SECURITIES AND EXCHANGE COMMISSION
Washington, DC 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)
December 31, 1996
NORTHEAST INDIANA BANCORP, INC.
(Exact name of Registrant as specified in its Charter)
Delaware 0-26012 35-1948594
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(State or other (Commission File Number) (IRS Employer
jurisdiction of Identification
incorporation) Number)
648 North Jefferson Street, Huntington, Indiana 46750
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(Address of principal executive offices) (Zip Code)
(219) 356-3311
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Registrant's telephone number, including area code
N/A
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(Former name or former address, if changed since last report)
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Item 5. Other Events
Northeast Indiana Bancorp, Inc. (the "Registrant") issued a press release dated
February 3, 1997, attached hereto as Exhibit 28.1 announcing cash dividends and
fourth quarter earnings.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
(c) Exhibits
Exhibit 28.1 Press Release dated February 3, 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.
NORTHEAST INDIANA BANCORP, INC.
\s\ STEPHEN E. ZAHN
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Date: February 3, 1997 By: Stephen E. Zahn
President and Chief Executive Officer
Exhibit 28.1
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FOR IMMEDIATE RELEASE
FEBRUARY 3, 1997
FOR ADDITIONAL INFORMATION
CONTACT:DARRELL E. BLOCKER
SR VICE PRESIDENT, CFO
(219) 356-3311
NORTHEAST INDIANA BANCORP, INC.
DECLARES CASH DIVIDENDS AND ANNOUNCES FOURTH QUARTER EARNINGS
HUNTINGTON, INDIANA, -- Northeast Indiana Bancorp, Inc. (NEIB), parent
corporation of First Federal Savings Bank, has announced that the Corporation
will pay a cash dividend for the quarter ended December 31, 1996. This will be
the sixth consecutive quarterly cash dividend the Corporation has paid. The cash
dividend of $0.08 will be payable on February 24, 1997 to shareholders of record
on February 10, 1997. NEIB also announced today net income of $482,000 ($0.26
per share) for the Company's fourth quarter ended December 31, 1996, compared to
net income of $384,000 ($0.18 per share) for the fourth quarter ended December
31, 1995. The current three months earnings represents an annualized return on
average assets (ROA) of 1.16% and a return on average equity (ROE) of 7.20%.
Net income for the year ended December 31, 1996 was $1.57 million ($0.84 per
share) compared with net income of $1.32 million for the same period in 1995, an
18.9% increase in earnings. The Company completed its initial public offering on
June 27, 1995. As the conversion was effective on June 27, 1995, no earnings per
share for the prior year were reported. For the year ended December 1996, NEIB's
earnings represent an annualized ROA of 1.02% and a ROE of 5.49% using average
assets and equity respectively.
Stephen E. Zahn, President and Chief Executive Officer, attributes the $248,000
increase in net income for the year ended December 1996 compared to the year
ended December 1995 to higher net interest income of $5.57 million compared to
$4.33 million in 1995. This increase in net interest income is the result of
higher average net interest earning assets and higher average spreads. This
increase was partially offset by increased noninterest expenses in 1996 of $3.21
million compared to $2.36 million in 1995. The largest expense increase was for
the additional FDIC assessment for the one time recapitalization of the SAIF
fund of $453,000 taken in September 1996 which reduced net income for the year
ended December 31, 1996 by approximately $274,000 net of tax ($0.14 per share).
The FDIC assessment expense represents 53% of the total increase in the 1996
noninterest expense compared to 1995.
The Corporation showed $169.5 million in assets at December 31, 1996 which is a
23% growth compared to the December 31, 1995 total of $137.6 million. The
majority of this asset growth was in net loans receivable which increased to
$147.9 million at December 31, 1996 compared to $122.6 million at December 31,
1995 a 20.6% growth.
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Northeast Indiana Bancorp, Inc.
December 31, 1996 Press Release
Page 2
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The book value of NEIB's stock is $14.65 per share as of December 31, 1996
compared to $14.22 per share as of December 31, 1995. The last reported trade of
the stock was at $13.63 per share on December 31, 1996. NEIB continues to focus
on improvement in shareholder value. During the year the Company has announced
three stock repurchase programs to buy outstanding shares of stock. The stock
when purchased becomes treasury shares and can be used for general corporate
purposes, including the issuance of shares in connection with grants and awards
under the Company's stock benefit plans. The Company as of December 31, 1996 has
repurchased 148,000 shares of the 195,859 shares to be repurchased in the
currently approved repurchase program. The Company has a total of 371,539 shares
in treasury stock and 1,810,586 shares outstanding at the end of period December
31, 1996. Total shareholders' equity at December 31, 1996 is $26.5 million
compared to $31.0 million at December 31, 1995 this decrease is predominately
due to the repurchase of treasury shares which amounted to approximately $4.8
million.
The Company has purchased 15,500 shares as treasury stock in January 1997 to
further reduce our end of period outstanding shares to 1,795,086 as of today.
Over the past three months, the shares traded between $12.63 and $14.00 per
share. The Company's stock closed at $13.50 as of January 28, 1997.
Northeast Indiana Bancorp, Inc. is headquartered at 648 North Jefferson Street,
Huntington, Indiana 46750 and the Company's traded on the Nasdaq National Market
under the symbol "NEIB".
