<PAGE>
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 June 30, 1995
Commission file number 0-15945
CENTRAL AND SOUTHERN HOLDING COMPANY
------------------------------------------------------
(Exact name of registrant as specified in its charter)
Georgia 58-1413533
- ------------------------------- --------------------------------
(State or other jurisdiction of (IRS employer identification no.)
incorporation or organization)
150 West Greene St.
Milledgeville, Georgia 31061
--------------------------------------- ---------
(address of principal executive offices) (zip code)
Registrants telephone number, including area code 912-452-5541
------------
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 July 20, 1995
- -------------------------- ----------------------------
Common stock, $1 par value 3,777,017
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<PAGE>
CENTRAL AND SOUTHERN HOLDING COMPANY AND SUBSIDIARIES
FORM 10-Q
TABLE OF CONTENTS
Part I. Page
Item 1. Consolidated condensed financial statements.................. 3
Item 2. Management s discussion and analysis of financial
condition and results of operations.......................... 8
Part II.
Item 1. Legal proceedings............................................ 13
Item 2. Changes in securities........................................ 13
Item 3. Defaults upon senior securities............................. 13
Item 4. Submission of matters to a vote of security holders.......... 13
Item 5. Other information............................................ 13
Item 6. Exhibits and reports on Form 8-K............................. 13
2
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<PAGE>
<TABLE>
<CAPTION>
CENTRAL AND SOUTHERN HOLDING COMPANY AND SUBSIDIARIES
-----------------------------------------------------
CONSOLIDATED CONDENSED BALANCE SHEETS
-------------------------------------
(unaudited)
ASSETS June 30, 1995 December 31, 1994
(dollar amounts in thousands)
<S> <C> <C> <C>
Cash and due from banks................ $ 8,203 $ 7,033
Federal funds sold..................... 12,252 15,069
Interest-bearing deposits with other
banks................................ 1,900 ---
Securities available for sale approximate
amortized cost of $32,250 and $37,528 at
June 30, 1995 and December 31, 1994... 32,348 35,670
Securities held to maturity approximate
market value of $37,879 and $34,779
at June 30, 1995 and December 31, 1994.. 37,453 35,592
Loans.................................. 106,334 109,208
Less: Unearned income.................. (721) (1,478)
Allowance for loan losses........ (4,250) (4,313)
------- -------
Net loans........................ 101,363 103,417
Premises and equipment................. 2,535 2,601
Other assets........................... 3,297 4,615
------- -------
Total assets $199,351 $203,997
======= =======
LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities:
Deposits:
Noninterest-bearing............ $ 18,123 $ 16,742
Interest-bearing............... 158,225 159,940
-------- -------
Total deposits.......... 176,348 176,682
Repurchase agreements.................. 100 6,715
Other liabilities...................... 1,190 1,116
-------- -------
Total liabilities.................. 177,638 184,513
-------- -------
Shareholders' Equity:
Preferred stock, 2,000,000 shares
authorized, none issued --- ---
Common stock, $1 par value; authorized
10,000,000 shares; issued and
outstanding 3,777,017 shares......... 3,777 3,777
Additional paid in capital............. 6,492 6,492
Unrealized gain (loss) on investment
securities, net of tax. 65 (1,226)
Retained earnings...................... 11,379 10,441
-------- -------
Total shareholders' equity......... 21,713 19,484
-------- -------
Total liabilities and shareholders' equity $199,351 $203,997
======= =======
See accompanying notes to consolidated condensed financial statements.
</TABLE>
3
<PAGE>
<PAGE>
<TABLE>
<CAPTION>
CENTRAL AND SOUTHERN HOLDING COMPANY AND SUBSIDIARIES
-----------------------------------------------------
CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS
---------------------------------------------
(unaudited)
-----------
Three Months Ended June 30
---------------------------
(dollar amounts in thousands except per share data)
INTEREST INCOME 1995 1994
---- ----
<S> <C> <C>
Loans, including fees................. $ 2,726 $ 2,807
Investment securities:
Tax-exempt....................... 162 266
Taxable.......................... 870 1,010
Federal funds sold.................... 249 235
------- ------
TOTAL INTEREST INCOME............ 4,007 4,318
------- ------
INTEREST EXPENSE:
Deposits............................... 2,109 2,317
Other borrowings....................... 11 ---
------- ------
TOTAL INTEREST EXPENSE........... 2,120 2,317
------- ------
Net interest income.............. 1,887 2,001
Provision for loan losses................... (300) ---
------- ------
Net interest income after provision
for loan losses....................... 2,187 2,001
------- ------
NONINTEREST INCOME:
Service charges on deposit accounts...... 171 203
Gain (loss) on sale of securities........ --- ---
Other noninterest income................. 120 197
------- -----
TOTAL NONINTEREST INCOME......... 291 400
------- -----
NONINTEREST EXPENSE:
Salaries and employee benefits........... 828 823
Net occupancy and equipment expense...... 199 191
Other noninterest expense................ 645 977
------- -----
TOTAL NONINTEREST EXPENSE........ 1,672 1,991
------- -----
Earnings before income taxes ............ 806 410
Income taxes................................ 175 45
------- -----
NET EARNINGS..................... $ 631 $ 365
====== =====
NET EARNINGS AVAILABLE TO COMMON
SHAREHOLDERS..................... $ 631 $ 332
====== =====
PER SHARE INFORMATION:
Net Earnings ............................. $ 0.17 $ .10
Weighted average shares outstanding ...... 3,777,017 3,397,327
See accompanying notes to consolidated condensed financial statements.
</TABLE>
4
<PAGE>
<PAGE>
<TABLE>
<CAPTION>
CENTRAL AND SOUTHERN HOLDING COMPANY AND SUBSIDIARIES
-----------------------------------------------------
CONSOLIDATED CONDENSED STATEMENTS OF EARNINGS
---------------------------------------------
(unaudited)
------------
Six Months Ended June 30
------------------------
(dollar amounts in thousands except per share data)
INTEREST INCOME 1995 1994
---- ----
<S> <C> <C> <C>
Loans, including fees........................................ $ 5,435 $ 5,716
Investment securities:
Tax-exempt............................................ 325 535
Taxable............................................... 1,742 2,076
Federal funds sold........................................... 473 365
------ ------
TOTAL INTEREST INCOME................................. 7,975 8,692
------ ------
INTEREST EXPENSE:
Deposits..................................................... 4,069 4,748
Other borrowings............................................. 62 ---
------ -----
TOTAL INTEREST EXPENSE................................ 4,131 4,748
Net interest income................................... 3,844 3,944
Provision for loan losses......................................... (500) ---
Net interest income after provision for loan losses... 4,344 3,944
----- -----
NONINTEREST INCOME:
Service charges on deposit accounts........................... 340 371
Gain (loss) on sale of securities............................. (232) ---
Other noninterest income...................................... 341 370
----- -----
TOTAL NONINTEREST INCOME.............................. 449 741
----- -----
NONINTEREST EXPENSE:
Salaries and employee benefits................................ 1,558 1,712
Net occupancy and equipment expense........................... 383 455
Other noninterest expense..................................... 1,257 1,865
----- -----
TOTAL NONINTEREST EXPENSE............................ 3,198 4,032
----- -----
Earnings before income taxes ................................ 1,595 653
Income taxes....................................................... 357 67
----- -----
NET EARNINGS......................................... $ 1,238 $ 586
===== ====
NET EARNINGS AVAILABLE TO COMMON SHAREHOLDERS......... $ 1,238 $ 522
===== ====
PER SHARE INFORMATION:
Net Earnings .................................................. $ 0.33 $ .15
Weighted average shares outstanding ........................... 3,777,017 3,397,327
See accompanying notes to consolidated condensed financial statements.
</TABLE>
5
<PAGE>
<PAGE>
<TABLE>
<CAPTION>
CENTRAL AND SOUTHERN HOLDING COMPANY AND SUBSIDIARIES
-----------------------------------------------------
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
-----------------------------------------------
Six Months Ended June 30, 1995 and 1994
(unaudited)
1995 1994
---- ----
(dollar amounts in thousands)
Cash flows from operating activities:
<S> <C> <C> <C>
Net earnings $1,238 $ 586
Adjustments to reconcile net earnings to net cash provided by
(used) in operating activities:
Provision for loan losses (500) ---
Depreciation expense 197 225
Amortization and accretion, net 72 80
Loss on sale of securities 232 ---
Changes in assets and liabilities:
(Increase) decrease in other assets 1,264 1,248
Decrease in other liabilities (581) (198)
----- -----
Net cash provided by (used in) operating activities 676 1,941
----- -----
Cash flows from investing activities:
Increase in interest earning deposits (1,900) (100)
Proceeds from maturities and pay-downs of investment securities 5,438 17,409
Proceeds from sales of investment securities available for sale 3,757 ---
Purchases of investment securities (6,028) (4,570)
Net decrease in loans 2,554 9,134
Additions to premises and equipment (129) (109)
----- ------
Net cash provided by investing activities 3,692 21,964
----- ------
Cash flows from financing activities:
Net decrease in deposits (334) (8,150)
Repayment of repurchase agreements (6,615) ---
Cash dividends paid (311) ---
------ ------
Net cash used in financing activities (7,260) (193)
------ ------
Net increase (decrease) in cash and cash equivalents (1,647) 15,755
Cash and cash equivalents at beginning of period 22,102 20,549
------ ------
Cash and cash equivalents at end of period $20,455 $36,304
======= =======
Supplemental disclosures of cash flow information:
Cash paid during the period:
Interest $ 4,314 $ 4,890
Income taxes $ 80 45
See accompanying notes to consolidated condensed financial statements.
</TABLE>
6
<PAGE>
<PAGE>
CENTRAL AND SOUTHERN HOLDING COMPANY
AND SUBSIDIARIES
NOTES TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS
(1) Basis of Presentation
The consolidated condensed financial statements include the accounts of
Central and Southern Holding Company (the Company) and its wholly owned
subsidiaries, The Central and Southern Bank of Georgia and The Central
and Southern Bank of Greensboro. All significant intercompany accounts
and transactions have been eliminated in consolidation.
The consolidated condensed financial statements reflect all adjustments
which are, in the opinion of management, necessary to fairly present the
consolidated financial position and results of operations for the
periods covered herein and should be read in conjunction with the Annual
Report on form 10K. All such adjustments are of a normal recurring nature.
(2) Recent Accounting Pronouncements
In May 1993, the Financial Accounting Standards Board issued Statement
of Financial Accounting Standards ("SFAS") No. 114, ACCOUNTING BY CREDITORS
FOR IMPAIRMENT OF A LOAN. SFAS No. 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 fees 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. SFAS No.114 became
effective January 1, 1995. In October 1994, SFAS No. 118, ACCOUNTING BY
CREDITORS FOR IMPAIRMENT OF A LOAN-INCOME RECOGNITION AND DISCLOSURES was
issued. SFAS No. 118 amends SFAS No. 114 to require information about
the recorded investment in certain impaired loans and eliminates its
provisions regarding how a creditor should report income on an impaired
loan. SFAS No. 118, effective January 1, 1995, allows creditors to use
existing methods for recognizing income on impaired loans, including
methods used by certain industry regulators. The adoption of these
pronouncements did not have a material impact on the Company's
consolidated financial statements.
7
<PAGE>
<PAGE>
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
FINANCIAL CONDITION
At the end of the second quarter 1995, total assets had declined $4.6
Million from December 31, 1994. Total loans declined $2.9 Million
from December 31, 1994. The loan decline is net of the sales finance
portfolio maturing rolloff of $6.8 Million during the same time period.
Total liabilities decreased $6.9 Million from year end 1994. Short term
borrowings declined as the Company paid down $6.6 Million of a repurchase
agreement since year end 1994. Noninterest bearing deposits were up
$1.4 Million by the end of the quarter due in part to the cyclical nature
of these deposits.
The Company paid a $.0425 dividend on its common stock on June 30, 1995.
The financial strength of the Company continues to improve along with the
ability to pay and possibly increase the dividend payout.
RESULTS OF OPERATIONS
For the three-month period, the Company recorded net income of $631,000 as
compared to $365,000 for the same period in 1994. This net increase is due
primarily to the following:
Net interest income decreased $114,000.
A negative provision for loan losses increased income $300,000.
Total noninterest income declined $109,000.
Total noninterest expense declined $319,000.
The reasons for these changes are discussed below:
For the six-month period, the Company recorded net income of $1,238,000
as compared to $586,000 for the same period in 1994. This net increase
is due primarily to the following:
Net interest income decreased $100,000.
A negative provision for loan losses increased income $500,000.
Total noninterest income declined $292,000.
Total noninterest expense declined $834,000.
The reasons for these changes are discussed below:
NET INTEREST INCOME
Net interest income remained relatively stable in comparing the like
periods. However, average earning assets declined approximately $39
Million and interest bearing liabilities averages declined approximately
$43 Million due to a balance sheet restructuring during 1994. This
8
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<PAGE>
restructuring was the result of the bank branch sales in the third
quarter of 1994 that helped provide a positive boost to the net
interest margin of 50 basis points.
For the six-month period, net interest income is down $100,000. The
decrease in net interest income on a tax equivalent basis was mainly
due to lower balances in interest earning assets for the period.
However, the excess of average interest earning assets minus average
interest bearing liabilities for the period increased by $4.1 Million.
This helped increase the net interest margin from 3.78% for the 1994
period to 4.10% for the 1995 period.
PROVISION FOR LOAN LOSSES
The Company recorded a negative provision of $300,000 for the quarter.
The Company had net recoveries during the quarter of $293,000 from prior
period charge offs, the majority of recoveries being sales finance loans.
Second quarter 1994 had net recoveries of $14,000. Management anticipates
that the net recovery situation will continue due to the anticipated decline
in charge offs and continued high recoveries of prior period charge offs.
Management will monitor and adjust the level of the allowance for loan
losses in relation to this net recovery stream as well as the overall
level of the allowance for loan losses to loans outstanding.
The Company recorded a negative provision of $500,000 for the
six-month period. Net recoveries for the period were $439,000.
<TABLE>
NONPERFORMING ASSETS
<CAPTION>
CONSOLIDATED
NON PERFORMING ASSETS 6/30/95 3/31/95 12/31/94 12/31/93
------- ------- -------- --------
(in thousands)
<S> <C> <C> <C> <C>
Loans past due 90 days or more $8 $2 $205 $99
Non Accrual Loans 599 601 1,060 2,761
--- --- ----- -----
Total nonperforming loans 607 603 1,265 2,860
Other real estate 871 1,199 1,110 1,902
--- ----- ----- -----
TOTAL NONPERFORMING ASSETS $1,478 $1,802 $2,375 $4,762
===== ===== ===== =====
Nonperforming loans/Total loans 0.56% 0.56% 1.17% 2.33%
Nonperforming assets/Total assets 0.73% 0.90% 1.16% 1.94%
Loan loss allowance/Total loans 4.02% 3.96% 4.00% 3.81%
Loan loss allowance/Nonperforming loans 715.48% 705.89% 340.95% 163.67%
</TABLE>
The table above illustrates the changes in the level of nonperforming assets
over the past quarters. Total nonperforming assets have declined approx.
$3.3 Million while the allowance/total loans has remained the
same. Declining past due loans and workouts of nonaccrual loans have
contributed to the improved condition. The coverage ratios have improved
dramatically over the same periods. Management anticipates continued
improvements in the levels of nonperforming loans and assets.
9
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<PAGE>
Noninterest Income
- ------------------
The Company's main source of noninterest income is service charges on
deposit accounts. Due to the sale of two branch banks last year service
charge income is down for the three-month period ended June 30, 1995.
The loss on the sale of securities of $232,000 was the majority of
the overall decline for the six months period.
Noninterest Expense
- -------------------
Salaries and occupancy expense are down due to the sale of branches
discussed above. Other noninterest expenses are down for the three-month
period due to the overall improved operations of the Company. The
Company has taken necessary steps to improve its efficiencies without
harming the delivery of services through the consolidation of several
administrative and clerical functions. Management expects to see
continued improvement in the noninterest expenses of the Company in
the near future.
For the six-month period, the majority of the overall $834,000, or 21%
decrease has been in other operating expenses. These are comprised of
losses on other real estate (Oreo) and legal/other professional fees. The
Oreo properties sold over the last several months were somewhat more
marketable than past properties. This allowed the Company better pricing
and less loss on sale. Also, fewer properties require less administrative
support thereby reducing legal and other professional services. Continued
improvement is forecast but the magnitude of the savings will not be as
great considering anticipated growth of the Company.
10
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<PAGE>
Interest Rate Sensitivity Management
- ------------------------------------
Interest rates play a major part in the net interest income of a
financial institution. The sensitivity to rate changes is known as
interest rate risk. The repricing of interest-earning assets
and interest-bearing liabilities can influence the changes in net
interest income. As part of the Company's asset/liability
management program, the timing of repricing assets and liabilities
is referred to as Gap management. It is the policy of the Company
to maintain a Gap ratio in the one year time horizon of .80 to 1.20.
The table below has two measures of Gap, regulatory and management
adjusted. The regulatory Gap considers only contractual maturities
or repricings. The management adjusted Gap considers such things as
prepayments on certain interest rate sensitive assets and the circumstances
under which core deposits are repriced. Although interest-bearing
transaction accounts are available to reprice in the three month window,
historical experience shows these deposits to be more stable over the
course of one year. This management adjusted Gap indicates the Company
to be somewhat neutral in relation to changes in market interest rates.
<TABLE>
<CAPTION>
GAP ANALYSIS
Regulatory Defined
3-MONTH 6-MONTH 1-YEAR
(dollars in thousands)
-------------------------------------
<S> <C> <C> <C> <C>
Rate Sensitive Assets (RSA) 56,376 73,885 98,062
Rate Sensitive Liabilities (RSL) 63,536 82,879 113,568
------ ------- -------
RSA minus RSL (Gap) (7,160) (8,994) (15,506)
GAP RATIO (RSA/RSL) .89 .89 .86
Management Defined
3-MONTH 6-MONTH 1-YEAR
(dollars in thousands)
-------------------------------------
Rate Sensitive Assets (RSA) 56,376 73,885 98,062
Rate Sensitive Liabilities (RSL) 42,561 66,100 100,983
------ ------ -------
RSA minus RSL (Gap) 13,815 7,785 (2,921)
Gap Ratio (RSA/RSL) 1.32 1.12 .97
</TABLE>
The Company uses simulation analysis to monitor changes in net interest
income due to changes in market interest rates. The simulation of rising,
declining, and a most likely interest rate scenarios allow management to
monitor and adjust interest rate sensitivity to minimize the impact of
market interest rate swings. Each month management updates all available
data concerning cash flows of assets and liabilities, changes in market
interest rates, and expectations as to new volumes of loans.
11
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<PAGE>
LIQUIDITY
Liquidity is an important factor in the financial condition of the
Company and affects the Company's ability to meet the borrowing needs
and deposit withdrawal requirements of its customers. Assets, consisting
principally of loans and investment securities, are funded by customer
deposits, purchased funds and borrowed funds.
The investment portfolio is one of the Company's primary sources
of liquidity. Maturities of securities provide a constant flow of funds
which are available for cash needs. Contractual investment securities
that mature within one year total $9.0 Million. However, mortgage-backed
securities and securities with call provisions create cash flows earlier
than the contractual maturities. Estimates of prepayments on
mortgage-backs and call provisions on other securities increase the
forecasted cash flow from the investment portfolio within one year to
approximately $14.5 Million. Maturities in the loan portfolio also
provide a steady flow of funds. The projected repayments on the
Company's sales finance portfolio are $5.7 Million within one year.
The Company's liquidity also continues to be enhanced by a relatively
stable core deposit base. At June 30, 1995, the loan to deposit ratio
was 60%.
SHAREHOLDERS' EQUITY
The Company maintains a ratio of shareholders' equity to total
assets that is adequate relative to industry standards. The Company's
ratio of shareholders' equity to total assets was 10.89% at June 30, 1995,
compared to 9.55% at December 31, 1994. The Company called for
redemption all $1,708,605 of preferred stock during December 1994.
All the preferred stock was converted into 379,690 shares of common
stock and increased the outstanding common shares to 3,777,017.
The Company and its subsidiary banks are required to comply with
capital adequacy standards established by the Federal Reserve and the
FDIC. Currently, there are two basic measures of capital adequacy:
risk-based measure and leverage measure.
The risk-based capital standards are designed to make regulatory
capital requirements more sensitive to differences in risk profile
among banks and bank holding companies, to account for off-balance sheet
exposure and to enhance the value of holding liquid assets. The
resulting capital ratios represent capital as a percentage of total
risk-weighted assets and off-balance sheet items. Recently the Federal
Reserve and the FDIC proposed that interest rate risk be considered in
computing risk-based capital ratios.
The minimum standard for the ratio of total capital to risk-weighted
assets is 8%. At least 50% of that capital level must consist of common
equity, undivided profits and noncumulative perpetual preferred stock,
less goodwill and certain other intangibles ("Tier I capital"). The
remainder ("Tier II capital") may consist of a limited amount of other
preferred stock, mandatory convertible securities, subordinated debt and
a limited amount of the allowance for loan losses. The sum of Tier I
capital and Tier II capital is "total risk-based capital."
12
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<PAGE>
The Federal Reserve and the FDIC also adopted regulations which
supplement the risk-based guidelines to include a minimum leverage ratio
of 3% of Tier I capital to total assets less goodwill (the "leverage
ratio"). Depending upon the risk profile of the institution and other
factors, the regulatory agencies may require a leverage 1% to 2% higher
than the minimum 3% level.
<TABLE>
<CAPTION>
CAPITAL LEVELS
Milledgeville Greensboro Consolidated
------------ ---------- ------------
<S> <C> <C> <C>
Tier 1 Capital Leverage Ratio 10.28% 8.43% 10.57%
Tier 1 Risk-based Capital Ratio 17.35% 13.18% 17.27%
Tier 2 Risk-based Capital Ratio 1.25% 1.25% 1.25%
------ ------ ------
Total Risk-based Capital Ratio 18.60% 14.43% 18.53%
====== ====== ======
</TABLE>
13
<PAGE>
<PAGE>
Part II. Other Information
Item 1. Legal Proceedings
(Not Applicable)
Item 2. Changes in Securities
(Not Applicable)
Item 3. Defaults Upon Senior Securities
(Not Applicable)
Item 4. Submissions of Matters to a Vote of Securities Holders
(Not Applicable)
Item 5. Other Information
(Not Applicable)
Item 6. Exhibits and Reports on Form 8-K
(A) Exhibits
Exhibit No. 27 Financial Data Schedule
(B) No reports filed on Form 8-K
14
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<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Corporation has duly caused this report to be signed on its behalf
by the undersigned thereunto duly authorized.
CENTRAL AND SOUTHERN HOLDING COMPANY
- ------------------------------------
Registrant
Date 8-1-95 /s/ Robert C. Oliver
-------- --------------------
Robert C. Oliver
President & Chief Executive Officer
Date 8/1/95 /s/ Michael E. Ricketson
--------------------------
Michael E. Ricketson
Chief Accounting Officer
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 9
<CIK> 0000815032
<NAME> CENTRAL AND SOUTHERN HOLDING COMPANY
<MULTIPLIER> 1,000
<CURRENCY> U.S.
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-START> APR-01-1995
<PERIOD-END> JUN-30-1995
<EXCHANGE-RATE> 1
<CASH> 8,203
<INT-BEARING-DEPOSITS> 1,900
<FED-FUNDS-SOLD> 12,252
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 32,348
<INVESTMENTS-CARRYING> 37,454
<INVESTMENTS-MARKET> 37,879
<LOANS> 106,334
<ALLOWANCE> 4,250
<TOTAL-ASSETS> 199,351
<DEPOSITS> 176,348
<SHORT-TERM> 100
<LIABILITIES-OTHER> 1,190
<LONG-TERM> 0
<COMMON> 3,777
0
0
<OTHER-SE> 17,936
<TOTAL-LIABILITIES-AND-EQUITY> 199,351
<INTEREST-LOAN> 2,726
<INTEREST-INVEST> 1,032
<INTEREST-OTHER> 249
<INTEREST-TOTAL> 4,007
<INTEREST-DEPOSIT> 2,109
<INTEREST-EXPENSE> 2,120
<INTEREST-INCOME-NET> 1,887
<LOAN-LOSSES> (300)
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 1,672
<INCOME-PRETAX> 806
<INCOME-PRE-EXTRAORDINARY> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 631
<EPS-PRIMARY> .17
<EPS-DILUTED> .17
<YIELD-ACTUAL> 4.10
<LOANS-NON> 594
<LOANS-PAST> 0
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 4,256
<CHARGE-OFFS> 156
<RECOVERIES> 450
<ALLOWANCE-CLOSE> 4,250
<ALLOWANCE-DOMESTIC> 0
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
