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)
October 25, 1996
CAPITAL SAVINGS BANCORP, INC.
________________________________________________________________________________
(Exact name of Registrant as specified in its Charter)
Delaware 0-22656 43-1656529
________________________________________________________________________________
(State or other (Commission File No.) (IRS Employer
jurisdiction of Identification
incorporation) Number)
425 Madison Street, Jefferson City, Missouri 65101
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (573) 635-4151
________________________________________________________________________________
N/A
________________________________________________________________________________
(Former name or former address, if changed since last report)
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Item 5. Other Events
_____________________
On October 25, 1996, the Registrant issued the attached press release,
announcing the declaration of a two-for-one stock dividend, a first quarter cash
dividend and first quarter earnings.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
________________________________________________________________________________
(c) Exhibits:
Exhibit 99 - Press Release dated October 25, 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.
CAPITAL SAVINGS BANCORP, INC.
Date: November 7, 1996 By: /S/LARRY V. SCHEPERS
___________________________________
Larry V. Schepers
President and
Chief Executive Officer
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EXHIBIT INDEX
Exhibit
Number Description
_______ ___________
99 Press release dated October 25, 1996 announcing
Capital Savings Bancorp, Inc.'s declaration of a
2-1 stock dividend, a first quarter cash dividend
and first quarter earnings.
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NEWS RELEASE
For Immediate Release For More Information
October 25, 1996 Contacts: Larry Schepers, President/CEO
Dave Meyer Investor Relations
(573)635-4151
CAPITAL SAVINGS BANCORP, INC. ANNOUNCES A 2-FOR-1 STOCK SPLIT,
A 33% INCREASE IN CASH DIVIDEND AND FIRST QUARTER EARNINGS
Capital Savings Bancorp, Inc.(NASDAQ-CAPS), holding company for Capital
Savings Bank Jefferson City, Missouri, today announced that its Board of
Directors approved a 2-for-1 stock split, effective in the form of a 100% stock
dividend. Each shareholder of record will receive one additional share for each
share owned. The Board also declared a cash dividend of $.12 per share on the
pre-split shares, which represents a 33% increase from $.09 per share paid in
the previous quarter. The $.12 per share quarterly dividend equates to $.06 per
share following the stock split. Both the stock split and the quarterly
dividend will be payable November 22, 1996, to shareholders of record at the
close of business on November 8, 1996.
Larry V. Schepers, president and chairman of the Board, said, "The stock
split is intended to increase the liquidity of our shares in the market place,
thereby permitting our shareholders to more actively trade their stock. It will
also make our stock more affordable to individual investors. After the split,
we will have more than 1.8 million shares outstanding."
Capital Savings Bancorp also reported earnings for the first quarter ended
September 30, 1996. Net income for the quarter was ($125,000) or ($.13) per
share. However, excluding the impact of the Savings Association Insurance Fund
("SAIF") of the FDIC assessment explained below, quarterly income was $467,000,
or $.50 per share as compared to income of $444,000, or $.45 per share earned
during the same period in 1995.
On September 30, 1996, an omnibus appropriations bill affecting all savings
associations nationwide was signed into law. Mr. Schepers stated that "this
legislation requires a special one-time assessment of approximately 65.7 cents
per $100 of SAIF insured deposits held by the Bank at March 31, 1995." The one-
time special assessment will result in a tax affected charge to earnings of
approximately $590,000, or 63 cents per share during the quarter ended September
30, 1996. The legislation is intended to fully capitalize the SAIF fund. Based
on the Bank's current deposit level, after tax savings for the Company would be
approximately $158,000, or 17 cents per pre-split share, per year in federal
deposit insurance premiums as a result of the recapitalization plan.
The Corporation's total assets increased $13.3 million, or 6.1%, to $231.2
million at September 30, 1996 as compared to $218.0 million at June 30, 1996.
Asset growth was primarily due to loan originations, loan purchases and security
purchases during the past quarter which were funded with advances from the
Federal Home Loan Bank and growth deposits. Stockholders' equity was $19.5
million, or 8.4% of total assets at September 30, 1996 as compared to $20.5
million, or 9.4% of total assets at June 30, 1996.
Total shares outstanding at September 30, 1996 were 938,000, including all
unallocated shares of the Employee Stock Ownership Plan. During the quarter
ended September 30, 1996, Capital Savings Bancorp, Inc. shares traded between
$18.00 and $22.50.
Capital Savings serves the Mid-Missouri market with full-service offices
located in Jefferson City, Rolla, Eldon, California, Owensville, and Fulton.
The Bank also maintains an agency office in Versailles. Its deposits are
insured by the FDIC.
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<TABLE>
CAPITAL SAVINGS BANCORP, INC. CONSOLIDATED FINANCIAL HIGHLIGHTS
(dollars in 000's except for the per share amounts) (unaudited)
<CAPTION>
SAIF ASSESSMENT
EXCLUDED
Three Months Ended THREE MONTHS ENDED Three Months Ended
Sept. 30, 1996 Sept. 30, 1996 Sept. 30, 1995
<S> <C> <C> <C>
INCOME STATEMENT
Interest income $4,289 $4,289 $3,600
Interest expense 2,508 2,508 2,009
_____________ _______________ _____________
Net interest income 1,781 1,781 1,591
Provision for loan losses 30 30 30
Noninterest income 237 237 161
Noninterest expense 2,186 1,227 997
Income tax expense (73) 294 281
_____________ _______________ _____________
Net income ($125) $467 $444
Primary earnings per share ($0.13) $0.50 $0.45
Weighted average shares and
equivalents outstanding(primary) 930,316 930,316 979,926
<CAPTION>
SAIF ASSESSMENT
EXCLUDED
Three Months Ended THREE MONTHS ENDED Three Months Ended
Sept. 30, 1996 Sept. 30, 1996 Sept. 30, 1995
<S> <C> <C> <C>
FINANCIAL RATIOS
Return on assets -0.22% 0.83% 0.94%
Return on equity -2.50% 9.34% 8.92%
Net interest margin 3.27% 3.27% 3.48%
Net interest spread 2.89% 2.89% 2.86%
Operating expense/average assets 3.89% 2.19% 2.11%
Efficiency Ratio n/a 60.80% 56.91%
<FN>
Financial Ratios are annualized and based on average assets or average equity for the period.
</FN>
<CAPTION>
Sept. 30, 1996 June 30, 1996
<S> <C> <C>
BALANCE SHEET
Total assets $231,245 $217,954
Loans receivable, net 176,007 166,623
Investment securities 18,418 16,046
Mortgage-backed securities 28,162 28,339
Total deposits 154,436 152,345
Total borrowings 53,000 42,000
Total stockholders' equity 19,524 20,481
Capital to assets 8.44% 9.40%
Total common shares outstanding 938,000 987,179
Book value per share $20.81 $20.75
<CAPTION>
Sept. 30, 1996 June 30, 1996
<S> <C> <C>
ASSET QUALITY
Non-accrual loans $204 $252
Foreclosed assets 81 44
Accruing loans more than 90 days past due 188 211
______________ _____________
Total nonperforming assets $473 $507
Nonperforming assets/total assets 0.20% 0.23%
</TABLE>
