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)
January 27, 1997
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 January 27, 1997, the Registrant issued the attached press release.
Item 7. Financial Statements and Exhibits
(a) Exhibits
1. Press release, dated January 27, 1997.
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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: January 30, 1997 By: \s\ Nicholas M. George
----------------------
Nicholas M. George
President and Chief
Executive Officer
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Date: January 27, 1997
Contact: Nicholas M. George,
President
(219) 563-3185
PRESS RELEASE FOR IMMEDIATE RELEASE
FFW CORPORATION ANNOUNCES A 9% INCREASE IN EARNINGS PER SHARE
FOR THE QUARTER ENDED DECEMBER 31, 1996
Wabash, IN--FFW Corporation (NASDAQ: FFWC) holding company for First
Federal Savings Bank of Wabash, Indiana, announced today operating results for
the quarter ended December 31, 1996. Net income for the quarter ended December
31, 1996, was $427,000 or $ .61 per share compared to $424,000 or $ .56 per
share for the quarter ended December 31, 1995. This equates to an increase of
.5% and 9%, respectively, in net income and primary earnings per share.
Nicholas M. George, President of FFW Corporation, credited the
quarter's 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 $269,000. The increase of $127,000 in
non-interest expense over the prior year, was due to increased staffing, an
increase in cost for the new office in Syracuse, Indiana, and promotional
expenses related to being named Business of the year for 1996 by the Wabash Area
Chamber of Commerce.
Net income for the six months ended December 31, 1996 was $506,000 or
$.72 per share, compared to $763,000 or $ 1.00 per share for the six months
ended December 31, 1995. Mr. George, attributed the reduced earnings to the one
time assessment of $337,800 net of tax for the SAIF insurance fund. This
assessment, which was paid by all thrifts and many banks, would have resulted in
net income of $843,800 or $ 1.23 per share had the assessment not been paid.
FFW Corporation's total assets for the six months ended December 31,
1996 increased by $7.7 million to a total of $158.2 million. Asset quality
improved as demonstrated by a .10% ratio of nonperforming assets to total assets
as of December 31, 1996, compared to a ratio of .16% for the prior period.
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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FFW Corporation January 27, 1997
SELECTED CONSOLIDATED FINANCIAL INFORMATION
(Unaudited)
Selected Balance Sheet Data: 12/31/96 6/30/96
-------- --------
(In Thousands)
<S> <C> <C>
Total Assets ............................... $158,200 $150,467
Loans Receivable Net ....................... 107,259 100,529
Loans Held for Sale ........................ 154 423
Securities Available for Sale .............. 41,103 40,566
Deposits ................................... 97,886 92,490
Borrowings ................................. 43,300 41,800
Stockholders' Equity ....................... 16,117 15,458
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(Unaudited) (Unaudited)
Three Months Ended Six Months Ended
Selected Operating Data: 12/31/96 12/31/95 12/31/96 12/31/95
--------- --------- --------- ---------
(In Thousands)
<S> <C> <C> <C> <C>
Total Interest Income ......................... $ 3,025 $ 2,756 $ 5,952 $ 5,445
Total Interest Expense ........................ 1,802 1,697 3,561 3,336
--------- --------- --------- ---------
Net Interest Income ....................... $ 1,223 $ 1,059 $ 2,391 $ 2,089
Provision for Loan Losses ..................... 15 6 35 12
--------- --------- --------- ---------
Net Interest Income After
Provision for Loan Losses .............. $ 1,208 $ 1,052 $ 2,356 $ 2,077
Gain on Sales of Interest Earning Assets ...... 19 81 30 99
Net Unrealized Losses on Loans Held for Sale .. 0 0 0 0
Other Non-Interest Income .................. 141 114 288 235
Other Non-Interest Expenses ................... (741) (614) (1,999) (1,273)
--------- --------- --------- ---------
Income Before Income Taxes ................ $ 627 $ 633 $ 675 $ 1,138
Income Tax Expense .......................... 200 209 169 375
--------- --------- --------- ---------
Net Income ............................... $ 427 $ 424 $ 506* $ 763
========= ========= ========= =========
Earnings Per Common & Common Equivalent Shares
Primary ....................................... $ .61 $ .56 $ .72** $ 1.00
Fully Dilluted ................................ $ .61 $ .56 $ .72** $ 1.00
Dividend Paid Per Share ....................... $ .15 $ .12 $ .30 $ .24
Average Shares Outstanding .................... 672,207 734,587 673,591 736,285
Supplemental Data:
Interest Rate Spread .......................... 2.67% 2.41% 2.63% 2.41%
Return on Average Assets*** ................... 1.09% 1.18% .65% 1.08%
Return on Average Equity*** ................... 10.76% 10.48% 6.41% 9.56%
*Reduced by SAIF assessment net of tax of $337,800
**Earnings per Share reduced by SAIF assessment net of tax of $.51
***Annualized
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