FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
QUARTERLY REPORT UNDER SECTION 13 or 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarter ended March 31, 1995 Commission file number 2-99779
National Consumer Cooperative Bank
(Exact name of registrant as specified in its charter)
United States of America 52-1157795
(12 U.S.C. Section 3001 et seq.) (I.R.S. Employer
(State or other jurisdiction of Identification No.)
incorporation or organization)
1401 Eye Street, NW, Suite 700, Washington, D.C. 20005
(Address of principal executive offices)
Registrant's telephone number, including area code (202)336-7700
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 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________.
Indicate the number of shares outstanding of each of the issuer's classes
ofcommon stock, as of the latest practicable date.
Outstanding at March 31, 1995
Class C 247,474
(Common stock, $100.00 par value)
Class B 678,974
(Common stock, $100.00 par value)
Class D 3
(Common stock, $100.00 par value)
National Consumer Cooperative Bank
(doing business as National Cooperative Bank)
and Subsidiaries
INDEX
PART I FINANCIAL INFORMATION Page No.
Item 1 Condensed consolidated statements of financial
condition - March 31, 1995 and December 31,
1994.................................. 3
Condensed consolidated statements of income -
for the three months ended March 31, 1995 and
1994. ................................ 4
Condensed consolidated statements of cash
flows - for the three months ended March 31,
1995 and 1994....................... 5
Condensed notes to the consolidated financial
statements - March 31, 1995................... 6-8
Item 2 Management's discussion and analysis of
financial condition and results of operations -
three months ended March 31, 1995 and 1994...... 9-17
PART II OTHER INFORMATION
Item 3 Exhibits and Reports on Form 8-K........ 18-19
NATIONAL COOPERATIVE BANK
CONSOLIDATED BALANCE SHEETS
March 31, 1995 and December 31, 1994
(Unaudited)
1995 1994
Assets ------------- -------------
Cash and cash equivalents $ 17,805,214 $ 12,546,834
Restricted cash 8,348,703 8,348,703
Investment securities
Available-for-sale 26,742,722 26,763,587
Held-to-maturity 3,331,229 3,557,000
Loans and lease financing 478,235,341 454,573,762
Loans held for sale 27,152,979 46,515,785
Less: Allowance for loan losses (12,703,169) (13,031,499)
------------- -------------
492,685,151 488,058,048
------------- -------------
Excess servicing 15,212,459 14,987,605
Premises and equipment, net 1,986,211 2,079,363
Other assets 14,208,542 10,980,103
------------- -------------
Total assets $ 580,320,232 $ 567,321,243
============= =============
Liabilities and Members' Equity
Liabilities
Deposits $ 70,180,576 $ 58,918,549
Patronage dividends payable in cash 4,979,156 3,966,724
Other liabilities 14,230,939 10,905,055
Borrowings
Short-term 66,732,425 91,031,114
Long-term 125,292,961 105,356,867
Other 806,378 1,008,178
------------- -------------
192,831,764 197,396,159
Subordinated Class A notes 182,904,015 182,927,687
------------- -------------
Total borrowings 375,735,779 380,323,846
------------- -------------
Total liabilities 465,126,450 454,114,174
------------- -------------
Members' equity
Common stock
Class B 67,897,414 67,823,071
Class C 24,747,427 24,844,625
Class D 300 300
Retained earnings
Allocated 6,085,635 4,848,218
Unallocated 17,262,877 17,112,436
Unrealized loss on investment securities
available for sale (799,871) (1,421,581)
------------- -------------
Total members' equity 115,193,782 113,207,069
Total liabilities and members' ------------- -------------
equity $ 580,320,232 $ 567,321,243
============= =============
NATIONAL COOPERATIVE BANK
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
For Three Months Ended March 31, 1995 1994
------------- --------------
Interest income
Loans and lease financing $ 10,883,467 $ 9,224,777
Investment securities 884,731 589,441
------------- -------------
Total interest income 11,768,198 9,814,218
------------- -------------
Interest expense
Deposits 714,463 424,513
Short-term borrowings 1,048,557 426,063
Long-term debt, other borrowings
and subordinated Class A notes 4,926,941 3,869,736
------------- -------------
Total interest expense 6,689,961 4,720,312
------------- -------------
Net interest income 5,078,237 5,093,906
Provision for loan losses 219,200 490,100
------------- -------------
Net interest income after
provision for loan losses 4,859,037 4,603,806
------------- -------------
Non-interest income
Gain on sale of loans 1,412,594 2,746,706
Loan and deposit servicing fees 371,181 362,945
Other 819,766 841,309
------------- -------------
Total non-interest income 2,603,541 3,950,960
------------- -------------
Non-interest expenses
Compensation and employee benefits 2,368,385 2,527,583
Contractual services 1,061,319 697,995
Occupancy and equipment 714,393 684,988
Contribution to NCB
Development corporation 125,000
Other 615,545 477,773
------------- ------------
Total non-interest expenses 4,884,642 4,388,339
------------- ------------
Income before income taxes 2,557,936 4,166,427
Provision for income taxes 125,064 503,307
------------- ------------
Net income $ 2,452,872 $ 3,663,120
============= ============
Distribution of net income
Patronage dividends $ 2,249,849 $ 3,266,030
Retained earnings 203,023 397,090
------------- ------------
$ 2,452,872 $ 3,663,120
============= ============
NATIONAL COOPERATIVE BANK
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
For the three months ended March 31, 1995 1994
------------ ------------
Cash flows from operating activities
Net income $ 2,452,872 $ 3,663,120
Adjustment to reconcile net income to net
cash provided by operating activities
Provision for loan losses 219,200 490,100
Depreciation and amortization 1,102,482 1,243,664
Gain on sale of assets (1,399,815) (2,602,854)
Loans originated for sale (35,989,359) (31,438,406)
Loans sold 58,278,524 60,003,682
Increase in other assets (3,257,023) (953,368)
Increase in other liabilities 3,325,884 5,246,749
(Loss)gain on hedges held for sale (895,837) 138,218
Other 28,709 (16,893)
------------- -------------
Net cash provided by operating activities 23,865,637 35,774,012
------------- -------------
Cash flows from investing activities
Proceeds from maturities of investment
securities
Available for sale 3,301,907 9,151,971
Held for maturity 225,771 1,984,928
Purchases of investment securities
Available for sale (2,596,115) (8,905,151)
Net (increase) decrease in loans and
lease financing (52,876,929) 5,568,100
Proceeds from sale of portfolio loans 26,711,435 3,153,437
Purchases of premises and equipment (48,102) (281,969)
------------ ------------
Net cash (used in) provided by investing
activities (25,282,033) 10,671,316
------------ ------------
Cash flows from financing activities
Net increase (decrease) in deposits 11,262,027 (16,495,180)
Net decrease in short-term borrowings (24,298,690) (12,501,887)
Proceeds from issuance of long-term debt 19,936,094
Repayment on other borrowings (201,800) (171,774)
Redemption of common stock (22,855)
Proceeds from issuance of common stock 19,723
------------- ------------
Net cash provided by financing activities 6,674,776 (29,149,118)
Increase in cash and cash equivalents 5,258,380 17,296,210
Cash and cash equivalents, beginning of year 12,546,834 22,938,795
Cash and cash equivalents, end of period $17,805,214 $40,235,005
=========== ===========
NATIONAL COOPERATIVE BANK
CONSOLIDATED NOTES TO THE CONSOLIDATED
FINANCIAL STATEMENTS
March 31, 1995
(Unaudited)
The accompanying financial statements have been prepared without audit and
reflect all adjustments (consisting only of normal recurring adjustments) which
were, in the opinion of NCB, necessary to a fair statement of the results of the
interim period presented. Certain information and footnote disclosures normally
included in financial statements prepared in accordance with generally accepted
accounting principles have been condensed or omitted. Accordingly, these
condensed financial statements should be read in conjunction with the financial
statements and the notes thereto included in NCB's most current annual report.
1. Cash, Cash Equivalents and Investment Securities
As of March 31, 1995, NCB's portfolio of investment securities, cash and cash
equivalents had an average adjusted maturity of 608 days with interest rates in
those portfolios varying from 5.05% to 9.39%.
Cash and Investments Investments
Cash Available Held to
Equivalents for Sale Maturity
Cash $ 6,385,997 $ $
Federal funs 7,365,801
Money market securities 2,414,123
and commercial paper
Mutual fund 1,788,796 551,640
Certificates of deposit 794,000
Corporate bonds 18,379,734
Eurodollar certificates
and repurchase agreements 1,639,293
U.S. Treasury and
Agency obligations 6,574,192 1,985,589
----------- ----------- ------------
$17,805,214 $26,742,722 $ 3,331,229
=========== =========== ============
At March 31, 1995, the investments available for sale portfolio were
recorded at aggregate market value. Restricted cash of $8,348,703 is held by a
trustee for the benefit of certificate holders in the event of loss on certain
loans sold of $37,300,000 and $92,623,000 in 1993 and 1992, respectively. The
restricted cash will become available to NCB I, Inc., as the principal balance
of the respective loans decreases. The loans sold have original maturities of
ten to fifteen years.
2. Loans, Lease Financing and Non-performing Assets
Loans and leases outstanding by category at March 31, 1995 were:
Commercial loans $251,858,993
Lease financing 9,262,042
Real estate loans
Residential 7,664,065
Construction 802,478
Commercial 235,800,742
------------
$505,388,320
============
At March 31, 1995 and December 31, 1994 real estate loans held for resale
were $27.2 million and $46.5 million, respectively.
The loan portfolio includes loans which are not currently accruing any
interest. The total outstanding principal of these loans at March 31, 1995 and
the effect on income for the three months ended March 31, 1995 are shown below.
1995 1994
----------- -----------
Principal outstanding $ 2,019,375 $ 875,506
----------- -----------
Gross amount of income which
would have been recorded
if still accruing $ 185,377 $ 55,046
Less interest received 158,730 12,565
----------- -----------
Interest not recorded $ 26,647 $ 42,481
=========== ===========
As of March 31, 1995, NCB had loans that are renegotiated with a reduced
interest rate or with an extension of payment of interest and principal. The
total outstanding principal of these loans at March 31, 1995 and the effect on
income for the three months ended March 31, 1995 are shown below:
1995 1994
----------- -----------
Principal outstanding $ 2,116,528 $ 2,273,399
Gross amount of income which
would have been recorded
under original terms 24,346 73,832
Less interest received 13,781 31,889
----------- ------------
Interest not recorded $ 10,565 $ 41,943
=========== ============
3. Allowance for Loan Losses
The following is a summary of the activity in the allowance for loan losses
during the three months ended March 31, 1995:
Balance at January 1, 1995 $13,031,499
Provision for loan losses 219,200
Charge-offs (555,276)
Recoveries of loans previously charged off 7,746
-----------
Balance at March 31, 1995 $12,703,169
===========
The allowance for loan losses as a percentage of loans and lease
financings at March 31, 1995 was 2.5%.
NATIONAL COOPERATIVE BANK
MANAGEMENT DISCUSSION AND ANALYSIS
FOR THE THREE MONTHS ENDED MARCH 31, 1995 AND 1994
SUMMARY
NCB's net income of $2.5 million for the three months ended March 31, 1995
was 33.1% lower than the net income of $3.7 million for the three months ended
March 31, 1994. The primary reasons for the decrease were a significant
reduction in non-interest income and an increase in contractual services expense
for the period. Gains on sale of real estate loans were 48.6% or $1.3 million
lower in the first three months of 1995 compared with the first three months of
1994. Contractual services expense was 52.1% or $.4 million higher than the
same period last year.
Total assets were $580.3 million at March 31, 1995, up 2.3% from year-end.
Cash and cash equivalents led the growth due to an increase in deposits.
NET INTEREST INCOME
Net interest income remained unchanged at $5.1 million from the first quarter
in 1994 compared with this quarter. As shown on Table 1, the net yield on
average earning assets decreased from 4.05% to 3.71%. This is due primarily
to the timing of real estate loan sales. The Bank sold real estate assets of
$42 millionin the first week of January 1995 compared with 1994 when a
substantial block of real estate loans were not sold until the last week of
March. As shown in Table 2, rising interest rates caused a negative net
variance of $.6 million in net interest income while the increased average
volume caused a positive net variance of $.6million as compared to the same
period last year.
Interest income increased $2.0 million to $11.8 million for the three months
ended March 31, 1995. Average rates on interest-earning assets increased to
8.59% during the three months ended March 31, 1995, compared with 7.81% in
the same time period in 1994. The increase was due to a rapidly rising interest
rate environment which caused a positive variance in interest income of $1.1
million. Average rates on the commercial portfolio increased 150 basis points
from the same period in 1994 as prime and other short term interest rates, which
act as indices for much of the portfolio, increased from 125 to 200 basis
points in 1994. Real estate rates dropped slightly in the same time period as
new originations are being affected by the flattening of the yield curve,
reduction in intermediate term rates and tightening of the spreads over the
indices due to increased competition.
Interest expense also increased $2.0 million to $6.7 due to repricing of short
term debts throughout 1994. The effective yield on Class A notes after taking
account of the benefit of hedgeing transactions with respect to those rates
increased 130 basis points due to the repricing of the three month $53.6 million
tranche which increased to 5.86% from 3.56% for the same time period in 1995,
the swap benefit, which serves to shorten the functional repricing periods for
part of the Class A notes was $.3 million less than the three month period in
1994. In all notes payable, short term borrowings and deposit yields increased
an average of 165 basis points due to the dramatic increase in short term rates
mentioned.
NON-INTEREST INCOME
Non-interest income decreased $1.3 million from the first quarter in 1994 as
compared with the first quarter in 1995. The decrease is due to the lower gain
on sale of loans which totalled $2.7 million in the first quarter of 1994
compared with $1.4 million in 1995. While loans sold in the first quarter of
1995 were $58 million compared to loans sold in the same period last year of
$60 million, the reduction in the gain resulted from tighter lending spreads.
NON-INTEREST EXPENSES
Non-interest expenses increased $.5 million from the first quarter in 1994
compared with the first quarter in 1995. The increase is due primarily to
higher contractual services and an accrued contribution to NCB Development
Corporation (NCBDC). Contractual service expense is $.4 million higher than
the same period in 1994 due to higher fees paid to NCBDC for management of loan
portfolios and higher strategic planning expenses. Also, the bank has accrued
a $.1 million contribution to NCBDC which was not accrued in the first quarter
of 1994.
<TABLE>
<CAPTION>
Table 1
Rate Related Assets and Liabilities
(dollars in thousands)
Three Months Ended March 31,
ASSETS 1995 1994
- ---------- ---------------------------------------------------------------
Average Income/ Yields/ Average Income/ Yields/
Balance Expense Rates Balance Expense Rates
---------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Interest earning Assets
Real estate loans $ 234,413 $ 5,176 8.83% $ 228,488 $ 5,123 8.97%
Commercial loans
and leases 258,058 5,707 8.85% 222,950 4,102 7.36%
--------- ------- ----- --------- ------- -----
Total loans and
leases 492,471 10,883 8.84% 451,438 9,225 8.17%
Trading, investment sec.,
cash equivalents and other
earning assets 55,435 885 6.38% 51,200 589 4.60%
--------- ------- ----- --------- ------- -----
Total interest-earning
assets 547,906 11,768 8.59% 502,638 9,814 7.81%
Allowance for loan loss (12,967) (12,632)
Non-interest earning assets
Cash 4,982 3,689
Other assets 20,144 33,412
--------- ---------
Total non-interest earning 25,126 37,101
--------- ---------
Total assets $ 560,065 $ 527,107
========= =========
LIABILITIES AND MEMBERS' EQUITY
Interest-bearing liabilities
Subordinated Class A
notes $ 182,542 2,795 6.12% $ 182,979 2,214 4.84%
Notes payable 167,915 3,169 7.66% 156,578 2,075 5.37%
Deposits 64,145 726 4.53% 53,865 432 3.21%
--------- ----- ----- --------- ----- -----
Total interest-bearing
liabilities 414,602 6,690 6.45% 393,422 4,721 4.80%
Other liabilities 31,014 23,012
Members' equity 114,449 110,693
--------- ---------
Total liabilities and
members' equity $ 560,065 $ 527,127
========= =========
Net interest-earning assets$ 133,304 $109,216
Net interest revenues spread $ 5,078 2.14% $ 5,093 3.01%
Net yield on
interest-earning assets 3.71% 4.05%
</TABLE>
Table 2
Change in Net Interest Income
(dollars in thousands)
For the three months ended March 31, 1995 Compared 1994
Increase (decrease) due to changes in:
Average Average
Volume* Yield Net**
Interest Income
Cash equivalents and
investment securities $ 58 $ 237 $ 295
Commercial loans and leases 711 894 1,605
Real estate loans 132 (79) 53
------ -------- -------
Total interest income 901 1,052 1,953
------ -------- -------
Interest Expense
Deposits 98 192 290
Notes payable 184 921 1,105
Subordinated Class A notes (5) 579 574
----- -------- -------
Total interest expense 277 1,692 1,969
----- -------- -------
Net Interest Income $ 624 $ (640) $ (16)
===== ======== =======
* Average monthly balances
** Changes in interest income and interest expense due to changes in rate
and volume have been allocated to "change in average volume" and
"change in average rate" in proportion to the absolute dollar amounts
in each.
CASH, CASH EQUIVALENTS AND INVESTMENT SECURITIES
Cash, cash equivalents and investment securities increased $5.0 million from
December 31, 1994 to $56.2 million at March 31, 1995. Cash, cash equivalents
and investment securities as a percentage of assets increased slightly to 9.7%
from December 31, 1994 levels of 9.0%. The primary reason for the increase was
the influx of cash obtained from the increased deposit level for the first
quarter of 1995.
ALLOWANCE FOR LOAN LOSSES
The allowance for loan losses at March 31, 1995 decreased $.3 million to $12.7
million. The allowance was impacted by a write-off of a $.6 million loan during
the three month period. The provision for loan losses for the first three
months of 1995 was $.2 million compared with $.5 million in the first quarter
of 1994. NCB's provision for loan losses as a percentage of average loans and
leases decreased to .2% in 1995 from .4% in 1994. The provision for loan losses
in 1995 is $.3 million lower than the provision in the same time period in 1994
as the credit quality of the Bank's portfolio continues to improve.
NCB's average allowance as a percentage of average loans and leases
outstanding decreased from 2.8% at March 31, 1994 to 2.6% at March 31,
1995. The decrease is primarily due to the increased level of loans outstanding
for the period.
As shown in Table 3, total nonperforming assets (renegotiated and non-accruing
loans, REO and in-substance foreclosures) increased from $3.2 million at
December 31, 1994 to $4.1 million at March 31, 1995. Non-performing assets as
a percentage of loans and leases outstanding were .8% at March 31, 1995
compared with .6% at year end.
The allowance for loan losses as a percentage of non performing loans decreased
to 309.8% at March 31, 1995 compared with 412.0% at December 31, 1994.
<TABLE>
<CAPTION>
TABLE 3
Nonperforming assets
(dollars in thousands)
March 31, Dec. 31, Sept.30, June 30, March 31,
1995 1994 1994 1994 1994
-------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Nonaccrual loans
Commercial $ 0 $ 0 $ 324 $ 341 $ 20
Real estate-construction 0 0 0 0 0
Real estate-commercial 0 0 0 0 0
Real estate-residential 1,719 723 1,164 839 855
------- ------- -------- ------ ------
Total non accrual loans 1,719 723 1,488 1,180 875
Restructured loans 2,117 2,143 2,168 2,194 2,273
------- ------- -------- ------- ------
Total nonperforming
loans 3,836 2,866 3,656 3,374 3,148
Real estate acquired through
foreclosure and insubstance
foreclosure 300 300 170 170 171
------- ------- -------- ------- -------
Total nonperforming
assets $ 4,136 $ 3,166 $ 3,826 $ 3,544 $ 3,319
Non-performing assets/loans
plus REO and insubstance
foreclosure .8% .6% .9% .8% .8%
Allowance/nonperforming
loans 309.8% 412% 363% 385% 416%
</TABLE>
INTEREST-BEARING LIABILITIES
Interest-Bearing liabilities
(dollars in thousands)
3/31/95 12/31/94 % Change
--------- --------- --------
Deposits $ 70,181 $ 58,918 19.0%
Lines of credit 66,732 91,031 (26.7%)
Term debt 125,293 105,357 18.9%
Class A notes 182,904 182,928 0.0%
Other borrowings 806 1,008 (20.0%)
--------- ---------- --------
Total $ 445,916 $ 439,242 1.5%
========= ========== ========
Interest-bearing liabilities increased by $6.7 million from the 1994 year-
end amount to $445.9 million at March 31, 1995.
Deposits at NCBSA for the first quarter of 1995 grew 19.0% to $70.2
million. The growth was generated by a very aggressive campaign in the local
market and to NCB's cooperative customers. Average maturity of these deposits
is 20.9 months.
Short term borrowings decreased by 26.7% from year end 1994 as proceeds
from loans sales were used to reduce the amount outstanding. Also, in the first
quarter the Bank initiated a short term borrowing program with cooperative
customers that has, at March 31, 1995 resulted in borrowings from cooperative
customers totalling $16.7 million of funds.
NCB's intermediate-term notes increased to $125 million March 31, 1995 from
$105 million at December 31, 1994 due to the additional borrowings of $20
million for the funding of portfolio loans in the quarter.
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.
NATIONAL CONSUMER COOPERATIVE BANK
Date:5/15/95
By: /s/ Richard L. Reed
---------------------------
(Richard L. Reed, Treasurer
& Chief Financial Officer)
/s/ Marietta J. Orcino
---------------------------
(Marietta J. Orcino, Controller
Principal Accounting Officer)
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.
NATIONAL CONSUMER COOPERATIVE BANK
Date:
By:
-----------------------------
(Richard L. Reed, Treasurer
Chief Financial Officer)
-----------------------------
(Marietta J. Orcino, Controller
Principal Accounting Officer)
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> 9
<S> <C>
<PERIOD-TYPE> QTR-1
<FISCAL-YEAR-END> DEC-31-1994
<PERIOD-START> JAN-01-1995
<PERIOD-END> MAR-31-1995
<CASH> 6,385,997
<INT-BEARING-DEPOSITS> 0
<FED-FUNDS-SOLD> 7,365,801
<TRADING-ASSETS> 551,640
<INVESTMENTS-HELD-FOR-SALE> 26,742,722
<INVESTMENTS-CARRYING> 2,779,589
<INVESTMENTS-MARKET> 2,779,589
<LOANS> 505,388,320
<ALLOWANCE> (12,703,169)
<TOTAL-ASSETS> 580,320,232
<DEPOSITS> 70,180,576
<SHORT-TERM> 66,732,425
<LIABILITIES-OTHER> 20,016,473
<LONG-TERM> 125,292,961
<COMMON> 92,645,141
0
0
<OTHER-SE> 0
<TOTAL-LIABILITIES-AND-EQUITY> 580,320,232
<INTEREST-LOAN> 10,883,467
<INTEREST-INVEST> 884,731
<INTEREST-OTHER> 0
<INTEREST-TOTAL> 11,768,198
<INTEREST-DEPOSIT> 714,463
<INTEREST-EXPENSE> 6,689,961
<INTEREST-INCOME-NET> 5,078,237
<LOAN-LOSSES> 219,200
<SECURITIES-GAINS> (83,538)
<EXPENSE-OTHER> 615,545
<INCOME-PRETAX> 2,557,936
<INCOME-PRE-EXTRAORDINARY> 2,557,936
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 2,452,872
<EPS-PRIMARY> 2.65
<EPS-DILUTED> 2.65
<YIELD-ACTUAL> 3.71
<LOANS-NON> 2,019,375
<LOANS-PAST> 0
<LOANS-TROUBLED> 2,116,528
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 13,031,499
<CHARGE-OFFS> (555,276)
<RECOVERIES> 7,746
<ALLOWANCE-CLOSE> 12,703,169
<ALLOWANCE-DOMESTIC> 0
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 12,703,169
</TABLE>
