UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934.
For the quarterly period ended June 30, 1997.
Commission File Number 0-10658
BWC FINANCIAL CORP.
(Exact name of registrant as specified in its charter)
CALIFORNIA 94-262100
(State or Other Jurisdiction of (I.R.S. Employer
Incorporation or Organization) Identification No.)
1400 Civic Drive, Walnut Creek, California _ 94596 __
(Address of principal executive officer)
(510) 932-5353
(Registrant's Telephone Number, including area code)
N/A
(Former name, former address, and former fiscal year,
if changed since last report.)
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 _____
APPLICABLE ONLY TO ISSUERS INVOLVED
IN BANKRUPTCY PROCEEDINGS DURING
THE PRECEDING FIVE YEARS:
Indicate by check mark whether the registrant has filed all documents and
reports required to be filed by Sections 12, 13 or 15(d) of the Securities
Exchange Act of 1924 subsequent to the distribution of securities under a plan
confirmed by court. Yes No _____
APPLICABLE ONLY TO CORPORATE ISSUERS:
Indicate the number of shares outstanding of each of the issuer's classes of
common stock as the latest practicable date. As of June 30, 1997, there were
1,004,343 shares of common stock, no par value outstanding.
<PAGE>
TABLE OF CONTENTS
PART I - FINANCIAL INFORMATION
PAGE
Item 1 Consolidated Balance Sheets 3
Consolidated Statements of Income 4
Consolidated Statements of Cash Flows 5
Notes to Consolidated Financial Statements 6-7
Item 2 Management's Discussion and Analysis
of Results of Operations 8-11
Interest Rate Sensitivity Table 12
PART II - OTHER INFORMATION
Item 1 Legal Proceedings 13
Item 2 Changes in Securities 13
Item 3 Defaults Upon Senior Securities 13
Item 4 Submission of Matters to a Vote of
Security Holders 13
Item 5 Other Materially Important Events 13
Item 6 Exhibits and Reports on Form 8-K 13
Signatures 14
<PAGE>
<TABLE>
BWC FINANCIAL CORP.
CONSOLIDATED BALANCE SHEETS
<CAPTION>
June 30, December 31,
ASSETS 1997 1996
<S> <C> <C>
Cash and Due From Banks $12,158,000 $15,383,000
Federal Funds Sold 9,100,000 --
Other Short Term Investments 1,423,000 26,000
Total Cash and Cash Equivalents 22,681,000 15,409,000
Investment Securities:
Available for Sale 22,352,000 10,399,000
Held to Maturity (approximate market value
of $8,165,000 in 1997 and $8,765,000 in 1996) 8,132,000 8,726,000
Loans, Net of Allowance for Credit Losses of $2,380,000
in 1997 and $1,893,000 in 1996. 146,176,000 138,878,000
Bank Premises and Equipment, Net 1,484,000 1,522,000
Interest Receivable and Other Assets 2,734,000 2,439,000
$203,559,000 $177,373,000
Total Assets
LIABILITIES AND SHAREHOLDERS' EQUITY
LIABILITIES
Deposits:
Noninterest-bearing $48,351,000 $41,766,000
Interest-bearing:
Money Market Accounts 35,053,000 29,561,000
Savings and NOW Accounts 26,977,000 25,189,000
Time Deposits:
Under $100,000 39,263,000 34,167,000
$100,000 or more 34,377,000 25,208,000
Total Interest-bearing 135,670,000 114,125,000
Total Deposits 184,021,000 155,891,000
Federal Funds Purchased -- 3,600,000
Interest Payable and Other Liabilities 1,895,000 1,472,000
Total Liabilities 185,916,000 160,963,000
COMMITMENTS AND CONTINGENT LIABILITIES
SHAREHOLDERS' EQUITY
Preferred Stock, no par value:
5,000,000 shares authorized, none outstanding. -- --
Common Stock, no par value:
25,000,000 shares authorized; issued and outstanding -
1,121,280 shares in 1997 and 1,016,598 in 1996. 14,685,000 12,172,000
Retained Earnings 2,963,000 4,231,000
Capital adjustment on available-for-sale securities (5,000) 7,000
Total Shareholders' Equity 17,643,000 16,410,000
Total Liabilities and Shareholders' Equity 203,559,000 $177,373,000
<FN>
The accompanying notes are an integral part of these consolidated statements.
</FN>
</TABLE>
<PAGE>
<TABLE>
BWC FINANCIAL CORP.
CONSOLIDATED STATEMENTS OF INCOME
<CAPTION>
For the Six Months
Ended June 30,
1997 1996 1997 1996
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
INTEREST INCOME
Loans, Including Fees $3,895,000 $2,682,000 $7,506,000 $5,302,000
Investment Securities:
Taxable 247,000 274,000 404,000 559,000
Non-taxable 100,000 133,000 206,000 262,000
Federal Funds Sold 135,000 40,000 188,000 70,000
Other Short Term Investments 23,000 7,000 24,000 7,000
Total Interest Income 4,400,000 3,136,000 8,328,000 6,200,000
INTEREST EXPENSE
Deposits 1,402,000 864,000 2,580,000 1,750,000
Federal Funds Purchased -- 3,000 3,000 9,000
Total Interest Expense 1,402,000 867,000 2,583,000 1,759,000
NET INTEREST INCOME 2,998,000 2,269,000 5,745,000 4,441,000
PROVISION FOR CREDIT LOSSES 300,000 150,000 525,000 300,000
NET INTEREST INCOME AFTER PROVISION
FOR CREDIT LOSSES 2,698,000 2,119,000 5,220,000 4,141,000
NONINTEREST INCOME
Service Charges on Deposit Accounts 190,000 170,000 374,000 310,000
Income from Real Estate Brokerage
Subsidiary 38,000 53,000 60,000 93,000
Gain on SBA Loan Sales and Servicing Fees 56,000 19,000 121,000 62,000
Accounts Receivable Factoring - Servicing Fees 26,000 17,000 53,000 27,000
Investment Securities Gains (losses), Net -- (1,000) -- 44,000
Other 78,000 68,000 177,000 138,000
Total Noninterest Income 388,000 326,000 785,000 674,000
NONINTEREST EXPENSE
Salaries and Related Benefits 1,125,000 909,000 2,279,000 1,808,000
Occupancy 202,000 192,000 398,000 375,000
Furniture and Equipment 128,000 120,000 256,000 278,000
Other 599,000 535,000 1,138,000 1,008,000
Total Noninterest Expense 2,054,000 1,756,000 4,071,000 3,469,000
INCOME BEFORE INCOME TAXES 1,032,000 689,000 1,934,000 1,346,000
Provision for Income Taxes 365,000 204,000 676,000 398,000
NET INCOME $667,000 $485,000 $1,258,000 $948,000
NET INCOME PER COMMON AND COMMON
EQUIVALENT SHARE $0.52 $0.39 $0.98 $0.77
Average common and common equivalent shares 1,283,463 1,241,312 1,281,352 1,236,227
<FN>
The accompanying notes are an intergral part of these consolidated statements.
</FN>
</TABLE>
<PAGE>
<TABLE>
BWC FINANCIAL CORP.
CONSOLIDATED STATEMENTS OF CASH FLOWS
<CAPTION>
For the Six Months Ended June 30,
1997 1996
OPERATING ACTIVITIES:
<S> <C> <C>
Net Income $1,258,000 $948,000
Adjustments to reconcile net income to
net cash provided(used):
Amortization of loan fees (593,000) (408,000)
Provision for possible credit losses 525,000 300,000
Depreciation and amortization 192,000 205,000
Gain on sale of securities available for sale -- 44,000
(Increase)decrease in accrued interest receivable
and other assets (295,000) (207,000)
Increase in accrued interest payable
and other liabilities 423,000 (171,000)
Net Cash Provided(Used) by Operating Activities 1,510,000 711,000
INVESTING ACTIVITIES:
Proceeds from maturities of investment securities 2,465,000 447,000
Proceeds from the sales of investment securities -- 10,537,000
Purchase of investment securities (13,836,000) (5,216,000)
Loans originated, net of collections (7,229,000) (5,483,000)
Purchase of bank premises and equipment (155,000) (236,000)
Net Cash Used by Investing Activities (18,755,000) 49,000
FINANCING ACTIVITIES:
Net increase(decrease) in deposits 28,130,000 (2,542,000)
Decrease in Fed Funds Purchases (3,600,000) --
Proceeds from issuance of common stock 29,000 --
Cash paid for the repurchase of common stock (37,000) (316,000)
Cash paid in lieu of fractional shares (5,000) --
Net Cash Provided(Used) by Financing Activities 24,517,000 (2,858,000)
CASH AND CASH EQUIVALENTS:
Increase(decrease)in cash and cash equivalents 7,272,000 (2,098,000)
Cash and cash equivalents at beginning of year 15,409,000 12,617,000
Cash and Cash Equivalents at period end $22,681,000 $10,519,000
ADDITIONAL CASH FLOW INFORMATION:
Interest Paid $2,156,000 $898,000
Income Taxes Paid $714,752 $438,000
<FN>
The accompanying notes are an integral part of these consolidated statements.
</FN>
</TABLE>
<PAGE>
BWC FINANCIAL CORP.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
1. CONSOLIDATED FINANCIAL STATEMENTS
In the opinion of management, the unaudited interim consolidated
financial statements contain all adjustments (consisting of only normal
recurring adjustments) necessary to present fairly the financial position at
June 30, 1997 and the results of operations for the six months ended June 30,
1997 and 1996 and cash flows for the six months ended June 30, 1997 and 1996.
Certain information and footnote disclosures presented in the
Corporation's annual consolidated financial statements are not included in
these interim financial statements. Accordingly, the accompanying unaudited
interim consolidated financial statements should be read in conjunction with
the consolidated financial statements and notes thereto included in the
Corporation's 1996 Annual Report to Shareholders, which is incorporated by
reference in the Company's 1996 annual report on Form 10-K. The results of
operations for the six months ended June 30, 1997 are not necessarily
indicative of the operating results for the full year.
Net income per common and common equivalent share is computed using the
weighted average number of shares outstanding during the period, adjusted for
the dilutive effect of stock options and stock dividends.
2. INVESTMENT SECURITIES AND OTHER SHORT TERM INVESTMENTS
The amortized cost and approximate market value of investment securities
at June 30, 1997 are as follows:
Gross
Amortized Unrealized Market
Cost Gain(Loss) Value
Held-to-maturity
Obligations of State and
Political Subdivisions $ 8,132,000 $ 33,000 $ 8,165,000
Available-for-sale
Taxable Obligations of
State & Political
Subdivisions $ 4,097,000 $ (47,000) $ 4,050,000
Available-for-sale
U.S. Treasury Securities $11,084,000 $ 29,000 $11,113,000
Available-for-sale
U.S. Government Agencies $ 7,178,000 $ 11,000 $ 7,189,000
For the six months ended June 30, 1997, the Bank did not sell any
investment securities.
The following table shows the amortized cost and estimated market value
of investment securities by contractual maturity at June 30, 1997.
Held-to-Maturity Available-for-Sale
Amortized Market Amortized Market
Cost Value Cost Value
Within one year $ 1,766,000 $1,772,000 $ 4,009,000 $ 4,015,000
After one but within
five years $ 6,366,000 $6,393,000 $17,087,000 $17,096,000
Over five years $ -- $ -- $ 1,263,000 $ 1,241,000
3. ALLOWANCE FOR CREDIT LOSSES
For the Six months Ended
June 30,
1997 1996
Allowance for credit losses at
beginning of period $1,893,000 $1,529,000
Chargeoffs (63,000) (34,000)
Recoveries 25,000 21,000
Net chargeoffs (38,000) (13,000)
Provisions 525,000 300,000
Allowance for credit losses at
end of period $2,380,000 $1,816,000
Ratio of allowance for credit
losses to loans 1.60% 1.70%
<PAGE>
MANAGEMENT'S DISCUSSION AND ANALYSIS OF OPERATIONS
Net Income
Net income for the first six months in 1997 of $1,258,000 was $310,000 greater
than the first six months in 1996. This represented a return on average
assets during this period of 1.36% and a return on average equity of 14.82%.
The return on average assets during the first six months of 1996 was 1.28%
and a return on average equity was 12.59%.
Net income for the three months ending June 30, 1997, of $667,000 was $182,000
over the comparable period in 1996. The return on average assets during the
second quarter was 1.37% and the return on average equity was 15.44%.
The return on average assets during the second quarter of 1996 was 1.32%
and the return on average equity was 12.81%.
Earning assets averaged $172,222,000 during the six months ended June 30,
1997, as compared to $135,158,000 for the comparable period in 1996. Earning
assets averaged $181,129,000 during the second quarter of 1997 as compared to
$136,584,000 during the second quarter of 1996.
Earnings per average common and common equivalent shares, adjusted for the 10%
stock dividend declared March 31, 1997 and on July 23, 1996 (this includes any
dilutive effect of unexercised options outstanding) was $0.98 for the first
six months of 1997 as compared to $0.77 for the first six months of 1996. For
the second quarter of 1997, earnings per average common and common equivalent
shares was $0.52 as compared to $0.39 for the second quarter of 1996.
Net Interest Income
Interest income represents the interest earned by the Corporation on its
portfolio of loans, investment securities, and other short term investments.
Interest expense represents interest paid to the Corporation's depositors, as
well as to others from whom the Corporation borrows funds on a temporary
basis.
Net interest income is the difference between interest income on earning
assets and interest expense on deposits and other borrowed funds. The volume
of loans and deposits and interest rate fluctuations caused by economic
conditions greatly affect net interest income.
Net interest income during the first six months of 1997 was $5,745,000 or
$1,304,000 greater than the comparable period in 1996. This increase was
primarily the result of an increase in the volume of loans outstanding during
the 1997 period as compared to 1996. Of this increase 96% was the result of
increased volume and only 4% to an increase in the net interest rate spread.
Net interest income during the three months ending June 30, 1997 was
$2,998,000 or $729,000 greater than the comparable period in 1996. As with
the six months results, the change is related to volume increases rather than
net interest margin changes. Of the increase, 94% was related to volume and
6% to rates.
<PAGE>
Provision for Credit Losses
An allowance for credit losses is maintained at a level considered adequate to
provide for losses that can be reasonably anticipated and is in accordance
with SFAS 114. The allowance is increased by provisions charged to expense
and reduced by net charge-offs. Management continually evaluates the
economic climate, the performance of borrowers, and other conditions to
determine the adequacy of the allowance.
The ratio of the allowance for credit losses to total loans as of June 30,
1997 was 1.60% as compared to 1.70% for the period ending June 30, 1996. This
reflects a conservative attitude on the part of management and is considered
adequate to provide for potential future losses.
The Corporation had net loan losses of $38,000 during the first six months of
1997 as compared to a net loss of $13,000 during the comparable period in
1996.
The following table provides information on past due and nonaccrual loans:
For the Six months Ended
June 30,
1997 1996
Loans Past Due 90 Days or More $ 479,000 $ --
Nonaccrual Loans 428,000 92,000
Total $ 907,000 $ 92,000
As of June 30, 1997 and 1996, no loans were outstanding that had been
restructured. No interest earned on nonaccrual loans that was recorded in
income during 1997 remains uncollected. Interest foregone on nonaccrual loans
was approximately $24,000 and $15,000 as of June 30, 1997 and 1996
respectively.
Noninterest Income
Noninterest income during the first six months of 1997 of $785,000 was
$111,000 greater than earned during the comparable period of 1996. This was
reflected in increases in most areas of noninterest income and fees and is
commensurate with the Corporation's growth.
During the second quarter of 1997 noninterest income of $388,000 was $62,000
greater than earned during the comparable quarter of 1996. The same reasons
applicable for the first six months apply to the second quarter results.
Noninterest Expense
Total noninterest expenses of $4,071,000 during the first six months of 1997
are $602,000 over the comparable period in 1996. The major categories of this
are detailed below.
Salaries and related benefits are $471,000 greater during the first six months
of 1997 as compared to 1996. This increase is related to award bonuses paid to
staff and officers plus staffing increases and general merit increases related
to the Corporation's growth and expanding operations. Staff FTE (full time
equivalency) averaged 78.8 during the first six months of 1997 as compared to
68.5 for the comparable 1996 period.
<PAGE>
Occupancy expense increased $23,000 during the respective periods due to the
Corporation's new Fremont office, plus rental adjustments and operating
expense increases on other office facilities.
Total furniture and equipment expense decreased $22,000 between the respective
periods. The primary reason for the higher expense in 1996, was the write
down of the Bank's primary computer system and its replacement with a newer
model.
Other expense increased $130,000 between the respective periods and is related
to general increases in growth and activity.
During the second quarter of 1997 the Corporation had a total of $2,054,000 in
noninterest expense which was $298,000 over the comparable quarter of 1996.
This increase was primarily attributed to increases in salary and related
benefits expenses for the same reasons as given above regarding the increase
in the six month operating results.
Other Real Estate Owned
As of June 30, 1997 the Corporation had no Other Real Estate Owned assets
(assets acquired as the result of foreclosure on real estate collateral) on
its books.
Capital Adequacy
In 1989, the Federal Deposit Insurance Corporation (FDIC) established risk-
based capital guidelines requiring banks to maintain certain ratios of
"qualifying capital" to "risk-weighted assets". Under the guidelines,
qualifying capital is classified into two Tiers, referred to as Tier 1 (core)
and Tier 2 (supplementary) capital. Currently, the bank's Tier 1 capital
consists of shareholders' equity, while Tier 2 capital consists of the
eligible allowance for credit losses. The Bank has no subordinated notes or
debentures included in its capital. Risk-weighted assets are calculated by
applying risk percentages specified by the FDIC to categories of both balance-
sheet assets and off-balance-sheet assets.
The Bank's Tier 1 and Total (which included Tier 1 and Tier 2) risk-based
capital ratios surpassed the regulatory minimum of 8% at June 30, for both
1997 and 1996. At year-end 1990, the FDIC also adopted a leverage ratio
requirement. This ratio supplements the risk-based capital ratios and is
defined as Tier 1 capital divided by the quarterly average assets during the
reporting period. The requirement established a minimum leverage ratio of 3%
for the highest rated banks.
The following table shows the Corporation's risk-based capital ratios and
leverage ratio as of June 30, 1997, December 31, 1996, and June 30, 1996.
Risk-based capital ratios: Capital Ratios
Minimum
June 30, December 31, June 30, regulatory
1997 1996 1996 requirements
Tier 1 capital 10.43% 10.42% 12.66% 4.00%
Total capital 11.68% 11.67% 13.91% 8.00%
Leverage ratio 8.64% 9.35% 9.88% 3.00%
<PAGE>
Liquidity
Liquidity is a key aspect in the overall fiscal health of a financial
corporation. The primary source of liquidity for BWC Financial Corp. is its
marketable securities and Federal Funds sold. Cash, investment securities and
other temporary investments represented 26% of total assets at June 30, 1997
and 27% at June 30, 1996. The Corporation's management has an effective asset
and liability management program and carefully monitors its liquidity on a
continuing basis. Additionally, the Corporation has available from
correspondent banks Federal Fund lines of credit totaling $13,000,000.
General
Total assets of the Corporation at June 30, 1997 of $203,559,000 have
increased $55,142,000 or 37% as compared to June 30, 1996. Total loans of
$148,556,000 have increased $41,661,000 or 39% and total deposits of
$184,021,000 have increased $52,961,000 or 39%.
The Corporation's loan to deposit ratio as of June 30, 1997 and 1996 was 81%
on both dates.
<PAGE>
<TABLE>
INTEREST RATE SENSITIVITY
(in thousands except share and per share data)
<FN>
Proper management of the rate sensitivity and maturities of assets and liabilities is required
to provide an optimum and stable net interest margin. Interest rate sensitivity spread management
is an important tool for achieving this objective and for developing strategies and means to
improve profitability. The schedules shown below reflect the interest rate sensitivity position
of the Corporation as of June 30, 1997. Management believes that the sensitivity ratios
reflected in these schedules fall within acceptable ranges, and represent no undue interest rate
risk to the future earnings prospects of the Corporation.
</FN>
<CAPTION>
Interest Rate Sensitivity 3 3-6 12 1-5 Over 5
Repricing within: months months months years years Totals
June 30, 1997
<S> <C> <C> <C> <C> <C> <C>
ASSETS:
Federal funds sold $9,100 $0 $0 $0 $0 $9,100
Investment securities $3,673 $1,002 $2,529 $23,462 $1,241 $31,907
Construction & real estate loans $53,036 $8,425 $5,939 $241 $671 $68,312
Commercial loans $44,485 $4,134 $103 $858 $36 $49,616
Consumer loans $25,665 $416 $868 $3,629 $50 $30,628
Interest-bearing assets $135,959 $13,977 $9,439 $28,190 $1,998 $189,563
Savings and Now accounts $26,977 $0 $0 $0 $0 $26,977
Money market accounts $35,053 $0 $0 $0 $0 $35,053
Time deposits <$100,000 $8,739 $17,854 $11,297 $1,323 $50 $39,263
Time deposits >$100,000 $11,903 $14,480 $7,280 $714 $0 $34,377
Interest-bearing liabilities $82,672 $32,334 $18,577 $2,037 $0 $135,670
Rate sensitive gap $53,287 ($18,357) ($9,138) $26,153 $1,998 $53,893
Cumulative rate sensitive gap $53,287 $34,930 $25,792 $51,945 $53,943 $107,836
Cumulative position to average
earning assets 28.11% 18.43% 13.61% 27.40% 28.46%
</TABLE>
<PAGE>
PART II - OTHER INFORMATION
Item 1 - Legal Proceedings
At this time the Corporation is a cross-defendant in a legal proceeding.
At this time the Corporation, based upon advise of counsel, does not believe
that such cross-complaint will have any material adverse effect on the
Corporation.
Item 2 - Changes in Securities
None
Item 3 - Defaults Upon Senior Securities
None
Item 4 - Submission of Matters to a Vote of Security Holders
None
Item 5 - Other Materially Important Events
None
Item 6 - Exhibits and Reports on Form 8-K
None
<PAGE>
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 thereunto duly authorized.
BWC FINANCIAL CORP.
(Registrant)
James L. Ryan
___________________________ _________________________________
Date James L. Ryan
Chairman and Chief Executive Officer
Leland E. Wines
______________________ ________________________________
Date Leland E. Wines
CFO and Corp. Secretary
<TABLE> <S> <C>
<ARTICLE> 9
<CIK> 0000353650
<NAME> BWC FINANCIAL CORP
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-END> JUN-30-1997
<CASH> 12158000
<INT-BEARING-DEPOSITS> 0
<FED-FUNDS-SOLD> 9100000
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 22352000
<INVESTMENTS-CARRYING> 8132000
<INVESTMENTS-MARKET> 8165000
<LOANS> 148556000
<ALLOWANCE> 2380000
<TOTAL-ASSETS> 203559000
<DEPOSITS> 184021000
<SHORT-TERM> 0
<LIABILITIES-OTHER> 1895000
<LONG-TERM> 0
0
0
<COMMON> 14685000
<OTHER-SE> 2958000
<TOTAL-LIABILITIES-AND-EQUITY> 203559000
<INTEREST-LOAN> 7506000
<INTEREST-INVEST> 610000
<INTEREST-OTHER> 212000
<INTEREST-TOTAL> 8328000
<INTEREST-DEPOSIT> 2580000
<INTEREST-EXPENSE> 2583000
<INTEREST-INCOME-NET> 5745000
<LOAN-LOSSES> 525000
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 4071000
<INCOME-PRETAX> 1934000
<INCOME-PRE-EXTRAORDINARY> 1934000
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 1258000
<EPS-PRIMARY> 1.12
<EPS-DILUTED> .98
<YIELD-ACTUAL> 6.83
<LOANS-NON> 428000
<LOANS-PAST> 479000
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 705000
<ALLOWANCE-OPEN> 1893000
<CHARGE-OFFS> 63000
<RECOVERIES> 25000
<ALLOWANCE-CLOSE> 2380000
<ALLOWANCE-DOMESTIC> 1755000
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 625000
</TABLE>
