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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF
THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): March 16, 1999 (March 3, 1999)
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COMMUNITY BANCSHARES, INC.
(Exact Name of Registrant as Specified in Its Charter)
DELAWARE 0-16461 63-0868361
(State or Other Jurisdiction (Commission File (I.R.S. Employer
of Incorporation) Number) Identification Number)
MAIN STREET 35031
BLOUNTSVILLE, ALABAMA (Zip code)
(Address of Principal Executive Offices)
(205) 429-1000
(Registrant's Telephone Number, Including Area Code)
NOT APPLICABLE
(Former Name or Former Address, if Changed from Last Report)
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ITEM 5. OTHER EVENTS
On March 3, 1999, the Registrant issued a press release regarding the
Registrant's results of operations during the year ended December 31, 1998. A
copy of the press release is filed as Exhibit 99.1 hereto, which is incorporated
herein by reference.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) The following exhibit is filed herewith:
Exhibit Number Description
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99.1 Press Release of the Registrant, dated March 3, 1999
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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 hereunto duly authorized.
COMMUNITY BANCSHARES, INC.
By: /S/ KENNON R. PATTERSON, SR.
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Kennon R. Patterson, Sr.
Chairman, Chief Executive Officer and President
Date: March 11, 1999
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EXHIBIT INDEX
Exhibit Number Description
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99.1 Press Release of the Registrant, dated March 3, 1999
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EXHIBIT 99.1
NEWS RELEASE Community Bancshares, Inc.
P. O. Box 1000
Blountsvile, Alabama 35032
FOR IMMEDIATE RELEASE
Contact: Michael A. Bean (205) 429-1005
COMMUNITY BANCSHARES ANNOUNCES 1998 NET INCOME
Blountsville, Alabama, March 3, 1999. Community Bancshares, Inc. today
reported net earnings of $3,579,000 for the year ended December 31, 1998, a two
percent increase over the $3,512,000 for the previous year. Basic net income per
share was $.90 for 1998 as compared to $.92 for the previous year and 1998
diluted net income per share was $.88 as compared to $.92 for 1997. Per share
amounts were affected by the issuance of 500,000 shares of Common Stock in a
public offering in the fourth quarter of 1998. Return on average assets was .67%
and return on average equity was 9.59% for 1998.
Community Bancshares paid a dividend of $.60 per share to shareholders
of record as of January 8, 1999 on January 9, 1999, an increase of 20% over the
1998 dividend.
Kennon R. Patterson, Sr., Chairman and Chief Executive Officer, said,
"The company underwent significant expansion during 1998. I am particularly
pleased that we were able to invest in the future of the company and still
provide a good return to our shareholders. These results reflect the superb
efforts of our employees committed to meeting the needs of our customers."
Community Bancshares is a bank holding company headquartered in
Blountsville, Alabama. At December 31, 1998 the company reported assets of $603
million. Community Bancshares, through its subsidiaries, operates 29 banking
offices and 12 finance company offices in Alabama and Tennessee and provides a
full line of financial services.
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COMMUNITY BANCSHARES, INC.
UNAUDITED FINANCIAL DATA FOR
YEARS ENDED 12/31/98 AND 12/31/97
($ IN THOUSANDS EXCEPT PER SHARE DATA)
<TABLE>
<CAPTION>
NET $ NET %
CHANGE CHANGE
INCREASE INCREASE
1998 1997 (DECREASE) (DECREASE)
-------- -------- ---------- ----------
<S> <C> <C> <C> <C>
Interest income .................... $ 44,365 $ 37,791 $ 6,574 17.40%
Interest expense ................... 22,693 19,541 3,152 16.13%
Net interest income ................ 21,672 18,250 3,422 18.75%
Provision for loan losses .......... 885 773 112 14.49%
Non-interest income ................ 8,102 4,891 3,211 65.65%
Non-interest expense ............... 23,784 17,423 6,361 36.51%
NET INCOME ......................... 3,579 3,512 67 1.91%
Per share data:
Net income-basic ................... 0.90 0.92 (0.02) (2.17%)
Net income assuming dilution ....... 0.88 0.92 (0.04) (4.35%)
Cash dividends ..................... 0.50 0.38 0.12 31.58%
Shareholders' equity (book value) at
period end .................... 10.16 8.85 1.31 14.80%
BALANCE SHEET:
Loans .............................. 433,853 326,134 107,719 33.03%
Deposits ........................... 538,586 440,889 97,697 22.16%
Long-term debt ..................... 7,569 7,398 171 2.31%
Average equity ..................... 37,318 33,428 3,890 11.64%
Average assets ..................... 538,470 473,381 65,089 13.75%
Total assets ....................... 603,244 491,839 111,405 22.65%
RATIOS:
Return on average assets ........... 0.67% 0.74%
Return on average equity ........... 9.59% 10.51%
Dividend payout ratio .............. 55.80% 40.50%
Average equity to average assets ... 6.93% 7.06%
Total risk-based capital ........... 11.03% 11.86%
Leverage ratio ..................... 7.79% 6.94%
</TABLE>
