<PAGE>
U.S. Securities and Exchange Commission
Washington, D.C. 20549
Form 10-QSB
[x] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 1997
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE
EXCHANGE ACT
For the transition period from...........to............
Commission file number 0-23090
Carrollton Bancorp
- -----------------------------------------------------------
(Exact name of small business issuer as
specified in its charter)
Maryland 52-1660951
(State or other jurisdiction (IRS Employer
of incorporation or organization) Identification No.)
15 Charles Plaza, Suite 200, Baltimore, Maryland 21201-3936
- -----------------------------------------------------------
(Address of principal executive offices)
(410) 536-4600
- -----------------------------------------------------------
(Issuer's telephone number)
............................................................
(Former name, former address and former fiscal year,
if changed since last report)
Check whether the issuer (1) filed all reports required
to be filed by Section 13 or 15(d) of the Exchange Act
during the past 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 ___
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
PROCEEDINGS DURING THE PRECEDING FIVE YEARS
Check whether the registrant filed all documents and
reports required to be filed by Section 12, 13 or 15(d) of
the Exchange Act after the distribution of securities under
a plan confirmed by court. Yes ..... No .....
APPLICABLE ONLY TO CORPORATE ISSUERS
State the number shares outstanding of each of the
issuer's classes of common equity, as of the latest
practicable
date: 1,394,747 common shares outstanding at August 6, 1997
Transitional Small Business Disclosure Format (check
one): Yes ..... No x
<PAGE>
PART I--FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
CONSOLIDATED BALANCE SHEETS
Carrollton Bancorp
and Subsidiary
<TABLE>
<CAPTION>
JUNE 30, DECEMBER 31,
ASSETS 1997 1996
-------------- --------------
(UNAUDITED)
<S> <C> <C>
Cash and due from banks.......................................................... $ 17,599,423 $ 20,391,197
Federal funds sold............................................................... 1,800,000 700,000
Investment securities:
Available for sale............................................................. 74,322,424 69,961,952
Held to maturity (approximate market value of $15,143,864 and $16,537,179)..... 14,905,868 16,315,816
Loans, less allowance for loan losses of $2,287,429 and $2,241,148............... 156,414,561 149,753,004
Bank premises and equipment...................................................... 5,487,017 4,868,469
Deferred income taxes............................................................ 411,732 524,439
Accrued interest receivable...................................................... 2,022,642 1,956,674
Other assets..................................................................... 2,233,533 2,685,609
-------------- --------------
$ 275,197,200 $ 267,157,160
-------------- --------------
-------------- --------------
Liabilities and Shareholders' Equity
Deposits
Noninterest-bearing............................................................ $ 30,411,009 $ 30,229,596
Interest-bearing............................................................... 199,790,535 195,555,484
-------------- --------------
Total deposits............................................................... 230,201,544 225,785,080
Federal funds purchased and securities sold under agreements to repurchase....... 5,734,260 5,296,743
Advances from the Federal Home Loan Bank......................................... 7,000,000 5,000,000
Notes payable--U. S. Treasury.................................................... 1,698,880 1,646,478
Accrued interest payable......................................................... 215,732 207,666
Other liabilities................................................................ 1,339,317 1,150,743
-------------- --------------
246,189,733 239,086,710
-------------- --------------
Shareholders' equity Common stock, par value $10.00 per share; authorized
5,000,000 shares; issued and outstanding 1,394,747 shares...................... 13,947,470 13,947,470
Surplus........................................................................ 6,973,666 6,973,666
Net unrealized holding gains on available for sale securities.................. 387,078 207,948
Retained earnings.............................................................. 7,699,253 6,941,366
-------------- --------------
29,007,467 28,070,450
-------------- --------------
$ 275,197,200 $ 267,157,160
-------------- --------------
-------------- --------------
</TABLE>
Note: Balances at December 31, 1996 are derived from audited financial
statements.
1
<PAGE>
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
Carrollton Bancorp
and Subsidiary
<TABLE>
<CAPTION>
QUARTER ENDED JUNE 30, SIX MONTHS ENDED JUNE 30,
-------------------------- --------------------------
<S> <C> <C> <C> <C>
1997 1996 1997 1996
------------ ------------ ------------ ------------
Interest income
Interest and Fees on Loans............................. $ 3,458,194 $ 3,155,825 $ 6,735,246 $ 6,222,763
Interest and Dividends on Securities:
Taxable interest income.............................. 1,036,675 1,146,479 2,045,577 2,258,370
Nontaxable interest income........................... 256,280 207,553 496,258 384,379
Dividends............................................ 12,395 10,399 30,651 23,473
Interest on Federal funds sold and other interest
income................................................. 59,884 53,759 118,596 120,375
------------ ------------ ------------ ------------
Total interest income.................................. 4,823,428 4,574,015 9,426,328 9,009,360
------------ ------------ ------------ ------------
Interest expense
Deposits............................................... 2,033,736 2,019,648 4,025,255 4,002,890
Other.................................................. 144,727 63,503 265,053 117,009
------------ ------------ ------------ ------------
Total interest expense................................ 2,178,463 2,083,151 4,290,308 4,119,899
------------ ------------ ------------ ------------
Net interest income................................... 2,644,965 2,490,864 5,136,020 4,889,461
Provision for loan losses................................ 60,000 37,500 120,000 72,500
------------ ------------ ------------ ------------
Net interest income after provision for loan losses.. 2,584,965 2,453,364 5,016,020 4,816,961
------------ ------------ ------------ ------------
Other operating income
Service charges on deposit accounts.................... 328,110 316,829 645,578 620,093
Brokerage commissions.................................. 210,747 177,803 424,107 344,688
Other fees and commissions............................. 773,955 266,964 1,429,647 486,828
Gains (losses) on security sales....................... 72,349 14,688 101,234 17,526
------------ ------------ ------------ ------------
Total other income.................................... 1,385,161 776,284 2,600,566 1,469,135
------------ ------------ ------------ ------------
Other expenses
Salaries............................................... 1,119,363 924,759 2,205,874 1,856,192
Employee benefits...................................... 259,791 247,233 528,723 478,499
Occupancy.............................................. 339,510 312,605 689,469 627,183
Furniture and equipment................................ 198,997 190,762 412,877 358,890
Other operating expenses............................... 1,207,230 895,857 2,269,526 1,606,765
------------ ------------ ------------ ------------
Total other expenses.................................. 3,124,891 2,571,216 6,106,469 4,927,529
------------ ------------ ------------ ------------
Income before income taxes............................... 845,235 658,432 1,510,117 1,358,567
Income taxes............................................. 230,528 168,774 392,410 383,635
------------ ------------ ------------ ------------
Net income............................................... $ 614,707 $ 489,658 $ 1,117,707 $ 974,932
------------ ------------ ------------ ------------
------------ ------------ ------------ ------------
Earnings per common share
Net income............................................... $ 0.44 $ 0.35 $ 0.80 $ 0.70
------------ ------------ ------------ ------------
------------ ------------ ------------ ------------
</TABLE>
2
<PAGE>
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
Carrollton Bancorp
and Subsidiary
<TABLE>
<CAPTION>
SIX MONTHS ENDED JUNE 30,
----------------------------
<S> <C> <C>
1997 1996
------------- -------------
Cash flows from operating activities
Interest received................................................................. $ 9,359,812 $ 8,925,409
Fees and commissions received..................................................... 2,586,053 1,340,344
Interest paid..................................................................... (4,282,242) (4,131,865)
Cash paid to suppliers and employees.............................................. (5,183,996) (4,256,690)
Income taxes paid................................................................. (324,894) (410,032)
------------- -------------
2,154,733 1,467,166
------------- -------------
Cash Flows from investing activities
Proceeds from maturities of securities held to maturity........................... 1,200,000 4,100,000
Purchases of securities held to maturity.......................................... 0 (298,688)
Proceeds from sales of securities available for sale.............................. 2,343,865 2,474,187
Proceeds from maturities of securities available for sale......................... 6,087,107 10,191,301
Purchases of securities available for sale........................................ (12,187,876) (23,944,337)
Loans made, net of principal collected............................................ (2,004,499) (5,039,382)
Purchase of loans................................................................. (4,777,058) (6,791,121)
Purchases of premises and equipment............................................... (1,054,609) (584,269)
------------- -------------
(10,393,070) (19,892,309)
------------- -------------
Cash flows from financing activities
Net (decrease) increase in deposits............................................... 4,416,464 9,476,593
Net increase (decrease) in other borrowed funds................................... 2,489,919 7,077,530
Dividends paid.................................................................... (359,820) (282,397)
------------- -------------
6,546,563 16,271,726
------------- -------------
Net increase (decrease) in cash and cash equivalents................................ (1,691,774) (2,153,417)
Cash and cash equivalents at beginning of year...................................... 21,091,197 19,903,646
------------- -------------
Cash and cash equivalents at June 30................................................ $ 19,399,423 $ 17,750,229
------------- -------------
------------- -------------
Reconciliation of net income to net cash provided by operating activities
Net income........................................................................ $ 1,117,707 $ 974,932
Adjustments to reconcile net income to net cash provided by operating activities
Provision for loan losses......................................................... 120,000 72,500
Depreciation and amortization..................................................... 452,043 389,361
Amortization of premiums and discounts............................................ (548) 6,365
Gain on disposal of securities.................................................... (101,234) (17,526)
(Increase) decrease in Accrued interest receivable.................................. (65,968) (90,316)
Other assets...................................................................... 491,926 84,333
Increase (decrease) in Accrued interest payable..................................... 8,066 (11,966)
Income taxes payable.............................................................. 123,669 (26,397)
Other liabilities................................................................. 9,072 85,880
------------- -------------
$ 2,154,733 $ 1,467,166
------------- -------------
------------- -------------
</TABLE>
3
<PAGE>
NOTE TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
CARROLLTON BANCORP
Period ended June 30, 1997
The accompanying unaudited consolidated financial statements
prepared as of and for the quarter ended June 30, 1997 reflect
all adjustments which are, in the opinion of management,
necessary to a fair statement of the results for the interim
period presented. All such adjustments are of a normal recurring
nature. The results reflected by these statements may not be
indicative, however, of the results for the year ending December
31, 1997.
NOTE A-- In February, 1997, the Financial Accounting Standards
Board issued Statement No. 128, "Earnings per Share." This
statement is effective for 1997 for the Company, and requires
restatement of all prior period earnings per share data,
including interim periods. However, based on the current capital
structure of the Company, this statement will have no effect on
the Company's reported earnings per share information.
4
<PAGE>
Item 2. Management's Discussion and Analysis
of Operating Results and Financial Condition
Earnings
Summary
Carrollton Bancorp's net income for the first half of
1997 was $1,118,000, or $.80 per share as compared to
$975,000, or $.70 per share, for the same period of 1996.
Net income for the second quarter of 1996 was $615,000, or
$.44 per share, as compared to $490,000, or $.35 per share,
for the second quarter of 1996. The increase in earnings
was due to several factors. Other income increased
significantly, principally from fees generated by the
Company's ATM network. Net interest income also increased
as a result of growth in the loan portfolio.
Net Interest Income
Because of growth in the loan portfolio since June,
1996, net interest income increased for the Company by 6.2%
for the second quarter and 5.0% for the first six months of
1997 as compared to the same periods of 1996. Total
interest income increased 4.6% for the first six months of
1997 and increased 5.4% for the second quarter of 1997 as a
result of growth in the loan portfolio as previously
mentioned. Total assets grew by 5.3% on average for the
first half of 1997 as compared to 1996, driven by 9.5%
growth in the average loan portfolio. Securities declined
by 4.2% as the Company worked to increase its loan
portfolio. The tax equivalent yield on earning assets
increased to 8.01% for the first six months of 1997 as
compared to 7.88% for 1996, and increased to 8.09% in the
second quarter of 1997 compared to 7.88% for the same period
of 1996. A portion of this improvement is attributed to the
prime rate increase occurring in March, 1997.
Total interest expense increased by 4.1% in the first
half of 1997 as compared to 1996 as a result of increases in
borrowed funds. Interest bearing deposits increased
marginally. However, the rate of interest expense to
interest-bearing liabilities fell to 4.11% in the first half
of 1997 as compared to 4.17% for 1996. The rate of interest
expense to interest-bearing liabilities for the second
quarter of 1997 also fell to was 4.13% compared to 4.14% for
the same period in 1996.
Due to the increase in the interest rate spread and to
increased state tax benefits, the net yield on average
earning assets increased to 4.55% in the second quarter of
1997 and to 4.48% year to date as compared to 4.37% and
4.35% for the comparable periods of 1996.
Provision for Loan Losses
During the first half of 1997, the provision for loan
losses was $120,000 compared to $72,500 for the first half
of 1996. The provision was made based on a thorough
evaluation of the allowance for loan losses. Nonaccrual,
restructured, and delinquent loans over 90 days to total
loans increased to .79% at June 30, 1997 from .68% a year
earlier. This ratio increased slightly because of increased
delinquencies.
5
<PAGE>
Non-Interest Income
For the first six months of 1997, non-interest income,
excluding securities gains, increased 72.2% over the same
period of 1996. Other fees and commissions increased
$943,000 principally due to increases in ATM fee income
generated by additional machines placed in service and to
implementation of transaction surcharges. The increase in
service charges on deposit accounts came mainly from growth
of deposit accounts resulting from two new branches opened
in 1996. The Company's brokerage subsidiary has increased
commission income by $79,000 over 1996, partly as a result
of the continued surge in the stock market.
Security gains in the first six months of 1997 came
principally from the restructuring and repositioning of an
equity security portfolio by an outside fund manager. The
fund manager was hired in early 1997.
Non-Interest Expenses
Non-interest expenses increased in both the second
quarter and first six months of 1997 as compared to the same
periods of 1996 by 21.5% and 23.9%. Increases in salaries,
employee benefits, occupancy, furniture and equipment, and
other operating expenses were due to growth in staff,
branches, new ATM installations, and expenses related to
additional card service capabilities. Staff additions came
in the form of two new branches opened in 1996, and from
expansion of the Company's Electronic Banking Group. The
new branches also resulted in increased occupancy and
equipment expense. The Company almost doubled the size of
its ATM network from June 30, 1996.
Income Tax Provision
For the first six months of 1997, the effective tax
rate was 26.0% as compared to 28.2% for the same period in
1996. The effective tax rate has declined primarily as a
result of a change in the state law, subject to a three year
phase in, which enables financial institutions to exclude
from taxable income interest earned on certain investment
securities. In addition, the ratio of federal tax free
income to total income has increased as the municipal bond
portfolio has grown, thereby reducing the tax rate. The
increase in the amount of income tax during the first half
of 1997 as compared to 1996 was due to the increase in the
amount of income before tax.
Financial Condition
Summary
Total assets for the Company were $275.2 million at
June 30, 1997 as compared to $267.2 million at the end of
1996. Loans increased by 4.4% while investment securities
increased by 3.4%. In addition, deposits grew by 2.0% and
borrowed funds grew by 20.8% since December 31, 1996.
6
<PAGE>
Short-Term Investments
Short-term investments increased $1.1 million from
December 31, 1996 to June 30, 1997. This increase came from
better use of funds for operations and ATM machines thereby
generating funds for investment.
Investment Securities
Investment securities increased $2.9 million or 3.4% at
June 30, 1997. The additional investments were funded
principally by the decrease in operating funds.
Loans
At June 30, 1997, total loans increased $6.7 million or
4.4% to $158.7 million from the end of 1996. Approximately
65% of the Company's loan growth year to date in 1997 came
from commercial loans, including commercial real estate
loans. The Company continues to grow the commercial loan
portfolio due to its emphasis on services to small and
medium sized businesses. Consumer loan growth in home
equity loans and lines of credit continued at a strong pace
in the first half of the year.
At June 30, 1997, home equity and residential real
estate loans increased by $3.6 million to $80.8 million. On
the other hand, installment loans decreased by $2.3 million
to $12.0 million for the same period.
In the commercial loan portfolio, business loans and
lines of credit, SBA loans, leases and asset-based loans
increased $1.8 million to $28.9 million at June 30, 1997.
Meanwhile, commercial mortgage loans increased $3.6 million
and amounted to $36.9 million at June 30, 1997.
Allowance for Loan Losses
The allowance for loan losses increased $46,000 from
December 31, 1996 and amounted to $2.3 million at June 30,
1997. The ratio of the allowance to total loans was 1.47%
at December 31, 1996 and 1.44% at June 30, 1997. This ratio
fell due to loan growth. The ratio of net loan losses to
average loans outstanding decreased to .10% for the first
half of 1997 compared to .13% for the year ended December
31, 1996. The ratio of nonaccrual loans, restructured
loans, plus loans delinquent more than 90 days to total
loans increased to .79% at June 30, 1997 from .63% at
December 31, 1996. The decline in this ratio came from a
slight increase in delinquencies.
Funding Sources
Total deposits increased by $4.4 million or 2.0% from
the end of 1996 to $230.2 million at June 30, 1997.
Interest-bearing accounts increased by $4.2 million while
non-interest bearing accounts increased marginally. This
increase in deposits helped to fund loan growth.
7
<PAGE>
Other borrowings increased significantly by $2.5
million to $14.4 million at June 30, 1997 from $11.9 million
at December 31, 1996. Borrowings for federal funds
purchased and securities sold under agreements to repurchase
increased to $5.7 million at June 30, 1997 from $5.3 million
at the end of 1996. Borrowings from the FHLB increased from
$5.0 million at December 31, 1996 to $7.0 million at June
30, 1997. These borrowings helped to fund the increase in
loans.
Capital
Shareholders' equity increased by $937,000 or 3.3% for
the first six months of 1997 compared to the end of 1996.
This was primarily due to the strong earnings for the first
half of 1997. Net income for the first six months of 1997
was $1,117,000. Shareholders were paid dividends totalling
$360,000. Shareholders' equity amounted to 10.5% of total
assets at June 30, 1997 and at December 31, 1996. Tier 1
(Core) and Tier 2 (Total) capital to risk-adjusted assets
ratios were 16.3% and 17.6%, respectively. Although the
risked-based capital ratios were slightly below levels at
December 31, 1996, they still far exceeded regulatory
minimums. The Company's leverage ratio was 10.0% at June
30, 1997 and at year end 1996.
Liquidity
As of June 30, 1997, outstanding loan commitments and
unused lines of credit for the Company totalled $57.0
million. Management places a high probability for required
funding within 1 year on approximately $12.3 million of this
total. The remaining amount is mainly unused home equity
lines and credit card lines on which management places a low
probability for required funding. At June 30, 1997, the
Company's liquidity position continues to be solid. The
Company also had additional borrowing capacity of
approximately $27 million at June 30, 1997.
Interest Rate Risk
The level of income of a financial institution can be
affected by the repricing characteristics of its assets and
liabilities due to changes in interest rates. The Company's
liability sensitive position at June 30, 1997 as measured by
the level of rate sensitive assets to rate sensitive
liabilities was basically unchanged from December 31, 1996.
Theoretically, a liability sensitive position is favorable
in a falling interest rate environment since more
liabilities than assets will reprice in a given time frame
as interest rates fall. The Company was able to maintain
the level of interest rates on deposits and borrowed funds
in the second quarter of 1997 while increasing slightly the
rates earned on assets. Management continually seeks
methods to reduce its exposure to interest rate shifts.
8
<PAGE>
PART II--OTHER INFORMATION
Item 1. Legal Proceedings
There is no information to be reported under this item for the
quarter ended June 30, 1997.
Item 2. Changes in Securities
There is no information to be reported under this item for the
quarter ended June 30, 1997.
Item 3. Defaults Upon Senior Securities
There is no information to be reported under this item for the
quarter ended June 30, 1997.
Item 4. Submission of Matters to a Vote of Security Holders
There is no information to be reported under this item for the
quarter ended June 30, 1997.
Item 5. Other Information
There is no information to be reported under this item for the
quarter ended June 30, 1997.
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibit 11- Statement re: Computation of per share
earnings
(b) There have been no Reports on Form 8-K filed by
the Company during the quarter for which this
report is filed.
9
<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.
Carrollton Bancorp
-------------------------------
(Registrant)
Date 8/8/97 /s/ Dallas R. Arthur
-------- -------------------------------
Dallas R. Arthur
President and Chief Executive
Officer
Date 8/8/97 /s/ David L. Costello III
-------- --------------------------------
David L. Costello III
Treasurer and Chief Financial
Officer
10
<PAGE>
EXHIBIT INDEX
Sequentially
Exhibit Numbered
Number Description Page
- ------- ---------------- ------------
11 Statement Re: Computation of
Per Share Earnings 12
27 Financial Data Schedule 13
11
<PAGE>
EXHIBIT 11- Statement Re: Computation of Per Share Earnings
CARROLLTON BANCORP
<TABLE>
<CAPTION>
QUARTER ENDED SIX MONTHS ENDED
JUNE 30 JUNE 30
---------------------- ------------------------
<S> <C> <C> <C> <C>
1997 1996 1997 1996
---------- ---------- ------------ ----------
Average Shares Outstanding (A)............................... 1,394,747 1,394,747 1,394,747 1,394,747
---------- ---------- ------------ ----------
---------- ---------- ------------ ----------
Net income................................................... $ 614,707 $ 489,658 $ 1,117,707 $ 974,932
Divide by average shares outstanding......................... 1,394,747 1,394,747 1,394,747 1,394,747
---------- ---------- ------------ ----------
Earnings per share........................................... $ 0.44 $ 0.35 $ 0.80 $ 0.70
---------- ---------- ------------ ----------
---------- ---------- ------------ ----------
</TABLE>
- ------------------------
(A) Adjusted to reflect the effect of a 5% stock dividend declared
January 24, 1997.
12
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 9
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM CARROLLTON
BANCORP'S FORM 10-QSB FOR THE SIX MONTHS ENDED JUNE 30, 1997.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> JUN-30-1997
<CASH> 17,599,423
<INT-BEARING-DEPOSITS> 0
<FED-FUNDS-SOLD> 1,800,000
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 74,322,424
<INVESTMENTS-CARRYING> 14,905,868
<INVESTMENTS-MARKET> 15,143,864
<LOANS> 158,701,990
<ALLOWANCE> 2,287,429
<TOTAL-ASSETS> 275,197,200
<DEPOSITS> 230,201,544
<SHORT-TERM> 14,433,140
<LIABILITIES-OTHER> 1,555,049
<LONG-TERM> 0
0
0
<COMMON> 13,947,470
<OTHER-SE> 15,059,997
<TOTAL-LIABILITIES-AND-EQUITY> 275,197,200
<INTEREST-LOAN> 6,735,246
<INTEREST-INVEST> 2,572,486
<INTEREST-OTHER> 118,596
<INTEREST-TOTAL> 9,426,328
<INTEREST-DEPOSIT> 4,025,255
<INTEREST-EXPENSE> 4,290,308
<INTEREST-INCOME-NET> 5,136,020
<LOAN-LOSSES> 120,000
<SECURITIES-GAINS> 101,234
<EXPENSE-OTHER> 6,106,469
<INCOME-PRETAX> 1,510,117
<INCOME-PRE-EXTRAORDINARY> 1,510,117
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 1,117,707
<EPS-PRIMARY> 0.80
<EPS-DILUTED> 0.80
<YIELD-ACTUAL> 4.48
<LOANS-NON> 123,117
<LOANS-PAST> 323,147
<LOANS-TROUBLED> 801,480
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 2,241,148
<CHARGE-OFFS> 123,945
<RECOVERIES> 50,226
<ALLOWANCE-CLOSE> 2,287,429
<ALLOWANCE-DOMESTIC> 1,454,288
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 833,141
</TABLE>
