<PAGE>
1
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10Q
[X] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
For the quarterly period ended June 30, 1995
or
[ ] Transition Report Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
For the Transition Period From ______ to ______
COMMISSION FILE NUMBER 03502
FIRST NATIONAL OF NEBRASKA, INC.
- --------------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
Nebraska 47-0523079
- ---------------------------- --------------------------
(State or other jurisdiction of (IRS Employer
incorporation or organization) Identification No.)
One First National Center Omaha, NE 68102
- ------------------------------------------------- --------------------------
(Address of principal executive offices) (Zip Code)
(402) 341-0500
- --------------------------------------------------------------------------------
(Registrant's telephone number, including area code)
Not applicable
- --------------------------------------------------------------------------------
(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 periods 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 1934 subsequent to the distribution of securities under a plan
confirmed by the 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 of the latest practicable date: 346,767.
<PAGE>
2
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
Part I. Item 1. Financial Statements
Company for which filed: FIRST NATIONAL OF NEBRASKA, INC.
Condensed Consolidated Balance Sheets (1) (4)
<TABLE>
<CAPTION>
June 30, 1995 Dec 31, 1994
========================================================================================
(Unaudited) (NOTE)
<S> <C> <C>
(Amounts in Thousands)
ASSETS
Cash and Due from Banks $ 250,346 $ 267,625
Fed Funds Sold and Other Short-Term Investments 188,520 98,980
Securities: Market Value of $738,666,000 at 06-30-95
and $764,117,000 at 12-31-94 736,436 782,050
Loans 4,341,466 3,944,807
Less: Allowance for loan losses 62,402 55,265
Unearned income 11,948 10,889
-------------------------
Net Loans 4,267,116 3,878,653
Premises and Equipment 99,890 87,968
Other Assets 160,000 146,631
-------------------------
TOTAL ASSETS $5,702,308 $5,261,907
=========================
LIABILITIES AND STOCKHOLDERS' EQUITY
Non-Interest Bearing Deposits $ 540,187 $ 533,762
Interest Bearing Deposits 4,293,422 3,849,328
-------------------------
Total Deposits 4,833,609 4,383,090
Federal Funds Purchased & U.S. Treasury Notes 35,525 99,363
Commercial Paper and Commercial Paper Based Borrowings 284,334 302,253
Other Liabilities 65,764 44,539
Long-Term Debt and Other Interest-Bearing Obligations 92,449 73,446
-------------------------
Total Liabilities $5,311,681 $4,902,691
Common Stock, par value $5 a share; 346,767 shares
authorized, issued, and outstanding 1,734 1,734
Additional Paid-in Capital 2,604 2,604
Retained Earnings 386,289 354,878
-------------------------
Total Stockholders' Equity 390,627 359,216
-------------------------
TOTAL LIABILITIES & STOCKHOLDERS' EQUITY $5,702,308 $5,261,907
=========================
</TABLE>
NOTE: The balance sheet at December 31, 1994 has been taken from the audited
financial statements at that date and condensed.
<PAGE>
3
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
<TABLE>
<CAPTION>
Company for which filed: FIRST NATIONAL OF NEBRASKA, INC.
Condensed Consolidated Statements of Income (1) Quarter Ended June 30 Six Months Ended June 30
(Unaudited) 1995 1994 1995 1994
========================================================================================================
<S> <C> <C> <C> <C>
Interest Income:
Interest and fees on loans and lease financing $156,675 $117,074 $305,896 $228,894
Interest on securities:
Taxable interest income 11,152 7,709 22,311 15,452
Non-taxable interest income 450 391 827 813
Interest on federal funds sold and other
short-term investments 2,492 1,113 4,512 1,842
---------------------------------------------------
Total Interest Income 170,769 126,287 333,546 247,001
Interest Expense:
Interest on deposits 57,544 34,477 109,268 67,355
Interest on commercial paper and commercial
paper based borrowings 4,714 1,656 9,390 3,550
Interest on federal funds purchased and U.S.
Treasury notes 932 554 1,842 976
Interest on long-term debt and other obligations 2,104 951 4,031 1,925
---------------------------------------------------
Total Interest Expense 65,294 37,638 124,531 73,806
---------------------------------------------------
Net Interest Income 105,475 88,649 209,015 173,195
Provision for loan losses 24,116 17,179 43,585 33,457
---------------------------------------------------
Net Interest Income after Provision for loan losses 81,359 71,470 165,430 139,738
Other Operating Income:
Processing services 14,941 10,956 26,776 20,081
Deposit services 4,638 5,078 9,630 10,008
Trust and investment services 3,769 3,437 7,473 6,886
Commissions 1,510 1,068 6,492 5,850
Miscellaneous 15,534 6,253 23,488 13,333
---------------------------------------------------
Total Other Operating Income 40,392 26,792 73,859 56,158
---------------------------------------------------
Income before Other Operating Expenses 121,751 98,262 239,289 195,896
Other Operating Expense:
Salaries and employee benefits 28,819 23,673 59,441 47,874
Loan services purchased 19,180 9,361 30,115 17,385
Communications and supplies 12,829 12,385 28,433 24,576
Equipment rentals, depreciation and maintenance 5,738 4,776 10,701 9,360
Purchased processing 5,129 5,079 10,568 10,103
Net occupancy expense of premises 5,856 4,318 11,412 8,793
Other professional services purchased 2,473 2,855 5,851 5,553
Federal deposit insurance 2,165 2,189 4,693 4,111
Miscellaneous 7,470 4,455 14,036 10,477
---------------------------------------------------
Total Other Operating Expense 89,659 69,091 175,250 138,232
---------------------------------------------------
Income before Income Taxes 32,092 29,171 64,039 57,664
Applicable Income Taxes:
Current 15,085 12,738 27,990 24,079
Deferred (2,768) (1,559) (4,214) (2,436)
---------------------------------------------------
Total Income Tax Expense 12,317 11,179 23,776 21,643
---------------------------------------------------
Net Income $19,775 $17,992 $40,263 $36,021
===================================================
Average Shares Outstanding during Period 346,767 346,767 346,767 346,767
Net Income per Share (2) $57.03 $51.88 $116.11 $103.88
===================================================
</TABLE>
<PAGE>
4
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 10-Q
<TABLE>
<CAPTION>
Company for which filed: FIRST NATIONAL OF NEBRASKA, INC.
Condensed Consolidated Statement of Cash Flows (1)
(Unaudited) Six Months Ended June 30
Increase/(Decrease) in Cash and Cash Equivalents 1995 1994
====================================================================================================
(Amounts in Thousands)
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES
Net income $40,263 $36,021
Adjustments to reconcile net income to net cash
provided/(used) by operating activities:
Provision for loan losses 43,585 33,457
Depreciation and amortization 5,663 5,986
Provision for deferred taxes (4,214) (2,436)
Sales of trading account securities ---- 461,547
Purchases of trading account securities ---- (462,921)
Origination of loans for resale (9,975) (21,770)
Proceeds from the sale of loans 10,259 30,609
Other asset and liability activity, net 17,917 (1,060)
------------------------
Net cash flows from operating activities 103,498 79,433
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisition of businesses (3) 28,041 109,946
Maturities of securities held-to-maturity 202,014 107,803
Purchases of securities held-to-maturity (130,544) (80,191)
Net increase in customer loans (325,211) (189,349)
Purchases of premises and equipment (13,198) (12,541)
Other, net 12,886 89
------------------------
Net cash flows from investing activities (226,012) (64,243)
CASH FLOWS FROM FINANCING ACTIVITIES
Net change in customer deposits 282,847 62,959
Net change in federal funds purchased (64,038) 8,190
Issuance of debt 15,204 21,220
Principal repayments of debt (11,844) (19,408)
Net change in commercial paper and
commercial paper based borrowings (18,472) (15,608)
Cash dividends paid (8,922) (10,576)
------------------------
Net cash flows from financing activities 194,775 46,777
------------------------
Net change in cash and cash equivalents 72,261 61,967
Cash and cash equivalents at beginning of year 366,605 293,667
------------------------
Cash and cash equivalents at end of year $438,866 $355,634
========================
Cash paid during the year for:
Interest $118,399 $73,734
Income taxes $26,734 $22,855
NON-CASH INVESTING AND FINANCING ACTIVITIES
Increase to assets and liablilities for prior business acquisitions(3) $15,198 ----
</TABLE>
<PAGE>
5
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
June 30, 1995
1. The consolidated financial statements include the accounts of the Company,
its wholly-owned, and substantially wholly-owned subsidiaries.
The financial statements contained herein should be read in conjunction
with the Consolidated Financial Statements included in the Company's 1994
Annual Report to Shareholders and Form 10-K.
The information furnished herein reflects all adjustments, which consists
only of normal recurring accruals, which are, in the opinion of management,
necessary to reflect a fair statement of the interim period. Certain
reclassifications were made to prior years' financial statements to conform
them to the improved classifications used in 1995. These reclassifications
had no effect on net income.
2. Net income per share is calculated by dividing net income by the average
number of shares outstanding during the period.
3. In a business combination during 1995, the Company assumed liabilities of
$169,394,000 and non-cash assets of $156,551,000.
4. The following methods and assumptions were used by the Company in estimating
fair values of financial instruments as discussed herein. Fair values of
financial instruments that are not actively traded are based on market
prices of similar instruments and/or valuation techniques using market
assumptions. Although management uses its best judgment in estimating the
fair value of these financial instruments, there are inherent limitations in
any estimation technique. Therefore, the fair value estimates presented
herein are not necessarily indicative of the amounts which the Company could
realize in a current transaction.
General Assumptions: The Company assumes that the carrying amount of
short-term financial instruments approximates their fair value. For these
purposes, short-term is defined as any item that matures, reprices, or
represents a cash transaction between willing parties within six months or
less of the measurement date.
Securities: The fair value of the Company's securities is based
on the quoted market prices at June 30, 1995 and December 31, 1994. The
carrying amount and fair value of the Company's securities at June 30, 1995
was $736,436,000 and $738,666,000, respectively. The carrying amount and
fair value of the Company's securities at December 31, 1994 was $782,050,000
and 764,117,000, respectively.
Loans: The fair value of the Company's loans have been estimated using two
methods: 1) as indicated earlier, the carrying amount of short-term loans
approximate fair value; and 2) for all other loans, discounting of projected
future cash flows. When using the discounting method, loans are gathered by
homogeneous groups with similar terms and conditions and discounted at a
target rate at which similar loans would be made to borrowers as of June 30,
1995 and December 31, 1994. In addition, when computing the estimated fair
value for all loans, general reserves for loan losses are subtracted from
the calculated fair value for consideration of credit issues. At June 30,
1995, the carrying amount and fair value of the Company's loans was
$4,230,121,000 and $4,340,779,000, respectively. The carrying amount of
loans for June 30, 1995 consists of gross loans of $4,341,466,000 less
allowance for loan losses of $62,402,000 less net leases of $48,943,000. The
fair value of loans for June 30, 1995 consists
<PAGE>
6
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
of gross loans of $4,452,124,000 less allowance for loan losses and net
leases. At December 31, 1994, the carrying amount and fair value of the
Company's loans was $3,840,566,000 and $3,976,700,000, respectively. The
carrying amount of loans for 1994 consists of gross loans of $3,944,807,000
less allowance for loan losses of $55,265,000 less net leases of
$48,976,000. The fair value of loans for 1994 consists of gross loans of
$4,080,941,000 less allowance for loan losses and net leases.
Deposits: The methodologies used to estimate the fair value of deposits
are similar to the two methods used to fair value loans. Deposits are
gathered in homogeneous groups and the future cash flows of these groups are
discounted using current market rates offered for similar products at
June 30, 1995 and December 31, 1994. The carrying amount and fair value of
the Company's deposits at June 30, 1995 was $4,833,609,000 and
$4,853,280,000, respectively. The carrying amount and fair value of the
Company's deposits at December 31, 1994 was $4,383,090,000 and
$4,416,880,000, respectively.
Long-term Debt: The fair value of long-term debt and other interest-
bearing obligations is estimated by discounting future cash flows using
current market rates for similar debt instruments. The carrying amount and
fair value of long-term debt and other interest-bearing obligations at
June 30, 1995 was $92,449,000 and $93,311,000, respectively. The carrying
amount and fair value of long-term debt and other interest-bearing
obligations at December 31, 1994 was $73,446,000 and $74,123,000,
respectively.
Other Financial Instruments: All other financial instruments of a
material nature fall into the definition of short-term and fair value is
estimated as the carrying amount. The carrying amount and fair value at
June 30, 1995 of cash and due from banks was $250,346,000, federal funds
sold and other short-term investments was $188,520,000, and other
receivables and interest earned not collected was $44,524,000, which is
included in other assets. The carrying amount and fair value at
December 31, 1994 of cash and due from banks was $267,625,000, federal funds
sold and other short-term investments was $98,980,000, and other receivables
and interest earned not collected was $51,096,000, which is included in
other assets.
The carrying amount and fair value at June 30, 1995 was $35,525,000 of
federal funds purchased and U.S. Treasury notes, commercial paper and
commercial paper based borrowings of $284,334,000, and accounts payable and
accrued interest payable of $35,292,000, which is included in other
liabilities. The carrying amount and fair value at December 31, 1994 was
$99,363,000 of federal funds purchased and U.S. Treasury notes, commercial
paper and commercial paper based borrowings of $302,253,000, and accounts
payable and accrued interest payable of $33,033,000, which is included in
other liabilities.
Off-Balance Sheet Financial Instruments: All material amounts of off-
balance sheet items are characterized as short-term instruments because of
the conditions of the contract and repricing ability. The carrying value of
all off-balance sheet instruments approximates the fair value. At June 30,
1995 and December 31, 1994, the Company had unused secured loan commitments
of $974 million and $869 million, respectively; standby letters of credit of
$33 million and $43 million, respectively; and unused consumer credit card
lines of $8,400 million and $7,400 million, respectively.
The information presented herein is based on pertinent information available
to management as of June 30, 1995 and December 31, 1994. Although
management is not aware of any factors that would significantly affect the
estimated fair value amounts, such amounts have not been comprehensively
revalued since that time, and the current estimated fair value of these
financial instruments may have changed significantly since that point in
time.
<PAGE>
7
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
PART I. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
The Company consists of the parent company, which is a Nebraska-based
interstate bank holding company, and its consolidated subsidiaries. Its
principal assets include First National Bank of Omaha; First National Bank
and Trust Company of Columbus; First National Bank, North Platte; Platte
Valley State Bank & Trust Company, Kearney; Fremont National Bank & Trust
Company; First National Bank, Norfolk; First National Bank of Kansas,
Overland Park, Kansas; First National of Colorado, Inc., and its wholly-
owned subsidiaries First National Bank, Fort Collins, Colorado and Union
Colony Bank, Greeley, Colorado; and First National Bank South Dakota,
Yankton, South Dakota. The Company also has nonbanking subsidiaries, which
in the aggregate are not material.
The Company is governed by various regulatory agencies. Bank holding
companies and their nonbanking subsidiaries are regulated by the Federal
Reserve Board. National banks are primarily regulated by the Office of the
Comptroller of the Currency (OCC). All federally-insured banks are also
regulated by the FDIC. The Company's banking subsidiaries include eight
national banks and two state-chartered banks, all of which are insured by
the FDIC. The state-chartered banks are also regulated by state banking
authorities.
The Bank conducts a significant consumer credit card service under license
arrangements with VISA USA and MasterCard International, Inc. First National
Bank of Omaha was one of the originators of the bank credit card industry
and as a result has 40 years experience in this business. The Bank's credit
card customers are located throughout the United States, but primarily in
the Midwest. At December 31, 1994, the Bank ranked among the top card
issuing entities based on number of credit cards issued. Growth in volume
and stable credit card loan loss ratios have proved profitable for the
Company. Gross revenues associated with credit card loans have declined
slightly from 59% of total gross revenues in 1992 to 56% in 1994. There is
significant competition in the credit card industry from other financial
institutions and from nonbanking entities. With the increased competition,
there is downward pressure on rates and fees charged to cardholders. All
these factors work to put pressure on the profitability of the credit card
business.
The Company provides various substantial third-party processing services
including automated clearinghouse transactions, merchant credit card
processing, and check processing. The Company has increased fee income
through the significant expansion of these services. With the increased
volumes processed, the Company is subjected to greater pricing and
technology risks. The Company continues to closely monitor the risks and
competitive conditions.
<PAGE>
8
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
CAPITAL RESOURCES:
The Company and its banking subsidiaries are required to maintain minimum
capital in accordance with federal regulations. Generally, these
regulations are: 1) 3% for Tier I capital to total assets (as defined); 2)
4% for Tier I capital to risk-adjusted assets; and 3) 8% for Total capital
(as defined) to risk-adjusted assets. The stated capital of the Company and
its banking subsidiaries is subject to qualitative judgments by the
regulators about components, risk weightings, and other factors. The
Company and its banking subsidiaries exceeded these minimum regulatory
capital requirements at June 30, 1995.
The Federal Deposit Insurance Corporation Improvement Act of 1991 (FDICIA)
imposed a significant amount of new regulation on the banking industry. A
substantial part of FDICIA's regulatory restrictions is focused on the
capital level of financial institutions and the relative risk of their
assets and liabilities. Most of the regulatory mandates of FDICIA now have
been implemented by the federal banking agencies through final regulations.
These include regulations relating to corrective regulatory action,
standards of safety and soundness and various deposit insurance reforms.
Under federal banking laws and regulations, the Company's banking
subsidiaries are reviewed pursuant to a supervisory framework for prompt
corrective action. This framework consists of five categories that are
defined by different levels of capital. For the top-rated well-capitalized
category, an institution must meet capital ratios of 5.0% for Tier I capital
to total assets (as defined); 6.0% for Tier I capital to risk-adjusted
assets; and 10.0% for Total capital to risk-adjusted assets. At June 30,
1995, First National Bank of Omaha and all other banking subsidiaries of the
Company exceeded these minimum requirements for the top-rated
well-capitalized category established by the supervisory agencies.
At periodic intervals, the banking regulators routinely examine the
financial statements of the Company and its subsidiaries as part of their
legally prescribed oversight of the banking industry. Based on these
examinations, the regulators can direct the financial statements to be
adjusted in accordance with their findings. The regulators have not
proposed material adjustments to the financial statements this year nor in
prior years.
LIQUIDITY AND INTEREST MARGIN MANAGEMENT:
The Company and its banking subsidiaries closely manage liquidity and
interest margins.
Liquidity is the management of funding demands for loan growth and deposit
withdrawals balanced against funds generated by loan repayments, the
maturity of investment securities and core deposit growth. The Company
believes liquidity is found on both sides of the balance sheet.
Liquidity is evaluated by the Company using three distinct processes:
addressing daily liquidity needs; the use of non-core deposits; and expected
loan demands against liquidity. The Company evaluates its interest margin
in conjunction with liquidity. The Company does not use financial
instruments such as hedges, swaps, futures, or other derivative products.
Computer-based models are utilized to forecast how potential interest rate
scenarios and balance sheet strategies will interact with the Company's
liquidity and interest margin requirements.
The Company maintains commercial paper throughout the year. At June 30,
1995, the Company had facilities to access the commercial paper market up to
a maximum of $340,000,000, of which $284,334,000 was outstanding and
maturing in 76 days. Commercial paper is supported by loan commitments from
various financial institutions, and is distributed on a national basis with
proceeds used to finance consumer receivables.
<PAGE>
9
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
<TABLE>
<CAPTION>
INTEREST SENSITIVITY ANALYSIS:
Greater than
Three Three Months One Year
Months Less Than Through Over
Or Less One Year Five Years Five Years TOTAL
===========================================================================================================
(Amounts in Thousands Except Percents)
<S> <C> <C> <C> <C> <C>
As of June 30, 1995:
Earning assets:
Investment activities 243,304 222,986 438,489 20,177 924,956
Lending activities 3,140,104 440,021 564,974 196,367 4,341,466
----------------------------------------------------------------------
Total earning assets 3,383,408 663,007 1,003,463 216,544 5,266,422
Interest bearing liabilities 2,002,926 1,068,204 1,612,411 22,189 4,705,730
----------------------------------------------------------------------
Interest sensitive GAP 1,380,482 (405,197) (608,948) 194,355 560,692
GAP as a percent of total
earning assets 26.2% -7.7% -11.6% 3.7% 10.6%
======================================================================
Cumulative Interest sensitive GAP 1,380,482 975,285 366,337 560,692
Cumulative GAP as a percent
of total earning assets 26.2% 18.5% 6.9% 10.6%
======================================================================
</TABLE>
The Company closely monitors the repricing of assets and liabilities to obtain
an acceptable interest spread in periods of rising or falling rates. Through
the use of product selection and product pricing the Company manages asset and
liability volumes and interest spreads.
RESULTS OF OPERATIONS
Interest Income and Interest Expense:
The 35.22% increase in total interest income between the quarters ended June 30,
1994 and June 30, 1995, is the result of a 28.86% increase in earning assets.
The second quarter interest expense has increased 73.48% from 1994 to 1995 due
to a increase in paying liabilities volume. Interest-bearing deposit volume
increased by 28.07%, long-term debt volume increased by 44.13%, and commercial
paper and commercial paper based borrowings increased by 89.68%.
<PAGE>
10
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
Provision for loan losses:
The Company evaluates its allowance for loan losses on a monthly basis.
Management's assessment of loan loss allowance adequacy is based upon a review
of numerous items including: collateral values, delinquencies, non-accruals, and
payment histories.
Loan loss provision increased 40.38% between second quarter 1994 and second
quarter 1995 due to a 29.69% increase in gross loan volume and management's
desire to increase the reserves in keeping with an anticipated downturn in the
economy.
Other Operating Income:
Total other operating income rose 50.76% above the second quarter of 1994. Due
to increased volumes of processed items for new and existing customers,
processing services income rose 36.37%. Commission income increased 41.39% due
to a growth in volume. Income related to other miscellaneous income also
increased as a result of the general growth of the company.
Other Operating Expense:
Loan services purchased expenses increased by 104.89% due to processing
additional loan volumes, and the promotion and acquisition of new loan
relationships. Expenses related to salaries, equipment rentals, depreciation
and maintenance, occupancy, and other miscellaneous expense increased as a
result of the general growth of the company which was partially offset by a
decrease in other professional services of 13.38%.
Accounting:
Statement of Financial Accounting Standards No. 114 (SFAS114), "Accounting by
Creditors for Impairment of a Loan", as amended by Statement of Financial
Accounting Standards No. 118 (SFAS118), "Accounting by Creditors for Impairment
of a Loan - Income Recognition and Disclosures", are effective for fiscal years
beginning after December 15, 1994. These Statements require that qualifying
impaired loans be measured based on the present value of expected future cash
flows discounted at either the loan's effective interest rate, the loan's
observable market price, or the fair value of the collateral if the loan is
collateral dependent. The Company adopted these Statements on January 1, 1995
with no material impact to its consolidated financial statements.
Statement of Financial Accounting Standards No. 121 (SFAS121), "Accounting for
the Impairment of Long-Lived Assets and for Long-Lived Assets to Be Disposed
Of", is effective for fiscal years beginning after December 15, 1995. SFAS121
requires qualifying long-lived assets and certain identifiable intangibles to be
disposed of be reported at the lower of carrying amount or fair value less costs
to sell. The Company believes that the adoption of this Statement will not have
a material impact to its consolidated financial statements.
Statement of Financial Accounting Standards No. 122 (SFAS122), "Accounting for
Mortgage Servicing Rights", is effective for fiscal years beginning after
December 15, 1995. SFAS122 requires a mortgage banking enterprise to recognize
as separate assets rights to service mortgage loans for others, however those
servicing rights are acquired. This Statement also requires a mortgage banking
enterprise to assess its capitalized mortgage servicing rights for impairment
based on the fair value of those rights. The Company believes that the adoption
of this Statement will not have a material impact to its consolidated financial
statements.
<PAGE>
11
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
PART II. OTHER INFORMATION
Items 1,2,3,4,5, and 6(b):
- ----------------------------
Not applicable or negative response.
Item 6(a):
- ------------
The Articles of Incorporation and By-Laws of the Parent
Company (previously filed as Exhibit Nos. 1 and 2,
respectively, to Form 10-K filed with the Securities
Exchange Commission by the Company on March 31, 1993) are
incorporated herein by reference.
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.
FIRST NATIONAL OF NEBRASKA, INC.
By /s/ Bruce R. Lauritzen
-------------------------------------------
Bruce R. Lauritzen
President/Treasurer, Principal Accounting
and Financial Officer, and Director
Dated: August 7, 1995
------------------
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 9
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-START> JAN-01-1995
<PERIOD-END> JUN-30-1995
<CASH> 250,346
<INT-BEARING-DEPOSITS> 4,293,422
<FED-FUNDS-SOLD> 188,520
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 0
<INVESTMENTS-CARRYING> 736,436
<INVESTMENTS-MARKET> 738,666
<LOANS> 4,341,466
<ALLOWANCE> 62,402
<TOTAL-ASSETS> 5,702,308
<DEPOSITS> 4,833,609
<SHORT-TERM> 0<F1>
<LIABILITIES-OTHER> 65,764
<LONG-TERM> 92,449
<COMMON> 1,734
0
0
<OTHER-SE> 388,893
<TOTAL-LIABILITIES-AND-EQUITY> 5,702,308
<INTEREST-LOAN> 305,896
<INTEREST-INVEST> 23,138
<INTEREST-OTHER> 4,512
<INTEREST-TOTAL> 333,546
<INTEREST-DEPOSIT> 109,268
<INTEREST-EXPENSE> 124,531
<INTEREST-INCOME-NET> 209,015
<LOAN-LOSSES> 43,585
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 175,250
<INCOME-PRETAX> 64,039
<INCOME-PRE-EXTRAORDINARY> 40,263
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 40,263
<EPS-PRIMARY> 116.11
<EPS-DILUTED> 116.11
<YIELD-ACTUAL> 0<F1>
<LOANS-NON> 0<F1>
<LOANS-PAST> 0<F1>
<LOANS-TROUBLED> 0<F1>
<LOANS-PROBLEM> 0<F1>
<ALLOWANCE-OPEN> 0<F1>
<CHARGE-OFFS> 0<F1>
<RECOVERIES> 0<F1>
<ALLOWANCE-CLOSE> 0<F1>
<ALLOWANCE-DOMESTIC> 0<F1>
<ALLOWANCE-FOREIGN> 0<F1>
<ALLOWANCE-UNALLOCATED> 0<F1>
<FN>
<F1> This information is not required for interim reporting purposes.
</FN>
</TABLE>
