FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 1995
------------------
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from____________to_____________
Commission file number 0-16272
-----------
Hometown Bancorporation, Inc.
-----------------------------
(Exact name of Registrant as specified its charter)
Delaware 06-1199559
-------- ----------
(State or other jurisdiction of (IRS Employer
incorporation or organization) Identification No.)
20 West Avenue, P.O. Box 1265, Darien, CT 06820
------------------------------------------------
(Address of principal executive offices)
(203) 656-2265
--------------
(Registrant's telephone number, including area code)
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
--- ---
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 October 31, 1995
----- -------------------------------
Common Stock (Voting), $1 par
Value 1,683,146
---------
<PAGE>
HOMETOWN BANCORPORATION, INC.
-----------------------------
INDEX
-----
Page
----
Part I - Financial Information
------------------------------
Item 1. - Financial Statements
-------
Consolidated Balance Sheet -
September 30, 1995 and December 31, 1994 3
Consolidated Statement of Income -
Three Months Ended September 30, 1995 and 1994 4
Consolidated Statement of Income -
Nine Months Ended September 30, 1995 and 1994 5
Consolidated Statement of Cash Flows -
Nine Months Ended September 30, 1995 and 1994 6
Item 2. - Management's Discussion and Analysis of
------- Financial Condition and Results of Operations 7-11
Part II - Other Information
---------------------------
Item 6. - Exhibits and Reports on Form 8-K 12
-------
Signatures 13
2
<PAGE>
Part I
Item 1. - Financial Statements
- ------------------------------
Hometown Bancorporation, Inc.
Consolidated Balance Sheet
(000's of dollars except par value and share amounts)
September 30, December 31,
1995 1994
---- ----
(restated)
ASSETS (unaudited) (unaudited)
Cash and due from banks $9,123 $8,549
Investments available for sale, at fair value 73,853 76,854
Investments held to maturity (fair value:
$39,845 in 1995 and $44,965 in 1994) 40,282 46,273
Loans, less allowance for loan losses of
$3,055 in 1995 and $3,004 in 1994 83,928 74,940
Equipment and leasehold improvements, net of
accumulated depreciation of $1,815 in 1995
and $1,576 in 1994 1,522 1,627
Other real estate owned 878 1,016
Other assets 7,877 4,732
-------- --------
Total Assets $217,463 $213,991
======== ========
LIABILITIES AND STOCKHOLDERS' EQUITY
Deposits:
Demand $23,886 $24,932
NOW and money market accounts 71,968 77,050
Savings deposits 12,255 14,369
Certificates of deposit of $100 and over 11,230 9,351
Other time deposits 56,260 57,029
------- -------
175,599 182,731
FHLBB advances 23,950 16,681
Accrued interest and other liabilities 2,130 2,042
------- -------
Total Liabilities 201,679 201,454
_______ _______
STOCKHOLDERS' EQUITY
Preferred Stock, par value $1; 2,000,000 shares
authorized, none issued and outstanding
Common Stock, par value $1; 10,000,000 shares
authorized, 1,683,146 and 1,680,096 issued
and outstanding in 1995 and 1994, respectively 1,833 1,833
Surplus 14,023 13,960
Retained earnings 1,386 534
Treasury stock - 149,959 and 153,255 shares in 1995
and 1994, respectively, at cost (870) (887)
Unrealized loss on investments available for sale (588) (2,903)
--------- --------
Total Stockholders' Equity 15,784 12,537
-------- --------
Total Liabilities and Stockholders' Equity $217,463 $213,991
======== ========
3
<PAGE>
Hometown Bancorporation, Inc.
Consolidated Statement of Income
(000's of dollars except par value and share amounts)
For the three months ended
September 30,
1995 1994
---- ----
(restated)
Interest and dividend income: (unaudited) (unaudited)
Interest and fees on loans $2,019 $1,804
Interest on investment securities:
Taxable:
Obligations of U.S. Agencies 1,257 971
Other 494 573
Interest on federal funds sold 5 5
Dividends 37 37
----- -----
Total interest and dividend income 3,812 3,380
Interest expense:
Deposits 1,566 1,245
Other 378 330
----- -----
1,944 1,575
----- -----
Net interest income 1,868 1,805
Provision for loan losses 25 25
Provision for OREO losses 25 --
----- -----
Net interest income after provision for
loan and OREO losses 1,818 1,780
Other operating revenue:
Deposit and other service charges 161 165
Mortgage origination fees 128 100
Securities gains -- --
Other 60 37
----- -----
Net interest income and operating revenue 2,167 2,082
Other operating expenses:
Salaries and benefits 808 760
Occupancy expense 137 142
FDIC insurance premiums (10) 93
Depreciation 81 100
Advertising and marketing 69 62
Foreclosure expense and cost of other
real estate owned 36 30
Legal and Accounting 580 26
Other operating expenses 446 353
----- -----
Total other operating expenses 2,147 1,566
----- -----
Income before taxes 20 516
Provision for federal and state income taxes 7 187
--- ----
Net income $13 $329
=== ====
Earnings per share:
Primary earnings per share $.01 $.19
==== ====
Average number of shares outstanding 1,767,160 1,758,032
========= =========
Fully diluted earnings per share $.01 $.19
==== ====
Average number of shares outstanding 1,770,033 1,758,459
========= =========
4
<PAGE>
Hometown Bancorporation, Inc.
Consolidated Statement of Income
(000's of dollars except par value and share amounts)
For the nine months ended
September 30,
1995 1994
(restated)
Interest and dividend income: (unaudited) (unaudited)
Interest and fees on loans $5,636 $5,082
Interest on investment securities:
Taxable:
Obligations of U.S. Agencies 4,067 2,470
Other 1,538 1,588
Interest on federal funds sold 5 51
Dividends 106 79
------- -------
Total interest and dividend income 11,352 9,270
Interest expense:
Deposits 4,593 3,223
Other 1,190 868
------- -------
5,783 4,091
------- -------
Net interest income 5,569 5,179
Provision for loan losses 50 50
Provision for OREO losses 45 34
------- -------
Net interest income after provision for
loan and OREO losses 5,474 5,095
Other operating revenue:
Deposit and other service charges 524 492
Mortgage origination fees 323 435
Securities gains 26 45
Other 106 133
------- -------
Net interest income and operating revenue 6,453 6,200
Other operating expenses:
Salaries and benefits 2,332 2,205
Occupancy expense 424 427
FDIC insurance premiums 193 292
Depreciation 239 298
Advertising and marketing 192 188
Foreclosure expense and cost of other
real estate owned 96 90
Legal & Accounting 610 79
Other operating expenses 1,154 1,046
------- -------
Total other operating expenses 5,240 4,625
------- -------
Income before taxes 1,213 1,575
Provision for federal and state income taxes 354 569
------- -------
Net income $859 $1,006
======= =======
Earnings per share:
Primary earnings per share $.49 $.58
==== ====
Average number of shares outstanding 1,764,824 1,749,548
========= =========
Fully diluted earnings per share $.49 $.57
==== ====
Average number of shares outstanding 1,769,535 1,750,683
========= =========
5
<PAGE>
Hometown Bancorporation, Inc.
Consolidated Statement of Cash Flows
(thousands of dollars)
For the nine months ended
September 30,
1995 1994
(restated)
Cash Flows from Operating Activities: (unaudited) (unaudited)
Net income $859 $1,006
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation and amortization, net 493 453
Provision for loan losses and OREO losses 95 84
Securities gains (26) (45)
(Increase) in other assets (3,399) (855)
Increase (decrease) in other liabilities 88 (1,029)
------ -------
Net cash (used) by operating activities (1,890) (386)
------ -------
Cash Flows from Investing Activities:
Proceeds from the maturity of investments held
to maturity 5,991 13,916
Purchase of investments held to maturity -- (23,513)
Proceeds from the maturity of investments
available for sale 9,364 14,329
Purchase of investment securities available
for sale (24,588) (42,374)
Proceeds from the sale of investments available
for sale 20,566 9,615
Net (increase) decrease in loans (9,039) 4,106
Decrease in foreclosed assets 92 119
(Purchase) of capital assets (134) (140)
------ -------
Net cash provided (used) by investing activities 2,252 (23,942)
------ -------
Cash Flows from Financing Activities:
Net (decrease) in demand deposits, NOW
accounts, money market accounts and
savings accounts (8,242) (3,084)
Net increase in certificates of deposit
and other time deposits 1,110 22,166
Increase (decrease) in FHLBB advances 7,269 (705)
Exercise of stock options 75 98
------ ------
Net cash provided by financing activities 212 18,475
------ ------
Net increase (decrease) in cash and cash equivalents 574 (5,853)
Cash and cash equivalents at the beginning of
the period 8,549 13,494
------ ------
Cash and cash equivalents at the end of the period $9,123 $7,641
====== ======
6
<PAGE>
Item 2. - Management's Discussion and Analysis of Financial Condition
------------------------------------------------------------
and Results of Operations
-------------------------
Introduction
- ------------
Hometown Bancorporation, Inc. (the "Company") was formed to become a
holding company for The Bank of Darien (the "Bank"), to raise additional
capital and to provide a vehicle for other permitted holding company
activities. On July 21, 1987, each share of the Bank's outstanding common
stock was exchanged for one share of Common Stock, par value $1.00, of the
Company. This transaction was recorded in a manner analogous to a pooling
of interests.
The Bank is the sole subsidiary of the Company. The business of the
Company consists of ownership of the capital stock of the Bank.
The Bank, which currently has offices in Darien and Westport,
Connecticut, is a full service commercial institution with a market area
within Southern Fairfield County. Its commitment to service excellence is
supported by a flexible approach to banking, immediate problem resolution
and local decision making with fast turnaround. The staff's commitment to
excellence is evidenced by low turnover of personnel with courteous and
efficient service.
The Bank, a member of the FDIC, offers a complete line of financial
services to the retail and commercial market segments. Deposit products
range from checking, NOW and money market accounts, savings accounts,
certificates of deposit, individual retirement accounts and Keoghs. Loan
products include personal and commercial loans, mortgages, home equity
lines of credit, secured and unsecured loans, MasterCard, VISA and Gold
MasterCard credit cards.
Results of Operations
- ---------------------
The Company earned consolidated net income of $13,000 or $.01 per
share and $329,000 or $.19 per share for the three months ended September
30, 1995 and 1994, respectively. The Company earned consolidated net
income of $859,000 or $.49 per share and $1,006,000 or $.58 per share ($.57
fully diluted) for the nine months ended September 30, 1995 and 1994,
respectively. Net operating income declined by $147,000 or 14.6% from
$1,006,000 or $.58 per share ($.57 fully diluted) during the first nine months
of 1994 to $859,000 or $.49 per share during the first nine months of 1995.
Net Interest Income
- -------------------
Net interest income increased $63,000 or 3.5% and $390,000 or 7.5% for
the three and nine months ended September 30, 1995, as compared to the
three and nine months ended September 30, 1994, respectively. The
increases in net interest income were due primarily to an increase in
average interest earning assets for the three and nine month periods as
compared to the prior year. In addition, growth in the investment
portfolio during 1994 and into the first half of 1995 was concentrated in
U. S. Agency-issued teaser rate ARM instruments. These securities are
generally tied to the one-year Constant Maturity Treasury (CMT) index and
are subject to coupon repricing and a periodic 2% limit over the then-
current coupon. Given the steep rise in interest rates during the nine
months ended September 30, 1995, as teaser rates reset, the Bank will
continue to benefit from currently higher coupon income. Below is the
yield analysis for the nine months ended September 30, 1995 and for the
year ended December 31, 1994.
7
<PAGE>
HOMETOWN BANCORPORATION, INC.
YIELD ANALYSIS
(000's of dollars)
<TABLE>
<CAPTION>
For the Nine Months Ended For the Year Ended
September 30, 1995 December 31, 1994
Average Average
Balance Interest Yield Balance Interest Yield
<S> <C> <C> <C> <C> <C> <C>
ASSETS
Interest earning assets:
Loans $ 80,530 $ 5,636 9.34% $ 85,968 $ 6,912 8.04%
Investment securities 126,840 5,711 6.00% 112,713 5,739 5.09%
Federal funds sold 118 5 5.57% 1,573 51 3.24%
------------------------------------------------------------------
Total interest earning assets 207,488 11,352 7.31% 200,254 12,702 6.34%
------------------------------------------------------------------
Non interest earning assets
Cash and due from banks 7,245 6,952
Allowance for loan losses (3,022) (3,267)
Other assets 9,196 8,292
--------- --------
Total assets $220,907 $212,231
========= =========
LIABILITIES AND STOCKHOLDERS' EQUITY
Interest bearing liabilities
Savings deposits $ 13,456 224 2.23% $ 15,834 337 2.13%
NOW accounts 25,815 284 1.47% 26,586 387 1.46%
Money market deposits 51,479 1,464 3.80% 51,578 1,520 2.95%
Time deposits 65,820 2,609 5.30% 54,860 2,215 4.04%
Other interest bearing liabilities 26,314 1,202 6.11% 25,568 1,354 5.30%
------------------------------------------------------------------
Total interest bearing liabilities 182,884 5,783 4.23% 174,426 5,813 3.33%
------------------------------------------------------------------
Non interest bearing liabilities:
Demand deposits 22,109 20,259
Other liabilities 504 2,367
Stockholders' equity 15,410 15,179
--------- --------
Total liabilities and stockholders' equity $220,907 $212,231
========= =========
------- -------
Net interest income $ 5,569 $ 6,889
======= =======
Net yield on interest earning assets 3.58% 3.44%
===== =====
</TABLE>
Provision and Allowance for Loan Losses
- ---------------------------------------
The Company maintains an allowance for loan losses which is recorded
through a provision for loan losses. The provision for loan losses is
charged to operations based on management's assessment of such loan
related factors as loan risk, including collateral and liquidation value
of that collateral, loan type, current economic conditions and other
pertinent factors.
The Company, in its assessment of the allowance for loan losses,
utilizes a risk rating system. This system involves an ongoing review of
the loan portfolio that culminates in loans
8
<PAGE>
being assigned a risk factor based upon various credit criteria. If the
review indicates a possibility that some portion of the loan may result
in a loss, a specific allowance is established for the amount of the
estimated loss. If the review indicates that it is probable that some
portion of the loan will result in a loss, that portion of the loan is
charged-off as a reduction of the loan and allowance for loan losses
balance. In determining the allowance for loan losses for the balance
of the portfolio, loans are classified as to industry and collateral
type with risk assessments made for each category of loans. Reserve
requirements are then established for each category and provided for in
the allowance for loan losses.
For the three months ended September 30, 1995 and 1994 the Company
recorded a $25,000 provision to the allowance for loan losses for each
period. For the nine months ended September 30, 1995 and 1994, the
Company recorded a provision to the allowance for loan losses of
$50,000 for each period. The following table illustrates nonperforming
assets and allowance for possible loan loss coverage ratios for the
Company at September 30, 1995 and December 31, 1994.
September 30, December 31,
1995 1994
(thousands of dollars)
Nonaccruing loans $2,020 $851
Other real estate owned, net 878 1,016
------ ------
Total nonperforming assets $2,898 $1,867
====== ======
Restructured and performing loans $559 $865
====== ======
Nonaccruing loans to gross loans 2.32% 1.09%
Nonperforming assets to total assets 1.33% .87%
Allowance for loan losses $3,055 $3,004
Coverage Ratios:
Allowance for loan losses to gross loans 3.51% 3.85%
Allowance for loan losses to nonperforming
assets 105.42% 160.90%
Had the nonaccruing loans in the table above been current, gross interest
income on these loans for the nine months ended September 30, 1995 would have
been approximately $129,000. Interest income was not recorded on these loans
during 1995 for the period they were non-performing.
Other Operating Revenue
- -----------------------
For the three and nine month periods ended September 30, 1995, total
other operating revenue increased $47,000 or 15.6% and decreased $126,000
or 11.4%, as compared to the three and nine months ended September 30,
1994, respectively. The increase in the current quarter is due to an
improvement in mortgage originations and related fees, coupled with the
realization of a $26,000 gain on a disposal during the period of other
real estate owned. The decline for the nine months ended September 30,
1995 as compared to the nine months ended September 30, 1994 reflects
lower mortgage origination fees as compared to 1994 offset by increases in
deposit and service charge revenue in 1995. The decline in mortgage
origination fees in general during 1995 is the result of higher prevailing
interest rates on a year-to-year basis which curbed mortgage loan demand
and restricted refinancing opportunities.
9
<PAGE>
Other Operating Expenses
- ------------------------
For the three-month period ended September 30, 1995 total operating
expenses increased by $581,000 or 37.1% as compared to the three-month
period ended September 30, 1994. For the nine month-period ended
September 30, 1995, total other operating expenses increased $615,000 or
13.3% as compared with the same period ended September 30, 1994. During
the quarter ended September 30, 1995, the Company provided a charge of
$530,000 covering professional fees and expenses relating to the Company's
internal investigation and related matters which led to the restatement of
financial results for prior reporting periods.
Total other operating expenses as a percentage of average total assets
increased to an annual rate of 3.16% for the nine months ended September
30, 1995 from 2.93% for the nine months ended September 30, 1994.
For the three and nine months ended September 30, 1995 salaries and
benefits expense increased $48,000 or 6.3% and $127,000 or 5.8%,
respectively, versus the three and nine months ended September 30, 1994.
The increase reflects increases in the cost of comprehensive benefits,
primarily medical and dental insurance, offered to employees, combined with
unemployment and FICA taxes, and an increase in full-time equivalent
employees to support the Company's growth in assets.
Occupancy expense improved $5,000 or 3.5% for the three months
ended September 30, 1995 as compared to the three months ended September 30,
1994. For the nine months ended September 30, 1995, occupancy expense
declined $3,000 or 1% as compared to the nine months ended September 30, 1994.
For the three and nine months ended September 30, 1995, FDIC insurance
premiums improved $103,000 and $99,000 as compared to the three and nine
months ended September 30, 1994. FDIC insurance premiums were reduced for
all members effective June 1, 1995 due to the successful recapitalization
of the Bank Insurance Fund. The current quarter results reflect the
effect of the new rate and a recovery of premium from June, 1995.
For the three and nine months ended September 30, 1995, depreciation
decreased $19,000 or 19% and $59,000 or 20% as compared to the three and
nine months ended September 30, 1994. The decrease was due to more assets
becoming fully depreciated during the current periods as compared with
1994, net of any new purchases.
For the three months ended September 30, 1995, advertising and
marketing increased $7,000 or 11% as compared to the three months ended
September 30, 1994. The increase reflects a renewed effort to increase
the Bank's level of advertising and marketing for the last three quarters
of 1995. For the nine months ended September 30, 1995, advertising and
marketing increased $4,000 or 2% as compared to the nine months ended
September 30, 1994.
Foreclosure expense and cost of other real estate owned increased by
$6,000 for the three and nine month periods ended September 30, 1995 as
compared to the three and nine months ended September 30, 1994. This
increase reflects the Company's continued efforts to protect its rights
under loan contracts and on the value of other real estae owned.
Liquidity and Capital Resources
- -------------------------------
Total deposits of the Bank decreased $7,132,000 or 3.9% to
$175,599,000 at September 30, 1995 from December 31, 1994 when total
deposits were $182,731,000. Deposit balances decreased due primarily to
depositor activity in transaction accounts.
In addition to deposits (the Bank's primary funding and liquidity
source) liquidity is managed through continuous maturity of earning
assets, federal funds lines of credit and Federal Home Loan Bank Advances.
10
<PAGE>
The Company's total capital increased $3,247,000 from December 31,
1994 to September 30, 1995, primarily due to the net income of $859,000
for the nine months ended September 30, 1995 and by the improvement in
unrealized losses on investments available-for-sale of $2,315,000.
Illustrated elow are the Company's capital to asset ratios and the
corresponding regulatory minimums.
Hometown Bancorporation, Inc.
Capital Ratios
September 30, Regulatory
1995 Minimum
---- -------
Tier one leverage capital ratio 7.28% 4.00%
Risk-based capital ratio 16.29% 8.00%
The following summarizes the Company's investment portfolio by type of
security at September 30, 1995:
Carrying Approximate
Amount Fair Value
------ ----------
(thousands of dollars)
Investments held to maturity:
U. S. Agency Mortgage-Backed Securities $21,452 $21,313
Other U. S. Agency Obligations 8,417 8,378
Other mortgage-backed securities 9,407 9,144
U. S. Treasury Securities 1,006 1,010
------- -------
$40,282 $39,845
======= =======
Investments available for sale:
U. S. Agency Mortgage-Backed Securities $48,946 $48,663
Other mortgage-backed securities 20,750 20,453
U. S. Treasury Securities 3,028 3,020
Federal Home Loan Bank Stock 1,717 1,717
------- -------
$74,441 $73,853
======= =======
Forward Outlook
- ---------------
Management anticipates light to modest loan demand for the remainder
of 1995 and will continue to carefully evaluate this demand based on the
creditworthiness of the borrower and the relative strength of the economy
in the Company's market.
Management is anticipating the maintenance of a favorable net interest
margin throughout the remainder of 1995.
11
<PAGE>
Part II - Other Information
Item 6. - Exhibits and Reports on Form 8-K
- ------------------------------------------
(a) Exhibits
No. Description
- --- -----------
27 Financial Data Schedule
(b) Reports on Form 8-K
During the quarter ended September 30, 1995, the Company filed current
reports on Form 8-K dated August 8, 1995 and August 25, 1995, in each case
responding to Items 5 and 7 of the Form 8-K.
12
<PAGE>
Signatures
----------
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Company has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
Hometown Bancorporation, Inc.
Date: November 14, 1995 By:/s/ Kevin E. Gage
-------------------------
Kevin E. Gage
President and
Chief Executive Officer
Date: November 14, 1995 By:/s/ Albert T. Jaronczyk
------------------------
Albert T. Jaronczyk
Senior Vice President and
Chief Financial Officer
13
<PAGE>
EXHIBIT INDEX
No. Description
- --- -----------
27 Financial Data Schedule
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 9
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS OF THE COMPANY AS OF SEPTEMBER 30, 1995 AND FOR THE
NINE MONTHS THEN ENDED AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO
SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> Dec-31-1995
<PERIOD-END> Sep-30-1995
<CASH> 9,123
<INT-BEARING-DEPOSITS> 0
<FED-FUNDS-SOLD> 0
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 73,853
<INVESTMENTS-CARRYING> 40,282
<INVESTMENTS-MARKET> 39,845
<LOANS> 86,983
<ALLOWANCE> 3,055
<TOTAL-ASSETS> 217,463
<DEPOSITS> 175,599
<SHORT-TERM> 23,950
<LIABILITIES-OTHER> 2,130
<LONG-TERM> 0
<COMMON> 1,833
0
0
<OTHER-SE> 13,951
<TOTAL-LIABILITIES-AND-EQUITY> 217,463
<INTEREST-LOAN> 5,636
<INTEREST-INVEST> 5,711
<INTEREST-OTHER> 5
<INTEREST-TOTAL> 11,352
<INTEREST-DEPOSIT> 4,593
<INTEREST-EXPENSE> 5,783
<INTEREST-INCOME-NET> 5,569
<LOAN-LOSSES> 50
<SECURITIES-GAINS> 26
<EXPENSE-OTHER> 5,240
<INCOME-PRETAX> 1,213
<INCOME-PRE-EXTRAORDINARY> 859
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 859
<EPS-PRIMARY> 0.49
<EPS-DILUTED> 0.49
<YIELD-ACTUAL> 7.31
<LOANS-NON> 2,020
<LOANS-PAST> 0
<LOANS-TROUBLED> 559
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 3,004
<CHARGE-OFFS> 39
<RECOVERIES> 40
<ALLOWANCE-CLOSE> 3,055
<ALLOWANCE-DOMESTIC> 3,055
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
