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, 1999
Commission File Number: 0-14549
United Security Bancshares, Inc.
(Exact name of registrant as specified in its charter)
Alabama 63-0843362
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
131 West Front Stree
Post Office Box 249
Thomasville, Al. 36784
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code:(334)-636-5424
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
Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the latest practicable date.
Class Outstanding at June 30, 1999
Common Stock, $.01 par value 3,558,781 shares
<PAGE>
UNITED SECURITY BANCSHARES, INC. AND SUBSIDIARIES
PART I. FINANCIAL INFORMATION
<TABLE>
Page
ITEM 1. FINANCIAL STATEMENTS
<S> <C>
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
AT JUNE 30, 1999 (UNAUDITED) AND DECEMBER 31, 1998 2
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 1999
AND 1998 3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED) FOR THE SIX MONTHS ENDED JUNE 30, 1999
AND 1998 4
THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
FURNISHED HAVE NOT BEEN AUDITED BY INDEPENDENT
PUBLIC ACCOUNTANTS, BUT REFLECT, IN THE OPINION OF
MANAGEMENT, ALL ADJUSTMENTS NECESSARY FOR A FAIR
PRESENTATION OF FINANCIAL CONDITION AND THE RESULTS
OF OPERATIONS FOR THE PERIODS PRESENTED
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS 11
PART II. OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K 14
SIGNATURE PAGE 15
SIGNATURES
</TABLE>
<PAGE>
<TABLE>
UNITED SECURITY BANCSHARES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(Dollars in thousands, except per share data)
ASSETS
June 30 December 30
1999 1998
(Unaudited)
<S> <C> <C>
CASH AND DUE FROM BANKS $ 11,070 $ 12,103
INTEREST-BEARING DEPOSITS IN BANKS 3,532 14,728
FEDERAL FUNDS SOLD 1,875 0
TRADING SECURITIES 3,938 0
INVESTMENT SECURITIES AVAILABLE FOR
SALE, at fair value 158,494 164,019
LOANS,, net of allowance for loan
losses of $5,644 and $4,989,
respectively 255,540 235,060
PREMISES AND EQUIPMENT 9,409 8,225
OTHER ASSETS 19,795 15,938
Total Assets $463,653 $450,073
LIABILITIES AND SHAREHOLDERS' EQUITY
DEPOSITS $329,133 $326,645
BORROWINGS 68,168 55,859
OTHER LIABILITIES 5,986 7,001
Total liabilities $403,287 $389,505
SHAREHOLDERS' EQUITY
Common stock, par value $.01 per
share; 10,000,000 shares
authorized; 3,622,781 and
3,610,945 shares issued,
respectively 36 36
Surplus 8,425 8,219
Accumulated other comprehensive (377) 2,822
income
Retained earnings 52,534 49,743
Less treasury stock--64,000
shares at cost (252) (252)
Total shareholders' equity 60,366 60,568
Total liabilities and
shareholders' equity $463,653 $450,073
The accompanying notes are an integral part of these statements.
</TABLE>
<PAGE>
<TABLE>
UNITED SECURITY BANCSHARES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
Three Months Ended Six Months Ended
June 30, June 30,
1999 1998 1999 1998
(Unaudited) (Unaudited)
INTEREST INCOME:
<S> <C> <C> <C> <C>
Interest and fees on loans $ 8,319 $ 7,109 $16,139 $13,762
Interest on securities 2,713 3,491 5,511 6,963
Total interest income 11,032 10,600 21,650 20,725
INTEREST EXPENSE:
Interest on deposits $ 3,046 $ 3,113 $ 6,066 $ 6,196
Interest on borrowings 670 787 1,319 1,430
Total interest expense 3,716 3,900 7,385 7,626
NET INTEREST INCOME 7,316 6,700 14,265 13,099
PROVISION FOR LOAN LOSSES 837 617 1,851 1,250
Net interest income after pro-
vision for loan losses 6,479 6,083 12,414 11,849
NONINTEREST INCOME:
Service and other charges on
deposit accounts 495 493 957 1,032
Other income 638 474 1,236 897
Securities gains 8 216 519 465
Total noninterest income 1,141 1,183 2,712 2,394
NONINTEREST EXPENSES:
Salaries & employee benefits 2,716 2,416 5,273 4,603
Occupancy expense 268 257 534 513
Furniture & equipment expense 355 375 707 727
Other expenses 1,333 1,122 2,481 2,221
Total noninterest expense 4,672 4,170 8,995 8,064
Income before income taxes 2,948 3,096 6,131 6,179
PROVISION FOR INCOME TAXES 899 920 1,847 1,760
NET INCOME $ 2,049 $ 2,176 $ 4,284 $ 4,419
BASIC NET INCOME PER SHARE $ .58 $ .61 $ 1.20 $ 1.25
DILUTED NET INCOME PER SHARE $ .57 $ .61 $ 1.20 $ 1.24
DIVIDENDS PER SHARE $ .21 $ .19 $ .42 $ .38
The accompanying notes are an integral part of these statements.
</TABLE>
<PAGE>
<TABLE>
UNITED SECURITY BANCSHARES, INC AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Dollars in thousands, except per share data)
Six Months Ended
June 30,
1999 1998
(Unaudited)
CASH FLOWS FROM OPERATING ACTIVITIES:
<S> <C> <C>
Net income $ 4,284 $ 4,419
Adjustments:
Depreciation 453 464
Amortization of premiums and discounts, net 766 334
Amortization of intangibles 353 322
Provision for losses on loans 1,851 1,250
(Gain) loss on sale of securities, net (519) (465)
Changes in assets and liabilities:
Decrease(increase) in other assets (4,210) (975)
(Decrease)increase in other liabilities (3,196) (61)
Total adjustments (4,502) 869
Net cash(used in) provided by operating
activities (218) 5,288
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from maturities/call and paydowns of
securities available for sale 37,773 21,212
Proceeds from sales of securities 52,894 31,781
Purchase of property and equipment, net (1,637) (1,152)
Purchase of securities available for sale (90,345) (50,554)
Loan (originations) and principal repayments, net (22,331) (14,794)
Net cash used by investing activities (23,646) (13,507)
CASH FLOWS FROM FINANCING ACTIVITIES:
Increase (decrease) in customer deposits, net 2,488 (1,039)
Sale of treasury stock 0 3
Exercise of stock options 206 93
Dividends paid (1,493) (1,346)
Increase in borrowings 12,309 13,547
Net cash provided by financing activities 13,510 11,258
Net increase (decrease) in cash and cash
equivalents (10,354) 3,039
CASH AND CASH EQUIVALENTS, beginning of period 26,831 14,539
CASH AND CASH EQUIVALENTS, end of period $16,477 $17,578
The accompanying notes are an integral part of these statements.
</TABLE>
<PAGE>
UNITED SECURITY BANCSHARES, INC. AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
1. GENERAL
The accompanying unaudited condensed consolidated financial statements
as of June 30, 1999 and 1998 include the accounts of United Security
Bancshares, Inc. and its subsidiaries (the "Company"). All
significant intercompany transactions and accounts have been
eliminated.
The interim financial statements are unaudited but, in the opinion of
management, reflect all adjustments necessary for a fair presentation
of financial position and results of operations for such periods
presented. Such adjustments are of a normal, recurring nature. The
results of operations for any interim period are not necessarily
indicative of results expected for the fiscal year ending December 31,
1999. While certain information and footnote disclosures normally
included in financial statements prepared in accordance with generally
accepted accounting principles have been condensed or omitted pursuant
to the rules and regulations of the Securities and Exchange
Commission, management believes that the disclosures herein are
adequate to make the information presented not misleading. These
financial statements should be read in conjunction with the
consolidated financial statements and notes thereto contained in the
Annual Report on Form 10-K for the year ended December 31, 1998, of
United Security Bancshares, Inc. and Subsidiaries. The accounting
policies followed by United Security Bancshares, Inc.("USB")are set
forth in the summary of significant accounting policies in USB's
December 31, 1998 consolidated financial statements.
2. NET INCOME PER SHARE
Basic net income per share was computed by dividing net income by the
weighted average number of shares of common stock outstanding during
the three and six month periods ended June 30, 1999 and 1998. Common
stock outstanding consists of issued shares less treasury stock.
Diluted net income per share for the three and six month periods ended
June 30, 1999 and 1998, were computed by dividing net income by the
weighted average number of shares of common stock and the dilutive
effects of the shares awarded under the stock option plan, based on
the treasury stock method using an average fair market value of the
stock during the respective periods.
The following table represents the net income per share calculations
for the three and six months period ended June 30, 1999 and 1998:
<TABLE>
Net Income
For the Three Months Ended Income Shares Per Share
June 30, 1999($in thousands)
<S> <C> <C> <C>
Net Income $2,049 0
Basic net income per share:
Income available to common
shareholders 2,049 3,557,525 $.58
Dilutive securities:
Stock option 0 27,245
Dilutive net income per share:
Income available to common
shareholders plus assumed
conversions $2,049 3,584,770 $.57
June 30, 1998:
Net income $2,176
Basic net income per share:
Income available to common
shareholders 2,176 3,542,513 $.61
Dilutive securities:
Stock option 0 26,574
Dilutive net income per share:
Income available to common
shareholders plus assumed
conversions $2,176 3,569,087 $.61
</TABLE>
<TABLE>
Net Income
For the Six Months Ended Income Shares Per Share
June 30, 1999($ in thousands):
<S> <C> <C> <C>
Net income $4,284
Basic net income per share:
Income available to common
shareholders 4,284 3,555,367 $1.20
Dilutive securities:
Stock option 0 27,256
Dilutive net income per share:
Income available to common
shareholders plus assumed
conversions $4,284 3,582,623 $1.20
June 30, 1998:
Net income $4,419
Basic net income per share:
Income available to common
shareholders 4,419 3,541,423 $1.25
Dilutive securities:
Stock option 0 27,497
Dilutive net income per share:
Income available to common
shareholders plus assumed
conversions $4,419 3,568,920 $1.24
</TABLE>
3. COMPREHENSIVE INCOME
The Company adopted SFAS No. 130 effective January 1, 1998. SFAS No.
130 established standards for reporting and display of comprehensive
income and its components.
The Company has classified its securities as available for sale in
accordance with Financial Accounting Standards Board Statement No.
115. For the three-month period ended June 30, 1999, the net
unrealized gain on these securities decreased by $1.2 million.
Pursuant to Statement No. 115, any unrealized gain or loss activity of
available-for-sale securities is to be recorded as an adjustment to a
separate component of shareholders' equity, net of income tax effect.
Accordingly, for the three-month period ended June 30, 1999 and 1998,
the Company recognized a corresponding adjustment in the net
unrealized gain component of equity.
Since comprehensive income is a measure of all changes in equity of an
enterprise that result from transactions and other economic events of
the period, this change in unrealized gain serves to increase or
decrease comprehensive income. The following table represents
comprehensive income for the three and six month-periods ended June
30, 1999 and 1998:
<TABLE>
Three Months Six Months
Ended Ended
June 30, June 30,
1999 1998 1999 1998
<S> <C> <C> <C> <C>
Net income $2,049 $2,176 $4,284 $4,419
Other comprehensive income,
net of tax:
Unrealized gain(loss) on
securities (1,984) (75) (3,199) 758
Comprehensive income $ 65 $2,101 $1,085 $5,177
</TABLE>
4. MARKET RISK
There have been no material changes in reported market risks since
year-end.
5. PENDING ACCOUNTING PRONOUNCEMENTS
In June 1999, the Financial Accounting Standards Board ("FASB") issued
Statement of Financial Accounting Standards ("SFAS")No. 137,
Accounting for Derivative Instruments and Hedging Activities-Deferral
of the Effective Date of FASB Statement No. 133. This statement
encourages earlier application, but delays the effective date of
Statement 133 from fiscal quarters of all fiscal years beginning after
June 15, 1999 to fiscal quarters of all fiscal years beginning after
June 15, 2000. In accordance with the new standard, management will
continue to evaluate the impact and defer implementations as the
standard allows.
6. SEGMENT REPORTING
Under SFAS No. 131, Disclosures About Segments of an Enterprise and
Related Information, certain information is disclosed for the two
reportable operating segments of the Company, First United Security
Bank ("FUSB") and Acceptance Loan Company, Inc. ("ALC"). The
reportable segments were determined using the internal management
reporting system. They are composed of the Company's significant
subsidiaries. The accounting policies for each segment are the same
as those used by the Company as described in Note 2 of the Company's
Annual Consolidated Financial Statements, Summary of Significant
Accounting Policies. The segment results include certain overhead
allocations and intercompany transactions that were recorded at
current market prices. All intercompany transactions have been
eliminated to determine the consolidated balances. The results for
the two reportable segments of the Company are included in the
following table:
<TABLE>
ALL ELIMINA- CONSOLI-
FUSB ALC OTHER TIONS DATED
For the three months
ended June 30, 1999:
<S> <C> <C> <C> <C> <C>
Net interest income $ 4,580 $ 2,697 $ 766 $ (727) $ 7,316
Provision for loan losses 40 797 0 0 837
Total noninterest income 837 277 1,346 (1,319) 1,141
Total noninterest expense 2,982 1,579 114 (3) 4,672
Income(loss) before income
taxes(tax benefit) 2,395 598 1,998 (2,043) 2,948
Provision for income taxes
(tax benefit) 668 233 (2) 0 899
Net income(loss) 1,727 365 2,000 (2,043) 2,049
For the six months
ended June 30, 1999:
Net interest income $ 8,925 $ 5,245 $ 1,532 $ (1,437) $ 14,265
Provision for loan losses 110 1,741 0 0 1,851
Total noninterest income 2,128 580 2,870 (2,866) 2,712
Total noninterest expense 5,883 2,945 175 (8) 8,995
Income(loss) before income
taxes(tax benefit) 5,060 1,139 4,227 (4,295) 6,131
Provision for income taxes
(tax benefit) 1,405 444 (2) 0 1,847
Net income(loss) 3,655 695 4,229 (4,295) 4,284
Other significant items:
Total assets, June 30,
1999 $456,289 $ 75,806 $61,329 $(129,771) $463,653
Total interest income
from external customers,
six months ended
June 30, 1999 $ 13,620 $ 7,970 $ 60 $ 0 $ 21,650
Total interest income
from affiliates,
six months ended
June 30, 1999 $ 2,720 $ 0 $ 0 $ (2,720) $ 0
</TABLE>
<TABLE>
ALL ELIMINA- CONSOLI-
FUSB ALC OTHER TIONS DATED
For the three months
ended June 30, 1998:
<S> <C> <C> <C> <C> <C>
Net interest income $ 4,940 $ 1,711 $ 723 $ (674) $ 6,700
Provision for loan losses 140 477 0 0 617
Total noninterest income 943 231 1,818 (1,809) 1,183
Total noninterest expense 2,928 1,132 363 (253) 4,170
Income(loss) before income
taxes(tax benefit) 2,815 333 2,178 (2,230) 3,096
Provision for income taxes
(tax benefit) 788 134 2 (4) 920
Net income(loss) 2,027 199 2,176 (2,226) 2,176
For the six months
ended June 30, 1998:
Net interest income $ 9,951 $ 3,082 $ 4,802 $ (4,736) $ 13,099
Provision for loan losses 350 900 0 0 1,250
Total noninterest income 1,928 441 40 (15) 2,394
Total noninterest expense 5,861 2,031 425 (253) 8,064
Income(loss) before income
taxes(tax benefit) 5,668 592 4,417 0 6,179
Provision for income taxes
(tax benefit) 1,532 230 (2) 0 1,760
Net income(loss) 4,136 362 4,419 (4,498) 4,419
Other significant items:
Total assets, June 30,
1998 $436,348 $ 56,888 $57,412 $108,333 $442,315
Total interest income
from external customers,
six months ended
June 30, 1998 $ 15,625 $ 5,033 $ 67 $ 0 $ 20,725
Total interest income
from affiliates,
six months ended
June 30, 1998 $ 1,952 $ 0 $ 0 $ (1,952) $ 0
</TABLE>
<PAGE>
Item 2.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS
The following discussion and analysis are presented to aid in an
understanding of the current financial position and results of operations
of United Security Bancshares, Inc. ("United Security"). United Security
is the parent holding company of United Security Bank (the "Bank"), and it
has no operations of any consequence other than the ownership of its
subsidiaries.
The emphasis of this discussion is a comparison of Assets, Liabilities, and
Capital for the six months ended June 30, 1999 to year-end 1998; while
comparing income for the three and six months period ended June 30, 1999,
to income for the three and six months period ended June 30, 1998.
All yields and ratios presented and discussed herein are based on the cash
basis and not on the tax-equivalent basis.
COMPARING THE THREE MONTHS ENDED JUNE 30, 1999, TO THE THREE MONTHS ENDED
JUNE 30, 1998:
The increase in interest income was due to increases in interest on loans.
This increase is due to both an increase in the average loans outstanding
and an increase in the average yield.
The $502,000, or 12.04%, increase in noninterest expense was primarily
attributed to increases in salaries and employee benefits expenses of
$300,000 and an increase in other noninterest expenses of $211,000, or
18.81%. A significant portion of the increase in salaries and employee
benefits expenses is associated with the costs of adding offices to the
Bank and Acceptance Loan Company, a wholly owned subsidiary of First United
Security Bank.
Net income decreased $127,000, or 5.84%, resulting in a decrease of basic
net income per share to $.58. This was due to the factors discussed above
and an increase in the provision for loan losses of $220,000, as described
below.
COMPARING THE SIX MONTHS ENDED JUNE 30, 1999 TO THE SIX MONTHS ENDED JUNE
30, 1998.
Net income decreased $135,000, or 3.05%, thus decreasing net income per
share to $1.20 from $1.25. The decrease is primarily attributable to a
$241,000, or 3.16% increase in interest expense and a $931,000, or 11.55%
increase in noninterest expense with a $601,000 increase in the provision
for loan losses. The increase in the provision for loan losses was
primarily a result of continued growth in Acceptance Loan Company ("ALC"),
a wholly owned subsidiary of the Bank, and further analysis of ALC's
portfolios. The allowance for loan losses reflects management's estimates,
which take into account historical experience, the amount of nonperforming
assets and general economic conditions. The increase in interest income
was due to increases in interest on loans. This increase is due both to an
increase in the average loans outstanding and an increase in the average
yield. The $931,000 increase in noninterest expense was primarily
attributed to increases in salaries and employee benefits expenses of
$670,000 and other expenses of $260,000. A significant portion of this
increase is associated with the cost of adding offices to the Bank and ALC.
COMPARING THE JUNE 30, 1999 STATEMENT OF FINANCIAL CONDITION TO DECEMBER
31, 1998
In comparing financial condition at December 31, 1998 to June 30, 1999
liquidity and capital resources did not materially change during the
period. Total assets, increased $13.6 million to $464 million, while
liabilities increased $13.8 million to $403 million. Retained earnings
increased $3 million, or 5.61%, due to earnings in excess of dividends paid
during the period. This change and a decrease of $3 million in accumulated
other comprehensive income decreased shareholders' equity by $202,000 to
$60.3 million.
CAPITAL RESOURCES:
The Bank's primary sources of funds are customer deposits, repayments of
loan principal, and interest from loans and investments, While scheduled
principal repayments on loans and mortgage-backed securities are a
relatively predictable source of funds, deposit flows, and loan prepayments
are greatly influenced by general interest rates, economic conditions, and
competition. The Bank manages the pricing of its deposits to maintain a
desired deposit balance. In addition, the Bank invests in short-term
interest-earning assets, which provide liquidity to meet lending
requirements.
The Bank is required to maintain certain levels of regulatory capital. At
June 30, 1999 and December 31, 1998, United Security and the Bank were in
compliance with all regulatory capital requirements.
Management is not aware of any condition that currently exists that would
have any adverse effects on the liquidity, capital resources, or operation
of United Security Bancshares, Inc. However, the Company is a defendant in
certain claims and legal actions arising in the ordinary course of
business. In the opinion of management, after consultation with legal
counsel, the ultimate disposition of these matters is not expected to have
a material adverse effect on the financial position of the Company.
YEAR 2000 PROBLEM
The Year 2000 ("Y2K") problem is the programming problem caused by some
computer software programs and hardware systems using only two digits to
indicate a year and assuming that the first two digits of any year are
"19". Risks to the Company if its computer systems are not Y2K compliant
include the inability to process customer deposits or checks drawn on the
Bank, inaccurate interest accruals and maturity dates of loans and time
deposits, and the inability to update accounts for daily transactions.
Other risks to the Company exist if certain of its vendors', suppliers',
and customers' computer systems are not Y2K compliant. These risks include
the inability of the Bank to communicate with the centralized date
processing center if phone systems are not working, the interruption of
business in the event of power outages, the inability of loan customers to
comply with repayment terms if their businesses are interrupted, and the
inability to make payment for checks drawn on the Bank, receive payment for
checks deposited by the Bank's customers, or invest excess funds if the
Federal Reserve Bank's or correspondent banks' are not Y2K compliant. The
Company's most important mission critical system is the software and
hardware responsible for maintaining and processing general ledger,
deposits, and loan accounts. The Bank has satisfactorily completed testing
of all in-house systems. The Company continues to contact its key
vendors, suppliers, and customers to determine their Y2K compliance. This
phase of preparedness should be completed by June 30, 1999. The Company
has completed a contingency plan with testings and training continuing.
Total expenditures for Y2K compliance has been approximately $175,000 with
an additional $25,000 expected by year-end.
<PAGE>
PART II. OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibit 27 is filed with this report.
<PAGE>
SIGNATURE PAGE
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.
UNITED SECURITY BANCSHARES, INC.
DATE: 8/13/99
BY: /s/Larry M. Sellers
It's Vice-President, Secretary, and Treasurer
(Duly Authorized Officer and Principal Financial Officer)
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 9
<LEGEND>
This schedule contains summary financial information extracted from the
financial statements of United Security Bancshares, Inc. for the six months
ended June 30, 1999, and is qualified in its entirety by reference to such
financial statements.
</LEGEND>
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> JUN-30-1999
<CASH> 11,070
<INT-BEARING-DEPOSITS> 3,532
<FED-FUNDS-SOLD> 1,875
<TRADING-ASSETS> 3,938
<INVESTMENTS-HELD-FOR-SALE> 158,494
<INVESTMENTS-CARRYING> 0
<INVESTMENTS-MARKET> 0
<LOANS> 255,540
<ALLOWANCE> 5,644
<TOTAL-ASSETS> 463,653
<DEPOSITS> 329,133
<SHORT-TERM> 2,380
<LIABILITIES-OTHER> 5,986
<LONG-TERM> 65,788
0
0
<COMMON> 36
<OTHER-SE> 60,330
<TOTAL-LIABILITIES-AND-EQUITY> 463,653
<INTEREST-LOAN> 16,139
<INTEREST-INVEST> 5,511
<INTEREST-OTHER> 0
<INTEREST-TOTAL> 21,650
<INTEREST-DEPOSIT> 6,066
<INTEREST-EXPENSE> 7,385
<INTEREST-INCOME-NET> 14,265
<LOAN-LOSSES> 1,851
<SECURITIES-GAINS> 519
<EXPENSE-OTHER> 2,481
<INCOME-PRETAX> 6,131
<INCOME-PRE-EXTRAORDINARY> 6,131
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 4,284
<EPS-BASIC> 1.20
<EPS-DILUTED> 1.20
<YIELD-ACTUAL> 6.86
<LOANS-NON> 2,329
<LOANS-PAST> 521
<LOANS-TROUBLED> 766
<LOANS-PROBLEM> 5,752
<ALLOWANCE-OPEN> 4,989
<CHARGE-OFFS> 1,674
<RECOVERIES> 238
<ALLOWANCE-CLOSE> 5,644
<ALLOWANCE-DOMESTIC> 5,644
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
