SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8 - K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported)
July 26, 1996
FFW CORPORATION
(Exact name of Registrant as specified in its Charter)
Delaware 0 - 21170 35 - 1875502
(State or other jurisdiction (Commission File No.) (IRS Employer
of incorporation) Identification Number)
1205 N. Cass Street, Wabash, Indiana 46992 - 1027
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (219) 563 - 3185
N/A
(Former name or former address, if changed since last report)
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Item 5. Other Events
On July 26, 1996, the Registrant issued the attached press release.
Item 7. Financial Statements and Exhibits
(a) Exhibits
1. Press release, dated July 26, 1996.
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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.
FFW CORPORATION
Date: August 23, 1996 By: \s\ Nicholas M. George
--------------- ----------------------
Nicholas M. George
President and Chief
Executive Officer
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Date: July 26, 1996
Contact: Nicholas M. George,
President
(219) 563-3185
PRESS RELEASE FOR IMMEDIATE RELEASE
FFW CORPORATION ANNOUNCES A 44% INCREASE IN NET INCOME
FOR THE YEAR ENDED JUNE 30, 1996
Wabash, IN--FFW Corporation (NASDAQ: FFWC) holding company for First
Federal Savings Bank of Wabash, Indiana, announced today operating results for
the year and quarter ended June 30, 1996. Net income for the year ended June 30,
1996, was $1,586,300 or $2.13 per share compared to $1,099,400 or $1.46 per
share for the year ended June 30, 1995. This equates to an increase of 44% and
46%, respectively, in net income and primary earnings per share.
Nicholas M. George, President of FFW Corporation, credited the strong
year-to-date earnings to a continued growth in the bank's mortgage and consumer
loan portfolio's. Net interest income, the difference between interest income
and interest expense paid, increased $586,800. The increase of $482,900 in
non-interest income over the prior year, was due to an unrealized loss of
$319,000 in mortgaged-backed securities for the year and quarter ended June 30,
1995.
Net income for the quarter was $430,000 or $.60 per share, compared to
$116,500 or $.16 per share for the quarter ended June 30, 1995. Mr. George,
attributed the favorable results to increase in net interest income of $199,600
and non-interest income of $355,200.
FFW Corporation's total assets increased by $3.2 million from June 30,
1995 to $150.5 million at June 30, 1996. Asset quality improved as demonstrated
by a .06% ratio of nonperforming assets to total assets as of June 30, 1996,
compared to a ratio of .09% for the prior period.
On July 23,1996 The Board of Directors of FFW Corp. announced the
completion of the stock repurchase that was authorized on March 26, 1996. The
Board of Directors authorized an additional repurchase of up to 35,260 shares of
stock or approximately 5% of the outstanding shares as of that date. The
repurchase program will be executed through various broker dealers at prevailing
market prices.
Mr. George, President, indicated that the Board of Directors approved
the additional repurchase program in view of the Corporation's current stock
price and it's strong capital position. Mr. George stated that "we believe that
the repurchase of our shares represents an attractive investment opportunity
which will benefit the Corporation and our stockholders. The repurchased shares
will become treasury shares and could be used for general corporate purposes."
First Federal Savings Bank operates full-service offices in Wabash,
North Manchester, and Syracuse that offer a variety of loan and deposit
products. Investment services such as purchases of stocks, mutual funds and
insurance products are offered through an affiliated company, FirstFed Financial
Incorporated.
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<CAPTION>
FFW Corporation July 26, 1996
SELECTED CONSOLIDATED FINANCIAL INFORMATION
(Unaudited)
Selected Balance Sheet Data:
6/30/96 6/30/95
------- -------
(In Thousands)
<S> <C> <C>
Total Assets ................................ $150,467 $147,293
Loans Receivable Net ........................ 100,529 92,475
Loans Held for Sale ......................... 423 214
Mortgage-Backed Securities .................. 18,540 19,489
Securities .................................. 22,026 15,494
Deposits .................................... 92,490 85,930
Borrowings .................................. 41,800 45,300
Stockholders' Equity ........................ 15,458 15,492
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<TABLE>
<CAPTION>
(Unaudited) (Unaudited)
Three Months Ended Twelve Months Ended
Selected Operating Data : 6/30/96 6/30/95 6/30/96 6/30/95
--------- --------- --------- ---------
(In Thousands)
<S> <C> <C> <C> <C>
Total Interest Income .............................. $ 2,893 $ 2,533 $ 11,164 $ 9,409
Total Interest Expense ............................. 1,732 1,571 6,799 5,630
--------- --------- --------- ---------
Net Interest Income .............................. $ 1,161 $ 962 $ 4,365 $ 3,779
Provision for Loan Losses .......................... 47 6 95 34
--------- --------- --------- ---------
Net Interest Income After
Provision for Loan Losses ..................... $ 1,114 $ 956 $ 4,270 $ 3,745
Gain on Sales of Interest Earning Assets ........... 19 0 146 9
Net Unrealized Losses on Loans Held for Sale ....... (1) 0 (1) 18
Net Unrealized Losses on Mortgaged-backed securities 0 (319) 0 (319)
Other Non-Interest Income .......................... 134 115 483 437
Other Non-Interest Expenses ........................ (673) (615) (2,586) (2,356)
--------- --------- --------- ---------
Income Before Income Taxes ....................... $ 591 $ 137 $ 2,312 $ 1,534
Income Tax Expense ................................. 161 21 726 435
--------- --------- --------- ---------
Net Income ...................................... $ 430 $ 116 $ 1,586 $ 1,099
========= ========= ========= =========
Earnings Per Common & Common Equivalent Shares
Primary ............................................ $ .60 $ .16 $ 2.13 $ 1.46
Fully Dilluted ..................................... $ .60 $ .16 $ 2.13 $ 1.45
Dividend Paid Per Share ............................. $ .15 $ .12 $ .51 $ .45
Average Shares Outstanding .......................... 726,459 716,009 755,313 714,306
Supplemental Data :
Interest Rate Spread ............................... 2.57% 2.25% 2.48% 2.38%
Return on Average Assets* .......................... 1.16% .34% 1.09% .84%
Return on Average Equity* .......................... 11.07% 3.00% 9.89% 7.29%
*Annualized
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