SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
x QUARTERLY REPORT PURSUANT TO
SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 1997
OR
TRANSITION REPORT PURSUANT TO
SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For transition period from ________ to ________
Commission File Number 0-20878
MNB BANCSHARES, INC.
(Exact name of Registrant as specified in its charter)
Delaware 48-1120026
(State or other jurisdiction (I.R.S.Employer Identification Number)
of incorporation or organization)
800 Poyntz Avenue, Manhattan, Kansas 66502
(Address of principal executive offices) (Zip Code)
(913) 565-2000
(Registrant's telephone number, including area code)
Indicate by check mark whether the Registrant (x) 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 __
Indicate the number of shares outstanding of each of the
Registrant's classes of common stock as of the latest practicable date: As
of May 6, 1997, the Registrant had outstanding 608,839 shares of its
common stock, $.01 par value per share.
MNB BANCSHARES, INC.
Form 10-Q Quarterly Report
Table of Contents
PART I
Page Number
Item 1. Financial Statements and Related Notes 1 - 4
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations 5 - 8
PART II
Item 1. Legal Proceedings 9
Item 2. Changes in Securities 9
Item 3. Defaults Upon Senior Securities 9
Item 4. Submission of Matters to a Vote of
Security Holders 9
Item 5. Other Information 9
Item 6. Exhibits and Reports on Form 8-K 9
Form 10-Q Signature Page 11
<TABLE>
<CAPTION>
MNB BANCSHARES, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED BALANCE SHEETS
March 31, December 31,
1997 1996
(unaudited)
<S> <C> <C>
ASSETS
Cash and cash equivalents:
Cash $ 2,426,068 $ 2,670,159
Interest-bearing deposits in other
financial institutions 0 1,900,000
Total cash and cash equivalents 2,426,068 4,570,159
Investment securities:
Held-to-maturity at amortized cost 8,485,573 10,113,010
(estimated fair value of $8,260,000
and $10,154,000 respectively)
Available-for-sale at estimated 24,625,298 23,125,844
fair value
Loans, net 64,811,440 62,549,048
Premises and equipment, net 1,282,176 1,325,798
Other assets 1,827,405 1,737,565
Total assets $103,457,960 $103,420,424
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Deposits $ 86,989,777 $ 86,709,950
Other borrowings 3,912,815 3,615,020
Accrued expenses, taxes and other
liabilities 1,089,709 1,761,289
Total liabilities 91,992,301 92,086,259
Stockholders'equity:
Common stock, $.01 par, 1,500,000
shares authorized, 608,839 shares
issued and outstanding at 1997
and 1996, respectively 6,088 6,052
Additional paid-in capital 6,352,285 6,321,016
Retained earnings 5,507,728 5,340,873
Unrealized loss on investment
securities available-for-sale,
net of tax (87,627) (18,756)
Unearned employee benefits (312,815) (315,020)
Total stockholders' equity 11,465,659 11,334,165
Total liabilities and stockholders'
equity $103,457,960 $103,420,424
</TABLE>
<FN1>
See accompanying notes to condensed consolidated financial statements.
</FN1>
<TABLE>
<CAPTION>
MNB BANCSHARES, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
(Unaudited)
For the Three Months
Ended March 31,
1997 1996
<S> <C> <C>
Interest income:
Loans $ 1,404,713 $ 1,418,244
Investment securities 472,374 444,689
Other 37,655 56,667
Total interest income 1,914,742 1,919,600
Interest expense:
Deposits 950,161 983,474
Borrowed funds 51,877 45,046
Total interest expense 1,002,038 1,028,520
Net interest income 912,704 891,080
Provision for loan losses 15,000 0
Net interest income after
provision for loan losses 897,704 891,080
Noninterest income:
Fees and service charges 125,048 116,660
Gains on sale of loans 5,298 18,219
Other 17,901 3,908
Total noninterest income 148,247 138,787
Noninterest expense:
Compensation and benefits 320,833 301,399
Occupancy and equipment 94,224 95,925
Federal deposit insurance premiums 11,890 39,282
Data processing 26,801 23,800
Amortization 28,276 29,597
Advertising 10,156 21,453
Professional fees 39,164 50,009
Stationery, printing and office
supplies 12,209 41,349
Other 141,321 132,997
Total noninterest expense 684,874 735,811
Earnings before income taxes 361,077 294,056
Income tax expense 118,420 120,147
Net earnings $ 242,657 $ 173,909
Net earnings per share $ 0.38 $ 0.28
Dividends per share $ 0.1250 $ 0.0625
Average common and common equivalent
shares outstanding 633,711 630,483
</TABLE>
<FN1>
See accompanying notes to condensed consolidated financial statements.
</FN1>
<TABLE>
<CAPTION>
MNB BANCSHARES, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS
(Unaudited)
For the three Months
Ended March 31,
1997 1996
<S> <C> <C>
Net cash provided by (used in)
operating activities $ (212,567) $ 72,148
INVESTING ACTIVITIES
Net increase in loans (2,445,784) (2,090,734)
Maturities and prepayments of
investments held to maturity 1,622,212 3,108,343
Purchase of investment held to
maturity 0 (242,465)
Maturities and prepayments of
investments available for sale 1,040,988 735,266
Purchase of investments available
for sale (2,645,937) (3,860,341)
Proceeds from sale of investment
securities available for sale 0 499,063
Net cash used to purchase insurance
agency (30,000) 0
Purchases of equipment and building
improvements (8,333) (20,854)
Net cash used in investing activities (2,466,854) (1,871,722)
FINANCING ACTIVITIES
FHLB advances (net) 300,000 1,875,000
Net increase (decrease) in deposits 279,827 (1,184,217)
Issuance of common stock under stock
option plan 31,306 0
Payment of dividends (75,803) (36,033)
Net cash provided by financing activities 535,330 654,750
Net (decrease) in cash and cash
equivalents (2,144,091) (1,144,824)
Cash and cash equivalents at beginning of
period 4,570,159 2,924,017
Cash and cash equivalents at end of
period 2,426,068 1,779,193
Supplemental disclosure of cash flow information:
Cash paid during period for interest 1,023,000 1,213,000
Cash paid during period for taxes 42,000 64,000
<FN1>
See accompanying notes to condensed consolidated financial statements.
<FN1>
MNB BANCSHARES, INC. AND SUBSIDIARY
Notes to Condensed Consolidated Financial Statements
1. Interim Financial Statements
The condensed consolidated financial statements of MNB
Bancshares, Inc. (the "Company") and subsidiary have been prepared in
accordance with the instructions to Form 10-Q. To the extent that
information and footnotes required by generally accepted accounting
principles for complete financial statements are contained in or consistent
with the audited financial statements incorporated by reference in the
Company's Form 10-K for the year ended December 31, 1996, such
information and footnotes have not been duplicated herein. In the opinion
of management, all adjustments, consisting of normal recurring accruals,
considered necessary for a fair presentation of financial statements have
been reflected herein. The December 31, 1996 condensed consolidated
balance sheet has been derived from the audited balance sheet as of that
date. The results of interim period ended March 31, 1997 are not
necessarily indicative of the results expected for the year ended December
31, 1997.
2. Earnings Per Share
Net earnings per share have been computed based on the average
number of shares and common equivalent shares outstanding during the
period. The period ended March 31, 1996 as presented herein reflects
retroactive adjustment of the 5% stock dividends declared by the
Company on August 12, 1996.
3. New Accounting Pronouncement
In February, 1997, the Financial Accounting Standards Board
issued Statement No. 128, "Earnings Per Share" which revises the
calculation and presentation provisions of Accounting Principles Board
Opinion 15 and related interpretations. Statement No. 128 is effective for
the Company's fiscal year ending December 31, 1997. Retroactive
application will be required. The Company believes the adoption of
Statement No. 128 will not have a significant effect on its reported
earnings per share.
MNB BANCSHARES, INC. AND SUBSIDIARY
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
General. MNB Bancshares, Inc. (the "Company") is a one-bank
holding company incorporated under the laws of the State of Delaware
and is engaged in the banking business through its wholly-owned
subsidiary, Security National Bank (the "Bank"). The Company's results
of operations depend primarily on net interest income, which is the
difference between interest income from interest-earning assets and
interest expense on interest-bearing liabilities. The Company's operations
are also affected by non-interest income, such as service charges, loan fees
and gains and losses from the sale of newly originated loans. The
Company's principal operating expenses, aside from interest expense,
consist of compensation and employee benefits, occupancy costs, federal
deposit insurance costs, data processing expenses and provision for loan
losses.
On April 1, 1995, the Company acquired all of the issued and
outstanding stock of Auburn Security Bancshares, Inc., a one-bank
holding company which owned 99% of the outstanding stock of Security
State Bank. Subsequent to the acquisition, the Company acquired all of
the remaining stock of Security State Bank. Consolidated assets acquired
in this transaction were approximately $20 million. This acquisition,
which was accounted for using the purchase method of accounting, is
reflected in the consolidated balance sheet and the consolidated statement
of earnings for all periods shown. On December 31, 1995, the Company
merged and consolidated Manhattan National Bank and Security State
Bank, and the resulting institution was named Security National Bank.
The home office for the Bank is Manhattan, Kansas, with a branch
operating in Auburn, Kansas.
In January of 1997, the Bank acquired the Goodyear Insurance
Agency of Auburn, Kansas. This acquisition will allow the Bank to offer
a full line of insurance products to its entire customer base. Management
expects this to evolve into a profitable and complementary product line as
a marketing program for insurance services is implemented.
Additionally, the Company negotiated an agreement in January of
1997 with a regional banking organization to assume its land lease on a
fully-equipped branch facility at 21st and Wanamaker in Topeka, Kansas.
This allows the Bank to enter the Topeka market with minimal capital
outlay. The branch, which opened on May 5, 1997, is ideally situated to
take advantage of the expanding economy in southwest Topeka. Due to
the startup costs, it is anticipated that there will be a negative impact on
earnings in 1997. However, the facility should provide a solid base for
earnings and asset growth in the future.
Net earnings for the first three months of 1997 increased $68,748,
or 39.5%, to $242,657 as compared to the first three months of 1996. Net
interest income increased $21,624, or 2.4%, from $891,080, to $912,704.
Noninterest income increased $9,460, or 6.8%, from $138,787 to
$148,287, due to an increase of 7.2% in fees and service charges to
$125,048 and other income from $3,908 to $17,901, or 358.1%. Non
interest expense decreased $50,937 or 6.9% due primarily to reduced
Federal Deposit Insurance Corporation ("FDIC") premiums, and supply
costs.
Interest Income. Interest income remained steady at $1.9 million.
Interest on loans decreased slightly from $1,418,244 to $1,404,713, or
1.0%, while interest on investment securities increased from $444,689 to
$472,374, or 6.2%. Rates and average loans outstanding remained stable
in the first quarter of 1997 when compared to the first quarter of 1996.
Interest earned on securities increased as securities matured and the
proceeds were reinvested in higher-yielding securities. Interest income on
other investments decreased $19,012, or 33.6%, to $37,655. This
decrease was a result decreased funds available for investment in short-
term overnight interest bearing deposits.
MNB BANCSHARES, INC. AND SUBSIDIARY
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
(Continued)
Interest Expense. As compared to the same period a year earlier,
interest expense during the first three months of 1997 decreased by
$26,482, or 2.6%. Interest expense on deposits decreased $33,313, or
3.4% while interest expense on borrowings, consisting of advances and
short-term overnight borrowings from the Federal Home Loan Bank of
Topeka (the "FHLB"), increased $6,831, or 15.2%, during this time
period.
Provision for Loan Losses. A provision for loan losses of
$15,000 for the first quarter of 1997 was made, compared to none in
1996. After management's quarterly review of the loan portfolio and an
economic analysis was performed at the end of the third quarter in 1996, a
provision of $5,000 per month was resumed and continued during the first
quarter of 1997. This was due to management's efforts relating to the
expansion of the Company's commercial lending activities. At the same
time, expanded internal guidelines for credit risk evaluation and
documentation were created and implemented. These factors will continue
to be assessed and further changes will be made if circumstances warrant
such changes. At March 31, 1997, the allowance for loan losses was
$835,397, or 1.3% of gross loans outstanding, compared to $826,499 at
March 31, 1996. The allowance for loan losses was $819,660 at
December 31, 1996, or 1.3% of gross loans outstanding.
Noninterest Income. Noninterest income increased $9,460, or
6.8%, for the first three months of 1997 to $148,247 compared to the
same period in 1996. This increase was due to an increase of 7.2% in fees
and service charges from $116,660 to $125,048. Gains on sale of loans
decreased $12,921 to $5,298, or 70.9%, as a result of a decline in
volumes and profit margin on residential real estate loans sold to the
secondary market due to increased competitive pressures. Other
noninterest income increased 358.1% to $17,901 from $3,908. In
December of 1996, the Bank hired a technical services manager to
administer and maintain the computer network, equipment, and software.
Realizing that this position at its inception might not be a full-time job,
the Bank was able to successfully negotiate with a community service
provider in Manhattan to provide support for their technical services.
This has resulted in additional income for the Company of $4,625 during
the first quarter. Also, commission income derived from the insurance
agency has contributed $5,900 for the first quarter of 1997.
Noninterest Expense. Noninterest expense decreased $50,937, or
6.9%, to $684,874 for the first three months of 1997 over the same period
in 1996. This decrease was due in part to the reduction in the FDIC
premiums from $39,282 to $11,890, or 69.7%. There were also
reductions in stationery, printing, and office supplies of $29,140, or
70.5% and professional fees of 21.7% to $39,164 both as a result of the
costs incurred in connection with the change of name and consolidation of
the bank subsidiaries in 1995. Occupancy and equipment expense
decreased $1,701 or 1.8% and compensation increased 6.4% to $320,833.
Other expenses increased from $132,997 to $141,321, or by 6.3%.
Asset Quality and Distribution. The Company's total assets
remained steady at $103.5 million from December 31, 1996 to March 31,
1997. The Company's primary ongoing sources of funds are deposits,
proceeds from principal and interest payments on loans and mortgage
backed securities and proceeds from the sale of mortgage loans and
mortgage backed securities. While maturities and scheduled amortization
of loans are a predictable source of funds, deposit flows and mortgage
prepayments are greatly influenced by general interest rates, economic
conditions, competition, and the restructuring of the financial services
industry.
The primary investing activities of the Company are the
origination of mortgage, consumer, and commercial loans and the
purchase of investment and mortgage backed securities. During the first
three months of 1997, the Company originated mortgage loans in the
amount of $3.9 million compared to $8.4 million during the first three
months of 1996. Generally, the Company originates long term fixed rate
residential mortgage loans for immediate sale and does not warehouse
loans to speculate on interest rates. Efforts of management to diversify
the loan portfolio have resulted in the Company having originated
commercial non-mortgage and consumer loans of $8.0 million during the
first three months of 1997, compared to $3.2 million in 1996.
MNB BANCSHARES, INC. AND SUBSIDIARY
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
(Continued)
Management believes that the quality of the loan portfolio
continues to be strong as evidenced by the small number and amount of
loans past due 30 days or more. As of March 31, 1997, six real estate
loans were more than 30 days past due with a total balance of $355,310,
which was 0.55% of total loans outstanding. Four
loans, totaling $112,840, were on non-accrual status as of March 31,
1997. With the exception of guaranteed student loans, eleven consumer
loans totaling $46,348, or 0.07%, were over 30 days past due as of March
31, 1997 and one loan with a balance of $3,408 was on non-accrual.
Additionally, seven commercial loans totaling $125,602, or .19%, were
past due. Two commercial loans totaling $82,394 were on non-accrual
status, of which $73,267 is an SBA loan. At March 31, 1997, the
Company had outstanding loan commitments of $9.1 million.
During the three months ended March 31, 1997, the Company
purchased securities to be held to maturity and available for sale in the
amount of $2.6 million. These activities were funded primarily by
maturing securities of $2.7 million, deposits, and proceeds from the sale
of fixed rate mortgage loans totaling $1.0 million.
Liability Distribution. Interest bearing liabilities at March 31,
1997 increased $.6 million from December 31, 1996 with deposits
increasing $.3 million and advances from the FHLB increasing $.3 million
over the same period.
Checking and NOW accounts at the end of the first quarter of
1997 totaled $19.3 million, or 22.2% of deposits. Certificates of deposit
remained flat at $47.1 million at March 31, 1997. Money market funds
have increased 11.8% from December 31, 1996 to $15.4 million from
$13.8 million, and are 10.6% of total deposits.
Liquidity. The Company's most liquid assets are cash and cash
equivalents and investment securities available for sale. The level of these
assets are dependent on the Company's operating, financing, lending and
investing activities during any given period. At March 31, 1997, and
December 31, 1996 respectively, these liquid assets totaled $27.1 million
and $27.7 million. During periods in which the Company is not able to
originate a sufficient amount of loans and/or periods of high principal
prepayments, the Company increases its liquid assets by investing in
short-term U. S. Government and agency securities.
Liquidity management is both a daily and long-term function of
management strategy. Excess funds are generally invested in short-term
investments. In the event the Company requires funds beyond its ability
to generate them internally, additional funds are generally available
through the use of FHLB advances, a line of credit with the FHLB or
through sales of securities. At March 31, 1997, the Company had
outstanding FHLB advances of $2.8 million and had $.8 million
outstanding on its $12.0 million line of credit. Additionally, the Company
has guaranteed a loan made to the Company's Employee Stock Ownership
Plan (the "ESOP") with an outstanding balance of $312,815 at March 31,
1997, to fund the ESOP's purchase of shares in the Company's common
stock offering in 1993. The total borrowings by the Company were $3.9
million at March 31, 1997, compared to $3.6 million at December 31,
1996.
Capital. The Federal Reserve Board has established capital
requirements for bank holding companies which generally parallel the
capital requirements for national banks under the Office of the
Comptroller of the Currency (the "OCC") regulations. The regulations
provide that such standards will generally be applied on a bank-only
(rather than a consolidated) basis in the case of a bank holding company
with less than $150 million in total consolidated assets, such as the
Company. The Company's total capital of $11.5 million is, however, well
in excess of the Federal Reserve Board's consolidated minimum capital
requirements.
MNB BANCSHARES, INC. AND SUBSIDIARY
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
(Continued)
At March 31, 1997, the Bank continued to maintain a sound Tier
1 capital ratio of 8.92% and a risk based capital ratio of 16.13%. As
shown by the following table, the Bank's capital exceeded the minimum
capital requirements (dollars in thousands):
</TABLE>
<TABLE>
<CAPTION>
March 31, 1997
Amount Percent Required
<S> <C> <C> <C>
Tier 1 Capital $9,202 8.92% 4.00%
Risk Based Capital 9,915 16.13% 8.00%
</TABLE>
Banks and bank holding companies are generally expected to operate at or
above the minimum capital requirements. The above ratios are well in
excess of regulatory minimums and should allow the Company to operate
without capital adequacy concerns. The Federal Deposit Insurance
Corporation Improvement Act of 1991 establishes a bank rating system
based on the capital levels of banks. The Bank is rated "well capitalized",
which is the highest rating available under this capital-based rating
system.
Recent Regulatory Developments. Various bills have been
introduced in the Congress that would allow bank holding companies to
engage in a wider range of nonbanking activities, including greater
authority to engage in securities and insurance activities. While the scope
of permissible nonbanking activities and the conditions under which the
new powers could be exercised varies among the bills, the expanded
powers generally would be available to a bank holding company only if
the bills also impose various restrictions on transactions between the
depository institution subsidiaries of bank holding companies and their
nonbank affiliates. These restrictions are intended to protect the
depository institutions from the risks of the new nonbanking activities
permitted to such affiliates.
At this time, the Company is unable to predict whether any of the
pending bills will be enacted and, therefore, is unable to predict the impact
such legislation may have on the operations of the Company and the
Bank.
Safe Harbor Statement Under the Private Securities Litigation
Reform Act of 1995. This quarterly report contains certain forward-
looking statements within the meaning of Section 27A of the Securities
Act of 1933, as amended and Section 21E of the Securities Exchange Act
of 1934, as amended. The Company intends such forward-looking
statements to be covered by the safe harbor provisions for forward-
looking statements contained in the Private Securities Reform Act of
1995, and is including this statement for purposes of these safe harbor
provisions. Forward-looking statements, which are based on certain
assumptions and describe future plans, strategies and expectations of the
Company, are generally identifiable by use of the words "believe,"
"expect," "intend," "anticipate," "estimate," "project" or similar
expressions. The Company's ability to predict results or the actual effect
of future plans or strategies is inherently uncertain. Factors which could
have a material adverse effect on operations and future prospects of the
Company and the subsidiary include, but are not limited to, changes in:
interest rates, general economic conditions, legislative/regulatory changes,
monetary and fiscal policies of the U.S. Government, including policies of
the U.S. Treasury and the Federal Reserve Board, the quality or
composition of the loan or investment portfolios, demand for loan
products, deposit flows, competition, demand for financial services in the
Company's market area and accounting principles, policies and
guidelines. These risks and uncertainties should be considered in
evaluating forward-looking statements and undue reliance should not be
placed on such statements. Further information concerning the Company
and its business, including additional factors that could materially affect
the Company's financial results, is included in the Company's filings with
the Securities and Exchange Commission
MNB BANCSHARES, INC. AND SUBSIDIARY
PART II
ITEM 1. LEGAL PROCEEDINGS.
There are no material pending legal proceedings to which
the Company or its subsidiary is a party other than
ordinary routine litigation incidental to their respective
businesses.
ITEM 2. CHANGES IN SECURITIES.
None
ITEM 3. DEFAULTS UPON SENIOR SECURITIES.
None
ITEM 4. SUBMISSION OF MATTERS TO VOTE OF
SECURITY HOLDERS.
None
ITEM 5. OTHER INFORMATION.
None
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 Exchange Act of
1934, the Registrant has duly caused this report to be signed on its behalf
by the undersigned thereunto duly authorized.
MNB BANCSHARES,
INC.
Date: May 13, 1997
__________________________________
Patrick L. Alexander
President and Chief Executive Officer
Date: May 13, 1997
__________________________________
Susan E. Roepke
Vice President, Secretary, Treasurer
and Chief Financial Officer
10
7
<TABLE> <S> <C>
<ARTICLE> 9
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-END> MAR-31-1997
<CASH> 2,426,068
<INT-BEARING-DEPOSITS> 0
<FED-FUNDS-SOLD> 0
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 24,625,298
<INVESTMENTS-CARRYING> 8,485,573
<INVESTMENTS-MARKET> 8,260,000
<LOANS> 65,980,601
<ALLOWANCE> 835,397
<TOTAL-ASSETS> 103,457,960
<DEPOSITS> 86,989,777
<SHORT-TERM> 3,600,000
<LIABILITIES-OTHER> 1,089,709
<LONG-TERM> 312,815
0
0
<COMMON> 6,088
<OTHER-SE> 11,634,805
<TOTAL-LIABILITIES-AND-EQUITY> 103,457,960
<INTEREST-LOAN> 1,404,713
<INTEREST-INVEST> 472,374
<INTEREST-OTHER> 37,655
<INTEREST-TOTAL> 1,914,742
<INTEREST-DEPOSIT> 950,161
<INTEREST-EXPENSE> 1,002,038
<INTEREST-INCOME-NET> 912,704
<LOAN-LOSSES> 15,000
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 684,874
<INCOME-PRETAX> 361,077
<INCOME-PRE-EXTRAORDINARY> 361,077
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 242,657
<EPS-PRIMARY> 0.38
<EPS-DILUTED> 0.38
<YIELD-ACTUAL> 3.71
<LOANS-NON> 198,692
<LOANS-PAST> 0
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 819,660
<CHARGE-OFFS> 1,238
<RECOVERIES> 1,972
<ALLOWANCE-CLOSE> 835,397
<ALLOWANCE-DOMESTIC> 721,149
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 114,248
</TABLE>
