SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934 Date of Report (Date of
earliest event reported) April 15, 1999
COMMISSION FILE NO.: 0-29826
LONG ISLAND FINANCIAL CORP.
(Exact name of registrant as specified in its charter)
Delaware 11-3453684
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(State or other Jurisdiction of Incorporation (I.R.S. Employer or
organization) Identification No.)
One Suffolk Square, Islandia, New York 11722
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(Address of principal executive officer) (Zip Code)
Registrants' telephone number, including area code: (516) 348-0888
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Item 5. Other Events
On April 15, 1999, Long Island Financial Corp. issued a press release
announcing earnings for the quarter ended March 31, 1999. In that release, the
Board of Directors also announced it had approved the repurchase of up to 10% of
its common stock outstanding from time to time in the open market or through
private purchases, depending on market conditions. The press release issued by
the Registrant is attached as Exhibit 99.1 and is hereby incorporated herein by
reference.
Item 7 (c). Exhibits
Exhibit 99.1 Press Release announcing the Company's earnings for the
quarter ended March 31, 1999, and the stock repurchase program.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
By: /s/ Douglas C. Manditch
-----------------------------------
Douglas C. Manditch
President & Chief Executive Officer
Dated: April 30, 1999
<PAGE>
EXHIBIT 99.1
FOR IMMEDIATE RELEASE
LONG ISLAND FINANCIAL CORP.
REPORTS FIRST QUARTER RESULTS
ANNOUNCES STOCK REPURCHASE PROGRAM
Islandia, N.Y. (Business Wire) -- April 15, 1999-- Long Island Financial
Corp. (the "Company") (NASDAQ/NMS: LICB) the holding company for Long Island
Commercial Bank today reported net income of $332,000, or $.19 per common share,
for the fiscal quarter ended March 31, 1999 compared to $362,000, or $.21 per
common share for the comparable prior year period. The Company also announced
that it was commencing a program to repurchase up to 10% of its outstanding
common stock.
The decrease in net income occurred despite a 21% improvement in net interest
income after provision for possible loan losses due to continued growth in the
investment and loan portfolios funded, in part, with borrowings consisting of
convertible advances from the Federal Home Loan Bank of New York. Other
operating income increased $205,000, or 183%, to $317,000 for the quarter ended
March 31, 1999, reflecting the establishment of the Bank's residential mortgage
department in May, 1998, and fee income associated with the origination and sale
of residential mortgages. In addition, service charges on deposit accounts has
increased reflecting the growth in the Bank's depositor base and an overall
increase in the Bank's fee schedule. The primary factor offsetting the positive
growth trends was a 53% increase in other operating expenses as a result of a
substantial increase in staff in connection with both the Bank's branch
expansion, establishment of the residential mortgage department, the investment
in computer hardware and software to increase operating efficiencies and to
provide electronic banking services and additional staffing to support the
continued growth of the Bank. The number of full time equivalent employees
increased by 19, or 37.3%, from 51 at March 31, 1998 to 70 at March 31, 1999.
Total assets amounted to $270.8 million at March 31, 1999, an increase of $60.4
million, or 28.7%, compared to $210.5 million at March 31, 1998. Loans
receivable, net increased by $16.7 million, or 20.6%, from March 31, 1998. In
addition, the growth in total deposits of $36.1 million, or 21.1%, to $207.4
million at March 31, 1999, was comprised primarily of lower cost deposit
products. Demand deposits increased by $9.6 million, or 46.1%, to $30.5 million
at March 31, 1999. Savings deposits increased by $18.0 million, or 505.4%, to
$21.5 million at March 31, 1999. NOW and money market deposits amounted to $47.2
million at March 31, 1999, an increase of $22.0 million, or 87.0%, while time
certificates decreased by $13.4 million, or 11.0%, from March 31, 1998 to March
31, 1999.
Commenting on the quarterly results, Douglas C. Manditch, president and chief
executive officer, stated, " we are pleased with the financial performance of
the Company, to date, as we begin to realize the benefits of the infrastructure
developed in 1998. We continue to experience growth in core banking
relationships as we expand our branch network and offer state of the art
electronic banking services. Our primary focus in 1999 is to continue to fund
asset growth with low costing deposits while we stabilize and maintain our
operating expense structure. The consummation of our reorganization on January
28, 1999, which formed Long Island Financial Corp., opens an array of
opportunities to the Company to compete as a financial services provider well
into the next millennium. " The Bank plans on opening more branches in its
market area of Suffolk and Nassau Counties and expects to have a network of up
to ten full service banking facilities in place by December 31, 2000.
On March 9, 1999, the Board of Directors of Long Island Financial Corp. declared
a dividend of $.08 per common share. The dividend was paid on April 1, 1999 to
stockholders of record on March 24, 1999.
In commenting on the stock repurchase program, Mr. Manditch said, "We believe
that the repurchase of the shares will enhance shareholder value by increasing
the earnings per share and book value of the remaining shares outstanding. The
last trade of our common stock on April 14, 1999 was at approximately 97.4% of
the stock's book value of $12.06 per
<PAGE>
share as of March 31, 1999. Based on this, we believe that the repurchase of
our shares is an excellent long-term investment."
Long Island Commercial Bank, the wholly-owned subsidiary of Long Island
Financial Corp., is a New York state chartered commercial bank, began operations
in January of 1990, and provides commercial and consumer banking services
through six offices located in Islandia, Smithtown, Babylon, Westbury, Jericho
and Shirley. The Bank is an independent local bank emphasizing personal
attention and responsiveness to the needs of its customers. Perry B. Duryea Jr.,
serves as chairman of the board.
This release may contain certain forward-looking statements which are based on
management's current expectations regarding economic, legislative, and
regulatory issues that may impact the Bank's earnings in future periods. Factors
that could cause future results to vary materially from current management
expectations include, but are not limited to, general economic conditions,
changes in interest rates, deposit flows, real estate values, and competition;
changes in accounting principles, policies, or guidelines; changes in
legislation or regulation; and other economic, competitive, governmental,
regulatory and technological factors affecting the Bank's operations, pricing,
products, and services.
<TABLE>
<CAPTION>
LONG ISLAND FINANCIAL CORP.
(NASDAQ/NMS: LICB)
(In thousands, except per share data)
March 31, December 31, March 31,
1999 1998 1998
<S> <C> <C> <C>
Selected Financial Condition Data
Cash and cash equivalents ....................... $ 17,284 $ 21,489 $ 14,643
Securities held-to-maturity, net ................ 574 664 2,596
Securities available for sale ................... 143,457 145,155 107,537
Loans receivable, net (1) ....................... 97,828 94,144 81,092
Total assets .................................... 270,846 266,543 210,471
Deposits ........................................ 207,444 217,867 171,301
Borrowed funds .................................. 39,000 24,000 14,000
Stockholders' equity(2).......................... 21,430 21,868 21,611
Book value per share (2) ........................ $ 12.06 $ 12.35 $ 12.28
Three Months Ended
March 31,
1999 1998
Selected Operating Data
Interest income ................................. $ 4,551 $ 3,835
Interest expense ................................ 2,374 2,066
Net interest income.... .................... 2,177 1,769
Provision for possible loan losses .............. 150 90
Net interest income after provision
for possible loan losses ............... 2,027 1,679
Other operating income .......................... 317 112
Other operating expense ......................... 1,822 1,187
Income before provision for income taxes.... 522 604
Provision for income taxes ...................... 190 242
Net income .................................. $ 332 $ 362
Basic and diluted earnings per share ........ $ .19 $ .21
Weighted average shares outstanding ............. 1,775,991 1,760,432
<FN>
(1) Includes residential mortgage loans held for sale.
(2) Includes net unrealized depreciation/appreciation
in available-for-sale securities, net of tax.
</FN>
</TABLE>
Contact:
Douglas C. Manditch
President & CEO
Long Island Financial Corp.
One Suffolk Square
Islandia, New York 11722
Voice: (516) 348-0888 Fax: (516) 348-0830
www.licb.com
