<PAGE>
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
(Mark One)
[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 1999
------------------
OR
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Commission File Number: 0-16181
-------
ABC BANCORP
------------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
GEORGIA 58-1456434
------------------------------- -------------------
(State of incorporation) (IRS Employer ID No.)
310 FIRST STREET, SE MOULTRIE, GA 31768
------------------------------------------
(Address of principal executive offices)
(912) 890-1111
---------------------------
(Registrant's telephone number)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes X No_____
---
There were 7,269,945 shares of Common Stock outstanding as of September 30,
1999.
1
<PAGE>
ABC BANCORP
QUARTERLY REPORT ON FORM 10-Q
FOR THE QUARTER ENDED SEPTEMBER 30, 1999
TABLE OF CONTENTS
PART I - FINANCIAL INFORMATION
Item Page
- ----- ----
1. Financial Statements
Consolidated Balance Sheets 3
Consolidated Statements of Income
& Comprehensive Income 4
Consolidated Statements of Cash Flows 6
Notes to Consolidated Financial Statements 7
2. Management's Discussion and Analysis of Financial
Condition and Results of Operations 8
3. Quantitative and Qualitative Disclosures about
Market Risk 15
PART II - OTHER INFORMATION
4. Submission of Matters to a Vote of
Securities Holders 16
6. Exhibits and Reports on Form 8-K 16
Signature 17
2
<PAGE>
ABC BANCORP AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Dollars in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------------------------------------------
Sept 30 Dec 31
1999 1998
---------------- ----------------
<S> <C> <C>
Assets
- ------
Cash and due from banks $ 46,160 $ 56,475
Securities available for sale, at fair value 132,756 135,933
Securities held to maturity, at cost 15,606 18,613
Loans 524,220 477,194
Less allowance for loan losses 9,889 10,192
---------------- ----------------
Loans, net 514,331 467,002
---------------- ----------------
Premises and equipment, net 19,340 19,088
Other assets 23,157 27,835
---------------- ----------------
$ 751,350 $ 724,946
================ ================
Liabilities and Stockholders' Equity
- ------------------------------------
Deposits
Noninterest-bearing demand $ 86,106 $ 99,957
Interest-bearing demand 130,984 132,527
Savings 57,947 59,719
Time, $100,000 and over 89,575 93,381
Other time 243,581 247,741
---------------- ----------------
Total deposits 608,193 633,325
Federal funds purchased & securities sold under
repurchase agreements 11,763 883
Other borrowings 50,368 11,850
Other liabilities 6,203 7,054
---------------- ----------------
Total liabilities 676,527 653,112
---------------- ----------------
Stockholders' equity
- --------------------
Common stock, par value $1; 15,000,000 shares authorized
7,582,298 and 7,524,718 shares issued 7,582 7,525
Surplus 30,371 29,677
Retained earnings 40,508 36,280
Accumulated other comprehensive income (963) 322
Unearned Comp-Grants (617) 0
---------------- ----------------
76,881 73,804
Less cost of shares acquired for the treasury, 312,353
and 305,153 shares (2,058) (1,970)
---------------- ----------------
Total stockholders' equity 74,823 71,834
---------------- ----------------
$ 751,350 $ 724,946
================ ================
</TABLE>
See Notes to Consolidated Financial Statements.
3
<PAGE>
ABC BANCORP AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
THREE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
(Dollars in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------
1999 1998
------------ ------------
<S> <C> <C>
Interest income
Interest and fees on loans $ 12,877 $ 13,247
Interest on taxable securities 1,853 1,412
Interest on nontaxable securities 272 300
Interest on deposits in other banks 155 301
Interest on Federal funds sold - 8
------------ ------------
15,157 15,268
------------ ------------
Interest expense
Interest on deposits 5,519 6,484
Interest on securities sold under repurchase
agreements and other borrowings 631 267
------------ ------------
6,150 6,751
------------ ------------
Net interest income 9,007 8,517
Provision for loan losses 554 819
------------ ------------
Net interest income after provision for loans losses 8,453 7,698
------------ ------------
Other income
Service charges on deposit accounts 1,405 1,397
Other service charges, commissions and fees 440 547
Other (25) 24
Loss on sale of securities (44) -
------------ ------------
1,776 1,968
------------ ------------
Other expense
Salaries and employee benefits 3,942 3,996
Equipment expense 539 641
Occupancy expense 475 500
Amortization of intangible assets 214 257
Data processing fees 168 333
Directors fees 165 190
FDIC premiums 61 61
Other operating expenses 1,458 1,396
------------ ------------
7,022 7,374
------------ ------------
Income before income taxes 3,207 2,292
Applicable income taxes 1,065 790
------------ ------------
Net income $ 2,142 $ 1,502
------------ ------------
Other comprehensive income, net of tax:
Unrealized holding gains (losses) arising during period, net of tax $ (280) $ 228
Reclassification adjustment for losses
included in net income, net of tax 29 $ -
------------ ------------
Comprehensive income $ 1,891 $ 1,730
============ ============
Income per common share-Basic $ 0.30 $ 0.21
============ ============
Income per common share-Diluted $ 0.29 $ 0.21
============ ============
Average shares outstanding 7,255,132 7,252,365
============ ============
</TABLE>
See Notes to Consolidated Financial Statements.
4
<PAGE>
ABC BANCORP AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
NINE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
(Dollars in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------
1999 1998
------------- -------------
<S> <C> <C>
Interest income
Interest and fees on loans $ 37,406 $ 38,647
Interest on taxable securities 5,593 4,677
Interest on nontaxable securities 815 903
Interest on deposits in other banks 468 604
Interest on Federal funds sold - 39
------------- -------------
44,282 44,870
------------- -------------
Interest expense
Interest on deposits 16,726 19,120
Interest on securities sold under repurchase
agreements and other borrowings 1,123 828
------------- -------------
17,849 19,948
------------- -------------
Net interest income 26,433 24,922
Provision for loan losses 1,563 4,139
------------- -------------
Net interest income after provision for loans losses 24,870 20,783
------------- -------------
Other income
Service charges on deposit accounts 4,049 4,165
Other service charges, commissions and fees 1,683 1,603
Other 183 311
Loss on sale of securities (81) -
------------- -------------
5,834 6,079
------------- -------------
Other expense
Salaries and employee benefits 11,625 11,745
Equipment expense 1,747 1,810
Occupancy expense 1,401 1,387
Amortization of intangible assets 640 682
Data processing fees 495 504
Directors fees 493 519
FDIC premiums 208 178
Other operating expenses 4,415 4,877
------------- -------------
21,024 21,702
------------- -------------
Income before income taxes 9,680 5,160
Applicable income taxes 3,285 1,805
------------- -------------
$ 6,395 $ 3,355
Net income ------------- -------------
Other comprehensive income, net of tax:
Unrealized holding gains (losses) arising during period, net of tax $ (1,338) $ 203
Reclassification adjustment for losses included
in net income, net of tax $ 53 $ -
------------- -------------
Comprehensive income $ 5,110 $ 3,558
============= =============
Income per common share-Basic $ 0.88 $ 0.46
============= =============
Income per common share-Diluted $ 0.88 $ 0.46
============= =============
Average shares outstanding 7,247,416 7,252,365
============= =============
</TABLE>
See Notes to Consolidated Financial Statements.
5
<PAGE>
ABC BANCORP AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
NINE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
(Dollars in Thousands)
(Unaudited)
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------------------------
1999 1998
------------- ------------
<S> <C> <C>
OPERATING ACTIVITIES
Net Income $ 6,395 $ 3,355
------------- ------------
Adjustments to reconcile net income to net cash provided by operating
activities:
Depreciation 1,460 1,513
Provision for loan losses 1.563 4,139
Amortization of intangible assets 640
Net loss on securities available for sale 81 -
Other prepaids, deferrals and accruals, net 3,902 5,100
------------- ------------
Total adjustments 7,646 11,434
------------- ------------
Net cash provided by operating activities 14,041 14,789
------------- ------------
INVESTING ACTIVITIES
Proceeds from maturities of investment securities 51,564 55,041
Purchase of investment securities (67,560) (49,955)
Proceeds from sales of securities available for sale 20,240 -
(Increase)decrease in Federal funds sold - (80)
(Increase) decrease in loans (48,892) (9,067)
Purchase of premises and equipment (1,712) (2,084)
------------- ------------
Net cash used in investing activities (46,360) (6,145)
------------- ------------
FINANCING ACTIVITIES
Net increase (decrease) in deposits (25,132) 8,543
Net increase (decrease) in repurchase agreements 10,880 (217)
Repay long-term borrowings (2,053) -
Increase (decrease) in other borrowings 40,571 (1,429)
Dividends paid (2,174) (2,175)
Purchase treasury stock
(88) (94)
------------- ------------
Net cash provided by (used in) financing activities 22,004 4,628
------------- ------------
Net increase (decrease) in cash and due from banks $(10,315) $ 13,272
Cash and due from banks at beginning of period 56,475 36,261
------------- ------------
Cash and due from banks at end of period $ 46,160 $ 49,533
============= ============
</TABLE>
See Notes to Consolidated Financial statements.
6
<PAGE>
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
- --------------------------------------------------------------------------------
NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The accounting and reporting policies of ABC Bancorp and subsidiaries ("the
Company") conform to generally accepted accounting principles and to general
practices within the banking industry. The interim consolidated financial
statements included herein are unaudited, but reflect all adjustments which, in
the opinion of management, are necessary for a fair presentation of the
consolidated financial position and results of operations for the interim
periods presented. All adjustments reflected in the interim financial
statements are of a normal, recurring nature. Such financial statements should
be read in conjunction with the financial statements and notes thereto and the
report of independent auditors included in the Company's Form 10-K Annual Report
for the year ended December 31, 1998. The results of operations for the nine
months ended September 30, 1999 are not necessarily indicative of the results to
be expected for the full year.
7
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Liquidity and Capital Resources
Liquidity management involves the matching of the cash flow requirements of
customers, who may be either depositors desiring to withdraw funds or borrowers
needing assurance that sufficient funds will be available to meet their credit
needs, and the ability of ABC Bancorp and its subsidiaries (the "Company") to
meet those needs. The Company strives to maintain an adequate liquidity
position by managing the balances and maturities of interest-earning assets and
interest-bearing liabilities so that the balance it has in available funding at
any given time will adequately cover the projected short-term need for funds.
Additionally, the subsidiary banks (the "Banks") maintain relationships with
correspondent banks which could provide funds to them on short notice, if
needed.
The liquidity and capital resources of the Company is monitored on a
periodic basis by state and Federal regulatory authorities. As determined under
guidelines established by these regulatory authorities, the Banks' liquidity
ratios at September 30, 1999 were considered satisfactory. At that date, the
Banks' short term investments were adequate to cover any reasonably anticipated
immediate need for funds. The Company is aware of no events or trends likely to
result in a material change in liquidity. At September 30, 1999, the Company's
and the Banks' capital asset ratios were considered adequate based on guidelines
established by regulatory authorities. During the nine months ended September
30, 1999, total capital increased $2,989,000 to $74,823,000. This increase in
capital resulted from the retention of net earnings of $4,221,000 (after
deducting dividends to shareholders of $2,174,000), less $88,000 for the
purchase of 7,200 shares acquired for the treasury, plus $134,000 accrual for
award grants, and a decrease of approximately $1,278,000 in unrealized losses on
securities available for sale, net of taxes.
At September 30, 1999, ABC had no binding commitments for capital
expenditures. The Company anticipates that approximately $750,000 will be
required for capital expenditures during the remainder of 1999. Additional
expenditures may be required for other mergers and acquisitions. No additional
mergers or acquisitions requiring cash are being negotiated at present.
8
<PAGE>
Year 2000 Status
The Company is actively engaged in remediating potential Year 2000
technology problems. All items were inventoried and vendors contacted regarding
Year 2000 readiness of their products. The inventory included computer
equipment and software as well as other items which could contain embedded date
chips. Renovation plans for non-compliant items were developed. The Y2K
Business Resumption Contingency Plan was completed and forwarded to the
appropriate regulatory bodies on September 25, 1999. Those agencies are in the
process of reviewing the plan. The document was subjected to an independent,
third party review by a member of our internal audit staff with satisfactory
results. The Company's and subsidiaries' Boards of Directors have approved the
plan.
The Company estimates total Year 2000 project costs will approximate
$500,000. Expenses associated with the Company's Year 2000 compliance efforts
for fiscal year 1998 were approximately $300,000, and most of the remaining
$200,000 has been recorded in the first three quarters of 1999. Year 2000
expenditures are not expected to have a material impact on the Company's
earnings, financial position or cash flows. Additionally, the status of major
customers and vendors is being reviewed to minimize the risks to the Company.
The impact of Year 2000 noncompliance by major customers and vendors cannot
be accurately projected at this time. The Company completed renovation and
testing of all mission-critical technology items during the second quarter of
1999.
9
<PAGE>
Results of Operations
The Company's results of operations are determined by its ability to
effectively manage interest income and expense, to minimize loan and investment
losses, to generate noninterest income and to control noninterest expense.
Since interest rates are determined by market forces and economic conditions
beyond the control of the Company, the ability to generate net interest income
is dependent upon the Banks' ability to obtain an adequate spread between the
rate earned on interest-earning assets and the rate paid on interest-bearing
liabilities. Thus, the key performance measure for net interest income is the
interest margin or net yield, which is taxable-equivalent net interest income
divided by average earning assets.
The primary component of consolidated earnings is net interest income, or
the difference between interest income on interest-earning assets and interest
paid on interest-bearing liabilities. The net interest margin is net interest
income expressed as a percentage of average interest-earning assets. Interest-
earning assets consist of loans, investment securities and Federal funds sold.
Interest-bearing liabilities consist of deposits and borrowings such as Federal
funds purchased, securities sold under repurchase agreements and Federal Home
Loan Bank advances. A portion of interest income is earned on tax-exempt
investments, such as state and municipal bonds. In an effort to state this tax-
exempt income and its resultant yields on a basis comparable to all other
taxable investments, an adjustment is made to analyze this income on a taxable-
equivalent basis.
10
<PAGE>
Comparison of Statements of Income
The net interest margin was 5.44% and 5.33% during the nine months ended
September 30, 1999 and 1998, respectively, an increase of 11 basis points. These
variances are primarily attributable to fluctuations in the average rates
charged and fees earned on loans.
Net interest income on a taxable-equivalent basis was $26.9 million as
compared to $25.5 million during the nine months ended September 30, 1999 and
1998, respectively, representing an increase of 5.5%.
The provision for loan losses is a charge to earnings in the current period
to replenish the allowance for loan losses and maintain it at the level
management determines is adequate. The provision for loan losses charged to
earnings amounted to $1,563,000 and $4,139,000 during the nine months ended
September 30, 1999 and 1998, respectively. The decrease in the provision for
loan losses of $2,576,000, or 62.24%, is attributable to an unusually large
provision being recorded in the first quarter of 1998 in response to the
deteriorating financial condition of several large borrowers.
The allowance for loan losses represents a reserve for potential losses in the
loan portfolio. The adequacy of the allowance for loan losses is evaluated
quarterly based on a review of all significant loans, with a particular emphasis
on non-accruing, past due and other loans that management believes require
attention. Another factor used in determining the adequacy of the reserve is
management's judgment about factors affecting loan quality and assumptions about
the local and national economy.
The allowance for loan losses was 1.89% and 2.14% of total loans
outstanding at September 30, 1999 and December 31, 1998. As of September 30,
1999, nonperforming assets were $7,175,000 compared to $9,382,000 in
nonperforming assets as of December 31, 1998. Management considers the allowance
for loan losses as of September 30, 1999 adequate to cover potential losses in
the loan portfolio.
11
<PAGE>
Following is a comparison of noninterest income for the nine months ended
September 30, 1999 and 1998 (dollars in thousands).
Nine Months Ended
------------------
September 30, 1999 September 30, 1998
------------------ ------------------
Service charges on deposits $4,049 $4,165
Other service charges,
commissions & fees 1,683 1,603
Other income 102 311
Total noninterest income $5,834 $6,079
====== ======
Total noninterest income for the nine months ended September 30, 1999 was
$245,000 lower than during the same period in 1998.
Following is an analysis of noninterest expense for the nine months ended
September, 1999 and 1998 (dollars in thousands).
Nine Months Ended
-----------------
September 30, 1999 September 30, 1998
------------------ ------------------
Salaries and employee benefits $11,625 $11,745
Occupancy and equipment expense 3,148 3,197
Deposit Insurance Premium 208 178
Data processing fees 495 504
Other expense 5,548 6,078
------- -------
Total noninterest expense $21,024 $21,702
======= =======
Total noninterest expense for the nine months ended September 30, 1999 was
$678,000 lower than during the same period in 1998.
Salaries and employee benefits for the nine months ended September 30,
1999, were $120,000 lower than during the same period in 1998.
Deposit insurance premiums for the nine months ended September 30, 1999 was
$30,000 higher than during the same period in 1998.
12
<PAGE>
Data processing fees for the nine months ended September 30, 1999 were
$9,000 lower than during the same period in 1998. Other operating expense for
the nine months ended September 30, 1999 decreased $530,000 as compared to the
same period in 1998.
Following is a condensed summary of net income during the nine months ended
September 30, 1999 and 1998 (dollars in thousands).
Nine Months Ended
-----------------
September 30, 1999 September 30, 1998
------------------ ------------------
Net interest income $26,433 $24,922
Provision for loan losses 1,563 4,139
Other income 5,834 6,079
Other expense 21,024 21,702
Income before income
taxes 9,680 5,160
Applicable income taxes 3,285 1,805
------- -------
Net income $ 6,395 $ 3,355
======= =======
Net income increased $3,040,000 or 90.61% to $6,395,000 for the nine months
ended September 30, 1999 as compared to $3,355,000 for the nine months ended
September 30, 1998. Net interest income of ABC and its subsidiaries increased
$1,511,000, the provision for loan losses decreased by $2,576,000 and all other
noninterest expense decreased by $678,000.
13
<PAGE>
Comparison of Balance Sheets
Total assets increased by $26.4 million, or 3.64%, to $751.4 million at
September 30, 1999 from $724.95 million at December 31, 1998.
Total earning assets increased by $36.4 million, or 5.6%, to $686.9 million
at September 30, 1999 from $650.51 million at December 31, 1998.
Total loans, net of the allowance for loan losses, increased by $47.3
million, or 10.13%, to $514.3 million at September 30, 1999 from $467 million at
December 31, 1998.
Total deposits decreased by $25.1 million, or 3.97%, to $608.2 million at
September 30, 1999 from $633.33 million at December 31, 1998. Approximately
14.16% and 15.78% of deposits were noninterest-bearing as of September 30, 1999
and December 31, 1998, respectively.
14
<PAGE>
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES
ABOUT MARKET RISK
The company is exposed only to U. S. Dollar interest rate changes and,
accordingly, the Company manages exposure by considering the possible changes in
the net interest margin. The Company does not have any trading instruments nor
does it classify any portion of the investment portfolio as held for trading.
The Company does not engage in any hedging activities or enter into any
derivative instruments with a higher degree of risk than mortgage backed
securities which are commonly pass through securities. Finally, the Company has
no exposure to foreign currency exchange rate risk, commodity price risk, and
other market risks.
Interest rates play a major part in the net interest income of a financial
institution. The sensitivity to rate changes is known as "interest rate risk."
The repricing of interest earning assets and interest-bearing liabilities can
influence the changes in net interest income. As part of the Company's
asset/liability management program, the timing of repriced assets and
liabilities is referred to as Gap management. It is the policy of the Company
to maintain a Gap ratio in the one-year time horizon of .80 to 1.20.
The Company uses simulation analysis to monitor changes in net interest income
due to changes in market interest rates. The simulation of rising, declining
and flat interest rate scenarios allows management to monitor and adjust
interest rate sensitivity to minimize the impact of market interest rate swings.
The analysis of the impact on net interest income over a twelve month period is
subjected to a gradual 200 basis point increase or decrease in market rates on
net interest income and is monitored on a quarterly basis. The most recent
simulation model projects net interest income would decrease 3.03% if rates rise
gradually over the next year. On the other hand, the model projects net
interest income to increase .65% if rates decline over the next year.
15
<PAGE>
Part II. Other Information
Item 4. Submission of Matters to a Vote of Securities Holders
There were no matters submitted to a vote of securities holders during
the quarter ended September 30, 1999.
Item 6. Exhibits and Reports on Form 8-K
There were no exhibits and reports filed on Form 8-K during the
quarter ended September 30, 1999.
16
<PAGE>
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
Undersigned thereunto duly authorized:
ABC BANCORP
11/5/99 /s/ W. EDWIN LANE, JR.
- ---------------------- --------------------------------------
DATE W. EDWIN LANE, JR.
EXECUTIVE VICE PRESIDENT &
CHIEF FINANCIAL OFFICER
(Duly authorized officer and principal
financial/accounting officer)
17
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 9
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> SEP-30-1999
<CASH> 46,160
<INT-BEARING-DEPOSITS> 0
<FED-FUNDS-SOLD> 0
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 132,756
<INVESTMENTS-CARRYING> 15,606
<INVESTMENTS-MARKET> 15,731
<LOANS> 524,220
<ALLOWANCE> 9,889
<TOTAL-ASSETS> 751,350
<DEPOSITS> 608,193
<SHORT-TERM> 57,715
<LIABILITIES-OTHER> 6,203
<LONG-TERM> 4,416
0
0
<COMMON> 7,582
<OTHER-SE> 67,241
<TOTAL-LIABILITIES-AND-EQUITY> 751,350
<INTEREST-LOAN> 37,406
<INTEREST-INVEST> 6,408
<INTEREST-OTHER> 468
<INTEREST-TOTAL> 44,282
<INTEREST-DEPOSIT> 16,726
<INTEREST-EXPENSE> 17,849
<INTEREST-INCOME-NET> 26,433
<LOAN-LOSSES> 1,563
<SECURITIES-GAINS> (81)
<EXPENSE-OTHER> 21,024
<INCOME-PRETAX> 9,680
<INCOME-PRE-EXTRAORDINARY> 9,680
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 6,395
<EPS-BASIC> .88
<EPS-DILUTED> .88
<YIELD-ACTUAL> 5.44
<LOANS-NON> 6,636
<LOANS-PAST> 0
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 6,636
<ALLOWANCE-OPEN> 10,192
<CHARGE-OFFS> 2,639
<RECOVERIES> 773
<ALLOWANCE-CLOSE> 9,889
<ALLOWANCE-DOMESTIC> 9,889
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 9,889
</TABLE>
