<PAGE> PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
<TABLE>
FNB BANKING COMPANY AND SUBSIDIARY
Consolidated Balance Sheet
June 30, 1995
(Unaudited)
Assets
<S> <C>
Cash and due from banks $ 10,838,903
Federal funds sold 2,250,000
Investment securities held to maturity (approximate
market value of $18,102,202) 17,987,786
Investment securities available for sale (amortized
cost of $7,195,376) 7,104,360
Other investments 1,120,510
Mortgage loans held for sale 114,945
Loans 105,606,227
Less:Unearned income (238,724)
Allowance for loan losses (1,210,557)
Loans, net 104,156,946
Premises and equipment, net 5,479,383
Other assets 1,465,007
$ 150,517,840
Liabilities and Stockholders' Equity
Liabilities:
Deposits:
Noninterest-bearing $ 26,179,327
Interest-bearing 105,988,926
Total deposits 132,168,253
Notes payable 1,027,779
Other liabilities 1,411,850
Total liabilities 134,607,882
Stockholders' equity:
Common stock, $1 par value; authorized
5,000,000 shares; issued and outstanding
807,800 shares 807,800
Retained earnings 15,162,229
Unrealized loss on investment securities, net of tax (60,071)
Total stockholders' equity 15,909,958
$ 150,517,840
</TABLE>
See accompanying notes to consolidated financial statements.
<PAGE>
<TABLE> FNB BANKING COMPANY AND SUBSIDIARY
Consolidated Statements of Earnings
For the Three Months and Six Months Ended June 30, 1995 and 1994
(Unaudited)
<CAPTION>
Three Months Six Months
Ended Ended
1995 1994 1995 1994
<S> <C> <C> <C> <C>
Interest income:
Loans $ 2,722,514 2,315,949 5,399,822 4,595,072
Investment securities:
Tax exempt 144,986 144,920 285,193 293,278
Taxable 287,321 279,640 568,622 535,631
Federal funds sold 19,319 46,763 26,817 61,253
Total interest income 3,174,140 2,787,272 6,280,454 5,485,234
Interest expense:
Deposits 1,057,165 874,692 2,049,688 1,782,600
Federal funds purchased 7,471 - 15,086 2,915
Notes payable 20,456 17,126 40,478 33,106
Total interest expense 1,085,092 891,818 2,105,252 1,818,621
Net interest income 2,089,048 1,895,454 4,175,202 3,666,613
Provision for loan losses 3,500 - 3,500 85,000
Net interest income after provision for loan losses
2,085,548 1,895,454 4,171,702 3,581,613
Other income:
Service charges on deposit accounts 397,217 366,295 757,352 692,292
Fees for trust services 45,000 46,250 90,000 72,500
Net gain on securities transactions - 101,300 - 88,743
Other operating income 139,719 60,722 200,089 122,760
Total other income 581,936 574,567 1,047,441 976,295
Other expense:
Salaries and other personnel expense 990,351 1,004,454 1,949,308 1,985,060
Net occupancy and equipment expense 233,635 262,019 517,939 515,099
Other operating expense 509,252 470,279 975,764 1,083,892
Total other expense 1,733,238 1,736,752 3,443,011 3,584,051
Earnings before income taxes 934,246 733,269 1,776,132 973,857
Income taxes 297,120 219,000 529,300 270,000
Net earnings $ 637,126 514,269 1,246,832 703,857
Earnings per common share based on average outstanding
shares of 807,800 in 1995 and 1994:
Net earnings per share $ .79 .64 1.54 .87
Dividends per common share $ .25 .15 .25 .15
</TABLE>
See accompanying notes to consolidated financial statements.
<PAGE>
<TABLE> FNB BANKING COMPANY AND SUBSIDIARY
Consolidated Statements of Cash Flows
Six Months Ended June 30, 1995 and 1994
(Unaudited)
<CAPTION> 1995 1994
<S> <C> <C>
Cash flows from operating activities:
Net earnings $1,246,833 703,857
Adjustments to reconcile net earnings to net
cash provided by operating activities:
Provision for loan losses 3,500 85,000
Writedowns and losses on sales of repossessed
collateral 5,658 117,320
Depreciation, amortization and accretion 149,989 208,728
Loss (gain) on securities transactions - (88,743)
Loss on disposal of premises and equipment - 40,112
Change in assets and liabilities:
Interest receivable (21,144) (21,595)
Interest payable 55,792 (25,604)
Other, net 309,684 779,131
Mortgage loans held for sale (72,307) 60,880
Net cash provided by operating activities 1,678,005 1,859,086
Cash flows from investing activities:
Proceeds from sales, maturities and paydowns of
investment securities held to maturity 1,004,245 3,600,057
Proceeds from sales, maturities and paydowns of
investment securities available for sale 76,304 2,218,750
Proceeds from sales and maturities of other investments 9,800 -
Purchases of investment securities held to maturity (198,370) (3,806,485)
Purchases of investment securities available for sale - (992,500)
Change in loans (4,333,661) (1,227,199)
Purchases of premises and equipment (59,399) (232,987)
Proceeds from sales of repossessed collateral 16,342 411,453
Net cash used by investing activities (3,484,739) (28,911)
Cash flows from financing activities:
Net change in deposits 3,893,732 5,765,035
Net change in federal funds purchased (1,500,000) (800,000)
Repayments of long-term debt (83,333) (83,333)
Dividends paid (484,680) (444,290)
Net cash provided by financing
activities 1,825,719 4,437,412
Net increase (decrease) in cash and cash equivalents 18,985 6,267,587
Cash and cash equivalents at beginning of period 13,069,918 6,999,936
Cash and cash equivalents at end of period $13,088,903 13,267,523
Supplemental cash flow information:
Cash paid for income taxes $ 501,000 103,000
Cash paid for interest $ 2,049,460 1,844,225
</TABLE>
See accompanying notes to consolidated financial statements.
<PAGE>
FNB BANKING COMPANY AND SUBSIDIARY
Notes to Consolidated Financial Statements
(Unaudited)
(1) Basis of Presentation
The consolidated financial statements include the accounts of FNB
Banking Company (the Company) and its wholly-owned subsidiary, the
company accounts and transactions have been eliminated in consolidation.
The consolidated financial information furnished herein reflects all
adjustments which are, in the opinion of management, necessary to
present a fair statement of the results of operations and financial
position for the periods covered herein. All such adjustments are of
a normal recurring nature.
(2) Change in Accounting Principle
Effective January 1, 1995, the Company changed its method of accounting
for impaired loans and adopted Statement of Financial Accounting
Standards No. 114 "Accounting by Creditors for Impairment of a Loan"
(SFAS 114). SFAS 114 requires that impaired loans be measured on the
present value of expected future cash flows discounted at the loan's
effective interest rate, which is the contractual interest rate
adjusted for any deferred loan fee or cost, premium or discount
existing at the inception or acquisition of the loan, or at the
loan's observable market price, or the fair value of the collateral
of the loan if the loan is collateral dependent. The impact of the
adoption of SFAS 114 as of January 1, 1995 is immaterial to the
consolidated financial statements.
<PAGE>
FNB BANKING COMPANY AND SUBSIDIARY
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.
FNB BANKING COMPANY
By: \S\ C.A. Knowles
--------------------------------
C.A. Knowles, President and Tres.
(Principal Executive Officer)
Date:_____________________________
By:\S\ William K. Holmes
-------------------------------
William K. Holmes
Assistant Treasurer
(Principal Accounting Officer)
Date:__________________________
FNB Banking Co.
318 South Hill Street
Griffin, Ga. 30223
Securities and Exchange Commission
Operations Center
6432 General Green Way
Mail Stop 0-7
Alexandria, Va. 22312-2413
Re: FNB Banking Co.
Form 10QSB/A
Commission File Number 2-94292
Gentlemen,
We are transmitting herewith the attached Form 10QSB\A for an ammended
return on accession number 0000757262-95-000004 filed August 11, 1995
at 8:33 am.
Sincerely,
William K. Holmes
Asst. Treasurer
WKH/dp
