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 Three Months Ended March 31, 1995
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 0-7974
CHITTENDEN CORPORATION
(Exact Name of Registrant as Specified in its Charter)
VERMONT 03-0228404
(State of Incorporation) (IRS Employer Identification No.)
TWO BURLINGTON SQUARE
BURLINGTON, VERMONT 05401
(Address of Principal Executive Offices) (Zip Code)
Registrant's Telephone Number: (802) 658-4000
NOT APPLICABLE
Former Name, Former Address and Formal Fiscal Year
If Changed Since Last Report
Indicate by checkmark whether the Registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the Registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.
YES X NO
At March 31, 1995, there were 6,788,743 shares of the Corporations's $1.00 par
value common stock issued, with 6,549,888 shares outstanding.
Chittenden Corporation
Consolidated Balance Sheets (Unaudited)
March 31, December 31
1995 1994
-------- --------
ASSETS (In Thousands)
Cash and Cash Equivalents $108,926 $100,973
Securities Available For Sale 253,025 196,829
Securities Held For Investment (Market Value
$9,526,000 in 1995; and $9,280,000 in 1994) 9,849 9,869
Stock in Federal Home Loan Bank 4,365 -
Loans:
Commercial 177,071 105,281
Real Estate:
Residential 444,829 405,618
Commercial 260,147 214,103
Construction 10,706 7,281
----------- -----------
Total Real Estate 715,682 627,002
Consumer 133,569 140,677
----------- -----------
Total Loans 1,026,322 872,960
Less: Allowance for Possible Loan Losses (23,402) (19,099)
----------- -----------
Net Loans 1,002,920 853,861
----------- -----------
Loans Held for Sale 9,513 2,870
Premises and Equipment, Net 18,388 17,864
Intangible Assets, Net 12,088 -
Accrued Interest Receivable 11,606 9,906
Other Real Estate Owned 2,178 1,288
Net Deferred Tax Asset 14,019 11,969
Other Assets 14,040 8,479
----------- -----------
Total Assets $1,460,917 $1,213,908
=========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Deposits:
Demand $182,660 $180,481
Certificates of Deposit $100,000 and Over 129,556 69,885
Savings and Other Time 958,006 819,832
----------- -----------
Total Deposits 1,270,222 1,070,198
----------- -----------
Short-Term Borrowings 43,539 22,650
Accrued Expenses and Other Liabilities 28,172 22,750
----------- -----------
Total Liabilities 1,341,933 1,115,598
----------- -----------
Stockholders' Equity:
Common Stock - $1 Par Value
Authorized - 30,000,000 Shares
Issued - 8,485,929 Shares in 1995;
and 8,099,870 in 1994 8,486 8,100
Surplus 58,331 49,863
Retained Earnings 59,627 55,755
Treasury Stock - At Cost, 298,569 Shares in 1995;
710,346 in 1994 (4,029) (9,586)
Net Unrealized Loss on Securities Available for
Sale, Net of Taxes of $1,671,000 in 1995;
and $3,077,000 in 1994 (3,337) (5,718)
Unearned Portion of Employee Restricted Stock (94) (104)
----------- -----------
Total Stockholders' Equity 118,984 98,310
----------- -----------
Total Liabilities and Stockholders' Equity $1,460,917 $1,213,908
=========== ===========
Certain amounts for 1994 have been reclassified to conform with 1995 class-
ifications.
The accompanying notes are an integral part of these consolidated financial
statements.
Chittenden Corporation
Consolidated Statements of Income (Unaudited)
Three Months Ended March 31,
1995 1994
----------- -----------
(In Thousands)
Interest Income:
Interest on Loans $20,728 $16,011
Investment Securities:
Mortgage-Backed Securities 562 553
Taxable 2,542 2,062
Tax-Favored Debt 480 249
Tax-Favored Equity 185 196
Short-Term Investments 643 141
----------- -----------
Total Interest Income 25,140 19,212
----------- -----------
Interest Expense:
Deposits:
Savings 5,163 2,965
Time 4,990 3,515
----------- -----------
Total Interest on Deposits 10,153 6,480
Short-Term Borrowings 531 476
----------- -----------
Total Interest Expense 10,684 6,956
----------- -----------
Net Interest Income 14,456 12,256
Provision for Possible Loan Losses 950 1,200
----------- -----------
Net Interest Income after Provision for
Possible Loan Losses 13,506 11,056
----------- -----------
Noninterest Income:
Trust Department Income 1,080 1,004
Service Charges on Deposit Accounts 1,169 1,062
Losses on Sales of Securities, Net - (18)
Mortgage Servicing Income 494 512
Gains on Sales of Mortgage Loans 123 535
Credit Card Income 2,558 1,713
Other 1,163 878
----------- -----------
Total Noninterest Income 6,587 5,686
----------- -----------
Noninterest Expense:
Salaries 4,488 4,270
Employee Benefits 1,675 1,563
Net Occupancy Expense 1,570 1,442
FDIC Deposit Insurance 593 592
Other Real Estate Owned Income and Expense, Net (137) (95)
Credit Card Expense 1,752 1,089
Other 3,324 2,829
----------- -----------
Total Noninterest Expense 13,265 11,690
----------- -----------
Income Before Income Taxes 6,828 5,052
Provision for Income Taxes 2,186 1,667
----------- -----------
Net Income $4,642 $3,385
=========== ===========
Earnings Per Share:
Primary $0.60 $0.42
Fully Diluted $0.60 $0.42
Dividends Declared Per Share $0.10 $0.08
Book Value $14.54 $12.68
Weighted Average Common Shares Outstanding 7,741,544 7,778,758
The accompanying notes are an integral part of these consolidated financial
statements.
Chittenden Corporation
Average Balances, Interest Income and Expense, and Average Rates (Unaudited)
For the Three Months Ended March 31,
1995
-----------------------------------------
Interest Average
Average Income/ Yield/
Balance (4) Expense(1) Rate(1)
-----------------------------------------
(In Thousands)
ASSETS
Interest-Earning Assets:
Loans (2) $896,076 $20,660 9.35%
Industrial Revenue Bonds (3) 7,450 225 12.25
Investments:
Taxable 199,875 3,102 6.29
Tax-Favored Debt Securities 44,141 700 6.43
Tax-Favored Equity Securities 15,982 257 6.52
Interest-Bearing Deposits in Banks 100 1 4.06
Federal Funds Sold 44,800 642 5.81
------- -------
Total Interest-Earning Assets 1,208,424 25,587 8.59
-------
NonInterest-Earning Assets 102,323
Allowance for Possible Loan Losses (20,041)
-------
Total Assets $1,290,706
===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Interest-Bearing Liabilities:
Savings and Interest-Bearing
Transactional Accounts 561,078 5,164 3.73
Certificates of Deposit $100,000
and Over 107,701 1,497 5.64
Other Time Deposits 310,464 3,493 4.56
------- -------
Total Interest-Bearing Deposits 979,243 10,154 4.21
Short-Term Borrowings 30,823 531 6.99
------- -------
Total Interest-Bearing Liabilities 1,010,066 10,685 4.29
-------
NonInterest-Bearing Liabilities:
Demand Deposits 162,410
Other Liabilities 13,027
-------
Total Liabilities 1,185,503
Stockholders' Equity 105,203
-------
Total Liabilities and
Stockholders' Equity $1,290,706
===========
Net Interest Income $14,902
=======
Interest Rate Spread (5) 4.30%
Net Yield on Earning Assets (6) 5.00%
(1) On a fully taxable equivalent basis. Calculated using a Federal Income
Tax Rate of 35%.
(2) Includes nonperforming loans
(3) Industrial revenue bonds are included in Loans in the Financial
Statements.
(4) Average balances are based on historical amortized cost balances.
(5) Interest rate spread is the average rate earned on total interest-earning
assets less the average rate paid for interest-bearing liabilities.
(6) Net yield on earning assets is net interest income divided by total
interest-earning assets.
The accompanying notes are an integral part of these consolidated financial
statements.
Chittenden Corporation
Average Balances, Interest Income and Expense, and Average Rates (Unaudited)
For the Three Months Ended March 31,
1994
-----------------------------------------
Interest Average
Average Income/ Yield/
Balance (4) Expense(1) Rate(1)
-----------------------------------------
(In Thousands)
ASSETS
Interest-Earning Assets:
Loans (2) $824,787 $15,863 7.80%
Industrial Revenue Bonds (3) 10,244 217 8.59
Investments:
Taxable 208,670 2,615 5.08
Tax-Favored Debt Securities 28,840 361 5.08
Tax-Favored Equity Securities 28,694 266 3.76
Interest-Bearing Deposits in Banks 2,266 18 3.22
Federal Funds Sold 15,000 123 3.33
------- -------
Total Interest-Earning Assets 1,118,501 19,463 7.06
-------
NonInterest-Earning Assets 95,163
Allowance for Possible Loan Losses (19,331)
-------
Total Assets $1,194,333
===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Interest-Bearing Liabilities:
Savings and Interest-Bearing
Transactional Accounts 502,057 2,965 2.40
Certificates of Deposit $100,000
and Over 70,632 607 3.49
Other Time Deposits 312,847 2,908 3.77
------- -------
Total Interest-Bearing Deposits 885,536 6,480 2.97
Short-Term Borrowings 43,062 476 4.48
------- -------
Total Interest-Bearing Liabilities 928,598 6,956 3.04
-------
NonInterest-Bearing Liabilities:
Demand Deposits 153,544
Other Liabilities 13,076
-------
Total Liabilities 1,095,218
Stockholders' Equity 99,115
-------
Total Liabilities and
Stockholders' Equity $1,194,333
===========
Net Interest Income $12,507
=======
Interest Rate Spread (5) 4.02%
Net Yield on Earning Assets (6) 4.53%
(1) On a fully taxable equivalent basis. Calculated using a Federal Income
Tax Rate of 35%.
(2) Includes nonperforming loans
(3) Industrial revenue bonds are included in Loans in the Financial
Statements.
(4) Average balances are based on historical amortized cost balances.
(5) Interest rate spread is the average rate earned on total interest-earning
assets less the average rate paid for interest-bearing liabilities.
(6) Net yield on earning assets is net interest income divided by total
interest-earning assets.
The accompanying notes are an integral part of these consolidated financial
statements.
Chittenden Corporation
Consolidated Statements of Cash Flows (Unaudited)
For the Three Months Ended March 31,
1995 1994
(In Thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $4,642 $3,385
Adjustments to reconcile net income to net
cash provided by operating activities:
Provision for possible loan losses 950 1,200
Depreciation and amortization 555 490
Amortization of intangible assets 50 -
Amortization of premiums, fees, and discounts, net 69 277
Investment securities (gains) losses 0 18
Deferred (prepaid) income taxes (1,475) 131
Changes in assets and liabilities net of effects from purchase of the
Bank of Western Massachusetts:
Loans held for sale (6,643) 6,441
Accrued interest receivable (126) (908)
Other assets (2,808) (180)
Accrued expenses and other liabilities 2,459 434
--------- ---------
Net cash provided by operating activities (2,327) 11,288
--------- ---------
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of Bank of Western Massachusettes, net of
cash acquired (3,455) -
Proceeds from sales of securities (available for sale) 14,849 63,413
Proceeds from maturing securities and principal payments
on securities (available for sale) 103,164 25,979
Purchase of securities (available for sale) (132,897) (147,080)
Proceeds from principal payments on securities (held
for investment) 20 460
Loans originated, net of principal repayments 10,633 30,527
Purchases of premises and equipment (1,757) (381)
--------- ---------
Net cash used in investing activities (9,443) (27,082)
--------- ---------
CASH FLOWS FROM FINANCING ACTIVITIES:
Net increase (decrease) in deposits 23,629 (16,768)
Net decrease in short-term borrowings (3,271) (18,352)
Proceeds from issuance of treasury and common stock 135 107
Dividends on common stock (770) (623)
--------- ---------
Net cash provided by (used in) financing activities 19,723 (35,636)
--------- ---------
Net increase (decrease) in cash and cash equivalents 7,953 (51,430)
Cash and cash equivalents at beginning of year 100,973 195,111
--------- ---------
Cash and cash equivalents at March 31, $108,926 $143,681
========= =========
Supplemental disclosure of cash flow information:
Cash paid during the period for:
Interest $9,527 $6,855
Income taxes 100 250
Noncash transactions:
Loans transferred to other real estate owned 2,531 232
Mortgage loans securitized 8,199 -
The accompanying notes are an integral part of these consolidated financial
statements.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
March 31, 1995
NOTE 1 - ACCOUNTING POLICIES
The Company's significant accounting policies, other than those described
in Note 2 below, are described in Note 1 of the Notes to Consolidated Financial
Statements included in its 1994 Annual Report on Form 10-K filed with the
Securities and Exchange Commission. For interim reporting purposes, the Company
follows the same basic accounting policies and considers each interim period as
an integral part of an annual period.
The financial information included herein is unaudited; however, such
information reflects all adjustments (consisting of normal recurring
adjustments) which are, in the opinion of management, necessary for a fair
statement of results for the interim periods.
NOTE 2 - ACCOUNTING POLICY CHANGE - ADOPTION OF SFAS 114
As of January 1, 1995, the Company adopted Statement of Financial
Accounting Standards No. 114, Accounting by Creditors for Impairment of a Loan,
as amended by SFAS No. 118 (hereafter collectively referred to as SFAS 114). A
loan is impaired when, based on current information and events, it is probable
that a creditor will be unable to collect all amounts due according to the
contractual terms of the loan agreement. SFAS 114 requires that impaired loans
be measured based on the present value of the expected future cash flows
discounted at the loan's effective interest rate. In the case of collateral
dependent loans, impairment may be measured based on the fair value of the
collateral. This change in accounting as prescribed by SFAS 114 did not result
in a cumulative adjustment of the Company's reported financial condition.
Further, adoption of SFAS 114 did not impact the Company's measurement of its
provision for possible loan losses for the quarter ended March 31, 1995.
The adoption of SFAS 114 had no impact on the Company's income recognition
policy for nonaccrual loans.
Allowance for Possible Loan Losses. The following table presents changes
in the allowance for possible loan losses:
First Quarter
Ended March 31,
---------------------
1995 1994
(In Thousands)
Beginning Balance $19,099 $18,917
Allowance of Acquired Bank 4,135 --0--
Provision 950 1,200
Loans Charged Off (1,053) (1,356)
Loan Recoveries 271 224
-------- -------
Ending Balance $23,402 $18,985
At March 31, 1995, the recorded investment in loans that are considered to
be impaired under SFAS 114 was $6,481,000 (all such loans were on a nonaccrual
basis). Included in this amount is $3,456,000 of impaired loans for which the
related allowance for possible loan losses is $594,000, and $3,025,000 of
impaired loans for which no specific allowance for possible loan losses has been
allocated. The average recorded investment in impaired loans during the quarter
ended March 31, 1995 was approximately $6,890,000. For the quarter ended March
31, 1995, interest income on impaired loans totaled $17,000, which was
recognized on a cash basis.
NOTE 3 - ACQUISITION
On March 17, 1995 the Company acquired all of the outstanding shares of the
common stock of Bank of Western Massachusetts. The Company issued 627,525
shares (before considering the impact of the stock split described in Note 4
below) at a price of $22.75 per share; 326,875 of the shares issued were
treasury stock. The total cash outlay, including payments made with respect to
outstanding stock options and warrants issued by Bank of Western Massachusetts,
was $12.1 million. This transaction has been accounted for as a purchase and,
accordingly the consolidated statement of income includes Bank of Western
Massachusetts' results of operations from the date of acquisition.
In accordance with the purchase method of accounting, the purchase price
has been allocated to assets acquired and liabilities assumed based on estimates
of fair value at the date of acquisition. The excess of purchase price over the
fair value of assets acquired, including a core deposit intangible asset, has
been recorded as goodwill. The fair value of these assets and liabilities is
summarized as follows:
(In Thousands)
Cash and Cash Equivalents $ 8,715
Securities Available for Sale 42,123
Net Loans 158,975
Premises and Equipment 1,422
Core Deposit Intangible 5,021
Goodwill 7,117
Other Real Estate Owned 1,296
Prepaid Expenses and Other Assets 5,296
Deposits (176,395)
Short-Term Borrowings (18,890)
Accrued Expenses and Other Liabilities (8,143)
Total Acquisition Cost $ 26,447
==========
Included in the total acquisition cost are approximately $100,000 of
capitalized costs incurred in connection with the acquisition.
Since this acquisition was only recently consummated, future adjustments to
certain preliminary estimates may result in adjustments to these amounts. Such
adjustments, in aggregate, are not expected to be material.
Goodwill is being amortized on a straight-line basis over 15 years; the
core deposit intangible is being amortized on an accelerated basis over 10
years.
Following is supplemental information reflecting selected pro forma results
if this acquisition had been consummated at the beginning of the periods
presented:
First
Full Year Quarter
-------------------------
1994 1995
-------------------------
(In Thousands, except EPS)
Total Revenue $87,346 $22,928
Net Income 15,972 3,630
Earnings per Share (EPS)
(Split-adjusted) $ 1.84 $ 0.43
Total revenue includes net interest income and noninterest income.
NOTE 4 - SUBSEQUENT EVENTS
Stock Split. On April 19, 1995, the Company declared a five-for-four stock
split to be distributed on May 26, 1995 to stockholders of record May 12, 1995.
This stock split has been reflected in the accompanying balance sheets as of
March 31, 1995 and December 31, 1994; all per share information shown on the
accompanying statements of income has been retroactively restated to reflect the
split.
Dividend Declaration. On April 19, 1995, the Company declared dividends of
approximately $1.25 million or $0.15 per (post-split) share. This dividend is
to be paid on May 26, 1995 to stockholders of record May 12, 1995.
PART I. FINANCIAL INFORMATION
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Chittenden Corporation completed the acquisition of The Bank of Western
Massachusetts on March 17, 1995. A total of $12 million in cash and 627,525
shares of stock were paid in the transaction, which is being accounted for as a
purchase. Because the transaction closed late in the period, there was very
little impact on consolidated net income for the quarter. All balance sheet
information reflects the consolidation of the acquired bank, which had $231
million in assets at March 31, 1995.
Chittenden Corporation's net income for the first quarter of 1995 was $4.6
million compared with $3.4 million a year ago. Net income per share of common
stock was $0.75 for the first three months of 1995, up from $0.53 reported a
year ago. Return on average assets was 1.46% for the first three months of 1995
compared with 1.15% last year. Return on average equity was 17.89% for the
first three months of 1995 compared with 13.85% for the same period in 1994.
Net interest income on a fully taxable equivalent basis was $14.9 million,
up $2.4 million from the amount earned during the first quarter of 1994.
Contributing to this increase were both a higher net yield on earning assets, up
47 basis points from a year ago to 5.00%, and higher average earning assets, up
$89.9 million from a year ago.
Provisions for and activity in the allowance for possible loan losses are
summarized as follows:
First Quarter
Ended March 31
------------------------
1995 1994
------------------------
(In Thousands)
Beginning Allowance for Possible
Loan Losses Balance $19,099 $18,917
Allowance of Bank Acquired
March 17, 1995 4,135 -
Provision for Possible Loan
Losses 950 1,200
Loans Charged Off (1,053) (1,356)
Loan Recoveries 271 224
Ending Allowance for Possible
Loan Losses Balance $23,402 $18,985
Noninterest income amounted to $6.5 million for the first quarter of 1995,
up 14.4% from a year ago. Credit card income increased by $845,000, or 49.3%,
reflecting continued growth in cardholder and merchant areas. Other income was
up $203,000 for first quarter 1995, due primarily to the gain of $212,000 in the
sale of a bank property. Service charges on deposit accounts were up $167,000
from a year earlier, to $1.2 million. Trust Department revenue of $1.1 million
increased 7.6% from a year ago. Mortgage servicing income decreased $18,000,
reflecting amortization of purchased mortgage servicing rights in 1995. Gains
on sales of mortgage loans were $412,000 lower than 1994 first quarter,
reflecting a lower volume of mortgage sales due to primarily decreased levels of
refinancing activity. Chittenden continues to sell most of its fixed rate
residential mortgage production on the secondary market.
For the first quarter of 1995 noninterest expenses were $13.3 million, up
13.5% from last year. Credit card expenses increased by 60.9%, or $663,000, due
to the higher volumes described above. Salary expenses were up 5.1%; and
employee benefits increased by 7.2%, reflecting higher medical insurance
expenses and incentive compensation accruals related to Company performance.
Occupancy expense was up 8.9%. Expenses connected with maintaining properties<PAGE>
acquired by foreclosure reflected a net credit of $137,000, due to the recovery
of previously incurred expenses.
CREDIT QUALITY
Nonperforming assets include nonaccrual loans, restructured debt, and
foreclosed real estate (Other Real Estate Owned). As of March 31, 1995,
nonperforming assets totaled $15.1 million, down $275,000 from the level one
year earlier and up $5.7 million from the level reported at December 31, 1994.
The allowance for loan losses was $23.4 million at March 31, 1995, up from
$19.1 million at year-end 1993 and $19.0 million at March 31, 1994. At March
31, 1995, the allowance measured 2.28% of loans, compared with 2.19% at year-end
1994, 2.32% at March 31, 1994. The increase in the loan allowance and
nonperforming assets were primarily due to the effect of the acquisition.
A summary of credit quality follows:
03/31/95 12/31/94 03/31/94
------------------------------
(In Thousands)
Nonaccrual Loans $12,755 $ 7,934 $13,571
Restructured Debt 190 185 190
Other Real Estate
Owned (OREO) 2,183 1,288 1,642
Total Nonperforming
Assets (NPA) $15,128 $ 9,407 $15,403
Loans Past Due 90 Days or
More and Still Accruing
Interest $ 3,733 $ 1,132 $ 1,022
Allowance for Possible
Loan Losses 23,402 19,099 18,985
NPA as % of Loans
Plus OREO 1.47% 1.08% 1.88%
Loss Allowance as %
of Loans 2.28 2.19 2.32
Loss Allowance as %
of Nonperforming Loans 180.63 235.24 137.96
Loss Allowance as %
of NPA 154.69 203.02 123.26
As of January 1, 1995, the Company adopted Statement of Financial Accounting
Standards No. 114, Accounting by Creditors for Impairment of a Loan, as amended
by SFAS No. 118. Please refer to NOTE 2 to the Consolidated Financial
Statements appearing elsewhere in this document.
CAPITAL
Common stockholders' equity totaled $119.0 million at March 31, 1995, up
from $98.3 million at year-end 1994. The increase reflects the impact of
issuing 627,525 shares of common stock, with a value of $14.3 million, in
connection with the acquisition of The Bank of Western Massachusetts. The
increase from year-end also reflects first quarter net income of $4.6 million,
the improvement of $2.4 million in the valuation allowance for net unrealized
losses investment securities available for sale, and dividends paid to
stockholders of $770,000.
"Tier One" capital, consisting entirely of common equity, measured 10.11% of
risk-weighted assets at March 31, 1995. Total capital, including the "Tier Two"
allowance for loan losses, stood at 11.47% of risk-weighted assets. The
leverage capital ratio was 7.41%. These ratios placed Chittenden in the "well-<PAGE>
capitalized" category according to regulatory standards.
LIQUIDITY
The Company's liquidity and rate sensitivity are monitored by the Bank's
asset and liability committee. This committee meets regularly to review and
direct the Bank's lending and investment activities, as well as its deposit-
gathering functions.
The measure of an institution's liquidity is its ability to meet its cash
commitments at all times with available cash or by conversion of other assets to
cash at a reasonable price. At March 31, 1995, the Company maintained cash
balances and short-term investments of approximately $108.9 million, compared
with $101.0 million at December 31, 1994. During the first three months of
1995, the Company continued to be an average daily net seller of Federal Funds.<PAGE>
PART 11 - OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K
a. Exhibits
Exhibit 27. Financial Data Schedule
b. Reports on Form 8-K
Press release related to the completion of the acquisition of The Bank
of Western Massachusetts filed via Edgar on March 17, 1995.
<PAGE>
CHITTENDEN CORPORATION
SIGNATURES
Pursuant to the requirement of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
CHITTENDEN CORPORATION
Registrant
May 11, 1995 S/PAUL A. PERRAULT
Date Paul A. Perrault, President
and Chief Executive Officer
May 11, 1995 S/NANCY ROWDEN BROCK
Date Nancy Rowden Brock
Treasurer
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<ALLOWANCE-CLOSE> 23402
<ALLOWANCE-DOMESTIC> 23402
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
