<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 11-K
[x] ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934 [NO FEE REQUIRED]
For the fiscal year end December 31, 1996
-----------------
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT
OF 1934 [NO FEE REQUIRED]
For the transition period from to
------------------- --------------------
Commission file Number 0-10535
-----------
A. Full title of the plan and the address of the plan, if different from
that of the issuer named below:
CITIZENS BANKING CORPORATION
AMENDED AND RESTATED SECTION
401(k) PLAN
B. Name of issuer of the securities held pursuant to the plan and the
address of its principal executive office:
CITIZENS BANKING CORPORATION
One Citizens Banking Center
328 South Saginaw Street
Flint, Michigan 48502
SIGNATURES
The Plan. Pursuant to the requirements of the Securities Exchange Act of 1934,
the trustees (or other persons who administer the employee benefit plan) have
duly caused this annual report to be signed on its behalf by the undersigned
hereunto duly authorized.
Date April 9, 1997 /s/ Gary P. Drainville
-------------------- ------------------------
Gary P. Drainville
Chairman, Pension/401(k)
Administration Committee
/s/ Kurt A. Schulze
-----------------------
Kurt A. Schulze
Secretary, Pension/401(k)
Administration Committee
<PAGE> 2
Exhibit EXHIBIT INDEX Form 11-K
No. Exhibit Page No.
- ------- ---------------------------------------------------- ----------
13 Citizens Banking Corporation (1)
Amended and Restated Section
401(k) Plan 1996 Annual Report
23 Consents of Independent Accountants (1)
(1) Exhibit included on the following pages of this Annual Report on Form 11K
filing.
2
<PAGE> 1
FORM 11K
EXHIBIT 13
[ERNST & YOUNG LLP LETTERHEAD]
Financial Statements
and Other Financial Information
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Years ended December 31, 1996, 1995 and 1994
with Report of Independent Auditors
<PAGE> 2
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Financial Statements
and Other Financial Information
December 31, 1996
CONTENTS
Report of Independent Auditors .............................. 1
Financial Statements and Schedule
Statement of Assets Available for Plan Benefits ............. 3
Statement of Changes in Assets Available for Plan Benefits .. 5
Notes to Financial Statements ............................... 8
Other Financial Information
Schedule of Assets Held for Investment ...................... 14
Schedule of Reportable Transactions ......................... 17
<PAGE> 3
Report of Independent Auditors
Administrative Committee
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
We have audited the accompanying statements of assets available for plan
benefits of the Citizens Banking Corporation Amended and Restated Section
401(k) Plan as of December 31, 1996 and 1995, and the related statements of
changes in assets available for plan benefits for each of the three years in
the period ended December 31, 1996 and the related schedule of assets held for
investment for the year ended December 31, 1996. These financial statements
and schedule are the responsibility of the Plan's management. Our
responsibility is to express an opinion on these financial statements based on
our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, the financial statements and schedule referred to above present
fairly, in all material respects, the assets available for plan benefits of the
Plan at December 31, 1996 and 1995, and the changes in its assets available for
plan benefits for each of the three years in the period ended December 31,
1996, in conformity with generally accepted accounting principles. Further, it
is our opinion that the schedule referred to above presents fairly, in all
material respects, the information set forth therein for the year ended
December 31, 1996 in compliance with the applicable accounting regulations of
the Securities and Exchange Commission.
1
<PAGE> 4
Our audits were made for the purpose of forming an opinion on the financial
statements taken as a whole. The accompanying supplemental Schedule of
Reportable Transactions for the year ended December 31, 1996 is presented for
purposes of complying with the Department of Labor's Rules and Regulations for
Reporting and Disclosure under the Employee Retirement Income Security Act of
1974, and is not a required part of the financial statements. The supplemental
schedule has been subjected to the auditing procedures applied in our audit of
the 1996 financial statements and, in our opinion, is fairly stated in all
material respects in relation to the 1996 financial statements taken as a
whole.
/s/ Ernst & Young
March 21, 1997
2
<PAGE> 5
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Statement of Assets Available for Plan Benefits
December 31, 1996
<TABLE>
<CAPTION>
401(k) PARTICIPANT - DIRECTED INVESTMENT FUNDS
-----------------------------------------------------------------
CITIZENS
INTERMEDIATE BANKING MONEY
INCOME EQUITY CORPORATION BALANCED MARKET PARTICIPANT
FUND FUND STOCK FUND FUND LOAN FUND TOTAL
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
ASSETS
Investments at fair value (cost--
$53,386,080):
Marketable:
Common stocks:
Citizens Banking Corporation $33,607,885 $ 186,638 $33,794,523
Mutual funds $7,326,545 $16,346,630 15,105,760 38,778,935
Money market account 365,035 100,009 171,595 1,189,212 1,295,617 3,121,468
-------------------------------------------------------------------------------------------
Total investments 7,691,580 16,446,639 33,779,480 16,481,610 1,295,617 75,694,926
Receivables:
Loans to participants $3,491,573 3,491,573
Accrued income 35,986 154,444 622 291,887 5,617 488,556
-------------------------------------------------------------------------------------------
35,986 154,444 622 291,887 5,617 3,491,573 3,980,129
Cash 7,761 18,881 31,876 7,274 1,867 67,659
-------------------------------------------------------------------------------------------
Assets available for plan benefits $7,735,327 $16,619,964 $33,811,978 $16,780,771 $1,303,101 $3,491,573 $79,742,714
===========================================================================================
</TABLE>
See accompanying notes.
3
<PAGE> 6
Citizens Banking Corporation Amended
and Restated Section 409(k) Plan
Statement of Assets Available for Plan Benefits
December 31, 1995
<TABLE>
<CAPTION>
401(k) PARTICIPANT - DIRECTED INVESTMENT FUNDS
----------------------------------------------------------------
CITIZENS
INTERMEDIATE BANKING MONEY
INCOME EQUITY CORPORATION BALANCED MARKET PARTICIPANT
FUND FUND STOCK FUND FUND LOAN FUND TOTAL
--------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
ASSETS
Investments at fair value (cost--
$49,340,204):
Marketable:
Common stocks:
Citizens Banking Corporation $30,038,813 $ 1,481,550 $31,520,363
Mutual funds $7,108,817 $12,880,201 13,827,847 33,816,865
U.S. Government securities 911,250 51,378 962,628
Corporate bonds and notes 38,508 38,508
Money market account 210,013 58,765 134,285 1,454,869 $472,788 2,330,720
--------------------------------------------------------------------------------------------
Total investments 8,230,080 12,938,966 30,173,098 16,854,152 472,788 68,669,084
Receivables:
Loans to participants $3,344,257 3,344,257
Accrued income 54,601 64,425 312 250,315 2,155 371,808
--------------------------------------------------------------------------------------------
54,601 64,425 312 250,315 2,155 3,344,257 3,716,065
Cash 9,346 16,949 45,558 8,202 1,395 81,450
--------------------------------------------------------------------------------------------
Assets available for plan benefits $8,294,027 $13,020,340 $30,218,968 $17,112,669 $476,338 $3,344,257 $72,466,599
============================================================================================
</TABLE>
See accompanying notes.
4
<PAGE> 7
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Statement of Changes in Assets Available for Plan Benefits
Year ended December 31, 1996
<TABLE>
<CAPTION>
401(k) PARTICIPANT - DIRECTED INVESTMENT FUNDS
----------------------------------------------------------------------
CITIZENS
INTERMEDIATE BANKING MONEY
INCOME EQUITY CORPORATION BALANCED MARKET PARTICIPANT
FUND FUND STOCK FUND FUND LOAN FUND TOTAL
---------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
ADDITIONS
Investment income:
Dividends:
Citizens Banking Corporation $ 1,034,439 $ 42,400 $ 1,076,839
Other $ 407,751 $ 1,655,200 791,681 2,854,632
Interest income 45,817 6,532 8,098 28,068 $ 38,384 $ 312,530 439,429
---------------------------------------------------------------------------------------------------
Total investment income 453,568 1,661,732 1,042,537 862,149 38,384 312,530 4,370,900
Contributions:
Employer 217,502 480,314 860,841 193,353 31,661 1,783,671
Employee 427,806 904,531 1,612,177 358,535 53,291 3,356,340
---------------------------------------------------------------------------------------------------
645,308 1,384,845 2,473,018 551,888 84,952 5,140,011
1,098,876 3,046,577 3,515,555 1,414,037 123,336 312,530 9,510,911
DEDUCTIONS
Benefit payments to participants (736,023) (1,185,012) (1,960,209) (2,295,048) (58,285) (6,234,577)
Transfers (net) (733,539) 479,708 191,327 (533,994) 761,712 (165,214) -
---------------------------------------------------------------------------------------------------
(1,469,562) (705,304) (1,768,882) (2,829,042) 703,427 (165,214) (6,234,577)
Net realized and unrealized
appreciation (depreciation) in
fair value of investments:
Realized (51,407) 45,286 (137,242) 1,163,177 - 1,019,814
Unrealized (136,607) 1,213,065 1,983,579 (80,070) - 2,979,967
---------------------------------------------------------------------------------------------------
(188,014) 1,258,351 1,846,337 1,083,107 3,999,781
---------------------------------------------------------------------------------------------------
Net increase (558,700) 3,599,624 3,593,010 (331,898) 826,763 147,316 7,276,115
Assets available for plan
benefits at beginning of year 8,294,027 13,020,340 30,218,968 17,112,669 476,338 3,344,257 72,466,599
---------------------------------------------------------------------------------------------------
Assets available for plan
benefits at end of year $ 7,735,327 $16,619,964 $33,811,978 $16,780,771 $1,303,101 $3,491,573 $79,742,714
===================================================================================================
</TABLE>
See accompanying notes.
5
<PAGE> 8
Citizens Banking Corporation Amended
and Restated Section 409(k) Plan
Statement of Changes in Assets Available for Plan Benefits
Year ended December 31, 1995
<TABLE>
<CAPTION>
401(k) PARTICIPANT - DIRECTED INVESTMENT FUNDS
--------------------------------------------------------------------
CITIZENS
INTERMEDIATE BANKING MONEY
INCOME EQUITY CORPORATION BALANCED MARKET PARTICIPANT
FUND FUND STOCK FUND FUND LOAN FUND TOTAL
----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
ADDITIONS
Investment income:
Dividends:
Citizens Banking Corporation $ 862,527 $ 44,820 $ 907,347
Other $ 344,448 $ 1,023,703 931,796 2,299,947
Interest income 122,597 6,004 9,779 40,373 $ 17,856 $ 277,975 474,584
----------------------------------------------------------------------------------------------
Total investment income 467,045 1,029,707 872,306 1,016,989 17,856 277,975 3,681,878
Contributions:
Employer 258,391 438,912 829,509 187,379 31,335 1,745,526
Employee 435,127 828,556 1,679,571 425,983 64,759 43,260 3,477,256
----------------------------------------------------------------------------------------------
693,518 1,267,468 2,509,080 613,362 96,094 43,260 5,222,782
----------------------------------------------------------------------------------------------
1,160,563 2,291,175 3,381,386 1,630,351 113,950 321,235 8,904,660
DEDUCTIONS
Benefit payments to participants (566,942) (731,615) (1,541,002) (978,682) (67,543) (3,885,784)
Transfers (net) (373,458) 524,924 480,169 (563,521) 194,481 (262,595) -
----------------------------------------------------------------------------------------------
220,163 2,090,484 2,320,553 88,148 240,888 58,640 5,018,876
Net realized and unrealized
appreciation (depreciation) in
fair value of investments:
Realized (5,094) 163 (19,539) 825,568 801,098
Unrealized 442,292 1,860,212 1,946,681 963,906 5,213,091
----------------------------------------------------------------------------------------------
437,198 1,860,375 1,927,142 1,789,474 6,014,189
----------------------------------------------------------------------------------------------
Net increase 657,361 3,950,859 4,247,695 1,877,622 240,888 58,640 11,033,065
Assets available for plan
benefits at beginning of year 7,636,666 9,069,481 25,971,273 15,235,047 235,450 3,285,617 61,433,534
----------------------------------------------------------------------------------------------
Assets available for plan
benefits at end of year $8,294,027 $13,020,340 $30,218,968 $17,112,669 $476,338 $3,344,257 $72,466,599
==============================================================================================
</TABLE>
See accompanying notes.
6
<PAGE> 9
Citizens Banking Corporation Amended
and Restated Section 409(k) Plan
Statement of Changes in Assets Available for Plan Benefits
Year ended December 31, 1994
<TABLE>
<CAPTION>
401(k) PARTICIPANT - DIRECTED INVESTMENT FUNDS
-----------------------------------------------------------------
CITIZENS
INTERMEDIATE BANKING MONEY
INCOME EQUITY CORPORATION BALANCED MARKET PARTICIPANT
FUND FUND STOCK FUND FUND LOAN FUND TOTAL
--------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
ADDITIONS
Investment income:
Dividends:
Citizens Banking Corporation $ 732,805 $ 40,836 $ 773,641
Other $ 172,499 $ 514,282 567,159 1,253,940
Interest income 275,943 4,696 6,412 47,838 $ 5,330 $ 257,685 597,904
--------------------------------------------------------------------------------------------
Total investment income 448,442 518,978 739,217 655,833 5,330 257,685 2,625,485
Contributions:
Employer 287,921 361,659 644,404 150,437 8,226 1,452,647
Employee 469,480 690,692 1,212,503 310,799 16,408 2,699,882
--------------------------------------------------------------------------------------------
757,401 1,052,351 1,856,907 461,236 24,634 4,152,529
--------------------------------------------------------------------------------------------
1,205,843 1,571,329 2,596,124 1,117,069 29,964 257,685 6,778,014
DEDUCTIONS
Benefit payments to participants (1,196,578) (593,605) (2,047,184) (1,854,565) (733) (24,901) (5,717,566)
Other (128,102) (128,102)
Transfers (net) (557,316) 224,284 591,424 (510,535) 153,521 98,622 -
--------------------------------------------------------------------------------------------
(548,051) 1,202,008 1,140,364 (1,248,031) 182,752 203,304 932,346
Net realized and unrealized
appreciation (depreciation) in
fair value of investments:
Realized 12,834 (115,797) 305,838 202,875
Unrealized (288,458) (427,383) 2,566,954 (881,146) 969,967
--------------------------------------------------------------------------------------------
(288,458) (414,549) 2,451,157 (575,308) 1,172,842
--------------------------------------------------------------------------------------------
Net increase (836,509) 787,459 3,591,521 (1,823,339) 182,752 203,304 2,105,188
Assets available for plan
benefits at beginning of year 8,473,175 8,282,022 22,379,752 17,058,386 52,698 3,082,313 59,328,346
--------------------------------------------------------------------------------------------
Assets available for plan
benefits at end of year $ 7,636,666 $9,069,481 $25,971,273 $15,235,047 $235,450 $3,285,617 $61,433,534
============================================================================================
</TABLE>
See accompanying notes.
7
<PAGE> 10
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Notes to Financial Statements
December 31, 1996
1. SIGNIFICANT ACCOUNTING POLICIES
VALUATION OF INVESTMENTS
Marketable investments are stated at aggregate fair value. Securities traded
on a national securities exchange are valued at the last reported sales price
on the last business day of the Plan year. Investments traded in the
over-the-counter market and listed securities for which no sale was reported on
that date are valued at the average of the last reported bid and ask prices.
Loans to participants represent qualifying interest-bearing loans from
individual accounts that are valued at the amount of outstanding principal.
Unrealized appreciation or depreciation in the aggregate fair value of
investments represents the change in the difference between aggregate fair
value and the cost of investments. The realized gain or loss on sale of
investments is the difference between the proceeds received and the specific
cost of investments sold. Such amounts are different than the related amounts
reported on Form 5500 which are computed as the difference between the proceeds
received and the fair value at the beginning of the year as prescribed by the
Department of Labor regulations.
USE OF ESTIMATES
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions
that affect the amounts reported in the financial statements and accompanying
notes. Actual results could differ from those estimates.
8
<PAGE> 11
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Notes to Financial Statements (continued)
2. DESCRIPTION OF THE PLAN
The Citizens Banking Corporation Amended and Restated Section 401(k) Plan
(Plan) is a defined contribution plan which includes a 401(k) salary deferral
feature. The Plan covers substantially all employees of Citizens Banking
Corporation (Corporation) and its banking subsidiaries including salaried
employees and hourly employees with over 1,000 hours of credited service. At
December 31, 1996 there were 1,570 participants in the Plan. Participants may
contribute on a before-tax basis up to 15% of their annual base compensation
(not to exceed $9,500 for 1996) and on an after-tax basis up to 10% of their
base compensation. Participants may direct their contributions into either an
intermediate income, equity, balanced, money market or Citizens Banking
Corporation stock fund and may elect to change the percentage directed to each
fund quarterly. All participant contributions are fully vested.
Under the Plan, the participating subsidiaries can also make employer matching
contributions of 100% on the first 3% and 50% on the next 3% of a participant's
base compensation (excluding bonuses, overtime and fringe benefits actually
paid for the year) such that the maximum employer matching contributions for
any such participant will be 4.5% of a participant's base compensation. In
addition, a retiree medical savings account was established for each
participant. One third of the employer matching contribution is automatically
directed into this account. Employees may not borrow against any monies
residing in the account. These matching contributions are fully vested after
three years of service or upon normal or early retirement, death or disability.
All administrative costs of the plan are paid by the Corporation.
The Corporation has the right under the Plan to discontinue such annual
contributions. Citizens Banking Corporation has the right to terminate the
Plan at any time. In the event of a termination of the Plan, the net assets of
the Plan are to be set aside for the payment of vested benefits.
9
<PAGE> 12
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Notes to Financial Statements (continued)
3. INVESTMENTS
The Plan's investments are administered by the Citizens Bank Trust Department.
During each of the three years in the period ended December 31, 1995, the
Plan's investments (including investment bought, sold as well as held during
the year) appreciated (depreciated) in fair value by $3,999,781, $6,014,189,
and $1,172,842, as follows:
<TABLE>
<CAPTION>
NET APPRECIATION
(DEPRECIATION) FAIR VALUE
IN FAIR VALUE AT END COST AT END
DURING YEAR OF YEAR OF YEAR
---------------- ----------- -----------
<S> <C> <C> <C>
YEAR ENDED DECEMBER 31, 1996
Fair value as determined by quoted
market price:
Common stocks:
Domestic:
Citizens Banking Corporation $1,835,646 $33,794,523 $16,240,448
Mutual funds 2,170,005 38,778,935 34,024,164
U.S. Government securities (5,870) - -
Money market account - 3,121,468 3,121,468
-------------------------------------
$3,999,781 $75,694,926 $53,386,080
=====================================
YEAR ENDED DECEMBER 31, 1995
Fair value as determined by quoted
market price:
Common stocks:
Domestic:
Citizens Banking Corporation $2,026,742 $31,520,363 $14,899,489
Other 649,235
Mutual funds 3,304,475 33,816,866 31,065,247
U.S. Government securities 29,690 962,627 1,006,240
Corporate bonds and notes 4,047 38,508 38,508
Money market account - 2,330,720 2,330,720
-------------------------------------
$6,014,189 $68,669,084 $49,340,204
=====================================
</TABLE>
10
<PAGE> 13
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Notes to Financial Statements (continued)
3. INVESTMENTS (CONTINUED)
<TABLE>
<CAPTION>
NET APPRECIATION
(DEPRECIATION) FAIR VALUE
IN FAIR VALUE AT END COST AT END
DURING YEAR OF YEAR OF YEAR
------------- -------------- -----------
<S> <C> <C> <C>
YEAR ENDED DECEMBER 31, 1994
Fair value as determined by quoted
market price:
Common stocks:
Domestic:
Citizens Banking Corporation $2,588,106 $27,223,943 $12,649,351
Other (166,422) 2,143,260 2,174,102
Foreign 275 85,268 84,993
Mutual funds (1,145,864) 23,693,140 24,038,114
U.S. Government securities (89,897) 1,961,519 2,041,609
Corporate bonds and notes (13,356) 550,714 553,886
Money market account - 2,156,566 2,158,566
Commercial paper - 50,000 50,000
------------------------------------------------------------
$1,172,842 $57,866,410 $43,750,621
============================================================
</TABLE>
<TABLE>
<CAPTION>
YEAR ENDED DECEMBER 31
------------------------------------------------
1996 1995 1994
------------------------------------------------
<S> <C> <C> <C>
Realized gain:
Proceeds on disposition $23,113,326 $30,489,733 $38,837,787
Cost 22,093,512 29,688,635 38,634,912
------------------------------------------------
1,019,814 801,098 202,875
Unrealized gain 2,979,967 5,213,091 969,967
------------------------------------------------
$ 3,999,781 $6,014,189 $1,172,842
================================================
</TABLE>
11
<PAGE> 14
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Notes to Financial Statements (continued)
3. INVESTMENTS (CONTINUED)
The fair value of individual investments that represent 5% or more of the
plan's assets are as follows:
<TABLE>
<CAPTION>
DECEMBER 31
1996 1995
----------- -----------
<S> <C> <C>
Citizens Banking Corporation, 1,072,842 and
1,059,508 shares of common stock in 1996 and
1995, respectively $33,794,523 $31,520,363
Frank Russell Quantitative Equity 4,734,967 3,731,203
Frank Russell Diversified Equity 4,733,032 3,721,086
Golden Oak FDS Intermediate Income Fund 13,123,579 12,622,801
Harbor International Fund 5,946,590 5,363,484
</TABLE>
Citizens Bank serves as the investment advisor to the Golden Oak series of
mutual funds. The mutual fund portfolios were established pursuant to the
provisions of the Investment Company Act of 1940. Investments within these
portfolios were made in accordance with the applicable Department of Labor
rules and regulations concerning the investment of qualified plan assets into
mutual funds wherein the investment advisor to the portfolio is a
party-in-interest with respect to the plan.
4. INCOME TAX STATUS
The Internal Revenue Service ruled August 2, 1995 that the Plan qualifies under
Section 401(a) of the Internal Revenue Code (IRC) and, therefore, the related
trust is not subject to tax under present income tax law. Once qualified, the
Plan is required to operate in conformity with the IRC to maintain its
qualification. The Administrative Committee is not aware of any course of
action or series of events that have occurred that might adversely affect the
Plan's qualified status.
12
<PAGE> 15
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Notes to Financial Statements (continued)
5. BENEFIT PAYABLE
Assets available for plan benefits include amounts allocated for approved
distributions. Such balances amounted to $2,116,700 and $1,830,003 at December
31, 1996 and 1995, respectively. The accompanying statement of assets
available for plan benefits as of December 31, 1996 and 1995 has been restated
to eliminate the liability for such distribution. Previously, such account
balances were shown as liabilities of the Plan. Such amounts are shown as a
liability on the Plan's Form 5500.
13
<PAGE> 16
OTHER FINANCIAL INFORMATION
<PAGE> 17
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Schedule of Assets Held for Investment
December 31, 1996
<TABLE>
<CAPTION>
DESCRIPTION OF INVESTMENT INCLUDING
IDENTITY OF ISSUE, BORROWER, MATURITY DATE, RATE OF INTEREST, FAIR
LESSOR OR SIMILAR PARTY COLLATERAL, PAR OR MATURITY VALUE COST VALUE
- ---------------------------------------- ----------------------------------- ----------- -----------
<S> <C> <C> <C>
MARKETABLE
Common stocks:
Citizen Banking Corp;* 1,072,842 shares $16,240,448 $33,794,523
------------------------
Total common stock (44.7% of net assets) 16,240,448 33,794,523
Mutual Funds:
Golden Oak Diversified Growth Funds* 120,988.06 units 1,217,437 1,457,906
Golden Oak Intermediate Income Fund* 1,332,343.05 units 13,257,723 13,123,579
Columbia Special Fund Income 18,928.54 units 408,798 375,732
Harbor International Fund 184,676.71 units 4,044,063 5,946,590
Harbor Capital Appreciation Fund 55,239.63 units 1,277,000 1,454,459
Heartland Value Fund 41,344.78 units 1,196,080 1,308,562
MAS Funds Value Portfolio 88,713.42 units 1,256,868 1,445,142
Frank Russell Quantitative Fund 143,266.79 units 3,758,530 4,734,967
Frank Russell Diversified Fund 114,186.54 units 4,081,793 4,733,032
Frank Russell Special Growth Fund 68,924.76 units 2,314,423 2,811,441
Scudder Investment Trust Growth & Income 59,729.87 units 1,211,449 1,387,525
------------------------
Total Mutual Funds (51.2% of net assets) 34,024,164 38,778,935
</TABLE>
14
<PAGE> 18
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Schedule of Assets Held for Investment (Continued)
December 31, 1996
<TABLE>
<CAPTION>
DESCRIPTION OF INVESTMENT INCLUDING
IDENTITY OF ISSUE, BORROWER, MATURITY DATE, RATE OF INTEREST, FAIR
LESSOR OR SIMILAR PARTY COLLATERAL, PAR OR MATURITY VALUE COST VALUE
- ---------------------------------------- ----------------------------------- ----------- -----------
<S> <C> <C> <C>
MARKETABLE (CONTINUED)
Money Market Accounts:
Golden Oak Prime Obligation Class A
(4.1% of net assets) $3,121,468 principal amount $ 3,121,468 $ 3,121,468
------------------------
Total investments $53,386,080 $75,694,926
========================
</TABLE>
*Party-in-interest to the Plan.
See accompanying notes.
15
<PAGE> 19
Citizens Banking Corporation Amended
and Restated Section 401(k) Plan
Schedule of Reportable Transactions
Year ended December 31, 1996
<TABLE>
<CAPTION>
EXPENSE
DESCRIPTION OF ASSET (INCLUDING INCURRED
INTEREST RATE AND MATURITY IN PURCHASE SELLING LEASE WITH COST OF
IDENTITY OF PARTY INVOLVED CASE OF A LOAN) PRICE PRICE RENTAL TRANSACTION ASSET
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Category iii) A series of
transactions with respect
to the same issue which
amount in the aggregate to
more than 5% of the current
value of total plan assets:
Citizens Banking Corporation 109 purchases, 164,634.85
shares purchased $ 4,867,438 -- -- $ 4,867,438
76 sales, 110,521.85 shares sold $ 3,242,044 -- -- 2,283,088
Golden Oak FDS Prime
Obligation Money 491 purchases, 15,161,679 units
Market--Class A purchased 15,161,679 -- -- 15,161,679
189 sales, 14,370,931 units sold 14,370,931 -- -- 14,370,931
<CAPTION>
CURRENT
VALUE OF
ASSET OF NET
TRANSACTION GAIN
IDENTITY OF PARTY INVOLVED DATE (LOSS)
- ----------------------------------------------------------------------------------
<S> <C> <C>
Category iii) A series of
transactions with respect
to the same issue which
amount in the aggregate to
more than 5% of the current
value of total plan assets:
Citizens Banking Corporation
$ 4,867,438
3,242,044 $958,956
Golden Oak FDS Prime
Obligation Money
Market--Class A 15,161,679
14,370,931
</TABLE>
Commissions and fees related to purchase and sales of investments are included
in the cost of the investment or proceeds from the sale.
There were no transactions reportable under categories i), ii) or iv).
16
<PAGE> 1
FORM 11-K
EXHIBIT 23
CONSENTS OF INDEPENDENT ACCOUNTANTS
We consent to the incorporation by reference in the Registration Statements
(Form S-8 No. 33-28354 dated April 26, 1989 and Form S-8 No. 333-09455 dated
August 2, 1996) pertaining to the Citizens Banking Corporation Amended and
Restated Section 401(k) Plan and in the related Prospectus of our report dated
March 21, 1997, with respect to the financial statements and schedules of the
Citizens Banking Corporation Amended and Restated Section 401(k) Plan included
in this annual report (Form 11-K) for the year ended December 31, 1996.
/s/ Ernst & Young
Detroit, Michigan
April 9, 1997
