<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
(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: O-19065
-------
Sandy Spring Bancorp, Inc.
------------------------------------------------------
(Exact name of registrant as specified in its charter)
Maryland 52-1532952
------------------------ ---------------------------------------
(State of incorporation) (I.R.S. Employer Identification Number)
17801 Georgia Avenue, Olney, Maryland 20832 301-774-6400
- ------------------------------------- ----- ------------
(Address of principal office) (Zip Code) (Telephone Number)
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
filing requirements for the past 90 days.
YES X NO
------- --------
The number of shares of common stock outstanding as of October 27, 1995 is
4,315,509 shares.
<PAGE>
SANDY SPRING BANCORP
INDEX
<TABLE>
<CAPTION>
PAGE
- --------------------------------------------------------------------------------
<S> <C>
PART I - FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
Consolidated Balance Sheets at
September 30, 1995 and December 31, 1994........................... 1
Consolidated Statements of Income for the Nine Month
Periods Ended September 30, 1995 and 1994.......................... 2
Consolidated Statements of Cash Flows for
the Nine Month Periods Ended September 30, 1995 and 1994........... 3
Notes to Consolidated Financial Statements......................... 5
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS.................... 6
PART II - OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K................................. 11
SIGNATURES............................................................... 12
</TABLE>
<PAGE>
PART I - FINANCIAL INFORMATION
Item 1. FINANCIAL STATEMENTS
Sandy Spring Bancorp and Subsidiary
CONSOLIDATED BALANCE SHEETS
(Dollars in thousands, except per share data)
<TABLE>
<CAPTION>
September 30, December 31,
1995 1994
- -------------------------------------------------------------------------
<S> <C> <C>
ASSETS
Cash and due from banks $ 30,945 $ 32,549
Interest-bearing deposits with banks 674 211
Federal funds sold 845 5,375
Residential mortgage loans held for
sale 2,723 --
Investments available-for-sale (at
fair value) 126,839 127,772
Investments held-to-maturity -- fair
value of $170,924 (1995) and
$164,103 (1994) 170,102 172,266
Other equity securities 3,965 3,966
Total Loans 431,618 401,524
Less: Allowance for credit losses (5,947) (6,108)
--------- ---------
Loans, net 425,671 395,416
Premises and equipment 14,773 14,230
Accrued interest receivable 5,730 5,726
Other real estate owned 52 277
Other assets 6,213 6,347
--------- ---------
TOTAL ASSETS $788,532 $764,135
========= =========
LIABILITIES
Noninterest-bearing deposits $ 96,428 $104,663
Interest-bearing deposits 570,050 540,956
--------- ---------
Total deposits 666,478 645,619
Short-term borrowings 39,845 45,243
Long-term borrowings 3,159 3,180
Accrued interest and other liabilities 3,168 3,137
--------- ---------
TOTAL LIABILITIES 712,650 697,179
STOCKHOLDERS' EQUITY
Common stock -- par value $1.00;
shares authorized 6,000,000;
shares issued and outstanding
4,315,051 (1995) and 2,140,149 (1994) 4,315 2,140
Surplus 25,868 27,133
Retained earnings 45,916 40,970
Net unrealized loss on investments
available-for-sale (217) (3,287)
--------- ---------
TOTAL STOCKHOLDERS' EQUITY 75,882 66,956
--------- ---------
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY $788,532 $764,135
========= =========
</TABLE>
See Notes to Consolidated Financial Statements.
1
<PAGE>
Sandy Spring Bancorp and Subsidiary
CONSOLIDATED STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
<TABLE>
<CAPTION>
Three Months Ended Nine Months Ended
September 30, September 30,
------------------ -------------------
1995 1994 1995 1994
- ---------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Interest income:
Interest and fees on loans $ 9,848 $ 6,967 $27,930 $19,811
Interest on loans held for sale 23 -- 28 57
Interest on deposits with banks 23 2 28 35
Interest and dividends on securities:
Taxable 3,394 3,745 10,112 10,479
Nontaxable 850 1,001 2,609 3,082
Interest on federal funds sold 166 90 470 364
------- ------- ------- -------
TOTAL INTEREST INCOME 14,304 11,805 41,177 33,828
Interest expense:
Interest on deposits 6,160 4,515 17,368 13,124
Interest on short-term borrowings 458 249 1,749 604
Interest on long-term borrowings 54 36 164 107
------- ------- ------- -------
TOTAL INTEREST EXPENSE 6,672 4,800 19,281 13,835
------- ------- ------- -------
NET INTEREST INCOME 7,632 7,005 21,896 19,993
Provision for Credit Losses -- -- -- 160
------- ------- ------- -------
NET INTEREST INCOME AFTER PROVISION
FOR CREDIT LOSSES 7,632 7,005 21,896 19,833
Non-Interest Income:
Securities gains (losses) (3) 2 (8) 54
Service charges on deposit accounts 633 574 1,845 1,697
Gains on mortgage sales 63 -- 90 164
Other income 482 410 1,453 1,317
------- ------- -------- -------
TOTAL NON-INTEREST INCOME 1,175 986 3,380 3,232
Non-Interest Expenses:
Salaries and employee benefits 2,928 2,669 8,428 8,287
Occupancy expense of premises 479 460 1,418 1,371
Equipment expenses 483 364 1,375 1,081
Other expenses 1,080 1,368 4,013 4,032
------- ------- ------- -------
TOTAL NON-INTEREST EXPENSES 4,970 4,861 15,234 14,771
------- ------- ------- -------
Income Before Income Taxes 3,837 3,130 10,042 8,294
Income Tax Expense 1,225 919 3,119 2,320
------- ------- ------- -------
NET INCOME $ 2,612 $ 2,211 $ 6,923 $ 5,974
======= ======= ======= =======
PER SHARE DATA:
Net Income $0.61 $0.52 $1.61 $1.41
Dividends Declared 0.16 0.13 0.46 0.40
</TABLE>
See Notes to Consolidated Financial Statements.
2
<PAGE>
Sandy Spring Bancorp and Subsidiary
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Dollars in thousands)
<TABLE>
<CAPTION>
Nine Months Ended
September 30,
--------------------------
1995 1994
- ----------------------------------------------------------------------
<S> <C> <C>
Cash Flows from Operating Activities:
Net Income $ 6,923 $ 5,974
Adjustments to reconcile net income to
net cash provided by operating activities:
Depreciation and amortization 1,130 1,038
Provision for credit losses -- 160
Deferred income taxes 252 (231)
Origination of loans held for sale (9,799) (8,508)
Proceeds from sales of loans held for sale 7,167 15,651
Gains on sales of loans held for sale (90) (164)
Securities gains (losses) 8 (54)
Net change in:
Accrued interest receivable (4) (730)
Accrued income taxes 97 (215)
Other accrued expenses 65 (1,000)
Other -- net (2,201) 189
-------- -------
NET CASH PROVIDED BY OPERATING
ACTIVITIES 3,548 12,110
Cash Flows from Investing Activities:
Net (increase) decrease in
interest-bearing deposits with banks (463) 11,936
Purchases of investments
held-to-maturity (22,598) (56,191)
Purchases of investments
available-for-sale (19,492) (65,781)
Proceeds from sales of investment
available-for-sale 1,998 23,095
Proceeds from maturities and principal
payments of investments held-to-maturity 25,116 11,286
Proceeds from maturities and principal
payments of investments available-for-sale 22,877 56,539
Proceeds from sales of other real
estate owned 224 1,497
Net increase in loans receivable (30,093) (28,919)
Expenditures for premises and equipment (1,624) (1,619)
-------- --------
NET CASH USED BY INVESTING ACTIVITIES (24,055) (48,157)
Cash Flows from Financing Activities:
Net increase (decrease) in demand and
savings accounts (50,885) 14,237
Net increase (decrease) in time and
other deposits 71,744 (377)
Net increase (decrease) in short-term
borrowings (5,398) 12,036
Retirement of long-term borrowings (21) (19)
Proceeds from issuance of common stock 910 811
Dividends paid (1,977) (1,675)
-------- --------
NET CASH PROVIDED BY FINANCING ACTIVITIES 14,373 25,013
-------- --------
NET DECREASE IN CASH AND CASH EQUIVALENTS (6,134) (11,034)
Cash and Cash Equivalents at Beginning
of Period 37,924 52,980
-------- --------
CASH AND CASH EQUIVALENTS AT END OF PERIOD* $ 31,790 $ 41,946
======== ========
</TABLE>
3
<PAGE>
Sandy Spring Bancorp and Subsidiary
CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued)
(Dollars in thousands)
<TABLE>
<CAPTION>
Nine Months Ended
September 30,
-----------------
1995 1994
- ------------------------------------------------------------------
<S> <C> <C>
Supplemental Disclosures
Interest payments $17,443 $13,451
Income tax payments $1,778 $2,614
Noncash Investing Activities
Transfers from loans to other real
estate owned $-- $323
Transfers from investments
available-for-sale to investments
held-to-maturity $-- $54,664
Unrealized gain (loss) on investments
available-for-sale net of deferred tax
effect of $1,932 in 1995 and $(3,229) in 1994 $3,070 $(5,132)
</TABLE>
*Cash and cash equivalents include amounts of "Cash and due from banks" and
"Federal funds sold" on the Consolidated Balance Sheets.
See Notes to Consolidated Financial Statements.
4
<PAGE>
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTE 1 - GENERAL
The foregoing financial statements are unaudited; however, in the opinion of
Management, all adjustments (comprising only normal recurring accruals)
necessary for a fair presentation of the results of the interim periods have
been included. These statements should be read in conjunction with the
financial statements and accompanying notes included in Sandy Spring Bancorp's
1994 Annual Report to Shareholders. The results shown in this interim report
are not necessarily indicative of results to be expected for the full year 1995.
The accounting and reporting policies of Sandy Spring Bancorp conform to
generally accepted accounting principles and to general practice within the
banking industry. Certain reclassifications have been made to amounts previously
reported to conform with current classifications.
Consolidation has resulted in the elimination of all significant
intercompany accounts and transactions.
NOTE 2 - PER SHARE DATA
Net income per common share is based on weighted average number of shares
outstanding which was, for the third quarter, 4,308,414 in 1995 and 4,255,004 in
1994 and, for the first nine months, 4,298,235 in 1995 and 4,241,440 in 1994.
All per share data have been adjusted to give retroactive effect to a 2 for 1
stock split in the form of a stock dividend declared by the Board of Directors
on March 29, 1995, payable to shareholders of record at the close to business on
April 12, 1995.
5
<PAGE>
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS
(Consolidated basis, dollars in thousands except per share data)
In the following discussion, per share amounts have been adjusted to reflect
a 2 for 1 stock split declared on March 29, 1995 (see Note 2).
A. FINANCIAL CONDITION
GENERAL
The Company's total assets were $788,532 at September 30, 1995, compared to
$764,135 at December 31, 1994, a $24,397 or 3.2% increase in the first nine
months of 1995. Earning assets increased $25,652 or 3.6% to $736,766 from
$711,114.
Total loans rose 7.5% or $30,094 during the first nine months of 1995. Of
the major loan categories, real estate mortgages grew $14,522 or 4.7%,
construction loans increased $8,475 or 36.9% and commercial loans were up $7,957
or 18.3% while consumer loans declined $746 or 2.6%. Residential mortgage loans
held for sale were $2,723 at September 30, 1995. There were no such loans at
December 31, 1994.
The investment portfolio, which consists of investments available-for-sale
and held-to-maturity as well as other equity securities, declined $3,098 or 1.0%
during the nine month period ended September 30, 1995. Federal funds sold
decreased $4,530 or 84.3% over the same period. Funds provided by declines in
these categories were used to support a portion of the growth in loans.
Total deposits were $666,478 at September 30, 1995, increasing $20,859 or
3.2% from $645,619 at December 31, 1994. All deposit categories declined except
for certificates of deposit, which rose $71,744 or 39.1%, reflecting in part an
aggressive campaign by the Company to increase these deposits. Over the same
period, short-term borrowings declined $5,398 or 11.9%.
LIQUIDITY AND INTEREST RATE SENSITIVITY
The Company's liquidity position, considering both internal and external
sources available, exceeded anticipated short and long term funding needs at
September 30, 1995.
In assessing the Bank's internal liquidity, management considers the
seasonality of deposit flows, investment, loan and deposit maturities, expected
fundings and the market values of available for sale investments.
Core deposits (total deposits less CD's of $100,000 or more) rose by $12,428
during the first nine months of 1995, while loans increased $30,094.
The Bank manages its interest rate sensitivity position within board of
director approved parameters. At September 30, 1995, the bank's exposure to
interest rate risk both in terms of net interest income (short term perspective)
and changes in market value of net assets (long term perspective) indicates the
assumption of relatively low interest rate risk.
6
<PAGE>
CAPITAL MANAGEMENT
The Company recorded a total risk-based capital ratio of 17.97% at September
30, 1995 compared to 17.52% at December 31, 1994; a Tier 1 risk-based capital
ratio of 16.72% compared to 16.27%; and a capital leverage ratio of 9.88%
compared to 9.45%. Capital adequacy, as measured by these ratios, was well
above regulatory requirements.
Stockholders' equity was $75,882 at September 30, 1995 (including a net
unrealized loss of $217 on investments available-for-sale), an increase of 13.3%
from $66,956 (including a net unrealized loss of $3,287) at December 31, 1994.
Internal capital generation (net income less dividends) provided $4,946 in
additional equity during the first nine months of 1995, representing an
annualized growth rate of 9.1% versus 8.7% for the year ended December 31, 1994.
External capital formation amounted to $910 for the nine month period ended
September 30, 1995, resulting from issuance of 26,167 shares under the Company's
dividend reinvestment plan and 8,592 shares through employee related programs.
For the nine months ended September 30, 1995, dividends were $1,977 or $0.46
per share compared to $1,675 or $0.40 per share in 1994, resulting in dividend
payout ratios of 28.57% and 28.37%, respectively.
B. RESULTS OF OPERATIONS - 9 MONTHS ENDED SEPT. 30, 1995 AND 1994
GENERAL
Net income for the first nine months of the year rose 15.9% or $949 in 1995,
to $6,923 ($1.61 per share) from $5,974 ($1.41 per share) recorded in the first
nine months of 1994. Growth in net interest income and cost containment were
significant reasons for higher nine month earnings in 1995, compared to 1994.
Net income was also favorably impacted during 1995 by lower deposit insurance
premiums enacted by the FDIC in August with retroactive application. The
resulting refund in this expense category, received during the third quarter,
was responsible for approximately $250 ($0.06 per share) of the rise in net
income. Another factor was a first quarter 1994 non-recurring expense for
special early retirement benefits, accounting for approximately $178 ($0.04 per
share) of the increase in earnings between the periods.
Net income for the nine months ended September 30, 1995 equates to an
annualized return on average assets of 1.21% compared to 1.12% in 1994 and
returns on average equity of 12.77% versus 12.21% for the same periods.
NET INTEREST INCOME
For the nine months ended September 30, 1995, net interest income was
$21,896, an increase of 9.5% over $19,993 in 1994, as a rise in net interest
margin to 4.29% from 4.25% increased the positive effect of a higher volume of
earning assets. Average earning assets for the first nine months of 1995 were
$721,095, up $46,055 or 6.8% from the first nine months of 1994.
7
<PAGE>
Tax-equivalent interest income increased $7,113 or 20.1% in the first nine
months of 1995, compared to 1994. Average earning assets rose 6.8% over the
period while the average yield earned on those assets rose by 86 basis points.
Interest expense increased $5,447 or 39.4% for the nine month period ending
September 30, 1995, as a result of 7.3% higher average interest-bearing
liabilities and a 98 basis point increase in average rate paid.
The net interest spread for the first nine months of 1995 declined by 12
basis points to 3.58% from the 3.70% recorded in the first nine months of 1994,
while the net interest margin increased slightly due to the positive impact of
the growth of non-interest sources of funds in a higher interest rate
environment.
Comparing the first nine months of 1995 to 1994, average loans grew 25.7% to
$413,062 (57.3% of average earning assets) while experiencing a 97 basis point
increase in average yield. Most of the increase in loans outstanding involved
the real estate-mortgage sector of the portfolio. Average total securities
decreased 10.4% to $296,544 (41.1% of average earning assets) and recorded a 23
basis point increase in average yield.
CREDIT RISK MANAGEMENT
Due to favorable trends in the levels of both delinquencies and potential
problem loans, there was no provision for credit losses for the first nine
months of 1995 as compared to $160 for the comparable period in 1994. Net
charge-offs of $161 were recorded for the first nine months of 1995 versus net
recoveries of $41 a year earlier. At September 30, 1995, commercial
construction and development credits, considered to be a higher risk category of
loans, comprised 3.9% of total loans, while traditional first and second home
mortgages, generally considered to be a lower risk category, amounted to 36.9%.
Nonperforming assets, expressed as a percentage of total assets, were 0.10%
at September 30, 1995 compared to 0.24% at December 31, 1994.
At September 30, 1995, the allowance for credit losses was 1.38% of total
loans versus 1.52% at December 31, 1994. The allowance for credit losses
covered nonperforming loans approximately eight times at September 30, 1995.
The allowance for credit losses was nearly four times the amount of
nonperforming loans at December 31, 1994.
NON-INTEREST INCOME AND EXPENSES
Non-interest income for the first nine months of 1995 increased $148 or 4.6%
to $3,380 in 1995 from $3,232 in 1994. Holding down the size of the increase
were net losses of $62 from securities transactions between the periods and a
$74 decrease in gains on residential mortgage loan sales. The Company is
beginning to see results from organizational changes taken in 1995 to increase
residential mortgage loan originations and sales in order to generate additional
income in this category in future periods.
8
<PAGE>
ANALYSIS OF CREDIT RISK
(Dollars in thousands)
Activity in the allowance for credit losses is shown below:
<TABLE>
<CAPTION>
9 Months Ended 12 Months Ended
September 30, 1995 December 31, 1994
- --------------------------------------------------------------------------------
<S> <C> <C>
Balance, January 1 $6,108 $6,177
Provision for credit losses -- 160
Loan charge-offs:
Real estate-mortgage (33) (135)
Real estate-construction -- --
Consumer (168) (32)
Commercial (112) (342)
------------ --------------
Total charge-offs (313) (509)
Loan recoveries:
Real estate-mortgage 97 16
Real estate-construction -- --
Consumer 12 40
Commercial 43 224
------------ --------------
Total recoveries 152 280
------------ --------------
Net charge-offs (161) (229)
------------ --------------
BALANCE, PERIOD END $5,947 $6,108
============ ==============
Net charge-offs to average
loans (annual basis) 0.05% 0.07%
Allowance to total loans 1.38% 1.52%
Balance sheet risk inherent in the lending function is presented as follows at the dates indicated:
SEPTEMBER 30, December 31,
1995 1994
- --------------------------------------------------------------------------------
Non-accrual loans $ 514 $ 866
Loans 90 days past due 176 671
Restructured loans 38 44
------------ --------------
Total Nonperforming Loans* 728 1,581
Other real estate owned 52 277
------------ --------------
TOTAL NONPERFORMING ASSETS $ 780 $1,858
============ ==============
Nonperforming assets to total assets 0.10% 0.24%
- --------------------------------------------------------------------------------
</TABLE>
* Those performing loans considered potential problem loans, as defined and
identified by management, amounted to $7,188 at September 30, 1995, compared to
$13,949 at December 31, 1994. Although these are loans where known information
about the borrowers' possible credit problems causes management to have doubts
as to their ability to comply with the present loan repayment terms, most are
well collateralized and are not believed to present significant risk of loss.
9
<PAGE>
Modest increases were seen in service charges and other non-interest income,
including trust fees (up $107 or 23.8%) during the nine months ended September
30, 1995 over the comparable period of 1994.
Non-interest expenses for the first nine months of the year increased $463
or 3.1% to $15,234 in 1995 from $14,771 in 1994. As previously discussed, the
rate of increase was significantly moderated by the combined influence of lower
FDIC insurance premiums in 1995 and a non-recurring expense item in 1994. The
Company has incurred costs associated with its conversion to a new data
processing servicer and is in the process of building, equipping and staffing a
new branch scheduled to open in November, 1995.
The ratio of net income to average full-time-equivalent (FTE) employees was
$24 for the nine month period ended September 30, 1995 compared to $21 during
the first nine months of 1994 as the growth in net income exceeded
proportionally a small increase in average FTE employees.
INCOME TAXES
The effective tax rate was 31.1% for the nine month period ending September
30, 1995 compared to 28.0% for the same period in 1994 reflecting a lower amount
of tax exempt income to income before income taxes in 1995 than in 1994.
C. RESULTS OF OPERATIONS - THIRD QUARTER 1995 AND 1994
Third quarter earnings of $2,612 ($0.61 per share) in 1995 were 18.1% above
$2,211 ($0.52 per share) recorded for the third quarter of 1994.
Tax-equivalent net interest income rose 7.4% during the third quarter of
1995 compared to the same three month period of 1994, produced by a 5.4%
increase in the earning asset base augmented by a 6 basis point rise in the net
interest margin.
During the third quarters of 1995 and 1994, there were no provisions for
credit losses, reflecting favorable asset quality in both periods. Net charge-
offs of $35 were recorded for the third quarter of 1995 and net recoveries of
$158 for the same quarter of 1994.
Non-interest income for the third quarter increased $189 or 19.2% in 1995,
compared to 1994, with all categories showing favorable advances except
securities transactions, which recorded a slight decline. This contrasts to the
relatively smaller rise shown for non-interest expenses (up $109 or 2.2%) which,
as previously noted, was tempered to a significant degree by the third quarter
1995 refund of deposit insurance premiums by the FDIC amounting to $402.
The third quarter effective tax rate was 31.9% in 1995 versus 29.4% shown in
1994.
10
<PAGE>
PART II - OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibit 27. Financial Data Schedule
(b) None
11
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this quarterly report to be signed on its behalf by
the undersigned, thereunto duly authorized.
SANDY SPRING BANCORP, INC.
(Registrant)
By: /s/ HUNTER R. HOLLAR
________________________________________________
Hunter R. Hollar
President and Chief Executive Officer
Date: November 8, 1995
By: /s/ JAMES H. LANGMEAD
_________________________________________________
James H. Langmead
Vice President and Treasurer
Date: November 8, 1995
12
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 9
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> SEP-30-1995<F1>
<CASH> 30,945
<INT-BEARING-DEPOSITS> 674
<FED-FUNDS-SOLD> 845
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 126,839
<INVESTMENTS-CARRYING> 170,102
<INVESTMENTS-MARKET> 170,924
<LOANS> 428,394
<ALLOWANCE> (5,947)
<TOTAL-ASSETS> 788,532
<DEPOSITS> 666,478
<SHORT-TERM> 39,845
<LIABILITIES-OTHER> 3,168
<LONG-TERM> 3,159
<COMMON> 4,315
0
0
<OTHER-SE> 71,567
<TOTAL-LIABILITIES-AND-EQUITY> 788,532
<INTEREST-LOAN> 27,930
<INTEREST-INVEST> 19,117
<INTEREST-OTHER> 526
<INTEREST-TOTAL> 41,177
<INTEREST-DEPOSIT> 17,368
<INTEREST-EXPENSE> 19,281
<INTEREST-INCOME-NET> 21,896
<LOAN-LOSSES> 0
<SECURITIES-GAINS> (8)
<EXPENSE-OTHER> 15,234
<INCOME-PRETAX> 10,042
<INCOME-PRE-EXTRAORDINARY> 10,042
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 6,923
<EPS-PRIMARY> 1.61
<EPS-DILUTED> 1.61
<YIELD-ACTUAL> 3.58
<LOANS-NON> 514
<LOANS-PAST> 176
<LOANS-TROUBLED> 38
<LOANS-PROBLEM> 7,188
<ALLOWANCE-OPEN> 6,108
<CHARGE-OFFS> (313)
<RECOVERIES> 152
<ALLOWANCE-CLOSE> 5,947
<ALLOWANCE-DOMESTIC> 2,097
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 3,850
<FN>
<F1>All per share data have been adjusted to reflect a 2 for 1 stock split declared
March 29, 1995.
</FN>
</TABLE>
