<PAGE>
FORM 10Q-QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
(Mark One)
[x] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934.
For the quarterly period ended March 31, 1998.
---------------
[] Transition Report Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934.
For the transition period from.
----------------------
Commission file number: 333-16011
FIRST MARINER BANCORP
---------------------
(Exact name of registrant as specified in its charter)
MARYLAND 52-1834860
-------- ----------
(State of Incorporation) (I.R.S. Employer Identification Number)
1801 South Clinton Street, Baltimore, MD 21224 410-342-2600
- ---------------------------------------- ----- ------------
(Address of principal executive offices) (Zip Code) (Telephone Number)
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 for such shorter period that the
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the 90 days.
Yes X No
----- -----
The number of shares of common stock outstanding as of May 13, 1998 is
3,155,969 shares.
1
<PAGE>
FIRST MARINER BANCORP
INDEX
PART I--FINANCIAL INFORMATION
<TABLE>
<CAPTION>
PAGE
----
<S> <C>
Item 1 - FINANCIAL STATEMENTS
Consolidated Statements of Financial Condition
March 31, 1998 (unaudited) and December 31, 1997.............................. 3
Consolidated Statements of Operations for the
Three Month Periods Ended March 31, 1998
and March 31, 1997 (unaudited)................................................ 4
Consolidated Statements of Cash Flow for the
Three Month Periods Ended March 31, 1998
and March 31, 1997 (unaudited)................................................ 5
Notes to Consolidated Financial Statements..................................... 6
Item 2 - Management's discussion and analysis of
financial condition and results of operations.................................. 7
PART II - Other Information
Item 1 - Legal proceeding............................................................... 12
Item 2 - Changes in securities and use of proceeds...................................... 12
Item 3 - Defaults on senior securities.................................................. 12
Item 4 - Submission of matters to a vote of security holders............................ 12
Item 5 - Other information.............................................................. 12
Item 6 - Exhibits and reports on 8-K.................................................... 12
Signatures.................................................................................. 13
</TABLE>
2
<PAGE>
PART I. Item 1.
FIRST MARINER BANCORP AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
<TABLE>
<CAPTION>
MARCH 31, DECEMBER 31,
1998 1997
- ------------------------------------------------------------- -------------- --------------
ASSETS (UNAUDITED)
<S> <C> <C>
Cash and due from banks...................................... $ 16,572,596 $ 13,240,476
Interest-bearing deposits.................................... 21,336,504 32,676,735
Available-for-sale securities, at fair value................. 33,772,843 32,852,287
Investment securities, fair value of $6,642,650 and
$8,642,595 respectively.................................... 6,602,985 8,600,621
Loans held for sale.......................................... 15,729,757 16,895,062
Loans receivable............................................. 160,530,522 144,071,961
Allowance for loan losses.................................... (1,672,484) (1,613,621)
-------------- --------------
Loans, net................................................... 158,858,038 142,458,340
Other real estate owned...................................... 2,419,946 1,944,236
Federal Home Loan Bank of Atlanta stock, at cost............. 1,000,000 1,399,300
Property and equipment....................................... 5,331,642 4,775,512
Accrued interest receivable.................................. 1,395,659 1,433,529
Prepaid expenses and other assets............................ 788,614 708,208
-------------- --------------
Total assets................................................. $ 263,808,584 $ 256,984,306
-------------- --------------
LIABILITIES AND STOCKHOLDERS'
EQUITY
Liabilities:
Deposits..................................................... $ 204,017,844 $ 197,269,328
Federal Home Loan Bank advances.............................. 20,000,000 15,000,000
Other Borrowings............................................. 12,166,466 15,330,935
Accrued expenses and other liabilities....................... 420,133 2,418,387
-------------- --------------
Total liabilities............................................ 236,604,443 230,018,650
-------------- --------------
Stockholders' equity
Common stock................................................. 143,453 142,578
Additional paid-in capital................................... 29,999,628 29,825,503
Accumulated deficit.......................................... (3,180,226) (3,331,568)
Accumulated other comprehensive income....................... 241,286 329,143
-------------- --------------
Total stockholders' equity................................... 27,204,141 26,965,656
-------------- --------------
Total liabilities and stockholders' equity................... $ 263,808,584 $ 256,984,306
-------------- --------------
-------------- --------------
</TABLE>
See accompanying notes to consolidated financial statements.
3
<PAGE>
FIRST MARINER BANCORP AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS
For the three months ended March 31, 1998 and 1997 (unaudited)
<TABLE>
<CAPTION>
1998 1997
------------ ------------
<S> <C> <C>
Interest income:
Loans............................................................. $ 3,784,390 $ 2,525,088
Investments....................................................... 465,164 379,298
Available-for-sale securities..................................... 411,496 --
------------ ------------
Total interest income............................................. 4,661,050 2,904,386
------------ ------------
Interest expense:
Deposits.......................................................... 2,066,440 1,141,838
Borrowed funds and other.......................................... 153,879 42,209
------------ ------------
Total interest expense............................................ 2,220,319 1,184,047
------------ ------------
Net interest income............................................... 2,440,731 1,720,339
Provision for loan losses......................................... 152,467 135,000
------------ ------------
Net interest income after provision for loan losses............... 2,288,264 1,585,339
------------ ------------
Noninterest income:
Gain on sale of loans............................................. 236,828 143,906
Service fees on deposits.......................................... 392,366 260,419
Gain on sale of securities........................................ 284,797 13,500
Other operating income............................................ 118,692 39,480
------------ ------------
Total noninterest income.......................................... 1,032,683 457,305
------------ ------------
Noninterest expenses:
Salaries and employee benefits.................................... 1,471,183 960,721
Net occupancy..................................................... 399,518 232,236
Deposit insurance premiums........................................ 27,407 13,025
Furniture, fixtures and equipment................................. 148,497 97,999
Professional services............................................. 160,493 38,564
Advertising....................................................... 170,492 116,400
Data processing................................................... 192,000 101,000
Other............................................................. 600,015 458,623
------------ ------------
Total noninterest expenses........................................ 3,169,605 2,018,568
------------ ------------
Income before taxes............................................... 151,342 24,076
Provision for income taxes........................................ -- --
------------ ------------
Net income........................................................ $ 151,342 $ 24,076
------------ ------------
------------ ------------
Net income per common share:
Basic............................................................. $ 0.05 $ 0.01
Diluted........................................................... 0.04 0.01
------------ ------------
------------ ------------
</TABLE>
See accompanying notes to consolidated financial statements.
4
<PAGE>
FIRST MARINER BANCORP AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOW
For the three months ended March 31, 1998 and 1997 (unaudited)
<TABLE>
<CAPTION>
1998 1997
------------- -------------
<S> <C> <C>
Cash flows from operating activities:
Net income...................................................... $ 151,342 $ 24,076
Adjustments to reconcile net income to net cash used by
operating activities:
Amortization of unearned loan fees, net......................... (197,839) (214,803)
Amortization of premiums on deposits............................ (6,237) (7,008)
Amortization of discounts on loans.............................. (16,437) (16,437)
Depreciation and amortization................................... 217,085 146,180
Provision for loan losses....................................... 152,467 135,000
Gain on sale of securities...................................... (284,797) (13,500)
Change in mortgage loans held for sale.......................... 1,165,305 (614,837)
Net increase (decrease) in accrued expenses and other
liabilities................................................... (1,953,463) 899,071
Net increase in prepaids and other assets....................... (77,635) (1,040,553)
------------- -------------
Net cash used in operating activities........................... (850,209) (702,811)
------------- -------------
Cash flows from investing activities:
Loan disbursements, net of principal repayments................. (16,786,719) (11,767,313)
Purchase of property and equipment.............................. (754,484) (140,238)
Purchases (redemptions) of Federal Home Loan Bank of Atlanta
stock......................................................... 399,300 (452,100)
Sale of available-for-sale securities........................... 931,478 (677,013)
Purchase of available-for-sale securities....................... (5,140,045) --
Maturity of available-for-sale securities....................... 2,500,000 --
Maturity of investment securities............................... 2,000,000 --
Purchase of investment securities............................... -- (12,000,000)
Construction disbursements-other real estate owned.............. (19,842) --
Principal repayments of available-for-sale securities........... 947,126 --
------------- -------------
Net cash used in investing activities........................... (15,923,186) (25,036,664)
------------- -------------
Cash flows form financing activities:
Net increase in deposits........................................ 6,754,753 16,607,219
Proceeds from advances from Federal Home Loan Bank of Atlanta... 15,000,000 10,000,000
Repayments of other borrowings.................................. (3,164,469) --
Repayment of advances from Federal Home Loan Bank of Atlanta.... (10,000,000) (6,000,000)
Proceeds from stock issuance, net............................... 175,000 2,343,600
------------- -------------
Net cash provided by financing activities....................... 8,765,284 22,950,819
------------- -------------
Decrease in cash and cash equivalents........................... (8,008,111) (2,788,656)
Cash and cash equivalents at beginning of period................ 45,917,211 32,510,060
------------- -------------
Cash and cash equivalents at end of period...................... $ 37,909,100 $ 29,721,404
------------- -------------
------------- -------------
Supplemental information:
Interest paid on deposits and borrowed funds.................... $ 2,221,033 $ 1,067,047
Real estate acquired in satisfaction of loans................... 455,868 --
------------- -------------
------------- -------------
</TABLE>
See accompanying notes to consolidated financial statements.
5
<PAGE>
FIRST MARINER BANCORP AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED MARCH 31, 1998 AND 1997
GENERAL
The foregoing consolidated financial statements of First Mariner Bancorp
(the "Company") are unaudited; however, in the opinion of management, all
adjustments (comprising only normal recurring accruals) necessary for a fair
presentation of the results of interim periods have been included. These
statements should be read in conjunction with the financial statements and
accompanying notes included in First Mariner Bancorp's 1997 Annual Report to
Shareholders. The results shown in this interim report are not necessarily
indicative of results to be expected for the full year.
The accounting and reporting policies of the Company conform to
generally accepted accounting principles and to general practice within the
banking industry. Certain reclassifications have been made to amounts
previously reported to conform with current classifications.
New Accounting Standards-Effective January 1, 1998 the Company adopted
Statement of Financial Accounting Standards No. 130, "Reporting Comprehensive
Income" "SFAS No. 130". SFAS No. 130 establishes standards for the reporting
and display of comprehensive income and its components in a full set of
general-purpose financial statements. All items that are required to be
recognized under accounting standards as components of comprehensive income
are to be reported in an annual financial statement that is displayed with
the same prominence as other financial statements. This statement stipulates
that comprehensive income reflect the change in equity of an enterprise
during a period of transactions and other events and circumstances from
nonowner sources. Comprehensive income will thus represent the sum of net
income and other accumulated comprehensive income. The accumulated balance of
other accumulated comprehensive income is required to be displayed separately
from retained earnings and additional paid-in capital in the statement of
financial position. The adoption of SFAS No. 130 resulted primarily in the
Company reporting unrealized gains and losses on available-for-sale securities
in other comprehensive income.
The Company's components of comprehensive income are as follows:
<TABLE>
<CAPTION>
THREE MONTHS ENDED
MARCH 31,
1998 1997
---------- ---------
<S> <C> <C>
Net income............................................................. $ 151,342 $ 24,076
Changes in accumulated other comprehensive income - unrealized
gains and losses on investments...................................... (87,857) 39,125
---------- ---------
Total comprehensive income............................................. $ 63,485 $ 63,201
---------- ---------
---------- ---------
</TABLE>
6
<PAGE>
Consolidation has resulted in the elimination of all significant
intercompany accounts and transactions.
Per share data-On May 12, 1998, the Board of Directors declared a 10%
stock dividend. Average shares outstanding and all per share amounts are
based on the increased number of shares giving retroactive effect to the
stock dividend.
Basic earnings per share is computed by dividing income available to
common shareholders by the weighted-average number of common shares
outstanding. Diluted EPS is computed after adjusting the numerator and
denominator of the basic EPS computation for the effects of all dilutive
potential common shares outstanding during the period. The dilutive effects
of options, warrants and their equivalents are computed using the "treasury
stock" method.
Information relating to the calculation of earnings per common share is
summarized as follows:
<TABLE>
<CAPTION>
FOR PERIOD ENDED MARCH 31,
----------------------------------------------
1998 1997
---------------------- ----------------------
BASIC DILUTED BASIC DILUTED
- --------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Net income.................................................... $ 151,342 151,342 24,076 24,076
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
Weighted-average shares outstanding........................... 3,142,433 3,142,433 3,061,956 3,061,956
Dilutive securities-options and warrants...................... 455,208 261,304
---------- ---------- ---------- ----------
Adjusted weighted-average shares.............................. 3,142,433 3,597,641 3,061,956 3,323,260
---------- ---------- ---------- ----------
</TABLE>
ITEM 2--MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATION
The following discussion should be read and reviewed in conjunction with
Management's Discussion and Analysis of Financial Condition and Results of
Operations set forth in the Company's Annual Report on Form 10-KSB for the
year ended December 31, 1997.
In addition to historical information, this Form 10-Q contains
forward-looking statements that involve risks and uncertainties, such as
statements of the Company's plans and expectations, and unknown outcomes. The
Company's actual results could differ materially from management's
expectations. Factors that could contribute to those differences include, but
are not limited to, the federal government, changes in tax policies, changes
in interest rates, deposit flow, the cost of funds, demand for loan products
and financial services, changes in the Company's competitive position,
changes in the quality or composition of loan and investment portfolios, and
the ability of the Company to manage growth.
7
<PAGE>
THE COMPANY
The Company is a bank holding company formed in Maryland in 1994 under
the name MarylandsBank Corporation that later changed its name to First
Mariner Bancorp in May 1995. The business of the Company is conducted through
its wholly-owned subsidiary First Mariner Bank (the "Bank"), whose deposits
are insured by the Federal Deposit Insurance Corporation ("FDIC"). The Bank,
which is headquartered in Baltimore City, serves the central region of the
State of Maryland through 18 full service branches and 29 Automated Teller
Machines ("ATMs").
The Bank is an independent community bank engaged in the general
commercial banking business with particular emphasis on the needs of
individuals and small to mid-sized businesses. The Bank emphasizes personal
attention and professional service to its customers while delivering a range
of traditional and contemporary financial products.
The Company's executive officers are located at 1801 South Clinton
Street, Baltimore, Maryland 21224 and its telephone number is (410) 342--2600.
FINANCIAL CONDITION
The Company's total assets were $263,808,584 at March 31, 1998, compared
to $256,984,306 at December 31, 1997, increasing $6,824,278 or 2.66% for the
first three months of 1998. Earning assets increased $2,875,945 or 1.22% to
$237,972,611 from $235,096,666.
The investment portfolio, consisting of available-for-sale and
held-to-maturity securities decreased $1,077,080 from December 31, 1997.
Interest bearing deposits as of March 31, 1998 fell $11,340,231 to
$21,336,504 when compared to the December 31, 1997 balance of $32,676,735.
Interest bearing deposits and securities designated as available-for-sale
represent a significant source of liquidity as of March 31, 1998.
Total loans receivable increased $16,458,561 or 11.42% to $160,530,522
for the first three months of 1998. The majority of the increase was real
estate secured loans. Loans held for sale decreased $1,165,305 from
$16,895,062 at December 31, 1997 to $15,729,757 at March 31, 1998, reflecting
normal mortgage banking activity in the Bank's mortgage banking subsidiary,
First Mariner Mortgage Corporation. First Mariner Mortgage Corporation sold
$28,663,000 of residential mortgages during the first quarter of 1998 in
comparison to approximately $4,900,000 in 1997.
8
<PAGE>
The loan portfolio was comprised of the following:
<TABLE>
<CAPTION>
MARCH 31, 1998 DECEMBER 31, 1997
------------------------- -------------------------
PERCENT PERCENT
AMOUNT OF TOTAL AMOUNT OF TOTAL
-------------- --------- -------------- ---------
Type of Loans
- -------------
<S> <C> <C> <C> <C>
Commercial................................................... $ 24,076,283 14.96% $ 24,118,724 16.69%
Commercial real estate and construction (1).................. 88,410,062 54.95% 81,039,474 56.06%
Residential real estate...................................... 41,184,604 25.60% 34,396,190 23.80%
Consumer..................................................... 7,222,533 4.49% 4,992,111 3.45%
-------------- --------- -------------- ---------
Total loans.................................................. 160,893,482 100.00% 144,546,499 100.00%
Add:
Unamortized loan premiums.................................... 123,127 139,564
Less:
Unearned income.............................................. 486,087 614,102
-------------- --------- -------------- ---------
Total loans.................................................. $ 160,530,522 $ 144,071,961
-------------- --------- -------------- ---------
-------------- --------- -------------- ---------
</TABLE>
(1) Net of undisbursed principal
CREDIT RISK MANAGEMENT
The first quarter provision for loan losses was $152,467 in 1998
compared to $135,000 for the three month period in 1997. Net chargeoffs for
March 31, 1998 were $93,604 compared to no net chargeoffs recorded for the
same three month period in 1997. The allowance for loan losses stands at
$1,672,484 at March 31, 1998 compared to $1,613,621 at December 31, 1997. As
of March 31, 1998 the allowance for loan loss is 1.04% of outstanding loans
as compared to 0.96% on March 31, 1997.
9
<PAGE>
Activity in the allowance for loan losses is as follows:
<TABLE>
<CAPTION>
THREE MONTHS ENDED MARCH 31,
1998 1997
------------- -------------
<S> <C> <C>
Allowance for loan losses, beginning of period................. $ 1,613,621 $ 1,241,663
------------- -------------
Loans charged off:
Commercial..................................................... (95,000) --
Real estate.................................................... -- --
Consumer....................................................... -- --
------------- -------------
Total loans charged off........................................ (95,000) --
------------- -------------
Recoveries
Commercial..................................................... -- --
Real estate.................................................... -- --
Consumer....................................................... 1,396 --
------------- -------------
Total recoveries............................................... 1,396 --
------------- -------------
Net chargeoffs................................................. (93,604) --
------------- -------------
Provision for loan losses...................................... 152,467 135,000
------------- -------------
Allowance for loan losses, end of period....................... $ 1,672,484 $ 1,376,663
------------- -------------
------------- -------------
Loans (net of premiums and discounts)
Period-end balance............................................. 160,530,522 144,071,961
Average balance during period.................................. 147,702,000 110,287,000
Allowance as percentage of period-end loan balance............. 1.04% 0.96%
Percent of average loans:
Provision for loan losses...................................... 0.42% 0.50%
Net chargeoffs................................................. 0.26% 0.00%
</TABLE>
Non-performing assets, expressed as a percentage of total assets,
increased to 1.45% at March 31, 1998 from 1.36% at December 31, 1997,
reflecting the increase in real estate acquired by foreclosure. Non-accrual
loans were $1,356,000 at March 31, 1998 compared to $1,550,000 at December
31, 1997. Non-performing assets were as follows:
<TABLE>
<CAPTION>
MARCH 31, DECEMBER 31, MARCH 31,
1998 1997 1997
------------ ------------ ------------
<S> <C> <C> <C>
Loans on nonaccrual basis.......................... $ 1,356,000 $1,550,000 $ 1,557,000
Real estate acquired by foreclosure................ 2,420,000 1,944,000 --
------------ ------------ ------------
Total nonperforming assets......................... $ 3,776,000 $3,494,000 $ 1,557,000
------------ ------------ ------------
------------ ------------ ------------
Loans past-due 90 days or more and accruing........ $ 268,000 $ 276,000 $ 959,000
------------ ------------ ------------
------------ ------------ ------------
</TABLE>
At March 31, 1998, the allowance for loan losses represented 123.5% of
nonaccruing loans compared to 104.1% at December 31, 1997. Management
believes the allowance for loan losses at March 31, 1998 is adequate.
10
<PAGE>
Deposits were $204,017,844 as of March 31, 1998, increasing $6,748,516
or 3.42% from the December 31, 1997 balance of $197,269,328. The increase in
deposits is attributable to activity generated by an advertising campaign and
the expanding branch network. FHLB advances and other short-term borrowings
increased to $32,166,466 as of March 31, 1998 from $30,330,935 as of December
31, 1997.
RESULTS OF OPERATION
Net Interest Income. First quarter net interest income before provision
for loan losses was $2,440,966 in 1998, an increase of 41.89% over $1,720,339
in 1997, reflecting primarily an increase of $84,692,000 in average earning
assets. The net yield on earning assets was 4.47% for the first three months
of 1998 as compared to 5.10% for the first three months of 1997.
Noninterest Income and Expenses-Noninterest income increased $575,378 or
125.82% for the first quarter 1998 to $1,032,083 from $457,305 in 1997. The
primary reasons were an increase in the gains on the sale of securities, an
increased volume of gains on sale of loans sold by First Mariner Mortgage
Corporation, and an increase in deposit related fees, primarily ATM fees and
overdraft fees. First Mariner Mortgage Corporation sold $28,663,000
residential mortgage loans in 1998 compared to approximately $4,900,000 in
1997 for three month period.
First quarter noninterest expense increased $1,151,037 or 57.02% to
$3,169,605 in 1998 from $2,018,568 in 1997. Increases in almost all areas
were incurred to support the substantially increased asset base and the
expanding branch network.
Income Taxes- The Company did not recognize any income tax benefit or
expense for the three months ended March 31, 1998 or 1997 due to the
availability of net operating loss carryforwards.
LIQUIDITY AND CAPITAL RESOURCES
Stockholders' equity increased $238,485 or 0.88% in 1998 to $27,204,141
from $26,965,656 as of December 31, 1997. No cash dividends have been
declared by the Company since its inception.
Banking regulatory authorities have implemented strict capital
guidelines directly related to the credit risk associated with an
institution's assets. Banks and bank holding companies are required to
maintain capital levels based on their "risk adjusted" assets so that
categories of assets with higher "defined" credit risks will require more
capital support than assets with lower risk. Additionally, capital must be
maintained to support certain off-balance sheet instruments.
11
<PAGE>
The Bank has exceeded its capital adequacy requirements to date. The Company
regularly monitors its capital adequacy ratios to assure that the Bank exceeds
its regulatory capital requirements.
The Bank's most liquid assets are cash and cash equivalents, which are
cash on hand, amounts due from financial institutions, federal funds sold,
stock investments and money market mutual funds. The levels of such assets
are dependent on the Bank's operating, financing and investment activities at
any given time. The variations in levels of cash and cash equivalents are
influenced by deposit flows, anticipated deposit flows and loan growth.
12
<PAGE>
PART II--OTHER INFORMATION
ITEM 1- LEGAL PROCEEDINGS--NONE
ITEM 2- CHANGES IN SECURITIES AND USE OF PROCEEDS--NONE
ITEM 3- DEFAULTS ON SENIOR SECURITIES--NONE
ITEM 4- SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
At the Company's Annual Meeting of Stockholders held May 12, 1998, the
following directors were elected to serve a three-year term expiring upon the
date of the Company's 2001 Annual Meeting or until their respective
successors are duly elected and qualified.
<TABLE>
<CAPTION>
VOTES COST
FOR AGAINST
---------- ---------
<S> <C> <C>
Rose M. Cernak........................................ 2,506,943 13,677
Christopher D'Anna.................................... 2,509,020 11,600
George H. Mantakos.................................... 2,509,443 11,177
</TABLE>
Shareholders voted in favor of adoption of KPMG Peat Marwick LLP to
serve as independent auditors for 1998.
<TABLE>
<CAPTION>
FOR AGAINST
--- -------
<S> <C>
2,502,690 13,430
</TABLE>
Shareholders voted in favor of adoption of the 1998 Stock Option Plan.
<TABLE>
<CAPTION>
FOR AGAINST
--- -------
<S> <C>
1,573,468 48,013
</TABLE>
Shareholders voted in favor of adoption of the Employee Stock Purchase Plan.
<TABLE>
<CAPTION>
FOR AGAINST
--- -------
<S> <C>
1,541,020 30,667
</TABLE>
ITEM 5 - OTHER INFORMATION--NONE
ITEM 6 - EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibit Number
27--Financial Data Schedule
(b) Reports on Form 8-K--None
13
<PAGE>
SIGNATURES
Pursuant to the requirements of Section 13 or 15 (d) 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.
FIRST MARINER BANCORP
By: /s/ Edwin F. Hale Sr.
-------------------------
Edwin F. Hale Sr.
Chairman and Chief Executive Officer
Pursuant to the requirements of the Securities Exchange Act of 1934,
this report has been signed below by the following persons on behalf of the
Registrant and in the capacities and on the dates indicated.
Chairman and Chief
/s/ Edwin F. Hale Sr. Executive Officer ,1998
- --------------------- (Principal Executive Officer)
Edwin F. Hale, Sr.
- --------------------- Director, President and Chief
Joseph A. Cicero Operating Officer ,1998
- ---------------------
George H. Mantakos Director and Executive ,1998
Vice President
/s/ Kevin M. Healey Controller (Principal ,1998
- ---------------------
Kevin M. Healey Financial Officer)
- ---------------------
Barry B. Bondroff Director ,1998
- ---------------------
Rose M. Cernak Director ,1998
- ---------------------
Christopher P. D'Anna Director ,1998
- ---------------------
Bruce H. Hoffman Director ,1998
- ---------------------
Melvin S. Kabik Director ,1998
- ---------------------
R. Andrew Larkin Director ,1998
- ---------------------
Jay J.J. Matriccinai Director ,1998
- ---------------------
Dennis C. McCoy Director ,1998
14
<PAGE>
- ---------------------
Walter L. McManus, Jr. Director ,1998
- ---------------------
James P. O'Conor Director ,1998
- ---------------------
John J. Oliver, Jr. Director ,1998
- ---------------------
Hanan Y. Sibel Director ,1998
- ---------------------
Leonard Stoler Director ,1998
15
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 9
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-START> JAN-01-1998
<PERIOD-END> MAR-31-1998
<CASH> 16,572,596
<INT-BEARING-DEPOSITS> 21,336,504
<FED-FUNDS-SOLD> 0
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 31,765,968
<INVESTMENTS-CARRYING> 8,609,860
<INVESTMENTS-MARKET> 0
<LOANS> 160,530,522
<ALLOWANCE> 1,672,484
<TOTAL-ASSETS> 263,808,584
<DEPOSITS> 204,017,844
<SHORT-TERM> 32,166,466
<LIABILITIES-OTHER> 420,133
<LONG-TERM> 0
0
0
<COMMON> 143,453
<OTHER-SE> 27,060,688
<TOTAL-LIABILITIES-AND-EQUITY> 263,808,584
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<INTEREST-INVEST> 876,660
<INTEREST-OTHER> 0
<INTEREST-TOTAL> 4,661,050
<INTEREST-DEPOSIT> 2,036,440
<INTEREST-EXPENSE> 2,220,319
<INTEREST-INCOME-NET> 2,440,731
<LOAN-LOSSES> 152,467
<SECURITIES-GAINS> 284,797
<EXPENSE-OTHER> 3,169,605
<INCOME-PRETAX> 151,342
<INCOME-PRE-EXTRAORDINARY> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 151,342
<EPS-PRIMARY> 0.05
<EPS-DILUTED> 0
<YIELD-ACTUAL> 0
<LOANS-NON> 1,355,956
<LOANS-PAST> 268,000
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<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 1,613,621
<CHARGE-OFFS> 95,000
<RECOVERIES> 1,396
<ALLOWANCE-CLOSE> 1,672,484
<ALLOWANCE-DOMESTIC> 1,672,484
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
