UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 and 15(d) of the Securities Exchange Act of 1934
Date of Report(Date of earliest event reported): DECEMBER 6, 1996
MFB Corp.
(exact name of registrant as specified in its charter)
INDIANA
(State or other jurisdiction of incorporation)
0-23374 35-1907258
(Commission File Number) (IRS Employer Identification No.)
121 South Church Street
Post Office Box 528
Mishawaka, Indiana 46544
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (219)255-3146
Item 5. Other Events
Pursuant to General Instruction F to Form 8-K, the press
release issued December 6, 1996 concerning the Board of Directors'
approval of up to five (5%) of the Registrant's outstanding shares
of Common Stock is incorporated herein by reference and is attached
hereto as Exhibit 1.
Item. 7. Financial Statements and Exhibits
(c) Exhibits
Exhibit 1 - Press Release dated December 6, 1996.
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 hereunto duly authorzed.
Timothy C. Boenne, Vice President
Dated December 16, 1996
EXHIBIT
1
December 6, 1996
Point of Contact: Charles J. Viater
MFB Corp. ANNOUNCES STOCK REPURCHASE PROGRAM
Mishawaka, Indiana - MFB Corp. (NASDAQ/MFBC), (the
"Corporation"), parent company of Mishawaka Federal Savings (the
"Bank"), announced today that the Board of Directors has approved
the repurchase of an additional 89,066 shares of the Corporation's
outstanding common stock, without par value, a number of shares
equal to approximately 5% of its outstanding shares. Repurchases
may begin as early as December 9, 1996, as the required regulatory
approval has been received. Since the company completed its
conversion to a publicly-owned stock company on March 24, 1994, it
has completed the repurchase of 520,834 shares at an average price
of $15.29 per share. Charles J. Viater, President/CEO indicated
that "the repurchase of our shares should benefit both our share-
holders and the company and is consistent with our ongoing efforts
to improve shareholder value." The Board believes that the
Corporation's shares are from time to time undervalued by the
market and this program will have the effect of enhancing the book
value per share and the potential for growth in earnings per share
of the Corporation's remaining outstanding shares.
The Bank is a wholly owned subsidiary of MFB Corp., with
assets of $225 million as of September 30, 1996. The Bank provides
retail and small business financial services to the South Bend/
Mishawaka area through its main office in Mishawaka and three
branch locations throughout the community.
MFB CORP. AND SUBSIDIARY
Consolidated Balance Sheets (Unaudited)
June 30, 1996 and September 30, 1995
(in thousands)
June 30, September 30,
1996 1995
ASSETS
Cash and due from financial institutions $ 579 $ 2,063
Interest-earning deposits in other financial institutions
646 5,391
Cash and cash equivalents 1,225 7,454
Interest-earning time deposits in other financial
institutions 991 1,880
Securities available-for-sale 40,267 ---
Securities held-to-maturity --- 40,117
Other securities - Federal Home Loan Bank stock 1,336 1,271
Mortgage-backed and related securities
available-for-sale 24,780 ---
Mortgage-backed and related securities held-to-maturity ---
11,905
Total loans 139,095 121,491
Less allowance for loan losses (333) (310)
Loans receivable, net 138,762 121,181
Accrued interest receivable 857 818
Premises and equipment, net 1,939 1,977
Other assets 402 462
Total Assets $210,559 $187,065
LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities
Deposits $153,962 $144,552
Advances from borrowers for taxes and insurance 1,129 2,169
Borrowed Funds 17,500 ---
Accrued expenses and other liabilities 277 2,345
Total Liabilities 172,868 149,066
Shareholders' Equity
Common Stock 18,284 19,657
Retained earnings 20,904 19,732
Employee stock ownership plan (950) (1,100)
Recognition and retention plans (210) (290)
Net unrealized depreciation on securities available-for sale,
net of tax (337) ---
Total shareholders' equity 37,691 37,999
Total Liabilities and Shareholders'
Equities $210,559 $187,065
MFB CORP. AND SUBSIDIARY
Consolidated Statement of Income (Unaudited)
Three Months and Nine Months Ended June 30, 1996 and 1995
(in thousands)
Three Months Ended June 30, Nine Months Ended June 30,
1996 1995 1996 1995
Total interest income $3,633 $3,125 $10,248 $9,239
Total interest expense 2,050 1,743 5,816 4,969
Net interest income 1,583 1,382 4,432 4,270
Provision for loan losses 8 7 23 23
Net interest income after provision for loan
losses 1,575 1,375 4,409 4,247
Total noninterest income 91 80 295 236
Total noninterest expense 963 935 2,758 2,827
Income before income taxes 703 520 1,946 1,656
Income tax expense 279 207 774 659
Net Income $424 $313 $1,172 $997
Earnings per common and common equivalent share $ .22 $
.15 $ .60 $ .49
Earnings per share assuming full dilution $ .22 $ .15 $
.60 $ .49
EXHIBIT 2
July 17, 1996 Point of Contact: Charles J. Viater
MFB Corp. ANNOUNCES DIVIDEND
Mishawaka, Indiana - MFB Corp. (NASDAQ/MFBC), (the "Corporation"), parent
company of Mishawaka Federal Savings (the "Bank") based in Mishawaka, Indiana
announced today that the Corporation has declared a cash dividend of $.06 on
each share of its Common Stock for the quarter ended June 30, 1996. The
dividend is payable on August 20, 1996 to holders of record on August 6, 1996.
"This initial dividend is part of our ongoing effort to reward our
shareholders for the confidence they have shown in the Bank over the years"
according to Charles J. Viater, President and CEO of both the Corporation and
the Bank. "We trust that this action today will serve to reinforce that
confidence." The Bank is a wholly owned subsidiary of MFB Corp. with assets of
$211 million as of June 30, 1996.
