Mo. Book Book
12 Mo. Core Value/ Value/ Assets/
Financial Institution EPS(3) EPS(3) Share Share(4) Share
- --------------------- -------- ------- ------- ------- -------
($) ($) ($) ($) ($)
<S> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
MBBC Monterey Bay Bancorp of CA 0.29 0.55 14.43 13.30 127.33
MONT Montgomery Fin. Corp. of IN 0.36 0.36 11.72 11.72 62.55
MSBK Mutual SB, FSB of Bay City MI 0.18 0.07 9.56 9.56 157.37
NHTB NH Thrift Bancshares of NH 0.54 0.80 11.78 10.03 153.95
NSLB NS&L Bancorp of Neosho MO 0.41 0.64 16.52 16.52 84.46
NMSB Newmil Bancorp. of CT* 0.68 0.65 8.27 8.27 84.24
NASB North American SB of MO 4.10 3.86 25.37 24.52 330.46
NBSI North Bancshares of Chicago IL 0.60 0.84 17.58 17.58 124.31
FFFD North Central Bancshares of IA 1.02 1.18 14.81 14.81 65.34
NBN Northeast Bancorp of ME* 1.10 1.06 14.04 12.30 205.33
NEIB Northeast Indiana Bncrp of IN 0.98 1.15 15.19 15.19 100.01
NWEQ Northwest Equity Corp. of WI 0.88 1.11 13.22 13.22 115.48
NWSB Northwest SB, MHC of PA (30.7) 0.58 0.82 8.49 8.00 89.46
NSSY Norwalk Savings Society of CT* 2.42 2.76 20.64 19.90 256.17
NSSB Norwich Financial Corp. of CT* 1.42 1.34 14.65 13.23 131.20
NTMG Nutmeg FS&LA of CT 0.33 0.45 7.72 7.72 138.80
OHSL OHSL Financial Corp. of OH 1.08 1.52 20.54 20.54 186.26
OCFC Ocean Fin. Corp. of NJ 0.04 1.49 27.35 27.35 168.27
OCN Ocwen Financial Corp. of FL 2.35 1.42 8.06 7.70 92.12
OTFC Oregon Trail Fin. Corp of OR 0.59 0.59 13.29 13.29 55.34
PBHC OswegoCity SB, MHC of NY (46.)* 1.06 0.95 11.68 11.68 99.58
OFCP Ottawa Financial Corp. of MI 0.75 1.21 14.05 11.27 160.91
PFFB PFF Bancorp of Pomona CA 0.22 0.64 15.17 15.01 146.98
PSFI PS Financial of Chicago IL 0.70 0.71 14.66 14.66 37.88
PVFC PVF Capital Corp. of OH 1.43 1.83 10.28 10.28 145.96
PALM Palfed, Inc. of Aiken SC(8) 0.13 0.75 10.34 10.34 125.47
PBCI Pamrapo Bancorp, Inc. of NJ 1.16 1.60 16.62 16.49 130.49
PFED Park Bancorp of Chicago IL 0.62 0.86 16.27 16.27 72.22
PVSA Parkvale Financial Corp of PA 1.37 2.02 14.72 14.62 194.13
PEEK Peekskill Fin. Corp. of NY 0.57 0.75 14.71 14.71 57.18
PFSB PennFed Fin. Services of NJ 1.43 2.09 20.17 16.87 274.05
PWBC PennFirst Bancorp of PA 0.63 0.91 12.44 11.63 153.97
PWBK Pennwood SB of PA* 0.57 0.92 15.04 15.04 86.17
PBKB People's SB of Brockton MA* 1.16 0.69 8.56 8.20 152.65
PFDC Peoples Bancorp of Auburn IN 1.39 1.82 19.23 19.23 126.46
PBCT Peoples Bank, MHC of CT (40.1)* 1.39 1.03 10.92 10.91 128.75
TSBS Peoples Bcrp, MHC of NJ (35.9)(8) 0.86 0.73 11.79 10.81 69.82
PFFC Peoples Fin. Corp. of OH 0.53 0.53 15.78 15.78 58.01
PHBK Peoples Heritage Fin Grp of ME* 2.35 2.38 15.71 13.24 203.50
PSFC Peoples Sidney Fin. Corp of OH 0.32 0.48 14.40 14.40 57.78
PERM Permanent Bancorp of IN 0.72 1.30 19.74 19.45 215.43
PMFI Perpetual Midwest Fin. of IA 0.25 0.61 18.09 18.09 212.08
PERT Perpetual of SC, MHC (46.8)(8) 1.17 1.58 20.13 20.13 170.24
PCBC Perry Co. Fin. Corp. of MO 0.90 1.04 18.80 18.80 97.95
PHFC Pittsburgh Home Fin. of PA 0.69 0.88 14.21 14.06 130.15
PFSL Pocahnts Fed, MHC of AR (47.0)(8) 1.39 1.93 14.76 14.76 232.05
PTRS Potters Financial Corp of OH 1.16 2.06 21.97 21.97 248.85
PKPS Poughkeepsie Fin. Corp. of NY(8) 0.24 0.37 5.85 5.85 69.88
PHSB Ppls Home SB, MHC of PA (45.0) 0.36 0.54 9.71 9.71 82.81
PRBC Prestige Bancorp of PA 0.47 0.83 16.51 16.51 148.33
PFNC Progress Financial Corp. of PA 0.52 0.62 5.49 4.85 104.40
PSBK Progressive Bank, Inc. of NY* 2.29 2.26 19.63 17.53 229.58
PROV Provident Fin. Holdings of CA 0.40 0.35 17.67 17.67 127.27
PULB Pulaski SB, MHC of MO (29.8) 0.68 0.90 11.23 11.23 86.07
PLSK Pulaski SB, MHC of NJ (46.0) 0.21 0.51 10.20 10.20 85.68
</TABLE>
<PAGE> 35
RP FINANCIAL, LC.
- --------------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part One
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Price Change Data
Market Capitalization -----------------------------------------------
------------------------ 52 Week (1) % Change From
Shares Market --------------- -----------------------
Price/ Outst- Capital- Last Last Dec 31, Dec 31,
Financial Institution Share(1) anding ization(9) High Low Week Week 1994(2) 1995(2)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- --------
($) (000) ($Mil) ($) ($) ($) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
PULS Pulse Bancorp of S. River NJ 25.25 3,081 77.8 29.75 15.50 25.00 1.00 104.12 60.32
QCFB QCF Bancorp of Virginia MN 27.00 1,426 38.5 28.50 15.75 27.00 0.00 N.A. 47.95
QCBC Quaker City Bancorp of CA 20.37 4,673 95.2 24.56 13.00 20.50 -0.63 171.60 34.01
QCSB Queens County Bancorp of NY* 36.75 15,108 555.2 37.75 19.78 36.25 1.38 N.A. 74.58
RARB Raritan Bancorp. of Raritan NJ* 28.62 2,372 67.9 28.62 15.33 28.00 2.21 344.41 84.65
REDF RedFed Bancorp of Redlands CA 19.87 7,179 142.6 21.12 12.12 19.37 2.58 N.A. 47.19
RELY Reliance Bancorp, Inc. of NY 33.37 8,712 290.7 33.44 18.25 32.25 3.47 N.A. 71.13
RELI Reliance Bancshares Inc of WI* 8.62 2,472 21.3 10.12 6.50 8.25 4.48 N.A. 27.70
RIVR River Valley Bancorp of IN 17.50 1,190 20.8 17.50 13.25 16.50 6.06 N.A. 27.27
RVSB Riverview Bancorp of WA 14.25 6,128 87.3 14.25 5.83 13.37 6.58 N.A. 127.27
RSLN Roslyn Bancorp, Inc. of NY* 22.06 43,642 962.7 24.31 15.00 21.37 3.23 N.A. N.A.
SCCB S. Carolina Comm. Bnshrs of SC 22.50 700 15.8 25.25 15.00 22.00 2.27 N.A. 50.00
SBFL SB Fngr Lakes MHC of NY (33.1) 29.25 1,785 17.3 29.50 12.75 28.00 4.46 N.A. 112.73
SFED SFS Bancorp of Schenectady NY 22.12 1,231 27.2 24.50 14.75 23.00 -3.83 N.A. 49.97
SGVB SGV Bancorp of W. Covina CA 18.12 2,342 42.4 19.37 10.12 18.00 0.67 N.A. 61.07
SHSB SHS Bancorp, Inc. of PA 15.75 820 12.9 16.25 14.75 16.00 -1.56 N.A. N.A.
SISB SIS Bancorp Inc of MA* 34.50 5,581 192.5 37.00 22.37 34.12 1.11 N.A. 50.85
SWCB Sandwich Co-Op. Bank of MA* 40.50 1,919 77.7 40.75 26.50 38.00 6.58 369.84 36.13
SFSL Security First Corp. of OH 17.50 7,591 132.8 19.25 10.17 18.00 -2.78 68.27 44.87
SFNB Security First Netwrk Bk of GA(8) 8.62 8,620 74.3 13.87 5.50 9.00 -4.22 N.A. -15.90
SMFC Sho-Me Fin. Corp. of MO(8) 45.50 1,499 68.2 48.00 21.00 45.00 1.11 N.A. 109.20
SOBI Sobieski Bancorp of S. Bend IN 19.00 760 14.4 19.25 13.00 18.50 2.70 N.A. 31.03
SOSA Somerset Savings Bank of MA(8)* 5.16 16,652 85.9 5.94 1.94 5.00 3.20 0.78 161.93
SSFC South Street Fin. Corp. of NC* 17.75 4,496 79.8 20.00 12.12 17.50 1.43 N.A. 26.79
SCBS Southern Commun. Bncshrs of AL 18.00 1,137 20.5 18.50 13.00 18.00 0.00 N.A. 35.85
SMBC Southern Missouri Bncrp of MO 19.00 1,633 31.0 19.50 14.00 18.75 1.33 N.A. 26.67
SWBI Southwest Bancshares of IL 25.75 2,657 68.4 26.00 18.00 25.00 3.00 157.50 41.10
SVRN Sovereign Bancorp of PA 19.25 112,838 2,172.1 19.25 9.90 17.75 8.45 330.65 75.96
STFR St. Francis Cap. Corp. of WI 39.25 5,238 205.6 41.25 25.75 39.75 -1.26 N.A. 50.96
SPBC St. Paul Bancorp, Inc. of IL 24.44 34,133 834.2 28.50 14.30 24.00 1.83 119.59 55.97
SFFC StateFed Financial Corp. of IA 27.00 784 21.2 28.25 16.50 27.50 -1.82 N.A. 63.64
SFIN Statewide Fin. Corp. of NJ 22.00 4,710 103.6 22.62 12.69 21.50 2.33 N.A. 53.10
STSA Sterling Financial Corp. of WA 22.50 7,567 170.3 22.50 13.00 21.25 5.88 147.52 59.35
SFSB SuburbFed Fin. Corp. of IL 33.50 1,263 42.3 33.75 19.00 33.50 0.00 402.25 76.32
ROSE T R Financial Corp. of NY* 33.00 17,592 580.5 33.50 14.37 32.75 0.76 N.A. 85.92
THRD TF Financial Corp. of PA 24.00 4,088 98.1 25.69 15.75 23.53 2.00 N.A. 47.69
TPNZ Tappan Zee Fin., Inc. of NY 21.00 1,488 31.2 22.62 13.12 20.25 3.70 N.A. 54.19
ESBK The Elmira SB FSB of Elmira NY* 30.75 706 21.7 31.00 14.75 28.50 7.89 113.99 68.49
TRIC Tri-County Bancorp of WY 28.25 584 16.5 29.00 18.00 27.75 1.80 N.A. 56.94
TWIN Twin City Bancorp of TN 14.25 1,272 18.1 14.50 11.33 14.50 -1.72 N.A. 23.91
UFRM United FS&LA of Rocky Mount NC 12.00 3,074 36.9 12.75 7.50 11.00 9.09 269.23 41.18
UBMT United Fin. Corp. of MT 24.75 1,223 30.3 25.56 18.75 25.25 -1.98 135.71 28.57
VABF Va. Beach Fed. Fin. Corp of VA 17.00 4,979 84.6 17.62 8.75 16.87 0.77 262.47 80.08
VFFC Virginia First Savings of VA(8) 24.62 5,810 143.0 24.75 12.37 24.25 1.53 ***.** 93.10
WHGB WHG Bancshares of MD 15.56 1,462 22.7 16.50 12.62 15.63 -0.45 N.A. 18.60
WSFS WSFS Financial Corp. of DE* 18.12 12,442 225.4 18.75 9.62 18.00 0.67 149.93 77.82
WVFC WVS Financial Corp. of PA* 32.00 1,747 55.9 34.00 22.00 32.00 0.00 N.A. 29.98
WRNB Warren Bancorp of Peabody MA* 20.75 3,798 78.8 21.37 13.00 20.25 2.47 515.73 38.33
WFSL Washington FS&LA of Seattle WA 32.25 47,509 1,532.2 33.31 22.16 29.50 9.32 121.04 33.87
WAMU Washington Mutual Inc. of WA(8)* 68.12 257,176 17,518.8 72.37 38.62 68.44 -0.47 267.03 57.28
WYNE Wayne Bancorp of NJ 21.00 2,014 42.3 24.87 13.69 22.00 -4.55 N.A. 37.70
WAYN Wayne S&L Co. MHC of OH (47.8) 28.00 2,255 30.1 28.00 13.83 27.25 2.75 N.A. 71.46
WCFB Wbstr Cty FSB MHC of IA (45.2) 20.50 2,100 19.5 22.00 12.75 21.12 -2.94 N.A. 49.09
WBST Webster Financial Corp. of CT 64.75 13,554 877.6 66.00 34.50 61.62 5.08 585.91 76.19
WEFC Wells Fin. Corp. of Wells MN 18.25 1,959 35.8 18.50 12.50 18.50 -1.35 N.A. 39.10
</TABLE>
<TABLE>
<CAPTION>
Current Per Share Financials
----------------------------------------
Tangible
Trailing 12 Mo. Book Book
12 Mo. Core Value/ Value/ Assets/
Financial Institution EPS(3) EPS(3) Share Share(4) Share
- --------------------- -------- ------- ------- ------- -------
($) ($) ($) ($) ($)
<S> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
PULS Pulse Bancorp of S. River NJ 1.19 1.79 13.59 13.59 168.84
QCFB QCF Bancorp of Virginia MN 1.41 1.41 19.23 19.23 109.91
QCBC Quaker City Bancorp of CA 0.60 0.99 15.03 15.02 171.50
QCSB Queens County Bancorp of NY* 1.45 1.47 11.51 11.51 97.09
RARB Raritan Bancorp. of Raritan NJ* 1.48 1.58 12.69 12.48 159.96
REDF RedFed Bancorp of Redlands CA 0.31 0.80 10.75 10.70 127.07
RELY Reliance Bancorp, Inc. of NY 1.26 1.87 18.67 13.45 226.90
RELI Reliance Bancshares Inc of WI* 0.25 0.26 9.29 9.29 19.02
RIVR River Valley Bancorp of IN 0.46 0.62 14.63 14.41 118.02
RVSB Riverview Bancorp of WA 0.56 0.56 9.18 9.18 42.44
RSLN Roslyn Bancorp, Inc. of NY* 0.59 0.93 14.58 14.51 72.39
SCCB S. Carolina Comm. Bnshrs of SC 0.60 0.79 17.09 17.09 66.57
SBFL SB Fngr Lakes MHC of NY (33.1) 0.15 0.50 11.63 11.63 121.93
SFED SFS Bancorp of Schenectady NY 0.60 1.08 17.51 17.51 140.41
SGVB SGV Bancorp of W. Covina CA 0.31 0.75 12.77 12.56 174.78
SHSB SHS Bancorp, Inc. of PA 0.41 0.41 13.83 13.83 109.44
SISB SIS Bancorp Inc of MA* 3.31 3.29 18.50 18.50 257.04
SWCB Sandwich Co-Op. Bank of MA* 2.34 2.38 20.79 19.90 261.54
SFSL Security First Corp. of OH 0.88 1.10 8.11 7.98 86.05
SFNB Security First Netwrk Bk of GA(8) -3.30 -3.38 3.02 2.97 9.12
SMFC Sho-Me Fin. Corp. of MO(8) 2.08 2.35 19.81 19.81 219.35
SOBI Sobieski Bancorp of S. Bend IN 0.32 0.62 16.26 16.26 107.54
SOSA Somerset Savings Bank of MA(8)* 0.25 0.24 1.96 1.96 30.90
SSFC South Street Fin. Corp. of NC* 0.45 0.57 13.58 13.58 53.77
SCBS Southern Commun. Bncshrs of AL 0.33 0.54 13.20 13.20 61.89
SMBC Southern Missouri Bncrp of MO 0.65 0.63 16.17 16.17 98.22
SWBI Southwest Bancshares of IL 1.04 1.44 15.66 15.66 142.39
SVRN Sovereign Bancorp of PA 0.39 0.60 3.88 2.92 96.59
STFR St. Francis Cap. Corp. of WI 1.79 1.97 24.76 21.88 314.15
SPBC St. Paul Bancorp, Inc. of IL 0.92 1.33 11.62 11.59 135.10
SFFC StateFed Financial Corp. of IA 1.17 1.42 19.43 19.43 109.28
SFIN Statewide Fin. Corp. of NJ 0.76 1.29 13.90 13.88 142.93
STSA Sterling Financial Corp. of WA 0.21 0.66 9.13 7.96 222.86
SFSB SuburbFed Fin. Corp. of IL 1.23 1.79 21.90 21.82 337.85
ROSE T R Financial Corp. of NY* 1.84 1.65 12.53 12.53 201.90
THRD TF Financial Corp. of PA 0.83 1.13 17.42 15.28 156.74
TPNZ Tappan Zee Fin., Inc. of NY 0.53 0.49 14.35 14.35 80.07
ESBK The Elmira SB FSB of Elmira NY* 1.13 1.10 20.32 19.48 322.70
TRIC Tri-County Bancorp of WY 1.15 1.46 23.46 23.46 153.18
TWIN Twin City Bancorp of TN 0.44 0.63 10.85 10.85 84.39
UFRM United FS&LA of Rocky Mount NC 0.19 0.33 6.70 6.70 89.63
UBMT United Fin. Corp. of MT 0.94 1.16 19.95 19.95 88.08
VABF Va. Beach Fed. Fin. Corp of VA 0.26 0.57 8.50 8.50 124.08
VFFC Virginia First Savings of VA(8) 0.88 0.76 11.44 11.06 147.75
WHGB WHG Bancshares of MD 0.34 0.34 14.16 14.16 68.56
WSFS WSFS Financial Corp. of DE* 1.47 1.48 6.31 6.26 121.25
WVFC WVS Financial Corp. of PA* 1.69 2.12 18.83 18.83 168.69
WRNB Warren Bancorp of Peabody MA* 2.01 1.70 9.77 9.77 94.27
WFSL Washington FS&LA of Seattle WA 1.93 2.14 14.65 13.38 121.25
WAMU Washington Mutual Inc. of WA(8)* 0.56 1.19 9.48 9.00 189.61
WYNE Wayne Bancorp of NJ 0.52 0.52 17.31 17.31 129.61
WAYN Wayne S&L Co. MHC of OH (47.8) 0.35 0.74 10.42 10.42 112.74
WCFB Wbstr Cty FSB MHC of IA (45.2) 0.48 0.64 10.53 10.53 45.09
WBST Webster Financial Corp. of CT 1.42 2.53 22.03 18.82 438.52
WEFC Wells Fin. Corp. of Wells MN 0.73 1.08 14.64 14.64 103.13
</TABLE>
<PAGE> 36
RP FINANCIAL, LC.
- --------------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part One
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Price Change Data
Market Capitalization -----------------------------------------------
----------------------- 52 Week (1) % Change From
Shares Market --------------- -----------------------
Price/ Outst- Capital- Last Last Dec 31, Dec 31,
Financial Institution Share(1) anding ization(9) High Low Week Week 1994(2) 1995(2)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- --------
($) (000) ($Mil) ($) ($) ($) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
WCBI WestCo Bancorp of IL 27.50 2,474 68.0 29.25 20.00 26.50 3.77 175.00 27.91
WSTR WesterFed Fin. Corp. of MT 23.87 5,577 133.1 27.00 16.87 24.25 -1.57 N.A. 30.79
WOFC Western Ohio Fin. Corp. of OH 26.50 2,339 62.0 29.25 20.25 25.12 5.49 N.A. 21.84
WWFC Westwood Fin. Corp. of NJ(8) 27.87 645 18.0 28.00 13.75 27.50 1.35 N.A. 68.91
WEHO Westwood Hmstd Fin Corp of OH 16.25 2,782 45.2 18.00 11.00 15.75 3.17 N.A. 34.08
WFI Winton Financial Corp. of OH 19.75 1,986 39.2 20.50 11.25 19.87 -0.60 N.A. 71.74
FFWD Wood Bancorp of OH 18.50 2,119 39.2 18.75 10.50 18.75 -1.33 N.A. 63.28
YFCB Yonkers Fin. Corp. of NY 19.75 3,021 59.7 22.00 12.12 20.00 -1.25 N.A. 53.46
YFED York Financial Corp. of PA 27.12 7,045 191.1 28.00 16.00 27.75 -2.27 186.98 66.89
</TABLE>
<TABLE>
<CAPTION>
Current Per Share Financials
----------------------------------------
Tangible
Trailing 12 Mo. Book Book
12 Mo. Core Value/ Value/ Assets/
Financial Institution EPS(3) EPS(3) Share Share(4) Share
- --------------------- -------- ------- ------- ------- -------
($) ($) ($) ($) ($)
<S> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
WCBI WestCo Bancorp of IL 1.41 1.78 19.20 19.20 125.96
WSTR WesterFed Fin. Corp. of MT 0.81 1.02 18.69 14.96 171.35
WOFC Western Ohio Fin. Corp. of OH 0.52 0.72 23.38 21.79 169.51
WWFC Westwood Fin. Corp. of NJ(8) 0.78 1.34 15.76 14.04 172.70
WEHO Westwood Hmstd Fin Corp of OH 0.30 0.45 14.23 14.23 48.40
WFI Winton Financial Corp. of OH 1.60 1.34 11.36 11.12 159.81
FFWD Wood Bancorp of OH 0.79 0.94 9.52 9.52 77.36
YFCB Yonkers Fin. Corp. of NY 0.76 1.03 14.21 14.21 95.36
YFED York Financial Corp. of PA 1.01 1.28 14.21 14.21 165.00
</TABLE>
<PAGE> 37
RP FINANCIAL, LC.
- ----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1
Weekly Thrift Market Line - Part Two
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Key Financial Ratios Asset Quality Ratios
---------------------------------------------------------- -----------------------
Tang. Reported Earnings Core Earnings
Equity/ Equity/ ---------------------- --------------- NPAs Resvs/ Resvs/
Financial Institution Assets Assets ROA(5) ROE(5) ROI(5) ROA(5) ROE(5) Assets NPAs Loans)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- ------- -------
(%) (%) (%) (%) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Market Averages. SAIF-Insured Thrifts(no MHCs)
- ----------------------------------------------
SAIF-Insured Thrifts(301) 13.13 12.89 0.66 5.64 3.27 0.86 7.52 0.73 129.65 0.78
NYSE Traded Companies(10) 7.57 7.36 0.73 10.18 4.26 0.89 13.71 1.14 80.51 1.19
AMEX Traded Companies(16) 15.65 15.53 0.46 2.45 2.00 0.81 4.92 0.66 141.92 0.68
NASDAQ Listed OTC Companies(275) 13.20 12.95 0.67 5.65 3.30 0.86 7.43 0.71 131.06 0.77
California Companies(21) 7.44 7.18 0.29 4.38 2.15 0.43 7.00 1.40 74.02 1.26
Florida Companies(5) 7.63 7.18 0.92 11.44 3.31 0.75 9.15 0.58 120.24 0.82
Mid-Atlantic Companies(60) 11.16 10.83 0.62 6.29 3.49 0.85 8.73 0.84 94.84 0.92
Mid-West Companies(144) 14.26 14.07 0.71 5.58 3.47 0.91 7.17 0.59 145.76 0.67
New England Companies(9) 8.00 7.72 0.40 5.28 2.92 0.66 8.86 0.61 132.23 1.03
North-West Companies(8) 17.06 16.82 0.86 6.30 3.31 1.04 8.22 0.57 191.96 0.58
South-East Companies(41) 16.26 16.07 0.73 5.05 2.86 0.97 6.79 0.88 137.59 0.82
South-West Companies(7) 10.60 10.34 0.38 2.97 2.40 0.66 6.47 0.71 107.14 0.65
Western Companies (Excl CA)(6) 16.22 15.79 0.98 6.63 3.99 1.15 7.69 0.35 130.61 0.71
Thrift Strategy(241) 14.40 14.19 0.68 5.13 3.26 0.90 6.96 0.66 131.71 0.72
Mortgage Banker Strategy(36) 7.38 6.92 0.51 7.31 3.24 0.66 9.77 1.07 126.13 1.02
Real Estate Strategy(10) 7.34 7.14 0.55 6.98 3.56 0.76 10.27 1.25 102.38 1.24
Diversified Strategy(10) 7.66 7.42 1.06 13.45 4.30 1.08 14.26 0.75 131.77 1.06
Retail Banking Strategy(4) 7.07 6.79 0.09 2.55 0.47 -0.13 1.00 1.16 91.59 0.93
Companies Issuing Dividends(255) 13.43 13.17 0.70 6.00 3.55 0.92 7.92 0.69 127.59 0.76
Companies Without Dividends(46) 11.34 11.20 0.39 3.48 1.54 0.51 5.15 0.94 143.29 0.96
Equity/Assets less than 6%(22) 4.93 4.62 0.39 7.79 3.10 0.59 11.96 0.98 109.89 1.03
Equity/Assets 6-12%(140) 8.62 8.30 0.58 6.84 3.45 0.76 8.95 0.82 131.71 0.88
Equity/Assets greater than 12%(139) 18.58 18.43 0.78 4.20 3.12 1.00 5.51 0.60 130.68 0.66
Converted Last 3 Mths (no MHC)(4) 19.53 19.53 0.59 2.44 2.09 0.67 2.94 1.05 94.33 0.86
Actively Traded Companies(39) 8.67 8.42 0.73 8.81 3.95 0.96 12.12 0.77 130.30 0.95
Market Value Below $20 Million(50) 14.75 14.73 0.54 3.38 2.70 0.79 5.44 0.72 105.79 0.64
Holding Company Structure(266) 13.63 13.41 0.65 5.39 3.21 0.86 7.24 0.71 126.98 0.77
Assets Over $1 Billion(58) 7.82 7.30 0.65 8.68 3.68 0.82 11.24 0.87 108.84 0.95
Assets $500 Million-$1 Billion(50) 10.37 10.04 0.65 6.59 3.43 0.80 8.07 0.67 191.37 0.97
Assets $250-$500 Million(66) 11.80 11.50 0.62 5.38 3.30 0.84 7.51 0.74 112.54 0.70
Assets less than $250 Million(127) 17.18 17.13 0.69 4.08 3.01 0.91 5.69 0.68 123.01 0.68
Goodwill Companies(123) 9.10 8.51 0.63 7.25 3.63 0.80 9.21 0.84 110.98 0.86
Non-Goodwill Companies(177) 15.87 15.87 0.68 4.54 3.02 0.91 6.39 0.65 142.25 0.73
Acquirors of FSLIC Cases(10) 7.05 6.62 0.60 8.18 3.76 0.85 12.30 1.19 54.88 0.81
</TABLE>
<TABLE>
<CAPTION>
Pricing Ratios Dividend Data(6)
----------------------------------------- -----------------------
Price/ Price/ Ind. Divi-
Price/ Price/ Price/ Tang. Core Div./ dend Payout
Financial Institution Earning Book Assets Book Earnings Share Yield Ratio(7)
- --------------------- ------- ------- ------- ------- ------- ------- ------- -------
(X) (%) (%) (%) (x) ($) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Market Averages. SAIF-Insured Thrifts(no MHCs)
- ----------------------------------------------
SAIF-Insured Thrifts(301) 22.65 153.03 18.77 158.62 19.78 0.37 1.58 35.76
NYSE Traded Companies(10) 17.87 205.39 15.24 218.25 17.80 0.43 1.04 21.72
AMEX Traded Companies(16) 23.70 123.95 18.71 125.22 19.29 0.32 1.88 45.47
NASDAQ Listed OTC Companies(275) 22.76 152.89 18.92 158.48 19.89 0.37 1.58 36.04
California Companies(21) 19.94 168.16 11.70 176.35 19.11 0.15 0.47 12.64
Florida Companies(5) 18.38 177.99 21.76 200.15 23.17 0.24 0.76 14.53
Mid-Atlantic Companies(60) 22.90 152.97 16.75 159.89 18.91 0.39 1.50 36.88
Mid-West Companies(144) 22.35 147.58 19.49 151.32 19.68 0.36 1.67 35.44
New England Companies(9) 23.91 171.61 13.15 182.64 21.15 0.44 1.51 46.81
North-West Companies(8) 21.70 174.30 24.79 183.24 20.77 0.35 1.35 32.14
South-East Companies(41) 23.49 156.98 23.25 161.73 21.05 0.46 2.02 46.66
South-West Companies(7) 22.69 140.39 13.86 148.71 19.11 0.33 1.50 50.84
Western Companies (Excl CA)(6) 25.41 153.45 22.65 160.36 21.60 0.57 2.53 56.47
Thrift Strategy(241) 23.05 144.70 19.66 148.90 19.95 0.38 1.70 38.20
Mortgage Banker Strategy(36) 20.91 190.28 13.88 206.57 19.70 0.31 1.08 29.03
Real Estate Strategy(10) 16.52 179.91 12.86 183.18 17.86 0.13 0.67 12.64
Diversified Strategy(10) 22.44 231.88 22.38 240.13 17.79 0.47 1.42 31.63
Retail Banking Strategy(4) 23.08 148.59 9.90 154.37 19.53 0.14 0.78 18.35
Companies Issuing Dividends(255) 22.68 154.08 19.18 159.94 19.69 0.43 1.84 41.92
Companies Without Dividends(46) 22.31 146.62 16.33 150.63 20.59 0.00 0.00 0.00
Equity/Assets less than 6%(22) 21.65 203.15 11.16 220.06 19.27 0.24 0.85 19.26
Equity/Assets 6-12%(140) 22.19 170.01 14.78 177.98 18.28 0.38 1.39 33.85
Equity/Assets greater than 12%(139) 23.41 130.49 23.65 132.35 21.48 0.38 1.87 41.41
Converted Last 3 Mths (no MHC)(4) 26.11 120.30 23.49 120.30 26.11 0.04 0.34 0.00
Actively Traded Companies(39) 22.23 202.03 16.93 211.97 18.07 0.50 1.54 32.56
Market Value Below $20 Million(50) 23.43 122.61 17.67 122.96 21.39 0.34 1.82 44.21
Holding Company Structure(266) 23.09 150.27 19.19 155.35 19.95 0.38 1.63 36.88
Assets Over $1 Billion(58) 21.43 196.80 15.97 213.91 18.95 0.42 1.18 29.58
Assets $500 Million-$1 Billion(50) 23.00 167.94 17.03 174.17 19.61 0.35 1.45 36.14
Assets $250-$500 Million(66) 22.89 152.36 17.41 157.78 19.17 0.38 1.55 34.11
Assets less than $250 Million(127) 23.04 129.72 21.35 130.42 20.62 0.35 1.82 40.46
Goodwill Companies(123) 21.91 173.07 15.49 186.92 18.94 0.39 1.39 32.76
Non-Goodwill Companies(177) 23.28 139.38 20.98 139.38 20.42 0.36 1.71 38.28
Acquirors of FSLIC Cases(10) 20.42 205.58 13.99 222.13 18.34 0.41 1.24 21.18
</TABLE>
(1) Average of high/low or bid/ask price per share.
(2) Or since offering price if converted or first listed in 1994 or 1995.
Percent change figures are actual year-to-date and are not annualized
(3) EPS (earnings per share) is based on actual trailing twelve month data and
is not shown on a pro forma basis.
(4) Excludes intangibles (such as goodwill, value of core deposits, etc.).
(5) ROA (return on assets) and ROE (return on equity) are indicated ratios
based on trailing twelve month common earnings and average common equity
and assets balances; ROI (return on investment) is current EPS divided by
current price.
(6) Annualized, based on last regular quarterly cash dividend announcement.
(7) Indicated dividend as a percent of trailing twelve month earnings.
(8) Excluded from averages due to actual or rumored acquisition activities or
unusual operating characteristics.
* All thrifts are SAIF insured unless otherwise noted with an asterisk.
Parentheses following market averages indicate the number of institutions
included in the respective averages. All figures have been adjusted for
stock splits, stock dividends, and secondary offerings.
Source: Corporate reports and offering circulars for publicly traded companies,
and RP Financial, Inc. calculations. The information provided in this
report has been obtained from sources we believe are reliable, but we
cannot guarantee the accuracy or completeness of such information.
Copyright (c) 1997 by RP Financial, LC.
<PAGE> 38
RP FINANCIAL, LC.
- ----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part Two
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Key Financial Ratios Asset Quality Ratios
---------------------------------------------------------- -----------------------
Tang. Reported Earnings Core Earnings
Equity/ Equity/ ---------------------- --------------- NPAs Resvs/ Resvs/
Financial Institution Assets Assets ROA(5) ROE(5) ROI(5) ROA(5) ROE(5) Assets NPAs Loans)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- ------- -------
(%) (%) (%) (%) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Market Averages. BIF-Insured Thrifts(no MHCs)
- ---------------------------------------------
BIF-Insured Thrifts(60) 12.73 12.34 1.13 10.82 5.86 1.14 10.64 0.76 167.66 1.40
NYSE Traded Companies(2) 7.79 5.41 0.81 10.26 4.59 0.87 11.57 1.95 40.15 1.04
AMEX Traded Companies(6) 12.79 11.93 0.70 7.25 3.85 0.67 6.90 1.01 229.49 1.29
NASDAQ Listed OTC Companies(52) 12.93 12.68 1.19 11.23 6.13 1.20 11.01 0.67 166.15 1.42
California Companies(1) 10.99 10.95 1.46 12.69 7.16 1.46 12.69 0.00 0.00 1.45
Mid-Atlantic Companies(15) 11.42 10.75 0.83 8.45 4.01 0.92 9.06 0.79 156.39 1.30
Mid-West Companies(2) 36.94 36.25 0.82 1.88 2.09 0.95 2.31 0.56 57.14 0.56
New England Companies(33) 9.11 8.81 1.30 13.94 7.59 1.24 13.20 0.82 175.89 1.67
North-West Companies(4) 12.39 12.00 1.21 10.53 5.22 1.18 10.23 0.18 215.39 1.04
South-East Companies(5) 27.80 27.80 1.14 4.44 3.36 1.23 4.76 0.67 179.40 0.75
Thrift Strategy(43) 13.76 13.35 1.13 9.79 5.68 1.13 9.59 0.79 164.24 1.33
Mortgage Banker Strategy(7) 9.44 9.24 0.87 11.20 5.09 0.98 11.98 0.48 171.40 1.35
Real Estate Strategy(5) 10.68 10.65 1.80 17.44 8.42 1.63 15.73 1.15 97.04 1.59
Diversified Strategy(5) 6.77 6.23 1.23 17.82 7.51 1.21 17.47 0.80 257.00 2.08
Companies Issuing Dividends(51) 12.15 11.82 1.04 10.50 5.18 1.05 10.28 0.70 175.17 1.36
Companies Without Dividends(9) 16.07 15.32 1.67 12.92 9.76 1.68 13.01 1.26 94.38 1.62
Equity/Assets less than 6%(5) 5.45 5.32 0.97 17.28 6.37 0.87 15.48 0.99 93.78 1.54
Equity/Assets 6-12%(40) 8.78 8.27 1.24 13.06 7.05 1.21 12.80 0.83 157.11 1.55
Equity/Assets greater than 12%(15) 23.88 23.70 0.94 4.02 2.95 1.05 4.47 0.53 211.49 1.02
Actively Traded Companies(18) 8.96 8.52 1.21 13.86 6.69 1.16 13.27 0.77 136.72 1.52
Market Value Below $20 Million(5) 23.77 23.43 1.66 2.84 10.15 1.84 4.11 1.26 45.98 1.18
Holding Company Structure(40) 14.55 14.19 1.18 9.90 5.79 1.20 9.86 0.70 168.37 1.46
Assets Over $1 Billion(14) 9.39 8.66 1.10 12.90 5.74 1.13 13.01 0.85 155.72 1.49
Assets $500 Million-$1 Billion(16) 9.48 8.95 1.15 12.71 6.28 1.12 12.15 0.76 149.36 1.46
Assets $250-$500 Million(13) 11.48 11.30 0.99 10.15 4.96 0.98 9.95 0.69 191.22 1.65
Assets less than $250 Million(17) 19.64 19.50 1.26 7.59 6.27 1.30 7.59 0.76 171.25 1.06
Goodwill Companies(28) 9.42 8.58 0.94 11.21 5.42 0.94 11.04 0.93 134.19 1.48
Non-Goodwill Companies(32) 15.58 15.58 1.30 10.47 6.25 1.31 10.29 0.64 196.76 1.32
</TABLE>
<TABLE>
<CAPTION>
Pricing Ratios Dividend Data(6)
----------------------------------------- -----------------------
Price/ Price/ Ind. Divi-
Price/ Price/ Price/ Tang. Core Div./ dend Payout
Financial Institution Earning Book Assets Book Earnings Share Yield Ratio(7)
- --------------------- ------- ------- ------- ------- ------- ------- ------- -------
(X) (%) (%) (%) (x) ($) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Market Averages. BIF-Insured Thrifts(no MHCs)
- ---------------------------------------------
BIF-Insured Thrifts(60) 17.03 181.01 20.20 188.50 17.97 0.47 1.60 28.92
NYSE Traded Companies(2) 21.85 225.51 17.30 248.14 19.64 0.08 0.32 7.48
AMEX Traded Companies(6) 15.49 157.24 18.95 187.97 16.35 0.56 1.79 34.45
NASDAQ Listed OTC Companies(52) 16.87 181.65 20.46 187.29 17.97 0.47 1.63 29.52
California Companies(1) 13.97 168.93 18.57 169.65 13.97 0.00 0.00 0.00
Mid-Atlantic Companies(15) 20.43 188.26 19.54 199.64 20.06 0.43 1.53 34.60
Mid-West Companies(2) 0.00 94.31 34.66 97.09 0.00 0.00 0.00 0.00
New England Companies(33) 15.04 192.89 17.02 200.91 16.06 0.51 1.75 28.59
North-West Companies(4) 20.03 191.89 22.10 196.68 20.77 0.28 1.49 28.49
South-East Companies(5) 22.22 123.29 33.40 123.29 24.61 0.68 2.00 40.74
Thrift Strategy(43) 17.58 173.49 20.94 180.12 18.56 0.49 1.68 31.30
Mortgage Banker Strategy(7) 18.00 205.02 17.81 211.64 18.58 0.32 1.07 22.60
Real Estate Strategy(5) 12.15 190.66 20.29 191.02 13.09 0.26 1.25 12.94
Diversified Strategy(5) 13.83 227.01 15.15 246.34 14.33 0.47 1.52 22.26
Companies Issuing Dividends(51) 17.89 183.28 20.01 192.46 18.89 0.55 1.88 34.57
Companies Without Dividends(9) 11.59 167.95 21.28 162.52 11.69 0.00 0.00 0.00
Equity/Assets less than 6%(5) 16.57 253.07 13.77 259.02 19.12 0.18 0.98 16.79
Equity/Assets 6-12%(40) 16.21 195.84 17.17 206.64 16.53 0.54 1.74 29.47
Equity/Assets greater than 12%(15) 22.01 127.20 28.98 128.58 22.90 0.37 1.42 31.65
Actively Traded Companies(18) 15.68 194.35 17.01 205.91 16.48 0.57 1.89 29.74
Market Value Below $20 Million(5) 3.00 115.77 26.50 117.15 17.36 0.18 1.01 18.71
Holding Company Structure(40) 17.26 174.22 21.97 183.83 18.11 0.49 1.70 30.29
Assets Over $1 Billion(14) 18.00 218.47 19.59 229.39 18.59 0.45 1.41 26.83
Assets $500 Million-$1 Billion(16) 15.94 186.79 17.17 203.17 17.01 0.54 1.71 27.78
Assets $250-$500 Million(13) 17.56 178.25 18.98 182.27 17.53 0.43 1.71 31.93
Assets less than $250 Million(17) 16.96 147.48 24.70 148.83 18.90 0.43 1.54 29.78
Goodwill Companies(28) 17.88 189.30 16.75 206.19 18.82 0.47 1.52 27.51
Non-Goodwill Companies(32) 16.18 173.87 23.18 173.87 17.15 0.46 1.67 30.28
</TABLE>
(1) Average of high/low or bid/ask price per share.
(2) Or since offering price if converted or first listed in 1994 or 1995.
Percent change figures are actual year-to-date and are not annualized
(3) EPS (earnings per share) is based on actual trailing twelve month data and
is not shown on a pro forma basis.
(4) Excludes intangibles (such as goodwill, value of core deposits, etc.).
(5) ROA (return on assets) and ROE (return on equity) are indicated ratios
based on trailing twelve month common earnings and average common equity
and assets balances; ROI (return on investment) is current EPS divided by
current price.
(6) Annualized, based on last regular quarterly cash dividend announcement.
(7) Indicated dividend as a percent of trailing twelve month earnings.
(8) Excluded from averages due to actual or rumored acquisition activities or
unusual operating characteristics.
* All thrifts are SAIF insured unless otherwise noted with an asterisk.
Parentheses following market averages indicate the number of institutions
included in the respective averages. All figures have been adjusted for
stock splits, stock dividends, and secondary offerings.
Source: Corporate reports and offering circulars for publicly traded companies,
and RP Financial, Inc. calculations. The information provided in this
report has been obtained from sources we believe are reliable, but we
cannot guarantee the accuracy or completeness of such information.
Copyright (c) 1997 by RP Financial, LC.
<PAGE> 39
RP FINANCIAL, LC.
- ----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part Two
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Key Financial Ratios Asset Quality Ratios
---------------------------------------------------------- -----------------------
Tang. Reported Earnings Core Earnings
Equity/ Equity/ ---------------------- --------------- NPAs Resvs/ Resvs/
Financial Institution Assets Assets ROA(5) ROE(5) ROI(5) ROA(5) ROE(5) Assets NPAs Loans)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- ------- -------
(%) (%) (%) (%) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Market Averages. MHC Institutions
- ---------------------------------
SAIF-Insured Thrifts(20) 11.96 11.84 0.51 4.40 1.70 0.78 6.89 0.47 145.96 0.70
BIF-Insured Thrifts(3) 10.59 10.59 0.84 8.63 2.87 0.79 7.86 1.16 74.62 1.11
NASDAQ Listed OTC Companies(23) 11.72 11.62 0.57 5.15 1.91 0.78 7.06 0.62 130.67 0.78
Florida Companies(3) 9.81 9.78 0.47 4.51 1.89 0.72 6.92 0.34 62.82 0.29
Mid-Atlantic Companies(11) 11.86 11.68 0.53 4.74 1.70 0.73 6.61 0.73 146.01 0.88
Mid-West Companies(7) 12.89 12.87 0.58 4.42 1.86 0.91 7.31 0.45 113.08 0.52
New England Companies(1) 8.48 8.47 1.13 13.74 4.10 0.83 10.18 0.76 146.25 1.66
Thrift Strategy(22) 11.92 11.82 0.54 4.61 1.77 0.78 6.87 0.61 129.48 0.72
Diversified Strategy(1) 8.48 8.47 1.13 13.74 4.10 0.83 10.18 0.76 146.25 1.66
Companies Issuing Dividends(22) 11.72 11.61 0.58 5.24 1.91 0.79 7.16 0.63 129.33 0.74
Companies Without Dividends(1) 11.73 11.73 0.43 3.71 1.96 0.65 5.56 0.45 148.08 1.37
Equity/Assets 6-12%(17) 10.01 9.88 0.50 5.16 1.84 0.71 7.23 0.71 93.28 0.87
Equity/Assets greater than 12%(6) 17.28 17.28 0.81 5.11 2.13 1.04 6.51 0.31 267.78 0.50
Holding Company Structure(2) 11.73 11.73 1.07 9.44 3.75 0.96 8.46 0.91 43.96 0.67
Assets Over $1 Billion(5) 8.66 8.14 0.77 8.86 2.47 0.81 9.13 0.74 97.60 1.16
Assets $500 Million-$1 Billion(3) 9.81 9.78 0.47 4.51 1.89 0.72 6.92 0.34 62.82 0.29
Assets $250-$500 Million(5) 11.28 11.25 0.53 4.59 1.82 0.86 7.84 0.13 397.09 0.43
Assets less than $250 Million(10) 13.31 13.31 0.54 4.23 1.76 0.77 6.15 0.74 84.95 0.82
Goodwill Companies(8) 8.53 8.19 0.62 7.17 2.25 0.75 8.59 0.55 108.14 0.86
Non-Goodwill Companies(15) 13.05 13.05 0.55 4.30 1.77 0.80 6.43 0.66 143.19 0.74
MHC Institutions(23) 11.72 11.62 0.57 5.15 1.91 0.78 7.06 0.62 130.67 0.78
</TABLE>
<TABLE>
<CAPTION>
Pricing Ratios Dividend Data(6)
---------------------------------------- -----------------------
Price/ Price/ Ind. Divi-
Price/ Price/ Price/ Tang. Core Div./ dend Payout
Financial Institution Earning Book Assets Book Earnings Share Yield Ratio(7)
- --------------------- ------- ------- ------- ------- -------- ------- ------- -------
(X) (%) (%) (%) (x) ($) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Market Averages. MHC Institutions
- ---------------------------------
SAIF-Insured Thrifts(20) 0.00 222.32 28.02 222.63 27.52 0.57 1.97 41.92
BIF-Insured Thrifts(3) 25.51 276.02 32.06 276.16 29.74 0.47 1.47 40.55
NASDAQ Listed OTC Companies(23) 25.51 229.99 28.73 230.28 28.63 0.55 1.88 41.37
Florida Companies(3) 0.00 231.47 22.77 232.30 0.00 0.90 2.84 0.00
Mid-Atlantic Companies(11) 26.65 213.56 30.12 213.56 29.74 0.38 1.26 27.20
Mid-West Companies(7) 0.00 233.08 29.10 233.50 27.52 0.68 2.55 70.59
New England Companies(1) 24.37 310.16 26.31 310.45 0.00 0.76 2.24 54.68
Thrift Strategy(22) 26.65 223.82 28.88 224.11 28.63 0.54 1.86 38.04
Diversified Strategy(1) 24.37 310.16 26.31 310.45 0.00 0.76 2.24 54.68
Companies Issuing Dividends(22) 25.51 233.13 29.14 233.44 28.63 0.58 2.00 51.71
Companies Without Dividends(1) 0.00 189.19 22.18 189.19 0.00 0.00 0.00 0.00
Equity/Assets 6-12%(17) 25.51 234.67 26.21 235.07 28.63 0.49 1.57 41.37
Equity/Assets greater than 12%(6) 0.00 218.30 36.91 218.30 0.00 0.74 2.90 0.00
Holding Company Structure(2) 26.65 241.87 28.37 241.87 29.74 0.28 0.99 26.42
Assets Over $1 Billion(5) 24.37 310.16 30.55 310.45 0.00 0.58 1.48 54.92
Assets $500 Million-$1 Billion(3) 0.00 231.47 22.77 232.30 0.00 0.90 2.84 0.00
Assets $250-$500 Million(5) 0.00 247.66 27.67 248.36 27.52 0.62 2.02 70.59
Assets less than $250 Million(10) 26.65 212.98 29.80 212.98 29.74 0.44 1.76 13.21
Goodwill Companies(8) 24.37 258.47 26.09 259.82 27.52 0.62 1.83 60.15
Non-Goodwill Companies(15) 26.65 222.23 29.83 222.23 29.74 0.52 1.91 13.21
MHC Institutions(23) 25.51 229.99 28.73 230.28 28.63 0.55 1.88 41.37
</TABLE>
(1) Average of high/low or bid/ask price per share.
(2) Or since offering price if converted or first listed in 1994 or 1995.
Percent change figures are actual year-to-date and are not annualized
(3) EPS (earnings per share) is based on actual trailing twelve month data and
is not shown on a pro forma basis.
(4) Excludes intangibles (such as goodwill, value of core deposits, etc.).
(5) ROA (return on assets) and ROE (return on equity) are indicated ratios
based on trailing twelve month common earnings and average common equity
and assets balances; ROI (return on investment) is current EPS divided by
current price.
(6) Annualized, based on last regular quarterly cash dividend announcement.
(7) Indicated dividend as a percent of trailing twelve month earnings.
(8) Excluded from averages due to actual or rumored acquisition activities or
unusual operating characteristics.
* All thrifts are SAIF insured unless otherwise noted with an asterisk.
Parentheses following market averages indicate the number of institutions
included in the respective averages. All figures have been adjusted for
stock splits, stock dividends, and secondary offerings.
Source: Corporate reports and offering circulars for publicly traded companies,
and RP Financial, Inc. calculations. The information provided in this
report has been obtained from sources we believe are reliable, but we
cannot guarantee the accuracy or completeness of such information.
Copyright (c) 1997 by RP Financial, LC.
<PAGE> 40
RP FINANCIAL, LC.
- ----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part Two
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Key Financial Ratios Asset Quality Ratios
---------------------------------------------------------- -----------------------
Tang. Reported Earnings Core Earnings
Equity/ Equity/ ---------------------- --------------- NPAs Resvs/ Resvs/
Financial Institution Assets Assets ROA(5) ROE(5) ROI(5) ROA(5) ROE(5) Assets NPAs Loans)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- ------- -------
(%) (%) (%) (%) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NYSE Traded Companies
- ---------------------
AHM Ahmanson and Co. H.F. of CA 4.17 3.55 0.39 9.67 3.30 0.63 15.46 1.86 43.81 1.22
CSA Coast Savings Financial of CA 4.92 4.86 0.21 4.29 1.63 0.53 10.75 1.23 75.26 1.37
CFB Commercial Federal Corp. of NE 6.00 5.33 0.64 10.99 4.08 0.91 15.57 0.88 75.53 0.90
DME Dime Bancorp, Inc. of NY* 5.27 5.03 0.56 10.54 4.33 0.71 13.40 1.02 51.61 0.81
DSL Downey Financial Corp. of CA 6.93 6.84 0.44 5.82 3.18 0.73 9.68 0.95 55.50 0.58
FED FirstFed Fin. Corp. of CA 4.83 4.77 0.29 6.20 3.05 0.53 11.35 1.20 168.73 2.57
GSB Glendale Fed. Bk, FSB of CA 5.53 4.92 0.26 4.72 2.32 0.61 11.06 1.36 70.96 1.30
GDW Golden West Fin. Corp. of CA 6.37 6.37 1.02 16.09 7.62 1.24 19.60 1.18 47.94 0.67
GPT GreenPoint Fin. Corp. of NY* 10.31 5.80 1.06 9.98 4.85 1.03 9.74 2.88 28.68 1.26
JSB JSB Financial, Inc. of NY 22.85 22.85 1.80 8.14 5.69 1.71 7.72 NA NA 0.61
NYB New York Bancorp, Inc. of NY 5.08 5.08 1.38 26.74 5.70 1.62 31.42 0.88 65.33 0.92
WES Westcorp Inc. of Orange CA 9.05 9.02 0.88 9.12 6.02 0.43 4.52 0.76 121.54 1.78
AMEX Traded Companies
- ---------------------
ANA Acadiana Bancshares of LA* 17.43 17.43 0.50 3.67 2.02 0.50 3.67 0.52 190.96 1.35
ANE Alliance Bancorp of New England* 6.95 6.75 0.74 11.32 6.14 0.78 11.86 1.99 62.80 2.00
BKC American Bank of Waterbury CT* 8.28 7.95 1.28 15.40 6.80 1.09 13.18 1.77 48.58 1.48
BFD BostonFed Bancorp of MA 8.79 8.49 0.51 5.08 3.88 0.66 6.58 NA NA 0.76
CFX CFX Corp of NH(8)* 7.44 6.97 0.93 11.47 2.26 1.12 13.77 0.42 179.69 1.10
CNY Carver Bancorp, Inc. of NY 8.35 8.01 -0.44 -4.95 -5.69 0.01 0.07 NA NA NA
CBK Citizens First Fin.Corp. of IL 14.08 14.08 0.29 1.95 1.62 0.58 3.84 0.59 37.65 0.26
ESX Essex Bancorp of VA(8) 0.27 0.17 -0.03 -16.67 -0.91 0.03 16.67 2.63 42.63 1.34
FCB Falmouth Co-Op Bank of MA* 23.88 23.88 0.84 3.43 2.58 0.79 3.23 0.07 806.45 0.98
FAB FirstFed America Bancorp of MA 12.16 12.16 -0.20 -2.35 -1.02 0.47 5.61 0.39 259.57 1.16
GAF GA Financial Corp. of PA 15.17 15.01 0.99 5.25 4.24 1.27 6.70 0.24 63.36 0.41
KNK Kankakee Bancorp of IL 11.09 10.43 0.66 6.35 5.10 0.82 7.92 1.05 60.22 0.90
KYF Kentucky First Bancorp of KY 16.57 16.57 0.86 4.58 4.26 1.13 6.00 0.09 457.83 0.76
MBB MSB Bancorp of Middletown NY* 7.39 3.63 0.17 2.40 1.72 0.18 2.55 0.71 38.66 0.63
PDB Piedmont Bancorp of NC 16.63 16.63 -0.42 -1.94 -1.75 0.66 3.07 0.89 75.98 0.81
SSB Scotland Bancorp of NC 37.02 37.02 1.41 3.88 4.72 1.72 4.72 NA NA 0.50
SZB SouthFirst Bancshares of AL 14.00 14.00 -0.03 -0.19 -0.16 0.23 1.62 0.75 39.15 0.40
SRN Southern Banc Company of AL 17.01 16.83 0.14 0.79 0.70 0.50 2.84 NA NA 0.21
SSM Stone Street Bancorp of NC 28.85 28.85 1.43 4.18 4.10 1.71 5.02 0.27 187.50 0.62
TSH Teche Holding Company of LA 13.14 13.14 0.69 5.03 3.59 0.96 6.96 0.27 304.97 0.96
FTF Texarkana Fst. Fin. Corp of AR 15.70 15.70 1.41 8.40 5.09 1.74 10.38 0.46 145.12 0.79
THR Three Rivers Fin. Corp. of MI 13.46 13.41 0.57 4.02 3.20 0.82 5.83 1.15 44.56 0.78
WSB Washington SB, FSB of MD 8.38 8.38 0.42 5.04 3.23 0.59 7.06 1.53 30.34 1.01
NASDAQ Listed OTC Companies
- ---------------------------
FBCV 1st Bancorp of Vincennes IN 8.26 8.09 0.31 3.80 3.32 0.13 1.63 1.30 34.59 0.65
AFED AFSALA Bancorp, Inc. of NY 13.47 13.47 0.79 6.46 4.37 0.79 6.46 0.45 150.77 1.43
ALBK ALBANK Fin. Corp. of Albany NY 9.20 8.04 0.85 9.19 5.15 1.04 11.28 0.94 75.89 0.97
AMFC AMB Financial Corp. of IN 14.95 14.95 0.73 4.14 4.03 0.81 4.57 0.32 118.29 0.51
ASBP ASB Financial Corp. of OH 15.75 15.75 0.60 3.24 2.97 0.86 4.66 1.02 71.62 1.09
ABBK Abington Savings Bank of MA* 6.92 6.23 0.82 12.04 6.11 0.73 10.70 0.16 269.74 0.71
AABC Access Anytime Bancorp of NM 7.45 7.45 -0.50 -8.73 -4.51 -0.12 -2.18 1.60 29.31 0.92
AFBC Advance Fin. Bancorp of WV 15.43 15.43 0.56 4.60 2.87 0.85 6.94 0.58 60.53 0.43
AADV Advantage Bancorp of WI 9.21 8.61 0.40 4.49 2.14 0.89 9.94 0.48 117.04 1.02
AFCB Affiliated Comm BC, Inc of MA 9.78 9.72 0.96 9.75 5.24 1.09 11.16 0.34 218.65 1.18
ALBC Albion Banc Corp. of Albion NY 8.73 8.73 0.11 1.14 0.92 0.38 4.07 0.72 53.94 0.54
ABCL Allied Bancorp of IL 8.91 8.79 0.52 5.89 2.28 0.76 8.60 0.21 184.61 0.54
ATSB AmTrust Capital Corp. of IN 10.33 10.23 0.18 1.81 1.79 0.30 2.96 2.20 33.49 1.03
</TABLE>
<TABLE>
<CAPTION>
Pricing Ratios Dividend Data(6)
---------------------------------------- -----------------------
Price/ Price/ Ind. Divi-
Price/ Price/ Price/ Tang. Core Div./ dend Payout
Financial Institution Earning Book Assets Book Earnings Share Yield Ratio(7)
- --------------------- ------- ------- ------- ------- -------- ------- ------- -------
(X) (%) (%) (%) (x) ($) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
NYSE Traded Companies
- ---------------------
AHM Ahmanson and Co. H.F. of CA NM 294.90 12.29 346.03 18.98 0.88 1.42 43.14
CSA Coast Savings Financial of CA NM 253.06 12.45 256.37 24.52 0.00 0.00 0.00
CFB Commercial Federal Corp. of NE 24.51 253.29 15.21 285.55 17.30 0.28 0.56 13.73
DME Dime Bancorp, Inc. of NY* 23.07 236.49 12.47 248.14 18.15 0.16 0.65 14.95
DSL Downey Financial Corp. of CA NM 177.44 12.30 179.92 18.92 0.32 1.18 37.21
FED FirstFed Fin. Corp. of CA NM 193.73 9.36 195.98 17.90 0.00 0.00 0.00
GSB Glendale Fed. Bk, FSB of CA NM 191.33 10.58 215.19 18.38 0.00 0.00 0.00
GDW Golden West Fin. Corp. of CA 13.12 201.55 12.84 201.55 10.77 0.44 0.50 6.53
GPT GreenPoint Fin. Corp. of NY* 20.63 214.52 22.12 NM 21.14 0.00 0.00 0.00
JSB JSB Financial, Inc. of NY 17.58 137.74 31.48 137.74 18.51 1.40 2.88 50.54
NYB New York Bancorp, Inc. of NY 17.53 NM 22.76 NM 14.92 0.60 1.71 30.00
WES Westcorp Inc. of Orange CA 16.61 145.43 13.16 145.89 NM 0.40 2.17 36.04
AMEX Traded Companies
- ---------------------
ANA Acadiana Bancshares of LA* NM 139.22 24.26 139.22 NM 0.36 1.55 NM
ANE Alliance Bancorp of New England* 16.27 169.62 11.78 174.60 15.54 0.20 1.16 18.87
BKC American Bank of Waterbury CT* 14.70 211.98 17.56 220.84 17.16 1.44 3.13 46.01
BFD BostonFed Bancorp of MA 25.79 132.54 11.65 137.15 19.92 0.28 1.39 35.90
CFX CFX Corp of NH(8)* NM NM 34.18 NM NM 0.88 3.32 NM
CNY Carver Bancorp, Inc. of NY NM 87.07 7.27 90.78 NM 0.00 0.00 NM
CBK Citizens First Fin.Corp. of IL NM 125.51 17.67 125.51 NM 0.00 0.00 0.00
ESX Essex Bancorp of VA(8) NM NM 3.06 NM NM 0.00 0.00 NM
FCB Falmouth Co-Op Bank of MA* NM 130.65 31.20 130.65 NM 0.20 0.99 38.46
FAB FirstFed America Bancorp of MA NM 144.18 17.54 144.18 NM 0.00 0.00 NM
GAF GA Financial Corp. of PA 23.59 132.24 20.07 133.64 18.50 0.48 2.54 60.00
KNK Kankakee Bancorp of IL 19.60 119.50 13.25 127.10 15.72 0.48 1.51 29.63
KYF Kentucky First Bancorp of KY 23.48 120.53 19.97 120.53 17.92 0.50 3.67 NM
MBB MSB Bancorp of Middletown NY* NM 134.75 9.96 274.57 NM 0.60 2.11 NM
PDB Piedmont Bancorp of NC NM 146.50 24.36 146.50 NM 0.40 3.68 NM
SSB Scotland Bancorp of NC 21.20 80.43 29.78 80.43 17.44 0.30 2.78 58.82
SZB SouthFirst Bancshares of AL NM 117.50 16.45 117.50 NM 0.50 2.65 NM
SRN Southern Banc Company of AL NM 117.42 19.97 118.64 NM 0.35 2.04 NM
SSM Stone Street Bancorp of NC 24.38 120.89 34.88 120.89 20.31 0.45 2.31 56.25
TSH Teche Holding Company of LA 27.88 140.05 18.41 140.05 20.14 0.50 2.30 64.10
FTF Texarkana Fst. Fin. Corp of AR 19.66 171.32 26.90 171.32 15.90 0.56 2.17 42.75
THR Three Rivers Fin. Corp. of MI NM 124.65 16.78 125.13 21.52 0.40 2.07 64.52
WSB Washington SB, FSB of MD NM 150.19 12.58 150.19 22.14 0.10 1.29 40.00
NASDAQ Listed OTC Companies
- ---------------------------
FBCV 1st Bancorp of Vincennes IN NM 111.16 9.18 113.48 NM 0.40 1.12 33.61
AFED AFSALA Bancorp, Inc. of NY 22.87 127.20 17.14 127.20 22.87 0.16 0.85 19.51
ALBK ALBANK Fin. Corp. of Albany NY 19.43 172.82 15.90 197.69 15.84 0.72 1.62 31.44
AMFC AMB Financial Corp. of IN 24.80 112.05 16.76 112.05 22.42 0.28 1.71 42.42
ASBP ASB Financial Corp. of OH NM 127.50 20.08 127.50 23.43 0.40 3.05 NM
ABBK Abington Savings Bank of MA* 16.36 188.33 13.03 209.07 18.39 0.40 1.13 18.43
AABC Access Anytime Bancorp of NM NM 152.11 11.34 152.11 NM 0.00 0.00 NM
AFBC Advance Fin. Bancorp of WV NM 119.29 18.40 119.29 23.05 0.32 1.80 62.75
AADV Advantage Bancorp of WI NM 204.55 18.85 218.79 21.13 0.40 0.67 31.50
AFCB Affiliated Comm BC, Inc of MA 19.08 176.61 17.27 177.59 16.67 0.60 2.07 39.47
ALBC Albion Banc Corp. of Albion NY NM 122.08 10.66 122.08 NM 0.32 1.09 NM
ABCL Allied Bancorp of IL NM 171.47 15.28 173.70 NM 0.44 1.64 72.13
ATSB AmTrust Capital Corp. of IN NM 98.66 10.19 99.64 NM 0.20 1.43 NM
</TABLE>
<PAGE> 41
RP FINANCIAL, LC.
- ----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part Two
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Key Financial Ratios Asset Quality Ratios
---------------------------------------------------------- -----------------------
Tang. Reported Earnings Core Earnings
Equity/ Equity/ ---------------------- --------------- NPAs Resvs/ Resvs/
Financial Institution Assets Assets ROA(5) ROE(5) ROI(5) ROA(5) ROE(5) Assets NPAs Loans)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- ------- -------
(%) (%) (%) (%) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
AHCI Ambanc Holding Co., Inc. of NY* 12.94 12.94 -0.59 -4.26 -3.79 -0.62 -4.45 0.63 124.04 1.40
ASBI Ameriana Bancorp of IN 10.96 10.95 0.61 5.53 3.66 0.85 7.74 0.52 53.03 0.37
AFFFZ America First Fin. Fund of CA(8) 8.44 8.34 1.49 19.31 12.38 1.83 23.69 0.35 94.92 0.48
ANBK American Nat'l Bancorp of MD(8) 8.97 8.97 0.28 2.90 1.83 0.65 6.74 0.74 102.82 1.17
ABCW Anchor Bancorp Wisconsin of WI 6.22 6.11 0.75 12.07 5.08 0.96 15.50 0.98 115.36 1.44
ANDB Andover Bancorp, Inc. of MA* 8.06 8.06 1.10 13.91 6.65 1.13 14.35 0.91 107.23 1.33
ASFC Astoria Financial Corp. of NY 7.82 6.57 0.56 7.09 3.60 0.79 10.12 0.46 39.39 0.43
AVND Avondale Fin. Corp. of IL 9.12 9.12 -0.49 -5.19 -4.96 -1.51 -16.06 1.11 86.78 1.65
BKCT Bancorp Connecticut of CT* 10.25 10.25 1.32 12.65 5.66 1.24 11.88 1.04 118.74 2.00
BPLS Bank Plus Corp. of CA 5.07 5.06 -0.27 -5.32 -3.85 0.02 0.46 2.21 NA NA
BWFC Bank West Fin. Corp. of MI 14.52 14.52 0.64 3.91 2.38 0.57 3.47 0.28 51.72 0.20
BANC BankAtlantic Bancorp of FL 5.62 4.62 0.89 14.85 7.16 0.65 10.91 0.92 108.06 1.42
BKUNA BankUnited SA of FL 3.72 3.02 0.21 4.55 2.19 0.34 7.54 0.66 26.19 0.21
BVCC Bay View Capital Corp. of CA 6.34 5.32 0.39 6.35 3.31 0.63 10.37 NA NA 1.62
FSNJ Bayonne Banchsares of NJ 14.42 14.42 -0.35 -2.42 -1.90 -0.06 -0.40 1.22 43.59 1.36
BFSB Bedford Bancshares of VA 14.16 14.16 1.01 6.98 4.18 1.29 8.94 0.60 79.85 0.56
BFFC Big Foot Fin. Corp. of IL 16.98 16.98 0.05 0.28 0.22 0.42 2.45 0.09 151.52 0.34
BSBC Branford SB of CT(8)* 9.28 9.28 1.16 12.75 6.10 1.16 12.75 1.56 131.46 3.09
BYFC Broadway Fin. Corp. of CA 10.01 10.01 -0.14 -1.23 -1.47 0.21 1.88 2.06 39.74 1.01
CBES CBES Bancorp of MO 17.58 17.58 0.91 5.54 4.12 1.11 6.80 NA NA NA
CCFH CCF Holding Company of GA 11.68 11.68 0.05 0.30 0.24 0.07 0.42 0.18 325.68 0.72
CENF CENFED Financial Corp. of CA 5.20 5.19 0.51 10.02 4.75 0.73 14.29 0.97 76.38 1.07
CFSB CFSB Bancorp of Lansing MI 7.62 7.62 0.85 10.94 4.28 1.07 13.82 0.17 325.61 0.61
CKFB CKF Bancorp of Danville KY 23.96 23.96 1.81 7.25 6.50 1.33 5.33 1.26 14.79 0.20
CNSB CNS Bancorp of MO 24.94 24.94 0.42 1.70 1.45 0.77 3.13 0.53 72.14 0.58
CSBF CSB Financial Group Inc of IL* 25.03 23.66 0.32 1.22 1.29 0.52 1.98 0.56 57.14 0.57
CBCI Calumet Bancorp of Chicago IL 15.50 15.50 1.15 7.22 5.41 1.46 9.16 1.27 96.64 1.55
CAFI Camco Fin. Corp. of OH 9.57 8.82 0.82 9.11 4.80 0.92 10.18 0.49 54.74 0.32
CMRN Cameron Fin. Corp. of MO 21.69 21.69 1.07 4.43 4.00 1.33 5.51 0.73 111.82 0.97
CAPS Capital Savings Bancorp of MO 8.80 8.80 0.67 7.61 4.49 0.93 10.68 0.31 97.62 0.39
CFNC Carolina Fincorp of NC* 22.83 22.83 1.14 4.92 3.89 1.09 4.70 0.18 194.17 0.51
CASB Cascade SB of Everett WA(8) 6.13 6.13 0.35 5.65 3.36 0.52 8.53 0.41 191.64 0.94
CATB Catskill Fin. Corp. of NY* 25.04 25.04 1.43 5.20 4.78 1.46 5.32 0.40 162.15 1.50
CNIT Cenit Bancorp of Norfolk VA 7.24 6.65 0.87 12.05 5.58 0.80 11.05 0.52 103.38 0.77
CEBK Central Co-Op. Bank of MA* 10.45 9.31 0.88 8.78 6.06 0.90 8.90 0.85 97.49 1.21
CENB Century Bancshares of NC* 30.11 30.11 1.76 5.85 5.35 1.77 5.89 0.13 423.08 0.87
CBSB Charter Financial Inc. of IL 14.47 12.80 1.13 7.49 4.91 1.59 10.49 0.56 104.84 0.79
COFI Charter One Financial of OH 6.70 6.28 0.98 14.65 4.72 1.23 18.34 0.27 159.82 0.68
CVAL Chester Valley Bancorp of PA 8.36 8.36 0.65 7.43 3.38 0.93 10.56 0.53 173.12 1.12
CTZN CitFed Bancorp of Dayton OH 6.37 5.73 0.58 9.14 3.54 0.82 12.87 0.40 136.26 0.86
CLAS Classic Bancshares of KY 14.72 12.42 0.55 3.05 2.86 0.77 4.27 0.94 65.45 0.93
CMSB Cmnwealth Bancorp of PA 9.63 7.53 0.55 5.29 3.95 0.70 6.73 0.47 85.46 0.71
CBSA Coastal Bancorp of Houston TX 3.33 2.77 0.25 7.55 4.78 0.44 13.16 NA NA 0.54
CFCP Coastal Fin. Corp. of SC 6.17 6.17 0.94 15.25 3.96 1.03 16.69 0.10 966.86 1.18
CMSV Commty. Svgs, MHC of FL (48.5) 11.24 11.24 0.56 4.87 2.00 0.84 7.28 NA NA NA
CFTP Community Fed. Bancorp of MS 27.46 27.46 1.33 4.15 3.50 1.62 5.07 0.30 91.63 0.46
CFFC Community Fin. Corp. of VA 13.71 13.71 1.01 7.32 5.71 1.28 9.26 0.39 148.67 0.65
CFBC Community First Bnkg Co. of GA 15.40 15.19 0.56 3.65 2.80 0.57 3.69 2.02 26.10 0.83
CIBI Community Inv. Bancorp of OH 12.04 12.04 0.62 5.23 4.06 0.95 8.01 0.53 94.97 0.59
COOP Cooperative Bk.for Svgs. of NC 7.63 7.63 -0.80 -10.08 -5.37 0.19 2.46 0.21 109.36 0.29
CRZY Crazy Woman Creek Bncorp of WY 25.81 25.81 1.06 3.69 3.85 1.30 4.52 0.39 136.15 1.04
DNFC D&N Financial Corp. of MI 5.58 5.52 0.61 10.65 4.33 0.80 14.08 0.35 178.16 0.83
DCBI Delphos Citizens Bancorp of OH 28.40 28.40 1.46 6.46 4.29 1.46 6.46 0.45 21.81 0.13
DIME Dime Community Bancorp of NY 14.52 12.51 0.97 6.00 4.33 1.04 6.43 0.60 135.05 1.39
DIBK Dime Financial Corp. of CT* 7.96 7.70 1.90 23.26 9.14 1.91 23.34 0.37 353.73 3.21
EGLB Eagle BancGroup of IL 11.86 11.86 -0.09 -0.74 -0.64 0.20 1.74 NA NA 0.73
</TABLE>
<TABLE>
<CAPTION>
Pricing Ratios Dividend Data(6)
---------------------------------------- -----------------------
Price/ Price/ Ind. Divi-
Price/ Price/ Price/ Tang. Core Div./ dend Payout
Financial Institution Earning Book Assets Book Earnings Share Yield Ratio(7)
- --------------------- ------- ------- ------- ------- -------- ------- ------- -------
(X) (%) (%) (%) (x) ($) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
AHCI Ambanc Holding Co., Inc. of NY* NM 118.05 15.28 118.05 NM 0.20 1.19 NM
ASBI Ameriana Bancorp of IN 27.33 151.96 16.65 152.08 19.52 0.64 3.12 NM
AFFFZ America First Fin. Fund of CA(8) 8.08 144.67 12.21 146.48 6.58 1.60 3.60 29.04
ANBK American Nat'l Bancorp of MD(8) NM 161.48 14.48 161.48 23.55 0.12 0.59 32.43
ABCW Anchor Bancorp Wisconsin of WI 19.68 230.36 14.34 234.80 15.33 0.32 1.05 20.65
ANDB Andover Bancorp, Inc. of MA* 15.03 197.24 15.90 197.24 14.57 0.68 1.76 26.46
ASFC Astoria Financial Corp. of NY 27.79 190.59 14.91 226.96 19.48 0.60 1.08 30.15
AVND Avondale Fin. Corp. of IL NM 108.01 9.85 108.01 NM 0.00 0.00 NM
BKCT Bancorp Connecticut of CT* 17.67 220.16 22.56 220.16 18.81 1.00 2.63 46.51
BPLS Bank Plus Corp. of CA NM 128.94 6.53 129.22 NM 0.00 0.00 NM
BWFC Bank West Fin. Corp. of MI NM 172.61 25.06 172.61 NM 0.32 1.44 60.38
BANC BankAtlantic Bancorp of FL 13.97 198.69 11.17 241.87 19.01 0.13 0.95 13.27
BKUNA BankUnited SA of FL NM 174.57 6.50 215.45 27.60 0.00 0.00 0.00
BVCC Bay View Capital Corp. of CA NM 193.04 12.24 230.02 18.48 0.32 1.05 31.68
FSNJ Bayonne Banchsares of NJ NM 127.35 18.36 127.35 NM 0.17 1.35 NM
BFSB Bedford Bancshares of VA 23.90 162.20 22.97 162.20 18.66 0.56 2.06 49.12
BFFC Big Foot Fin. Corp. of IL NM 128.10 21.75 128.10 NM 0.00 0.00 0.00
BSBC Branford SB of CT(8)* 16.41 198.86 18.46 198.86 16.41 0.08 1.52 25.00
BYFC Broadway Fin. Corp. of CA NM 88.33 8.84 88.33 NM 0.20 1.55 NM
CBES CBES Bancorp of MO 24.25 117.47 20.66 117.47 19.78 0.40 1.96 47.62
CCFH CCF Holding Company of GA NM 146.24 17.08 146.24 NM 0.55 2.62 NM
CENF CENFED Financial Corp. of CA 21.05 199.60 10.38 199.90 14.76 0.36 0.90 18.95
CFSB CFSB Bancorp of Lansing MI 23.36 252.57 19.25 252.57 18.50 0.68 2.13 49.64
CKFB CKF Bancorp of Danville KY 15.38 114.29 27.38 114.29 20.93 0.50 2.78 42.74
CNSB CNS Bancorp of MO NM 116.24 28.99 116.24 NM 0.24 1.39 NM
CSBF CSB Financial Group Inc of IL* NM 95.84 23.99 101.39 NM 0.00 0.00 0.00
CBCI Calumet Bancorp of Chicago IL 18.47 137.82 21.36 137.82 14.57 0.00 0.00 0.00
CAFI Camco Fin. Corp. of OH 20.83 158.57 15.17 171.90 18.65 0.52 2.25 46.85
CMRN Cameron Fin. Corp. of MO 25.00 113.50 24.61 113.50 20.10 0.28 1.44 35.90
CAPS Capital Savings Bancorp of MO 22.26 161.79 14.24 161.79 15.87 0.24 1.32 29.27
CFNC Carolina Fincorp of NC* 25.74 127.27 29.05 127.27 26.92 0.24 1.37 35.29
CASB Cascade SB of Everett WA(8) 29.79 159.45 9.77 159.45 19.72 0.00 0.00 0.00
CATB Catskill Fin. Corp. of NY* 20.91 117.67 29.46 117.67 20.43 0.28 1.56 32.56
CNIT Cenit Bancorp of Norfolk VA 17.91 215.78 15.62 235.01 19.53 1.00 1.49 26.74
CEBK Central Co-Op. Bank of MA* 16.49 139.13 14.54 156.25 16.27 0.32 1.35 22.22
CENB Century Bancshares of NC* 18.71 108.80 32.76 108.80 18.58 2.00 2.47 46.19
CBSB Charter Financial Inc. of IL 20.35 155.87 22.55 176.17 14.54 0.32 1.50 30.48
COFI Charter One Financial of OH 21.18 298.83 20.03 319.08 16.92 1.00 1.70 35.97
CVAL Chester Valley Bancorp of PA 29.55 210.36 17.58 210.36 20.80 0.42 1.62 47.73
CTZN CitFed Bancorp of Dayton OH 28.28 240.76 15.33 267.40 20.10 0.36 0.66 18.56
CLAS Classic Bancshares of KY NM 106.13 15.62 125.80 25.00 0.28 1.78 62.22
CMSB Cmnwealth Bancorp of PA 25.34 136.33 13.13 174.36 19.89 0.28 1.51 38.36
CBSA Coastal Bancorp of Houston TX 20.92 152.35 5.07 183.21 12.00 0.48 1.59 33.33
CFCP Coastal Fin. Corp. of SC 25.26 NM 22.18 NM 23.08 0.36 1.50 37.89
CMSV Commty. Svgs, MHC of FL (48.5) NM 236.40 26.57 236.40 NM 0.90 2.47 NM
CFTP Community Fed. Bancorp of MS 28.59 136.05 37.36 136.05 23.43 0.30 1.78 50.85
CFFC Community Fin. Corp. of VA 17.52 122.59 16.80 122.59 13.84 0.56 2.42 42.42
CFBC Community First Bnkg Co. of GA NM 130.48 20.09 132.28 NM 0.60 1.60 57.14
CIBI Community Inv. Bancorp of OH 24.61 129.84 15.63 129.84 16.07 0.32 2.03 50.00
COOP Cooperative Bk.for Svgs. of NC NM 185.70 14.18 185.70 NM 0.00 0.00 NM
CRZY Crazy Woman Creek Bncorp of WY 25.97 102.66 26.50 102.66 21.21 0.40 2.66 68.97
DNFC D&N Financial Corp. of MI 23.08 231.25 12.89 233.61 17.47 0.20 0.79 18.35
DCBI Delphos Citizens Bancorp of OH 23.33 112.69 32.00 112.69 23.33 0.00 0.00 0.00
DIME Dime Community Bancorp of NY 23.08 149.60 21.72 173.60 21.54 0.24 1.06 24.49
DIBK Dime Financial Corp. of CT* 10.94 228.12 18.16 235.81 10.90 0.44 1.43 15.66
EGLB Eagle BancGroup of IL NM 108.70 12.89 108.70 NM 0.00 0.00 NM
</TABLE>
<PAGE> 42
RP FINANCIAL, LC.
- ----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part Two
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Key Financial Ratios Asset Quality Ratios
---------------------------------------------------------- ----------------------
Tang. Reported Earnings Core Earnings
Equity/ Equity/ ---------------------- --------------- NPAs Resvs/ Resvs/
Financial Institution Assets Assets ROA(5) ROE(5) ROI(5) ROA(5) ROE(5) Assets NPAs Loans
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- ------- -------
(%) (%) (%) (%) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
EBSI Eagle Bancshares of Tucker GA 8.30 8.30 0.43 5.14 3.46 0.58 6.99 1.07 63.66 0.95
EGFC Eagle Financial Corp. of CT(8) 6.87 5.36 0.08 1.09 0.36 0.44 6.19 0.53 87.77 0.86
ETFS East Texas Fin. Serv. of TX 18.16 18.16 0.31 1.65 1.76 0.63 3.40 0.17 141.97 0.50
EMLD Emerald Financial Corp of OH 7.58 7.46 0.73 9.44 4.38 0.90 11.66 0.24 115.15 0.36
EIRE Emerald Island Bancorp, MA(8)* 7.07 7.07 0.85 12.37 4.79 0.89 12.94 0.17 416.26 0.97
EFBC Empire Federal Bancorp of MT 34.89 34.89 0.83 2.37 2.06 1.09 3.12 0.06 312.50 0.46
EFBI Enterprise Fed. Bancorp of OH 12.33 12.31 0.70 5.12 3.22 0.79 5.74 NA NA 0.28
EQSB Equitable FSB of Wheaton MD 5.04 5.04 0.46 9.09 4.93 0.74 14.50 0.49 36.72 0.26
FCBF FCB Fin. Corp. of Neenah WI 17.50 17.50 0.92 5.20 2.16 1.09 6.16 0.15 412.16 0.82
FFBS FFBS Bancorp of Columbus MS 19.23 19.23 1.16 5.96 4.09 1.47 7.53 0.37 118.76 0.62
FFDF FFD Financial Corp. of OH 24.40 24.40 1.68 6.68 5.23 0.94 3.75 0.07 421.88 0.48
FFLC FFLC Bancorp of Leesburg FL 13.48 13.48 0.70 4.58 3.04 1.01 6.60 0.18 226.46 0.52
FFFC FFVA Financial Corp. of VA 13.18 12.90 1.11 7.86 3.99 1.34 9.53 0.16 361.92 0.99
FFWC FFW Corporation of Wabash IN 9.52 8.58 0.84 8.40 5.78 1.05 10.50 0.18 217.37 0.60
FFYF FFY Financial Corp. of OH 13.72 13.72 0.90 5.86 4.34 1.27 8.31 0.66 72.24 0.63
FMCO FMS Financial Corp. of NJ 6.56 6.44 0.69 10.76 5.20 1.02 15.79 1.06 48.50 0.92
FFHH FSF Financial Corp. of MN 11.35 11.35 0.66 5.25 4.06 0.84 6.65 0.15 148.95 0.33
FOBC Fed One Bancorp of Wheeling WV 11.06 10.55 0.68 5.85 3.92 0.97 8.33 0.45 91.97 0.88
FBCI Fidelity Bancorp of Chicago IL 10.38 10.36 0.55 5.35 3.88 0.78 7.48 0.41 22.74 0.12
FSBI Fidelity Bancorp, Inc. of PA 6.75 6.75 0.51 7.35 4.50 0.81 11.71 0.43 115.46 1.01
FFFL Fidelity FSB, MHC of FL (47.7) 8.38 8.31 0.38 4.15 1.79 0.60 6.56 0.34 62.82 0.29
FFED Fidelity Fed. Bancorp of IN 5.38 5.38 0.04 0.85 0.41 0.30 5.77 0.13 626.40 0.96
FFOH Fidelity Financial of OH 12.94 11.42 0.70 4.68 3.37 1.02 6.89 0.29 106.32 0.37
FIBC Financial Bancorp, Inc. of NY 9.36 9.32 0.56 5.77 3.65 1.00 10.23 1.75 27.02 0.91
FBSI First Bancshares of MO 13.54 13.52 0.90 6.14 5.11 1.10 7.47 0.67 45.57 0.36
FBBC First Bell Bancorp of PA 9.83 9.83 1.07 7.64 6.14 1.24 8.87 0.09 116.26 0.13
FBER First Bergen Bancorp of NJ 14.19 14.19 0.45 2.75 2.11 0.77 4.74 0.84 127.66 2.47
SKBO First Carnegie,MHC of PA(45.0) 16.45 16.45 0.52 4.42 1.77 0.52 4.42 NA NA 0.68
FSTC First Citizens Corp of GA 9.73 7.57 1.96 20.06 7.02 1.93 19.78 1.10 102.20 1.47
FCME First Coastal Corp. of ME* 9.23 9.23 4.21 NM 33.33 4.08 NM NA NA 2.49
FFBA First Colorado Bancorp of Co 12.89 12.72 0.86 6.07 3.83 0.85 5.99 0.20 141.52 0.39
FDEF First Defiance Fin.Corp. of OH 21.33 21.33 0.75 3.37 2.93 1.02 4.57 0.45 99.07 0.59
FESX First Essex Bancorp of MA* 6.97 6.06 0.96 13.04 6.64 0.84 11.36 NA NA 1.43
FFES First FS&LA of E. Hartford CT 6.43 6.43 0.42 6.82 4.16 0.70 11.21 0.31 87.85 1.44
FFSX First FS&LA. MHC of IA (46.1) 8.30 8.22 0.42 5.14 2.08 0.74 9.00 0.22 185.09 0.53
BDJI First Fed. Bancorp. of MN 10.87 10.87 0.30 2.56 1.91 0.63 5.44 0.27 137.04 0.76
FFBH First Fed. Bancshares of AR 14.97 14.97 0.77 4.84 3.77 1.06 6.63 0.19 119.50 0.30
FTFC First Fed. Capital Corp. of WI 6.35 5.96 0.74 11.27 4.46 0.86 13.20 0.13 403.99 0.64
FFKY First Fed. Fin. Corp. of KY 13.69 12.89 1.31 9.50 5.35 1.55 11.24 0.49 94.29 0.53
FFBZ First Federal Bancorp of OH 7.55 7.54 0.73 9.58 4.57 1.02 13.38 0.53 163.59 1.01
FFCH First Fin. Holdings Inc. of SC 6.11 6.11 0.57 9.30 3.47 0.84 13.65 1.66 41.99 0.84
FFBI First Financial Bancorp of IL 8.66 8.66 -0.38 -4.73 -4.42 0.42 5.23 0.41 142.00 0.91
FFHS First Franklin Corp. of OH 9.02 8.96 0.19 2.14 1.48 0.65 7.20 0.47 90.77 0.64
FGHC First Georgia Hold. Corp of GA 8.22 7.53 0.66 7.98 3.82 0.51 6.23 3.10 20.52 0.75
FSPG First Home Bancorp of NJ 6.66 6.55 0.89 13.61 7.21 1.16 17.76 0.64 114.23 1.39
FFSL First Independence Corp. of KS 10.43 10.43 0.43 3.84 3.24 0.69 6.12 0.87 69.37 0.91
FISB First Indiana Corp. of IN 9.56 9.44 0.83 8.86 4.75 1.01 10.83 NA NA 1.70
FKFS First Keystone Fin. Corp of PA 7.31 7.31 0.54 7.21 4.20 0.77 10.30 1.60 30.58 0.84
FLKY First Lancaster Bncshrs of KY 32.95 32.95 1.13 3.29 2.98 1.38 3.99 1.93 15.10 0.33
FLFC First Liberty Fin. Corp. of GA 7.37 6.65 0.88 12.11 4.67 0.72 9.91 0.81 110.00 1.29
CASH First Midwest Fin. Corp. of IA 11.39 10.09 0.74 6.46 5.08 0.94 8.21 0.85 75.48 0.93
FMBD First Mutual Bancorp of IL 12.85 9.73 0.10 0.57 0.50 0.31 1.84 0.26 138.78 0.47
FMSB First Mutual SB of Bellevue WA* 6.82 6.82 1.03 15.41 5.70 1.00 14.96 0.06 NA 1.31
FNGB First Northern Cap. Corp of WI 11.27 11.27 0.64 5.50 3.20 0.91 7.88 0.08 574.86 0.53
FFPB First Palm Beach Bancorp of FL 6.57 6.41 -0.03 -0.42 -0.23 0.03 0.37 0.57 NA NA
FSLA First SB SLA MHC of NJ (47.5)(8) 9.42 8.40 0.58 6.19 1.82 0.92 9.79 0.54 105.63 1.04
</TABLE>
<TABLE>
<CAPTION>
Pricing Ratios Dividend Data(6)
---------------------------------------- -----------------------
Price/ Price/ Ind. Divi-
Price/ Price/ Price/ Tang. Core Div./ dend Payout
Financial Institution Earning Book Assets Book Earnings Share Yield Ratio(7)
- --------------------- ------- ------- ------- ------- -------- ------- ------- -------
(X) (%) (%) (%) (x) ($) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
EBSI Eagle Bancshares of Tucker GA 28.91 148.59 12.34 148.59 21.26 0.60 3.24 NM
EGFC Eagle Financial Corp. of CT(8) NM 239.84 16.47 307.20 NM 1.00 1.90 NM
ETFS East Texas Fin. Serv. of TX NM 97.00 17.62 97.00 27.67 0.20 1.03 58.82
EMLD Emerald Financial Corp of OH 22.84 205.33 15.56 208.57 18.50 0.24 1.30 29.63
EIRE Emerald Island Bancorp, MA(8)* 20.89 237.65 16.81 237.65 19.97 0.28 0.88 18.42
EFBC Empire Federal Bancorp of MT NM 115.18 40.19 115.18 NM 0.30 1.76 NM
EFBI Enterprise Fed. Bancorp of OH NM 159.97 19.72 160.18 27.72 1.00 3.92 NM
EQSB Equitable FSB of Wheaton MD 20.30 173.10 8.72 173.10 12.72 0.00 0.00 0.00
FCBF FCB Fin. Corp. of Neenah WI NM 238.20 41.68 238.20 NM 0.80 2.88 NM
FFBS FFBS Bancorp of Columbus MS 24.47 143.96 27.69 143.96 19.38 0.50 2.15 52.63
FFDF FFD Financial Corp. of OH 19.13 127.03 31.00 127.03 NM 0.30 1.60 30.61
FFLC FFLC Bancorp of Leesburg FL NM 155.42 20.95 155.42 22.89 0.48 1.36 44.86
FFFC FFVA Financial Corp. of VA 25.09 203.31 26.80 207.78 20.70 0.48 1.45 36.36
FFWC FFW Corporation of Wabash IN 17.29 135.59 12.91 150.46 13.83 0.72 2.22 38.30
FFYF FFY Financial Corp. of OH 23.06 149.20 20.46 149.20 16.26 0.80 2.69 62.02
FMCO FMS Financial Corp. of NJ 19.23 196.85 12.91 200.40 13.10 0.28 0.93 17.95
FFHH FSF Financial Corp. of MN 24.61 136.33 15.47 136.33 19.44 0.50 2.57 63.29
FOBC Fed One Bancorp of Wheeling WV 25.51 151.83 16.80 159.21 17.91 0.62 2.46 62.63
FBCI Fidelity Bancorp of Chicago IL 25.79 134.62 13.98 134.91 18.42 0.32 1.31 33.68
FSBI Fidelity Bancorp, Inc. of PA 22.22 151.61 10.24 151.61 13.95 0.36 1.50 33.33
FFFL Fidelity FSB, MHC of FL (47.7) NM 226.54 18.97 228.20 NM 0.90 3.21 NM
FFED Fidelity Fed. Bancorp of IN NM 210.58 11.34 210.58 NM 0.40 4.10 NM
FFOH Fidelity Financial of OH 29.65 124.24 16.08 140.78 20.16 0.28 1.85 54.90
FIBC Financial Bancorp, Inc. of NY 27.41 156.02 14.60 156.73 15.46 0.40 1.66 45.45
FBSI First Bancshares of MO 19.57 124.26 16.83 124.45 16.08 0.20 0.79 15.50
FBBC First Bell Bancorp of PA 16.27 160.02 15.72 160.02 14.02 0.40 2.32 37.74
FBER First Bergen Bancorp of NJ NM 134.75 19.12 134.75 27.54 0.20 1.05 50.00
SKBO First Carnegie,MHC of PA(45.0) NM 177.00 29.11 177.00 NM 0.30 1.61 NM
FSTC First Citizens Corp of GA 14.25 226.51 22.04 291.28 14.45 0.44 1.08 15.38
FCME First Coastal Corp. of ME* 3.00 130.43 12.04 130.43 3.10 0.00 0.00 0.00
FFBA First Colorado Bancorp of Co 26.10 174.60 22.51 177.00 26.44 0.48 2.33 60.76
FDEF First Defiance Fin.Corp. of OH NM 116.88 24.93 116.88 25.20 0.32 2.08 71.11
FESX First Essex Bancorp of MA* 15.05 172.18 12.01 198.30 17.28 0.48 2.42 36.36
FFES First FS&LA of E. Hartford CT 24.01 154.79 9.95 154.79 14.60 0.60 1.64 39.47
FFSX First FS&LA. MHC of IA (46.1) NM 238.70 19.80 240.81 27.52 0.48 1.47 70.59
BDJI First Fed. Bancorp. of MN NM 139.89 15.21 139.89 24.62 0.00 0.00 0.00
FFBH First Fed. Bancshares of AR 26.54 131.42 19.67 131.42 19.37 0.24 1.12 29.63
FTFC First Fed. Capital Corp. of WI 22.44 247.41 15.72 263.82 19.16 0.48 1.83 41.03
FFKY First Fed. Fin. Corp. of KY 18.70 173.11 23.69 183.76 15.81 0.56 2.60 48.70
FFBZ First Federal Bancorp of OH 21.88 199.28 15.04 199.48 15.65 0.24 1.25 27.27
FFCH First Fin. Holdings Inc. of SC 28.85 257.33 15.73 257.33 19.64 0.84 2.04 58.74
FFBI First Financial Bancorp of IL NM 109.19 9.45 109.19 20.48 0.00 0.00 NM
FFHS First Franklin Corp. of OH NM 141.23 12.74 142.15 20.04 0.40 1.65 NM
FGHC First Georgia Hold. Corp of GA 26.16 198.81 16.33 216.84 NM 0.05 0.60 15.63
FSPG First Home Bancorp of NJ 13.87 177.04 11.79 179.98 10.63 0.40 1.76 24.39
FFSL First Independence Corp. of KS NM 125.00 13.04 125.00 19.33 0.25 1.72 53.19
FISB First Indiana Corp. of IN 21.04 178.79 17.10 181.03 17.22 0.48 1.95 41.03
FKFS First Keystone Fin. Corp of PA 23.79 168.26 12.30 168.26 16.64 0.20 0.62 14.81
FLKY First Lancaster Bncshrs of KY NM 107.07 35.28 107.07 27.63 0.50 3.17 NM
FLFC First Liberty Fin. Corp. of GA 21.40 229.67 16.93 254.73 26.16 0.40 1.42 30.30
CASH First Midwest Fin. Corp. of IA 19.69 126.06 14.36 142.27 15.50 0.36 1.83 36.00
FMBD First Mutual Bancorp of IL NM 130.33 16.74 172.04 NM 0.32 1.60 NM
FMSB First Mutual SB of Bellevue WA* 17.55 251.72 17.18 251.72 18.07 0.13 0.71 12.50
FNGB First Northern Cap. Corp of WI NM 169.13 19.06 169.13 21.83 0.32 2.33 72.73
FFPB First Palm Beach Bancorp of FL NM 183.26 12.04 187.85 NM 0.60 1.51 NM
FSLA First SB SLA MHC of NJ (47.5)(8) NM 325.10 30.62 NM NM 0.48 1.22 66.67
</TABLE>
<PAGE> 43
RP FINANCIAL, LC.
- ----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part Two
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Key Financial Ratios Asset Quality Ratios
---------------------------------------------------------- ----------------------
Tang. Reported Earnings Core Earnings
Equity/ Equity/ ---------------------- --------------- NPAs Resvs/ Resvs/
Financial Institution Assets Assets ROA(5) ROE(5) ROI(5) ROA(5) ROE(5) Assets NPAs Loans
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- ------- -------
(%) (%) (%) (%) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
SOPN First SB, SSB, Moore Co. of NC 22.83 22.83 1.45 5.85 4.46 1.73 7.00 0.29 70.15 0.31
FWWB First Savings Bancorp of WA* 14.75 13.57 1.05 6.25 3.81 1.00 5.90 0.30 215.39 0.97
FSFF First SecurityFed Fin of IL 27.03 27.03 1.29 4.77 4.02 1.29 4.77 1.44 40.86 0.92
SHEN First Shenango Bancorp of PA 10.95 10.95 0.89 7.85 5.00 1.15 10.16 0.51 149.56 1.17
FSFC First So.east Fin. Corp. of SC(8) 10.06 10.06 0.70 6.85 3.37 1.05 10.34 0.24 164.77 0.50
FBNW FirstBank Corp of Clarkston WA 18.04 18.04 0.70 3.86 3.18 0.57 3.14 2.07 31.12 0.78
FFDB FirstFed Bancorp of AL 9.42 8.58 0.62 6.31 4.32 0.94 9.63 0.84 49.36 0.59
FSPT FirstSpartan Fin. Corp. of SC 26.32 26.32 0.95 3.62 2.64 1.11 4.20 0.69 56.19 0.49
FLAG Flag Financial Corp of GA 9.58 9.58 -0.03 -0.29 -0.15 0.15 1.65 4.27 47.62 2.91
FLGS Flagstar Bancorp, Inc of MI 7.23 6.90 1.32 20.69 8.06 0.44 6.90 3.41 8.26 0.32
FFIC Flushing Fin. Corp. of NY* 15.47 15.47 0.93 5.55 4.13 0.97 5.79 0.39 172.71 1.12
FBHC Fort Bend Holding Corp. of TX 6.03 5.62 0.19 3.19 1.85 0.44 7.33 NA NA NA
FTSB Fort Thomas Fin. Corp. of KY 16.04 16.04 0.54 2.94 2.36 0.81 4.45 1.48 32.73 0.54
FKKY Frankfort First Bancorp of KY 16.92 16.92 -0.28 -1.14 -1.16 0.56 2.28 0.09 80.00 0.08
FTNB Fulton Bancorp of MO 25.11 25.11 0.89 4.03 2.55 1.07 4.83 0.81 112.62 1.03
GFSB GFS Bancorp of Grinnell IA 11.44 11.44 1.00 8.59 5.18 1.22 10.55 NA NA 0.78
GUPB GFSB Bancorp of Gallup NM 14.87 14.87 0.76 4.35 3.95 0.96 5.50 0.15 247.45 0.65
GSLA GS Financial Corp. of LA 45.63 45.63 1.08 3.63 1.94 1.08 3.63 0.14 211.96 0.81
GOSB GSB Financial Corp. of NY 27.06 27.06 1.02 3.77 3.30 0.86 3.19 NA NA NA
GWBC Gateway Bancorp of KY(8) 27.04 27.04 0.83 3.23 2.74 1.15 4.47 0.90 14.14 0.38
GBCI Glacier Bancorp of MT 9.74 9.49 1.44 15.09 5.00 1.61 16.87 0.25 243.94 0.84
GFCO Glenway Financial Corp. of OH 9.49 9.36 0.43 4.51 3.48 0.72 7.57 0.31 91.62 0.34
GTPS Great American Bancorp of IL 21.43 21.43 0.26 1.10 1.07 0.33 1.38 0.26 126.83 0.42
GTFN Great Financial Corp. of KY(8) 9.23 8.84 0.75 7.86 3.53 0.72 7.51 3.11 16.32 0.74
GSBC Great Southern Bancorp of MO 8.53 8.53 1.38 14.76 5.32 1.56 16.69 1.91 114.73 2.59
GDVS Greater DV SB,MHC of PA (19.9)* 11.57 11.57 0.32 2.71 0.74 0.58 4.95 1.82 33.64 1.00
GSFC Green Street Fin. Corp. of NC 36.26 36.26 1.37 3.84 3.05 1.66 4.66 0.16 83.63 0.18
GFED Guarnty FS&LA,MHC of MO (31.0)(8) 13.79 13.79 0.61 4.30 1.49 0.92 6.51 0.74 148.40 1.36
HCBB HCB Bancshares of AR 18.84 18.13 0.13 0.92 0.67 0.14 1.02 0.43 173.49 1.49
HEMT HF Bancorp of Hemet CA 8.23 6.76 -0.43 -5.13 -4.13 -1.75 -20.84 NA NA NA
HFFC HF Financial Corp. of SD 9.43 9.43 0.66 7.13 4.92 0.89 9.68 0.48 173.70 1.08
HFNC HFNC Financial Corp. of NC 18.04 18.04 0.87 3.47 3.02 1.19 4.76 0.92 92.55 1.06
HMNF HMN Financial, Inc. of MN 14.43 14.43 0.71 4.79 3.72 0.88 5.96 0.10 465.21 0.71
HALL Hallmark Capital Corp. of WI 7.24 7.24 0.48 6.83 4.51 0.61 8.62 0.12 366.09 0.67
HARB Harbor FSB, MHC of FL (46.6)(8) 8.39 8.11 0.95 11.53 3.20 1.23 14.85 0.43 238.88 1.38
HRBF Harbor Federal Bancorp of MD 12.90 12.90 0.46 3.52 2.70 0.71 5.46 0.05 379.63 0.28
HFSA Hardin Bancorp of Hardin MO 12.48 12.48 0.52 3.53 3.22 0.79 5.41 0.09 195.33 0.36
HARL Harleysville SA of PA 6.53 6.53 0.75 11.70 4.81 1.03 16.06 0.02 NA 0.78
HFGI Harrington Fin. Group of IN 5.59 5.59 0.39 8.22 4.60 0.33 6.87 0.20 20.13 0.21
HARS Harris SB, MHC of PA (24.3) 8.01 7.01 0.49 5.80 1.38 0.62 7.26 0.68 60.65 0.96
HFFB Harrodsburg 1st Fin Bcrp of KY 26.93 26.93 1.03 3.77 3.28 1.36 5.01 0.47 59.81 0.38
HHFC Harvest Home Fin. Corp. of OH 12.50 12.50 0.27 1.87 1.67 0.58 4.07 0.11 117.00 0.26
HAVN Haven Bancorp of Woodhaven NY 5.95 5.93 0.56 9.29 4.98 0.83 13.78 0.76 85.85 1.12
HTHR Hawthorne Fin. Corp. of CA 4.60 4.60 0.24 5.33 3.45 0.51 11.51 NA NA 1.70
HMLK Hemlock Fed. Fin. Corp. of IL 18.77 18.77 0.13 0.98 0.58 0.73 5.40 NA NA 1.22
HBNK Highland Federal Bank of CA 7.47 7.47 0.46 6.25 3.00 0.68 9.17 2.52 63.92 2.00
HIFS Hingham Inst. for Sav. of MA* 9.35 9.35 1.21 12.60 6.53 1.21 12.60 0.89 78.90 0.91
HBEI Home Bancorp of Elgin IL 26.70 26.70 0.49 1.99 1.43 0.85 3.42 0.35 85.96 0.35
HBFW Home Bancorp of Fort Wayne IN 13.29 13.29 0.56 3.93 3.00 0.89 6.27 0.05 835.54 0.51
HBBI Home Building Bancorp of IN 12.82 12.82 0.20 1.59 1.34 0.52 4.05 NA NA 0.28
HCFC Home City Fin. Corp. of OH 20.41 20.41 0.91 5.48 3.64 1.19 7.18 0.59 106.97 0.79
HOMF Home Fed Bancorp of Seymour IN 8.48 8.22 1.05 12.61 5.29 1.23 14.74 0.48 112.57 0.63
HWEN Home Financial Bancorp of IN 16.93 16.93 0.64 3.78 3.22 0.80 4.76 1.76 30.84 0.67
HPBC Home Port Bancorp, Inc. of MA* 10.56 10.56 1.67 15.78 7.56 1.66 15.69 0.13 NA 1.54
HMCI Homecorp, Inc. of Rockford IL(8) 6.54 6.54 0.14 2.19 1.16 0.43 6.89 2.16 22.97 0.61
HZFS Horizon Fin'l. Services of IA 9.79 9.79 0.36 3.35 2.83 0.57 5.36 NA NA NA
</TABLE>
<TABLE>
<CAPTION>
Pricing Ratios Dividend Data(6)
---------------------------------------- -----------------------
Price/ Price/ Ind. Divi-
Price/ Price/ Price/ Tang. Core Div./ dend Payout
Financial Institution Earning Book Assets Book Earnings Share Yield Ratio(7)
- --------------------- ------- ------- ------- ------- -------- ------- ------- -------
(X) (%) (%) (%) (x) ($) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
SOPN First SB, SSB, Moore Co. of NC 22.41 130.35 29.76 130.35 18.70 0.88 3.71 NM
FWWB First Savings Bancorp of WA* 26.26 165.39 24.40 179.77 27.82 0.28 1.20 31.46
FSFF First SecurityFed Fin of IL 24.90 118.67 32.08 118.67 24.90 0.00 0.00 0.00
SHEN First Shenango Bancorp of PA 20.00 156.11 17.10 156.11 15.45 0.60 1.76 35.29
FSFC First So.east Fin. Corp. of SC(8) 29.72 197.12 19.83 197.12 19.69 0.24 1.52 45.28
FBNW FirstBank Corp of Clarkston WA NM 121.43 21.90 121.43 NM 0.28 1.65 51.85
FFDB FirstFed Bancorp of AL 23.16 151.93 14.31 166.67 15.17 0.50 2.27 52.63
FSPT FirstSpartan Fin. Corp. of SC NM 137.31 36.14 137.31 NM 0.60 1.58 60.00
FLAG Flag Financial Corp of GA NM 190.33 18.24 190.33 NM 0.34 1.71 NM
FLGS Flagstar Bancorp, Inc of MI 12.41 220.62 15.95 231.02 NM 0.00 0.00 0.00
FFIC Flushing Fin. Corp. of NY* 24.19 134.97 20.89 134.97 23.20 0.24 1.07 25.81
FBHC Fort Bend Holding Corp. of TX NM 172.41 10.39 185.01 23.53 0.20 1.00 54.05
FTSB Fort Thomas Fin. Corp. of KY NM 134.62 21.59 134.62 28.00 0.25 1.79 NM
FKKY Frankfort First Bancorp of KY NM 139.50 23.60 139.50 NM 0.36 3.79 NM
FTNB Fulton Bancorp of MO NM 136.15 34.19 136.15 NM 0.20 1.00 39.22
GFSB GFS Bancorp of Grinnell IA 19.32 159.47 18.24 159.47 15.74 0.26 1.53 29.55
GUPB GFSB Bancorp of Gallup NM 25.32 114.88 17.08 114.88 20.00 0.40 2.00 50.63
GSLA GS Financial Corp. of LA NM 107.33 48.98 107.33 NM 0.28 1.59 NM
GOSB GSB Financial Corp. of NY NM 114.30 30.93 114.30 NM 0.00 0.00 0.00
GWBC Gateway Bancorp of KY(8) NM 118.45 32.03 118.45 26.39 0.40 2.11 NM
GBCI Glacier Bancorp of MT 20.00 271.27 26.42 278.48 17.89 0.48 2.18 43.64
GFCO Glenway Financial Corp. of OH 28.77 127.67 12.11 129.40 17.13 0.80 2.62 NM
GTPS Great American Bancorp of IL NM 108.38 23.23 108.38 NM 0.40 2.13 NM
GTFN Great Financial Corp. of KY(8) 28.36 220.20 20.33 229.91 29.68 0.60 1.34 37.97
GSBC Great Southern Bancorp of MO 18.80 290.20 24.76 290.20 16.63 0.44 2.04 38.26
GDVS Greater DV SB,MHC of PA (19.9)* NM NM 41.50 NM NM 0.36 1.16 NM
GSFC Green Street Fin. Corp. of NC NM 124.71 45.22 124.71 27.01 0.44 2.40 NM
GFED Guarnty FS&LA,MHC of MO (31.0)(8) NM 281.25 38.77 281.25 NM 0.44 1.78 NM
HCBB HCB Bancshares of AR NM 94.60 17.82 98.32 NM 0.00 0.00 0.00
HEMT HF Bancorp of Hemet CA NM 124.03 10.21 151.09 NM 0.00 0.00 NM
HFFC HF Financial Corp. of SD 20.33 140.77 13.28 140.77 14.97 0.42 1.68 34.15
HFNC HFNC Financial Corp. of NC NM 152.08 27.44 152.08 24.15 0.28 1.96 65.12
HMNF HMN Financial, Inc. of MN 26.86 130.02 18.76 130.02 21.58 0.00 0.00 0.00
HALL Hallmark Capital Corp. of WI 22.18 143.48 10.39 143.48 17.56 0.00 0.00 0.00
HARB Harbor FSB, MHC of FL (46.6)(8) NM 339.70 28.50 NM 24.24 1.40 2.19 68.29
HRBF Harbor Federal Bancorp of MD NM 130.46 16.82 130.46 23.89 0.48 2.23 NM
HFSA Hardin Bancorp of Hardin MO NM 114.72 14.31 114.72 20.22 0.48 2.67 NM
HARL Harleysville SA of PA 20.77 227.66 14.87 227.66 15.14 0.44 1.46 30.34
HFGI Harrington Fin. Group of IN 21.72 172.75 9.66 172.75 25.98 0.12 0.91 19.67
HARS Harris SB, MHC of PA (24.3) NM NM 31.53 NM NM 0.66 1.15 NM
HFFB Harrodsburg 1st Fin Bcrp of KY NM 115.60 31.13 115.60 22.95 0.40 2.39 72.73
HHFC Harvest Home Fin. Corp. of OH NM 121.15 15.14 121.15 27.50 0.44 3.20 NM
HAVN Haven Bancorp of Woodhaven NY 20.10 173.91 10.34 174.49 13.55 0.60 1.43 28.71
HTHR Hawthorne Fin. Corp. of CA 28.97 142.02 6.53 142.02 13.42 0.00 0.00 0.00
HMLK Hemlock Fed. Fin. Corp. of IL NM 115.05 21.60 115.05 NM 0.24 1.40 NM
HBNK Highland Federal Bank of CA NM 195.24 14.59 195.24 22.70 0.00 0.00 0.00
HIFS Hingham Inst. for Sav. of MA* 15.32 182.46 17.07 182.46 15.32 0.48 1.68 25.81
HBEI Home Bancorp of Elgin IL NM 127.46 34.03 127.46 NM 0.40 2.29 NM
HBFW Home Bancorp of Fort Wayne IN NM 136.21 18.10 136.21 20.87 0.20 0.83 27.78
HBBI Home Building Bancorp of IN NM 116.80 14.97 116.80 29.22 0.30 1.39 NM
HCFC Home City Fin. Corp. of OH 27.46 111.67 22.79 111.67 20.94 0.32 1.91 52.46
HOMF Home Fed Bancorp of Seymour IN 18.91 223.14 18.93 230.30 16.17 0.50 1.32 24.88
HWEN Home Financial Bancorp of IN NM 109.41 18.52 109.41 24.63 0.20 1.19 37.04
HPBC Home Port Bancorp, Inc. of MA* 13.23 199.74 21.08 199.74 13.30 0.80 3.52 46.51
HMCI Homecorp, Inc. of Rockford IL(8) NM 184.02 12.04 184.02 27.49 0.00 0.00 0.00
HZFS Horizon Fin'l. Services of IA NM 116.46 11.40 116.46 22.12 0.36 1.57 55.38
</TABLE>
<PAGE> 44
RP FINANCIAL, LC.
- ----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part Two
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Key Financial Ratios Asset Quality Ratios
---------------------------------------------------------- -----------------------
Tang. Reported Earnings Core Earnings
Equity/ Equity/ ---------------------- --------------- NPAs Resvs/ Resvs/
Financial Institution Assets Assets ROA(5) ROE(5) ROI(5) ROA(5) ROE(5) Assets NPAs Loans)
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- ------- -------
(%) (%) (%) (%) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
HRZB Horizon Financial Corp. of WA* 15.59 15.59 1.56 9.93 6.14 1.54 9.83 NA NA 0.85
IBSF IBS Financial Corp. of NJ 17.41 17.41 0.49 2.68 2.10 0.86 4.71 0.08 171.10 0.52
ISBF ISB Financial Corp. of LA 12.19 10.33 0.69 4.59 3.08 0.93 6.20 NA NA 0.80
ITLA Imperial Thrift & Loan of CA* 10.99 10.95 1.46 12.69 7.16 1.46 12.69 NA NA 1.45
IFSB Independence FSB of DC 6.52 5.72 0.14 2.19 2.04 0.33 4.98 2.02 9.82 0.32
INCB Indiana Comm. Bank, SB of IN(8) 12.17 12.17 0.19 1.55 0.93 0.54 4.31 0.13 541.46 0.90
INBI Industrial Bancorp of OH 17.70 17.70 0.73 3.88 2.56 1.42 7.59 0.25 193.84 0.54
IWBK Interwest SB of Oak Harbor WA 6.78 6.63 0.87 12.94 4.74 1.18 17.56 0.58 73.44 0.77
IPSW Ipswich SB of Ipswich MA* 5.71 5.71 1.21 20.44 7.00 0.95 16.06 0.84 97.31 1.09
JXVL Jacksonville Bancorp of TX 14.92 14.92 1.02 6.45 4.68 1.34 8.46 0.78 67.63 0.70
JXSB Jcksnville SB,MHC of IL (45.6) 10.50 10.50 0.30 2.72 1.36 0.66 5.97 0.66 72.96 0.61
JSBA Jefferson Svgs Bancorp of MO 8.20 6.24 0.30 3.91 1.59 0.70 9.25 0.46 140.15 0.84
JOAC Joachim Bancorp of MO 28.17 28.17 0.47 1.59 1.53 0.77 2.62 0.20 109.86 0.32
KSAV KS Bancorp of Kenly NC 13.53 13.52 0.96 6.86 5.02 1.25 8.89 NA NA NA
KSBK KSB Bancorp of Kingfield ME(8)* 7.18 6.79 0.97 13.74 7.03 0.99 13.99 1.78 43.20 1.03
KFBI Klamath First Bancorp of OR 19.55 19.55 0.81 3.67 2.64 1.23 5.54 0.03 510.24 0.23
LSBI LSB Fin. Corp. of Lafayette IN 8.85 8.85 0.77 8.34 6.04 0.68 7.35 1.17 63.71 0.84
LVSB Lakeview SB of Paterson NJ 12.22 10.46 1.26 12.10 5.25 0.92 8.76 1.13 59.43 1.50
LARK Landmark Bancshares of KS 13.79 13.79 0.89 5.95 4.81 1.05 7.01 0.31 123.70 0.57
LARL Laurel Capital Group of PA 10.03 10.03 1.14 10.88 6.08 1.43 13.72 0.43 212.35 1.31
LSBX Lawrence Savings Bank of MA* 8.69 8.69 1.74 20.78 9.75 1.73 20.63 0.66 156.71 2.35
LFED Leeds FSB, MHC of MD (36.3) 16.29 16.29 0.84 5.20 2.13 1.18 7.27 0.03 609.09 0.31
LXMO Lexington B&L Fin. Corp. of MO 28.32 28.32 1.03 3.49 3.25 1.33 4.50 0.48 78.37 0.49
LIFB Life Bancorp of Norfolk VA(8) 10.55 10.24 0.71 6.60 3.29 0.87 8.03 0.41 141.46 1.32
LFBI Little Falls Bancorp of NJ 13.28 12.26 0.27 1.94 1.56 0.48 3.41 1.04 33.93 0.82
LOGN Logansport Fin. Corp. of IN 19.20 19.20 1.18 5.64 4.70 1.52 7.32 0.49 55.66 0.39
LONF London Financial Corp. of OH 19.66 19.66 0.66 3.18 2.39 1.00 4.83 0.80 61.11 0.63
LISB Long Island Bancorp, Inc of NY 8.99 8.90 0.62 6.60 3.15 0.71 7.65 0.92 62.10 0.92
MAFB MAF Bancorp of IL 7.78 6.80 0.88 11.30 5.59 1.16 14.97 0.42 128.75 0.69
MBLF MBLA Financial Corp. of MO 12.15 12.15 0.67 5.11 4.43 0.86 6.55 0.57 50.27 0.50
MFBC MFB Corp. of Mishawaka IN 13.65 13.65 0.57 3.67 3.51 0.86 5.53 NA NA 0.18
MLBC ML Bancorp of Villanova PA(8) 6.93 6.81 0.74 10.25 4.42 0.67 9.28 0.46 163.34 1.71
MSBF MSB Financial Corp. of MI 16.98 16.98 1.20 6.45 3.67 1.47 7.92 1.02 40.20 0.45
MARN Marion Capital Holdings of IN 22.55 22.55 1.39 6.09 5.02 1.67 7.28 0.81 144.01 1.35
MRKF Market Fin. Corp. of OH 34.99 34.99 0.84 3.14 2.12 0.84 3.14 0.75 12.24 0.20
MFCX Marshalltown Fin. Corp. of IA(8) 15.74 15.74 0.34 2.15 1.75 0.73 4.66 NA NA 0.19
MFSL Maryland Fed. Bancorp of MD 8.38 8.28 0.62 7.43 4.55 0.89 10.73 0.47 85.54 0.46
MASB MassBank Corp. of Reading MA* 10.64 10.64 1.10 10.79 6.09 1.04 10.24 0.21 113.84 0.84
MFLR Mayflower Co-Op. Bank of MA* 9.68 9.52 1.03 10.64 5.30 0.97 10.03 0.96 92.14 1.52
MECH Mechanics SB of Hartford CT* 10.23 10.23 1.92 19.46 10.69 1.92 19.46 0.91 NA NA
MDBK Medford Bank of Medford, MA* 8.99 8.38 1.08 12.07 6.95 1.01 11.29 0.27 219.01 1.12
MERI Meritrust FSB of Thibodaux LA 8.20 8.20 0.67 8.71 4.04 1.05 13.56 0.39 70.30 0.52
MWBX MetroWest Bank of MA* 7.44 7.44 1.38 18.37 6.40 1.38 18.37 0.90 131.24 1.55
MCBS Mid Continent Bancshares of KS(8) 9.39 9.39 1.02 9.79 4.67 1.16 11.10 0.15 71.76 0.19
MIFC Mid Iowa Financial Corp. of IA 9.34 9.34 1.00 10.76 6.85 1.40 15.15 0.02 NA 0.45
MCBN Mid-Coast Bancorp of ME 8.60 8.60 0.43 4.92 3.74 0.67 7.71 0.64 82.14 0.64
MWBI Midwest Bancshares, Inc. of IA 6.91 6.91 0.45 6.61 3.63 0.75 10.98 0.81 59.23 0.79
MWFD Midwest Fed. Fin. Corp of WI 8.81 8.50 1.15 13.20 5.50 1.13 13.01 0.12 658.13 1.05
MFFC Milton Fed. Fin. Corp. of OH 13.11 13.11 0.50 3.14 2.56 0.68 4.24 0.29 91.98 0.44
MIVI Miss. View Hold. Co. of MN 18.88 18.88 0.70 3.78 3.75 1.03 5.55 NA NA NA
MBSP Mitchell Bancorp of NC* 43.36 43.36 1.40 3.24 3.00 1.64 3.81 2.25 23.36 0.63
MBBC Monterey Bay Bancorp of CA 11.33 10.45 0.25 2.04 1.55 0.47 3.87 0.33 111.47 0.60
MONT Montgomery Fin. Corp. of IN 18.74 18.74 0.60 4.17 2.88 0.60 4.17 0.59 29.46 0.21
MSBK Mutual SB, FSB of Bay City MI 6.07 6.07 0.11 1.93 1.29 0.04 0.75 0.05 650.66 0.64
NHTB NH Thrift Bancshares of NH 7.65 6.52 0.39 5.25 2.45 0.58 7.77 0.70 125.20 1.05
NSLB NS&L Bancorp of Neosho MO 19.56 19.56 0.49 2.37 2.19 0.77 3.71 0.03 210.00 0.13
</TABLE>
<TABLE>
<CAPTION>
Pricing Ratios Dividend Data(6)
---------------------------------------- -----------------------
Price/ Price/ Ind. Divi-
Price/ Price/ Price/ Tang. Core Div./ dend Payout
Financial Institution Earning Book Assets Book Earnings Share Yield Ratio(7)
- --------------------- ------- ------- ------- ------- -------- ------- ------- -------
(X) (%) (%) (%) (x) ($) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
HRZB Horizon Financial Corp. of WA* 16.27 158.55 24.72 158.55 16.43 0.44 2.55 41.51
IBSF IBS Financial Corp. of NJ NM 135.89 23.65 135.89 27.16 0.40 2.54 NM
ISBF ISB Financial Corp. of LA NM 150.78 18.37 177.81 24.04 0.50 2.00 64.94
ITLA Imperial Thrift & Loan of CA* 13.97 168.93 18.57 169.65 13.97 0.00 0.00 0.00
IFSB Independence FSB of DC NM 106.50 6.95 121.48 21.59 0.22 1.54 NM
INCB Indiana Comm. Bank, SB of IN(8) NM 165.24 20.11 165.24 NM 0.36 1.76 NM
INBI Industrial Bancorp of OH NM 151.77 26.87 151.77 20.00 0.56 3.11 NM
IWBK Interwest SB of Oak Harbor WA 21.08 248.67 16.85 254.11 15.53 0.64 1.67 35.16
IPSW Ipswich SB of Ipswich MA* 14.29 263.74 15.07 263.74 18.18 0.12 1.00 14.29
JXVL Jacksonville Bancorp of TX 21.39 142.07 21.19 142.07 16.31 0.50 2.60 55.56
JXSB Jcksnville SB,MHC of IL (45.6) NM 197.32 20.71 197.32 NM 0.40 1.51 NM
JSBA Jefferson Svgs Bancorp of MO NM 204.80 16.79 268.85 26.69 0.40 0.92 57.97
JOAC Joachim Bancorp of MO NM 110.05 31.00 110.05 NM 0.50 3.33 NM
KSAV KS Bancorp of Kenly NC 19.91 132.55 17.93 132.63 15.36 0.60 2.79 55.56
KSBK KSB Bancorp of Kingfield ME(8)* 14.23 181.68 13.04 192.13 13.97 0.08 0.52 7.41
KFBI Klamath First Bancorp of OR NM 146.97 28.73 146.97 25.14 0.32 1.53 58.18
LSBI LSB Fin. Corp. of Lafayette IN 16.56 135.57 12.00 135.57 18.80 0.34 1.36 22.52
LVSB Lakeview SB of Paterson NJ 19.03 186.00 22.73 217.21 26.29 0.13 0.51 9.70
LARK Landmark Bancshares of KS 20.80 127.86 17.63 127.86 17.67 0.40 1.70 35.40
LARL Laurel Capital Group of PA 16.46 179.90 18.04 179.90 13.05 0.52 1.96 32.30
LSBX Lawrence Savings Bank of MA* 10.25 191.79 16.66 191.79 10.33 0.00 0.00 0.00
LFED Leeds FSB, MHC of MD (36.3) NM 235.55 38.37 235.55 NM 0.76 2.38 NM
LXMO Lexington B&L Fin. Corp. of MO NM 114.93 32.55 114.93 23.86 0.30 1.77 54.55
LIFB Life Bancorp of Norfolk VA(8) NM 192.53 20.31 198.26 24.95 0.48 1.56 47.52
LFBI Little Falls Bancorp of NJ NM 128.33 17.04 138.96 NM 0.20 1.07 68.97
LOGN Logansport Fin. Corp. of IN 21.28 124.41 23.89 124.41 16.41 0.40 2.54 54.05
LONF London Financial Corp. of OH NM 137.81 27.10 137.81 27.56 0.24 1.19 50.00
LISB Long Island Bancorp, Inc of NY NM 206.83 18.60 208.90 27.40 0.60 1.31 41.67
MAFB MAF Bancorp of IL 17.90 195.51 15.21 223.63 13.52 0.28 0.85 15.14
MBLF MBLA Financial Corp. of MO 22.59 114.44 13.90 114.44 17.64 0.40 1.55 35.09
MFBC MFB Corp. of Mishawaka IN 28.48 109.60 14.96 109.60 18.91 0.32 1.42 40.51
MLBC ML Bancorp of Villanova PA(8) 22.64 226.38 15.68 230.37 25.00 0.40 1.39 31.50
MSBF MSB Financial Corp. of MI 27.27 175.10 29.74 175.10 22.22 0.28 1.56 42.42
MARN Marion Capital Holdings of IN 19.93 124.43 28.06 124.43 16.67 0.88 3.20 63.77
MRKF Market Fin. Corp. of OH NM 102.02 35.70 102.02 NM 0.28 1.85 NM
MFCX Marshalltown Fin. Corp. of IA(8) NM 120.31 18.94 120.31 26.34 0.00 0.00 0.00
MFSL Maryland Fed. Bancorp of MD 21.99 158.33 13.27 160.36 15.22 0.84 1.77 38.89
MASB MassBank Corp. of Reading MA* 16.42 166.36 17.70 166.36 17.31 0.96 2.13 35.04
MFLR Mayflower Co-Op. Bank of MA* 18.88 192.03 18.59 195.31 20.04 0.68 2.59 48.92
MECH Mechanics SB of Hartford CT* 9.35 162.12 16.59 162.12 9.35 0.00 0.00 0.00
MDBK Medford Bank of Medford, MA* 14.39 165.96 14.92 178.12 15.39 0.72 2.04 29.39
MERI Meritrust FSB of Thibodaux LA 24.75 203.34 16.68 203.34 15.89 0.70 1.42 35.18
MWBX MetroWest Bank of MA* 15.63 269.21 20.03 269.21 15.63 0.12 1.48 23.08
MCBS Mid Continent Bancshares of KS(8) 21.42 204.49 19.20 204.49 18.90 0.40 1.00 21.39
MIFC Mid Iowa Financial Corp. of IA 14.61 148.14 13.84 148.14 10.37 0.08 0.77 11.27
MCBN Mid-Coast Bancorp of ME 26.76 128.60 11.07 128.60 17.09 0.52 1.83 49.06
MWBI Midwest Bancshares, Inc. of IA 27.55 171.63 11.86 171.63 16.59 0.72 1.40 38.71
MWFD Midwest Fed. Fin. Corp of WI 18.17 225.25 19.85 233.58 18.43 0.34 1.35 24.46
MFFC Milton Fed. Fin. Corp. of OH NM 137.23 17.99 137.23 28.94 0.60 3.84 NM
MIVI Miss. View Hold. Co. of MN 26.70 98.99 18.69 98.99 18.16 0.16 0.91 24.24
MBSP Mitchell Bancorp of NC* NM 110.46 47.90 110.46 28.33 0.40 2.35 NM
MBBC Monterey Bay Bancorp of CA NM 129.94 14.73 140.98 NM 0.12 0.64 41.38
MONT Montgomery Fin. Corp. of IN NM 106.66 19.98 106.66 NM 0.22 1.76 61.11
MSBK Mutual SB, FSB of Bay City MI NM 146.44 8.90 146.44 NM 0.00 0.00 0.00
NHTB NH Thrift Bancshares of NH NM 186.76 14.29 219.34 27.50 0.50 2.27 NM
NSLB NS&L Bancorp of Neosho MO NM 113.50 22.20 113.50 29.30 0.50 2.67 NM
</TABLE>
<PAGE> 45
RP FINANCIAL, LC.
- ----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part Two
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Key Financial Ratios Asset Quality Ratios
---------------------------------------------------------- ----------------------
Tang. Reported Earnings Core Earnings
Equity/ Equity/ ---------------------- --------------- NPAs Resvs/ Resvs/
Financial Institution Assets Assets ROA(5) ROE(5) ROI(5) ROA(5) ROE(5) Assets NPAs Loans
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- ------- -------
(%) (%) (%) (%) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
NMSB Newmil Bancorp. of CT* 9.82 9.82 0.83 8.14 5.13 0.80 7.78 1.36 128.18 3.26
NASB North American SB of MO 7.68 7.42 1.26 17.18 7.59 1.19 16.18 3.11 27.16 0.98
NBSI North Bancshares of Chicago IL 14.14 14.14 0.49 3.26 2.22 0.68 4.57 NA NA 0.27
FFFD North Central Bancshares of IA 22.67 22.67 1.64 6.41 5.67 1.90 7.41 0.22 449.68 1.15
NBN Northeast Bancorp of ME* 6.84 5.99 0.58 8.14 4.06 0.56 7.84 1.11 86.32 1.22
NEIB Northeast Indiana Bncrp of IN 15.19 15.19 1.04 6.33 4.67 1.22 7.42 NA NA 0.67
NWEQ Northwest Equity Corp. of WI 11.45 11.45 0.78 6.47 4.89 0.98 8.16 NA NA NA
NWSB Northwest SB, MHC of PA (30.7) 9.49 8.94 0.69 7.05 1.92 0.98 9.96 0.77 85.90 0.87
NSSY Norwalk Savings Society of CT* 8.06 7.77 0.97 12.53 6.45 1.11 14.29 NA NA 1.54
NSSB Norwich Financial Corp. of CT* 11.17 10.08 1.09 10.11 4.75 1.03 9.54 1.20 158.13 2.71
NTMG Nutmeg FS&LA of CT 5.56 5.56 0.26 4.60 2.75 0.35 6.28 1.19 40.69 0.55
OHSL OHSL Financial Corp. of OH 11.03 11.03 0.61 5.27 3.93 0.85 7.41 0.18 121.89 0.31
OCFC Ocean Fin. Corp. of NJ 16.25 16.25 0.03 0.16 0.11 0.98 5.97 0.55 79.68 0.87
OCN Ocwen Financial Corp. of FL 8.75 8.36 2.81 33.62 4.39 1.70 20.31 NA NA 1.13
OTFC Oregon Trail Fin. Corp of OR 24.02 24.02 1.07 4.44 3.66 1.07 4.44 0.10 257.62 0.41
PBHC OswegoCity SB, MHC of NY (46.)* 11.73 11.73 1.07 9.44 3.75 0.96 8.46 0.91 43.96 0.67
OFCP Ottawa Financial Corp. of MI 8.73 7.00 0.48 5.23 2.65 0.78 8.44 0.35 106.11 0.43
PFFB PFF Bancorp of Pomona CA 10.32 10.21 0.16 1.41 1.14 0.46 4.11 1.62 64.39 1.44
PSFI PS Financial of Chicago IL 38.70 38.70 1.94 4.74 4.03 1.96 4.81 0.79 28.66 0.51
PVFC PVF Capital Corp. of OH 7.04 7.04 1.04 15.23 7.06 1.33 19.49 1.24 57.99 0.78
PALM Palfed, Inc. of Aiken SC(8) 8.24 8.24 0.10 1.29 0.50 0.61 7.46 2.04 53.36 1.30
PBCI Pamrapo Bancorp, Inc. of NJ 12.74 12.64 0.90 6.37 4.64 1.24 8.78 2.39 28.48 1.21
PFED Park Bancorp of Chicago IL 22.53 22.53 0.87 4.19 3.42 1.21 5.81 0.25 115.74 0.73
PVSA Parkvale Financial Corp of PA 7.58 7.53 0.74 9.79 4.79 1.09 14.44 0.26 547.66 1.91
PEEK Peekskill Fin. Corp. of NY 25.73 25.73 0.98 3.54 3.30 1.29 4.65 1.22 27.98 1.35
PFSB PennFed Fin. Services of NJ 7.36 6.16 0.57 7.43 4.61 0.84 10.86 NA NA 0.28
PWBC PennFirst Bancorp of PA 8.08 7.55 0.46 6.31 3.41 0.67 9.12 0.65 93.15 1.49
PWBK Pennwood SB of PA* 17.45 17.45 0.70 4.05 3.00 1.12 6.54 0.98 57.43 1.03
PBKB People's SB of Brockton MA* 5.61 5.37 0.80 14.41 6.03 0.47 8.57 0.82 91.19 1.57
PFDC Peoples Bancorp of Auburn IN 15.21 15.21 1.12 7.33 3.97 1.47 9.59 0.36 83.87 0.38
PBCT Peoples Bank, MHC of CT (40.1)* 8.48 8.47 1.13 13.74 4.10 0.83 10.18 0.76 146.25 1.66
TSBS Peoples Bcrp, MHC of NJ (35.9)(8) 16.89 15.48 1.34 7.53 2.42 1.14 6.39 NA NA NA
PFFC Peoples Fin. Corp. of OH 27.20 27.20 0.90 3.32 3.89 0.90 3.32 NA NA 0.39
PHBK Peoples Heritage Fin Grp of ME* 7.72 6.51 1.28 15.68 5.71 1.29 15.88 NA NA 1.55
PSFC Peoples Sidney Fin. Corp of OH 24.92 24.92 0.61 4.54 1.78 0.92 6.81 0.84 45.79 0.44
PERM Permanent Bancorp of IN 9.16 9.03 0.34 3.64 2.77 0.62 6.57 1.09 45.43 0.99
PMFI Perpetual Midwest Fin. of IA 8.53 8.53 0.12 1.37 0.96 0.29 3.35 NA NA 0.86
PERT Perpetual of SC, MHC (46.8)(8) 11.82 11.82 0.78 6.37 2.19 1.05 8.60 0.12 502.32 0.87
PCBC Perry Co. Fin. Corp. of MO 19.19 19.19 0.93 4.93 3.79 1.07 5.70 0.03 104.17 0.19
PHFC Pittsburgh Home Fin. of PA 10.92 10.80 0.62 4.71 3.68 0.79 6.00 1.69 30.77 0.78
PFSL Pocahnts Fed, MHC of AR (47.0)(8) 6.36 6.36 0.60 9.75 3.97 0.84 13.54 0.15 308.72 1.12
PTRS Potters Financial Corp of OH 8.83 8.83 0.48 5.37 3.68 0.85 9.54 0.69 252.21 2.78
PKPS Poughkeepsie Fin. Corp. of NY(8) 8.37 8.37 0.35 4.21 2.40 0.54 6.49 4.19 23.86 1.34
PHSB Ppls Home SB, MHC of PA (45.0) 11.73 11.73 0.43 3.71 1.96 0.65 5.56 0.45 148.08 1.37
PRBC Prestige Bancorp of PA 11.13 11.13 0.37 2.84 2.61 0.65 5.01 0.33 82.34 0.40
PFNC Progress Financial Corp. of PA 5.26 4.65 0.54 10.32 3.47 0.65 12.30 2.07 37.27 1.11
PSBK Progressive Bank, Inc. of NY* 8.55 7.64 0.99 11.99 6.74 0.98 11.83 0.94 115.80 1.65
PROV Provident Fin. Holdings of CA 13.88 13.88 0.32 2.25 1.98 0.28 1.97 NA NA 0.98
PULB Pulaski SB, MHC of MO (29.8) 13.05 13.05 0.80 6.20 2.28 1.06 8.20 0.64 41.41 0.33
PLSK Pulaski SB, MHC of NJ (46.0) 11.90 11.90 0.25 2.97 1.11 0.61 7.21 0.65 83.38 0.95
PULS Pulse Bancorp of S. River NJ 8.05 8.05 0.72 9.19 4.71 1.08 13.82 0.75 59.52 1.82
QCFB QCF Bancorp of Virginia MN 17.50 17.50 1.34 7.33 5.22 1.34 7.33 0.17 499.62 2.10
QCBC Quaker City Bancorp of CA 8.76 8.76 0.37 4.10 2.95 0.61 6.76 1.35 67.38 1.15
QCSB Queens County Bancorp of NY* 11.85 11.85 1.60 10.80 3.95 1.63 10.95 0.69 89.32 0.69
RARB Raritan Bancorp. of Raritan NJ* 7.93 7.80 0.96 12.51 5.17 1.02 13.36 0.39 208.57 1.26
REDF RedFed Bancorp of Redlands CA 8.46 8.42 0.25 3.25 1.56 0.65 8.38 1.81 NA NA
</TABLE>
<TABLE>
<CAPTION>
Pricing Ratios Dividend Data(6)
---------------------------------------- -----------------------
Price/ Price/ Ind. Divi-
Price/ Price/ Price/ Tang. Core Div./ dend Payout
Financial Institution Earning Book Assets Book Earnings Share Yield Ratio(7)
- --------------------- ------- ------- ------- ------- -------- ------- ------- -------
(X) (%) (%) (%) (x) ($) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
NMSB Newmil Bancorp. of CT* 19.49 160.22 15.73 160.22 20.38 0.32 2.42 47.06
NASB North American SB of MO 13.17 212.85 16.34 220.23 13.99 0.80 1.48 19.51
NBSI North Bancshares of Chicago IL NM 153.58 21.72 153.58 NM 0.48 1.78 NM
FFFD North Central Bancshares of IA 17.65 121.54 27.55 121.54 15.25 0.25 1.39 24.51
NBN Northeast Bancorp of ME* 24.65 193.16 13.21 220.49 25.58 0.32 1.18 29.09
NEIB Northeast Indiana Bncrp of IN 21.43 138.25 21.00 138.25 18.26 0.34 1.62 34.69
NWEQ Northwest Equity Corp. of WI 20.45 136.16 15.59 136.16 16.22 0.52 2.89 59.09
NWSB Northwest SB, MHC of PA (30.7) NM NM 33.81 NM NM 0.32 1.06 55.17
NSSY Norwalk Savings Society of CT* 15.50 181.69 14.64 188.44 13.59 0.40 1.07 16.53
NSSB Norwich Financial Corp. of CT* 21.04 203.89 22.77 225.77 22.29 0.56 1.87 39.44
NTMG Nutmeg FS&LA of CT NM 155.44 8.65 155.44 26.67 0.20 1.67 60.61
OHSL OHSL Financial Corp. of OH 25.46 133.89 14.76 133.89 18.09 0.88 3.20 NM
OCFC Ocean Fin. Corp. of NJ NM 137.11 22.29 137.11 25.17 0.80 2.13 NM
OCN Ocwen Financial Corp. of FL 22.79 NM 58.14 NM NM 0.00 0.00 0.00
OTFC Oregon Trail Fin. Corp of OR 27.32 121.29 29.13 121.29 27.32 0.00 0.00 0.00
PBHC OswegoCity SB, MHC of NY (46.)* 26.65 241.87 28.37 241.87 29.74 0.28 0.99 26.42
OFCP Ottawa Financial Corp. of MI NM 201.07 17.56 250.67 23.35 0.36 1.27 48.00
PFFB PFF Bancorp of Pomona CA NM 127.69 13.18 129.05 NM 0.00 0.00 0.00
PSFI PS Financial of Chicago IL 24.81 118.49 45.86 118.49 24.46 0.48 2.76 68.57
PVFC PVF Capital Corp. of OH 14.16 196.98 13.87 196.98 11.07 0.00 0.00 0.00
PALM Palfed, Inc. of Aiken SC(8) NM 250.19 20.62 250.19 NM 0.12 0.46 NM
PBCI Pamrapo Bancorp, Inc. of NJ 21.55 150.42 19.16 151.61 15.63 1.00 4.00 NM
PFED Park Bancorp of Chicago IL 29.23 111.37 25.09 111.37 21.07 0.00 0.00 0.00
PVSA Parkvale Financial Corp of PA 20.89 194.43 14.74 195.76 14.17 0.52 1.82 37.96
PEEK Peekskill Fin. Corp. of NY NM 117.27 30.17 117.27 23.00 0.36 2.09 63.16
PFSB PennFed Fin. Services of NJ 21.68 153.69 11.31 183.76 14.83 0.28 0.90 19.58
PWBC PennFirst Bancorp of PA 29.37 148.71 12.02 159.07 20.33 0.36 1.95 57.14
PWBK Pennwood SB of PA* NM 126.33 22.05 126.33 20.65 0.32 1.68 56.14
PBKB People's SB of Brockton MA* 16.59 224.88 12.61 234.76 27.90 0.44 2.29 37.93
PFDC Peoples Bancorp of Auburn IN 25.18 182.01 27.68 182.01 19.23 0.64 1.83 46.04
PBCT Peoples Bank, MHC of CT (40.1)* 24.37 310.16 26.31 310.45 NM 0.76 2.24 54.68
TSBS Peoples Bcrp, MHC of NJ (35.9)(8) NM 301.10 50.85 328.40 NM 0.35 0.99 40.70
PFFC Peoples Fin. Corp. of OH 25.70 86.31 23.48 86.31 25.70 0.50 3.67 NM
PHBK Peoples Heritage Fin Grp of ME* 17.53 262.19 20.24 311.10 17.31 0.84 2.04 35.74
PSFC Peoples Sidney Fin. Corp of OH NM 125.00 31.15 125.00 NM 0.28 1.56 NM
PERM Permanent Bancorp of IN NM 131.71 12.07 133.68 20.00 0.40 1.54 55.56
PMFI Perpetual Midwest Fin. of IA NM 143.73 12.26 143.73 NM 0.30 1.15 NM
PERT Perpetual of SC, MHC (46.8)(8) NM 265.77 31.43 265.77 NM 1.40 2.62 NM
PCBC Perry Co. Fin. Corp. of MO 26.39 126.33 24.25 126.33 22.84 0.40 1.68 44.44
PHFC Pittsburgh Home Fin. of PA 27.17 131.95 14.41 133.36 21.31 0.24 1.28 34.78
PFSL Pocahnts Fed, MHC of AR (47.0)(8) 25.18 237.13 15.08 237.13 18.13 0.90 2.57 64.75
PTRS Potters Financial Corp of OH 27.16 143.38 12.66 143.38 15.29 0.40 1.27 34.48
PKPS Poughkeepsie Fin. Corp. of NY(8) NM 170.94 14.31 170.94 27.03 0.10 1.00 41.67
PHSB Ppls Home SB, MHC of PA (45.0) NM 189.19 22.18 189.19 NM 0.00 0.00 0.00
PRBC Prestige Bancorp of PA NM 109.02 12.14 109.02 21.69 0.12 0.67 25.53
PFNC Progress Financial Corp. of PA 28.85 273.22 14.37 309.28 24.19 0.12 0.80 23.08
PSBK Progressive Bank, Inc. of NY* 14.85 173.20 14.81 193.95 15.04 0.68 2.00 29.69
PROV Provident Fin. Holdings of CA NM 114.60 15.91 114.60 NM 0.00 0.00 0.00
PULB Pulaski SB, MHC of MO (29.8) NM 265.98 34.70 265.98 NM 1.10 3.68 NM
PLSK Pulaski SB, MHC of NJ (46.0) NM 186.27 22.18 186.27 NM 0.30 1.58 NM
PULS Pulse Bancorp of S. River NJ 21.22 185.80 14.95 185.80 14.11 0.70 2.77 58.82
QCFB QCF Bancorp of Virginia MN 19.15 140.41 24.57 140.41 19.15 0.00 0.00 0.00
QCBC Quaker City Bancorp of CA NM 135.53 11.88 135.62 20.58 0.00 0.00 0.00
QCSB Queens County Bancorp of NY* 25.34 319.29 37.85 319.29 25.00 0.80 2.18 55.17
RARB Raritan Bancorp. of Raritan NJ* 19.34 225.53 17.89 229.33 18.11 0.48 1.68 32.43
REDF RedFed Bancorp of Redlands CA NM 184.84 15.64 185.70 24.84 0.00 0.00 0.00
</TABLE>
<PAGE> 46
RP FINANCIAL, LC.
- ----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part Two
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Key Financial Ratios Asset Quality Ratios
---------------------------------------------------------- ----------------------
Tang. Reported Earnings Core Earnings
Equity/ Equity/ ---------------------- --------------- NPAs Resvs/ Resvs/
Financial Institution Assets Assets ROA(5) ROE(5) ROI(5) ROA(5) ROE(5) Assets NPAs Loans
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- ------- -------
(%) (%) (%) (%) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
RELY Reliance Bancorp, Inc. of NY 8.23 5.93 0.58 7.07 3.78 0.87 10.49 NA NA 0.62
RELI Reliance Bancshares Inc of WI* 48.84 48.84 1.33 2.55 2.90 1.38 2.65 NA NA 0.56
RIVR River Valley Bancorp of IN 12.40 12.21 0.46 4.24 2.63 0.62 5.72 0.49 170.62 1.03
RVSB Riverview Bancorp of WA 21.63 21.63 1.32 6.10 3.93 1.32 6.10 0.14 226.93 0.58
RSLN Roslyn Bancorp, Inc. of NY* 20.14 20.04 0.86 4.12 2.67 1.35 6.49 0.27 257.00 2.60
SCCB S. Carolina Comm. Bnshrs of SC 25.67 25.67 0.93 3.47 2.67 1.22 4.56 1.06 59.43 0.81
SBFL SB Fngr Lakes MHC of NY (33.1) 9.54 9.54 0.13 1.32 0.51 0.44 4.40 0.50 103.35 1.10
SFED SFS Bancorp of Schenectady NY 12.47 12.47 0.44 3.40 2.71 0.79 6.12 NA NA NA
SGVB SGV Bancorp of W. Covina CA 7.31 7.19 0.20 2.37 1.71 0.47 5.74 1.06 29.26 0.41
SHSB SHS Bancorp, Inc. of PA 12.64 12.64 0.37 2.96 2.60 0.37 2.96 1.44 35.26 0.75
SISB SIS Bancorp Inc of MA* 7.20 7.20 1.38 18.83 9.59 1.37 18.71 0.33 379.00 2.67
SWCB Sandwich Co-Op. Bank of MA* 7.95 7.61 0.95 11.67 5.78 0.97 11.87 NA NA 1.06
SFSL Security First Corp. of OH 9.42 9.27 1.08 11.52 5.03 1.35 14.40 0.33 226.25 0.84
SFNB Security First Netwrk Bk of GA(8) 33.11 32.57 -29.36 NM NM -30.07 NM NA NA 1.28
SMFC Sho-Me Fin. Corp. of MO(8) 9.03 9.03 1.04 10.44 4.57 1.17 11.79 0.29 193.83 0.63
SOBI Sobieski Bancorp of S. Bend IN 15.12 15.12 0.30 1.83 1.68 0.59 3.55 0.17 145.99 0.33
SOSA Somerset Savings Bank of MA(8)* 6.34 6.34 0.81 13.81 4.84 0.78 13.26 5.91 24.16 1.87
SSFC South Street Fin. Corp. of NC* 25.26 25.26 0.92 4.51 2.54 1.17 5.71 0.27 65.44 0.39
SCBS Southern Commun. Bncshrs of AL 21.33 21.33 0.55 3.24 1.83 0.90 5.30 2.48 46.17 1.94
SMBC Southern Missouri Bncrp of MO 16.46 16.46 0.66 4.10 3.42 0.64 3.97 0.89 49.20 0.65
SWBI Southwest Bancshares of IL 11.00 11.00 0.74 6.89 4.04 1.03 9.54 0.20 101.05 0.28
SVRN Sovereign Bancorp of PA 4.02 3.02 0.45 11.21 2.03 0.69 17.24 NA NA 0.92
STFR St. Francis Cap. Corp. of WI 7.88 6.96 0.64 7.33 4.56 0.70 8.07 NA NA 0.83
SPBC St. Paul Bancorp, Inc. of IL 8.60 8.58 0.71 8.16 3.76 1.03 11.80 0.36 210.72 1.10
SFFC StateFed Financial Corp. of IA 17.78 17.78 1.11 6.16 4.33 1.35 7.47 1.55 16.68 0.32
SFIN Statewide Fin. Corp. of NJ 9.73 9.71 0.54 5.46 3.45 0.91 9.26 0.43 95.58 0.83
STSA Sterling Financial Corp. of WA 4.10 3.57 0.10 2.51 0.93 0.32 7.89 0.47 96.70 0.82
SFSB SuburbFed Fin. Corp. of IL 6.48 6.46 0.39 5.88 3.67 0.56 8.56 NA NA 0.30
ROSE T R Financial Corp. of NY* 6.21 6.21 0.99 15.79 5.58 0.88 14.16 0.54 74.97 0.76
THRD TF Financial Corp. of PA 11.11 9.75 0.54 4.71 3.46 0.74 6.41 0.27 128.49 0.82
TPNZ Tappan Zee Fin., Inc. of NY 17.92 17.92 0.70 4.22 2.52 0.65 3.90 1.68 32.54 1.17
ESBK The Elmira SB FSB of Elmira NY* 6.30 6.04 0.36 5.66 3.67 0.35 5.51 0.66 96.75 0.85
TRIC Tri-County Bancorp of WY 15.32 15.32 0.80 5.16 4.07 1.02 6.55 NA NA 1.05
TWIN Twin City Bancorp of TN 12.86 12.86 0.53 4.10 3.09 0.76 5.88 0.16 88.17 0.20
UFRM United FS&LA of Rocky Mount NC 7.48 7.48 0.22 2.87 1.58 0.38 4.98 0.77 101.45 0.92
UBMT United Fin. Corp. of MT 22.65 22.65 1.09 4.70 3.80 1.34 5.80 0.48 14.68 0.22
VABF Va. Beach Fed. Fin. Corp of VA 6.85 6.85 0.21 3.15 1.53 0.47 6.91 1.24 59.40 0.95
VFFC Virginia First Savings of VA(8) 7.74 7.49 0.64 8.04 3.57 0.55 6.94 2.30 47.12 1.19
WHGB WHG Bancshares of MD 20.65 20.65 0.51 2.23 2.19 0.51 2.23 0.15 160.96 0.29
WSFS WSFS Financial Corp. of DE* 5.20 5.16 1.31 23.75 8.11 1.32 23.91 1.27 134.99 2.68
WVFC WVS Financial Corp. of PA* 11.16 11.16 1.07 8.59 5.28 1.35 10.77 0.09 733.21 1.25
WRNB Warren Bancorp of Peabody MA* 10.36 10.36 2.14 22.19 9.69 1.81 18.76 1.15 97.04 1.73
WFSL Washington FS&LA of Seattle WA 12.08 11.04 1.66 14.31 5.98 1.84 15.86 0.69 62.10 0.58
WAMU Washington Mutual Inc. of WA(8)* 5.00 4.75 0.35 6.80 0.82 0.74 14.46 NA NA 0.98
WYNE Wayne Bancorp of NJ 13.36 13.36 0.44 2.91 2.48 0.44 2.91 0.90 82.20 1.11
WAYN Wayne S&L Co. MHC of OH (47.8) 9.24 9.24 0.31 3.43 1.25 0.66 7.25 NA NA 0.46
WCFB Wbstr Cty FSB MHC of IA (45.2) 23.35 23.35 1.06 4.61 2.34 1.42 6.15 0.26 152.85 0.69
WBST Webster Financial Corp. of CT 5.02 4.29 0.41 8.17 2.19 0.74 14.56 0.72 111.52 1.43
WEFC Wells Fin. Corp. of Wells MN 14.20 14.20 0.72 5.07 4.00 1.06 7.49 NA NA NA
WCBI WestCo Bancorp of IL 15.24 15.24 1.12 7.28 5.13 1.42 9.19 0.21 139.06 0.37
WSTR WesterFed Fin. Corp. of MT 10.91 8.73 0.63 5.10 3.39 0.79 6.42 0.41 116.74 0.72
WOFC Western Ohio Fin. Corp. of OH 13.79 12.85 0.33 2.24 1.96 0.45 3.10 NA NA 0.58
WWFC Westwood Fin. Corp. of NJ(8) 9.13 8.13 0.49 5.12 2.80 0.85 8.80 0.13 159.15 0.55
WEHO Westwood Hmstd Fin Corp of OH 29.40 29.40 0.69 2.40 1.85 1.04 3.61 0.22 77.88 0.22
WFI Winton Financial Corp. of OH 7.11 6.96 1.00 14.08 8.10 0.84 11.80 0.30 84.06 0.29
FFWD Wood Bancorp of OH 12.31 12.31 1.07 8.25 4.27 1.27 9.81 0.35 101.19 0.44
</TABLE>
<TABLE>
<CAPTION>
Pricing Ratios Dividend Data(6)
---------------------------------------- -----------------------
Price/ Price/ Ind. Divi-
Price/ Price/ Price/ Tang. Core Div./ dend Payout
Financial Institution Earning Book Assets Book Earnings Share Yield Ratio(7)
- --------------------- ------- ------- ------- ------- -------- ------- ------- -------
(X) (%) (%) (%) (x) ($) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
RELY Reliance Bancorp, Inc. of NY 26.48 178.74 14.71 248.10 17.84 0.64 1.92 50.79
RELI Reliance Bancshares Inc of WI* NM 92.79 45.32 92.79 NM 0.00 0.00 0.00
RIVR River Valley Bancorp of IN NM 119.62 14.83 121.44 28.23 0.16 0.91 34.78
RVSB Riverview Bancorp of WA 25.45 155.23 33.58 155.23 25.45 0.00 0.00 0.00
RSLN Roslyn Bancorp, Inc. of NY* NM 151.30 30.47 152.03 23.72 0.24 1.09 40.68
SCCB S. Carolina Comm. Bnshrs of SC NM 131.66 33.80 131.66 28.48 0.60 2.67 NM
SBFL SB Fngr Lakes MHC of NY (33.1) NM 251.50 23.99 251.50 NM 0.40 1.37 NM
SFED SFS Bancorp of Schenectady NY NM 126.33 15.75 126.33 20.48 0.28 1.27 46.67
SGVB SGV Bancorp of W. Covina CA NM 141.90 10.37 144.27 24.16 0.00 0.00 0.00
SHSB SHS Bancorp, Inc. of PA NM 113.88 14.39 113.88 NM 0.00 0.00 0.00
SISB SIS Bancorp Inc of MA* 10.42 186.49 13.42 186.49 10.49 0.56 1.62 16.92
SWCB Sandwich Co-Op. Bank of MA* 17.31 194.81 15.49 203.52 17.02 1.40 3.46 59.83
SFSL Security First Corp. of OH 19.89 215.78 20.34 219.30 15.91 0.32 1.83 36.36
SFNB Security First Netwrk Bk of GA(8) NM 285.43 94.52 290.24 NM 0.00 0.00 NM
SMFC Sho-Me Fin. Corp. of MO(8) 21.88 229.68 20.74 229.68 19.36 0.00 0.00 0.00
SOBI Sobieski Bancorp of S. Bend IN NM 116.85 17.67 116.85 NM 0.32 1.68 NM
SOSA Somerset Savings Bank of MA(8)* 20.64 263.27 16.70 263.27 21.50 0.00 0.00 0.00
SSFC South Street Fin. Corp. of NC* NM 130.71 33.01 130.71 NM 0.40 2.25 NM
SCBS Southern Commun. Bncshrs of AL NM 136.36 29.08 136.36 NM 0.30 1.67 NM
SMBC Southern Missouri Bncrp of MO 29.23 117.50 19.34 117.50 NM 0.50 2.63 NM
SWBI Southwest Bancshares of IL 24.76 164.43 18.08 164.43 17.88 0.76 2.95 73.08
SVRN Sovereign Bancorp of PA NM NM 19.93 NM NM 0.08 0.42 20.51
STFR St. Francis Cap. Corp. of WI 21.93 158.52 12.49 179.39 19.92 0.48 1.22 26.82
SPBC St. Paul Bancorp, Inc. of IL 26.57 210.33 18.09 210.87 18.38 0.40 1.64 43.48
SFFC StateFed Financial Corp. of IA 23.08 138.96 24.71 138.96 19.01 0.40 1.48 34.19
SFIN Statewide Fin. Corp. of NJ 28.95 158.27 15.39 158.50 17.05 0.44 2.00 57.89
STSA Sterling Financial Corp. of WA NM 246.44 10.10 282.66 NM 0.00 0.00 0.00
SFSB SuburbFed Fin. Corp. of IL 27.24 152.97 9.92 153.53 18.72 0.32 0.96 26.02
ROSE T R Financial Corp. of NY* 17.93 263.37 16.34 263.37 20.00 0.64 1.94 34.78
THRD TF Financial Corp. of PA 28.92 137.77 15.31 157.07 21.24 0.40 1.67 48.19
TPNZ Tappan Zee Fin., Inc. of NY NM 146.34 26.23 146.34 NM 0.28 1.33 52.83
ESBK The Elmira SB FSB of Elmira NY* 27.21 151.33 9.53 157.85 27.95 0.64 2.08 56.64
TRIC Tri-County Bancorp of WY 24.57 120.42 18.44 120.42 19.35 0.60 2.12 52.17
TWIN Twin City Bancorp of TN NM 131.34 16.89 131.34 22.62 0.40 2.81 NM
UFRM United FS&LA of Rocky Mount NC NM 179.10 13.39 179.10 NM 0.24 2.00 NM
UBMT United Fin. Corp. of MT 26.33 124.06 28.10 124.06 21.34 0.98 3.96 NM
VABF Va. Beach Fed. Fin. Corp of VA NM 200.00 13.70 200.00 29.82 0.20 1.18 NM
VFFC Virginia First Savings of VA(8) 27.98 215.21 16.66 222.60 NM 0.10 0.41 11.36
WHGB WHG Bancshares of MD NM 109.89 22.70 109.89 NM 0.32 2.06 NM
WSFS WSFS Financial Corp. of DE* 12.33 287.16 14.94 289.46 12.24 0.00 0.00 0.00
WVFC WVS Financial Corp. of PA* 18.93 169.94 18.97 169.94 15.09 1.20 3.75 71.01
WRNB Warren Bancorp of Peabody MA* 10.32 212.38 22.01 212.38 12.21 0.52 2.51 25.87
WFSL Washington FS&LA of Seattle WA 16.71 220.14 26.60 241.03 15.07 0.92 2.85 47.67
WAMU Washington Mutual Inc. of WA(8)* NM NM 35.93 NM NM 1.12 1.64 NM
WYNE Wayne Bancorp of NJ NM 121.32 16.20 121.32 NM 0.20 0.95 38.46
WAYN Wayne S&L Co. MHC of OH (47.8) NM 268.71 24.84 268.71 NM 0.62 2.21 NM
WCFB Wbstr Cty FSB MHC of IA (45.2) NM 194.68 45.46 194.68 NM 0.80 3.90 NM
WBST Webster Financial Corp. of CT NM 293.92 14.77 344.05 25.59 0.80 1.24 56.34
WEFC Wells Fin. Corp. of Wells MN 25.00 124.66 17.70 124.66 16.90 0.48 2.63 65.75
WCBI WestCo Bancorp of IL 19.50 143.23 21.83 143.23 15.45 0.60 2.18 42.55
WSTR WesterFed Fin. Corp. of MT 29.47 127.72 13.93 159.56 23.40 0.46 1.93 56.79
WOFC Western Ohio Fin. Corp. of OH NM 113.34 15.63 121.62 NM 1.00 3.77 NM
WWFC Westwood Fin. Corp. of NJ(8) NM 176.84 16.14 198.50 20.80 0.20 0.72 25.64
WEHO Westwood Hmstd Fin Corp of OH NM 114.20 33.57 114.20 NM 0.28 1.72 NM
WFI Winton Financial Corp. of OH 12.34 173.86 12.36 177.61 14.74 0.46 2.33 28.75
FFWD Wood Bancorp of OH 23.42 194.33 23.91 194.33 19.68 0.40 2.16 50.63
</TABLE>
<PAGE> 47
RP FINANCIAL, LC.
- ----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Exhibit IV-1 (continued)
Weekly Thrift Market Line - Part Two
Prices As Of November 6, 1997
<TABLE>
<CAPTION>
Key Financial Ratios Asset Quality Ratios
---------------------------------------------------------- ----------------------
Tang. Reported Earnings Core Earnings
Equity/ Equity/ ---------------------- --------------- NPAs Resvs/ Resvs/
Financial Institution Assets Assets ROA(5) ROE(5) ROI(5) ROA(5) ROE(5) Assets NPAs Loans
- --------------------- ------- ------- ------- ------- ------- ------- ------- ------- ------- -------
(%) (%) (%) (%) (%) (%) (%) (%) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
YFCB Yonkers Fin. Corp. of NY 14.90 14.90 0.86 5.03 3.85 1.16 6.82 0.48 72.05 0.78
YFED York Financial Corp. of PA 8.61 8.61 0.62 7.45 3.72 0.78 9.45 2.50 23.98 0.69
</TABLE>
<TABLE>
<CAPTION>
Pricing Ratios Dividend Data(6)
---------------------------------------- -----------------------
Price/ Price/ Ind. Divi-
Price/ Price/ Price/ Tang. Core Div./ dend Payout
Financial Institution Earning Book Assets Book Earnings Share Yield Ratio(7)
- --------------------- ------- ------- ------- ------- -------- ------- ------- -------
(X) (%) (%) (%) (x) ($) (%) (%)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
NASDAQ Listed OTC Companies (continued)
- ---------------------------------------
YFCB Yonkers Fin. Corp. of NY 25.99 138.99 20.71 138.99 19.17 0.24 1.22 31.58
YFED York Financial Corp. of PA 26.85 190.85 16.44 190.85 21.19 0.60 2.21 59.41
</TABLE>
<PAGE> 48
EXHIBIT 2
Peer Group Core Earnings Analysis
<PAGE> 49
RP FINANCIAL, LC.
- ----------------------------------------
Financial Services Industry Consultants
1700 North Moore Street, Suite 2210
Arlington, Virginia 22209
(703) 528-1700
Core Earnings Analysis
Comparable Institution Analysis
For the Twelve Months Ended June 30, 1997
<TABLE>
<CAPTION>
Estimated
Net Income Less: Net Tax Effect Less: Extd Core Income Estimated
to Common Gains(Loss) @ 34% Items to Common Shares Core EPS
---------- ----------- ---------- ---------- ---------- ---------- -------
($000) ($000) $000) ($000) ($000) ($000) ($)
<S> <C> <C> <C> <C> <C> <C> <C>
Comparable Group
- ----------------
ALBK ALBANK Fin. Corp. of Albany NY 29,419 10,167 -3,457 0 36,129 12,872 2.81
DIME Dime Community Bancorp of NY 12,316 1,404 -477 0 13,243 12,625 1.05
FMCO FMS Financial Corp. of NJ 3,717 2,661 -905 0 5,473 2,388 2.29
FSPG First Home Bancorp of NJ 4,430 2,065 -702 0 5,793 2,708 2.14
FFIC Flushing Fin. Corp. of NY 7,414 512 -174 0 7,752 7,983 0.97
HAVN Haven Bancorp of Woodhaven NY 9,146 6,775 -2,304 0 13,618 4,386 3.10
IBSF IBS Financial Corp. of NJ 3,664 4,137 -1,407 0 6,394 11,012 0.58
JSB JSB Financial, Inc. of NY 27,406 -2,062 701 0 26,045 9,898 2.63
OCFC Ocean Fin. Corp. of NJ 357 19,085 -6,489 -165 12,788 8,606 1.49
PFSB PennFed Fin. Services of NJ 6,886 4,813 -1,636 0 10,063 4,823 2.09
PSBK Progressive Bank, Inc. of NY 8,780 -207 70 0 8,643 3,828 2.26
PULS Pulse Bancorp of S. River NJ 3,676 2,800 -952 0 5,524 3,081 1.79
QCSB Queens County Bancorp of NY 21,888 420 -143 0 22,165 15,108 1.47
RELY Reliance Bancorp, Inc. of NY 10,935 8,078 -2,747 0 16,266 8,712 1.87
SFIN Statewide Fin. Corp. of NJ 3,588 3,744 -1,273 0 6,059 4,710 1.29
ROSE T R Financial Corp. of NY 32,295 -4,889 1,662 0 29,068 17,592 1.65
</TABLE>
Source: Audited and unaudited financial statements, corporate reports and
offering circulars, and RP Financial, LC. calculations. The
information provided in this table has been obtained from sources we
believe are reliable, but we cannot guarantee the accuracy or
completeness of such information.
Copyright (c) 1997 by RP Financial, LC.
<PAGE> 50
EXHIBIT 3
Pro Forma Analysis Sheet
<PAGE> 51
EXHIBIT 3
PRO FORMA ANALYSIS SHEET
Staten Island Savings Bank
Prices as of November 6, 1997
<TABLE>
<CAPTION>
Peer Group New York Companies All Savings Institutions
------------------ ------------------ ------------------------
Price Multiple Symbol Subject (1) Mean Median Mean Median Mean Median
- -------------- ------ ----------- ---- ------ ---- ------ ---- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Price-core earnings ratio P/Core 15.09 x 18.29x 17.45x 20.21x 20.22x 19.53x 19.01x
Price-tangible book ratio = P/TB 78.57% 180.36% 181.87% 166.72% 157.29% 165.68% 148.32%
Price-assets ratio = P/A 16.45% 18.52% 15.65% 19.39% 16.74% 19.53% 17.08%
<CAPTION>
Valuation Parameters
- --------------------
<S> <C> <C> <C>
Pre-Conversion Earnings (Y) $23,994,000 ESOP Stock Purchases (E) 8.00% (5)
Pre Conversion Core Earnings $20,210,000 Cost of ESOP Borrowings (S) 0.00% (4)
Pre-Conversion Book Value (B) $195,283,000 ESOP Amortization (T) 15.00 years
Pre-Conv. Tang. Book Value (B) $176,350,000 RRP Amount (M) 4.00%
Pre-Conversion Assets (A) $2,144,500,000 RRP Vesting (N) 5.00 years (5)
Reinvestment Rate (2)(R) 2.88% Foundation (F) 5.00%
Est. Conversion Expenses (3)(X) 1.94% Tax Benefit (Z) 9,165,000
Tax rate (TAX) 47.00% Percentage Sold (PCT) 100.00%
<CAPTION>
Calculation of Pro Forma Value After Conversion
- -----------------------------------------------
<S> <C>
1. V= P/E * (Y) V= $409,500,000
-----------------------------------------------------------
1 - P/E * PCT * ((1-X-E-M-F)*R - (1-TAX)*E/T - (1-TAX)*M/N)
2. V= P/B * (B+Z) V= $409,500,000
---------------------------
1 - P/B * PCT * (1-X-E-M-F)
3. V= P/A * (A+Z) V= $409,500,000
-------------------------------
1 - P/A * PCT * (1-X-E-M-F)
</TABLE>
<TABLE>
<CAPTION>
Shares Aggregate
Shares Sold to Price Per Gross Offering Issued To Total Shares Market Value
Conclusion Public Share Proceeds Foundation Issued of Stock Issued
- ----------- ------ ----- -------- ---------- ------ ---------------
<S> <C> <C> <C> <C> <C> <C>
Minimum 27,625,000 12.00 $331,500,000 1,381,250 29,006,250 348,075,000
Midpoint 32,500,000 12.00 390,000,000 1,625,000 34,125,000 409,500,000
Maximum 37,375,000 12.00 448,500,000 1,868,750 39,243,750 470,925,000
Supermaximum 42,981,250 12.00 515,775,000 2,149,063 45,130,313 541,563,756
</TABLE>
- --------------------------
(1) Pricing ratios shown reflect the final value.
(2) Net return reflects a reinvestment rate of 5.89 percent, and a tax rate
of 47.00 percent.
(3) Offering expenses shown at estimated midpoint value.
(4) No cost is applicable since holding company will fund the ESOP loan.
(5) ESOP and MRP amortize over 15 years and 5 years, respectively;
amortizationexpenses tax effected at 47.00 percent.
<PAGE> 52
EXHIBIT 4
Pro Forma Effect of Conversion Proceeds
<PAGE> 53
Exhibit 4
PRO FORMA EFFECT OF CONVERSION PROCEEDS
Staten Island Savings Bank
At the Minimum
<TABLE>
<S> <C>
1. Offering Proceeds $331,500,000
Less: Estimated Offering Expenses 6,932,000
---------
Net Conversion Proceeds $324,568,000
2. Estimated Additional Income from Conversion Proceeds
Net Conversion Proceeds $324,568,000
Less: Proceeds Invested in Non-Earning Fixed Assets 0
Less: Non-Cash Stock Purchases (1) 39,780,000
----------
Net Proceeds Reinvested $284,788,000
Estimated net incremental rate of return 2.88%
-----
Earnings Increase $8,211,008
Less: Estimated cost of ESOP borrowings (2) 0
Less: Amortization of ESOP borrowings (3) 937,040
Less: Recognition Plan Vesting (4) 1,405,560
---------
Net Earnings Increase $5,868,408
</TABLE>
<TABLE>
<CAPTION>
Net
Before Earnings After
3. Pro Forma Earnings Conversion Increase Conversion
---------- -------- ----------
<S> <C> <C> <C>
12 Months ended September 30, 1997 (reported) $23,994,000 $5,868,408 $29,862,408
12 Months ended September 30, 1997 (core) $20,210,000 $5,868,408 $26,078,408
</TABLE>
<TABLE>
<CAPTION>
Before Net Cash Tax Benefit (5) After
4. Pro Forma Net Worth Conversion Proceeds Of Contribution Conversion
---------- -------- --------------- ----------
<S> <C> <C> <C> <C>
September 30, 1997 $195,283,000 $284,788,000 $7,790,250 $487,861,250
September 30, 1997 (Tangible) $176,350,000 $284,788,000 $7,790,250 $468,928,250
Before Net Cash Tax Benefit (5) After
5. Pro Forma Assets Conversion Proceeds Of Contribution Conversion
---------- -------- --------------- ----------
September 30, 1997 $2,144,500,000 $284,788,000 $7,790,250 $2,437,078,250
</TABLE>
(1) Includes ESOP and MRP stock purchases equal to 8.0 and 4.0 percent of the
offering, respectively.
(2) ESOP stock purchases are internally financed by a loan from the holding
company.
(3) ESOP borrowings are amortized over 15 years, amortization expense is
tax-effected at a 47.00 percent rate.
(4) MRP is amortized over 5 years, and amortization expense is tax effected
at 47.00 percent.
(5) Reflects tax benefit of stock contribution to the Foundation.
<PAGE> 54
Exhibit 4
PRO FORMA EFFECT OF CONVERSION PROCEEDS
Staten Island Savings Bank
At the Midpoint
<TABLE>
<S> <C>
1. Offering Proceeds $390,000,000
Less: Estimated Offering Expenses 7,551,000
---------
Net Conversion Proceeds $382,449,000
2. Estimated Additional Income from Conversion Proceeds
Net Conversion Proceeds $382,449,000
Less: Proceeds Invested in Non-Earning Fixed Assets 0
Less: Non-Cash Stock Purchases (1) 46,800,000
----------
Net Proceeds Reinvested $335,649,000
Estimated net incremental rate of return 2.88%
-----
Earnings Increase $9,677,432
Less: Estimated cost of ESOP borrowings (2) 0
Less: Amortization of ESOP borrowings (3) 1,102,400
Less: Recognition Plan Vesting (4) 1,653,600
---------
Net Earnings Increase $6,921,432
</TABLE>
<TABLE>
<CAPTION>
Net
Before Earnings After
3. Pro Forma Earnings Conversion Increase Conversion
---------- -------- ----------
<S> <C> <C> <C>
12 Months ended September 30, 1997 (reported) $23,994,000 $6,921,432 $30,915,432
12 Months ended September 30, 1997 (core) $20,210,000 $6,921,432 $27,131,432
</TABLE>
<TABLE>
<CAPTION>
Before Net Cash Tax Benefit (5) After
4. Pro Forma Net Worth Conversion Proceeds Of Contribution Conversion
---------- -------- --------------- ----------
<S> <C> <C> <C> <C>
September 30, 1997 $195,283,000 $335,649,000 $9,165,000 $540,097,000
September 30, 1997 (Tangible) $176,350,000 $335,649,000 $9,165,000 $521,164,000
Before Net Cash Tax Benefit (5) After
5. Pro Forma Assets Conversion Proceeds Of Contribution Conversion
---------- -------- --------------- ----------
September 30, 1997 $2,144,500,000 $335,649,000 $9,165,00 $2,489,314,000
</TABLE>
(1) Includes ESOP and MRP stock purchases equal to 8.0 and 4.0 percent of the
offering, respectively.
(2) ESOP stock purchases are internally financed by a loan from the holding
company.
(3) ESOP borrowings are amortized over 15 years, amortization expense is
tax-effected at a 47.00 percent rate.
(4) MRP is amortized over 5 years, and amortization expense is tax effected
at 47.00 percent.
(5) Reflects tax benefit of stock contribution to the Foundation.
<PAGE> 55
Exhibit 4
PRO FORMA EFFECT OF CONVERSION PROCEEDS
Staten Island Savings Bank
At the Maximum
<TABLE>
<S> <C>
1. Offering Proceeds $448,500,000
Less: Estimated Offering Expenses 8,170,000
---------
Net Conversion Proceeds $440,330,000
2. Estimated Additional Income from Conversion Proceeds
Net Conversion Proceeds $440,330,000
Less: Proceeds Invested in Non-Earning Fixed Assets 0
Less: Non-Cash Stock Purchases (1) 53,820,000
----------
Net Proceeds Reinvested $386,510,000
Estimated net incremental rate of return 2.88%
-----
Earnings Increase $11,143,856
Less: Estimated cost of ESOP borrowings (2) 0
Less: Amortization of ESOP borrowings (3) 1,267,760
Less: Recognition Plan Vesting (4) 1,901,640
---------
Net Earnings Increase $7,974,456
</TABLE>
<TABLE>
<CAPTION>
Net
Before Earnings After
3. Pro Forma Earnings Conversion Increase Conversion
---------- -------- ----------
<S> <C> <C> <C>
12 Months ended September 30, 1997 (reported) $23,994,000 $7,974,456 $31,968,456
12 Months ended September 30, 1997 (core) $20,210,000 $7,974,456 $28,184,456
</TABLE>
<TABLE>
<CAPTION>
Before Net Cash Tax Benefit (5) After
4. Pro Forma Net Worth Conversion Proceeds Of Contribution Conversion
---------- -------- --------------- ----------
<S> <C> <C> <C> <C>
September 30, 1997 $195,283,000 $386,510,000 $10,539,750 $592,332,750
September 30, 1997 (Tangible) $176,350,000 $386,510,000 $10,539,750 $573,399,750
Before Net Cash Tax Benefit (5) After
5. Pro Forma Assets Conversion Proceeds Of Contribution Conversion
---------- -------- --------------- ----------
September 30, 1997 $2,144,500,000 $386,510,000 $10,539,750 $2,541,549,750
</TABLE>
(1) Includes ESOP and MRP stock purchases equal to 8.0 and 4.0 percent of the
offering, respectively.
(2) ESOP stock purchases are internally financed by a loan from the holding
company.
(3) ESOP borrowings are amortized over 15 years, amortization expense is
tax-effected at a 47.00 percent rate.
(4) MRP is amortized over 5 years, and amortization expense is tax effected
at 47.00 percent.
(5) Reflects tax benefit of stock contribution to the Foundation.
<PAGE> 56
Exhibit 4
PRO FORMA EFFECT OF CONVERSION PROCEEDS
Staten Island Savings Bank
At the Supermaximum Value
<TABLE>
<S> <C>
1. Offering Proceeds $515,775,000
Less: Estimated Offering Expenses 8,882,000
---------
Net Conversion Proceeds $506,893,000
2. Estimated Additional Income from Conversion Proceeds
Net Conversion Proceeds $506,893,000
Less: Proceeds Invested in Non-Earning Fixed Assets 0
Less: Non-Cash Stock Purchases (1) 61,893,000
----------
Net Proceeds Reinvested $445,000,000
Estimated net incremental rate of return 2.88%
-----
Earnings Increase $12,830,240
Less: Estimated cost of ESOP borrowings (2) 0
Less: Amortization of ESOP borrowings (3) 1,457,924
Less: Recognition Plan Vesting (4) 2,186,886
---------
Net Earnings Increase $9,185,430
</TABLE>
<TABLE>
<CAPTION>
Net
Before Earnings After
3. Pro Forma Earnings Conversion Increase Conversion
---------- -------- ----------
<S> <C> <C> <C>
12 Months ended September 30, 1997 (reported) $23,994,000 $9,185,430 $33,179,430
12 Months ended September 30, 1997 (core) $20,210,000 $9,185,430 $29,395,430
</TABLE>
<TABLE>
<CAPTION>
Before Net Cash Tax Benefit (5) After
4. Pro Forma Net Worth Conversion Proceeds Of Contribution Conversion
---------- -------- --------------- ----------
<S> <C> <C> <C> <C>
September 30, 1997 $195,283,000 $445,000,000 $12,120,713 $652,403,713
September 30, 1997 (Tangible) $176,350,000 $445,000,000 $12,120,713 $633,470,713
Before Net Cash Tax Benefit (5) After
5. Pro Forma Assets Conversion Proceeds Of Contribution Conversion
---------- -------- --------------- ----------
September 30, 1997 $2,144,500,000 $445,000,000 $12,120,713 $2,601,620,713
</TABLE>
(1) Includes ESOP and MRP stock purchases equal to 8.0 and 4.0 percent of the
offering, respectively.
(2) ESOP stock purchases are internally financed by a loan from the holding
company.
(3) ESOP borrowings are amortized over 15 years, amortization expense is
tax-effected at a 47.00 percent rate.
(4) MRP is amortized over 5 years, and amortization expense is tax effected
at 47.00 percent.
(5) Reflects tax benefit of stock contribution to the Foundation.
<PAGE> 57
EXHIBIT 5
Firm Qualifications Statement
<PAGE> 58
RP FINANCIAL, LC.
- ------------------------------------------
FINANCIAL SERVICES INDUSTRY CONSULTANTS FIRM QUALIFICATION STATEMENT
RP Financial provides financial and management consulting and valuation services
to the financial services industry nationwide, particularly federally-insured
financial institutions. RP Financial establishes long-term client relationships
through its wide array of services, emphasis on quality and timeliness, hands-on
involvement by our principals and senior consulting staff, and careful
structuring of strategic plans and transactions. RP Financial's staff draws from
backgrounds in consulting, regulatory agencies and investment banking, thereby
providing our clients with considerable resources.
STRATEGIC AND CAPITAL PLANNING
RP Financial's strategic and capital planning services are designed to provide
effective workable plans with quantifiable results. Through a program known as
SAFE (Strategic Alternatives Financial Evaluations), RP Financial analyzes
strategic options to enhance shareholder value or other established objectives.
Our planning services involve conducting situation analyses; establishing
mission statements, strategic goals and objectives; and identifying strategies
for enhancement of franchise value, capital management and planning, earnings
improvement and operational issues. Strategy development typically includes the
following areas: capital formation and management, asset/liability targets,
profitability, return on equity and market value of stock. Our proprietary
financial simulation model provides the basis for evaluating the financial
impact of alternative strategies and assessing the feasibility/compatibility of
such strategies with regulations and/or other guidelines.
MERGER AND ACQUISITION SERVICES
RP Financial's merger and acquisition (M&A) services include targeting
candidates and potential acquirors, assessing acquisition merit, conducting
detailed due diligence, negotiating and structuring transactions, preparing
merger business plans and financial simulations, rendering fairness opinions and
assisting in implementing post-acquisition strategies. Through our financial
simulations, comprehensive in-house data bases, valuation expertise and
regulatory knowledge, RP Financial's M&A consulting focuses on structuring
transactions to enhance shareholder returns.
VALUATION SERVICES
RP Financial's extensive valuation practice includes valuations for a variety of
purposes including mergers and acquisitions, mutual-to-stock conversions, ESOPs,
subsidiary companies, mark-to-market transactions, loan and servicing
portfolios, non-traded securities, core deposits, FAS 107 (fair market value
disclosure), FAS 122 (loan servicing rights) and FAS 123 (stock options). Our
principals and staff are highly experienced in performing valuation appraisals
which conform with regulatory guidelines and appraisal industry standards. RP
Financial is the nation's leading valuation firm for mutual-to-stock conversions
of thrift institutions.
OTHER CONSULTING SERVICES AND DATA BASES
RP Financial offers a variety of other services including branching strategies,
feasibility studies and special research studies, which are complemented by our
quantitative and computer skills. RP Financial's consulting services are aided
by its in-house data base resources for commercial banks and savings
institutions and proprietary valuation and financial simulation models.
YEAR 2000 SERVICES
RP Financial, through a relationship with a computer research and development
company with a proprietary methodology, offers Year 2000 advisory and conversion
services to financial institutions which are more cost effective and less
disruptive than most other providers of such service.
RP Financial's Key Personnel (Years of Relevant Experience)
Ronald S. Riggins, Managing Director (17)
William E. Pommerening, Managing Director (13)
Gregory E. Dunn, Senior Vice President (15)
James P. Hennessey, Senior Vice President (12)
James J. Oren, Vice President (10)
- --------------------------------------------------------------------------------
WASHINGTON HEADQUARTERS
Rosslyn Center
1700 North Moore Street, Suite 2210 Telephone: (703) 528-1700
Arlington, VA 22209 Fax No.: (703) 528-1788
