UNITED STATES
SECURITY AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
{X} QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended December 31, 1996
or
{ } TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period
from_____________________to________________________
Commission File Number: 0-24896
Home Building Bancorp, Inc.
(Exact name of registrant as specified in its charter)
Indiana
(State or other jurisdiction of incorporation or organization)
35-1935840
(I.R.S. Employer identification No.)
200 East VanTrees Street, Washington, Indiana 47501
(Address of principal executive offices) (Zip Code)
(812) 254-2641
(Registrant's telephone number, including area code)
N/A
(Former name, former address and former fiscal year, if changed since last
report)
Indicate by check mark whether the registrant (1) 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 shorter period that the registrant
was required to file reports), and (2) has been subject to such filing for
the past 90 days.
{X}Yes { } No
As of February 13, 1997 there were 331,660 shares of the Registrant's common
stock issued and outstanding. Indicate the number of shares outstanding of
each of the issuer's classes of common stock as of the latest practicable date.
Common Stock 331,660
Class Outstanding
<PAGE>
HOME BUILDING BANCORP, INC.
INDEX
Part I. Financial Information Page
Item 1. Financial Statements
Consolidated Statements of Financial Condition
at December 31, 1996 and September 30, 1996 1
Consolidated Statements of Income for the quarters ended
December 31, 1996 and 1995 2
Consolidated Statements of Shareholders' Equity for the
quarters ended December 31, 1996 and 1995 3
Consolidated Statements of Cash Flows for the quarters ended
December 31, 1996 and 1995 4
Notes to Consolidated Financial Statements 6
Item 2. Management's Discussion and Analysis of Financial Condition 8
and results of Operations
Part II. Other Information 12
Signatures 13
Index of Exhibits 14
<PAGE>
<TABLE>
Home Building Bancorp, Inc.
Washington, Indiana
Consolidated Statements of Financial Condition
<CAPTION>
(Unaudited)
Dec. 31, Sept. 30,
1996 1996
ASSETS
<S> <C> <C>
Cash and due from banks $1,987,822 $1,428,754
Interest-bearing deposits with banks 4,674,595 3,793,704
Securities available for sale 7,907,598 7,532,540
Securities held to maturity, fair market value of
$446,000 at Dec. 31, and $473,000 at Sept. 30 440,483 473,104
Loans receivable, net of allowance for loan losses of
$78,500 at Dec. 31, and $77,000 at Sept. 30 28,365,532 28,108,279
Accrued interest receivable 202,087 174,519
Premises and equipment 777,644 787,008
Other assets 208,001 262,792
Total assets $44,563,762 $42,560,700
</TABLE>
<TABLE>
<CAPTION>
LIABILITIES AND SHAREHOLDERS' EQUITY
<S> <C> <C>
Liabilities:
Savings and NOW deposits $11,127,866 $11,571,843
Other time deposits 23,627,450 21,055,789
Total deposits 34,755,316 32,627,632
Advances from Federal Home Loan Bank 3,699,985 3,699,985
Securities sold under agreements to repurchase 21,673 273,951
Accrued expenses and other liabilities 520,700 460,613
Total liabilities 38,997,674 37,062,181
Shareholders' equity
Common stock, $.01 par value,
1 million shares authorized,
331,660 issued and outstanding 3,317 3,317
Additional paid in capital 3,014,935 3,014,935
Treasury stock, at cost (345,000) (345,000)
Retained earnings 3,261,216 3,217,134
Unrealized gain (loss) on available for sale securities
net of deferred tax (2,910) (26,397)
Unearned ESOP & recognition and retention shares (365,470) (365,470)
Total shareholders' equity 5,566,088 5,498,519
Total liabilities and shareholders' equity $44,563,762 $42,560,700
<FN>
See notes to consolidated financial statements.
</TABLE>
- -1-
<PAGE>
<TABLE>
Home Building Bancorp., Inc.
Washington, Indiana
Consolidated Statements of Income
<CAPTION>
Three months ended Dec. 31,
1996 1995
(Unaudited)
<S> <C> <C>
Interest income:
Loans receivable $583,622 $612,613
Investments 33,789 38,024
Mortgage-backed securities 102,679 71,429
Deposits with other banks 75,266 81,388
Total interest income 795,356 803,454
Interest expense:
Deposits 395,871 375,911
Repurchase agreements 3,749 8,531
Other borrowed funds 52,240 46,630
Total interest expense 451,860 431,072
Net interest income 343,496 372,382
Provision for loan losses 0 0
Net interest income after provision for loan losses 343,496 372,382
Noninterest income:
Gain (loss) on sale of assets 499 89
Customer service fees 26,695 34,046
Total other income 27,194 34,135
Noninterest expenses:
Salaries and employee benefits 115,318 155,297
Occupancy and equipment 38,684 36,499
Deposit insurance premium 19,389 19,146
Computer expense 13,862 9,437
Service fees 12,187 10,806
Advertising expense 13,293 10,795
Professional fees 5,550 16,705
Other expense 43,154 23,786
Total other expenses 261,437 282,471
Income before income taxes 109,253 124,046
Income tax expense 41,021 41,199
Net Income $68,232 $82,847
Net income per share of common stock $0.24 $0.28
Weighted average shares outstanding 282,158 298,816
<FN>
See notes to consolidated financial statements.
</TABLE>
- -2-
<PAGE>
<TABLE>
Home Building Bancorp, Inc.
Washington, Indiana
Consolidated Statements of Shareholders' Equity
<CAPTION>
Three months ended Dec. 31,
1996 1995
(Unaudited)
<S> <C> <C>
Common stock, $.01 par value, 1 million shares authorized,
331,660 and 322,000 issued and outstanding at Dec. 31,
1996 and 1995, respectively $3,317 $3,220
Additional paid in capital 3,014,935 2,855,642
Treasury stock, at cost (345,000) 0
Retained Earnings:
Beginning of the period 3,217,134 3,451,949
Net Income 68,232 82,847
Dividends declared, $0.075
per share (24,150) (24,150)
End of the period 3,261,216 3,510,646
Unrealized gain (loss) on securities available for
sale net of deferred tax:
Beginning of the period (26,397) (3,259)
Change in unrealized gain or loss 23,487 30,744
End of the period (2,910) 27,485
Unearned ESOP & recognition and retention shares (365,470) (231,840)
Total Equity $5,566,088 $6,165,153
<FN>
See notes to consolidated financial statements.
</TABLE>
- -3-
<PAGE>
<TABLE>
Home Building Bancorp, Inc.
Washington, Indiana
Consolidated Statements of Cash Flows
<CAPTION>
Three months ended Dec. 31,
1996 1995
(Unaudited)
<S> <C> <C>
Cash flows from operating activities:
Net income $68,232 $82,847
Adjustments to reconcile net income to net cash
provided by (used by) operating activities:
Depreciation and amortization 9,364 9,069
Other gains and losses, net 0 (89)
(Increase) decrease in accrued
interest receivable (27,568) 4,596
Increase (decrease) in accrued expenses
and other liabilities 60,088 (37,314)
(Increase) decrease in other assets 38,499 (99,274)
Total adjustments 80,383 (123,012)
Net cash provided by operating activities 148,615 (40,165)
Cash flows from investing activities:
Net (increase) decrease in interest-bearing
deposits with banks (880,891) (2,688)
Purchases of available-for-sale securities (722,485) (1,576,867)
Proceeds from maturities of
available-for-sale securities 387,206 133,172
Proceed from maturities of held-to-maturity securities 32,621 66,591
Net (increase) decrease in loans (257,253) (183,739)
Proceeds from sale of foreclosed collateral 0 89
Net cash used in investing activities (1,440,802) (1,563,442)
Cash flows from financing activities:
Net increase (decrease) in savings and
NOW deposit accounts (443,977) 652,232
Net increase (decrease) in time deposits 2,571,661 191,063
Net decrease in securities sold under agreements
to repurchase (252,279) (628,644)
Proceeds from Federal Home Loan Bank advances 0 1,000,000
Dividends paid (24,150) (24,150)
Net cash provided by financing activities 1,851,255 1,190,501
Net increase (decrease) in cash and due from banks 559,068 (413,106)
Cash and due from banks at beginning of period 1,428,754 3,338,677
Cash and due from banks at end of period $1,987,822 $2,925,571
<FN>
See notes to consolidated financial statements.
</TABLE>
- -4-
<PAGE>
<TABLE>
Home Building Bancorp, Inc.
Washington, Indiana
Consolidated Statements of Cash Flows
<CAPTION>
Three months ended Dec. 31,
1996 1995
(Unaudited)
<S> <C> <C>
Cash paid for:
Interest $438,662 $435,666
Income taxes $0 $45,397
Non-cash Investing and Financing Activities:
Aggregate investments at market transferred
from held-to-maturity and reclassified as
available-for-sale $0 $2,645,719
<FN>
See notes to consolidated financial statements.
</TABLE>
- -5-
<PAGE>
Home Building Bancorp, Inc.
Notes to Consolidated Financial Statements
December 31, 1996 and 1995
Note 1: Basis of Presentation
The unaudited information for the quarters ended December 31, 1996 and
December 31, 1995, includes the results of operations of Home Building Bancorp,
Inc. (the "Company") and its wholly owned subsidiary Home Building Savings
Bank, FSB (the "Bank"). In the opinion of management of the Company the
financial statements reflect all adjustments (consisting only of normal
recurring adjustments) necessary to present fairly the consolidated financial
statements. These interim financial statements should be read in conjunction
with the Company's most recent annual financial statements and footnotes
included in the annual report of Home Building Bancorp, Inc. dated September
30, 1996. The results of the period presented are not necessarily
representative of the results of operations and cash flows which may be expected
for the entire year.
Note 2: Principles of Consolidation
The consolidated financial statements include the accounts of Home Building
Bancorp, Inc. Home Building Savings Bank, FSB, and the Bank's subsidiary. All
significant inter-company balances and transactions have been eliminated in
consolidation.
Note 3: Stock Conversion
On February 7, 1995, Home Building Bancorp, Inc. began trading as a public
company on the Nasdaq SmallCap Market. The Company issued 322,000 shares,
$.01 par value common stock, for proceeds of $2,858,862 net expenses of
approximately $361,000. The Bank converted to a federal stock savings bank
following the formation of the holding company and received proceeds of
$1,432,853 in exchange for all its common stock. This transaction was accounted
for using historical cost in a manner similar to that in a pooling of
interests.
Note 4: Earnings Per Common Share
Net income of $0.24 per common share for the most recent quarter was computed
by dividing net income by the weighted average number of shares outstanding
during the quarter, less Employee Stock Ownership Plan ("ESOP") shares and
Recognition and Retention Plan ("RRP") shares not committed to be released.
The weighted average number of shares outstanding for the period was 282,158.
- -6-
<PAGE>
Home Building Savings Bank, FSB
Notes to Consolidated Financial Statements
December 31, 1996 and 1995
(Concluded)
Note 5: Allowance for Loan Losses and Loan Loss Provision
The allowance for loan losses increased $1,500 to $78,500 for the three month
period ended December 31, 1996. This increase was due to a recovery of a loan
that was previously charged-off by the Company. No additional provision for
loan losses was made during the period ended December 31, 1996. Activity
in the allowance for loan losses is as follows:
For the three months ended December 31,
1996 1995
Beginning $ 77,000 $ 77,039
Provision - -
Charge-offs - -
Recoveries 1,500 -
Ending $ 78,500 $ 77,039
- -7-
<PAGE>
Home Building Bancorp, Inc.
Management's Discussion and Analysis of
Financial Condition and Results of Operation
General
Home Building Bancorp, Inc. (the "Company") was formed at the direction of
Home Building Savings Bank, FSB (the "Bank"), for the purpose of owning all
the stock outstanding in the Bank. The Company incorporated under the laws of
the State of Indiana and is generally authorized to engage in any activity that
is permitted under Indiana law. On February 7, 1995, the Company acquired all
the stock of the Bank in accordance with the approved plan of conversion.
The Company had not engaged in any material operations at December 31, 1996,
and had no significant assets other than its equity investment in the Bank's
stock, cash, investments, and a loan to the Bank's Employee Stock Ownership
Plan ("ESOP.")
Established in 1908, the Home Building Savings Bank, FSB is a community
oriented financial institution offering a variety of financial services to meet
the needs of the communities it serves. The Bank's primary market area covers
Daviess and Pike counties in southwestern Indiana. The Bank attracts deposits
from the general public and uses such deposits, together with borrowings and
other funds, to originate one- to four-family residential mortgage, automobile
and consumer loans, and to a lesser extent commercial, multifamily and
construction real estate loans. The Bank also invests in U.S. government and
agency obligations and may invest in other permissible investments.
The Bank's results of operations are primarily dependent upon its net interest
income, which is the difference between interest earned on loans and investments
and interest paid on deposits and other borrowed funds. Net interest income is
directly affected by the relative amounts of interest-earning assets and
interest-bearing liabilities and the interest rates earned or paid on such
amounts. The Bank's results of operations are also affected by the provision
for loan losses and the level of noninterest income and expenses. Noninterest
income consists primarily of service charges and net income from the Bank's
wholly owned service corporation subsidiary. Noninterest expense includes
salaries and employee benefits, occupancy expenses, federal deposit insurance
premiums, data processing expenses, and other operating expenses. The operating
results of the Bank are also affected by general economic conditions, the
monetary and fiscal policies of federal agencies, and the policies of agencies
that regulate financial institutions. The Bank's cost of funds is influenced
by interest rates on competing investments and general market rates of
interest. Lending activities are influences by the demand for real estate
loans and other types of loans, which in turn is affected by the rates of
interest at which loans are offered, general economic conditions
affecting loan demand, and the availability of funds for lending activities.
Financial Condition
For the three months ended December 31, 1996, total assets increased
approximately $2.0 million to $44.6 million from $42.6 million at
September 30, 1996. Cash and due from banks increased $559,000, while
investment securities, primarily mortgage-backed securities, increased
approximately $375,000. The Company had $7.9 million of its $8.4 million
investment portfolio classified as available for sale as of December 31, 1996.
- - 8 -
<PAGE>
Home Building Bancorp, Inc.
Management's Discussion and Analysis of
Financial Condition and Results of Operation
(continued)
Financial Condition, continued
Liabilities increased by approximately $1.9 million as deposits at December 31,
1996, which were the primary funding source for the increase in assets,
increased $2.1 from September 30, 1996. The Bank's advances from the FHLB
remained unchanged. The Bank has maintained deposit interest rates which are
competitive for its marketplace and was successful during the quarter at
retaining and increasing deposits.
Results of Operations:
Comparison of the three months ended December 31, 1996 and 1995.
General. The Bank experienced a net profit of $68,000 for the quarter compared
to net profit of $83,000 for the same period in 1995. The decrease in profit
compared to the same quarter a year ago stems primarily from higher interest
expense associated with increase deposits which was not matched by
corresponding increases in interest income.
Interest Income. Total interest income decreased by $8,000, or 1.0%, to
$795,000 for the three months ended December 31, 1996, compared to the same
period last year. Interest income earned by the Bank's loan portfolio
decreased$29,000 for the three months ended December 31, 1996, compared to a
year ago. This decrease is the result of a shift in the Bank's assets toward
mortgage-backed securities, cash and liquid investments. This shift was due to
loan repayments outpacing loan originations during the period. Interest income
from mortgage-backed securities increased $32,000 for the most recent quarter,
to $103,000, compared to $71,000 the same period a year ago. Mortgage-backed
securities were $6.1 million at December 31, 1996 compared to $5.8 million at
September 30, 1996. Interest from mortgage loans decreased $14,000 from a year
ago to $446,000 for the most recent quarter, while interest on commercial and
consumer loans decreased $16,000 to $137,000. The combined weighted average
yield on the loan and mortgage-backed security portfolio was 7.96% for the three
months ended December 31, 1996, compared to 7.90% for the same period in 1995.
Interest Expense. Total interest expense increased $21,000, or 4.8%, to
$452,000 for the three months ended December 31, 1996, compared to $431,000
for the same period last year. The increase was due to interest paid on a
larger base of deposits. Deposits grew approximately $2.6 million for the three
months compared to September 30, 1996. Much of this increase was in short term
public deposits. The weighted average cost of savings has remained stable at
4.66% on December 31, 1996 compared to 4.72% at September 30, 1996. The Bank is
able to compete aggressively for savings funds when adequate spreads on loans or
investments become available. FHLB advances also remain an efficient,
available liability management tool.
Net Interest Income. Net interest income before provision for loan losses
decreased $29,000, or 7.8%, to $343,000 for the quarter ended December 31,
1996, compared to the same quarter a year ago. As of December 31, 1996,
interest-earning assets were 112.7% of interest bearing liabilities.
- - 9 -
<PAGE>
Home Building Bancorp, Inc.
Management's Discussion and Analysis of
Financial Condition and Results of Operation
(continued)
Net Interest Income, continued
While demand for mortgage loans was stronger during the most recent quarter
compared to the same quarter a year ago, the demand did not equal mortgage
principal repayments. Short term interest rates, from which the Bank
determines the rates it offers deposit customers, remained stable during the
quarter allowing the Bank to keep deposit rates steady. The Bank was also able
to attract significant new time deposits during the quarter. Significant
increases in short term interest rates would adversely affect the Bank's
interest rate spread and thus interest income. The Bank's liabilities are
generally shorter in term and subject to repricing more frequently than
assets.
The Bank continues to stress consumer and installment lending, shorter-term
(15 years and under) fixed rate mortgage loans, and adjustable rate
mortgages. Investments involve shorter-term and adjustable rate securities
to respond to changing rates. During the quarter the Bank purchased $772,000 of
adjustable rate mortgage-backed securities. The Bank, as a thrift institution,
continues to have a below average exposure to interest rate risk compared to its
peers.
Nonperforming Assets and Provision for Loan Losses. The provision for loan
losses is a result of management's periodic analysis of the adequacy of the
Bank's allowance for loan losses. During the three month period ending
December 31, 1996 no additional provision was taken against earnings to
increase the level of the allowance for loan losses. The Bank adjusts its
allowance in accordance with its Classified Assets Policy. The Bank believes
it has taken an appropriate approach toward reserve levels, consistent with the
Bank's loan portfolio, its current level of reserves, the economy, real estate
values and interest rates. The Bank has had an extremely low level of loan
losses during its history and therefore also considers the loss experience of
similar portfolios in comparable lending markets. Federal regulators may
require additional reserves as a result of their examinations of the Bank.
Accordingly, the calculation of the adequacy of the allowance is not solely
based directly on the level of nonperforming assets at any one time. No
assurance can be made that future losses will not exceed the estimated
amounts, thereby adversely affecting future results of operations. As of
December 31, 1996, the Bank's allowance for loan losses was $78,500 compared
to $77,000 one year ago. In the most recent quarter the reserve increased
$1,500 due to a recovery on a loan previously written off.
As of December 31, 1996 the Bank's non-performing assets totaled $456,000 or
1.02% of total assets. At the same date the Bank's ratio of allowance for
loan losses to non-performing assets was 17.2%.
Noninterest Income. Noninterest income decreased to $27,000 in the most
recent quarter compared to $34,000 during the same quarter in 1995. The
decrease was largely due to lower profits from the Bank's brokerage subsidiary,
whose results are reported along with other customer service fees.
Noninterest Expense. Total noninterest expense decreased $21,000, or 7.4%,
to $261,000 for the latest quarter compared to $282,000 the same quarter a year
ago. The decrease was due to reduced salaries and benefits as the Bank had a
temporary reduction of staff during the quarter. Professional fees were also
lower in the period. Management expects to add the equivalent of one full time
employee during the coming quarter in connection with the addition of Saturday
banking hours.
- - 10 -
<PAGE>
Home Building Bancorp, Inc.
Management's Discussion and Analysis of
Financial Condition and Results of Operation
(concluded)
Income Tax Expense. Income tax expense was unchanged at $41,000 for the
most recent quarter compared to the same quarter in 1995. Income before tax
expense was $109,000 this quarter compared to $124,000 for the same quarter a
year ago.
Liquidity and Capital Requirements Home Building's main sources of funds
are deposits, loan and investment repayments, fees and service charges and
Federal Home Loan Bank (FHLB) advances. Federal regulations require the Bank
to maintain cash and eligible investments in an amount equal to at least 5%
of customer accounts and short-term borrowings to assure its ability to meet
demands for withdrawals and repayments of short-term borrowings. As of
December 31, 1996, the Bank's liquidity ratio was 16.53% which is well above
the regulatory requirements.
The Bank uses its capital resources to meet ongoing commitments, to fund
maturing certificates of deposit and deposit withdrawals, to invest, to fund
existing and future loan commitments, to maintain liquidity, and to meet
operating expenses. The Bank anticipates it will have sufficient funds to meet
current loan commitments. At December 31, 1996, the Bank had outstanding
commitments to extend credit totaling $809,000. Management believes loan
repayments and other sources of funds will be adequate to meet the Bank's
foreseeable liquidity needs. FHLB advances may be used to take advantage of
investment opportunities, but are not relied upon in the regular course of
business. At December 31, 1996, certificates of deposit scheduled to mature
in one year or less totaled $17.7 million. Management believes based on its
experience to date that a significant portion of these funds will remain with
the Bank.
Home Building Savings Bank is required to maintain specific amounts of
regulatory capital pursuant to federal regulations. The table below presents
the capital position at December 31, 1996 relative to the regulatory capital
requirements.
Amount
(in thousands) Percent of Assets
Tangible Capital $ 4,338 9.78%
Tangible Capital Requirement 665 1.50
Excess $ 3,673 8.28%
Core Capital $ 4,338 9.78%
Core Capital Requirement 1,330 3.00
Excess $ 3,008 6.78%
Total Capital (Core & Supple.) $ 4,417 20.56%
Risk-Based Capital Requirement 1,719 8.00
Excess $ 2,698 12.56%
- - 11 -
<PAGE>
PART II. OTHER INFORMATION
Item 1. Legal Proceedings
None
Item 2. Changes in Securities
None
Item 3. Defaults Upon Senior Securities
None
Item 4. Submission of Matters to a 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) There were no reports on Form 8-K filed during the
quarter.
- -12-
<PAGE>
SIGNATURES
Pursuant to the requirement 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.
HOME BUILDING BANCORP, INC.
Registrant
Date: 2/14/97 /s/ Bruce A. Beesley
Bruce A. Beesley, President and
Chief Executive Officer (Duly
Authorized Officer)
Date: 2/14/97 /s/ Debra K. Shields
Debra K. Shields, Vice President
and Chief Financial Officer
(Principal Financial and
Accounting Officer)
- -13-
<PAGE>
INDEX OF EXHIBITS
Exhibit Description
27 Financial Data Schedule
- -14-
<TABLE> <S> <C>
<ARTICLE> 9
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM UNAUDITED
FINANCIAL STATEMENTS DATED DECEMBER 31, 1996 AND IS QUALIFIED IN ITS ENTIRETY BY
REFERENCE TO SUCH FINANCIAL STATEMENTS
</LEGEND>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> SEP-30-1997
<PERIOD-START> OCT-01-1996
<PERIOD-END> DEC-31-1996
<CASH> 1,987,822
<INT-BEARING-DEPOSITS> 4,674,595
<FED-FUNDS-SOLD> 0
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 7,907,598
<INVESTMENTS-CARRYING> 440,483
<INVESTMENTS-MARKET> 446,000
<LOANS> 28,365,532
<ALLOWANCE> 78,500
<TOTAL-ASSETS> 44,563,762
<DEPOSITS> 34,755,316
<SHORT-TERM> 21,673
<LIABILITIES-OTHER> 520,700
<LONG-TERM> 3,699,985
0
0
<COMMON> 3,317
<OTHER-SE> 5,562,771
<TOTAL-LIABILITIES-AND-EQUITY> 44,563,762
<INTEREST-LOAN> 583,622
<INTEREST-INVEST> 33,789
<INTEREST-OTHER> 177,945
<INTEREST-TOTAL> 795,356
<INTEREST-DEPOSIT> 395,871
<INTEREST-EXPENSE> 451,860
<INTEREST-INCOME-NET> 343,496
<LOAN-LOSSES> 0
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 261,437
<INCOME-PRETAX> 109,253
<INCOME-PRE-EXTRAORDINARY> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 68,232
<EPS-PRIMARY> .24
<EPS-DILUTED> .24
<YIELD-ACTUAL> .02
<LOANS-NON> 456,000
<LOANS-PAST> 0
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 77,000
<CHARGE-OFFS> 0
<RECOVERIES> 1,500
<ALLOWANCE-CLOSE> 78,500
<ALLOWANCE-DOMESTIC> 68,400
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 10,100
</TABLE>
