SECURITIES 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 June 30, 1999
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 0-26560
HARDIN BANCORP, INC.
- --------------------------------------------------------------------------------
(Exact name of Registrant as specified in its Charter)
Delaware 43-1719104
- --------------------------------------------------------------------------------
State or other jurisdiction of (I.R.S. Employer
incorporation or organization Identification Number)
201 Northeast Elm Street, Hardin, Missouri 64035
- --------------------------------------------------------------------------------
(Address of principal executive offices) (Zip code)
Registrant's telephone number, including area code: (660) 398-4312
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 past 90 days.
Yes [ X ] No [ ]
Indicate the number of shares outstanding of each of the issuer's classes of
common stock as of the latest practicable date.
Class Outstanding at June 30, 1999
- --------------------------------------------------------------------------------
Common stock, .01 par value 734,753
<PAGE>
HARDIN BANCORP, INC. AND SUBSIDIARIES
CONTENTS
PART I
FINANCIAL INFORMATION
Item 1.
Unaudited Financial Statements ............................ Page
Consolidated Balance Sheets............................ 1
Consolidated Statements of Earnings.................... 2
Consolidated Statements of Stockholders' Equity........ 3
Consolidated Statements of Cash Flows................... 4-5
Notes to Consolidated Financial Statements.............. 6
Item 2.
Management's Discussion and Analysis of
Financial Condition and Results of
Operations................................................. 7-10
PART II
OTHER INFORMATION.......................................... 11
Signatures................................................. 12
<PAGE>
<TABLE>
<CAPTION>
Hardin Bancorp, Inc. and Subsidiaries
Consolidated Balance Sheets
June 30, 1999 March 31, 1999
-------------- ---------------
(Unaudited)
Assets
<S> <C> <C>
Cash $ 1,110,276 $ 838,044
Interest bearing deposits 2,651,920 4,156,648
Investment securities available-for-sale 40,575,529 44,519,193
Mortgage-backed securities available-for-sale 11,270,448 12,584,419
Loans receivable, net 72,744,634 69,504,900
Accrued interest receivable:
Investment securities 456,631 501,114
Mortgage-backed securities 81,834 91,008
Loans receivable 495,450 456,003
Premises and equipment 1,834,535 1,832,311
Stock in Federal Home Loan Bank (FHLB) of Des Moines, at cost 2,000,000 2,000,000
Deferred income taxes receivable 507,220 188,000
Prepaid expenses and other assets 379,464 384,481
============= =============
Total assets $ 134,107,941 $ 137,056,121
============= =============
Liabilities and Stockholders' Equity
Liabilities:
Deposits $ 85,180,868 $ 83,326,871
Advances from borrowers for property taxes and insurance 461,811 294,424
Advances from FHLB 35,000,000 40,000,000
Accrued interest payable 39,930 40,949
Income taxes payable:
Current 298,358 159,367
Deferred -- --
Accrued expenses and other liabilities 966,155 674,969
------------- -------------
Total liabilities 121,947,122 124,496,580
------------- -------------
Stockholders' equity:
Common stock, $.01 par value; 3,500,000 shares authorized, 10,580 10,580
1,058,000 shares issued
Serial preferred stock, $.01 par value;
500,000 shares authorized, none issued or outstanding -- --
Additional paid in capital 10,252,604 10,252,604
Retained earnings 8,219,886 8,097,420
Accumulated other comprehensive loss (937,575) (394,038)
Unearned employee benefits (621,046) (643,395)
Treasury stock (323,247 shares at cost) (4,763,630) (4,763,630)
------------- -------------
Total stockholders' equity 12,160,819 12,559,541
============= =============
Total liabilities and stockholders' equity $ 134,107,941 $ 137,056,121
============= =============
</TABLE>
See accompanying notes to unaudited consolidated financial statements.
-1-
<PAGE>
<TABLE>
<CAPTION>
Hardin Bancorp, Inc. and Subsidiaries
Consolidated Statements of Earnings
For the Three Months Ended
June 30, 1999 and 1998
(Unaudited)
1999 1998
---------- ----------
<S> <C> <C>
Interest income:
Loans receivable $1,430,390 $1,307,251
Mortgage-backed securities 169,021 283,477
Investment securities 674,607 569,461
Other 61,770 64,656
---------- ----------
Total interest income 2,335,788 2,224,845
---------- ----------
Interest expense:
Deposits 944,336 980,205
FHLB advances 477,435 458,054
---------- ----------
Total interest expense 1,421,771 1,438,259
---------- ----------
Net interest income 914,017 786,586
Provision for loan losses 1,297 15,000
---------- ----------
Net interest income after provision for loan losses 912,720 771,586
---------- ----------
Non-interest income:
Service charges 132,975 77,103
Loan servicing fees 7,072 7,979
Gain on sale of loans held for sale -- 14,998
Gain on sale of investments and mortgage-backed securities 7,164 12,602
Other 39,432 17,393
---------- ----------
Total non-interest income 186,643 130,075
---------- ----------
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Hardin Bancorp, Inc. and Subsidiaries
Consolidated Statements of Earnings
For the Three Months Ended
June 30, 1999 and 1998
(Unaudited)
(continued)
1999 1998
---------- ----------
<S> <C> <C>
Non-interest expense:
Compensation and benefits 340,141 325,723
Occupancy and equipment 66,305 57,236
Federal insurance premiums 11,940 11,942
Data processing 49,954 34,996
Other 212,616 183,533
---------- ----------
Total non-interest expense 680,956 613,430
---------- ----------
Earnings before income taxes 418,407 288,231
Income tax expense 148,990 102,593
---------- ----------
Net earnings $ 269,417 $ 185,638
========== ==========
Net earnings per share:
Basic $ 0.39 $ 0.24
Diluted 0.38 0.23
========== ==========
</TABLE>
See accompanying notes to unaudited consolidated financial statements.
-2-
<PAGE>
<TABLE>
<CAPTION>
Hardin Bancorp, Inc. and Subsidiaries
Consolidated Statements of Stockholders' Equity
For the Three Months Ended June 30, 1999
(Unaudited)
Additional Unearned
Common Paid-in Retained Comprehensive Employee
Stock Capital Earnings Loss Benefits
----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C>
Balance at March 31, 1999 $ 10,580 10,252,604 8,097,420 (394,038) (643,395)
Comprehensive income:
Net earnings -- -- 269,417 -- --
Change in net unrealized loss on securities
available for sale, net of tax -- -- -- (543,537) --
----------- ----------- ----------- ----------- -----------
Total comprehensive income (loss) -- -- 269,417 (543,537) --
----------- ----------- ----------- ----------- -----------
Amortization of recognition and retention plan -- -- -- -- 22,349
Dividends declared ($.20 per share) -- -- (146,951) -- --
=========== =========== =========== =========== ===========
Balance at June 30, 1999 $ 10,580 10,252,604 8,219,886 (937,575) (621,046)
=========== =========== =========== =========== ===========
<CAPTION>
Total
Treasury Shareholders'
Stock Equity
----------- -----------
<C> <C>
Balance at March 31, 1999 (4,763,630) 12,559,541
Comprehensive income:
Net earnings -- 269,417
Change in net unrealized loss on securities
available for sale, net of tax -- (543,537)
----------- -----------
Total comprehensive income (loss) -- (274,120)
----------- -----------
Amortization of recognition and retention plan -- 22,349
Dividends declared ($.20 per share) -- (146,951)
=========== ===========
Balance at June 30, 1999 (4,763,630) 12,160,819
=========== ===========
</TABLE>
See accompanying notes to unaudited consolidated financial statements.
-3-
<PAGE>
<TABLE>
<CAPTION>
Hardin Bancorp, Inc. and Subsidiaries
Consolidated Statements of Cash Flows
For the Three Months Ended June 30
(Unaudited)
1999 1998
----------- -----------
<S> <C> <C>
Operating Activities:
Net Earnings $ 269,417 185,638
Adjustments to reconcile net earnings
to net cash provided by operating activities:
Provision for losses on loans 1,297 15,000
Depreciation 35,586 32,813
Premium accretion and amortization
of discounts and deferred loan fees, net 16,205 (162,154)
Net gain on sale of loans and investment and
mortgage-backed securities (7,163) (27,600)
Origination of loans held for sale -- (842,830)
Amortization of deferred Recognition
and Retention Plan (RRP) 22,349 22,937
Changes in asset and liabilities:
Interest receivable 14,210 (136,793)
Other assets 5,017 (69,886)
Accrued interest payable (1,019) 10,251
Accrued expense and other liabilities 276,491 54,597
Income taxes payable 138,991 (132,409)
----------- -----------
Net cash provided by (used in) operating activities 771,381 (1,050,436)
----------- -----------
Investing Activities:
Net increase in loans receivable (3,243,821) (4,270,943)
Proceeds from sales of loans -- 862,450
Principal payments on mortgage-backed & related securities:
Available-for-sale 3,020,060 393,686
Held-to-maturity -- 588,226
Proceeds from sales of available-for-sale
mortgage-backed securities 363,166 --
Purchase of available-for-sale investment securities -- (13,942,348)
Proceeds from maturities of available-for-sale
investment securities -- 6,000,000
Proceeds from sales of available for sale
investment securities 1,005,400 816,833
Purchase of stock in FHLB of Des Moines -- (500,000)
Purchase of office properties and equipment (37,810) (172,976)
----------- -----------
Net cash provided by (used in) investing activities $ 1,106,995 (10,225,072)
----------- -----------
</TABLE>
-4-
<PAGE>
<TABLE>
<CAPTION>
Hardin Bancorp, Inc. and Subsidiaries
Consolidated Statements of Cash Flows
For the Three Months Ended June 30,
(Unaudited)
1999 1998
------------ ------------
<S> <C> <C>
Financing Activities:
Net increase in savings deposits $ 1,853,997 2,122,565
Proceeds from FHLB advances 6,000,000 10,000,000
Repayments of FHLB advances (11,000,000) --
Net decrease in advances from borrowers for
taxes and insurance 167,387 162,139
Payment of dividends (132,256) (107,063)
Purchase of treasury stock -- (136,192)
------------ ------------
Net cash (used in) provided by financing activities (3,110,872) 12,041,449
------------ ------------
(Decrease) increase in cash (1,232,496) 765,941
Cash and equivalents at beginning of period 4,994,692 3,781,801
------------ ------------
Cash and equivalents at end of period $ 3,762,196 4,547,742
============ ============
Supplemental disclosure of cash flow information: Cash paid for:
Interest $ 1,422,790 1,428,008
Income taxes, net of refunds $ 9,999 235,002
Non-cash investing and financing:
Dividends declared and payable $ 146,951 114,295
</TABLE>
See accompanying notes to unaudited consolidated financial statements.
-5-
<PAGE>
HARDIN BANCORP, INC. AND SUBSIDIARIES
Notes to Consolidated Financial Statements
(Unaudited)
(1) Basis of Presentation
The accompanying unaudited consolidated financial statements of Hardin
Bancorp, Inc. and subsidiaries have been prepared in accordance with
instructions for Form 10-QSB. To the extent that information and
footnotes required by generally accepted accounting principles for
complete financial statements are contained in the audited financial
statements included in the Company's Annual Report for the year ended
March 31, 1999, such information and footnotes have not been duplicated
herein. In the opinion of management, all adjustments, consisting only
of normal recurring accruals, which are necessary for the fair
presentation of the interim financial statements have been included.
The statement of earnings for the three-month period ended June 30,
1999 is not necessarily indicative of the results which may be expected
for the entire year. The March 31, 1999 consolidated balance sheet has
been derived from the audited consolidated financial statements as of
that date.
(2) Earnings Per Share
Basic earnings per share excludes dilution and is computed by dividing
income available to common stockholders by the weighted average number
of common shares outstanding during the period. Diluted earnings per
share includes the effect of potential dilutive common shares (stock
options) outstanding during the period.
The shares used in the calculation of basic and diluted earnings per
share are shown below:
<TABLE>
<CAPTION>
For the three months ended
June 30,
1999 1998
------------ -------------
<S> <C> <C>
Basic weighted average shares 690,886 763,500
Common stock equivalents/stock options 26,912 36,722
------------ -------------
Diluted weighted average shares 717,798 800,222
============ =============
</TABLE>
(3) Comprehensive Income
On April 1, 1998 the Company adopted SFAS No. 130, "Reporting
Comprehensive Income" which requires the reporting of comprehensive
income and its components. Comprehensive income is defined as the
change in equity from transactions and other events and circumstances
from non-owner sources and excludes investments by and distributions to
owners. Comprehensive income includes net income and other items of
comprehensive income meeting the above criteria. The Company's only
component of other comprehensive income is the unrealized holding gains
and losses on available-for-sale securities.
<PAGE>
<TABLE>
<CAPTION>
For the three months ended
June 30,
1999 1998
-------- --------
<S> <C> <C>
Unrealized holding gains (losses) (855,594) 60,488
Less: reclassification adjustment
for gains included in net income 7,164 12,602
-------- --------
Net unrealized gains (losses) on securities (862,758) 47,886
Income tax (expense) benefit 319,221 (19,071)
-------- --------
======== ========
Other comprehensive income (loss) (543,537) (28,815)
======== ========
</TABLE>
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<PAGE>
HARDIN BANCORP, INC. AND SUBSIDIARIES
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
GENERAL
- -------
Hardin Bancorp, Inc. (the "Company") was incorporated under the laws of the
state of Delaware to become a savings bank holding company with Hardin Federal
Savings Bank (the "Bank") of Hardin, Missouri, as its subsidiary. The holding
company was incorporated at the direction of the Board of Directors of the Bank,
and on September 28, 1995, acquired all of the capital stock of the Bank upon
its conversion from mutual to stock form (the "conversion"). Prior to the
conversion, the holding company did not engage in any material operations.
Hardin Federal Savings Bank was originally founded in 1888 as a Missouri
chartered savings and loan association located in Hardin, Missouri. On March 21,
1995, the Bank's members voted to convert the Bank to a Federal mutual charter.
The Bank conducts its business through its main office in Hardin, Ray County,
and two full service branch offices located in Richmond, Ray County, and
Excelsior Springs, Clay County, Missouri. Deposits are insured by the Federal
Deposit Insurance Corporation (the "FDIC") to the maximum allowable.
The Bank is principally engaged in the business of attracting retail savings
deposits from the general public and investing those funds in first mortgage
loans on owner occupied, single-family residential loans, commercial real estate
loans, mortgage-backed securities, U.S. Government and agency securities, and
insured interest bearing deposits. The Bank also originates consumer loans for
the purchase of automobiles, home improvement, and home equity lines of credit.
The most significant outside factors influencing the operations of the Bank and
other financial institutions include general economic conditions, competition in
the local market place and the related monetary and fiscal policies of agencies
that regulate financial institutions. More specifically, the cost of funds
primarily consisting of insured deposits is influenced by interest rates on
competing investments and general market rates of interest, while lending
activities are influenced by the demand for real estate financing and other
types of loans, which in turn is affected by the interest rates at which such
loans may be offered and other factors affecting loan demand and funds
availability.
The deposits of the Bank are insured by the Savings Association Insurance Fund
(the "SAIF"), which together with the Bank Insurance Fund (the "BIF"), are the
two insurance funds administered by the FDIC.
FINANCIAL CONDITION
- -------------------
Consolidated assets of Hardin Bancorp, Inc. were $134,107,941 as of June 30,
1999, as compared to $137,056,121, on March 31, 1999, a decrease of $2,948,180.
The decrease was primarily due to a decrease in investment and mortgage backed
securities partially offset by an increase in loans.
Loans receivable, net, increased to $72,744,634 on June 30, 1999 from
$69,504,900 on March 31, 1999, an increase of $3,239,734. Mortgage-backed
securities decreased $1,313,971 to $11,270,448 on June 30, 1999, from
$12,584,419 on March 31, 1999. The decrease in mortgage-backed securities and
the increase in loans reflect the Bank's plan to increase the loan portfolio and
decrease mortgage-backed securities.
<PAGE>
Cash, interest bearing deposits and investment securities decreased $5,176,160
from $49,513,885 on March 31, 1999, to $44,337,725 on June 30, 1999. The
decrease was due to investment funds being utilized to repay FHLB advances and
originate mortgage and consumer loans.
Deposits totaled $85,180,868 on June 30, 1999, an increase of $1,853,997 from
$83,326,871 on March 31, 1999. The increase in deposits is primarily due to a
successful special certificate of deposit promotion and the Bank's high
performance checking account program.
Stockholders' equity was $12,160,819 on June 30, 1999, compared to $12,559,541
on March 31, 1999. The small change in stockholders' equity was the result of an
increase in the unrealized loss on investment securities.
-7-
<PAGE>
RESULTS OF OPERATIONS
- ---------------------
Net earnings for the Company's first fiscal quarter ended June 30, 1999 were
$269,417 compared to $185,638 for the comparable quarter in 1998. The increase
was due to an increase in net interest income after provision for loan losses
and an increase in total non-interest income, which was partially offset, by an
increase in total non-interest expense.
Basic earnings per share for the quarter ended June 30, 1999 was $0.39 per share
while diluted earnings per share was $0.38. Basic earnings per share was
calculated based on 690,886 average shares outstanding and diluted earnings per
share was calculated based on 717,798 average shares outstanding. Basic earnings
per share for the comparable quarter ended June 30, 1998 was $0.24 per share
while diluted earnings per share was $0.23. Basic earnings per share was
calculated based on 763,500 average shares outstanding and diluted earnings per
share was calculated based on 800,222 average shares outstanding.
Net interest income after provision for loan losses was $912,720 for the quarter
ended June 30, 1999 compared to $771,586 for the quarter ended June 30, 1998, an
increase of $141,134. This increase was a result of total interest income
increasing $110,943 from $2,224,845 in 1998 to $2,335,788 in 1999 while total
interest expense decreased $16,488 from $1,438,259 in 1998 to $1,421,771 in
1999. The increase in total interest income was due to an increase in total
interest-bearing assets while the decrease in total interest expense was a
result of a decrease in the average cost of deposits.
Total non-interest income increased from $130,075 for the quarter ended June 30,
1998 to $186,643 for the quarter ended June 30, 1999. The increase was primarily
due to higher service charge income and other income from the Bank's service
corporation.
The Company's total non-interest expense for the three months ended June 30,
1999 was $680,956 compared to $613,430 for the comparable quarter in 1998. The
increase was primarily due to increases in compensation and benefits expense,
occupancy and equipment expense, data processing expense, and other expense due
to costs related to Year 2000 compliance issues.
PROVISION FOR LOAN LOSSES
- -------------------------
For the three months ended June 30, 1999 the Company recorded $1,297 in
provision for loan losses in accordance with its classification of assets
policy. The Company's loan portfolio consists primarily of one-to-four family
mortgage loans, and has experienced minimal charge-offs in the past two years.
At June 30, 1999, the Bank's allowance for loan losses was $308,155, or 256% of
non-performing assets compared to $311,196, or 135% at March 31, 1999. The
allowance for loan losses was .42% of total loans at June 30, 1999, compared to
.45% at March 31, 1999.
At June 30, 1999, non-performing assets were $120,155 compared to $231,000 at
March 31, 1999. Loans are considered non-performing when the collection of
principal and/or interest is not probable, or in the event payments are more
than 90 days delinquent.
<PAGE>
Management will continue to monitor its allowance for loan losses and make
additions to the allowance through the provision for loan losses as economic
conditions dictate. Although the Company maintains its allowance for loan losses
at a level considered to be adequate, there can be no assurance that future
losses will not exceed estimated amounts or that additional provisions for loan
losses will not be required in the future.
-8-
<PAGE>
CAPITAL RESOURCES
- -----------------
The Bank is subject to three capital to asset requirements in accordance with
Office of Thrift Supervision (the "OTS") regulations. The following table is a
summary of the Bank's regulatory capital requirements versus actual capital at
June 30, 1999.
<TABLE>
<CAPTION>
Actual Required Excess
Amount/Percent Amount/Percent Amount/Percent
-------------- -------------- --------------
(Dollars in Thousands)
<S> <C> <C> <C>
Tangible Capital $11,925/ 8.90% $2,385/2.00% $9,540/ 6.90%
Core Leverage Capital $11,925/ 8.90% $4,770/4.00% $7,155/ 4.90%
Risk-based Capital $12,226/19.19% $5,097/8.00% $7,129/11.19%
</TABLE>
LIQUIDITY
- ---------
The Bank's principal sources of funds are deposits, principal and interest
payments on loans, deposits in other insured institutions, and investment
securities. While scheduled loan repayments and maturing investments are
relatively predictable, deposit flows and early loan payments are more
influenced by interest rates, general economic conditions and competition.
Additional sources of funds may be obtained from the FHLB by utilizing numerous
available products to meet funding needs.
The Bank is required to maintain minimum levels of liquid assets as defined by
regulations. The required percentage is currently four percent of net
withdrawable savings deposits and borrowings payable on demand or in one year or
less. The Bank has maintained its liquidity ratio at levels exceeding the
minimum requirement. The eligible liquidity ratio at June 30, 1999 was 53.04%.
In light of the competition for deposits, the Bank may utilize the funding
sources of the FHLB to meet loan demand in accordance with the Bank's growth
plans. The wholesale funding sources may allow the Bank to obtain a lower cost
of funding and create a more efficient liability match to the respective assets
being funded.
For purposes of the cash flows, all short-term investments with a maturity of
three months or less at the date of purchase are considered cash equivalents.
Cash and cash equivalents for the periods ended June 30, 1999 and 1998 were
$3,762,196 and $4,547,742, respectively. The decrease was primarily due to an
increase in net cash used in financing activities.
Net cash provided by financing activities decreased from $12,041,449 for the
three months ended June 30, 1998 compared to ($3,110,872) for the three months
ended June 30, 1999. The decrease in net cash provided by financing activities
was due to repayments of FHLB advances and a reduction in available-for-sale
securities.
<PAGE>
RECENT ACCOUNTING DEVELOPMENTS
- ------------------------------
In June of 1999, the Financial Accounting Standards board issued SFAS No. 137,
"Accounting for Derivative Instruments and Hedging Activities - Deferral of the
Effective Date of FASB Statement No. 133." This statement amends SFAS No. 133,
"Accounting for Derivative Instruments and Hedging Activities, " to defer its
effective date. SFAS No. 137 is effective for all fiscal quarters beginning
after June 15, 2000, however the Company adopted the provisions of SFAS No. 133
at July 1, 1998 and utilized an option to transfer its held-to-maturity
investment security portfolio to available-for-sale. Accordingly, all unrealized
gains and losses were recorded at that date.
YEAR 2000 COMPLIANCE
- --------------------
The Company utilizes and is dependent upon data processing systems and software
to conduct its business. The data processing systems and software include those
developed and maintained by the Company's data processor and purchased software
which is run on in-house computer networks. In 1997, the Company initiated a
review and assessment of all hardware and software to confirm that it will
function properly in the year 2000. The Company has replaced its computer
hardware with Year 2000 compliant equipment and updated software with Year 2000
compliant versions. The primary service provider for the Company is Fiserv,
Inc., Des Moines, Iowa. Fiserv has provided the Company with proxy test results
indicating Year 2000 compliance. A specific connectivity was tested with Fiserv
in March 1999. Third party vendors have identified Year 2000 issues and are
completing revisions to systems and software to become Year 2000 compliant.
Security systems, heating and cooling systems and other mechanical devices on
which the Company relies have been evaluated.
The approximate cost incurred by the Company to date for Year 2000 compliance is
$83,000. Other expenses, if incurred, are expected to be minimal.
The Company is substantially dependent on its computer systems and the computer
system of its data processor. Failure of
-9-
<PAGE>
the data center would have a serious impact on the operation of the Company and
could result in an interruption of service to customers, as well as an adverse
financial impact on the Company. The worse case scenario might be, (1) loss of
customers due to decreased levels of customer service or loss of utilities, (2)
large withdrawal requests creating deposit outflows, (3) increased employee
expense if extra staff is needed to perform data processing.
The Company has prepared a contingency/business resumption plan to provide
contingencies for possible serious failures of the Company's hardware, software
or vendor's systems. The plan addresses recovery procedures for potential
failures in the event of a Year 2000 disruption. The Company is taking the
necessary steps to validate and test its contingency/business resumption plan in
order to minimize the impact on operations should there be system failures.
FORWARD LOOKING STATEMENT
- -------------------------
This Quarterly Report on Form 10-Q may contain certain forward-looking
statements consisting of estimates with respect to the financial condition,
results of operations and business of the Company that are subject to various
factors which could cause actual results to differ materially from these
estimates. These factors include, but are not limited to, general economic
conditions, changes in interest rates, deposit flows, loan demand, real estate
values and competition; changes in accounting principles, policies or
guidelines; changes in legislation or regulation; and other economic,
competitive, governmental, regulatory and technological factors affecting the
Company's operations, pricing, products and services.
-10-
<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
-----------------
As of June 30, 1999, the Company held 323,247 shares of its common
stock as treasury stock at an aggregate purchase price of
$4,763,630.
On June 17, 1999 the Board of Directors declared a $.20 per share
cash dividend to all stockholders of record on July 2, 1999,
payable on July 16, 1999.
Item 6. Exhibits and Reports on Form 8-K
--------------------------------
Exhibits:
27 - Financial Data Schedule
Reports on Form 8-K:
None.
-11-
<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.
HARDIN BANCORP, INC.
Registrant
Date: August 13, 1999 /s/ Robert W. King
--------------- ------------------
Robert W. King, President and Chief
Executive Officer (Duly Authorized
Officer)
Date: August 13, 1999 /s/ Karen K. Blankenship
--------------- ------------------------
Karen K. Blankenship, Senior Vice
President and Secretary (Principal
Accounting Officer)
-12-
<TABLE> <S> <C>
<ARTICLE> 9
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> MAR-31-2000
<PERIOD-END> JUN-30-1999
<CASH> 1,110
<INT-BEARING-DEPOSITS> 2,652
<FED-FUNDS-SOLD> 0
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 51,846
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0
0
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</TABLE>
