UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
FOR THE QUARTER ENDED MARCH 31, 1998
Commission File No. 33-12756-B
COMMUNITY BANCORP, INC.
A Massachusetts Corporation
IRS Employer Identification No. 04-2841993
17 Pope Street, Hudson, Massachusetts 01749
Telephone - (978)568-8321
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
--- ---
Common Stock
$2.50 par value
2,926,257 shares outstanding
as of April 20, 1998
<PAGE>
<TABLE>
PART I - FINANCIAL INFORMATION
COMMUNITY BANCORP, INC.
Item 1. CONSOLIDATED BALANCE SHEETS
<CAPTION>
March 31, December 31,
1998 1997
------------ ------------
<S> <C> <C>
ASSETS
Cash and due from banks $ 19,249,253 $ 16,704,667
Federal funds sold 15,600,000 14,600,000
Securities available for sale, at market 36,778,085 38,880,166
Securities held to maturity (market value
$61,189,616 at 3/31/98 and $56,404,323
at 12/31/97) 60,971,501 56,304,224
Mortgage loans held for sale 2,520,950 2,173,322
Loans 139,780,721 139,839,853
Less allowance for possible loan losses 3,125,737 3,215,559
----------- -----------
Total net loans 136,654,984 136,624,294
Premises and equipment, net 4,792,811 4,637,965
Other assets, net 3,568,148 3,625,889
----------- -----------
Total assets $280,135,732 $273,550,527
=========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Deposits
Noninterest bearing $ 55,347,512 $ 55,678,794
Interest bearing 181,060,875 177,109,740
----------- -----------
Total deposits 236,408,387 232,788,534
Federal funds purchased and securities
sold under repurchase agreements 18,644,939 16,637,064
Other liabilities 1,945,621 1,688,830
----------- -----------
Total liabilities 256,998,947 251,114,428
Stockholders' equity:
Preferred stock, $2.50 par value, 100,000
shares authorized, none issued or outstanding
Common stock, $2.50 par value, 12,000,000
shares authorized, 3,199,218 shares issued,
2,926,257 shares outstanding 7,998,045 7,998,045
Surplus 414,120 414,120
Undivided profits 17,114,064 16,418,790
Treasury stock, at cost, 272,961 shares (2,529,552) (2,529,552)
Accumulated other comprehensive income 140,108 134,696
----------- -----------
Total stockholders' equity 23,136,785 22,436,099
----------- -----------
Total liabilities and
stockholders' equity $280,135,732 $273,550,527
=========== ===========
<FN>
See accompanying notes.
</TABLE>
-2-
<PAGE>
<TABLE>
COMMUNITY BANCORP, INC.
CONSOLIDATED STATEMENTS OF INCOME
<CAPTION>
Three months ended
March 31,
--------------------------
1998 1997
---------- ----------
<S> <C> <C>
Interest income:
Interest and fees on loans $3,346,892 $3,095,446
Interest and dividends on securities:
Taxable interest 1,277,759 1,299,399
Nontaxable interest 94,967 62,999
Dividends 16,670 15,077
Interest on federal funds sold 184,891 86,512
--------- ---------
Total interest income 4,921,179 4,559,433
--------- ---------
Interest expense:
Interest on deposits 1,609,620 1,473,902
Interest on short term borrowings 196,154 165,332
--------- ---------
Total interest expense 1,805,774 1,639,234
--------- ---------
Net interest income 3,115,405 2,920,199
--------- ---------
Provision for possible loan losses 0 0
--------- ---------
Net interest income after provision
for possible loan losses 3,115,405 2,920,199
--------- ---------
Noninterest income:
Merchant credit card assessments 304,205 248,786
Service charges 148,178 154,029
Other charges, commissions and fees 267,187 192,499
Gains on sales of loans, net 42,728 2,585
Losses on sales of securities 0 (12,876)
Other 20,303 33,557
--------- ---------
Total noninterest income 782,601 618,580
--------- ---------
Noninterest expense:
Salaries and employee benefits 1,261,079 1,189,385
Data processing 148,657 143,779
Occupancy, net 144,565 132,748
Furniture and equipment 116,987 100,371
Credit card processing 242,906 200,558
Other 522,935 515,630
--------- ---------
Total noninterest expense 2,437,129 2,282,471
--------- ---------
Income before income taxes 1,460,877 1,256,308
Income taxes 540,281 480,493
--------- ---------
Net income $ 920,596 $ 775,815
========= =========
Earnings per common share $ .315 $ .264
Dividends per share $ .077 $ .068
Weighted average number of shares 2,926,257 2,935,012
<FN>
See accompanying notes.
</TABLE>
-3-
<PAGE>
<TABLE>
COMMUNITY BANCORP, INC.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
<CAPTION>
Three months ended
March 31,
-------------------------
1998 1997
---------- ----------
<S> <C> <C>
Net income $ 920,596 $ 775,815
Other comprehensive income, net of tax:
Unrealized holding gains (losses) arising
during period 5,412 (40,036)
Less: reclassification adjustment for
(gains) losses included in net income 0 12,876
------- -------
Other comprehensive income 5,412 (27,160)
------- -------
Comprehensive income $ 926,008 $ 748,655
======= =======
<FN>
See accompanying notes.
</TABLE>
-4-
<PAGE>
<TABLE>
COMMUNITY BANCORP, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
<CAPTION>
Three months ended
March 31,
--------------------------
1998 1997
----------- -----------
<S> <C> <C>
Cash flows from operating activities:
Interest received $ 4,896,060 $ 4,433,932
Fees and commissions received 799,578 489,461
Proceeds from secondary market
mortgage sales 8,396,452 1,812,922
Origination of mortgage loans for
secondary market sales (11,616,847) (1,678,195)
Interest paid (1,817,377) (1,694,698)
Cash paid to suppliers & employees (2,268,613) (1,926,262)
Income taxes paid (253,979) (239,090)
---------- ----------
Net cash (used in) provided by operating
activities (1,864,726) 1,198,070
---------- ----------
Cash flows from investing activities:
Maturities and principal repayments of
securities available for sale 2,196,057 1,590,025
Maturities and principal repayments of
securities held to maturity 9,163,728 2,204,368
Sales of securities available for sale 0 2,004,596
Purchases of securities available for sale (84,600) (9,079,375)
Purchases of securities held to maturity (13,831,005) (2,913,032)
Net change in federal funds sold (1,000,000) 6,800,000
Net change in loans and other real estate
owned 2,917,016 (305,683)
Acquisition of property, plant and equipment (360,142) (245,425)
---------- ----------
Net cash (used in) provided by investing
activities (998,946) 55,474
---------- ----------
Cash flows from financing activities:
Net change in deposits 3,619,853 (1,503,084)
Net change in federal funds purchased (3,000,000) 0
Net change in repurchase agreements 5,007,874 1,618,146
Dividends paid (219,469) (193,710)
---------- ----------
Net cash provided by (used in) financing
activities 5,408,258 (78,648)
---------- ----------
Net increase in cash and due from banks 2,544,586 1,174,896
Cash and due from banks at beginning
of period 16,704,667 14,391,567
---------- ----------
Cash and due from banks at end of period $19,249,253 $15,566,463
========== ==========
<FN>
See accompanying notes.
</TABLE>
-5-
<PAGE>
<TABLE>
COMMUNITY BANCORP, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
Reconciliation of Net Income to Net Cash Provided by Operating Activities
<CAPTION>
Three months ended
March 31,
--------------------------
1998 1997
----------- -----------
<S> <C> <C>
Net income $ 920,596 $ 755,815
Adjustments to reconcile net income
to net cash provided by operating
activities:
(Increase) decrease in mortgage loans
held for sale (3,286,282) 98,303
Premium on sale of mortgages 65,887 36,424
Depreciation and amortization 205,297 197,140
(Decrease) increase in other liabilities (36,776) 159,073
Increase in taxes payable 286,302 241,403
(Decrease) in interest payable (11,603) (55,464)
Decrease (increase) in other assets 16,973 (129,122)
(Increase) in interest receivable (25,120) (125,502)
--------- ---------
Total adjustments (2,785,322) 422,255
--------- ---------
Net cash (used in) provided by operating
activities $(1,864,726) $ 1,198,070
========= =========
<FN>
See accompanying notes.
</TABLE>
-6-
<PAGE>
COMMUNITY BANCORP, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
MARCH 31, 1998
__________________________________________________________________________
1. BASIS OF PRESENTATION
The accompanying unaudited consolidated financial statements have
been prepared in accordance with generally accepted accounting
principles for interim financial information and with the
instructions to Form 10-Q and Article 10 of Regulation S-X.
Accordingly, they do not include all of the information and notes
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. The results of operations for
any interim period are not necessarily indicative of results expected
for the full year. These consolidated financial statements should be
read in conjunction with the consolidated financial statements and
notes thereto contained in the Company's Annual Report to
shareholders and Form 10-K for the year ended December 31, 1997.
2. EARNINGS PER SHARE
The Company adopted Financial Accounting Standards Board Statement
No. 128, "Earnings Per Share" (SFAS No. 128), effective December 31,
1997. This Statement requires the presentation of "basic" earnings
per share, which excludes the effect of dilution, and "diluted"
earnings per share, which includes the effect of dilution. The
Company's "basic" and "diluted" earnings per share computations are
identical in the periods presented, as there is no dilution effect.
Earnings per share is based on the weighted average number of shares
outstanding during the period.
3. COMPREHENSIVE INCOME
The Company adopted Financial Accounting Standards Board Statement
No. 130, "Reporting Comprehensive Income" (SFAS No. 130), effective
January 1, 1998. SFAS No. 130 establishes standards for reporting
comprehensive income and its components (revenues, expenses, gains
and losses). Components of comprehensive income are net income and
all other non-owner changes in equity. The Statement requires that
an enterprise (a) classify items of other comprehensive income by
their nature in a financial statement and (b) display the accumulated
balance of other comprehensive income separately from retained
earnings and additional paid-in capital in the equity section of a
statement of financial position. Reclassification of financial
statements for earlier periods provided for comparative purposes is
required.
The Company has chosen to disclose comprehensive income in a separate
income statement, in which the components of comprehensive income are
-7-
<PAGE>
displayed net of income taxes. The following table sets forth the
related tax effects allocated to each element of comprehensive income
for the three months ended March 31, 1998 and 1997:
<TABLE>
<CAPTION
Three months ended March 31, 1998
---------------------------------------
Tax
Before-Tax (Expense) Net-of-Tax
Amount or Benefit Amount
----------- ----------- ----------
<S> <C> <C> <C>
Unrealized gains (losses) on
securities:
Unrealized holding gains (losses)
arising during period $ 9,379 $ (3,967) $ 5,412
Less: reclassification adjustment
for (gains) losses realized in
net income 0 0 0
------ ------ ------
Net unrealized gains (losses) 9,379 (3,967) 5,412
------ ------ ------
Other comprehensive income $ 9,379 $ (3,967) $ 5,412
====== ====== ======
</TABLE>
<TABLE>
<CAPTION>
Three months ended March 31, 1997
---------------------------------------
Tax
Before-Tax (Expense) Net-of-Tax
Amount or Benefit Amount
----------- ----------- ----------
<S> <C> <C> <C>
Unrealized gains (losses) on
securities:
Unrealized holding gains (losses)
arising during period $ (59,948) $ 25,358 $ (34,590)
Less: reclassification adjustment
for (gains) losses realized in
net income 12,876 (5,446) 7,430
------ ------ ------
Net unrealized gains (losses) (47,072) 19,912 (27,160)
------ ------ ------
Other comprehensive income $ (47,072) $ 19,912 $ (27,160)
====== ====== ======
</TABLE>
<TABLE>
The following table sets forth the components of accumulated other
comprehensive income for the three months ended March 31, 1998 and 1997:
<CAPTION>
Three months ended
March 31,
--------------------------
1998 1997
---------- ----------
<S> <C> <C>
Beginning balance $ 134,696 $ (10,030)
Unrealized gains (losses) on
securities, net 5,412 (27,160)
------- -------
Ending balance $ 140,108 $ (37,190)
======= =======
</TABLE>
4. OPERATING SEGMENTS
The Company adopted Financial Accounting Standards Board Statement
No. 131, "Disclosures About Segments of an Enterprise and Related
Information", (SFAS No. 131), effective January 1, 1998. This
Statement establishes standards for reporting information about
-8-
<PAGE>
segments in annual and interim financial statements. SFAS No. 131
introduces a new model for segment reporting called the "management
approach". The management approach is based on the way the chief
operating decision-maker organizes segments within the company for
making operating decisions and assessing performance. Reportable
segments are based on products and services, geography, legal
structure, management structure and any other in which management
disaggregates a company. Based on the "management approach" model,
the Company has determined that its business is comprised of a single
operating segment and that SFAS No. 131 therefore has no impact on
its financial statements.
5. RECLASSIFICATIONS
Certain amounts in the prior period's financial statements have been
reclassified to be consistent with the current period's presentation.
The reclassifications have no effect on net income.
-9-
<PAGE>
PART I - FINANCIAL INFORMATION
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
SUMMARY
The Company recorded net income of $920,596 for the three months ended
March 31, 1998, representing an increase of $144,781 or 18.7% over
$775,815 for the same period in 1997. Earnings per share of $.315 for
the current period represented an increase of $.051 from $.264 for the
three months ended March 31, 1997.
The improvement in net income resulted primarily from an increase in net
interest income and noninterest income, partially offset by increases in
salaries and benefits, occupancy, furniture and equipment and credit card
processing.
Deposits of $236,408,387 at March 31, 1998 increased by $3,619,853 or
1.6% from $232,788,534 at December 31, 1997. The increase in deposits
occurred in the interest bearing categories of money market deposit
accounts, NOW accounts, savings accounts and certificates of deposit.
Loans of $139,780,721 at March 31, 1998 did not change significantly from
$139,839,853 at December 31, 1997. A slight increase was realized in
home equity loans while slight decreases were experienced in commercial
loans, residential real estate mortgages and installment loans.
Noncurrent loans (nonaccrual loans and loans 90 days or more past due but
still accruing) totaled $906,332 and $871,619 at March 31, 1998 and
December 31, 1997, respectively. There were no accruing troubled debt
restructurings at March 31, 1998 or December 31, 1997.
Assets of $280,135,732 at March 31, 1998 represented a $6,585,205 or 2.4%
increase from $273,550,527 at December 31, 1997.
Three months ended March 31, 1998 as Compared To
Three months ended March 31, 1997
------------------------------------------------
NET INTEREST INCOME
Interest income for the three months ended March 31, 1998 was $4,921,179,
representing an increase of $361,746 or 7.9% from $4,559,433 for the
three months ended March 31, 1997, primarily due to higher loan and
securities balances in 1998. Interest expense was $1,805,774,
representing an increase of $166,540 or 10.2% from $1,639,234 for the
three months ended March 31, 1997, primarily due to higher average
interest bearing deposit and repurchase agreement balances in 1998. Net
interest income for the three months ended March 31, 1998 was $3,115,405,
representing an increase of $195,206 or 6.7% from $2,920,199 for the
three months ended March 31, 1997.
NONINTEREST INCOME AND EXPENSE
Noninterest income for the three months ended March 31, 1998 was
$782,601, representing an increase of $164,021 or 26.5% from $618,580 for
the three months ended March 31, 1997. This increase was primarily the
result of increases in merchant credit card assessments, gains on sales
of loans and other charges, commissions and fees, partially offset by a
reduction in service charges and other income.
-10-
<PAGE>
Noninterest expense for the three months ended March 31, 1998 of
$2,437,129 was up $154,658 or 6.8% from $2,282,471 for the same period in
1997. This increase was primarily the result of increases in salaries
and employee benefits, occupancy, furniture and equipment, credit card
processing and other expense.
PROVISION FOR LOAN LOSSES
There was no provision for loan losses for the three months ended March
31, 1998 or 1997, reflecting management's continuing evaluation of the
adequacy of the allowance for loan losses and its belief that the
allowance is adequate.
INCOME TAXES
Income tax expense of $540,281 for the three months ended March 31, 1998
compared to $480,493 for the same period in 1993, the result of an
increase in taxable income during the current period.
NET INCOME
Net income of $920,596 for the first three months of 1998 represented an
increase of $144,781 or 18.7% from $775,815 recorded for the first three
months of 1997. Earnings per share of $.315 for the current period
represented an increase of $.051 from $.264 for the three months ended
March 31, 1997.
ALLOWANCE FOR POSSIBLE LOAN LOSSES
The allowance for possible loan losses is maintained at a level believed
by management to be adequate to absorb potential losses in the loan
portfolio. Management's methodology in determining the adequacy of the
allowance considers specific credit reviews, past loan loss experience,
current economic conditions and trends and the volume, growth and
composition of the loan portfolio. Each loan on the Company's internal
Watch List is evaluated periodically to estimate potential losses. For
loans with potential losses, the bank sets aside or "allocates" a portion
of the ALLL against such potential losses. For the remainder of the
portfolio, "unallocated" reserve amounts are determined based on
judgments regarding the type of loan, economic conditions and trends,
potential exposure to loss and other factors. The allowance for possible
loan losses is charged when management determines that the repayment of
the principal on a loan is in doubt. Subsequent recoveries, if any, are
credited to the allowance. At March 31, 1998, the balance in the
allowance was $3,125,737 representing 345% of noncurrent loans, compared
to $3,215,559 or 369% of noncurrent loans at December 31, 1997.
SECURITIES
The Company's securities portfolio consists of obligations of the U.S.
Treasury, U.S. government sponsored agencies, mortgage backed securities
and obligations of various municipalities. Those assets are used in part
to secure public deposits and as collateral for repurchase agreements.
Total securities were $97,749,586 at March 31, 1998, representing an
increase of $2,565,196 or 2.7% from $95,184,390 at December 31, 1997. At
March 31, 1998, $36,778,085 in securities were classified as "available
for sale". There were no sales of securities during the three months
ended March 31, 1998.
-11-
<PAGE>
LIQUIDITY AND CAPITAL RESOURCES
The Company's primary sources of liquidity are customer deposits,
amortization and pay-offs of loan principal and maturities of investment
securities. These sources provide funds for loan originations, the
purchase of investment securities and other activities. Deposits are
considered a relatively stable source of funds. At March 31, 1998 and
1997, deposits were $236.4 and $215.7 million, respectively. Management
anticipates that deposits will remain relatively stable or grow
moderately during the remainder of 1998.
As a nationally chartered member of the Federal Reserve System, the Bank
has the ability to borrow funds from the Federal Reserve Bank of Boston
by pledging certain of its investment securities as collateral. Also,
the Bank is a member of the Federal Home Loan Bank which provides
additional borrowing opportunities.
Bank regulatory authorities have established a capital measurement tool
called "Tier 1" leverage capital. A 4.00% ratio of Tier 1 capital to
assets now constitutes the minimum capital standard for most banking
organizations. At March 31, 1998, the Company's Tier 1 leverage capital
ratio was 8.21%. Regulatory authorities have also implemented risk-based
capital guidelines requiring a minimum ratio of Tier 1 capital to risk
weighted assets of 4.00% and a minimum ratio of total capital to risk-
weighted assets of 8.00%. At March 31, 1998 the Company's Tier 1 and
total risk-based capital ratios were 14.82% and 16.08%, respectively.
The Bank is categorized as "well capitalized" under the Federal Deposit
Insurance Corporation Improvement Act of 1991 (F.D.I.C.I.A.).
On March 17, 1998, the Company's Board of Directors declared a first
quarter 1998 cash dividend of $.077 per share of common stock to
shareholders of record at March 1, 1998, payable on April 15, 1998.
ASSET/LIABILITY MANAGEMENT
The Company has an asset/liability management committee which oversees
all asset/liability activities of the Company. The committee establishes
general guidelines each year and meets regularly to review the Company's
operating results and to make strategic changes when necessary.
It is the Company's general policy to reasonably match the rate
sensitivity of its assets and liabilities. A common benchmark of this
sensitivity is the one year gap position, which is a reflection of the
difference between the speed and magnitude of rate changes of interest
rate sensitive liabilities as compared with the Bank's ability to adjust
the rates of it's interest rate sensitive assets in response to such
changes. The Company's positive cumulative one year gap position at
March 31, 1998, representing the excess of repricing assets versus
repricing liabilities within a one year time frame, was 4.5% of total
assets.
-12-
<PAGE>
PART II - OTHER INFORMATION
Item 5. OTHER INFORMATION
On March 17, 1998, the Company's Board of Directors declared a first
quarter 1998 cash dividend of $.077 per share of common stock to
shareholders of record at March 1, 1998, payable on April 15, 1998.
Item 6. EXHIBITS AND REPORTS ON FORM 8-K
(b ) The Company did not file a Form 8-K during the quarter ended March
31, 1998.
-13-
<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.
COMMUNITY BANCORP, INC.
Date: April 27, 1998 By: /s/ James A. Langway
--------------------
James A. Langway
President & Chief Executive Officer
Principal Executive Officer
Date: April 27, 1998 By: /s/ Donald R. Hughes, Jr.
-------------------------
Donald R. Hughes, Jr.
Treasurer and Clerk,
Principal Financial Officer and
Principal Accounting Officer
-14-
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 9
<LEGEND>
This schedule contains summary financial information extracted from the
unaudited March 31, 1998 financial statements of Community Bancorp, Inc.
and is qualified in its entirety by reference to such financial statements.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-END> MAR-31-1998
<CASH> 19249253
<INT-BEARING-DEPOSITS> 0
<FED-FUNDS-SOLD> 15600000
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 36778085
<INVESTMENTS-CARRYING> 60971501
<INVESTMENTS-MARKET> 61189616
<LOANS> 142301671
<ALLOWANCE> 3125737
<TOTAL-ASSETS> 280135732
<DEPOSITS> 236408387
<SHORT-TERM> 18644939
<LIABILITIES-OTHER> 1945621
<LONG-TERM> 0
0
0
<COMMON> 7998045
<OTHER-SE> 15138740
<TOTAL-LIABILITIES-AND-EQUITY> 280135732
<INTEREST-LOAN> 3346892
<INTEREST-INVEST> 1389396
<INTEREST-OTHER> 184891
<INTEREST-TOTAL> 4921179
<INTEREST-DEPOSIT> 1609620
<INTEREST-EXPENSE> 1805774
<INTEREST-INCOME-NET> 3115405
<LOAN-LOSSES> 0
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 2437129
<INCOME-PRETAX> 1460877
<INCOME-PRE-EXTRAORDINARY> 1460877
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 920596
<EPS-PRIMARY> .315
<EPS-DILUTED> .315
<YIELD-ACTUAL> 5.08
<LOANS-NON> 879949
<LOANS-PAST> 26383
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 3215559
<CHARGE-OFFS> 98385
<RECOVERIES> 8563
<ALLOWANCE-CLOSE> 3125737
<ALLOWANCE-DOMESTIC> 1635277
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 1490460
</TABLE>