FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the Quarterly Period Ended: Commission File No. 2-96573
June 30, 1997
FIRST NATIONAL LINCOLN CORPORATION
(Exact name of registrant as specified in its charter)
MAINE 01-0404322
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No)
MAIN STREET, DAMARISCOTTA, MAINE 04543
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (207) 563 - 3195
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
filing requirements for the past 90 days.
Yes XX No __
Indicate the number of shares outstanding of each of the issuer's classes
of common stock, as of the latest practicable date.
Class Outstanding at June 30, 1997
Common Stock, Par One Cent 616,088
<PAGE>
FIRST NATIONAL LINCOLN CORPORATION
INDEX
PART 1 Financial Information
Page No.
Item 1: Financial Statements
Consolidated Balance Sheets - 1 - 2
June 30, 1997, June 30, 1996, and December 31, 1996.
Consolidated Statements of Income - 3 - 4
Six months ended June 30, 1997 and June 30, 1996.
Consolidated Statements of Income - 5 - 6
Quarter ended June 30, 1997 and June 30, 1996.
Consolidated Statements of Cash Flows - 7 - 8
Six months ended June 30, 1997 and June 30, 1996.
Footnotes to Financial Statements - 9
Six months ended June 30, 1997 and June 30, 1996.
Item 2: Management's discussion and analysis of 10 - 13
financial condition and results of operations.
PART II Other Information
Item 1: Legal Proceedings 14
Item 2: Changes in Securities 15
Item 3: Defaults Upon Senior Securities 16
Item 4: Submission of Matters to a Vote of Security Holders 17 - 19
Item 5: Other Information 20
Item 6: Exhibits and reports on Form 8-K. 21
Signatures 22
<PAGE>
FIRST NATIONAL LINCOLN CORPORATION
AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
(000 OMITTED)
6/30/97 6/30/96 12/31/96
(Unaudited) (Unaudited) (Unaudited)
Assets
Cash and due from banks $6,833 $5,884 $6,023
Interest bearing deposits in other banks 0 3 975
Investments:
Available for sale 15,161 28,431 18,492
Held to maturity (market values $53,827
at 6/30/97, $37,076 at 6/30/96 and
$41,873 at 12/31/96) 54,086 37,786 42,072
Loans held for sale (market value $302
at 12/31/96) 0 0 302
Loans 169,190 148,745 156,970
Less allowance for loan losses 1,823 1,973 1,906
Net loans 167,367 146,772 155,064
Accrued interest receivable 2,111 1,862 1,702
Bank premises and equipment 4,188 3,958 4,172
Other real estate owned 416 756 814
Other assets 1,495 1,182 1,152
Total Assets $251,657 $226,634 $230,768
Liabilities & Stockholders' Equity
Demand deposits $12,973 $13,076 $14,786
NOW deposits 26,852 25,675 26,349
Money market deposits 4,156 4,974 6,314
Savings deposits 33,328 33,172 34,688
Certificates of deposit 64,149 58,606 61,476
Certificates $100M and over 15,216 13,331 12,061
Total deposits $156,674 $148,834 $155,674
Page1
<PAGE>
BALANCE SHEETS CONT.
6/30/97 6/30/96 12/31/96
(Unaudited) (Unaudited) (Unaudited)
Borrowed funds 69,115 55,498 51,148
Other liabilities 1,747 1,525 1,469
Total Liabilities 227,536 205,857 208,291
Shareholders' Equity:
Common stock 6 6 6
Additional paid-in capital 4,486 4,281 4,486
Retained earnings 19,612 16,500 17,971
Net unrealized gains (losses) on available-
for-sale securities 21 (10) 14
Treasury stock (4) 0 0
Total Stockholders' Equity 24,121 20,777 22,477
Total Liabilities & Stockholders'
Equity $251,657 $226,634 $230,768
Page 2
<PAGE>
FIRST NATIONAL LINCOLN CORPORATION
AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF INCOME
(000 OMITTED)
For the six months ended June 30,
1997 1996
(Unaudited) (Unaudited)
Interest Income:
Interest and fees on loans $7,227 $6,388
Interest on deposits with other banks 24 6
Interest and dividends on investments 2,291 2,154
Total interest income 9,542 8,548
Interest expense:
Interest on deposits 2,818 2,792
Interest on borrowed funds 1,711 1,256
Total interest expense 4,529 4,048
Net interest income 5,013 4,500
Provision for loan losses 0 0
Net interest income after provision
for loan losses 5,013 4,500
Other operating income:
Trust department income 170 157
Service charges on deposit accounts 275 249
Net securities gains (losses) 0 2
Other operating income 246 208
Total other operating income 691 616
Other operating expenses:
Salaries and employee benefits 1,601 1,481
Occupancy expense 169 167
Furniture and equipment expense 292 289
Other 860 834
Total other operating expenses 2,922 2,771
Page 3
<PAGE>
STATEMENTS OF INCOME CONT.
1997 1996
(Unaudited) (Unaudited)
Income before income taxes 2,782 2,345
Applicable income taxes 876 755
NET INCOME $1,906 $1,590
Earnings per common share:
Net income $3.09 $2.60
Dividends declared $0.43 $0.35
Page 4
<PAGE>
FIRST NATIONAL LINCOLN CORPORATION
AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF INCOME
(000 OMITTED)
For the quarter ended June 30,
1997 1996
(Unaudited) (Unaudited)
Interest Income:
Interest and fees on loans $3,714 $3,258
Interest on deposits with other banks 11 2
Interest and dividends on investments 1,204 1,063
Total interest income 4,929 4,323
Interest expense:
Interest on deposits 1,440 1,352
Interest on borrowed funds 931 669
Total interest expense 2,371 2,021
Net interest income 2,558 2,302
Provision for loan losses 0 0
Net interest income after provision
for loan losses 2,558 2,302
Other operating income:
Trust department income 89 77
Service charges on deposit accounts 145 130
Net securities gains (losses) 0 (4)
Other operating income 141 113
Total other operating income 375 316
Other operating expenses:
Salaries and employee benefits 792 723
Occupancy expense 82 81
Furniture and equipment expense 151 144
Other 457 423
Total other operating expenses 1,482 1,371
Page 5
<PAGE>
STATEMENTS OF INCOME CONT.
1997 1996
(Unaudited) (Unaudited)
Income before income taxes 1,451 1,247
Applicable income taxes 458 402
NET INCOME $993 $845
Earnings per common share:
Net income $1.61 $1.38
Dividends declared $0.22 $0.18
Page 6
<PAGE>
FIRST NATIONAL LINCOLN CORPORATION
AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the six months ended June 30,
1997 1996
(Unaudited) (Unaudited)
Cash flows from operating activities:
Net income $1,906 $1,590
Adjustments to reconcile net earnings to
net cash provided by operating activities:
Depreciation 272 263
Provision for loan losses 0 0
Loans originated for resale (782) 0
Proceeds from sales and transfers of loans 1,084 0
Net (gain) loss on sale of investments 0 (2)
Provision for losses on other real estate owned 0 15
Losses related to other real estate owned 20 6
Net change in other assets (852) (600)
Net change in other liabilities 389 501
Net amortization of premium on investments 15 68
Net cash provided by operating activities 2,052 1,841
Cash flows from investing activities:
Proceeds from sales of investments 0 4,479
Proceeds from maturities of investments 8,958 6,492
Maturities of interest-bearing deposits 975 2,697
Proceeds from sales of other real estate 429 264
Additional investment in other real estate owned (1) (4)
Purchase of investments (17,645) (15,776)
Net decrease (increase) in loans (12,222) (11,910)
Capital expenditures (323) (75)
Net cash used in investing activities (19,829) (13,833)
Cash flows from financing activities:
Net increase (decrease) in demand deposits,
savings, money market and club accounts (4,828) (3,278)
Net increase (decrease) in certificates of deposit 5,828 1,644
Net increase (decrease) in other borrowings 17,967 14,273
Proceeds from sale of Treasury stock 45 29
Payment to repurchase common stock (49) (26)
Net proceeds from stock issuance 0 44
Dividends paid (376) (214)
Net cash provided by financing activities 18,587 12,472
Page 7
<PAGE>
STATEMENTS OF CASH FLOWS CONT.
1997 1996
(Unaudited) (Unaudited)
Net increase (decrease) in cash and
cash equivalents 810 480
Cash and cash equivalents at beginning
of period 6,023 5,404
Cash and cash equivalents at end of
period $6,833 $5,884
Interest paid $4,427 $4,064
Income taxes paid 819 584
Non-cash transactions:
Loans transferred to other real estate
owned (net) 50 390
Loans held for sale transferred to loan portfolio 0 4,066
Net change in unrealized gain (loss) on
available for sale securities 11 (212)
Page 8
<PAGE>
FOOTNOTES TO FINANCIAL STATEMENTS
1. The quarterly financial statements in the opinion of Management fairly
represent all adjustments made to reflect the current financial condition of
the Company for this interim period just ended. All such adjustments were of a
normal recurring nature.
Page 9
<PAGE>
Item 2 - MANAGEMENT'S DISCUSSION OF FINANCIAL CONDITION & RESULTS OF OPERATIONS
EARNINGS SUMMARY
Net income for the six months ended June 30, 1997 was $1,906,000, an
increase of 19.9% over 1996's net income of $1,590,000. Net income for the
quarter ended June 30, 1997 was $993,000. This is a 17.5% increase over 1996's
net income of $845,000.
NET INTEREST INCOME
Net interest income for the six months ended June 30, 1997 was $5,013,000,
an 11.4% increase over 1996's net interest income of $4,500,000. Total
interest income of $9,542,000 is a 11.6% increase over 1996's total interest
income of $8,548,000. Total interest expense of $4,529,000 is a 11.9% increase
over 1996's total interest expense of $4,048,000.
Net interest income for the quarter ended June 30, 1997 was $2,558,000.
This is an 11.1% increase over 1996's net interest income of $2,302,000. Total
interest income was $4,929,000, a 14.0% increase over 1996's total interest
income of $4,323,000. Total interest expense of $2,371,000 is a 17.3% increase
over 1996's total interest expense of $2,021,000.
PROVISION FOR LOAN LOSSES
No provision to the allowance for loan losses was made during the first
six months of 1997. The allowance for loan losses is deemed adequate as
calculated in accordance with Banking Circular #201 and with respect to SFAS
114/118. Loans considered to be impaired according to SFAS 114/118 totalled
$592,000 at June 30, 1997. The portion of the allowance for loan losses
allocated to impaired loans at June 30, 1997 was $143,000.
NON-INTEREST INCOME
Non-interest income of $691,000 for the six months ended June 30, 1997.
This is an increase of 12.2% from 1996's non-interest income of $616,000. Non-
interest income for the quarter ended June 30, 1997 was $375,000, an 18.7%
increase over the same period a year ago.
NON-INTEREST EXPENSE
Non-interest expense of $2,922,000 for the six months ended June 30, 1997
is an increase of 5.4% from 1996's non-interest expense of $2,771,000. Non-
interest expense for the quarter ended June 30, 1997 was $1,482,000, an 8.1%
increase over the same period a year ago.
INCOME TAXES
Income taxes on operating earnings increased to $876,000 for the first six
months of 1997 from $755,000 for the same period a year ago. The level of
income taxes has increased as a result of the Company's increased earnings.
DEPOSITS AND BORROWED FUNDS
Deposits as of June 30, 1997 increased by 5.3% or $7,840,000 from June 30,
1996. Demand deposits decreased by 0.8% or $103,000, NOW deposits increased by
Page 10
<PAGE>
MANAGEMENT'S DISCUSSION CONT.
4.6% or $1,177,000, savings deposits increased by 0.5% or $156,000, money
market deposits decreased by 16.4% or $818,000 and certificates of deposit
increased by 10.3% or $7,428,000.
Deposits were supplemented by borrowings from the Federal Home Loan Bank
and repurchase agreements. Total borrowed funds increased by 24.5% or
$13,617,000 from the same period a year ago.
STOCKHOLDERS' INVESTMENT AND CAPITAL RESOURCES
Stockholders' investment as of June 30, 1997 was $24,121,000 compared to
$20,777,000 for the same period in 1996. The reason for this increase was the
strong earnings performance in the year 1996 and the first six months of 1997.
During 1996, the Company increased its dividend one cent each quarter to
end the year at a dividend rate of 20 cents per share. In addition, a special
cash dividend of 20 cents per share was declared in the fourth quarter of 1996.
Dividends were increased one cent in the first quarter of 1997 to 21 cents per
share and again in the second quarter to 22 cents per share.
Leverage capital ratios for the Company were 9.58% and 9.17%,
respectively, at June 30, 1997 and June 30, 1996. The Bank had a tier one
risk-based capital ratio of 15.29% and tier two risk-based capital ratio of
16.49% at June 30, 1997, compared to 14.06% and 15.31%, respectively, at June
30, 1996. These were comfortably above the standards to be rated "well-
capitalized" by the regulatory authorities.
LIQUIDITY MANAGEMENT
As of June 30, 1997 the Bank had primary sources of liquidity of
$40,707,000, or 16.2% of its assets. It is Management's opinion that this is
adequate. In its Asset/Liability policy, the Bank has adopted guidelines for
liquidity.
We are not aware of any current recommendations by the regulatory
authorities which, if they were to be implemented, would have a material effect
on the Corporation's liquidity, capital resources or results of operations.
LOAN POLICIES
Real estate values:
A. Residential properties We loan up to 80% of the appraised value of
properties without mortgage insurance and up to 95% of the appraised value of
properties with mortgage insurance. No further appraisals are done as long as
the payment history remains satisfactory. If a loan becomes delinquent, a
review might be done of the loan.
When a loan becomes 90 or more days past due, an in-depth review is made of
the loan and a determination made as to whether or not a reappraisal is
required.
B. Land only properties We do not have many of these but we do loan up to 65%
of the appraised value of the property. They are handled the same way as above
from booking date on.
Page 11
<PAGE>
MANAGEMENT'S DISCUSSION CONT.
C. Commercial properties We loan up to 75% of the appraised value and, once
the loan is closed, the decision to re-appraise a property is subjective and
depends on a variety of factors, such as: the payment status of the loan, the
risk rating of the loan, the amount of time that has passed since the last
appraisal, changes in the real estate market, availability of financing,
inventory of competing properties, and changes in condition of the property
i.e. zoning changes, environmental contamination, etc.
Note: A certified or licensed appraiser is used for all appraisals.
At June 30, 1997 and 1996, loans on a non-accrual status totaled $646,000
and $798,000, respectively. In addition to loans on a non-accrual status at
June 30, 1997 and 1996, loans past due greater than 90 days totaled $141,000
and $45,000 respectively. The Company continues to accrue interest on these
loans because it believes collection of the interest is reasonably assured.
INVESTMENTS
As of June 30, 1997 stockholders' equity was increased by $21,000 due to a net
unrealized gain in the available-for-sale portfolio.
OFF-BALANCE SHEET FINANCIAL INSTRUMENTS
No material off-balance sheet risk exists that requires a separate
liability presentation.
SALE OF LOANS
No recourse obligations have been incurred in connection with the sale of
loans.
RISK ELEMENTS
Any loans classified for regulatory purposes as loss, doubtful,
substandard, or special mention that have not been disclosed under Item III of
Industry Guide 3 do not represent or result from trends or uncertainties which
Management reasonably expects will materially impact future operating results,
liquidity or capital resources.
There are no known potential problem loans which are not now disclosed
pursuant to Item III. C. 1. of Industry Guide 3. Item III. C. 2. is not
applicable.
REGULATORY MATTERS
Procedures for monitoring Bank Loan Administration:
A. Loan reviews are done on a regular basis.
B. An action plan is prepared quarterly on all criticized commercial loans
greater than $100,000.
C. Delinquent loans are reviewed weekly by the Bank's Collections Officer and
Senior Loan Officer.
Page 12
<PAGE>
MANAGEMENT'S DISCUSSION CONT.
D. A tickler system is utilized to insure timely receipt of current information
(such as financial statements, appraisals and/or credit memos to the credit
file).
Note: Most of the above applies only to commercial loans, but retail loans are
reviewed periodically, usually around a delinquency.
Procedures for monitoring Bank Other Real Estate Owned:
The O.R.E.O. portfolio is handled by the Collections Officer, with backup
by the Senior Loan Officer. Most properties are listed with real estate
brokers for sale. All properties are appraised periodically for market value,
and provision is made to the allowance for O.R.E.O. losses if the estimated
market value after selling costs is lower than the carrying value of the
property.
ACCOUNTING PRONOUNCEMENTS
SFAS No. 122, "Accounting for Mortgage Servicing Rights" was adopted in 1996.
SFAS requires the recognition of rights to service mortgage loans for others as
separate assets, regardless of whether the rights were originated or purchased,
and subsequent, periodic evaluations of the capitalized rights for impairment.
The adoption of this statement did not have a material effect on the financial
statements.
The Company adopted SFAS No. 123, "Accounting for Stock Based Compensation,"
and has elected the intrinsic value method. The financial statements are not
affected.
SFAS No. 125, as amended by SFAS No. 127, relates to the accounting for
transfers and servicing of financial assets and extinguishments of certain
liabilities and is effective for years beginning January 1, 1997. The adoption
of this statement did not have an effect on the financial statements.
SFAS No. 128, "Earnings per Share", and SFAS No. 129, "Disclosure of
Information about Capital Structure", were issued in February 1997 and are
effective for interim and annual periods ending after December 15, 1997. The
effect of adopting these statements has not been determined.
Page 13
<PAGE>
PART II
ITEM 1. LEGAL PROCEEDINGS
The Company was not involved in any legal proceedings requiring disclosure
under Item 103 of Regulation S-K during the reporting period.
Page 14
<PAGE>
ITEM 2. CHANGES IN SECURITIES
None
Page 15
<PAGE>
ITEM 3. DEFAULT UPON SENIOR SECURITIES
None.
Page 16
<PAGE>
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
Three proposals were submitted to a vote of security holders at the
Company's Annual Meeting of Shareholders, held on Tuesday, April 29, 1997, at
11:00 a.m. Eastern Daylight Time. Only shareholders of record as of the close
of business on March 17, 1997 (the "Voting Record Date") were entitled to vote
at the Annual Meeting. On the Voting Record Date, there were 615,046 shares of
Common Stock of the Company, one cent par value, issued and outstanding, and
the Company had no other class of equity securities outstanding. Each share of
Common Stock was entitled to one vote at the Annual Meeting on all matters
properly presented thereat.
PROPOSAL 1: To ratify the Board of Directors' vote to fix the number of
Directors at nine.
The Articles of Incorporation of the Company provide that the Board of
Directors shall consist of not fewer than five nor more than twenty-five
persons as determined by the Board prior to each Annual Meeting, with Directors
serving for "staggered terms" of three years. A resolution of the Board of
Directors adopted pursuant to the Company's Articles of Incorporation has
established the number of Directors at nine.
The results of the shareholder voting had 529,994 shares in favor, 1,299
shares against, 616 shares withheld voting, and 83,137 shares not voting.
PROPOSAL 2: Election of Directors
The following were nominees for three-year terms as Director:
Daniel R. Daigneault has served as President and Chief Executive Officer
of the Company since April 26, 1994, and has served as President and Chief
Executive Officer of the Bank since March 7, 1994 and as a member of the Board
of Directors of both the Company and the Bank since March 1994. Prior to being
employed by the Bank, Mr. Daigneault was Vice President, Senior Commercial Loan
Officer at Camden National Bank, Camden, Maine.
Robert B. Gregory was elected a Director of the Company and the Bank in
October, 1987. Mr. Gregory has been a practicing attorney since 1980, first in
Lewiston, Maine and since 1984 in Damariscotta, Maine. Mr. Gregory is a member
of several legal societies and associations.
Parker L. Spofford has been a Director of the Company since its
organization in 1985 and has served as a Director of the Bank since 1979. Mr.
Spofford is a Realtor in Waldoboro, Maine. He has been active in that capacity
since 1955 and is a Past President of the Maine Association of Realtors as well
as a former director of the National Association of Realtors. He began his
banking affiliation with the Provident Institution for Savings in Boston and
has served in an advisory capacity for the former Depositors Trust Company and
the former Heritage Savings Bank.
The following Directors' terms will expire in 1998:
M. Robert Barter has been a Director of the Company since its organization
in 1985 and has served as a Director of the Bank since 1982, and Chairman of
both the Company and the Bank since April, 1989. Mr. Barter has owned and
operated Bob's Photo-TV Store in Boothbay Harbor, Maine since 1953. Mr. Barter
is also serving as Town Clerk for the Town of Boothbay Harbor and is County
Commissioner for Lincoln County, Maine. Representing Maine, Mr. Barter is a
Director of The National Association of Counties in Washington, D.C.
Page 17
<PAGE>
Bruce A. Bartlett has been a member of the Board of Directors since the
Company's organization in 1985. Mr. Bartlett served as President and Chief
Executive Officer of the Company until his retirement on April 26, 1994 and as
President and Chief Executive Officer of the Bank until his retirement on March
7, 1994. He has served as a Director of the Bank since 1981.
Malcolm E. Blanchard has been a Director of the Company since its
organization in 1985, has served as a Director of the Bank since 1976, and is
Chairman of the Executive Committee of the Bank. Mr. Blanchard has been
actively involved, either as sole proprietor or as a partner, in real estate
development since 1970.
The following Directors' terms will expire in 1999:
Katherine M. Boyd was elected a Director of the Company and Bank in 1993.
A resident of Boothbay Harbor, she owns Boothbay Region Greenhouses with her
husband. Ms. Boyd is a director of the Boothbay Region YMCA, Chairperson of
the YMCA Annual Fund Drive, and past chairperson of the YMCA Camp Committee.
Carl S. Poole has been a Director of the Company since its organization in
1985 and has served as a Director of the Bank since 1984. Mr. Poole is
President, Secretary and Treasurer of Poole Brothers Lumber, a lumber and
building supply company with locations in Damariscotta, Pemaquid and Boothbay
Harbor, Maine.
David B. Soule, Jr. was elected a Director of the Company and the Bank in
June, 1989. Mr. Soule has been praticing law in Wiscasset since 1971. He
spent two terms in the Maine House of Representatives and is a past President
of the Lincoln County Bar Association and is a former Public Adminstrator,
Lincoln County. He has served on the Board of Directors of Bath area YMCA and
of the Coastal Economic Development Corporation and as a Trustee of the
Wiscasset Library. He was Selectman, Town of Westport from 1975 to 1976 and
served as Chairman of the Board of Selecman from 1993 to 1995.
There are no family relationships among any of the Directors of the
Company, and there are no arrangements or understandings between any Director
and any other person pursuant to which that Director has been or is to be
elected. No Director of the Bank or the Company serves as a Director on the
board of any other coporation with a class of securities registered pursuant to
Section 12 of the Securities Exchange Act or subject to the reporting
requirements of Section 15(d) of the Securities Exchange Act or any company
registered as an investment company under the Investment Company Act of 1940,
as amended.
The results of the shareholder voting had 528,319 shares in favor, 3,590
withheld voting, and 83,137 shares not voting.
PROPOSAL 3: Appointment of Auditors
The Board of Directors appointed Berry, Dunn, McNeil & Parker as
independent auditors of the Company and its subsidiary for the year ended
December 31, 1996. In the opinion of the Board of Directors, the reputation,
qualifications and experience of the firm make its reappointment appropriate
for 1997. It was the desire of the Board of Directors that the selection of
Berry, Dunn, McNeil & Parker as independent auditors be ratified by
shareholders at the annual meeting.
Page 18
<PAGE>
The results of the shareholder voting had 531,722 shares in favor, 132 shares
against, 55 withheld voting, and 83,137 not voting.
Page 19
<PAGE>
ITEM 5: Other Information
On May 5, 1997, the Bank acquired, through purchase, a two story
commercial building on Commercial Street in Rockport, Maine. The Bank intends
to open a full-service branch for business in the fall of 1997, pending
regulatory approval.
Page 20
<PAGE>
ITEM 6: Exhibits, Financial Statement Schedules, and reports on Form 8-K
A. EXHIBITS
EXHIBIT 27. Financial Data Schedule.
B. REPORTS ON FORM 8-K
During the registrant's first six months ended June 30, 1997 the
registrant was not required to and did not file any reports on Form 8-K.
Page 21
<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 NATIONAL LINCOLN CORPORATION
August 13, 1997 Daniel R. Daigneault
Date Daniel R. Daigneault
President and CEO
August 13, 1997 F. Stephen Ward
Date F. Stephen Ward
Treasurer
Page 22
<PAGE>
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<ARTICLE> 9
<MULTIPLIER> 1000
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<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> JUN-30-1997
<CASH> 6833
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<DEPOSITS> 156674
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0
0
<OTHER-SE> 24115
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