<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-QSB
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For Quarterly Period Ended Commission File Number:
September 30, 1998 33-41045
SARASOTA BANCORPORATION, INC.
- --------------------------------------------------------------------------------
(Exact name of small business issuer as specified in its charter)
Florida 65-0235255
- --------------------------------------------------------------------------------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
Two North Tamiami Trail, Suite 100, Sarasota, Florida 34236
-------------------------------------------------------------
(Address of principal executive offices)
(941) 955-2626
--------------------------------------------------------
(Issuer's telephone number)
Not applicable
------------------------------------------------------------------
(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 Securities Exchange Act of 1934 during the last 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
-------- --------
State the number of shares outstanding of each of the issuer's classes of
common equity, as of the latest practicable date:
<TABLE>
<S> <C>
Common Stock, $.01 Par Value 559,140
------------------------------------------ ---------------------------------------
Class Outstanding at November 10, 1998
</TABLE>
Transitional Small Business Disclosure Format (Check One):
Yes No X
----- -----
<PAGE> 2
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
SARASOTA BANCORPORATION, INC.
AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
SEPTEMBER 30, 1998 AND DECEMBER 31, 1997
(UNAUDITED)
<TABLE>
<CAPTION>
ASSETS SEPTEMBER 30, 1998 DECEMBER 31, 1997
- ------------------------------------------------------------------ ------------------ -----------------
<S> <C> <C>
Cash and Due From Banks $ 2,331,959 1,626,155
Federal Funds Sold 1,258,000 4,269,000
Securities held to maturity -- --
Securities available for sale 16,833,670 13,181,407
Loans (Net) 51,153,935 39,590,147
Accrued interest receivable 516,091 380,541
Repossessions 21,742 --
Foreclosed real estate 71,673 71,673
Furniture and equipment,net 400,428 428,133
Deferred income taxes 186,200 150,904
Other assets 47,718 222,570
----------------- ----------------
TOTAL ASSETS: $ 72,821,416 59,920,530
================= ================
LIABILITIES AND STOCKHOLDERS' EQUITY
- ------------------------------------------------------------------
LIABILITIES:
Demand deposits $ 8,001,559 6,678,554
NOW and money market deposits 15,019,226 12,878,302
Savings deposits 886,687 798,833
Other time deposits 39,021,420 34,021,075
----------------- ----------------
Total deposits 62,928,892 54,376,764
----------------- ----------------
Repurchase agreements 3,109,409 614,445
Accrued interest payable 129,821 110,288
Other liabilities 532,181 151,447
----------------- ----------------
TOTAL LIABILITIES: 66,700,303 55,252,944
STOCKHOLDERS' EQUITY:
Preferred stock, $.10 Par Value. Authorized 1,000,000 shares;
None Issued or Outstanding -- --
Common Stock, $.01 Par Value. Authorized 10,000,000 shares;
Outstanding 536,861 shares 5,591 4,715
Additional Paid-In Capital 5,588,928 4,710,285
Treasury stock, at cost (27,848) (21,098)
Retained earnings (deficit) 457,441 (86,415)
Net unrealized appreciation on available-for-sale securities (net) 97,001 60,099
----------------- ----------------
TOTAL STOCKHOLDERS' EQUITY: 6,121,113 4,667,586
----------------- ----------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY: $ 72,821,416 59,920,530
================= ================
</TABLE>
REFER TO NOTES TO THE FINANCIAL STATEMENTS
-1-
<PAGE> 3
SARASOTA BANCORPORATION, INC.
SARASOTA, FLORIDA
CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997 AND
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
(UNAUDITED)
<TABLE>
<CAPTION>
THREE MONTHS THREE MONTHS NINE MONTHS NINE MONTHS
ENDED ENDED ENDED ENDED
9/30/98 9/30/97 9/30/98 9/30/97
--------------- --------------- ---------------- ---------------
<S> <C> <C> <C> <C>
INTEREST INCOME:
Interest and Fees on Loans $ 1,249,264 893,463 3,482,073 2,454,956
Interest on Federal Funds Sold 57,988 41,301 172,638 137,245
Interest on Investment Securities 249,591 197,825 664,637 590,174
--------------- --------------- --------------- ---------------
TOTAL INTEREST INCOME: 1,556,843 1,132,589 4,319,348 3,182,375
INTEREST EXPENSE:
Interest on Deposits 719,244 545,279 2,012,448 1,502,350
Interest on Borrowings -- -- -- 139
Interest on Repurchase agreements 32,425 15,024 65,128 48,491
--------------- --------------- --------------- ---------------
TOTAL INTEREST EXPENSE: 751,669 560,303 2,077,576 1,550,980
--------------- --------------- --------------- ---------------
NET INTEREST INCOME: 805,174 572,286 2,241,772 1,631,395
Provision For Possible Loan Losses 35,000 30,000 67,700 150,800
--------------- --------------- --------------- ---------------
NET INTEREST INCOME (LOSS) AFTER
PROVISION FOR POSSIBLE LOAN LOSSES: 770,174 542,286 2,174,072 1,480,595
OTHER OPERATING INCOME:
Service Charges on Deposit Accounts 41,609 32,159 94,419 92,660
Other Fees and Other Income 39,323 22,393 99,560 68,630
--------------- --------------- --------------- ---------------
NET OTHER OPERATING INCOME: 80,932 54,552 193,979 161,290
OPERATING EXPENSES:
Salaries and employee benefits 219,401 166,451 637,104 499,136
Occupancy 93,085 74,305 242,976 224,136
Data processing 34,473 25,585 105,362 65,819
Professional Fees 38,428 19,667 117,118 80,369
Other 132,321 74,230 389,255 224,396
--------------- --------------- --------------- ---------------
TOTAL OTHER OPERATING EXPENSES: 517,708 360,238 1,491,815 1,093,856
--------------- --------------- --------------- ---------------
INCOME BEFORE TAXES 333,398 236,600 876,236 548,029
PROVISION FOR TAXES 127,379 3,000 332,379 9,000
--------------- --------------- --------------- ---------------
NET INCOME (LOSS) $ 206,019 233,600 543,857 539,029
=============== =============== =============== ===============
INCOME (LOSS) PER SHARE 0.38 0.50 1.01 1.14
=============== =============== =============== ===============
536,861 shares 471,500 shares 536,861 shares 471,500 shares
outstanding outstanding outstanding outstanding
</TABLE>
REFER TO NOTES TO THE FINANCIAL STATEMENTS
-2-
<PAGE> 4
SARASOTA BANCORPORATION, INC.
AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
(UNAUDITED)
<TABLE>
<CAPTION>
NINE MONTHS NINE MONTHS
ENDED ENDED
9/30/98 9/30/97
-------------------- --------------------
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITY:
NET INCOME (LOSS) $ 543,857 539,029
ADJUSTMENTS TO RECONCILE NET LOSS TO NET
CASH FLOWS FROM OPERATIONS:
Depreciation 38,734 38,300
Amortization of Organizational Costs -- 26,440
Provision for Loan Losses 67,700 150,800
(Increase) Decrease in Accrued Interest Receivable (135,550) (10,488)
(Increase) Decrease in Repossessions (21,742) --
(Increase) Decrease in Deferred income taxes (35,296) (15,912)
(Increase) Decrease in other assets 172,852 (35,774)
(Decrease) Increase in Repurchase agreements 2,494,964 (298,083)
(Decrease) Increase in Accrued Interest Payable 19,533 22,267
(Decrease) Increase in other liabilities 380,734 65,075
------------------- ------------------
NET CASH USED IN OPERATING ACTIVITIES: 3,525,786 481,654
------------------- ------------------
CASH FLOW FROM INVESTING ACTIVITIES:
Purchase of investment securities, Net (3,615,360) (362,538)
Purchase of furniture & equipment (9,030) (5,202)
Increase in Loans, Net (11,631,488) (6,078,002)
------------------- -------------------
NET CASH USED IN INVESTING ACTIVITIES: (15,255,878) (6,445,742)
------------------- -------------------
CASH FLOW FROM FINANCING ACTIVITIES:
Proceeds from directors stock warrants 879,518 --
Purchase of Treasury stock (6,750) (21,098)
Net Increase in Deposits 8,552,128 5,521,724
------------------- -------------------
NET CASH PROVIDED BY FINANCING ACTIVITIES: 9,424,896 5,500,626
------------------- -------------------
NET INCREASE (DECREASE) IN CASH: (2,305,196) (463,462)
CASH AT BEGINNING OF PERIOD: 5,895,155 6,185,658
------------------- -------------------
CASH AT END OF PERIOD: 3,589,959 5,722,196
=================== ===================
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION -
CASH PAID DURING THE PERIOD FOR INTEREST: $ 2,077,576 1,550,980
=================== ===================
</TABLE>
REFER TO NOTES TO THE FINANCIAL STATEMENTS
-3-
<PAGE> 5
SARASOTA BANCORPORATION, INC.
AND SUBSIDIARY
Notes to Financial Statements (Unaudited)
September 30, 1998
NOTE 1 - BASIS OF PRESENTATION
The accompanying financial statements have been prepared in accordance
with generally accepted accounting principles for Interim Financial Statements
and with the instructions to Form 10-QSB. Accordingly, they do not include all
the information and footnotes required by generally accepted accounting
principles for complete financial statements. In the opinion of management, all
adjustments (consisting of normal recurring accruals) considered necessary for
a fair presentation have been included. Operating results for the nine-month
period ended September 30, 1998 are not necessarily indicative of the results
that may be expected for the year ended December 31, 1998. For further
information, refer to the financial statements and footnotes thereto included
in Form 10-KSB for the year ended December 31, 1997.
NOTE 2 - SUMMARY OF ORGANIZATION
Sarasota BanCorporation, Inc., Sarasota, Florida (the "Company"), was
incorporated under the laws of the State of Florida on December 28, 1990, for
the purpose of becoming a bank holding company with respect to a proposed de
novo bank, Sarasota Bank (the "Bank"), Sarasota, Florida. Prior to formation of
the Company, the Company's organizers formed a partnership to commence
organizing a bank holding company. The partnership was subsequently merged into
the Company as of December 30, 1990. As a result, each organizer's capital
account in the partnership was exchanged for common stock of the Company and
all assets of the partnership were contributed as capital to the Company in
consideration of the issuance of its common stock to the organizers. On
September 15, 1992, the organizers received approval from the Office of the
Comptroller of the State of Florida for the organization of a new state banking
association; an approval was also received on May 29, 1992 from the Federal
Reserve Board to form a one-bank holding company. On September 15, 1992, the
company acquired 100% of the Bank's capital stock by injecting $4.25 million
into the Bank's capital accounts.
NOTE 3 - SIGNIFICANT ACCOUNTING POLICIES
The accounting and reporting policies of the Company conform to
generally accepted accounting principles and to general practices in the
banking industry. The following summarizes the more significant of these
policies:
Investment Securities. As of September 30, 1998, no Investment
Securities are carried as "Held to Maturity."
Available for Sale Securities. As of September 30, 1998, the market
value of "Available for Sale Securities" is $16,833,670.
<PAGE> 6
Organizational Costs. In accordance with FASB Statement No. 7, the
Company and the subsidiary Bank capitalized all direct costs that were incurred
in the expectation that they would general future revenues and otherwise
benefit periods after the subsidiary Bank opened for business. These
capitalized costs, or organizational costs, are amortized over a sixty-month
period using the straight line method. As of September 30, 1998 there are no
unamortized organizational costs.
Profit (Loss) Per Share. Earnings per share were $0.38 for the quarter
ended September 30, 1998, and may not be indicative of projected earnings for
the year ending December 31, 1998.
Income Taxes. The Company will be subject to taxation whenever taxable
income is generated. As of September 30, 1998, the provision for taxes is
$332,379.
Statement of Cash Flows. The presentation of the statement of cash
flows is condensed as permitted by the Securities and Exchange Commission. The
classification of cash flows is consistent with the requirements of FASB
Statement No. 95.
NOTE 4 - RELATED PARTIES
One of the Company's directors serves as legal counsel for the
Company. Gross fees for these services during the nine months ended September
30, 1998, were $2,279. Another director provides advertising, printing and
other miscellaneous services to the Company. The gross billings, which include
costs passed through to other companies providing services to the Company, were
$15,854 for the nine months ended September 30, 1998. Another director provides
accounting services for the Company. There were $1,200 in fees incurred for
this service for the nine months ended September 30, 1998.
<PAGE> 7
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
The following discussion addresses the factors that have
affected Sarasota BanCorporation, Inc.'s (the "Company") financial condition
and results of operations reflected in the Company's unaudited financial
statements for the third quarter ended September 30, 1998.
RESULTS OF OPERATIONS
The Company's net income for the third quarter of 1998 was
$206,019, an 11.8% decrease compared to $233,600 for the same period in 1997.
Earnings per share decreased to $0.38 in the third quarter of 1998 compared to
$0.50 per share for the same period in 1997. Net income for the nine months
ended September 30, 1998 was $543,857 compared to $539,029 for the same period
in 1997, an increase of $4,828 or 0.9%. The decrease in net income for the
third quarter was attributable to an increase in the provision for taxes of
$124,400 compared to the same period in 1997. The increase in net income for
the nine-month period ended September 30, 1998 was primarily attributable to a
41.8% and a 25.8% increase in interest and fees on loans.
Net interest income after provision for loan losses for the
third quarter of 1998 increased $232,900 or 40.7% to $805,174 from a balance of
$572,286 for the third quarter of 1997. Net interest income after provision for
loan losses for the nine months ended September 30, 1998 increased $610,377 or
37.4% to $2,241,772 from a balance of $1,480,595 for the same period in 1997.
The increase in net interest income resulted primarily from an increase in loan
volume and a corresponding increase in interest and fees on loans. The cost of
deposits averaged 4.47% for the third quarter of 1998 compared to 4.32% for the
third quarter of 1997. The net interest margin for the nine-month period ended
September 30, 1998 was 4.38% on average earning assets of $72,237,000. For the
same period in 1997, the net interest margin was 4.17% on average earning
assets of $53,335,765. The increase in net interest margin is reflective of
growth in higher priced consumer loan accounts.
Non-interest expense for the third quarter of 1998 increased
$157,500 or 43.7% as compared to the third quarter of 1997. Non-interest
expense increased $398,000 or 36.4% for the nine-month period ended September
30, 1998 as compared to the same period of 1997. This increase is primarily the
result of increased employee salaries and benefits, data processing fees and
loan servicing fees.
Non-interest income increased $26,400 or 48.4% during the
third quarter ended September 30, 1998 as compared to the same period in 1997.
Non-interest income also increased $32,700 or 20.3% for the nine-month period
ended September 30, 1998 as compared to the same period in 1997. The increase
in non-interest income is attributable to an increased loan referral and small
business association fees for loans.
<PAGE> 8
MANAGEMENT
PAGE 2
FINANCIAL CONDITION
For the nine-month period ended September 30, 1998, the
company experienced continued asset, loan and deposit growth. Total assets
increased 21.5% to $72,821,400 for the nine-month period ended September 30,
1998 from $59,920,530 at December 31, 1997. This increase is primarily
attributable to an increase in loans of approximately $11.5 million and an
increase in securities available for sale of approximately $3.7 million during
the period.
The allowance for loan loss provision for the third quarter
of 1998 was $35,000 compared to $67,700 in the third quarter of 1997. The
reserve balance for loan losses as of September 30, 1998 was $521,600 as
compared to $482,400 at December 31, 1997. At September 30, 1998, the allowance
for loan losses represented 1.00% of total loans outstanding. Management
considers the allowance to be adequate based upon evaluations of specific loans
and the weighting of various loan categories as suggested by the Bank's
internal loan rating system. The provision for loan losses is based upon
management's continuing analysis and evaluation of various factors, including
current economic conditions, the size of the loan portfolio, past loan loss
experience, underlying collateral value, the Bank's internal rating system and
other factors deemed relevant by management.
Through the third quarter of 1998, there were seven
charged-off loans totaling $61,500 and recoveries totaled $33,000 or a net of
0.06 percent of total loans outstanding. The ratio of non-performing loans
(including loans 90 days or more past due) to total outstanding loans was
$999,000 or 1.95% as of September 30, 1998 compared to 0.04% as of the same
period in 1997. At year ended December 31, 1997, non-performing loans were
$11,800 or 0.02% of loans outstanding. The increase in non-performing loans as
compared to year ended December 31, 1997 is primarily attributable to one real
estate loan and several consumer loans past due from 30 to 90 days. There were
three loans, totaling $21,000, past due in excess of 90 days as of September 30,
1998.
CAPITAL ADEQUACY
Federal banking regulators have established certain capital
adequacy standards required to be maintained by banks and bank holding
companies. These regulations establish minimums of risk-based capital of 4%
for core capital (tier 1), 8% for total risk-based capital, and at least 3% for
the leverage ratio. Three percent is the minimum leverage ratio for the most
highly rated banks. All other banks are required to meet a minimum of at least
100 or 200 basis points above the 3% level. The Company's tier 1 risk-based
capital ratio at September 30, 1998 was 11.18%, its total risk-based capital
ratio was 12.15%, and its leverage ratio was 8.26%.
LIQUIDITY
The Company views liquidity as the ability to provide for the
credit needs of the market and to provide funds for deposit withdrawals. With a
loan-to-deposit ratio of 80.90% at September 30, 1998, cash and due from banks
of $2,332,000 and federal funds sold of $1,258,000, the Company does not
anticipate any events which would require liquidity beyond that which is
available through deposit growth or its investment portfolio. The Company
actively manages the levels, types, and maturities of earning assets in
relation to the sources available to fund current and future needs to ensure
adequate funding will be available at all times. There are no known trends or
any known commitments or uncertainties that will result in the Company's
liquidity increasing or decreasing in any material way.
<PAGE> 9
MANAGEMENT
PAGE 3
YEAR 2000
A critical issue affecting companies that rely extensively on
electronic data processing systems, such as the Company, is the Year 2000
issue. The Year 2000 issue has arisen due to the widespread use of computer
programs that rely on two-digit date codes to perform computations or
decision-making functions. Many of these programs may fail as a result of their
inability to properly interpret date codes beginning January 1, 2000. For
example, such programs may misinterpret "00" as the year 1900 rather than 2000.
In addition, some equipment, being controlled by microprocessor chips, may not
deal appropriately with the year "00." This could result in a system failure or
miscalculations causing disruptions of operations, including, among other
things, a temporary inability to process transactions or engage in similar
normal business activities.
The Bank uses a third-party vendor for processing its primary
banking applications. During 1998, the company developed a plan to address the
Year 2000 issue, conduct a comprehensive review of the Company's systems and
ensure that the company takes any necessary measures. The company believes that
its systems and those of the Bank are currently Year 2000 compliant and does
not believe that material expenditures will be necessary to implement any
further modifications. The Bank will complete its testing phase with its data
processing vendor during the second quarter of 1999. All coding changes with
the data processing vendor have been completed and are currently in use. The
Bank does not believe that material expenditures will be necessary to implement
any further modifications with its data processing vendor. As of September 30,
1998, the Company had spent approximately $12,500 to help ensure that its
systems would be Year 2000 compliant. The Company's data processing vendor has
assured the Company that its systems will be Year 2000 compliant well in
advance of the Year 2000. However, there can be no assurance that unforeseen
difficulties or costs will not arise. In addition, there can be no assurance
that the systems of other companies on which the Company's systems rely, such
as the Bank's data processing vendor, will be modified on a timely basis, or
that the failure by another company to properly modify its systems will not
negatively impact the Company's systems or operations.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
The Company may, from time to time, make written or oral
forward-looking statements, including statements contained in the Company's
filings with the Securities and Exchange Commission (the "Commission") and its
reports to stockholders. Such forward-looking statements are made based on
management's belief as well as assumptions made by, and information currently
available to, management pursuant to "safe harbor" provisions of the Private
Securities Litigation Reform Act of 1995. The Company's actual results may
differ materially from the results anticipated in these forward-looking
statements due to a variety of factors, including governmental monetary and
fiscal policies, deposit levels, loan demand, loan collateral values,
securities portfolio values and interest rate risk management; the effects of
competition in the banking business from other commercial banks, savings and
loan associations, mortgage banking firms, consumer finance companies, credit
unions, securities brokerage firms, insurance companies, money market mutual
funds and other financial institutions operating in the Company's market area
and elsewhere, including institutions operating through the Internet; changes
in acquisitions; or failure of assumptions underlying the establishment of
reserves for loan losses, including the value of collateral underlying
delinquent loans and other factors. The Company cautions that such factors are
not exclusive. The Company does not undertake to update any forward-looking
statements that may be made from time to time by, or on behalf of, the Company.
<PAGE> 10
PART II. OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K.
(A) The following exhibit is filed with this report:
<TABLE>
<CAPTION>
Exhibit No. Description
----------- -----------
<S> <C>
27 Financial Data Schedule (for SEC use only)
</TABLE>
<PAGE> 11
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.
SARASOTA BANCORPORATION, INC
<TABLE>
<S> <C>
Dated: November 12, 1998 By: /s/ Christine L. Jennings
---------------------------------------------------
Christine L. Jennings
President (Principal Executive Officer)
By: /s/ Susan K. Flynn
---------------------------------------------------
Susan K. Flynn
Vice President and Chief Financial Officer
(Principal Financial and Accounting Officer)
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 9
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE SARASOTA
BANCORPORATION, INC. UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS FOR THE PERIOD
ENDED SEPTEMBER 30, 1998 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH
FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1
<CURRENCY> U.S. DOLLARS
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-START> JAN-01-1998
<PERIOD-END> SEP-30-1998
<EXCHANGE-RATE> 1
<CASH> 2,331,959
<INT-BEARING-DEPOSITS> 0
<FED-FUNDS-SOLD> 1,258,000
<TRADING-ASSETS> 1,243,852
<INVESTMENTS-HELD-FOR-SALE> 16,833,670
<INVESTMENTS-CARRYING> 0
<INVESTMENTS-MARKET> 0
<LOANS> 51,675,511
<ALLOWANCE> (521,576)
<TOTAL-ASSETS> 72,821,416
<DEPOSITS> 62,928,892
<SHORT-TERM> 0
<LIABILITIES-OTHER> 3,771,411
<LONG-TERM> 0
0
0
<COMMON> 5,591
<OTHER-SE> 6,115,522
<TOTAL-LIABILITIES-AND-EQUITY> 72,821,416
<INTEREST-LOAN> 3,482,073
<INTEREST-INVEST> 664,637
<INTEREST-OTHER> 172,638
<INTEREST-TOTAL> 4,319,348
<INTEREST-DEPOSIT> 2,012,448
<INTEREST-EXPENSE> 2,077,576
<INTEREST-INCOME-NET> 2,241,772
<LOAN-LOSSES> 67,700
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 1,491,815
<INCOME-PRETAX> 876,236
<INCOME-PRE-EXTRAORDINARY> 0
<EXTRAORDINARY> 332,379
<CHANGES> 0
<NET-INCOME> 543,857
<EPS-PRIMARY> 1.01
<EPS-DILUTED> 0
<YIELD-ACTUAL> 8.85
<LOANS-NON> 157,000
<LOANS-PAST> 21,000
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 275,381
<ALLOWANCE-OPEN> 482,398
<CHARGE-OFFS> (61,501)
<RECOVERIES> 32,979
<ALLOWANCE-CLOSE> 521,576
<ALLOWANCE-DOMESTIC> 0
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
