<PAGE>
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
March 31, 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
incorporation or organization) identification no.)
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 March 31, 1997, there were 4,942,726 shares of common stock
outstanding, the Registrant's only class of stock.
<PAGE>
Merchants New York Bancorp
Consolidated Balance Sheets
Part I Item 1
<TABLE>
<CAPTION>
MARCH 31, DECEMBER 31,
1997 1996
---------------- ---------------
<S> <C> <C>
Assets
Cash and due from banks....................................................... $ 45,774,582 57,840,059
Federal funds sold............................................................ 10,000,000 26,000,000
Securities available for sale, at market value................................ 624,083,845 561,600,523
Investment securities......................................................... 160,698,901 166,908,260
Loans, net of unearned discounts.............................................. 286,003,345 297,080,725
Less allowance for loan losses............................................... 6,000,033 5,616,971
---------------- ---------------
Net loans................................................................... 280,003,312 291,463,754
Bank premises and equipment................................................... 6,740,488 6,767,568
Customers' liability on acceptances........................................... 13,691,464 13,806,691
Intangible asset.............................................................. 657,143 685,714
Other assets.................................................................. 13,188,581 12,726,132
---------------- ---------------
Total Assets................................................................ $ 1,154,838,316 1,137,798,701
---------------- ---------------
Liabilities and Stockholders' Equity
Liabilities
Deposits:
Demand....................................................................... $ 213,662,054 253,695,143
NOW.......................................................................... 42,000,687 44,431,219
Savings...................................................................... 24,366,005 24,763,303
Money market................................................................. 150,691,805 146,168,644
Time......................................................................... 424,437,558 406,635,101
Total deposits.............................................................. 855,158,109 875,693,410
Securities sold under agreements to repurchase................................ 155,000,000 120,000,000
Demand Notes to U.S. Treasury................................................. 12,527,809 7,199,039
Acceptances outstanding....................................................... 13,691,464 13,806,691
Other liabilities............................................................. 16,913,327 17,563,929
---------------- ---------------
Total Liabilities........................................................... 1,053,290,709 1,034,263,069
---------------- ---------------
Stockholders' Equity
Capital stock $.001 par value per share; 10,000,000 authorized shares;
4,994,341 and 4,987,561 issued & outstanding in 1997 and 1996,
respectively................................................................ 4,994 4,988
Surplus....................................................................... 23,887,528 23,749,629
Undivided profits............................................................. 74,570,693 72,915,689
Less treasury stock at cost (51,615 and 17,890 shares in 1997 and 1996,
respectively)............................................................... 1,701,185 552,910
Net unrealized appreciation on investments available for sale, net of tax
effect...................................................................... 4,785,577 7,418,236
---------------- ---------------
Total Stockholders' Equity.................................................. 101,547,607 103,535,632
---------------- ---------------
Total Liabilities and Stockholders' Equity.................................. $ 1,154,838,316 1,137,798,701
---------------- ---------------
</TABLE>
<PAGE>
Merchants New York Bancorp
Consolidated Statements of Income
<TABLE>
<CAPTION>
THREE MONTHS ENDED
----------------------------
<S> <C> <C>
MARCH 31, MARCH 31,
1997 1996
------------- -------------
Interest Income
Interest on loans................................................... $ 6,204,420 $ 5,619,044
Interest and dividends on investment securities:
Taxable......................................................... 12,175,507 10,118,151
Non-taxable..................................................... 1,088,579 1,098,601
Interest on federal funds........................................... 109,204 100,444
------------- -------------
Total interest income........................................... $ 19,577,710 $ 16,936,240
------------- -------------
Interest Expense
Interest on deposits................................................ 7,151,029 6,437,992
Interest on federal funds purchased................................. 196,724 112,981
Interest on securities sold under repurchase agreements............. 1,410,192 991,313
Interest on demand notes to U.S. Treasury........................... 108,801 0
------------- -------------
Total interest expense.......................................... $ 8,866,746 $ 7,542,286
------------- -------------
Net Interest Incom.............................................. $ 10,710,964 $ 9,393,954
Provision for possible loan losses................................... 250,000 100,000
------------- -------------
Net interest income after provision for loan losses............. $ 10,460,964 $ 9,293,954
------------- -------------
Non Interest Income
Service fee and other charges....................................... 322,076 305,635
International department services................................... 619,659 560,405
Fee income.......................................................... 247,877 226,519
Other income........................................................ 0 49,940
Investment sales--net gains......................................... 0 364,083
------------- -------------
Total non interest income....................................... $ 1,189,612 $ 1,506,582
------------- -------------
Non Interest Expenses
Salaries and employee benefits...................................... 3,362,632 3,365,474
Net occupancy....................................................... 654,360 613,493
Equipment........................................................... 173,373 157,137
Other expenses...................................................... 1,467,596 1,427,111
------------- -------------
Total non interest expenses..................................... $ 5,657,961 $ 5,563,215
------------- -------------
Income before income taxes........................................... $ 5,992,615 $ 5,237,321
Provision for income taxes........................................... 2,601,532 2,147,726
------------- -------------
Net Income...................................................... $ 3,391,083 $ 3,089,595
------------- -------------
Average number of common shares outstanding.......................... 5,011,454 5,038,253
------------- -------------
Net income per average share......................................... $ 0.68 $ 0.61
------------- -------------
Dividends per share of common stock.................................. $ 0.35 $ 0.30
------------- -------------
</TABLE>
See accompanying notes to consolidated financial statements.
<PAGE>
Merchants New York Bancorp
Consolidated Statements of Changes in Stockholders' Equity
Periods ended March 31, 1997 and 1996
<TABLE>
<CAPTION>
1997 1996
-------------- -------------
<S> <C> <C>
Capital stock:
Balance at beginning of year................................ $ 4,988 4,982
Shares issued through exercise of Employee Stock Options:
6,780 shares and 1,185 shares in 1997 and 1996,
respectively.............................................. 6 1
-------------- -------------
Balance at end of period.................................... 4,994 4,983
-------------- -------------
-------------- -------------
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..................................... 137,899 23,452
-------------- -------------
Balance at end of period.................................... 23,887,528 23,649,633
-------------- -------------
-------------- -------------
Undivided profits:
Balance at beginning of year................................ 72,915,689 66,719,678
Net income.................................................. 3,391,083 3,089,595
Cash dividends paid......................................... (1,736,079) (1,494,697)
-------------- -------------
Balance at end of period.................................... 74,570,693 68,314,576
-------------- -------------
-------------- -------------
Treasury stock:
Balance at beginning of year................................ (552,910) 0
Repurchase of 33,725 shares of common stock................. (1,148,275) 0
-------------- -------------
Balance at end of period.................................... (1,701,185) 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....................... (2,632,659) (2,331,383)
-------------- -------------
Balance at end of period.................................... 4,785,577 7,472,379
-------------- -------------
-------------- -------------
Stockholders' equity
Balance at beginning of year................................ 103,535,632 100,154,603
Changes during the period, net.............................. (1,988,025) (713,032)
-------------- -------------
Ending balance.............................................. $ 101,547,607 $ 99,441,571
-------------- -------------
-------------- -------------
See accompanying notes to consolidated financial statements.
</TABLE>
<PAGE>
Merchants New York Bancorp
Consolidated Statements of Cash Flows
Three Months ended March 31, 1997 and 1996
<TABLE>
<CAPTION>
1997 1996
-------------- --------------
<S> <C> <C>
Cash flows from operating activities:
Net income......................................................................... $ 3,391,083 $ 3,089,595
--------------- --------------
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation..................................................................... 238,856 223,094
Amortization of premium, net of discounts........................................ 1,128,108 1,189,649
Provision for loan losses........................................................ 250,000 100,000
Gains on sales................................................................... 0 (364,084)
Discounted rental on leases...................................................... (13,167) (10,359)
Increase (decrease) in unearned discounts........................................ 691 (15,302)
Increase in taxes payable........................................................ 1,444,854 747,038
Increase in interest receivable.................................................. (846,449) (233,925)
Increase (decrease) in interest payable.......................................... 644,602 (847,025)
Decrease in accrued expenses..................................................... (684,435) (559,534)
Increase (decrease) in other assets.............................................. 384,002 (114,088)
Increase in other liabilities.................................................... 200,178 185,785
-------------- -------------
Net cash provided by operating activities...................................... 6,138,323 3,390,844
-------------- -------------
Cash flows from investing activities:
Net decrease in federal funds sold................................................ 16,000,000 52,000,000
Proceeds from redemptions of securities available for sale........................ 27,217,537 30,680,345
Proceeds from sales of securities available for sale.............................. 0 49,605,756
Purchase of securities available for sale......................................... (95,362,414) (22,403,942)
Proceeds from redemptions of investment securities................................ 5,867,512 232,436
Purchase of investment securities................................................. 0 (108,503,438)
Net decrease in customer loans.................................................... 11,209,752 20,633,723
Net increase in bank premises and equipment....................................... (183,206) (434,787)
-------------- ------------
Net cash (used in) provided by investing activities............................. (35,250,819) 21,810,093
-------------- --------------
Cash flows from financing activities:
Net decrease in demand deposits, NOW, savings and money market accounts........... (38,337,759) (18,454,463)
Net increase (decrease) in certificates of deposits............................... 17,802,457 (5,414,923)
Net increase in Federal funds purchased........................................... 0 22,000,000
Net increase (decrease) in securities sold under repurchase agreements............ 35,000,000 (27,345,000)
Net increase in demand notes to U.S. Treasury..................................... 5,328,770 0
Proceeds from issuance of common stock............................................ 137,905 23,454
Purchases of treasury stock....................................................... (1,148,275) 0
Dividends paid.................................................................... (1,736,079) (1,494,697)
-------------- --------------
Net cash provided by (used in) financing activities............................. 17,047,019 (30,685,629)
-------------- --------------
Net decrease in cash and cash equivalents........................................... (12,065,477) (5,484,692)
Cash and cash equivalents at beginning of the period................................ 57,840,059 50,919,219
-------------- --------------
Cash and cash equivalents at end of the period...................................... $ 45,774,582 $ 45,434,527
-------------- --------------
-------------- --------------
Supplemental disclosure of cash flow information:
Interest paid..................................................................... $ 8,222,144 $ 8,370,486
Taxes paid........................................................................ 1,156,678 1,400,688
</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) and its wholly owned subsidiary, The Merchants Bank
of New York (the Bank). All material intercompany accounts and transactions have
been eliminated in consolidation. The consolidated financial statements as of
and for the interim periods of March 31, 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 earnings per share and to make the
U.S. 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 March 31, 1997, there would have been no change
in the Earnings Per Share of $.68, 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.
<PAGE>
MERCHANTS NEW YORK BANCORP
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
Part I--Item 2
Three months ended March 31, 1997 compared with Three months ended March 31,
1996
Interest on investments increased by $2.1 million to $13.3 million for the
first quarter of 1997, as compared to $11.2 million in 1996. $2 million was
contributed by higher volume, with $66,000 in increases due to interest rates.
The major factors contributing to the increase were the reinvesting of funds
from paydowns on mortgage backed securities and maturities at higher rates as
well the higher portfolio balances. The investment portfolio average for the
quarter increased $110.4 million to $747.9 million in 1997, from $637.5 million
in 1996.
Loan interest income increased in the first quarter of 1997 by $585,000 to
$6.2 million from $5.6 million for the same period in 1996. $694,000 is
attributable to higher loan volume, offset by lower rates of $109,000. The lower
rates reflect a prime rate decrease to 8.27% in the first quarter of 1997, from
an average of 8.35% for the same time period in 1996. Average quarterly loan
outstandings increased $30.3 million to $278.6 million in 1997 from $248.3
million in 1996.
Interest expense on interest bearing deposits increased to $7.1 million for
the first quarter of 1997, with $6.4 million in the same period in 1996.
Increases in deposits caused the upswing in expense of $806,000, counteracted by
a decrease of $93,000, due to lower rates. Average interest bearing deposits
increased by $71 million to $632.5 million in 1997, from $561.5 million in 1996.
Interest expense on repurchase agreements increased by over $400,000 as
of the quarter ending March 31, 1997 to $1.4 million as compared to $991,000
for the same period in 1996. $439,000 of the increase is attributable to a
greater volume, which was offset by $20,000 in rate reductions. There was an
increase in average repurchase agreements to $104.3 million in 1997 from
$71.9 million in 1996, with these funds being used to support the larger
investment portfolio. The increase of $193,000 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 $15 million, to $23.2 million from
$8.2 million last year.
Noninterest income decreased over $300,000 from $1.5 million at March 31,
1996 to $1.2 million at March 31, 1997. This was primarily attributable to
$364,000 less in gains on investment securities in 1997 versus 1996, which was
offset by $97,000 in additional International Department fees and fee income,
caused by higher volume.
<PAGE>
MERCHANTS NEW YORK BANCORP
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS (Continued)
Three months ended March 31, 1997 compared with Three months ended March 31,
1996 (Continued)
Noninterest expense increased to $5.7 million or $95,000 more than the 1996
results of $5.6 million. This stemmed principally from increases in occupancy
and equipment costs of our Madison Avenue branch and head office of $57,000, a
net increase of $14,000 in salaries and benefits, plus $24,000 in FDIC insurance
expense.
An addition of $250,000 was made to the provision for loan losses for the
first quarter of 1997, versus $100,000 in 1996.
<TABLE>
<CAPTION>
QUARTER ENDING
------------------------
ALLOWANCE FOR LOAN LOSSES 3/31/97 3/31/96
- --------------------------------------------------------------------------- ----------- -----------
<S> <C> <C>
(IN THOUSANDS)
Balance at beginning of quarter............................................ $5,617 6,484
Provision for loan losses.................................................. 250 100
Charge offs................................................................ 0 0
Recoveries
Commercial................................................................ 129 64
Installment............................................................... 4 1
--------- -------
Total...................................................................... $ 6,000 6,649
--------- -------
--------- -------
</TABLE>
Our loan loss provision is based on maintaining a loan loss reserve to cover
all non-accrual and higher risk loans. At March 31, 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 March 31, 1997 was 2.15% of average
loans, with 2.68% at March 31, 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.
<PAGE>
MERCHANTS NEW YORK BANCORP
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS (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.
<TABLE>
<CAPTION>
AS OF
NON-ACCRUAL & PAST DUE LOANS 3/31/97 3/31/96
- ---------------------------------------------------------------------------- --------- -----------
<S> <C> <C>
(IN THOUSANDS)
Non-accrual loans........................................................... $ 1,000 2,884
Loans past due more than 90 days & still accruing........................... 1,215 345
Restructured loans.......................................................... 0 0
--------- -------
Total...................................................................... $ 2,215 3,229
--------- -------
--------- -------
Non-accrual loans as a % of reserve......................................... 16.7% 43.4%
Non-accrual loans as a % of total avg loans................................. .4 1.2
Interest income that would have been earned on nonaccrual loans............. $ 25 61
</TABLE>
Interest income that was 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 March 31, 1997, average cash and short term investments totaled
$58.8 million and accounted for 5.2% of the Bank's total average assets, as
compared with $52.6 million or 5.4% as of March 31, 1996. Scheduled loan
payments and payments of principal and interest from the investment portfolio
provide additional liquidity. There were no sales of securities as of March 31,
1997, with $49.6 million for the same period in 1996. $31.9 million was received
for the first quarter of 1997 from maturities and principal paydowns, net of
amortization, with $30.9 million recorded during the same period in 1996. In
1997, purchases of investments were $95.4 million, with $130.9 million in 1996.
<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 $864.1 million as of March 31, 1997, with $769.9 million for March 31, 1996.
The Bank continues to retain a substantial proportion of its average total
deposits in the form of non-interest bearing funds, which were 26.8% and 27% of
total deposits in 1997 and 1996, respectively.
Bancorp's cash needs consist primarily of dividends, which were $1,736,079
in the first quarter of 1997, and $1,494,697 for the same period in 1996.
CAPITAL
The primary source of capital growth is through retention of earnings.
Undivided profits increased to $74.6 million at 3/31/97 as compared to $68.3
million for the prior year. The Bank's Board of Directors declared and paid a
dividend of $.35 for the first quarter of 1997, which was an increase of almost
17% above the $.30 dividend for the first quarter 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 8.62% for the first quarter of 1997, with
9.48% for the same period in 1996.
There was an overall decrease of $2 million in capital from March 31, 1996
to March 31, 1997. Of this change, reductions of $2.6 million from the change in
market value of the available for sale securities (net of tax effect) and $1.1
million due to Treasury stock purchases, which were offset with increases of
$1.7 million generated by retained earnings after dividends were paid.
<PAGE>
MERCHANTS NEW YORK BANCORP
<TABLE>
<CAPTION>
REQUIRED 3/31/97 3/31/96
----------- ----------- -----------
<S> <C> <C> <C>
Tier I Capital Ratio................................................................. 4.00% 20.66% 23.51%
Total Capital Ratio.................................................................. 8.00 21.91 24.76
Leverage Ratio....................................................................... 4.00 8.62 9.48
</TABLE>
PART II
ITEM 6--EXHIBITS AND REPORTS ON FORM 8--K
(a) Exhibits: Exhibit 27--Financial Data Schedule
(b) Reports on Form 8--K: None
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: MAY 12, 1997 ----------------------------------------
JAMES G. LAWRENCE
PRESIDENT & CHIEF EXECUTIVE OFFICER
DATE: MAY 12, 1997 ----------------------------------------
NANCY J. OSTERMANN
VICE PRESIDENT AND COMPTROLLER
<TABLE> <S> <C>
<PAGE>
<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 March 31, 1997. It is qualified in its
entirety by reference to those financial statements.
</LEGEND>
<S> <C> <C>
<PERIOD-TYPE> 3-MOS 12-MOS
<FISCAL-YEAR-END> DEC-31-1997 DEC-31-1996
<PERIOD-END> MAR-31-1997 DEC-31-1996
<CASH> 45,304,926 57,488,091
<INT-BEARING-DEPOSITS> 469,656 351,968
<FED-FUNDS-SOLD> 10,000,000 26,000,000
<TRADING-ASSETS> 0 0
<INVESTMENTS-HELD-FOR-SALE> 624,083,845 561,600,523
<INVESTMENTS-CARRYING> 160,698,901 166,908,260
<INVESTMENTS-MARKET> 161,861,457 169,340,000
<LOANS> 280,003,312 297,080,725
<ALLOWANCE> 6,000,033 5,616,971
<TOTAL-ASSETS> 1,154,838,316 1,137,798,701
<DEPOSITS> 855,158,109 875,693,410
<SHORT-TERM> 167,527,809 127,199,039
<LIABILITIES-OTHER> 30,604,791 31,370,620
<LONG-TERM> 0 0
0 0
0 0
<COMMON> 4,994 4,988
<OTHER-SE> 101,542,613 103,530,644
<TOTAL-LIABILITIES-AND-EQUITY> 1,154,838,316 1,137,798,701
<INTEREST-LOAN> 6,204,420 25,300,755
<INTEREST-INVEST> 13,264,086 47,473,933
<INTEREST-OTHER> 109,204 320,297
<INTEREST-TOTAL> 19,577,710 73,094,985
<INTEREST-DEPOSIT> 7,151,029 26,438,521
<INTEREST-EXPENSE> 8,866,746 33,455,196
<INTEREST-INCOME-NET> 10,710,964 39,639,789
<LOAN-LOSSES> 250,000 2,580,000
<SECURITIES-GAINS> 0 372,396
<EXPENSE-OTHER> 5,657,961 22,264,647
<INCOME-PRETAX> 5,992,615 20,081,295
<INCOME-PRE-EXTRAORDINARY> 0 0
<EXTRAORDINARY> 0 0
<CHANGES> 0 0
<NET-INCOME> 3,391,083 12,670,771
<EPS-PRIMARY> 0.68 2.52
<EPS-DILUTED> 0.68 2.52
<YIELD-ACTUAL> 4.41 4.41
<LOANS-NON> 1,000 1,109,000
<LOANS-PAST> 1,215 687,000
<LOANS-TROUBLED> 0 0
<LOANS-PROBLEM> 0 0
<ALLOWANCE-OPEN> 5,617,000 6,484,000
<CHARGE-OFFS> 0 4,405,000
<RECOVERIES> 133,000 958,000
<ALLOWANCE-CLOSE> 6,000,000 5,617,000
<ALLOWANCE-DOMESTIC> 520,000 579,000
<ALLOWANCE-FOREIGN> 0 0
<ALLOWANCE-UNALLOCATED> 5,480,000 5,038,000
</TABLE>
