SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended: September 30, 1995
OR
[ ] TRANSACTION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from _______________ to _______________
Commission file Number 0-12709
LIBERTY BANCORP, INC.
(Exact Name of Registrant as specified in its charter)
Oklahoma 73-1218204
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification Number)
100 North Broadway
Oklahoma City, OK 73102
(Address of principal executive offices)
(Zip Code)
(405) 231-6000
(Registrant's telephone number, including area code)
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 CORPORATE ISSUERS:
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date.
Class Outstanding as of November 13, 1995
----- -----------------------------------
Common Stock 9,477,294
FORM 10-Q
For the The Quarterly Period Ended September 30, 1995
CROSS-REFERENCE INDEX
Reference Page(s)
Quarterly Report on
Form 10-Q
PART I FINANCIAL INFORMATION
ITEM 1 FINANCIAL STATEMENTS
ITEM 2 MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
PART II OTHER INFORMATION
ITEM 1 LEGAL PROCEEDINGS
ITEM 2 CHANGES IN SECURITIES
ITEM 3 DEFAULTS UPON SENIOR SECURITIES
ITEM 4 SUBMISSION OF MATTERS TO A VOTE OF SECURITYHOLDERS
ITEM 5 OTHER INFORMATION
ITEM 6 EXHIBITS AND REPORTS ON FORM 8-K
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FINANCIAL HIGHLIGHTS Liberty Bancorp, Inc.
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September 30
(In thousands, except Nine Months Ended Three Months Ended
per share data) 1995 1994 1995 1994
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For the Third Quarter
Total revenues $ 179,160 $ 145,411 $ 59,819 $ 49,064
Net interest income 62,207 57,886 21,557 19,540
Provision for loan losses 200 _ 200 _
Trust fees 11,895 11,941 4,127 3,771
Mortgage banking income 4,649 4,824 1,645 1,434
Other noninterest income 31,848 26,102 9,534 7,902
Noninterest expense 81,725 83,559 25,571 27,330
Income before provision
for income taxes 28,674 17,194 11,092 5,317
Provision for income taxes 9,159 (3,523) 3,581 (5,291)
Net income 19,515 20,717 7,511 10,608
Per share data _ primary and
fully-diluted
Net income 1.98 2.11 .76 1.08
Cash dividends declared .60 .45 .20 .15
- -------------------------------------------------------------------------------
At September 30
Loans $1,387,495 $1,118,414 $1,387,495 $1,118,414
Earning assets 2,289,026 2,163,284 2,289,026 2,163,284
Assets 2,704,750 2,575,883 2,704,750 2,575,883
Deposits 2,151,779 2,110,046 2,151,779 2,110,046
Total shareholders'
investment 257,547 233,655 257,547 233,655
Book value per common share 27.20 24.64 27.20 24.64
- -------------------------------------------------------------------------------
Average Balances
Earning assets $2,309,068 $2,180,306 $2,286,231 $2,150,545
Assets 2,710,699 2,567,099 2,680,517 2,528,330
Deposits 2,182,900 2,087,349 2,126,836 2,049,881
Total shareholders'
investment 248,280 227,379 255,359 227,960
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Ratios
Capital ratios
Leverage 9.02% 8.68% 9.02% 8.68%
Risk-based 14.46 15.41 14.46 15.41
Average shareholders'
investment as a % of
average total assets 9.16 8.86 9.53 9.02
Average earning assets
as a % of average
total assets 85.18 84.93 85.29 85.06
Rate of return on
Average earning assets 1.13 1.27 1.30 1.96
Average total assets .96 1.08 1.11 1.66
Average total shareholders'
investment 10.51 12.18 11.67 18.46
Dividend payout ratio 30.30 21.33 26.32 13.89
Operating efficiency ratio 76.96 81.88 68.55 82.24
Liberty Bancorp, Inc. and its subsidiaries ("Liberty") provide a broad
range of banking and financial services to meet the diverse needs of individual
and corporate customers in the Oklahoma City and Tulsa metropolitan areas,
Oklahoma and the Mid-America region. Liberty Bank and Trust Company of
Oklahoma City, N.A. ("Liberty Oklahoma City") and Liberty Bank and Trust
Company of Tulsa, N.A. ("Liberty Tulsa") are Liberty's principal subsidiaries.
Liberty Mortgage Company, a subsidiary of Liberty Oklahoma City, engages in
mortgage banking activities.
Liberty has twenty nine full-service banking locations in Oklahoma from
which it provides its financial services. These locations are in Oklahoma
City, Tulsa, Edmond, Norman, Choctaw, Jenks, Harrah and Midwest City. In
addition, it has three limited service detached drive-in facilities in Oklahoma
City, Tulsa and Norman. Liberty Mortgage Company ("LMC") conducts residential
mortgage operations from the main Liberty Oklahoma City location and two
Liberty banking centers including one location in Oklahoma City and one in
Tulsa. Commercial mortgage operations are available at the main bank location
of Liberty Oklahoma City and an LMC branch in Tulsa.
The banking industry, both locally and nationally, is experiencing an
expansion and consolidation trend which most likely will continue to present
acquisition opportunities. Liberty will systematically evaluate these
possibilities for the acquisition of smaller institutions as well as potential
combinations with larger institutions to determine whether they may offer the
potential for further enhancing shareholder value and otherwise meeting
Liberty's corporate objectives..
This Financial Review should be read in conjunction with the consolidated
financial statements, notes to the consolidated financial statements and the
supplemental statistical and financial data presented elsewhere in this report.
Performance Summary: First Nine Months of 1995
Compared to First Nine Months of 1994
For the first nine months of 1995, Liberty reported net income of $19.5
million or $1.98 per common share. This compares to net income of $20.7
million or $2.11 per common share for the first nine months of 1994. The
decrease in net income for the first nine months of 1995 is primarily due to an
increase in the effective income tax rate which increased the provision for
income taxes by $12.7 million offset by net gains on the sale of securities
totaling $6.0 million and a $4.3 million increase in noninterest income. Net
income before the provision for income taxes for the first nine months of 1995
totaled $28.7 million compared to $17.2 million for the same period in 1994.
Income tax provisions are discussed below under "Income Taxes."
Net Interest Income
On a tax-equivalent basis, net interest income increased $4.5 million or
7.5% in the first nine months of 1995 to $64.0 million compared to $59.5
million for the first nine months of 1994. The increase is primarily due to
the continued increase in higher yielding loan levels as well as a decrease in
lower-yielding taxable securities and interest collected on nonaccrual loan
payoffs. The net interest margin for the first nine months of 1995 increased
to 3.71% from 3.65% in the first nine months of 1994.
Tax-equivalent interest income increased $28.4 million to $132.6 million
for the first nine months of 1995 compared to $104.2 million in the same period
of 1994 due primarily to the increase in loan volumes and interest rates.
Liberty's average loans increased $230 million and its yield on loans increased
from 7.7% to 8.8%. Funding for the increased loan levels was provided by
investment securities sales and maturities not reinvested and by increased
interest-bearing deposit levels. Securities averaged $103 million below the
first nine months of 1994 but the yield improved 98 basis points from 5.3% to
6.3% as maturities not used to fund the increased loan demand were invested in
higher yielding securities. These yield and volume mix changes as well as a
national increase in interest rates resulted in the yield on average earning
assets increasing from 6.4% in 1994 to 7.7% in 1995.
Total interest expense increased $23.9 million to $68.6 million for the
first nine months of 1995 compared to $44.7 million for the same period in
1994. This increase was attributable to the higher interest rates on all fund
sources, an increase of $135.9 million in average interest-bearing deposits,
and $40.3 million lower average noninterest-bearing deposits. The average
deposit increases occurred primarily in the money market account deposits and
also in large deposit liabilities especially, where some maturities have been
extended. As a result, Liberty's cost of funds increased from 3.5% in 1994 to
4.9% in 1995.
Noninterest Income
Noninterest income for the first nine months of 1995 increased $5.5
million or 12.9% from the first nine months of 1994. The largest factor of
this increase was in net securities gains which increased $5.8 million due to
sales of equity and available for sale securities in 1995. Net securities
gains for the first nine months of 1995 totaled $6.2 million compared to $360
thousand for the same period of 1994. Other changes from the first nine months
of 1994 included service charges on deposits which increased $406 thousand,
loan fees which decreased $336 thousand and mortgage banking income which
decreased $175 thousand. Other noninterest income totaled $8.7 million for the
first nine months of both 1995 and 1994. This included a gain of $948 thousand
on the sale of property in 1995 and a $1.1 million gain on the sale of mortgage
servicing recognized in 1994.
Noninterest Expense
Noninterest expense (excluding net income from the operation of OREO,
which is discussed separately below in "Reserve for Other Real Estate and
Assets Owned") decreased $1.1 million or 1.3% to $83.9 million for the first
nine months of 1995 compared to $85.0 million for the same period one year ago.
The largest decrease was in salaries and employee benefits which decreased $1.9
million or 4.8% in 1995, primarily due to employee count reductions in the
latter half of 1994.
The deposit insurance assessment declined $988 thousand due to a refund by
the Federal Deposit Insurance Corporation of $1.2 million before income taxes.
This refund is a result of a decrease in the deposit insurance rates of highly
capitalized commercial banks from $.23 per hundred dollars of deposits to $.04
per hundred dollars of deposits. The reduced rates going forward at current
deposit levels will result in approximately a $1.8 million improvement in the
Company's annual net income.
Professional and other service expenses decreased $671 thousand or 10.6%,
largely as a result of reductions in the use of temporary employee services.
Equipment expense increased $648 thousand or 9.5% due to increased depreciation
on new data processing and other equipment. Other noninterest expense
increased $966 million or 11.8%. Included in this increase were provisions for
$1.8 million to cover expenses related to anticipated payments, settlements and
costs of various matters, including legal proceedings which occurred in the
ordinary course of business. This provision is offset by decreases in expenses
for software, telephone service and other items.
Liberty's operating efficiency ratio for the first nine months of 1995 was
77.0% compared to 81.9% in 1994. The operating efficiency ratio is defined as
noninterest expense as a percent of net interest income on a tax equivalent
basis plus noninterest income less security gains or losses.
Income Taxes
Liberty recorded $9.2 million in income tax expense (32% effective tax
rate) for the first nine months of 1995. During the third quarter of 1994
Liberty recorded a tax benefit resulting from its determination that it would
generate sufficient taxable income in future periods to use a significant
portion of its net operating loss carryforwards which had been impaired in
1993. Prior to the third quarter of 1994, a valuation allowance had been
provided equal to Liberty's net operating loss carryforwards. Benefits
associated with these net operating loss carryforwards, prior to third quarter
1994, were recognized when realized. In the third quarter of 1994, the
valuation allowance was removed based on Liberty's estimate that it was more
likely than not that sufficient taxable income would be generated to allow
Liberty to utilize its remaining net operating loss carryforwards. It is
estimated that future effective income tax rates will approximate the statutory
rate less the effects of permanent differences, primarily tax-exempt interest
income.
Performance Summary: Third Quarter of 1995
Compared to Third Quarter 1994
During the third quarter of 1995 the Company reported net income of $7.5
million or $.76 per common share compared to net income of $10.6 million or
$1.08 per share for the third quarter of 1994. The primary changes between
periods were in net interest income, the deposit insurance assessment, net OREO
income and the provision for income taxes. Net income before the provision
for income taxes was $11.1 million for the third quarter of 1995 and $5.3
million for the third quarter of 1994. The difference in the provisions for
income taxes for the two quarters is explained previously under "Income Taxes."
Net Interest Income
On a tax-equivalent basis, net interest income for the third quarter of
1995 increased $2.2 million or 11.0% to $22.2 million from $20.0 million in the
third quarter of 1994. The tax-equivalent net interest margin was 3.85% for
the third quarter of 1995 compared to 3.69% for the same period one year ago.
Tax-equivalent interest income increased $8.7 million to $45.1 million for
the third quarter of 1995 compared to $36.4 million in the same period of 1994
due primarily to increased interest rates and a $240.6 million increase in
average loans. The yield on average earning assets increased from 6.72% to
7.83% primarily due to factors as mentioned in the year-to-date analysis.
Total interest expense amounted to $23.0 million for the third quarter of
1995 compared to $16.4 million in the same period of 1994, primarily reflecting
higher interest rates and higher levels of interest-bearing liabilities as
described in the year-to-date analysis. The cost of funds increased to 4.97%
in the third quarter of 1995 from 3.84% the previous year's third quarter.
Noninterest Income
Noninterest income increased $2.2 million or 16.8% in the third quarter of
1995 compared to the third quarter of 1994. This increase is due to several
factors including gains of $869 thousand on sales of property, trust fees
which increased $356 thousand, net securities gains which increased $322
thousand and service charges on deposits which increased $291 thousand.
Noninterest Expense
Noninterest expense, excluding net income from the operation of OREO,
decreased $701 thousand during the third quarter 1995 as compared the same
period in 1994. This decrease is primarily due to the $1.2 million refund of
the deposit insurance assessment from the Federal Deposit Insurance Corporation
as discussed in the year-to-date analysis partially offset by increases in data
processing and other expenses.
Credit Risk Management
Nonperforming assets include nonperforming loans and other real estate and
assets owned net of reserves. Total nonperforming assets have decreased $1.0
million or 6.1% since year-end 1994. The level of nonperforming assets at
September 30, 1995 of $17.9 million is $460 thousand or 2.6% less than the
$17.5 million level one year ago. At September 30, 1995, total nonperforming
assets were 1.4% of total loans and other real estate and assets owned and .7%
of total assets.
Nonperforming loans decreased by $3.8 million to $15.3 million or 32.8%
since December 31, 1994 and decreased by $4.9 million or 47.3% from one year
earlier. Of the nonperforming loans at September 30, 1995, 30.9% were real es-
tate-related. Nonperforming loans at September 30, 1995 represented 1.1% of
total loans.
Reserve for Loan Losses
The reserve for loan losses at September 30, 1995 was 107.37% of total
nonperforming loans and 1.19% of total loans. A $200 thousand provision was
made in the third quarter of 1995. As loans continue to increase, Liberty
expects to continue to provide additional reserves for the foreseeable future.
No provisions for loan losses were made during the first nine months of 1994.
The following table summarizes the reserve for loan loss activity for the first
nine months of 1995 and 1994:
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Reserve for Loan Losses
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(In thousands) 1995 1994
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Balance at January 1 $19,081 $19,986
Additions
Recoveries 1,483 1,053
Provisions 200 _
Less _ Charge-offs (4,292) (1,422)
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Balance at September 30 $16,472 $19,617
===============================================================================
Charge-offs for the nine months ended September 30, 1995 increased $2.9
million over the same period in 1994 primarily due to one commercial loan
partially charged off in the amount of $2.1 million. In addition, the higher
level of charge-offs during 1995 reflects the increase in loan levels.
Liberty adopted Statement of Financial Accounting Standards ("SFAS") No.
114 "Accounting by Creditors for Impairment of a Loan" and SFAS No. 118
"Accounting by Creditors for Impairment of a Loan _ Income Recognition and
Disclosure" as of January 1, 1995. SFAS No. 114 requires that certain impaired
loans be measured based on the present value of expected future cash flows
discounted at the loan's original effective interest rate. As a practical
expedient, impairment may be measured based on the loan's observable market
price or the fair value of the collateral if the loan is collateral dependent.
When the measure of the impaired loan is less than the recorded investment in
the loan, the impairment is recorded through a valuation allowance.
Liberty had previously measured the reserve for loan losses using methods
similar to those prescribed in SFAS No. 114. As a result of adopting these
statements, no additional reserve for loan losses was required as of January 1,
1995.
At September 30, 1995, Liberty classified $13.7 million of loans as
impaired with an associated valuation allowance of $1.9 million. Interest
income on impaired loans has been recorded by Liberty in a manner consistent
with its income recognition policies for other loans.
Other Real Estate and Assets Owned
Net OREO decreased $2.8 thousand or 51.8% since year-end 1994 and $4.5
million or 63.5% from September 30, 1994. These reductions have primarily been
the result of sales. Net OREO at September 30, 1995 was $2.6 million. Net
income from the operation of OREO amounted to $2.1 million and $1.5 million for
the first nine months of 1995 and 1994, respectively. The results of the
operation of OREO include operating income generated and gains from the sale of
OREO properties, reduced by expenses related to the operation of OREO. Included
in income from the operation of OREO for the nine months ended September 30,
1995 are $2.2 million in gains from the sale of OREO and $116 thousand of other
gross income on OREO properties. This compares with gains of $1.7 million and
other gross income of $239 thousand for the first nine months of 1994.
The following table illustrates the changes in the reserve for the first
nine months of 1995 and 1994:
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Reserve for Losses on Other Real Estate and Assets Owned
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(In thousands) 1995 1994
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Balance at January 1 $1,042 $2,521
Provisions for losses _ _
Charge-offs (119) (1,014)
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Balance at September 30 $ 923 $1,507
===============================================================================
Asset and Liability Management
A senior management committee, the Investment/Asset/Liability Committee,
has the responsibility for monitoring and coordinating the asset and liability
positions, interest rate sensitivity, liquidity and other resource planning
strategies of Liberty on an ongoing basis. This committee monitors the
anticipated effects of interest rate changes on both earnings and market value
of capital for interest rate moves from 50 to 400 basis points. In addition,
the committee has recommended policies which the Board of Directors has adopted
setting limits within which the asset/liability risk positions are to be
maintained.
As a result of increased holdings of loans, Liberty was a net purchaser of
federal funds and securities under repurchase agreements averaging $75.8
million for the first nine months of 1995 compared to $84.3 million for the
same period in 1994.
Liquidity is the ability to meet financial obligations for the payment of
funds. Some of the sources of funds to provide liquidity include core
deposits, large certificates of deposit, federal funds purchased from both
upstream and downstream banks, sale of securities under agreements to
repurchase, Treasury Tax and Loan accounts, investment securities held in the
available-for sale account which can be sold or pledged for borrowing at the
Federal Reserve discount window or the Federal Home Loan Bank and the
availability of loans and investment securities held in the held-to-maturity
account which can be pledged for borrowings at the Federal Reserve discount
window or the Federal Home Loan Bank.
Liberty's long-standing policy is to maintain as balanced a position in
interest-sensitive assets and liabilities as possible with a goal to achieve
consistent interest margins in all interest rate environments. Liberty is
liability sensitive largely due to the short-term nature of its deposits,
especially savings and money market accounts, and short-term borrowings. Be-
cause of this liability sensitivity, Liberty's net interest margin in the near
term may be vulnerable to upward trends in interest rates, but not outside of
policy ranges.
The net interest margin of Liberty has been impacted by an increase in
interest rates, as experienced in the past year and through the second quarter
of 1995. Due to the increase in loan volume, restructuring of the available
for sale portfolio into higher yields and more stable cost of funds in the
third quarter, Liberty's net interest margin has improved significantly.
Normally, because Liberty is liability sensitive, in the short-term its li-
abilities reprice at the higher rates sooner than its assets. As such, the net
interest margin is narrowed as liabilities are repriced or mature. However, the
increase in liability rates, particularly in a increasing rate environment, may
not increase as much as asset rates depending on the timing of the decision to
increase consumer deposit rates. Liberty monitors its interest-sensitivity
position on a continuing basis to ensure that interest rate changes do not
create a material adverse impact. Liberty also adjusts its asset and liability
structures, to the extent possible, to allow for projected rate changes.
Capital Funds
Shareholders' investment as a percentage of total assets amounted to 9.5%
at September 30, 1995 compared to 8.1% at December 31, 1994 and 9.1% at
September 30, 1994.
Capital adequacy is currently measured by banking regulators using various
capital criteria and ratios. Tier 1 capital for bank holding companies in-
cludes common equity and perpetual preferred stock (subject to certain
limitations) minus intangible assets. Tier 2 capital includes supplementary
elements such as limited amounts of reserve for loan losses, perpetual pre-
ferred stock (in excess of Tier 1 limits), subordinated debt and other items.
The leverage ratio, defined as Tier 1 capital divided by average adjusted total
assets, limits the amount of leverage a bank can undertake because of the
ratio's emphasis on equity or core capital. Liberty's leverage ratio was 9.02%
on Tier 1 capital of $240.2 million at September 30, 1995 compared to 8.67% on
$226.4 million at December 31, 1994 and 8.68% on $218.0 million at September
30, 1994. All but the most highly-rated banks are required to carry a minimum
leverage ratio of 3% plus a cushion of 1 to 2%.
The risk-based capital ratio, defined as total capital (Tier 1 plus Tier
2) divided by risk-weighted assets, is the regulators' other primary de-
terminant of capital adequacy and was designed principally as a measure of
credit risk. Banking organizations have been given a risk-based capital ra-
tio requirement of 8%. Liberty had a risk-based capital ratio at September 30,
1995 of 14.5%. This compares to 15.43% at December 31, 1994 and 15.41% at
September 30, 1994. Liberty Oklahoma City and Liberty Tulsa had risk-based
capital ratios at September 30, 1995 of 13.9% and 12.9%, respectively. The
Federal Deposit Insurance Corporation assesses insurance premiums based in part
on the level of capital with banks which are "well capitalized" paying
assessments at lower rates. Liberty's and its subsidiary banks' capital ratios
are significantly higher than the current guidelines and the subsidiary banks
are "well capitalized" for deposit insurance assessment purposes.
Parent Company Funding Sources and Dividends
At September 30, 1995, the parent company had cash and interest-bearing
deposits of $4.8 million compared to $6.2 million at year-end 1994 and $4.2
million at September 30, 1994. The primary change in the funding position of
the parent company since year-end 1994 was the sale of equity securities in
February 1995 totaling $5.2 million, offset by an advance to Liberty Real
Estate in the amount of $750 thousand and the payments of estimated income
taxes in June and September 1995 totaling $5.1 million.
The parent company's ability to fund various operating expenses and
dividends is generally dependent on parent-only earning power, cash reserves
and funds derived from its subsidiaries, principally Liberty Oklahoma City and
Liberty Tulsa. These funds historically have been provided primarily by in-
tercompany dividends and management fees. Management fees are generally
limited to reimbursement of actual expenses. It is anticipated that the parent
company's recurring cash sources will continue to include management fees from
subsidiaries, proceeds from the sale of other assets (principally other real
estate and assets owned) and retained rights to any gains from the sales of
mortgage servicing and other assets. Dividends are paid by the subsidiary
banks from time to time to support the parent company's activities. Liberty
Oklahoma City and Liberty Tulsa are limited in their ability to pay dividends
based on applicable provisions of the National Bank Act pertaining to earnings
and undivided profits. As of September 30, 1995 the ability of Liberty
Oklahoma City and Liberty Tulsa to pay dividends without regulatory approval
was limited to $39.5 million and $15.9 million, respectively.
Liberty paid cash dividends of $5.7 million or $.60 per share in the first
nine months of 1995.. This compares to cash dividends in the first nine months
of 1994 of $4.3 million or $.45 per share. It is expected that such cash
dividends will continue if justified by Liberty's earnings, capital adequacy
and financial condition.
In management's opinion, the parent company's current liquidity and cash
sources are anticipated to be adequate to meet its obligations in the near
term.
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SELECTED STATISTICAL INFORMATION Liberty Bancorp, Inc.
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Consolidated Summary of Quarterly Financial Information
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(In thousands, except per share data)
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For quarter ended 9/30/95 6/30/95 3/31/95 12/31/94 9/30/94
- -------------------------------------------------------------------------------
Interest income $44,513 $44,584 $41,671 $38,796 $35,957
Interest income (tax
equivalent) 45,143 45,165 42,250 39,353 36,412
Interest expense 22,956 22,972 22,633 19,002 16,417
Net interest income 21,557 21,612 19,038 19,794 19,540
Provision for loan losses 200 _ _ _ _
Trust fees 4,127 3,824 3,944 3,641 3,771
Mortgage banking income 1,645 1,486 1,518 1,418 1,434
Other noninterest income 9,534 10,114 12,200 11,135 7,902
Noninterest expense 25,571 28,068 28,086 28,212 27,330
Net income 7,511 6,099 5,905 5,159 10,608
Net income per share .76 .62 .60 .53 1.08
Common stock price range
High 37.25 35.75 31.75 33.50 33.50
Low 32.25 29.75 29.25 27.75 30.75
Close 36.75 32.50 30.19 29.00 33.50
At Quarter End
Shares of common stock,
net of treasury stock
Outstanding 9,468 9,482 9,467 9,474 9,484
Fully-diluted 9,871 9,866 9,816 9,803 9,836
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Average Balances/Net Interest Margin/Rates (1)
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Year-to-Date 1995 1994
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Average Average Average Average
(In thousands) Balance Interest Rate Balance Interest Rate
- -------------------------------------------------------------------------------
Assets
Loans (2) $1,249,526 $ 82,585 8.84% $1,019,185 $ 58,321 7.65%
Investment
securities (3)
Taxable 934,298 43,334 6.20 1,050,005 40,738 5.19
Nontaxable 65,797 3,924 7.97 52,363 3,294 8.41
Trading account
securities 3,532 191 7.23 3,770 171 6.06
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Total securities 1,003,627 47,449 6.32 1,106,138 44,203 5.34
Federal funds sold
and securities
purchased under
agreements to
resell and other 55,915 2,524 6.04 54,983 1,679 4.08
- -------------------------------------------------------------------------------
Total earning
assets 2,309,068 132,558 7.68 2,180,306 104,203 6.39
Cash and due from
banks-
noninterest-
bearing 257,250 254,023
Reserve for loan
losses (18,715) (19,924)
Other assets 163,096 152,694
---------- ----------
Total assets $2,710,699 $2,567,099
========== ==========
Liabilities and Shareholders'
Investment
Interest-bearing
deposits
Savings and
money market
accounts $ 782,051 $ 21,663 3.70% $ 705,812 $ 13,778 2.61%
Other time
deposits 821,692 36,142 5.88 762,074 24,266 4.26
- -------------------------------------------------------------------------------
Total interest-
bearing
deposits 1,603,743 57,805 4.82 1,467,886 38,044 3.47
Federal funds
purchased and
securities sold
under agreements
to repurchase 130,985 5,567 5.68 137,091 3,903 3.81
Other borrowings 119,588 5,189 5.80 90,203 2,711 4.02
- -------------------------------------------------------------------------------
Total interest-
bearing
liabilities 1,854,316 68,561 4.94 1,695,180 44,658 3.52
Demand deposits 579,157 619,463
Other liabilities 28,946 25,077
Shareholders'
investment 248,280 227,379
---------- ----------
Total liabil-
ities and
shareholders'
investment $2,710,699 $2,567,099
========== ==========
Interest income/
earning assets $132,558 7.68% $104,203 6.39%
Interest expense/
earning assets 68,561 3.97 44,658 2.74
-------- ---- -------- ----
Net interest margin $ 63,997 3.71% $ 59,545 3.65%
======== ==== ======== ====
(1) Income and rates shown on a tax-equivalent basis have been computed based
on the statutory rate of 35%.
(2) Includes nonaccrual loans.
(3) Includes available for sale securities at amortized cost for all years
presented.
<TABLE>
- -----------------------------------------------------------------------------------------------------------------------------------
Average Balances/Net Interest Margin/Rates (1)
- -----------------------------------------------------------------------------------------------------------------------------------
<CAPTION>
Three months ended September 30, 1995 June 30, 1995 March 31, 1995
- -----------------------------------------------------------------------------------------------------------------------------------
Average Average Average Average Average Average
(In thousands) Balance Interest Rate Balance Interest Rate Balance Interest Rate
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
- -------------------------------- ------------- ---------- -------- ------------- ---------- -------- ------------- ---------- -----
Assets
Loans (2) $1,334,004 $29,648 8.82% $1,240,910 $28,154 9.10% $1,171,883 $24,783 8.58%
Investment securities (3)
Taxable 821,480 13,174 6.36 956,804 14,875 6.24 1,026,867 15,285 6.04
Nontaxable 71,262 1,418 7.89 62,384 1,241 7.98 63,663 1,265 8.06
Trading account securities 3,661 64 6.94 3,766 70 7.46 3,163 57 7.31
- -------------------------------- ------------- ---------- -------- ------------- ---------- -------- ------------- ---------- -----
Total securities 896,403 14,656 6.49 1,022,954 16,186 6.35 1,093,693 16,607 6.16
Federal funds sold and securities
purchased under agreements to
resell and other 55,824 839 5.96 54,071 825 6.12 57,871 860 6.03
- -------------------------------- ------------- ---------- -------- ------------- ---------- -------- ------------- ---------- -----
Total earning assets 2,286,231 45,143 7.83 2,317,935 45,165 7.82 2,323,447 42,250 7.37
Cash and due from banks-
noninterest-bearing 255,621 252,626 263,592
Reserve for loan losses (18,545) (18,625) (18,981)
Other assets 157,210 166,376 165,797
---------- ---------- ----------
Total assets $2,680,517 $2,718,312 $2,733,855
========== ========== ==========
Liabilities and Shareholders'
Investment
Interest-bearing deposits
Savings and money market
accounts $ 782,762 $ 7,303 3.70% $ 787,954 $ 7,318 3.73% $ 775,354 $ 7,042 3.68%
Other time deposits 780,445 11,805 6.00 824,703 12,248 5.96 860,814 12,089 5.70
- -------------------------------- ------------- ---------- -------- ------------- ---------- -------- ------------- ---------- -----
Total interest-bearing
deposits 1,563,207 19,108 4.85 1,612,657 19,566 4.87 1,636,168 19,131 4.74
Federal funds purchased and
securities sold under
agreements to repurchase 121,319 1,705 5.58 129,446 1,859 5.76 142,421 2,003 5.70
Other borrowings 146,610 2,143 5.80 103,734 1,547 5.98 107,997 1,499 5.63
- -------------------------------- ------------- ---------- -------- ------------- ---------- -------- ------------- ---------- -----
Total interest-bearing
liabilities 1,831,136 22,956 4.97 1,845,837 22,972 4.99 1,886,586 22,633 4.87
Demand deposits 563,629 593,167 580,864
Other liabilities 30,393 29,583 26,824
Shareholders' investment 255,359 249,725 239,581
---------- ---------- ----------
Total liabilities and
shareholders'
investment $2,680,517 $2,718,312 $2,733,855
========== ========== ==========
Interest income/earning assets $45,143 7.83% $45,165 7.82% $42,250 7.37%
Interest expense/earning assets 22,956 3.98 22,972 3.98 22,633 3.95
------- ---- ------- ---- ------- ----
Net interest margin $22,187 3.85% $22,193 3.84% $19,617 3.42%
======= ==== ======= ==== ======= ====
<FN>
(1) Income and rates shown on a tax-equivalent basis have been computed based on the statutory rate of 35%.
(2) Includes nonaccrual loans.
(3) Includes available for sale securities at amortized cost for all years presented.
</TABLE>
<TABLE>
- ------------------------------------------------------------------------------------------------
Average Balances/Net Interest Margin/Rates (1)
- ------------------------------------------------------------------------------------------------
<CAPTION>
Three months ended December 31, 1994 September 30, 1994
Average Average Average Average
(In thousands) Balance Interest Rate Balance Interest Rate
- -------------------------------- ------------- ---------- -------- ------------- ---------- ----
<S> <C> <C> <C> <C> <C> <C>
Assets
Loans (2) $1,148,162 $23,984 8.29% $1,093,446 $21,791 7.91%
Investment securities (3)
Taxable 941,022 13,338 5.62 947,142 12,923 5.41
Nontaxable 59,387 1,190 7.95 51,208 999 7.74
Trading account securities 4,010 74 7.32 3,761 54 5.70
- -------------------------------- ------------- ---------- -------- ------------- ---------- ----
Total securities 1,004,419 14,602 5.77 1,002,111 13,976 5.53
Federal funds sold and
securities purchased under
agreements to resell and
other 56,929 767 5.35 54,988 645 4.65
- -------------------------------- ------------- ---------- -------- ------------- ---------- ----
Total earning assets 2,209,510 39,353 7.07 2,150,545 36,412 6.72
Cash and due from banks-
noninterest-bearing 269,831 247,218
Reserve for loan losses (19,549) (19,755)
Other assets 157,862 150,322
---------- ----------
Total assets $2,617,654 $2,528,330
========== ==========
Liabilities and Shareholders'
Investment
Interest-bearing deposits
Savings and money market
accounts $ 729,798 $ 5,840 3.17% $ 712,532 $ 4,968 2.77%
Other time deposits 803,382 10,357 5.11 757,631 8,885 4.65
- -------------------------------- ------------- ---------- -------- ------------- ---------- ----
Total interest-bearing
deposits 1,533,180 16,197 4.19 1,470,163 13,853 3.74
Federal funds purchased and
securities sold under
agreements to repurchase 126,592 1,599 5.01 139,733 1,532 4.35
Other borrowings 88,975 1,206 5.38 86,290 1,032 4.74
- -------------------------------- ------------- ---------- -------- ------------- ---------- ----
Total interest-bearing
liabilities 1,748,747 19,002 4.31 1,696,186 16,417 3.84
Demand deposits 607,912 579,718
Other liabilities 25,621 24,466
Shareholders' investment 235,374 227,960
---------- ----------
Total liabilities and
shareholders'
investment $2,617,654 $2,528,330
========== ==========
Interest income/earning assets $39,353 7.07% $36,412 6.72%
Interest expense/earning assets 19,002 3.41 16,417 3.03
------- ---- ------- ----
Net interest margin $20,351 3.66% $19,995 3.69%
======= ==== ======= ====
<FN>
(1) Income and rates shown on a tax-equivalent basis have been computed based on the statutory rate of 35%.
(2) Includes nonaccrual loans.
(3) Includes available for sale securities at amortized cost for all years presented.
</TABLE>
- -------------------------------------------------------------------------------
CONSOLIDATED BALANCE SHEET Liberty Bancorp, Inc.
- -------------------------------------------------------------------------------
Sept. 30, Dec. 31, Sept. 30,
(In thousands, except share data) 1995 1994 1994
- -------------------------------------------------------------------------------
Assets
Cash and due from banks
Noninterest-bearing $ 271,384 $ 361,953 $ 272,436
Interest-bearing 512 1,103 1,164
Federal funds sold and securities
purchased under agreements to resell 43,323 52,900 57,590
- -------------------------------------------------------------------------------
Total cash and cash equivalents 315,219 415,956 331,190
- -------------------------------------------------------------------------------
Trading securities 9,272 21,207 1,061
Investment securities
Available for sale 398,250 656,135 546,820
Held to maturity 431,930 416,084 418,513
Equity 18,244 18,455 19,722
- -------------------------------------------------------------------------------
Total investment securities 848,424 1,090,674 985,055
- -------------------------------------------------------------------------------
Loans 1,387,495 1,179,779 1,118,414
Less: Reserve for loan losses (16,472) (19,081) (19,617)
- -------------------------------------------------------------------------------
Loans, net 1,371,023 1,160,698 1,098,797
- -------------------------------------------------------------------------------
Property and equipment, net 66,672 68,471 67,734
Accounts receivable 17,449 25,642 14,729
Accrued income receivable 27,619 25,354 24,271
Deferred tax asset, net 12,368 21,661 23,619
Other real estate and assets owned, net 2,570 5,328 7,035
Other assets 34,134 48,708 22,392
- -------------------------------------------------------------------------------
Total assets $2,704,750 $2,883,699 $2,575,883
===============================================================================
Liabilities and Shareholders' Investment
Deposits
Noninterest-bearing $ 572,615 $ 728,240 $ 639,513
Interest-bearing 1,579,164 1,645,947 1,470,533
- -------------------------------------------------------------------------------
Total deposits 2,151,779 2,374,187 2,110,046
- -------------------------------------------------------------------------------
Other borrowings
Federal funds purchased and securities
sold under agreements to repurchase 122,844 139,700 74,702
Other 136,517 90,452 130,718
Accrued interest, expenses and taxes 21,458 17,606 16,372
Accounts payable 13,734 26,339 9,373
Other liabilities 871 1,035 1,017
- -------------------------------------------------------------------------------
Total liabilities 2,447,203 2,649,319 2,342,228
- -------------------------------------------------------------------------------
Shareholders' Investment
Common stock ($.01 par value; 50,000,000
shares authorized) 95 95 95
- --------------------------------------------
Sept. 30, Dec. 31, Sept. 30,
1995 1994 1994
- --------------------------------------------
Shares
issued 9,488,428 9,488,428 9,483,593
Shares
outstanding 9,468,093 9,474,413 9,483,593
- --------------------------------------------
Capital surplus 211,041 211,733 211,752
Retained earnings 45,795 31,972 28,235
Treasury stock, at cost _20,335 shares at
September 30, 1995 and 14,015 shares at
December 31, 1994 (724) (435) _
Unrealized security gains (losses), net of
tax 3,101 (6,854) (4,150)
Deferred compensation (1,761) (2,131) (2,277)
- -------------------------------------------------------------------------------
Total shareholders' investment 257,547 234,380 233,655
- -------------------------------------------------------------------------------
Total liabilities and shareholders'
investment $ 2,704,750 $2,883,699 $2,575,883
===============================================================================
The accompanying notes are an integral part of these consolidated financial
statements.
- -------------------------------------------------------------------------------
CONSOLIDATED STATEMENT OF INCOME Liberty Bancorp, Inc.
- -------------------------------------------------------------------------------
September 30 (In thousands, Nine Months Ended Three Months Ended
except per share data) 1995 1994 1995 1994
- -------------------------------------------------------------------------------
Interest Income
Loans $ 82,182 $ 57,849 $29,520 $21,682
Investments
Taxable 43,334 40,738 13,174 12,923
Nontaxable 2,566 2,127 926 658
Trading 162 151 54 49
Federal funds sold and other 2,524 1,679 839 645
- -------------------------------------------------------------------------------
Total interest income 130,768 102,544 44,513 35,957
- -------------------------------------------------------------------------------
Interest Expense
Deposits 57,805 38,044 19,108 13,853
Other borrowings 10,756 6,614 3,848 2,564
- -------------------------------------------------------------------------------
Total interest expense 68,561 44,658 22,956 16,417
- -------------------------------------------------------------------------------
Net Interest Income 62,207 57,886 21,557 19,540
Provision for loan losses 200 _ 200 _
- -------------------------------------------------------------------------------
Net Interest Income After Provision
for Loan Losses 62,007 57,886 21,357 19,540
- -------------------------------------------------------------------------------
Noninterest Income
Trust fees 11,895 11,941 4,127 3,771
Service charges on deposits 11,041 10,635 3,721 3,430
Mortgage banking income 4,649 4,824 1,645 1,434
Trading account profits and
commissions 2,840 3,180 918 902
Credit card fees 1,800 1,533 613 545
Loan fees 1,317 1,653 515 384
Net securities gains (losses) 6,196 360 193 (129)
Other 8,654 8,741 3,574 2,770
- -------------------------------------------------------------------------------
Total noninterest income 48,392 42,867 15,306 13,107
- -------------------------------------------------------------------------------
Noninterest Expense
Salaries 31,807 33,003 10,794 10,663
Employee benefits 6,776 7,519 2,254 2,397
Equipment 7,439 6,791 2,476 2,324
Occupancy, net 6,931 6,656 2,476 2,429
Professional and other services 5,636 6,307 2,089 2,081
Data processing 5,299 4,891 1,864 1,586
Printing, postage and supplies 4,073 3,949 1,238 1,238
Deposit insurance assessments 2,283 3,271 (46) 1,116
Advertising and business development 2,687 2,608 796 827
Amortization of intangibles, including
purchased mortgage servicing rights 1,805 1,850 623 566
Net income from operation of other
real estate and assets owned (2,146) (1,455) (1,467) (409)
Other 9,135 8,169 2,474 2,512
- -------------------------------------------------------------------------------
Total noninterest expense 81,725 83,559 25,571 27,330
- -------------------------------------------------------------------------------
Income Before Provision for Income
Taxes 28,674 17,194 11,092 5,317
Provision (benefit) for income taxes 9,159 (3,523) 3,581 (5,291)
- -------------------------------------------------------------------------------
Net Income $ 19,515 $ 20,717 $ 7,511 $10,608
===============================================================================
Net Income Per Share - Primary
and Fully-Diluted $1.98 $2.11 $.76 $1.08
===============================================================================
The accompanying notes are an integral part of these consolidated financial
statements.
<TABLE>
- -----------------------------------------------------------------------------------------------------------------------------------
CONSOLIDATED STATEMENT OF SHAREHOLDERS' INVESTMENT Liberty Bancorp, Inc.
- -----------------------------------------------------------------------------------------------------------------------------------
<CAPTION>
Unrealized
Security Total
Common Capital Retained Treasury Gains Deferred Shareholders'
(Dollars in thousands) Stock Surplus Earnings Stock (Losses) Compensation Investment
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Balance January 1, 1994 $95 $211,708 $11,785 $ (1) $ 6,184 $(2,526) $227,245
Net income _ _ 20,717 _ _ _ 20,717
Dividends paid ($.45 per share) _ _ (4,267) _ _ _ (4,267)
Amortization of deferred compensation _ _ _ _ _ 359 359
Change in unrealized gains (losses) on
available for sale securities, net of tax _ _ _ _ (10,334) _ (10,334)
Purchase of treasury stock (24,261 shares) _ _ _ (704) _ _ (704)
Common and treasury stock issued
(5,723 common and 24,312
treasury shares) _ 44 _ 705 _ (110) 639
- ---------------------------------------------------- ------- ------------ ---------- ---------- ----------- ------------ ----------
Balance September 30, 1994 $95 $211,752 $28,235 _ $(4,150) $(2,277) $233,655
==================================================== ======= ============ ========== ========== =========== ============ ==========
Balance January 1, 1995 $95 $211,733 $31,972 $ (435) $(6,854) $(2,131) $234,380
Net income _ _ 19,515 _ _ _ 19,515
Dividends paid ($.60 per share) _ _ (5,692) _ _ _ (5,692)
Amortization of deferred compensation _ _ _ _ _ 370 370
Change in unrealized gains (losses) on
available for sale securities, net of tax _ _ _ _ 9,955 _ 9,955
Purchase of treasury stock (70,697 shares) _ _ _ (2,323) _ _ (2,323)
Treasury stock issued (64,377 shares) _ (692) _ 2,034 _ _ 1,342
- ---------------------------------------------------- ------- ------------ ---------- ---------- ----------- ------------ ----------
Balance September 30, 1995 $95 $211,041 $45,795 $ (724) $ 3,101 $(1,761) $257,547
==================================================== ======= ============ ========== ========== =========== ============ ==========
<FN>
The accompanying notes are an integral part of these consolidated financial statements.
</TABLE>
- -------------------------------------------------------------------------------
CONSOLIDATED STATEMENT OF CASH FLOWS Liberty Bancorp, Inc.
- -------------------------------------------------------------------------------
First nine months (In thousands) 1995 1994
- -------------------------------------------------------------------------------
Cash provided (absorbed) by operating activities
Net income $ 19,515 $ 20,717
Adjustments to reconcile net income to net cash provided
(absorbed) by operating activities:
Provisions for losses 1,990 _
Provision for income taxes 9,159 (3,523)
Depreciation and amortization 8,020 6,873
Net amortization of investment securities 4,266 10,155
Gain on sale of assets (11,247) (6,295)
Change in trading account securities 16,184 4,491
Loans made for purposes of resale (68,434) (110,983)
Proceeds from sale of loans held for resale 44,341 64,565
Change in accrued interest, expenses and taxes,
accounts payable and other liabilities (5,517) (3,250)
Change in accrued income receivable, accounts
receivable and other assets 5,636 2,535
- -------------------------------------------------------------------------------
Net cash provided (absorbed) by operating activities 23,913 (14,715)
- -------------------------------------------------------------------------------
Cash provided (absorbed) by investing activities
Proceeds from maturities and paydowns on
Available for sale securities 135,219 98,397
Held to maturity securities 61,851 54,875
Proceeds from sales of
Available for sale securities 560,648 701,871
Equity securities 17,726 122
Purchases of
Available for sale securities (421,077) (601,932)
Held to maturity securities (81,535) (14,428)
Equity securities (13,339) (641)
Change in net loans made by bank subsidiaries (184,375) (133,336)
Principal payments received on loans made by parent
company and nonbank subsidiaries 3,493 3,721
Loans made to customers by nonbank subsidiaries (4,550) (4,970)
Expenditures for property and equipment (3,964) (8,596)
Proceeds from sale of property and equipment 22 40
Sale proceeds and collections from other real estate and
assets acquired in settlement of loans 5,272 5,543
Sales of mortgage servicing contracts _ 287
Purchases of mortgage servicing contracts (169) (205)
- -------------------------------------------------------------------------------
Net cash provided by investing activities 75,222 100,748
- -------------------------------------------------------------------------------
Cash provided (absorbed) by financing activities
Change in savings and demand deposits (162,556) (70,176)
Change in time deposits (59,852) 55,078
Change in short-term borrowings 29,209 (72,692)
Proceeds from issuance of common and treasury stock 1,342 639
Purchase of treasury stock (2,323) (704)
Dividends paid on common stock (5,692) (4,267)
- -------------------------------------------------------------------------------
Net cash provided (absorbed) by financing activities (199,872) (92,122)
- -------------------------------------------------------------------------------
Net change in cash and cash equivalents (100,737) (6,089)
Cash and cash equivalents at beginning of year 415,956 337,279
- -------------------------------------------------------------------------------
Cash and cash equivalents at September 30 $315,219 $331,190
===============================================================================
Additional cash flow information
Interest paid $69,324 $43,921
Income tax paid 5,059 2,067
Income tax refunded 1,508 _
Noncash items included in investing activities
Net loans transferred to (from) other real estate
and assets owned 154 (278)
Loans made to finance the sale of other real estate
and assets owned _ 980
The accompanying notes are an integral part of these consolidated financial
statements.
Note 1 Accounting Policies
The condensed financial statements included herein have been prepared by
Liberty Bancorp, Inc. ("Liberty") without audit, and include all adjustments
which, in the opinion of management, are of a normal recurring nature and are
necessary to present fairly the results of the interim periods, pursuant to the
rules and regulations of the Securities and Exchange Commission. 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 such rules and regulations. Certain
reclassifications have been made to provide consistent financial statement
classifications in the periods presented herein. Such reclassifications had no
effect on net income or total assets.
It is suggested that these condensed financial statements be read in
conjunction with the financial statements and the notes thereto included in
Liberty's 1994 annual report on Form 10-K.
Note 2 Earnings Per Share
Earnings per share are calculated using Liberty's weighted average common
and common-equivalent shares (primarily stock options) outstanding during the
periods. The weighted average number of shares used to compute primary and
fully-diluted earnings per share are presented below.
- -------------------------------------------------------------------------------
September 30 (In thousands) Nine Months Ended Three Months Ended
1995 1994 1995 1994
- -------------------------------------------------------------------------------
Weighted average shares outstanding
Primary 9,844 9,806 9,876 9,825
Fully-diluted 9,872 9,831 9,887 9,835
Liberty Bancorp, Inc.
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.
LIBERTY BANCORP, INC.
/s/Mischa Gorkuscha
-------------------------------
Mischa Gorkuscha
Senior Vice-President and
Chief Financial Officer
(Principal Financial Officer)
Dated: November 14, 1995
<TABLE> <S> <C>
<ARTICLE> 9
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> SEP-30-1995
<CASH> 271384000
<INT-BEARING-DEPOSITS> 512000
<FED-FUNDS-SOLD> 43323000
<TRADING-ASSETS> 9272000
<INVESTMENTS-HELD-FOR-SALE> 398250000
<INVESTMENTS-CARRYING> 848424000
<INVESTMENTS-MARKET> 853330000
<LOANS> 1387495000
<ALLOWANCE> 16472000
<TOTAL-ASSETS> 2704750000
<DEPOSITS> 2151779000
<SHORT-TERM> 259361000
<LIABILITIES-OTHER> 36063000
<LONG-TERM> 0
<COMMON> 95000
0
0
<OTHER-SE> 257452000
<TOTAL-LIABILITIES-AND-EQUITY> 2704750000
<INTEREST-LOAN> 82182000
<INTEREST-INVEST> 45900000
<INTEREST-OTHER> 2686000
<INTEREST-TOTAL> 130768000
<INTEREST-DEPOSIT> 57805000
<INTEREST-EXPENSE> 68561000
<INTEREST-INCOME-NET> 62207000
<LOAN-LOSSES> 200000
<SECURITIES-GAINS> 6196000
<EXPENSE-OTHER> 81725000
<INCOME-PRETAX> 28674000
<INCOME-PRE-EXTRAORDINARY> 19515000
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 19515000
<EPS-PRIMARY> 1.98
<EPS-DILUTED> 1.98
<YIELD-ACTUAL> 3.71
<LOANS-NON> 13100000
<LOANS-PAST> 2241000
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 6005000
<ALLOWANCE-OPEN> 19081000
<CHARGE-OFFS> 4292000
<RECOVERIES> 1483000
<ALLOWANCE-CLOSE> 16472000
<ALLOWANCE-DOMESTIC> 16472000
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
