SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): July 24, 1998
FIRST FEDERAL FINANCIAL CORPORATION OF KENTUCKY
(Exact name of registrant as specified in charter)
Kentucky 0-18832 61-1168311
(State or other (Commission File Number) (IRS Employer
jurisdiction or Identification No.)
incorporation)
2323 Ring Road
Elizabethtown, Kentucky 42701
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code:(502)765-2131
N/A
(Former name or former address
if changed since last report.)
INFORMATION TO BE INCLUDED IN THE REPORT
Item 2. Acquisition or Disposition of Assets.
On July 24, 1998, First Federal Savings Bank of
Elizabethtown ("First Federal Savings Bank"), the wholly owned
banking subsidiary of First Federal Financial Corporation of
Kentucky ("FFKY"), completed its acquisition of three bank
branches located in Meade County, Kentucky from Bank One,
Kentucky, N.A. Two of the branches are located in Brandenburg,
Kentucky and the third branch is in Flaherty, Kentucky.
In the transaction, First Federal Savings Bank acquired
certain assets and assumed certain liabilities associated with
the Meade County branches, including deposit liabilities, certain
loans, real estate leases, furniture, fixtures, equipment, and
other assets totaling approximately $72.5 million. The
consideration paid for the assets totaled approximately $20.5
million, which was determined based on a premium for the core
deposits of the acquired branches plus the book or cash value of
certain other transferred assets. The acquisition was funded by
reducing the cash associated with transferred deposits by the
amount of the purchase price. FFKY plans to operate the acquired
branches as branch offices of First Federal Savings Bank.
Item 7. Financial Statements, Pro Forma Financial Information
and Exhibits.
(a) Financial Statements of Businesses Acquired.
Not Applicable.
(b) Pro Forma Financial Information.
Not Applicable.
(c) Exhibits.
99 Press Release dated July 27, 1998.
SIGNATURE
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 FEDERAL FINANCIAL CORPORATION
OF KENTUCKY
By: /s/ B. Keith Johnson
B. Keith Johnson, President and
Chief Executive Officer
Date: August 10, 1998
For Immediate Release - July 27, 1998
Contact: B. Keith Johnson
President and C.E.O.
FIRST FEDERAL FINANCIAL CORPORATION OF KENTUCKY
ANNOUNCES RECORD ANNUAL EARNINGS
AND OPENING OF THREE NEW BRANCHES
ELIZABETHTOWN, Kentucky (July 27, 1998) - First Federal Financial
Corporation of Kentucky (NASDAQ symbol "FFKY") today reported
record annual earnings of $6.3 million or $1.53 per share for the
year ended June 30, 1998. Earnings per share increased by 9%
over the June 30, 1997, fiscal year amount which was $5.8 million
or $1.40 per share (as adjusted to exclude the one-time FDIC
special assessment on September 30,1996).
Further, First Federal reported the completion of its three-
branch acquisition in Meade County, Kentucky as of the close of
business on July 24, 1998. Customer deposits in the amount of
$70 million were included in the acquisition, bring the total
bank deposits to $377 million, an increase of 23%. Total assets
have grown from $410 million at June 30, 1998, to approximately
$460 million on July 24, 1998.
B. Keith Johnson, President and Chief Executive Officer, stated,
"We are pleased to once again report record annual earnings. We
are also very excited about our future opportunities in Meade
County with the existing excellent team of associates and a 50%
customer market share."
First Federal Financial Corporation of Kentucky is a $460 million
family financial services holding company serving central
Kentucky and is the parent of First Federal Savings Bank of
Elizabethtown which operates eleven full service offices in the
central Kentucky towns of Elizabethtown, Radcliff, Bardstown,
Munfordville, Shepherdsville, Mt. Washington, Brandenburg, and
Flaherty.
The common stock of First Federal Financial Corporation is traded
on the NASDAQ system under the symbol "FFKY." Market makers for
the stock are Capital Resources, Inc., and J.J.B. Hilliard, W.L.
Lyons, Inc.
<TABLE>
<CAPTION>
CONDENSED STATEMENTS OF INCOME
(Dollars in thousands, except net income per share)
(Unaudited)
_________________________________________________________________
Three Months For Twelve Months
Ended June 30, Ended June 30,
1998 1997 1998 1997
_________________________________________________________________
<S> <C> <C> <C> <C>
Interest Income $8,078 $7,447 $31,182 $28,782
Interest Expenses 4,190 3,715 16,059 14,375
Net Interest Income 3,888 3,732 15,123 14,407
Other Income 795 544 2,860 2,468
Provisions for Loan
Losses (145) 0 (265) (200)
Other Expenses (2,072) (1,958) (8,082) (9,472)
Income Taxes (837) (745) (3,302) (2,429)
_________________________________________________________________
Net Income $1,629 $1,573 $6,334 $4,774
_________________________________________________________________
Net Income Per Share $0.39 $0.38 $1.53 $1.14
_________________________________________________________________
Weighted average
shares outstanding 4,130,412 4,163,516 4,145,039 4,182,060
_________________________________________________________________
(Net income for the twelve month period ended, June 30,1997
includes the after-tax expense of $1.1 million for the special
FDIC/SAIF assessment.)
</TABLE>
<TABLE>
<CAPTION>
CONDENSED BALANCE SHEETS
(Dollars in thousands, except per share data)
(Unaudited at June 30, 1998)
_________________________________________________________________
June 30, June 30,
1998 1997
<S> <C> <C>
Assets:
Cash and Interest Bearing Deposits $ 9,150 $ 9,176
Investment Securities 26,811 22,677
Loans Receivable, net 355,306 327,791
Other Assets 18,384 17,736
_________________________________________________________________
Total Assets $409,651 $377,380
_________________________________________________________________
Liabilities and Shareholders' Equity:
Savings Deposits $306,703 $281,342
Federal Home Loan Bank Advances 43,249 41,514
Other Liabilities 5,011 2,808
Shareholders' Equity 54,688 51,716
_________________________________________________________________
Total Liabilities and
Shareholders' Equity $409,651 $377,380
_________________________________________________________________
Book Value Per Share $13.24 $12.40
</TABLE>
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