- --------------------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 10-Q
Quarterly Report Pursuant to Section 13 or 15 (d) of
The Securities Exchanges Act of 1934
For the quarter ended Commission File No. 0-22058
June 30, 1997
MERCHANTS NEW YORK BANCORP, INC.
(Exact name of registrant as specified in its charter)
Delaware 13-3650812
(State or other jurisdiction of (I.R.S. employer identification no.)
incorporation or organization)
275 Madison Avenue, New York, N.Y. 10016-0001
(Address or principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (212)973-6600
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 ______
As of June 30, 1997, there were 4,936,385 shares of common stock
outstanding, the Registrant's only class of stock.
- --------------------------------------------------------------------------------
<PAGE>
- --------------------------------------------------------------------------------
Merchants New York Bancorp
Consolidated Balance Sheets
Part I Item 1
June 30, December 31,
1997 1996
-------------- ------------
Assets
Cash and due from banks $ 58,540,952 57,840,059
Federal funds sold 0 26,000,000
Securities available for sale,
at market value 600,398,821 561,600,523
Investment securities 194,745,752 166,908,260
Loans, net of unearned discounts 323,877,784 297,080,725
Less allowance for loan losses 6,332,081 5,616,971
-------------- --------------
Total loans, net 317,545,703 291,463,754
Bank premises and equipment 6,694,164 6,767,568
Customers' liability on acceptances 18,730,166 13,806,691
Intangible asset 628,571 685,714
Other assets 13,163,378 12,726,132
-------------- --------------
Total Assets $1,210,447,507 1,137,798,701
-------------- --------------
Liabilities and Stockholders' Equity
Liabilities
Deposits:
Demand $ 210,985,309 253,695,143
NOW 40,026,007 44,431,219
Savings 24,079,563 24,763,303
Money market 155,899,035 146,168,644
Time 408,170,284 406,635,101
-------------- --------------
Total deposits 839,160,198 875,693,410
Federal funds purchased 39,000,000 0
Securities sold under repurchase agreements 170,000,000 120,000,000
Demand Notes issued to the U.S. Treasury 20,000,000 7,199,039
Acceptances outstanding 18,730,166 13,806,691
Other liabilities 17,239,723 17,563,929
-------------- --------------
Total Liabilities 1,104,130,087 1,034,263,069
Stockholders' Equity
Capital stock $.001 par value per share;
10,000,000 authorized shares;
4,994,666 and 4,987,561 issued &
outstanding in 1997 and 1996,
respectively 4,994 4,988
Surplus 23,906,790 23,749,629
Undivided profits 76,718,968 72,915,689
Less Treasury stock at cost (58,281
and 17,890 shares in 1997 and 1996,
respectively) 1,991,550 552,910
Net unrealized appreciation on
investments available for sale,
net of tax effect 7,678,218 7,418,236
Commitments and contingent liabilities
-------------- --------------
Total Stockholders' Equity 106,317,420 103,535,632
-------------- --------------
Total Liabilities and
Stockholders' Equity $1,210,447,507 1,137,798,701
-------------- --------------
- --------------------------------------------------------------------------------
See accompanying notes to consolidated financial statements.
<PAGE>
- --------------------------------------------------------------------------------
Merchants New York Bancorp
Consolidated Statements of Income
<TABLE>
<CAPTION>
Three Months Ended Six Months Ended
June 30, June 30, June 30, June 30,
1997 1996 1997 1996
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
Interest Income
Interest on loans $ 7,036,144 $ 5,825,766 $13,240,025 $11,444,810
Interest and dividends on investment
securities:
Taxable 12,234,716 10,545,597 24,405,945 20,661,902
Non-taxable 1,087,369 1,085,230 2,175,948 2,183,831
Interest on federal funds 51,316 60,884 160,520 161,327
Interest - other 47,588 2,722 52,405 4,568
----------- ----------- ----------- -----------
Total interest income $20,457,133 $17,520,199 $40,034,843 $34,456,438
----------- ----------- ----------- -----------
Interest Expense
Interest on deposits 7,367,602 6,358,706 14,518,630 12,796,696
Interest on federal funds purchased 135,146 115,014 331,870 227,995
Interest on securities sold under
repurchase agreements 2,282,442 1,429,082 3,692,634 2,420,395
Interest on demand notes to U.S. Treasury 164,323 52,945 273,125 52,945
----------- ----------- ----------- -----------
Total interest expense $ 9,949,513 $ 7,955,747 $18,816,259 $15,498,031
----------- ----------- ----------- -----------
Net Interest Income $10,507,620 $ 9,564,452 $21,218,584 $18,958,407
Provision for possible loan losses 250,000 100,000 500,000 200,000
----------- ----------- ----------- -----------
Net Interest Income after
provision for loan losses $10,257,620 $ 9,464,452 $20,718,584 $18,758,407
----------- ----------- ----------- -----------
Non Interest Income
Service fee and other charges 326,850 336,411 648,926 642,045
International department services 682,546 618,205 1,302,205 1,178,610
Fee income 265,822 266,204 513,698 492,723
Other income 0 16,371 0 66,312
Investment sales - net gains 21,901 0 21,901 364,084
----------- ----------- ----------- -----------
Total non interest income $ 1,297,119 $ 1,237,191 $ 2,486,730 $ 2,743,774
----------- ----------- ----------- -----------
Non Interest Expenses
Salaries and employee benefits 2,939,612 2,857,150 6,302,301 6,222,624
Net occupancy 651,637 645,337 1,305,997 1,258,831
Equipment 198,604 172,211 371,978 329,347
Other expenses 1,798,250 1,436,989 3,265,787 2,864,102
----------- ----------- ----------- -----------
Total non interest expenses $ 5,588,103 $ 5,111,687 $11,246,063 $10,674,904
----------- ----------- ----------- -----------
Income before income taxes $ 5,966,636 $ 5,589,956 $11,959,251 $10,827,277
Provision for income taxes 2,090,848 2,365,772 4,692,380 4,513,498
----------- ----------- ----------- -----------
Net Income $ 3,875,788 $ 3,224,184 $ 7,266,871 $ 6,313,779
----------- ----------- ----------- -----------
Average number of common shares
outstanding 5,013,013 5,030,170 5,012,195 5,033,365
----------- ----------- ----------- -----------
Net income per average share $ 0.77 $ 0.64 $ 1.45 $ 1.25
----------- ----------- ----------- -----------
Dividends per share of common stock $ 0.35 $ 0.30 $ 0.70 $ 0.60
----------- ----------- ----------- -----------
</TABLE>
- --------------------------------------------------------------------------------
See accompanying notes to consolidated financial statements.
<PAGE>
- --------------------------------------------------------------------------------
Merchants New York Bancorp
Consolidated Statements of Changes in Stockholders' Equity
Periods ended June 30, 1997 and 1996
1997 1996
------------- -------------
Capital stock:
Balance at beginning of year $ 4,988 4,982
Shares issued through exercise
of Employee Stock Options:
7,105 shares and 3,048 shares
in 1997 and 1996, respectively 6 2
------------- -------------
Balance at end of period 4,994 4,984
============= =============
Surplus:
Balance at beginning of year 23,749,629 23,626,181
Excess over par value on shares
issued through the exercise
of Employee Stock Option 197,339 60,746
Common stock issued from treasury
stock for Stock Options (40,178) 0
============= =============
Balance at end of period 23,906,790 23,686,927
============= =============
Undivided profits:
Balance at beginning of year 72,915,689 66,719,678
Net income 7,266,871 6,313,779
Cash dividends paid (3,463,592) (2,990,013)
------------- -------------
Balance at end of period 76,718,968 70,043,444
============= =============
Treasury stock:
Balance at beginning of year (552,910) 0
Repurchase of 58,281 shares of
common stock (1,478,818) 0
Common stock issued from treasury
stock for Stock Options 40,178 0
------------- -------------
Balance at end of period (1,991,550) 0
============= =============
Net unrealized appreciation on securities
available for sale, net of tax effect
Balance at beginning of year 7,418,236 9,803,762
Changes during the period, net of tax 259,982 (4,436,601)
------------- -------------
Balance at end of period 7,678,218 5,367,161
============= =============
Stockholders' equity
Balance at beginning of year 103,535,632 100,154,603
Changes during the period, net 2,781,788 (1,052,087)
------------- -------------
Ending balance $ 106,317,420 $ 99,102,516
============= =============
- --------------------------------------------------------------------------------
See accompanying notes to consolidated financial statements.
<PAGE>
- --------------------------------------------------------------------------------
Merchants New York Bancorp
Consolidated Statements of Cash Flows
Six Months ended June 30, 1997 and 1996
<TABLE>
<CAPTION>
1997 1996
------------- -------------
<S> <C> <C>
Cash flows from operating activities:
Net income $ 7,266,871 $ 6,313,779
------------- -------------
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation 486,353 455,735
Amortization of premium, net of discounts 2,776,740 2,352,226
Provision for loan losses 500,000 200,000
Gains on sales (21,901) (364,084)
Discounted rental on leases (26,334) (20,718)
Increase (decrease) in unearned discounts 29,364 (17,557)
Increase in taxes payable 117,382 57,098
Increase in interest receivable (308,446) (356,548)
Increase (decrease) in interest payable 1,605,222 (531,388)
Decrease in accrued expenses (504,825) (608,493)
Increase in other assets (128,800) (1,218,286)
Increase in other liabilities 369,734 421,615
------------- -------------
Net cash provided by operating activities 12,161,360 6,683,379
------------- -------------
Cash flows from investing activities:
Net decrease in federal funds sold 26,000,000 43,000,000
Proceeds from redemptions of securities available for sale 58,565,112 65,996,653
Proceeds from sales of securities available for sale 10,175,000 49,605,756
Purchase of securities available for sale (140,348,023) (102,852,364)
Proceeds from redemptions of investment securities 14,097,480 10,510,326
Purchase of investment securities (13,505,601) (118,755,681)
Net (increase) decrease in customer loans (26,611,313) 4,106,416
Net increase in bank premises and equipment (355,806) (724,642)
------------- -------------
Net cash used by investing activities (71,983,151) (49,113,536)
------------- -------------
Cash flows from financing activities:
Net decrease in demand deposits, NOW, savings
and money market accounts (38,068,395) (16,078,759)
Net increase (decrease) in certificates of deposits 1,535,183 (3,496,158)
Net increase in Federal funds purchased 39,000,000 0
Net increase in securities sold under repurchase agreements 50,000,000 41,935,000
Net increase in demand notes to U.S. Treasury 12,800,961 16,142,684
Proceeds from issuance of common stock 157,167 60,748
Purchases of treasury stock (1,438,640) 0
Dividends paid (3,463,592) (2,990,012)
------------- -------------
Net cash provided by financing activities 60,522,684 35,573,503
------------- -------------
Net increase (decrease) in cash and cash equivalents 700,893 (6,856,654)
Cash and cash equivalents at beginning of the period 57,840,059 50,919,219
============= =============
Cash and cash equivalents at end of the period $ 58,540,952 $ 44,062,565
============= =============
Supplemental disclosure of cash flow information:
Interest paid $ 17,211,037 $ 15,982,169
Taxes paid 4,574,998 4,456,400
</TABLE>
- --------------------------------------------------------------------------------
See accompanying notes to consolidated financial statements.
<PAGE>
MERCHANTS NEW YORK BANCORP
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
1. The consolidated financial statements include the accounts of Merchants New
York Bancorp (Bancorp), its wholly owned subsidiary, The Merchants Bank of New
York (the Bank) and as of April, 1997, the Bank's subsidiary, Merchants Capital
Corp. All material intercompany accounts and transactions have been eliminated
in consolidation. The consolidated financial statements as of and for the
interim periods of June 30, 1997 and 1996 are unaudited. However, in
management's opinion, all adjustments, which consist of normal accruals
necessary for the fair presentation of such periods, have been made. Certain
reclassifications have been made to the 1996 financial statements to conform to
current presentation. The interim financial statements should be read in
conjunction with Bancorp's Annual Report on Form 10-K, for the year ended
December 31, 1996.
2. In March 1997, the Financial Accounting Standards Board (FASB) issued SFAS
No. 128, "Earnings Per Share." This statement specifies the computation,
presentation and disclosure requirements for earnings per share (EPS). The
objectives are to simplify the computation of EPS and to make the United States
EPS standard more compatible with that of other countries. It will be effective
for financial statements issued after 12/15/97. Earlier application is not
permitted, but restatement of prior periods earnings per share data is required.
For the quarter ended June 30, 1997, EPS was $.77 per share, as compared to $.79
per share using SFAS No. 128 calculation. As of March 31, 1997, the EPS was $.68
per share for both, using the calculation as required by SFAS No. 128, compared
to the current method, as proscribed by APB Opinion 15. Management does not
anticipate any material change at the time of implementation.
1
<PAGE>
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
Part I - Item 2
Three months ended June 30, 1997 compared with Three months ended June 30, 1996
Interest on investments increased by $1.7 million to $13.3 million for the
second quarter of 1997, as compared to $11.6 million in 1996. Virtually all of
the increase was contributed by higher volume. The major factors contributing to
the increase were the reinvesting of funds from paydowns on mortgage backed
securities and maturities as well as the Repo funded higher portfolio balances.
The investment portfolio average for the quarter increased $103 million to
$775.9 million in 1997, from $672.9 million in 1996.
Loan interest income increased in the second quarter of 1997 by $1.2 million to
$7 million from $5.8 million for the same period in 1996. $1 million is
attributable to higher loan volume and $200,000 is from higher rates. The prime
rate increased to 8.50% in the second quarter of 1997, from 8.25% for the same
time period in 1996. Average quarterly loan outstandings increased $45.3 million
to $306.3 million in 1997 from $261 million in 1996.
Interest expense on interest bearing deposits increased to $7.4 million for the
second quarter of 1997, with $6.4 million in the same period in 1996. Increases
in deposits caused the upswing in expense of $800,000, with $200,000, due to
higher rates. Average interest bearing deposits increased by $68.2 million to
$637.9 million in 1997, from $569.7 million in 1996.
Interest expense on repurchase agreements increased by almost $900,000 as of the
quarter ending June 30, 1997 to $2.3 million as compared to $1.4 million for the
same period in 1996. $800,000 of the increase is attributable to a greater
volume, with $100,000 from higher rates. There was an increase in average
repurchase agreements to $159.4 million in 1997 from $106.2 million in 1996,
with these funds being used to support the larger investment portfolio. The
increase of $131,000 in interest expense for Federal funds purchased and U. S.
Treasury Demand Notes is attributable to higher borrowings to equalize cash
flows. Average Federal funds purchased and U. S. Treasury Demand Notes increased
by $9.7 million, to $22.2 million from $12.5 million last year.
Noninterest income increased $60,000 from $1.24 million at June 30, 1996 to $1.3
million at June 30, 1997. This was primarily attributable to $64,000 from
International Operations in 1997 versus 1996.
2
<PAGE>
MERCHANTS NEW YORK BANCORP
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS(Continued)
Three months ended June 30, 1997 compared with Three months ended
June 30, 1996(Continued)
Noninterest expense increased to $5.6 million or almost $500,000 more than the
1996 results of $5.1 million. This stemmed principally from a $32,000 increase
in occupancy and equipment costs of moving a lending division to our Madison
Avenue location, an increase of $82,000 in salaries and benefits, a $221,000
increase in professional fees for various services, plus $26,000 in higher FDIC
insurance expense.
Income tax expense decreased by $275,000 for the second quarter 1997 versus
1996, as the result of tax planning, which became effective this quarter.
An addition of $250,000 was made to the provision for loan losses for the second
quarter of 1997, versus $100,000 in 1996.
Quarter ending
---------------
ALLOWANCE FOR LOAN LOSSES 6/30/97 6/30/96
- ------------------------------------------------------------------
(In thousands)
Balance at beginning of quarter ..... $ 6,000 6,649
Provision for loan losses............ 250 100
Charge offs.......................... 0 (923)
Recoveries
Commercial......................... 82 656
Installment........................ 0 1
--------------------------
Total................................ $ 6,332 6,483
==========================
Our loan loss provision is based on maintaining a loan loss reserve to cover all
non-accrual and higher risk loans. At June 30, 1997, our level of reserves
follows industry standards, as demonstrated in other commercial banks, with the
provision rising and falling to reflect the status of our loan portfolio risk.
The Bank's allowances for loan losses at June 30, 1997 was 2.07% of average
loans, with 2.48% at June 30, 1996. In addition to non-accrual loans, we
consider loans classified by management as having higher than normal credit risk
but where a loss is not currently anticipated.
3
<PAGE>
MERCHANTS NEW YORK BANCORP
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS(Continued)
Six months ended June 30, 1997 compared with six months ended June 30, 1996
Interest on investments increased by $3.7 million to $26.6 million for the
period ending June 30, 1997, as compared to $22.9 million in the same period in
1996. Substantially all of the increase was contributed by higher volume. The
rise is the result of an expanded program to generate greater profitability from
investments. The investment portfolio average increased $106.6 million to $761.8
million in 1997, from $655.2 million in 1996.
Loan interest income increased by $1.8 million to $13.2 million from $11.4
million, with substantially all of the change due to increased volume. The prime
rate increased slightly to 8.38% in 1997, from an average of 8.30% in 1996.
Average loan outstandings increased to $292.5 million in 1997 from $254.7
million in 1996.
Interest expense on interest bearing deposits increased by $1.7 million, to
$14.5 million as compared to $12.8 million, for the first half of 1997 versus
1996. $1.6 million of the expense is attributable to increased volume of
deposits, centered primarily on certificates of deposit. Average interest
bearing deposits increased by almost $70 million to $635.3 million in 1997, from
$565.6 million in 1996.
Interest expense on repurchase agreements increased as of June 30, 1997 to $3.7
million as compared to $2.4 million for the same period in 1996. Virtually all
of the increase is attributable to volume. There was an increase in average
repurchase agreements to $132 million in 1997 from $89 million in 1996, to fund
higher investments and loans. Other interest expense (which includes U. S.
Treasury Demand Notes and Federal funds purchased) increased by $324,000 in 1997
to $605,000 versus $281,000 in 1996, as the U. S. Treasury made more funds
available through the tax withholding program.
4
<PAGE>
MERCHANTS NEW YORK BANCORP
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS(Continued)
Six months ended June 30, 1997 compared with six months ended
June 30, 1996 (continued)
Noninterest income was $2.5 million versus $2.7 million in 1996, as a result of
$342,000 less in gains on sales of securities, which were sold in 1996, so as to
reinvest the funds at higher interest rates.
Noninterest expense was increased by approximately $570,000 to $11.2 million
from $10.6 million for 1997 and 1996, respectively. This partially originated
from $230,000 in professional fees, $105,000 in higher pension contributions,
$50,000 in greater FDIC premiums and $55,000 in increased occupancy cost.
Income taxes increased by $179,000 to $4.7 million due to increased
profitability.
Loan Losses and Non-Performing Assets
Loans are generally placed on non-accrual status when principal or interest
becomes 90 days or more past due. Those loans past due 90 days or more and that
are still accruing are either well secured or are in the process of collection.
Loans remain on non-accrual status until principal and interest payments are
current or are charged off.
The following table sets forth certain information with respect to the loan loss
experience for the year to date June 30, 1997 and 1996.
Year To Date
------------
ALLOWANCE FOR LOAN LOSSES 6/30/97 6/30/96
- -------------------------------------------------------------------
(In thousands)
Balance at beginning of period ..... $ 5,617 6,484
Provision for loan losses........... 500 200
Charge offs......................... 0 (923)
Recoveries
Commercial........................ 211 721
Installment....................... 4 1
--------------------------
Total............................... $ 6,332 6,483
==========================
5
<PAGE>
MERCHANTS NEW YORK BANCORP
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS(Continued)
Six months ended June 30, 1997 compared with six months ended
June 30, 1996 (continued)
The following table sets forth the aggregate amount of domestic non-accrual and
past due loans which are 90 days or more past due as to principal or interest
payments on the date indicated.
As of
-----
NON-ACCRUAL & PAST DUE LOANS 6/30/97 6/30/96
- ---------------------------------------------------------------------
(In thousands)
Non-accrual loans.................. $ 1,307 3,155
Loans past due more than 90 days
& still accruing............... 2,655 1,700
Restructured loans................. 0 0
--------------------------
Total...................... $ 3,962 4,855
==========================
Non-accrual loans as a % of reserve 20.6% 48.7%
Non-accrual loans as a % of total
avg loans...................... .4 1.2
Interest income that would have
been earned on nonaccrual loans $ 54 64
Interest income that would have been earned on nonaccrual (impaired) loans is
considered insignificant.
Liquidity
Liquidity measures the Bank's ability to satisfy current and future obligations
and commitments as they become due. Maintaining an adequate liquidity level
through proper asset liability management insures that these needs will be met
at a reasonable cost. Funds to meet liquidity needs are raised through the
liquidation or maturity of an asset or through increased deposits or borrowing.
At June 30, 1997, average cash and short term investments totaled $58.5 million
and accounted for 4.9% of the Bank's total average assets, as compared with
$51.1 million or 5.1% as of June 30, 1996. Scheduled loan payments and payments
of principal and interest from the investment portfolio provide additional
liquidity. Sales of securities as of June 30, 1997, were $10.2 million, with
$49.6 million for the same period in 1996. $74.8 million was received for the
first and second quarters of 1997 from maturities and principal paydowns, net of
amortization, with $76.5 million recorded during the same period in 1996. In
1997, purchases of investments were $153.8 million, with $221.6 million in 1996.
6
<PAGE>
MERCHANTS NEW YORK BANCORP
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS(Continued)
On the liability side, the primary source of funds available to meet liquidity
needs is the Bank's core deposit base. The average balance of deposits was
$863.3 million for the six months ended June 30, 1997, with $773.2 million for
the same period last year. The Bank continues to retain a substantial proportion
of its average total deposits in the form of non-interest bearing funds, which
were 26% and 27% of total deposits in 1997 and 1996, respectively.
Bancorp's cash needs consist primarily of dividends, which were $1,736,079 and
$1,727,513 in the second and first quarters of 1997, respectively. For the same
periods in 1996, $1,495,315 and $1,494,697 were paid.
Capital
The primary source of capital growth is through retention of earnings. Undivided
profits increased to $76.7 million at 6/30/97 as compared to $70 million for the
prior year. The Bank's Board of Directors declared and paid a dividend of $.35
per share for the first and second quarters of 1997, which was an increase of
almost 17% above the $.30 dividend for the first and second quarters of 1996.
The capital base of a bank is a significant measure of the strength of a
financial institution. The Bank has seen a steady capital growth over the past
several years, with our risk based ratios, as shown below, in excess of the
required "Well Capitalized" level of 8%. The Bank was also in excess of the
required leverage ratio of 4%, with 8.38% for the second quarter of 1997, and
9.21% for the same period in 1996.
There was an overall increase of $7.2 million in capital from June 30, 1996 to
June 30, 1997. Increases of $2.3 million are attributable to the change in
market value of the available for sale securities (net of tax effect), with
increases of $6.7 million generated by retained earnings after dividends were
paid, which were offset with a decrease of almost $2 million due to Treasury
stock purchases.
7
<PAGE>
MERCHANTS NEW YORK BANCORP
Required 6/30/97 6/30/96
---------------------------------
Tier I Capital Ratio.......... 4.00% 19.25% 21.73%
Total Capital Ratio........... 8.00 20.50 22.98
Leverage Ratio................ 4.00 8.38 9.21
PART II
Item 4 - Submission of Matters to a Vote of Security Holders
The Annual Meeting of Stockholders of Bancorp, was held on April 30, 1997 at
12:00 noon for the following purposes:
1. To elect twelve directors to serve until the next Annual Meeting of
Stockholders and/or until their successors are elected and qualified. All served
the prior year.
Charles J. Baum
William J. Cardew
Rudolf H. Hertz
Isidore Karten
James G. Lawrence
Robinson Markel
Paul Meyrowitz
Alan Mirken
Mitchell J. Nelson
Leonard Schlussel
Charles I. Silberman
Spencer B. Witty
2. To transact such other business as may properly come before the Meeting or
any adjournments thereof.
Item 6 - Exhibits and Reports on Form 8 - K
(a) Exhibits: Exhibit 27 - Financial Data Schedule
(b) Reports on Form 8 - K: None
8
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
MERCHANTS NEW YORK BANCORP, INC.
Registrant
Date: August 12, 1997 /s/ James G. Lawrence
-------------------------------
James G. Lawrence
President & Chief Executive Officer
Date: August 12, 1997 /s/ Nancy J. Ostermann
-------------------------------
Nancy J. Ostermann
Vice President and Comptroller
9
<TABLE> <S> <C>
<ARTICLE> 9
<LEGEND>
This schedule is a compilation of information appearing in the financial
statements that are included in the Quarterly Report on Form 10-Q. Merchants New
York Bancorp for the quarter ended June 30, 1997. It is qualified in its
entirety by reference to those financial statements.
</LEGEND>
<S> <C> <C>
<PERIOD-TYPE> 6-MOS 12-MOS
<FISCAL-YEAR-END> DEC-31-1997 DEC-31-1996
<PERIOD-END> JUN-30-1997 DEC-31-1996
<CASH> 58,061,794 57,488,091
<INT-BEARING-DEPOSITS> 479,158 351,968
<FED-FUNDS-SOLD> 0 26,000,000
<TRADING-ASSETS> 0 0
<INVESTMENTS-HELD-FOR-SALE> 600,398,821 561,600,523
<INVESTMENTS-CARRYING> 194,745,752 166,908,260
<INVESTMENTS-MARKET> 197,137,074 169,340,000
<LOANS> 323,877,784 297,080,725
<ALLOWANCE> 6,332,081 5,616,971
<TOTAL-ASSETS> 1,210,447,507 1,137,798,701
<DEPOSITS> 839,160,198 875,693,410
<SHORT-TERM> 229,000,000 127,199,039
<LIABILITIES-OTHER> 35,969,889 31,370,620
<LONG-TERM> 0 0
0 0
0 0
<COMMON> 4,994 4,988
<OTHER-SE> 106,312,426 103,530,644
<TOTAL-LIABILITIES-AND-EQUITY> 1,210,447,507 1,137,798,701
<INTEREST-LOAN> 13,240,025 25,300,755
<INTEREST-INVEST> 26,581,893 47,473,933
<INTEREST-OTHER> 204,256 320,297
<INTEREST-TOTAL> 40,026,174 73,094,985
<INTEREST-DEPOSIT> 14,518,630 26,438,521
<INTEREST-EXPENSE> 18,816,259 33,455,196
<INTEREST-INCOME-NET> 21,209,915 39,639,789
<LOAN-LOSSES> 500,000 2,580,000
<SECURITIES-GAINS> 21,901 372,396
<EXPENSE-OTHER> 11,246,063 22,264,647
<INCOME-PRETAX> 11,959,251 20,081,295
<INCOME-PRE-EXTRAORDINARY> 0 0
<EXTRAORDINARY> 0 0
<CHANGES> 0 0
<NET-INCOME> 7,266,871 12,670,771
<EPS-PRIMARY> 1.45 2.52
<EPS-DILUTED> 1.45 2.52
<YIELD-ACTUAL> 4.25 4.41
<LOANS-NON> 1,307,000 1,109,000
<LOANS-PAST> 2,655,000 687,000
<LOANS-TROUBLED> 0 0
<LOANS-PROBLEM> 0 0
<ALLOWANCE-OPEN> 5,617,000 6,484,000
<CHARGE-OFFS> 0 4,405,000
<RECOVERIES> 215,111 958,000
<ALLOWANCE-CLOSE> 6,332,081 5,617,000
<ALLOWANCE-DOMESTIC> 674,000 579,000
<ALLOWANCE-FOREIGN> 0 0
<ALLOWANCE-UNALLOCATED> 5,658,081 5,038,000
</TABLE>
