<PAGE>
Securities and Exchange Commission
Washington, D.C. 20549
Form 10-QSB
[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
[ ] Transition Report Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
For the Transition Period
Commission File Number 0-16362
First Franklin Corporation
(Exact Name of Registrant as Specified in its Charter)
Delaware 31-1221029
(State or Other Jurisdiction of (I.R.S. Employer
Incorporation or Organization) Identification Number)
401 East Court Street Cincinnati, Ohio 45202
(Address of Principal Executive Offices) (Zip Code)
Registrant's Telephone Number, including Area Code (513) 721-1031
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 twelve months (or for such shorter period that
the Registrant was required to file such reports) and (2) has been subject
to such requirements for the past 90 days.
Yes [X] NO [ ]
As of June 30,1995, there were issued and outstanding 1,175,786 shares of
the Registrant's Common Stock.
Transitional Small Business Format (check one)
Yes [ ] NO [X]
<PAGE>
FIRST FRANKLIN CORPORATION AND SUBSIDIARY
INDEX
Page No.
Part I Financial Information
Item 1. Consolidated Balance Sheets -
June 30, 1995 and December 31, 1994 3
Consolidated Statements of Operations and Retained
Earnings - Three and Six Month Periods ended
June 30,1995 and 1994 4
Consolidated Statements of Cash Flows -
Six Month Periods ended June 30,1995 and 1994 6
Notes to Consolidated Financial Statements 8
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations 9
Part II Other Information 15
Item 5. Press Release Dated June 27, 1995 16
Press Release Dated July 14, 1995 16
Signatures 17
Item 6. EXHIBITS AND REPORTS ON FORM 8-K
Exhibit 27, Financial Data Schedule 18
<PAGE>
Part I - Item 1.
FIRST FRANKLIN CORPORATION AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
June 30,1995 Dec 31,1994
(Unaudited)
ASSETS
Cash, including CD's & other interest-earning
deposits of $6,736 and $827 at 06/30/95
and 12/31/94, respectively $11,388 $2,883
Investment securities
Available-for-sale, at market value
(amortized cost of $14,899 and $14,899, 14,582 13,747
respectively)
Held-to-maturity, at amortized cost
(market value of $971 and $933,
respectively 881 881
Mortgage-backed securities
Available-for-sale, at market value
(amortized cost of $20,439 and $21,543, 20,680 20,742
respectively)
Held-to-maturity, at amortized cost
(market value of $13,586 and 13,100, 14,005 14,583
respectively)
Loans receivable, net 132,885 134,170
Real estate owned, net 272 0
Stock in Federal Home Loan Bank
of Cincinnati, at cost 1,593 1,649
Accrued interest receivable 1,102 1,021
Property and equipment, net 940 985
Other assets 1,226 1,729
$199,554 $192,390
LIABILITIES
Savings accounts $178,985 $172,502
Borrowings 464 596
Advances by borrowers for taxes
and insurance 401 1,114
Other liabilities 98 326
Total liabilities 179,948 174,538
STOCKHOLDERS' EQUITY:
Preferred stock; $.01 par value per share;
500,000 shares authorized; no shares issued
Common stock; $.01 par value per share;
2,500,000 shares authorized; 1,267,664
shares issued at 06/30/95 and 1,255,464
12/31/94 13 13
Additional paid in capital 5,826 5,765
Treasury stock, at cost- 91,878 shares at
06/30/95 and 12/31/94, respectively (442) (442)
Unrealized loss on available-for-sale securities,
net of taxes of $26 at 06/30/95 and $663 (50) (1,289)
at 12/31/94
Retained earnings, substantially restricted 14,259 13,805
Total stockholders' equity 19,606 17,852
$199,554 $192,390
The accompanying notes are an integral part of the consolidated financial
statements.
Page 3
<PAGE>
<TABLE>
FIRST FRANKLIN CORPORATION AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS AND RETAINED EARNINGS
(Dollars in thousands)
For The Three Months Ended For The Six Months Ended
June 30,1995 June 30,1994 June 30,1995 June 30,1994
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
Interest income:
Loans receivable $2,685 $2,486 $5,336 $5,108
Mortgage-backed securities 541 515 1,071 1,028
Investment securities 331 238 606 482
3,557 3,239 7,013 6,618
Interest expense:
Savings accounts 2,158 1,786 4,170 3,620
Borrowings 10 13 28 37
2,168 1,799 4,198 3,657
Net interest income 1,389 1,440 2,815 2,961
Provision for loan losses 0 31 15 62
Net interest income after
provision for loan losses 1,389 1,409 2,800 2,899
Noninterest income:
Gain on loans sold 1 9 3 17
Service fees on NOW accounts 53 53 104 105
Other income 28 87 63 166
82 149 170 288
Noninterest expenses:
Salaries and employee benefits 423 447 839 848
Occupancy expense 145 144 292 295
Federal insurance premiums 100 104 200 209
Service bureau expense 64 63 130 126
Other expenses 272 307 587 669
1,004 1,065 2,048 2,147
Income before federal income taxes 467 493 922 1,040
Provision for federal income taxes 152 163 303 348
Net Income $315 $330 $619 $692
</TABLE>
Continued
The accompanying notes are an integral part of the consolidated financial
statements.
Page 4
<PAGE>
<TABLE>
FIRST FRANKLIN CORPORATION AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS AND RETAINED EARNINGS, CONTINUED
(Dollars in thousands)
For The Three Months Ended For The Six Months Ended
June 30,1995 June 30,1994 June 30,1995 June 30,1994
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
RETAINED EARNINGS-BEGINNING OF PERIOD $14,027 $13,107 $13,805 $12,816
Net income 315 330 619 692
Less: dividends declared (83) (73) (165) (144)
RETAINED EARNINGS-END OF PERIOD $14,259 $13,364 $14,259 $13,364
EARNINGS PER COMMON SHARE (in dollars) $0.25 $0.27 $0.50 $0.57
DIVIDENDS DECLARED PER
COMMON SHARE (in dollars) $0.07 $0.0625 $0.14 $0.125
</TABLE>
The accompanying notes are an integral part of the consolidated financial
statements.
Page 5
<PAGE>
FIRST FRANKLIN CORPORATION AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Dollars in thousands)
For The Six Months Ended
June 30,1995 June 30,1994
(Unaudited)
Cash provided by (used in) operating activities:
Net income $619 $692
Adjustments to reconcile net income to net
cash provided by operating activities:
Provision for loan losses 15 62
Depreciation and amortization 101 130
FHLB stock dividend (52) (44)
Deferred income taxes (638) (573)
Gain on sale of real estate owned (55)
Increase in accrued interest receivable (81) (124)
Increase in deferred loan fees (151) (102)
Decrease in other assets 503 24
Increase (decrease) in other liabilities (228) 34
Other, net (264) 587
Loans sold 287 3,397
Disbursements on loans originated for sale (287) (1,459)
Net cash provided by operating activities (176) 2,569
Cash provided by (used in) investing activities:
Loan principal reductions 13,022 18,302
Disbursements on mortgage and other
loans for investment (11,610) (17,047)
Repayments on mortgage-backed
securities 1,661 3,217
Purchase of available-for-sale mortgage-backed
securities (2,635)
Purchase of available-for-sale investment securities (998)
Proceeds from the maturity of
available-for-sale investment securities 1,000
Proceeds from the maturity of
held-to-maturity investment securities 10
Proceeds from redemption of (purchase of) Federal
Home Loan Bank stock 109 187
Proceeds from the sale of real estate owned 517
Capital expenditures (35) (13)
Net cash provided by investing activities 3,147 2,540
continued
The accompanying notes are an integral part of the consolidated financial
statements.
Page 6
<PAGE>
FIRST FRANKLIN CORPORATION AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS, CONTINUED
(Dollars in Thousands)
For The Six Months Ended
June 30,1995 June 30,1994
(Unaudited)
Cash provided by (used in)
financing activities:
Net decrease in passbook accounts and
demand deposits (6,973) (4,981)
Proceeds from sales of certificates
of deposit 38,596 13,346
Payments for maturing certificates
of deposit (25,140) (17,225)
Repayment of borrowed money (132) (685)
Decrease in advances by borrowers
for taxes and insurance (713) (624)
Proceeds from sale of common stock 61
Payment of dividends (165) (144)
Net cash provided by (used in) financing act 5,534 (10,313)
Net increase (decrease) in cash $8,505 ($5,204)
Cash at beginning of period 2,883 7,358
CASH AT END OF PERIOD $11,388 $2,154
The accompanying notes are an integral part of the consolidated financial
statements.
Page 7
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FIRST FRANKLIN CORPORATION AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTE 1: BASIS OF PRESENTATION
The accompanying unaudited interim consolidated financial statements have
been prepared in accordance with generally accepted accounting principles
for interim financial information and with the instructions to Form 10-QSB
and Rule 10-01 of Regulation S-X. Accordingly, they do not include all of
the information and footnotes required by generally accepted accounting
principles for complete financial statements. In the opinion of management,
all adjustments (consisting of normal recurring accruals) considered
necessary for a fair presentation have been included. Operating results
for the three and six month periods ended June 30,1995 are not necessarily
indicative of the results that may be expected for the full year. The
December 31,1994 Balance Sheet data was derived from audited Financial
Statements, but does not include all disclosures required by generally
accepted accounting principles.
NOTE 2: STOCK SPLIT
On January 10, 1995, a two-for-one stock split took place. All references
in the accompanying financial statements to the number of common shares and
per share amounts have been adjusted to reflect the stock split. Common
shares and paid-in capital have also been adjusted to reflect the split.
Page 8
<PAGE>
Part I - Item 2.
FIRST FRANKLIN CORPORATION AND SUBSIDIARY
MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
GENERAL
First Franklin Corporation ("Company") was incorporated under the laws of
the State of Delaware in September 1987 by authorization of the Board of
Directors of the Franklin Savings and Loan Company ("Franklin"). The
Company applied for and received regulatory approval to acquire all the
common stock of Franklin to be outstanding upon its conversion from the
mutual to stock form of ownership. This conversion was completed January
25,1988.
As a Delaware corporation, First Franklin is authorized to engage in any
activity permitted by Delaware General Corporate Law. As a unitary savings
and loan holding company, First Franklin is subject to examination and
supervision by the Office of Thrift Supervision ("OTS") , although the
Company's activities are not limited by the OTS as long as certain conditions
are met. The Company's assets consist of cash and investments in Franklin
and DirectTeller Systems Inc. ("DirectTeller").
Franklin is an Ohio chartered stock savings and loan headquartered in
Cincinnati, Ohio. It was originally chartered in 1883 as the Green Street
Number 2 Loan and Building Company. Franklin operates seven banking offices
in Hamilton County, Ohio through which it offers a wide range of consumer
banking services, including mortgage loans, credit cards, checking accounts,
auto loans, savings and certificate accounts, automated teller machines and
a voice response telephone inquiry system. Beginning in March 1995,
Franklin initated a program to provide its customers access to mutual funds,
annuities and brokerage services in its offices. The business of Franklin
consists primarily of attracting deposits from the general public and using
those deposits, together with borrowings and other funds, to originate and
purchase investments and real estate loans for retention in its portfolio and
sale in the secondary market.
Franklin has one subsidiary, Madison Service Corporation ("Madison"). Madison
was formed on February 22,1972 by Franklin which owns 100% of its outstanding
stock. At the present time, Madison's only activity is the servicing of a
multi-family mortgage loan. Madison had net income of $11,429 for 1994 and
$1,371 for the six months ended June 30,1995. The 1994 income includes the
collection of $10,000 in non-recurring fees on the multi-family loan which
Madison services.
DirectTeller was formed in 1989 by the Company and DataTech Services, Inc.
to develop and market a voice response and fax retrieval telephone inquiry
system to allow financial institution customers to access information about
their accounts via the telephone and/or a facsimile machine. The inquiry
system is installed at Intrieve, a computer service bureau which specializes
in financial institutions. The system is currently operational at nineteen
of Intrieve's clients in eight states servicing approximately 500,000
accounts. The agreement with Intrieve gives DirectTeller a percentage of
the future profits generated by the inquiry system.
Page 9
<PAGE>
Payments during 1995 under this agreement have totalled $5,421. DirectTeller
is continuing to market this system. First Franklin owns 51% of Direct-
Teller's outstanding common stock. The Company's share of DirectTeller's net
profit for the six months ended June 30,1995 was $4,437. For the year ended
December 31,1994 the Company's share of DirectTeller's operating loss was
$1,738.
Since the results of operations of Madison and DirectTeller have not been
material to the operations and financial condition of the Company, the
following discussion focuses primarily on Franklin.
FINANCIAL CONDITION, LIQUIDITY AND CAPITAL RESOURCES
Consolidated Assets increased $7.2 million (3.7%) from $192.4 million at
December 31, 1994 to $199.6 million at June 30, 1995, compared to a $10.0
million (5.0%) decrease for the same period in 1994. During the Second
Quarter 1995 assets increased $5.3 million (2.7%) compared to a $5.9 million
(3.0%) decrease during the same quarter in 1994.
Loan disbursements were $12.0 million during the current six months compared
to $18.5 million during the six months ended June 30,1994. Disbursements
were $7.8 million during the Second Quarter 1995 compared to $8.7 million
during the same quarter in 1994. Based on current market conditions, it
appears that loan disbursements will increase during the third quarter.
At June 30,1995, commitments to originate mortgage loans or purchase
mortgage-backed securities were $2.7 million. At the same date, $1.7
million of undisbursed loan funds were being held on various construction
loans. Management believes that sufficient cash flow and borrowing capacity
exist to fund these commitments. To maintain a favorable match between the
assets and liabilities maturing or repricing during a specific period,
Franklin may buy adjustable rate mortgage-backed securities or sell some
of the fixed rate loans that it originates and any adjustable rate loans
that have used their conversion privilege to convert to a fixed rate loan.
Demand for adjustable rate mortgage loans has been strong during the first
six months of 1995, therefore, Franklin has sold only $287,000 of fixed rate
mortgage loans. During the same period no adjustable rate mortgage-backed
securities were purchased.
Liquid assets increased $9.3 million during the six months ended June 30,1995
to $26.9 million. This is due to an increase in savings deposits of $6.5
million and repayments on loans and mortgage-backed securities that exceeded
disbursements by $3.1 million. At December 31,1994 liquid assets maturing
in less than six months offerred less protection against increased cash needs
than desired, therefore, during the first six months of 1995 the increase in
savings deposits was invested in fed funds and other short term instruments.
At June 30,1995 liquid assets were 13.5% of total assets, which was above
management's target of 8.0%.
The Company adopted SFAS No. 115 as of January 1, 1994 and investment and
mortgage-backed securities were classified based on the Company's current
intention to hold to maturity or have available for sale, if necessary.
No securities were classified as trading. The following table shows the
gross unrealized gains or losses on mortgage-backed securities and investment
securities as of June 30,1995. During the current six month period, there
have been no sales of investments or mortgage-backed securities.
Page 10
<PAGE>
<TABLE>
Amortized Market Unrealized Unrealized
Cost Value Gains Losses
(in thousands)
<S> <C> <C> <C> <C>
Available-for-sale
Investment securities $14,899 $14,582 $4 $321
Mortgage-backed securities $20,439 $20,680 $261 $20
Held-to-maturity
Investment securities $881 $971 $90 $0
Mortgage-backed securities $14,005 $13,586 $0 $419
</TABLE>
At June 30,1995 savings deposits were $179.0 million compared to $172.5 million
at December 31,1994. This is an increase of $6.5 million during the current
six month period and $5.0 million during the quarter ended June 30,1995.
During the six months ended June 30, 1995, core deposits (transaction and
passbook savings accounts) decreased $7.0 million. A substantial portion of
these funds were transferred to certificates of deposit, which caused short
term certificates (two years or less) to increase by $11.2 million and
certificates with original terms greater than two years to increase $2.3
million. Interest of $1.9 million for the quarter and $3.7 million for the
six month period was credited to accounts. After eliminating the effect of
interest credited, savings increased $3.1 million during the three months
and $2.8 million during the six months ended June 30, 1995.
At June 30,1995 borrowings consisted of a $464,000 Federal Home Loan Bank
advance.
At June 30,1995, $1.8 million of assets were classified substandard, $321,000
classified loss and $2.4 million classified as special mention compared to
$1.9 million as substandard, $577,000 as loss and $2.9 million as special
mention at December 31,1994. Non-accruing and accruing loans delinquent
ninety days or more at June 30,1995 and December 31,1994 were $493,000 and
$1.1 million, respectively. During the remainder of 1995, continued emphasis
will be placed on the collection process to reduce the amount of these loans.
In management's opinion, adequate reserves are available to protect against
reasonably foreseeable losses that may occur on loans or repossessed assets.
Based on the credit quality of the loan portfolio and management's belief
that the level of general reserves is adequate to protect against reasonally
foreseeable losses, the charges against current operations were reduced as
compared to previous years. The following table shows the activity that has
occurred on loss reserves during the six months ended June 30,1995.
(in thousands)
Balance at beginning of per $1,256
Charge offs 257
Additions charged to operat 15
Recoveries 0
Balance at end of period $1,014
Page 11
<PAGE>
First Franklin continues to enjoy a strong net worth position. At June 30,
1995, net worth was $19.6 million, which is 9.8% of assets. At the same
date, book value per share was $16.67 compared to $15.64 at June 30,1994.
The following table summarizes, as of June 30,1995, the regulatory capital
position of our subsidiary, Franklin Savings.
<TABLE>
Capital Standard Actual Required Excess Actual Required Excess
(in thousands)
<S> <C> <C> <C> <C> <C> <C>
Tangible $13,880 $2,932 $10,948 7.10% 1.50% 5.60%
Core $13,880 $5,864 $ 8,016 7.10% 3.00% 4.10%
Risk-based $14,572 $7,124 $ 7,448 16.36% 8.00% 8.36%
</TABLE>
The equity of First Franklin may be affected in the near future by the
undercapitalization of the Savings Association Insurance Fund (the "SAIF").
The SAIF's current reserve level is .31%, or $2.2 billion. The statutorily
required reserve level is 1.25% of deposits. The Bank Insurance Fund ("BIF")
is subject to the same reserve level and is projected to have met it during
the second quarterof 1995.
Continued payments for prior thrift failures will utilize 45% of SAIF
assessments paid for 1994. The result, under the current law, is that the
SAIF will be undercapitalized for some time, and SAIF institutions will soon
begin to pay assessments averaging 20 basis points higher than those paid by
BIF institutions.
The Treasury Department, the Federal Deposit Insurance Corporation and the
Office of Thrift Supervision have proposed a three-part plan to capitalize
the SAIF and avoid a significant disparity between SAIF and BIF assessments.
First, each institution holding SAIF-assessable deposits would be required
to pay a one-time assessment on January 1, 1996, of $0.85 to $0.90 per $100
in deposits held by such institution at March 31, 1995, to bring the SAIF to
the 1.25% statutory reserve level. SAIF assessments would be set at a level
similar to that currently proposed for BIF deposits, ranging from $0.04 to
$0.31 per $100 in deposits. If the SAIF later becomes undercapitalized,
however, such assessments, under the proposal, would have to be at least
$0.08 per $100 in deposits, still a decrease from the current $0.23 to $0.31
per $100 in deposits. Weak thrifts would be exempted from these changes and
would continue to pay higher SAIF assessments through 1999. Second, the cost
of past thrift failures currently paid by the SAIF would be shared by the
BIF. This could result in an increase in the proposed new BIF assessment
levels, which would also be reflected in the SAIF assessments. Third, the
BIF and SAIF would be merged by 1998.
First Franklin's subsidiary, Franklin Savings had $174 million in deposits at
March 31,1995. If the one-time special assessment in the proposal is enacted
into law, Franklin Savings will pay an additional assessment of at least
$1.5 million on January 1,1996, which will reduce equity and earnings of
First Franklin for the first quarter of 1996. First Franklin's SAIF assess-
ment level, would, however, decrease, possibly as much as $0.19 per $100 in
deposits.
No assurance can be given that the proposal will be enacted into law or in what
form it might be enacted. If it is not enacted into law, SAIF assessments
will likely be significantly higher than BIF assessments, which could have a
negative competitive impact on Franklin Savings and other savings associations.
Page 12
<PAGE>
RESULTS OF OPERATIONS
Net income declined 4.5% to $315,000 ($0.25 per share) for the three months
ended June 30,1995 from $330,000 ($0.27 per share) for the same quarter in
1994. Net income declined 10.5% to $619,000 ($0.50 per share) for the
current six month period from $692,000 ($0.57 per share) for the six months
ended June 30,1994.
Net interest income, before provisions for loan losses, was $1.39 million for
the current quarter and $2.82 million for the first six months of 1995. For
the same periods in 1994, it was $1.44 million and $2.96 million, respec-
tively. The decline during the current six months reflects the collection
of $120,000 in interest on a non-accruing multi-family loan which became
current during the quarter ended March 31,1994. As the tables below
illustrate, average interest-earning assets increased $1.2 million to $189.0
million during the six months ended June 30,1995 from $187.8 million for the
year ended December 31, 1994. Average interest-bearing liabilities increased
$1.4 million from $173.9 million for the year ended December 31, 1994 to
$175.3 for the current six month period. Thus, average net interest-earning
assets decreased $300,000. The interest rate spread (the yield on interest-
earning assets less the cost of interest-bearing liabilities) decreased from
2.76% for the year ended December 31,1994 to 2.63% for the current six month
period. This decrease in the spread reflects a increase in the cost of funds
from 4.32% for the year ended December 31,1994 to 4.79% for the six months
ended June 30,1995. The yield on interest-earning assets increased from
7.08% for the year ended December 31,1994 to 7.42% for the six month period
ended June 30,1995.
For the six months ended June 30,1995
Average
Outstanding Yield/cost
($ in thousands)
Average interest-earning assets
Loans $133,014 8.02%
Mortgage-backed securities 35,179 6.09%
Investments 19,211 5.76%
FHLB stock 1,599 6.51%
Total $189,003 7.42%
Average interest-bearing liabilities
Demand deposits $23,864 2.47%
Savings accounts 26,491 2.76%
Certificates 124,436 5.64%
FHLB advances 528 8.33%
Other borrowings 0 0.00%
Total $175,319 4.79%
Net interest-earning assets $13,684 2.63%
Page 13
<PAGE>
For the year ended December 31,1994
Average
Outstanding Yield/cost
($ in thousands)
Average interest-earning assets
Loans $130,839 7.81%
Mortgage-backed securities 37,947 5.44%
Investments 17,403 5.24%
FHLB stock 1,643 5.72%
Total $187,832 7.08%
Average interest-bearing liabilities
Demand deposits $28,446 2.49%
Savings accounts 34,155 2.79%
Certificates 110,426 5.24%
FHLB advances 830 8.67%
Other borrowings 17
Total $173,874 4.32%
Net interest-earning assets $13,958 2.76%
Noninterest income was $82,000 for the quarter and $170,000 for the six
months ended June 30,1995 compared to $149,000 for the same quarter in 1994
and $288,000 for the six months ended June 30,1994. The majority of the
decrease during the six month period is attributable to a reduction in loan
fees, late charges and profits on the sale of fixed rate loans and real
estate owned. As discussed previously, demand for adjustable rate mortgage
loans remains strong, therefore management anticipates that loan sales will
remain at levels lower than those experienced during recent years.
Noninterest expenses were $1.0 million for the current quarter and $2.05
million for the current six month period compared to $1.07 million and $2.15
million for the three and six month periods ended June 30,1994. As a
percentage of average assets, this is 2.09% for the current six month period
compared to 2.21% for the first six months of 1994.
Page 14
<PAGE>
PART II
FIRST FRANKLIN CORPORATION AND SUBSIDIARY
Item 1. LEGAL PROCEEDINGS
There are no material pending legal proceedings to which the
holding company or any subsidiary is a party or to which any
of their property is subject.
Item 2. CHANGES IN SECURITIES
None
Item 3. DEFAULTS UPON SENIOR SECURITIES
None
Item 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
At the Annual Meeting of Shareholders held on April 24,1995, the
following items were voted on by the shareholders.
<TABLE>
Voting
Negative Abstentions
or or Broker
Affirmative Withheld Non-votes
<C> <C> <C> <C>
1. Election of the following directors
Thomas H. Siemers 936,502 2,550
James E. Hoff, S.J. 936,602 2,450
2. An amendment to Section 4 of the Certificate of
Incorporation of the Company increasing the
authorized number of shares of common stock
from 1,500,000 to 2,500,000. 928,432 25,260 2,760
3. Ratification of the appointment of Coopers and
Lybrand as the Company's independent accountants
for the fiscal year ended December 31, 1995. 946,352 8,350 4,350
</TABLE>
Item 5. OTHER INFORMATION
A. Press Release Dated June 27, 1995
Page 15
<PAGE>
June 27, 1995
FOR IMMEDIATE RELEASE
CONTACT: Thomas H. Siemers
President and CEO
721-0808
Thomas H. Siemers, President and CEO of First Franklin
Corporation, has announced that for the twenty-seventh
consecutive quarter, the Board of Directors has declared a
dividend of $0.07 per share for the second quarter of 1995.
The quarterly dividend will be payable on July 17, 1995 to
shareholders of record as of July 7.
First Franklin is the parent organization of Franklin Savings,
which has seven offices in Greater Cincinnati and assets of
$193,952,000 as of May 31, 1995.
B. Press Release Dated July 14, 1995
July 14, 1995
FOR IMMEDIATE RELEASE
CONTACT: Thomas H. Siemers
President and CEO
721-0808
First Franklin Corporation, the parent of Franklin Savings and
Loan Company, Cincinnati, Ohio announced today earnings of
$315,000 ($.25 per share) for the second quarter of 1995 and
$619,000 ($.50 per share) for the first six months of the year.
This compares to earnings of $330,000 ($.27 per share) for the
second quarter of 1994 and $692,000 ($.57 per share) for the six
months ended June 30, 1994, and earnings of $304,000 ($.25 per
share) for the first quarter of 1995.
First Franklin conducts its business through its subsidiary
Franklin Savings, with seven full service offices located in
Hamilton County, Ohio.
Item 6. EXHIBITS AND REPORTS ON FORM 8-K
Exhibit 27, Financial Data Schedule
Page 16
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
FIRST FRANKLIN CORPORATION
/s/ Daniel T. Voelpel
Daniel T. Voelpel
Vice President and
Chief Financial Officer
Date: August 1, 1995
Page 17
<PAGE>
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