Federal
|
59-3764686
|
(State
or other jurisdiction of incorporation
or organization)
|
(I.R.S.
Employer Identification No.)
|
505
Haines Avenue
Waycross,
Georgia
|
31501
|
(Address
of principal executive offices)
|
(Zip
Code)
|
Registrant's
telephone number, including area code: (800)
342-2824
|
Title of class
|
Name of each exchange on which
registered
|
|
Common
Stock, $0.01 par value
|
The
NASDAQ Stock Market,
LLC
|
Page
|
||
PART
I
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Number
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Item
1.
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1
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1
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3
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4
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4
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22
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24
|
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27
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Item
1A.
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37
|
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Item
1B.
|
44
|
|
Item
2.
|
44
|
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Item
3.
|
45
|
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Item
4.
|
45
|
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PART
II
|
||
Item
5.
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45
|
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Item
6.
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48
|
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Item
7.
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50
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50
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||
50
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||
52
|
||
54
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||
58
|
||
59
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||
61
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70
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||
72
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||
72
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||
73
|
||
73
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||
Item
7A.
|
74
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Item
8.
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77
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77
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||
78
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||
84
|
||
Item
9.
|
120
|
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Item
9A.
|
120
|
|
Item
9B.
|
121
|
PART
III
|
||
Item
10.
|
122
|
|
Item
11.
|
122
|
|
Item
12.
|
122
|
|
Item
13.
|
122
|
|
Item
14.
|
122
|
|
PART
IV
|
||
Item
15.
|
122
|
|
Form
10-K
|
124
|
|
Exhibit
21.
|
Subsidiaries
of Registrant
|
125 |
Exhibit
23.1
|
Consent
of Crowe Horwath LLP
|
126
|
Exhibit
31.1
|
Certification
of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley
Act of 2002
|
127
|
Exhibit
31.2
|
Certification
of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley
Act of 2002
|
128
|
Exhibit
32.
|
Certification
of Chief Executive Officer and Chief Financial Officer of Atlantic Coast
Federal Corporation pursuant to Section 906 of the Sarbanes-Oxley Act of
2002
|
129
|
Item
1.
|
Business
|
At
December 31,
|
||||||||||||||||||||||||||||||||||||||||
2008
|
2007
|
2006
|
2005
|
2004
|
||||||||||||||||||||||||||||||||||||
Amount
|
Percent
|
Amount
|
Percent
|
Amount
|
Percent
|
Amount
|
Percent
|
Amount
|
Percent
|
|||||||||||||||||||||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||||||||||||||||||||||||||
Real estate loans:
|
||||||||||||||||||||||||||||||||||||||||
One-
to four-family
|
$ | 370,783 | 49.86 | % | $ | 377,956 | 53.51 | % | $ | 334,000 | 52.14 | % | $ | 324,681 | 55.88 | % | $ | 303,544 | 58.44 | % | ||||||||||||||||||||
Commercial
|
84,134 | 11.31 | % | 74,748 | 10.58 | % | 60,912 | 9.51 | % | 59,074 | 10.16 | % | 57,178 | 11.01 | % | |||||||||||||||||||||||||
Other
(land & multi-family)
|
43,901 | 5.91 | % | 40,698 | 5.76 | % | 34,446 | 5.38 | % | 20,302 | 3.49 | % | 20,120 | 3.87 | % | |||||||||||||||||||||||||
Total
real estate loans
|
498,818 | 67.08 | % | 493,402 | 69.85 | % | 429,358 | 67.03 | % | 404,057 | 69.53 | % | 380,842 | 73.32 | % | |||||||||||||||||||||||||
Real estate construction
loans:
|
||||||||||||||||||||||||||||||||||||||||
Construction-one-
to four-family
|
8,974 | 1.21 | % | 13,448 | 1.90 | % | 32,467 | 5.07 | % | 24,243 | 4.17 | % | 14,275 | 2.75 | % | |||||||||||||||||||||||||
Construction-commercial
|
10,883 | 1.46 | % | 11,129 | 1.58 | % | 2,862 | 0.45 | % | 2,577 | 0.44 | % | 2,577 | 0.50 | % | |||||||||||||||||||||||||
Acquisition
& development
|
5,008 | 0.67 | % | 5,329 | 0.75 | % | 2,103 | 0.33 | % | - | 0.00 | % | - | 0.00 | % | |||||||||||||||||||||||||
Total
real estate construction loans
|
24,865 | 3.34 | % | 29,906 | 4.23 | % | 37,432 | 5.85 | % | 26,820 | 4.61 | % | 16,852 | 3.25 | % | |||||||||||||||||||||||||
Other loans:
|
||||||||||||||||||||||||||||||||||||||||
Home
equity
|
107,525 | 14.46 | % | 98,410 | 13.93 | % | 91,062 | 14.22 | % | 79,016 | 13.60 | % | 60,077 | 11.57 | % | |||||||||||||||||||||||||
Consumer
|
87,162 | 11.72 | % | 64,673 | 9.16 | % | 63,630 | 9.93 | % | 62,846 | 10.81 | % | 57,893 | 11.15 | % | |||||||||||||||||||||||||
Commercial
|
25,273 | 3.40 | % | 20,009 | 2.83 | % | 19,044 | 2.97 | % | 8,430 | 1.45 | % | 3,711 | 0.71 | % | |||||||||||||||||||||||||
Total
other loans
|
219,960 | 29.58 | % | 183,092 | 25.92 | % | 173,736 | 27.12 | % | 150,292 | 25.86 | % | 121,681 | 23.43 | % | |||||||||||||||||||||||||
Total
loans
|
$ | 743,643 | 100.00 | % | $ | 706,400 | 100.00 | % | $ | 640,526 | 100.00 | % | $ | 581,169 | 100.00 | % | $ | 519,375 | 100.00 | % | ||||||||||||||||||||
Less:
|
||||||||||||||||||||||||||||||||||||||||
Net
deferred loan origination costs
|
8,662 | 3,256 | 3,348 | 3,164 | 1,473 | |||||||||||||||||||||||||||||||||||
Premiums
on purchased loans
|
172 | 339 | 348 | 695 | 819 | |||||||||||||||||||||||||||||||||||
Allowance
for loan losses
|
(10,598 | ) | (6,482 | ) | (4,705 | ) | (4,587 | ) | (3,956 | ) | ||||||||||||||||||||||||||||||
Total
loans, net
|
$ | 741,879 | $ | 703,513 | $ | 639,517 | $ | 580,441 | $ | 517,711 |
At
December 31,
|
||||||||||||||||||||||||||||||||||||||||
2008
|
2007
|
2006
|
2005
|
2004
|
||||||||||||||||||||||||||||||||||||
Amount
|
Percent
|
Amount
|
Percent
|
Amount
|
Percent
|
Amount
|
Percent
|
Amount
|
Percent
|
|||||||||||||||||||||||||||||||
FIXED-RATE
LOANS
|
(Dollars
in Thousands)
|
|||||||||||||||||||||||||||||||||||||||
Real estate loans:
|
||||||||||||||||||||||||||||||||||||||||
One-
to four-family
|
$ | 194,778 | 26.19 | % | $ | 172,730 | 24.45 | % | $ | 115,453 | 18.02 | % | $ | 113,590 | 19.55 | % | $ | 118,515 | 22.82 | % | ||||||||||||||||||||
Commercial
|
43,393 | 5.83 | % | 40,298 | 5.70 | % | 23,840 | 3.72 | % | 22,612 | 3.89 | % | 33,568 | 6.46 | % | |||||||||||||||||||||||||
Other
(land and multi-family)
|
17,899 | 2.41 | % | 20,078 | 2.85 | % | 15,780 | 2.46 | % | 8,474 | 1.46 | % | 5,436 | 1.05 | % | |||||||||||||||||||||||||
Total
real estate loans
|
256,070 | 34.43 | % | 233,106 | 33.00 | % | 155,073 | 24.20 | % | 144,676 | 24.90 | % | 157,519 | 30.33 | % | |||||||||||||||||||||||||
Real estate construction
loans:
|
||||||||||||||||||||||||||||||||||||||||
Construction-one-
to four-family
|
3,045 | 0.41 | % | 4,773 | 0.68 | % | 4,046 | 0.63 | % | 16,418 | 2.82 | % | 14,275 | 2.74 | % | |||||||||||||||||||||||||
Construction-commercial
|
1,206 | 0.16 | % | 750 | 0.11 | % | 1,758 | 0.27 | % | - | 0.00 | % | 600 | 0.12 | % | |||||||||||||||||||||||||
Acquisition
& development
|
- | 0.00 | % | - | 0.00 | % | - | 0.00 | % | - | 0.00 | % | - | 0.00 | % | |||||||||||||||||||||||||
Total
real estate construction loans
|
4,251 | 0.57 | % | 5,523 | 0.79 | % | 5,804 | 0.90 | % | 16,418 | 2.82 | % | 14,875 | 2.86 | % | |||||||||||||||||||||||||
Other loans:
|
||||||||||||||||||||||||||||||||||||||||
Home
equity
|
32,872 | 4.42 | % | 23,355 | 3.31 | % | 20,176 | 3.15 | % | 13,184 | 2.27 | % | 7,994 | 1.54 | % | |||||||||||||||||||||||||
Consumer
|
85,302 | 11.47 | % | 63,472 | 8.99 | % | 62,868 | 9.82 | % | 62,343 | 10.73 | % | 57,409 | 11.05 | % | |||||||||||||||||||||||||
Commercial
|
9,742 | 1.31 | % | 6,947 | 0.98 | % | 2,349 | 0.37 | % | 535 | 0.09 | % | 2,370 | 0.46 | % | |||||||||||||||||||||||||
Total
other loans
|
127,916 | 17.20 | % | 93,774 | 13.28 | % | 85,393 | 13.34 | % | 76,062 | 13.09 | % | 67,773 | 13.05 | % | |||||||||||||||||||||||||
Total
fixed-rate loans
|
388,237 | 52.20 | % | 332,403 | 47.06 | % | 246,270 | 38.44 | % | 237,156 | 40.81 | % | 240,167 | 46.24 | % | |||||||||||||||||||||||||
ADJUSTABLE-RATE
LOANS
|
||||||||||||||||||||||||||||||||||||||||
Real estate loans:
|
||||||||||||||||||||||||||||||||||||||||
One-to-four-family
|
176,005 | 23.67 | % | 205,226 | 29.05 | % | 218,547 | 34.12 | % | 211,091 | 36.31 | % | 185,029 | 35.62 | % | |||||||||||||||||||||||||
Commercial
|
40,741 | 5.48 | % | 34,450 | 4.88 | % | 37,072 | 5.79 | % | 36,462 | 6.27 | % | 23,610 | 4.55 | % | |||||||||||||||||||||||||
Other
(land and multi-family)
|
26,002 | 3.50 | % | 20,620 | 2.92 | % | 18,666 | 2.91 | % | 11,828 | 2.04 | % | 14,684 | 2.83 | % | |||||||||||||||||||||||||
Total
real estate loans
|
242,748 | 32.65 | % | 260,296 | 36.85 | % | 274,285 | 42.82 | % | 259,381 | 44.62 | % | 223,323 | 43.00 | % | |||||||||||||||||||||||||
Real estate construction
loans:
|
||||||||||||||||||||||||||||||||||||||||
Construction-one-
to four-family
|
5,929 | 0.80 | % | 8,675 | 1.23 | % | 28,421 | 4.44 | % | 7,825 | 1.35 | % | - | 0.00 | % | |||||||||||||||||||||||||
Construction-commercial
|
9,677 | 1.30 | % | 10,379 | 1.47 | % | 1,104 | 0.17 | % | 2,577 | 0.44 | % | 1,977 | 0.38 | % | |||||||||||||||||||||||||
Acquisition
& development
|
5,008 | 0.67 | % | 5,329 | 0.75 | % | 2,103 | 0.33 | % | - | 0.00 | % | - | 0.00 | % | |||||||||||||||||||||||||
Total
real estate construction loans
|
20,614 | 2.77 | % | 24,383 | 3.45 | % | 31,628 | 4.94 | % | 10,402 | 1.79 | % | 1,977 | 0.38 | % | |||||||||||||||||||||||||
Other loans:
|
||||||||||||||||||||||||||||||||||||||||
Home
equity
|
74,653 | 10.04 | % | 75,055 | 10.63 | % | 70,886 | 11.07 | % | 65,832 | 11.33 | % | 52,083 | 10.03 | % | |||||||||||||||||||||||||
Consumer
|
1,860 | 0.25 | % | 1,201 | 0.17 | % | 762 | 0.12 | % | 503 | 0.09 | % | 484 | 0.09 | % | |||||||||||||||||||||||||
Commercial
|
15,531 | 2.09 | % | 13,062 | 1.85 | % | 16,695 | 2.61 | % | 7,895 | 1.36 | % | 1,341 | 0.26 | % | |||||||||||||||||||||||||
Total
other loans
|
92,044 | 12.38 | % | 89,318 | 12.65 | % | 88,343 | 13.80 | % | 74,230 | 12.78 | % | 53,908 | 10.38 | % | |||||||||||||||||||||||||
Total
adjustable-rate loans
|
355,405 | 47.80 | % | 373,997 | 52.94 | % | 394,256 | 61.56 | % | 344,013 | 59.19 | % | 279,208 | 53.76 | % | |||||||||||||||||||||||||
Total
loans
|
$ | 743,643 | 100.00 | % | $ | 706,400 | 100.00 | % | $ | 640,526 | 100.00 | % | $ | 581,169 | 100.00 | % | $ | 519,375 | 100.00 | % | ||||||||||||||||||||
Less:
|
||||||||||||||||||||||||||||||||||||||||
Net
deferred loan origination costs
|
8,662 | 3,256 | 3,348 | 3,164 | 1,473 | |||||||||||||||||||||||||||||||||||
Premiums
on purchased loans
|
172 | 339 | 348 | 695 | 819 | |||||||||||||||||||||||||||||||||||
Allowance
for loan losses
|
(10,598 | ) | (6,482 | ) | (4,705 | ) | (4,587 | ) | (3,956 | ) | ||||||||||||||||||||||||||||||
Total
loans, net
|
$ | 741,879 | $ | 703,513 | $ | 639,517 | $ | 580,441 | $ | 517,711 |
One- to Four-Family
|
Commercial Real Estate
|
Other Real Estate(1)
|
Construction-One- to four-family (2)
|
Construction-
Commercial (2)
|
Acquisition &
Development
|
|||||||||||||||||||||||||||||||||||||||||||
Amount
|
Weighted
Average Rate (%)
|
Amount
|
Weighted
Average Rate (%)
|
Amount
|
Weighted
Average Rate (%)
|
Amount
|
Weighted
Average Rate (%)
|
Amount
|
Weighted
Average Rate (%)
|
Amount
|
Weighted
Average Rate (%)
|
|||||||||||||||||||||||||||||||||||||
At
December 31, 2008
|
(Dollars
in Thousands)
|
|||||||||||||||||||||||||||||||||||||||||||||||
1
year or less
|
$ | 114 | 7.00 | % | $ | 15,172 | 6.11 | % | $ | 12,414 | 3.98 | % | $ | 2,661 | 4.21 | % | $ | 10,298 | 4.34 | % | $ | 405 | 3.75 | % | ||||||||||||||||||||||||
Greater
than 1 to 3 years
|
4,413 | 5.21 | 16,137 | 5.94 | 13,943 | 6.29 | 179 | 3.50 | - | - | 4,603 | 4.09 | ||||||||||||||||||||||||||||||||||||
Greater
than 3 to 5 years
|
2,210 | 6.21 | 15,813 | 7.27 | 5,070 | 8.81 | - | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||
Greater
than 5 to 10 years
|
25,496 | 5.25 | 22,655 | 6.80 | 3,529 | 7.25 | - | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||
Greater
than 10 to 20 years
|
40,973 | 6.05 | 13,548 | 6.71 | 5,921 | 7.49 | - | - | 585 | 3.42 | - | - | ||||||||||||||||||||||||||||||||||||
More
than 20 years
|
297,577 | 6.04 | 809 | 5.95 | 3,024 | 6.05 | 6,134 | 8.09 | - | - | - | - | ||||||||||||||||||||||||||||||||||||
Total
|
$ | 370,783 | $ | 84,134 | $ | 43,901 | $ | 8,974 | $ | 10,883 | $ | 5,008 |
Home Equity
|
Consumer
|
Commercial
|
Total
|
|||||||||||||||||||||||||||||
Amount
|
Weighted
Average Rate (%)
|
Amount
|
Weighted
Average Rate (%)
|
Amount
|
Weighted
Average Rate (%)
|
Amount
|
Weighted
Average Rate (%)
|
|||||||||||||||||||||||||
At
December 31, 2008
|
(Dollars
in Thousands)
|
|||||||||||||||||||||||||||||||
1
year or less
|
$ | 267 | 5.50 | % | $ | 2,627 | 6.33 | % | $ | 9,207 | 4.39 | % | $ | 53,165 | 5.03 | % | ||||||||||||||||
Greater
than 1 to 3 years
|
2,499 | 7.56 | 23,449 | 10.89 | 7,626 | 3.66 | 72,849 | 6.95 | ||||||||||||||||||||||||
Greater
than 3 to 5 years
|
4,882 | 7.54 | 17,038 | 10.76 | 3,307 | 6.64 | 48,320 | 8.60 | ||||||||||||||||||||||||
Greater
than 5 to 10 years
|
7,183 | 7.58 | 4,547 | 8.71 | 5,115 | 7.15 | 68,525 | 6.48 | ||||||||||||||||||||||||
Greater
than 10 to 20 years
|
27,282 | 7.34 | 26,716 | 8.56 | 18 | 8.25 | 115,043 | 7.08 | ||||||||||||||||||||||||
More
than 20 years
|
65,412 | 6.15 | 12,785 | 7.99 | - | - | 385,741 | 6.16 | ||||||||||||||||||||||||
Total
|
$ | 107,525 | $ | 87,162 | $ | 25,273 | $ | 743,643 |
(1)
|
Land
and multi-family.
|
(2)
|
Construction
loans include notes that cover both the construction period and the end
permanent financing, and therefore, the schedule shows maturities for
periods greater than one year.
|
One-
to Four-Family
|
Commercial
Real Estate
|
Other
–Real Estate (1)
|
Construction
One- to four-family (2)
|
Construction
Commercial (2)
|
Acquisition
& Development
|
Home
Equity
|
Consumer
|
Commercial
|
Total
|
|||||||||||||||||||||||||||||||
Amount
|
Amount
|
Amount
|
Amount
|
Amount
|
Amount
|
Amount
|
Amount
|
Amount
|
Amount
|
|||||||||||||||||||||||||||||||
(Dollars in Thousands)
|
||||||||||||||||||||||||||||||||||||||||
1
year or less
|
$ | 78,393 | $ | 30,266 | $ | 24,963 | $ | 2,513 | $ | 10,298 | $ | 5,008 | $ | 57,321 | $ | 12,034 | $ | 16,948 | $ | 237,744 | ||||||||||||||||||||
Greater
than 1 to 3 years
|
72,412 | 15,185 | 8,716 | 165 | - | - | 19,068 | 58,622 | 1,362 | 175,530 | ||||||||||||||||||||||||||||||
Greater
than 3 to 5 years
|
21,988 | 19,066 | 5,682 | 2,002 | - | - | 4,408 | 14,635 | 3,026 | 70,807 | ||||||||||||||||||||||||||||||
Greater
than 5 to 10 years
|
32,673 | 12,458 | 1,882 | - | - | - | 5,670 | 1,871 | 3,937 | 58,491 | ||||||||||||||||||||||||||||||
Greater
than 10 to 20 years
|
32,618 | 7,159 | 2,639 | - | 585 | - | 19,291 | - | - | 62,292 | ||||||||||||||||||||||||||||||
More
than 20 years
|
132,699 | - | 19 | 4,294 | - | - | 1,767 | - | - | 138,779 | ||||||||||||||||||||||||||||||
Total
|
$ | 370,783 | $ | 84,134 | $ | 43,901 | $ | 8,974 | $ | 10,883 | $ | 5,008 | $ | 107,525 | $ | 87,162 | $ | 25,273 | $ | 743,643 |
(1)
|
Land
and multi-family.
|
(2)
|
Construction
loans include notes that cover both the construction period and the end
permanent financing, and therefore, the schedule shows repricing dates
greater than one year.
|
Due
After December 31, 2009
|
||||||||||||
Fixed
Rate
|
Adjustable
Rate
|
Total
|
||||||||||
(Dollars
in Thousands)
|
||||||||||||
Real estate
loans:
|
||||||||||||
One-
to four-family
|
$ | 196,420 | $ | 174,249 | $ | 370,669 | ||||||
Commercial
|
37,788 | 31,174 | 68,962 | |||||||||
Other(1)
|
16,724 | 14,763 | 31,487 | |||||||||
Construction
loans:
|
||||||||||||
One-
to four-family
|
$ | 2,002 | $ | 4,311 | $ | 6,313 | ||||||
Commercial
|
585 | - | 585 | |||||||||
Acquisition
& development
|
- | 4,603 | 4,603 | |||||||||
Other
loans:
|
||||||||||||
Home
equity
|
$ | 32,902 | $ | 74,356 | $ | 107,258 | ||||||
Consumer
|
84,278 | 257 | 84,535 | |||||||||
Commercial
business
|
7,807 | 8,259 | 16,066 | |||||||||
Total
loans
|
$ | 378,506 | $ | 311,968 | $ | 690,474 |
|
(1)
|
Land
and multi-family loans.
|
Loans
Delinquent For:
|
Total
|
|||||||||||||||||||||||
60-89
Days
|
90
Days or More
|
Delinquent
Loans
|
||||||||||||||||||||||
Loan
Types
|
Number
of Loans
|
Principal
Balance of Loans
|
Number
of Loans
|
Principal
Balance of Loans
|
Number
of Loans
|
Principal
Balance of Loans
|
||||||||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||||||||||
Real estate
|
||||||||||||||||||||||||
One-
to four-family
|
10 | $ | 1,848 | 36 | $ | 8,599 | 46 | $ | 10,447 | |||||||||||||||
Commercial
|
- | - - | 4 | 7,185 | 4 | 7,185 | ||||||||||||||||||
Other
(Land and multi-family)
|
1 | 35 | 13 | 1,188 | 14 | 1,223 | ||||||||||||||||||
Real Estate Construction
|
||||||||||||||||||||||||
Construction
- One- to four-family
|
- | - | 2 | 258 | 2 | 258 | ||||||||||||||||||
Construction
– Commercial
|
- | - | 2 | 4,289 | 2 | 4,289 | ||||||||||||||||||
Construction
- Acquisition & development
|
- | - | - | - | - | - | ||||||||||||||||||
Other Loans – Consumer
|
||||||||||||||||||||||||
Home
equity
|
12 | 837 | 16 | 840 | 28 | 1,677 | ||||||||||||||||||
Consumer
|
34 | 249 | 41 | 387 | 75 | 636 | ||||||||||||||||||
Commercial
|
- | - | 1 | 170 | 1 | 170 | ||||||||||||||||||
Total
|
57 | $ | 2,969 | 115 | $ | 22,916 | 172 | $ | 25,885 | |||||||||||||||
Delinquent
loans to total gross loans
|
0.39 | % | 3.05 | % | 3.44 | % |
At
December 31,
|
||||||||||||||||||||
2008
|
2007
|
2006
|
2005
|
2004
|
||||||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||||||
Non-accrual
loans:
|
||||||||||||||||||||
Real Estate
|
||||||||||||||||||||
One-
to four-family
|
$ | 10,319 | $ | 2,312 | $ | 325 | $ | 697 | $ | 1,931 | ||||||||||
Commercial
|
5,126 | 280 | 430 | 238 | 3,271 | |||||||||||||||
Other
(Land & multi-family)
|
2,941 | 1,073 | 104 | 109 | - | |||||||||||||||
Real Estate Construction
|
||||||||||||||||||||
Construction
- One-to four-family
|
86 | - | 551 | - | - | |||||||||||||||
Construction
- Commercial
|
3,169 | 2,407 | - | - | - | |||||||||||||||
Construction
- Acquisition & Development
|
1,812 | - | - | - | - | |||||||||||||||
Other
|
||||||||||||||||||||
Home
Equity
|
1,525 | 774 | 280 | 35 | - | |||||||||||||||
Consumer
|
387 | 221 | 445 | 597 | 290 | |||||||||||||||
Commercial
|
170 | 772 | 915 | 940 | 1,166 | |||||||||||||||
Total
|
$ | 25,535 | $ | 7,839 | $ | 3,050 | $ | 2,616 | $ | 6,658 | ||||||||||
Accruing
delinquent 90 days or more:
|
||||||||||||||||||||
Real Estate
|
||||||||||||||||||||
One-
to four-family
|
- | - | - | - | - | |||||||||||||||
Commercial
|
- | - | - | - | - | |||||||||||||||
Other
(Land & multi-family)
|
- | - | - | - | - | |||||||||||||||
Real Estate Construction
|
||||||||||||||||||||
Construction
- One-to four-family
|
- | - | - | - | - | |||||||||||||||
Construction
- Commercial
|
- | - | - | - | - | |||||||||||||||
Construction
- Acquisition & Development
|
- | - | - | - | - | |||||||||||||||
Other
|
||||||||||||||||||||
Home
Equity
|
- | - | - | - | - | |||||||||||||||
Consumer
|
- | - | - | - | - | |||||||||||||||
Commercial
|
- | - | - | - | - | |||||||||||||||
Total
|
- | - | - | - | - | |||||||||||||||
Total
non-performing loans
|
25,535 | 7,839 | 3,050 | 2,616 | 6,658 | |||||||||||||||
Foreclosed
assets
|
3,332 | 1,726 | 286 | 310 | 323 | |||||||||||||||
Total
non-performing assets
|
$ | 28,867 | $ | 9,565 | $ | 3,336 | $ | 2,926 | $ | 6,981 | ||||||||||
Total
troubled debt restructurings
|
$ | 7,004 | - | - | - | - | ||||||||||||||
Non-performing
loans to total loans
|
3.43 | % | 1.11 | % | 0.48 | % | 0.45 | % | 1.28 | % | ||||||||||
Non-performing
loans to total assets
|
2.56 | % | 0.84 | % | 0.36 | % | 0.39 | % | 1.09 | % | ||||||||||
Non-performing
assets to total assets
|
2.90 | % | 1.03 | % | 0.40 | % | 0.39 | % | 1.09 | % |
At
December 31,
|
||||||||
2008
|
2007
|
|||||||
(Dollars
in Thousands)
|
||||||||
Loss
|
$ | - | $ | - | ||||
Doubtful
|
459 | 1,527 | ||||||
Substandard
|
33,248 | 5,519 | ||||||
Total
|
$ | 33,707 | $ | 7,046 |
Year
Ended December 31,
|
||||||||||||||||||||
2008
|
2007
|
2006
|
2005
|
2004
|
||||||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||||||
Balance
at beginning of period
|
$ | 6,482 | $ | 4,705 | $ | 4,587 | $ | 3,956 | $ | 6,593 | ||||||||||
Charge-offs:
|
||||||||||||||||||||
Real Estate Loans
|
||||||||||||||||||||
One-to
four-family
|
3,514 | 133 | 107 | 192 | 78 | |||||||||||||||
Commercial
|
3,393 | - | - | 605 | 4,637 | |||||||||||||||
Other
(Land & Multi-family)
|
777 | 41 | - | - | - | |||||||||||||||
Real Estate Construction
Loans
|
||||||||||||||||||||
Construction
- One-to four- family
|
336 | 275 | - | - | - | |||||||||||||||
Construction
- Commercial
|
- | - | - | - | - | |||||||||||||||
Acquisition
& Development
|
- | - | - | - | - | |||||||||||||||
Other Loans
|
||||||||||||||||||||
Home
equity
|
1,392 | 550 | 14 | 160 | 63 | |||||||||||||||
Consumer
|
1,232 | 1,819 | 1,094 | 1,249 | 1,642 | |||||||||||||||
Commercial
|
345 | 135 | - | 120 | - | |||||||||||||||
Total
charge-offs
|
10,989 | 2,953 | 1,215 | 2,326 | 6,420 | |||||||||||||||
Recoveries:
|
||||||||||||||||||||
Real Estate Loans
|
||||||||||||||||||||
One-to
four-family
|
25 | 5 | 54 | 40 | 7 | |||||||||||||||
Commercial
|
550 | 893 | 83 | 51 | - | |||||||||||||||
Other
(Land & Multi-family)
|
45 | - | - | - | - | |||||||||||||||
Real Estate Construction
Loans
|
||||||||||||||||||||
Construction
- One-to four-family
|
- | - | - | - | - | |||||||||||||||
Construction
- Commercial
|
- | - | - | - | - | |||||||||||||||
Acquisition
& Development
|
- | - | - | - | - | |||||||||||||||
Other Loans
|
||||||||||||||||||||
Home
equity
|
3 | 71 | 18 | 1 | 11 | |||||||||||||||
Consumer
|
533 | 1,145 | 703 | 732 | 790 | |||||||||||||||
Commercial
|
1 | - | - | 12 | - | |||||||||||||||
Total
recoveries
|
1,157 | 2,114 | 858 | 836 | 808 | |||||||||||||||
Net
charge-offs
|
9,832 | 839 | 357 | 1,490 | 5,612 | |||||||||||||||
Provision
for loan losses
|
13,948 | 2,616 | 475 | 2,121 | 2,975 | |||||||||||||||
Balance
at end of period
|
$ | 10,598 | $ | 6,482 | $ | 4,705 | $ | 4,587 | $ | 3,956 | ||||||||||
Net
charge-offs to average loans during this period (1)
|
1.35 | % | 0.13 | % | 0.06 | % | 0.27 | % | 1.16 | % | ||||||||||
Net
charge-offs to average non-performing loans during this
period
|
131.80 | % | 24.71 | % | 11.36 | % | 43.41 | % | 122.10 | % | ||||||||||
Allowance
for loan losses to non-performing loans
|
41.50 | % | 82.69 | % | 154.21 | % | 175.36 | % | 59.42 | % | ||||||||||
Allowance
as % of total loans (end of period) (1)
|
1.43 | % | 0.92 | % | 0.73 | % | 0.78 | % | 0.75 | % |
(1)
|
Total
loans are net of deferred fees and costs and purchase premiums or
discounts.
|
At
December 31,
|
||||||||||||||||||||||||||||||||||||
2008
|
2007
|
2006
|
||||||||||||||||||||||||||||||||||
Amount
of Loan Loss Allowance
|
Loan
Amounts by Category
|
Percent
of Loans in Each Category to Total Loans
|
Amount
of Loan Loss Allowance
|
Loan
Amounts by Category
|
Percent
of Loans in Each Category to Total Loans
|
Amount
of Loan Loss Allowance
|
Loan
Amounts by Category
|
Percent
of Loans in Each Category to Total Loans
|
||||||||||||||||||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||||||||||||||||||||||
Real Estate Loans
|
||||||||||||||||||||||||||||||||||||
One-to
four-family
|
$ | 2,805 | $ | 370,783 | 49.86 | % | $ | 1,609 | $ | 377,956 | 53.50 | % | $ | 771 | $ | 334,000 | 52.14 | % | ||||||||||||||||||
Commercial
|
1,458 | 84,134 | 11.31 | % | 583 | 74,748 | 10.58 | % | 660 | 60,912 | 9.51 | % | ||||||||||||||||||||||||
Other
(land & multi-family)
|
1,061 | 43,901 | 5.90 | % | 883 | 40,698 | 5.76 | % | 212 | 34,446 | 5.38 | % | ||||||||||||||||||||||||
Real Estate Construction
|
||||||||||||||||||||||||||||||||||||
Construction
- One-to four family
|
98 | 8,974 | 1.21 | % | 399 | 13,448 | 1.90 | % | 323 | 32,467 | 5.07 | % | ||||||||||||||||||||||||
Construction
- Commercial
|
116 | 10,883 | 1.46 | % | 571 | 11,129 | 1.58 | % | 63 | 2,862 | 0.45 | % | ||||||||||||||||||||||||
Acquistion
& Development
|
1,737 | 5,008 | 0.67 | % | - | 5,329 | 0.75 | % | - | 2,103 | 0.33 | % | ||||||||||||||||||||||||
Other Loans
|
||||||||||||||||||||||||||||||||||||
Home
Equity
|
2,301 | 107,525 | 14.46 | % | 1,295 | 98,410 | 13.93 | % | 745 | 91,062 | 14.22 | % | ||||||||||||||||||||||||
Consumer
|
628 | 87,162 | 11.72 | % | 691 | 64,673 | 9.16 | % | 1,327 | 63,630 | 9.93 | % | ||||||||||||||||||||||||
Commercial
|
394 | 25,273 | 3.40 | % | 451 | 20,009 | 2.83 | % | 604 | 19,044 | 2.97 | % | ||||||||||||||||||||||||
Total
|
$ | 10,598 | $ | 743,643 | 100.00 | % | $ | 6,482 | $ | 706,400 | 100.00 | % | $ | 4,705 | $ | 640,526 | 100.00 | % |
2005
|
2004
|
|||||||||||||||||||||||
Amount
of Loan Loss Allowance
|
Loan
Amounts by Category
|
Percent
of Loans in Each Category to Total Loans
|
Amount
of Loan Loss Allowance
|
Loan
Amounts by Category
|
Percent
of Loans in Each Category to Total Loans
|
|||||||||||||||||||
Real Estate Loans
|
||||||||||||||||||||||||
One-to
four-family real estate
|
$ | 672 | $ | 324,682 | 55.88 | % | $ | 494 | $ | 303,544 | 58.44 | % | ||||||||||||
Commercial
real estate
|
1,041 | 59,074 | 10.16 | % | 1,404 | 57,178 | 11.01 | % | ||||||||||||||||
Other
(land & multi-family)
|
117 | 20,302 | 3.49 | % | 32 | 20,120 | 3.87 | % | ||||||||||||||||
Real Estate Constrcution
|
||||||||||||||||||||||||
Construction-one-to
four family
|
185 | 24,242 | 4.17 | % | 71 | 14,275 | 2.75 | % | ||||||||||||||||
Construction
-commercial
|
26 | 2,577 | 0.44 | % | 179 | 2,577 | 0.50 | % | ||||||||||||||||
Acquistion
& Development
|
- | - | - | - | - | - | ||||||||||||||||||
Other Loans
|
||||||||||||||||||||||||
Home
equity
|
497 | 79,016 | 13.60 | % | 332 | 60,077 | 11.57 | % | ||||||||||||||||
Consumer
|
1,581 | 62,846 | 10.81 | % | 1,227 | 57,893 | 11.15 | % | ||||||||||||||||
Commercial
|
468 | 8,430 | 1.45 | % | 217 | 3,711 | 0.71 | % | ||||||||||||||||
Total
|
$ | 4,587 | $ | 581,169 | 100.00 | % | $ | 3,956 | $ | 519,375 | 100.00 | % |
At
December 31,
|
||||||||||||||||||||||||
2008
|
2007
|
2006
|
||||||||||||||||||||||
Carrying
Value
|
%
of Total
|
Carrying
Value
|
%
of Total
|
Carrying
Value
|
%
of Total
|
|||||||||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||||||||||
Securities available for
sale:
|
||||||||||||||||||||||||
U.S.
government and agency
|
$ | 14,200 | 9.63 | % | $ | 11,510 | 8.58 | % | $ | 16,280 | 16.41 | % | ||||||||||||
State
and municipal
|
2,513 | 1.70 | % | 8,684 | 6.47 | % | 1,729 | 1.74 | % | |||||||||||||||
Mortgage
backed (1)
|
130,761 | 88.67 | % | 114,022 | 84.95 | % | 81,222 | 81.85 | % | |||||||||||||||
Total
|
$ | 147,474 | 100.00 | % | $ | 134,216 | 100.00 | % | $ | 99,231 | 100.00 | % | ||||||||||||
Other earning assets:
|
||||||||||||||||||||||||
Interest-earning
deposits with banks
|
$ | 24,033 | 60.15 | % | $ | 24,584 | 63.27 | % | $ | 30,486 | 76.92 | % | ||||||||||||
FHLB
stock
|
9,996 | 25.02 | % | 9,293 | 23.92 | % | 7,948 | 20.05 | % | |||||||||||||||
Other
investments
|
5,927 | 14.83 | % | 4,977 | 12.81 | % | 1,200 | 3.03 | % | |||||||||||||||
Total
|
$ | 39,956 | 100.00 | % | $ | 38,854 | 100.00 | % | $ | 39,634 | 100.00 | % |
(1)
|
Approximately
87% of mortgage backed securities available for sale is comprised of FNMA,
FHLMC and GNMA securities.
|
Greater
Than
|
Greater
|
|||||||||||||||||||||||
Less
Than 1 Year
|
1
to 5
Years
|
5
to 10
Years
|
Than
10
Years
|
Total
Securities
|
||||||||||||||||||||
Amortized
Cost
|
Amortized
Cost
|
Amortized
Cost
|
Amortized
Cost
|
Amortized
Cost
|
Fair
Value
|
|||||||||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||||||||||
U.S.
government and agency
|
$ | - | $ | - | $ | 975 | $ | 12,890 | $ | 13,865 | $ | 14,200 | ||||||||||||
State
and Municipal
|
- | - | 434 | 2,231 | 2,665 | 2,513 | ||||||||||||||||||
Mortgage-backed
|
2,624 | - | 5,139 | 123,717 | 133,480 | 130,761 | ||||||||||||||||||
Total
investment securities
|
$ | 2,624 | $ | - | $ | 6,548 | $ | 138,838 | $ | 148,010 | $ | 147,474 | ||||||||||||
Weighted
average yield
|
4.00 | % | - | % | 5.60 | % | 5.23 | % | 5.11 | % | 5.11 | % |
(1)
|
The
above presentation does not include the carrying values, yields and
maturities of mutual funds as these investments do not have contractual
maturities.
|
At
December 31,
|
||||||||||||||||||||||||||||||||||||
2008 |
2007
|
2006
|
||||||||||||||||||||||||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||||||||||||||||||||||
Weighted
|
Weighted
|
Weighted
|
||||||||||||||||||||||||||||||||||
average
|
average
|
average
|
||||||||||||||||||||||||||||||||||
Balance
|
Percent
|
rate
|
Balance
|
Percent
|
rate
|
Balance
|
Percent
|
rate
|
||||||||||||||||||||||||||||
(Dollars
in thousands)
|
||||||||||||||||||||||||||||||||||||
Deposit type:
|
||||||||||||||||||||||||||||||||||||
Non
interest bearing demand
|
$ | 33,192 | 5.31 | % | - | $ | 35,284 | 6.05 | % | - | $ | 38,301 | 6.68 | % | - | |||||||||||||||||||||
Savings
|
32,465 | 5.20 | % | 0.38 | % | 35,633 | 6.11 | % | 0.37 | % | 41,915 | 7.31 | % | 0.42 | % | |||||||||||||||||||||
Interest
bearing demand
|
67,714 | 10.84 | % | 2.78 | % | 45,893 | 7.88 | % | 2.59 | % | 52,895 | 9.23 | % | 3.00 | % | |||||||||||||||||||||
Money
market demand
|
131,923 | 21.12 | % | 2.95 | % | 149,266 | 25.61 | % | 4.06 | % | 116,314 | 20.31 | % | 4.69 | % | |||||||||||||||||||||
Total
transaction accounts
|
265,294 | 42.47 | % | 2.22 | % | 266,076 | 45.66 | % | 2.77 | % | 249,425 | 43.53 | % | 2.89 | % | |||||||||||||||||||||
Certificates
of deposit
|
359,312 | 57.53 | % | 4.12 | % | 316,654 | 54.34 | % | 4.98 | % | 323,627 | 56.47 | % | 4.83 | % | |||||||||||||||||||||
Total
deposits
|
$ | 624,606 | 100.00 | % | 3.31 | % | $ | 582,730 | 100.00 | % | 3.97 | % | $ | 573,052 | 100.00 | % | 3.99 | % |
Maturity Period
|
At
December
31,
2008
|
|||
(Dollars
in Thousands)
|
||||
Three
months or less
|
$ | 17,524 | ||
Over
three months through six months
|
13,084 | |||
Over
six months through one year
|
53,039 | |||
Over
one year to three years
|
51,419 | |||
Over
three years
|
10,646 | |||
Total
|
$ | 145,712 |
Years
Ended December 31,
|
||||||||||||
2008
|
2007
|
2006
|
||||||||||
(Dollars
In Thousands)
|
||||||||||||
Average
balance outstanding
|
$ | 191,055 | $ | 148,184 | $ | 128,260 | ||||||
Maximum
month-end balance
|
$ | 207,592 | $ | 173,000 | $ | 144,000 | ||||||
Balance
at end of period
|
$ | 184,850 | $ | 173,000 | $ | 144,000 | ||||||
Weighted
average interest rate during the period
|
3.97 | % | 4.49 | % | 4.42 | % | ||||||
Weighted
average interest rate at end of period
|
4.05 | % | 4.23 | % | 4.45 | % |
|
·
|
Commercial
Real Estate and Commercial Business Loans. Repayment is
dependent on income being generated by the rental property or business in
amounts sufficient to cover operating expenses and debt
service.
|
|
·
|
Commercial
and Multi-Family Construction Loans. Repayment is
dependent upon the completion of the project and income being generated by
the rental property or business in amounts sufficient to cover operating
expenses and debt service.
|
|
·
|
Single
Family Construction Loans. Repayment is dependent upon
the successful completion of the project and the ability of the contractor
or builder to repay the loan from the sale of the property or obtaining
permanent financing.
|
|
·
|
Multi-Family
Real Estate Loans. Repayment is dependent on income
being generated by the rental property in amounts sufficient to cover
operating expenses and debt
service.
|
|
·
|
Consumer
Loans. Consumer loans (such as automobile and
manufactured home loans) are collateralized, if at all, with assets that
may not provide an adequate source of repayment of the loan due to
depreciation, damage or loss.
|
|
·
|
interest
income earned on interest-earning assets, such as loans and securities;
and
|
|
·
|
interest
paid on interest-bearing liabilities, such as deposits and
borrowings.
|
Owned
or
|
Lease
Expiration
|
Net
Book Value
|
||||||||
Location
|
Leased
|
Date
|
December 31, 2008
|
|||||||
(Dollars
in Thousands)
|
||||||||||
HOME
AND EXECUTIVE OFFICE
|
Owned
|
--
|
$ | 1,550 | ||||||
AND
MAIN BRANCH
|
||||||||||
505
Haines Avenue
|
||||||||||
Waycross,
GA 31501
|
||||||||||
FLORIDA
REGIONAL CENTER
|
Leased
|
June
2009
|
61 | |||||||
10151
Deerwood Park Blvd.
|
||||||||||
Building
100, Suite 501
|
||||||||||
Jacksonville,
FL 32256
|
||||||||||
BRANCH
OFFICES:
|
Owned
|
--
|
96 | |||||||
Drive-up
Facility
|
||||||||||
400
Haines Avenue
|
||||||||||
Waycross,
GA 31501
|
||||||||||
2110
Memorial Drive
|
Owned
|
--
|
298 | |||||||
Waycross,
GA 31501
|
||||||||||
1390
South Gaskin Avenue
|
Owned
|
--
|
334 | |||||||
Douglas,
GA 31533
|
||||||||||
213
Hwy 80 West
|
Owned
|
--
|
125 | |||||||
Garden
City, GA 31408
|
||||||||||
10328
Deerwood Park Blvd.
|
Owned
|
--
|
|
822 | ||||||
Jacksonville,
FL 32256
|
||||||||||
8048
Normandy Blvd.
|
Owned
|
--
|
913 | |||||||
Jacksonville,
FL 32221
|
||||||||||
1567
Kingsley Avenue
|
Leased
|
October
2017
|
730 | |||||||
Orange
Park, FL 32073
|
||||||||||
463
West Duval Street
|
Owned
|
--
|
91 | |||||||
Lake
City, FL 32055
|
||||||||||
930
University Avenue, North
|
Owned
|
--
|
644 | |||||||
Jacksonville,
FL 32211
|
||||||||||
1700
South Third Street
|
Owned
|
--
|
472 | |||||||
Jacksonville
Beach, FL 32200
|
||||||||||
1425
Atlantic Blvd.
|
Owned
|
--
|
1,554 | |||||||
Neptune
Beach, FL 32233
|
||||||||||
2766
Race Track Road
|
Owned
|
--
|
2,409 | |||||||
Jacksonville,
FL 32259
|
High
|
Low
|
Dividends
|
||||||||||
Fiscal 2008
|
||||||||||||
January
1-March 31
|
$ | 12.19 | $ | 8.10 | $ | 0.15 | ||||||
April
1- June 30
|
9.93 | 7.30 | 0.12 | |||||||||
July
1- September 30
|
8.47 | 4.69 | 0.11 | |||||||||
October
1- December 31
|
7.89 | 3.40 | 0.09 | |||||||||
Fiscal 2007
|
||||||||||||
January
1-March 31
|
$ | 19.10 | $ | 17.18 | $ | 0.13 | ||||||
April
1- June 30
|
20.06 | 15.55 | 0.14 | |||||||||
July
1- September 30
|
15.80 | 12.42 | 0.15 | |||||||||
October
1- December 31
|
15.38 | 10.61 | 0.15 |
Month
ended
|
Total
Number of Shares Purchased
|
Average
Price Paid per Share
|
Total
Number of Shares Purchased as Part of Publicly Announced Plans or
Programs
|
Maximum
Number of Shares that May Yet Be Purchased Under the Plans or
Programs
|
||||||||||||
October
31, 2008
|
12,800 | $ | 6.77 | 12,800 | 207,117 | |||||||||||
November
30, 2008
|
7,300 | 6.17 | 7,300 | 199,817 | ||||||||||||
December
31, 2008
|
20,083 | 4.11 | 20,083 | 179,734 | ||||||||||||
Total
|
40,183 | $ | 5.33 | 40,183 | 179,734 | |||||||||||
October
31, 2007
|
- | - | - | 182,646 | ||||||||||||
November
30, 2007
|
- | - | - | 182,646 | ||||||||||||
December
31, 2007
|
- | - | - | 182,646 | ||||||||||||
Total
|
- | - | - | 182,646 |
Plan
|
Number
of Securities to be
Issued
Upon Exercise of
Outstanding
Options,
Warrants
and Rights(1)
|
Weighted
Average
Exercise
Price(2)
of
Outstanding Options,
Warrants
and Rights
|
Number
of Securities
Remaining
Available For
Future
Issuance Under Equity
Compensation
Plans(3)
|
|||||||||
Equity
compensation plans approved by stockholders
|
559,101 | $ | 13.94 | 141,964 | ||||||||
Equity
compensation plans not approved by stockholders
|
— | — | — | |||||||||
Total
|
559,001 | $ | 13.94 | 141,964 |
(1)
|
Consists
of options to purchase 559,101 shares of common stock under the Atlantic
Coast Federal Corporation 2005 Stock Option
Plan.
|
(2)
|
The
weighted average exercise price reflects the weighted average exercise
price of stock options awarded from the Atlantic Coast Federal Corporation
2005 Stock Option Plan.
|
(3)
|
Consists
of stock options for 141,964 shares of common stock available to be
granted from the Atlantic Coast Federal Corporation 2005 Stock Option
Plan.
|
At
December 31,
|
||||||||||||||||||||
Selected
Consolidated Balance
|
2008
|
2007
|
2006
|
2005
|
2004
|
|||||||||||||||
Sheet
Data:
|
(Dollars
in Thousands)
|
|||||||||||||||||||
Total
assets
|
$ | 996,089 | $ | 931,026 | $ | 843,079 | $ | 744,116 | $ | 637,678 | ||||||||||
Cash
and cash equivalents
|
34,058 | 29,310 | 41,057 | 37,959 | 25,708 | |||||||||||||||
Securities
available-for-sale
|
147,474 | 134,216 | 99,231 | 71,965 | 53,363 | |||||||||||||||
Loans
receivable, net
|
741,879 | 703,513 | 639,517 | 580,441 | 517,711 | |||||||||||||||
FHLB
stock
|
9,996 | 9,293 | 7,948 | 7,074 | 5,511 | |||||||||||||||
Deposits
|
624,606 | 582,730 | 573,052 | 516,321 | 435,682 | |||||||||||||||
Total
borrowings
|
184,850 | 173,000 | 144,000 | 129,000 | 100,314 | |||||||||||||||
Total stockholders’
equity
|
83,960 | 89,806 | 91,087 | 92,917 | 98,700 |
Years
Ended December 31,
|
||||||||||||||||||||
Selected
Consolidated Statement of
|
2008
|
2007
|
2006
|
2005
|
2004
|
|||||||||||||||
Income
Data:
|
(Dollars
in Thousands)
|
|||||||||||||||||||
Total
interest income
|
$ | 55,259 | $ | 55,509 | $ | 46,407 | $ | 37,254 | $ | 31,772 | ||||||||||
Total
interest expense
|
32,009 | 33,123 | 24,747 | 17,139 | 11,643 | |||||||||||||||
Net
interest income
|
23,250 | 22,386 | 21,660 | 20,115 | 20,129 | |||||||||||||||
Provision
for loan losses
|
13,948 | 2,616 | 475 | 2,121 | 2,975 | |||||||||||||||
Net
interest income after provision for loan losses
|
9,302 | 19,770 | 21,185 | 17,994 | 17,154 | |||||||||||||||
Non-interest
income
|
10,134 | 6,926 | 8,005 | 7,937 | 5,207 | |||||||||||||||
Non-interest
expense
|
25,514 | 25,451 | 21,679 | 19,616 | 17,256 | |||||||||||||||
(Loss)
income before income taxes
|
(6,078 | ) | 1,245 | 7,511 | 6,315 | 5,105 | ||||||||||||||
Income
tax (benefit) expense (1)
|
(3,233 | ) | 130 | 2,382 | 1,290 | 1,815 | ||||||||||||||
Net
(loss) income
|
$ | (2,845 | ) | $ | 1,115 | $ | 5,129 | $ | 5,025 | $ | 3,290 | |||||||||
(Loss)
earnings per share: Basic
|
$ | (0.22 | ) | $ | 0.08 | $ | 0.38 | $ | 0.36 | $ | 0.33 | |||||||||
(Loss)
earnings per share: Diluted
|
$ | (0.22 | ) | $ | 0.08 | $ | 0.38 | $ | 0.36 | $ | 0.33 |
Selected
Consolidated Financial Ratios and Other Data:
|
At
or For the Year Ended December 31,
|
|||||||||||||||||||
2008
|
2007
|
2006
|
2005
|
2004
|
||||||||||||||||
Performance Ratios:
|
||||||||||||||||||||
Return
on assets (ratio of net income to average total assets)
|
(0.29 | )% | 0.12 | % | 0.66 | % | 0.71 | % | 0.56 | % | ||||||||||
Return
on equity (ratio of net income to average equity)
|
(3.22 | )% | 1.22 | % | 5.48 | % | 5.07 | % | 6.05 | % | ||||||||||
Dividend
Payout ratio
|
(218.4 | )% | 712.5 | % | 110.53 | % | 72.22 | % | - | % | ||||||||||
Interest
rate spread information:
|
||||||||||||||||||||
Average
during period
|
2.21 | % | 2.23 | % | 2.55 | % | 2.62 | % | 3.29 | % | ||||||||||
Net
interest margin(1)
|
2.53 | % | 2.67 | % | 2.99 | % | 3.06 | % | 3.64 | % | ||||||||||
Ratio
of operating expense to average total assets
|
2.61 | % | 2.85 | % | 2.78 | % | 2.78 | % | 2.95 | % | ||||||||||
Efficiency
ratio(2)
|
76.43 | % | 86.83 | % | 73.08 | % | 69.93 | % | 68.11 | % | ||||||||||
Ratio
of average interest-earning assets to average interest-bearing
liabilities
|
109.06 | % | 110.96 | % | 113.01 | % | 116.92 | % | 116.63 | % | ||||||||||
Asset
Quality Ratios:
|
||||||||||||||||||||
Non-performing
assets to total assets at end of period
|
2.90 | % | 1.03 | % | 0.40 | % | 0.39 | % | 1.09 | % | ||||||||||
Allowance
for loan losses to non performing loans
|
41.50 | % | 82.69 | % | 154.21 | % | 175.36 | % | 59.42 | % | ||||||||||
Allowance
for loan losses to total Loans
|
1.43 | % | 0.92 | % | 0.73 | % | 0.78 | % | 0.75 | % | ||||||||||
Net
charge-offs to average outstanding loans
|
1.35 | % | 0.13 | % | 0.06 | % | 0.27 | % | 1.16 | % | ||||||||||
Non-performing
loans to total Loans
|
3.43 | % | 1.11 | % | 0.48 | % | 0.45 | % | 1.28 | % | ||||||||||
Capital
Ratios:
|
||||||||||||||||||||
Equity
to total assets at end of period
|
8.43 | % | 9.65 | % | 10.80 | % | 12.49 | % | 15.48 | % | ||||||||||
Average
equity to average assets
|
9.03 | % | 10.23 | % | 12.00 | % | 14.07 | % | 9.29 | % | ||||||||||
Other
Data:
|
||||||||||||||||||||
Number
of full-service offices
|
12 | 13 | 13 | 12 | 12 | |||||||||||||||
Number
of loans
|
14,126 | 14,101 | 14,679 | 15,151 | 15,840 | |||||||||||||||
Number
of deposit accounts
|
46,148 | 48,334 | 49,896 | 51,738 | 56,962 |
|
(1)
|
Net
interest income divided by average interest earning
assets.
|
|
(2)
|
Efficiency
ratio represents non-interest expense as a percentage of net interest
income plus non-interest income.
|
2008
|
2007
|
|||||||
(In
Millions)
|
||||||||
First
quarter
|
$ | 1.6 | $ | 0.3 | ||||
Second
quarter
|
3.8 | 0.5 | ||||||
Third
quarter
|
3.8 | 0.4 | ||||||
Fourth
quarter
|
4.7 | 1.4 | ||||||
Total
|
$ | 13.9 | $ | 2.6 |
·
|
Sale
of our Fernandina Beach branch in August 2008 due to our assessment that
the branch would not achieve a targeted level of profitability within an
acceptable timeframe.
|
·
|
Completed
construction of a new location to replace an existing facility in Neptune
Beach, Florida, which opened in January
2007;
|
·
|
Relocated
our Orange Park, Florida branch office to a newly leased space about one
mile from the current location, which opened January 2008;
and
|
·
|
Evaluating
options for a new Florida headquarters that contains a branch office. We
cannot estimate the total costs of this project at this time because site
selection and the size of the building have not yet been
determined.
|
Increase(decrease)
|
||||||||||||||||
2008
|
2007
|
Dollars
|
Percentage
|
|||||||||||||
Assets
|
(Dollars
in thousands)
|
|||||||||||||||
Cash
and cash equivalents
|
$ | 34,058 | $ | 29,310 | $ | 4,748 | 16.2 | % | ||||||||
Securities
available for sale
|
147,474 | 134,216 | 13,258 | 9.9 | % | |||||||||||
Loans
|
752,477 | 709,995 | 42,482 | 6.0 | % | |||||||||||
Allowance
for loan losses
|
(10,598 | ) | (6,482 | ) | (4,116 | ) | 63.5 | % | ||||||||
Loans,
net
|
741,879 | 703,513 | 38,366 | 5.5 | % | |||||||||||
Loans
held for sale
|
736 | 640 | 96 | 15.0 | % | |||||||||||
Other
assets
|
71,942 | 63,347 | 8,595 | 13.6 | % | |||||||||||
Total
assets
|
$ | 996,089 | $ | 931,026 | $ | 65,063 | 7.0 | % | ||||||||
Liabilities
and stockholders' equity
|
||||||||||||||||
Deposits
|
||||||||||||||||
Non-interest
bearing
|
$ | 33,192 | $ | 35,284 | $ | (2,092 | ) | -5.9 | % | |||||||
Interest
bearing transaction accounts
|
67,714 | 45,893 | 21,821 | 47.5 | % | |||||||||||
Savings
and money-market
|
164,388 | 184,899 | (20,511 | ) | -11.1 | % | ||||||||||
Time
|
359,312 | 316,654 | 42,658 | 13.5 | % | |||||||||||
Total
deposits
|
624,606 | 582,730 | 41,876 | 7.2 | % | |||||||||||
Federal
Home Loan Bank advances
|
184,850 | 173,000 | 11,850 | 6.8 | % | |||||||||||
Securities
sold under agreement to repurchase
|
92,800 | 78,500 | 14,300 | 18.2 | % | |||||||||||
Accrued
expenses and other liabilities
|
9,873 | 6,990 | 2,883 | 41.2 | % | |||||||||||
Total
liabilities
|
912,129 | 841,220 | 70,909 | 8.4 | % | |||||||||||
Stockholders'
equity
|
83,960 | 89,806 | (5,846 | ) | -6.5 | % | ||||||||||
Total
liabilities and stockholders' equity
|
$ | 996,089 | $ | 931,026 | $ | 65,063 | 7.0 | % |
As
of December 31,
|
Increase
(decrease)
|
|||||||||||||||||||||||
2008
|
%
of total loans
|
2007
|
%
of total loans
|
Dollars
|
Percentage
|
|||||||||||||||||||
Real estate loans:
|
(Dollars
In Thousands)
|
|||||||||||||||||||||||
One-to-four
family
|
$ | 370,783 | 49.9 | % | $ | 377,956 | 53.5 | % | $ | (7,173 | ) | -1.9 | % | |||||||||||
Commercial
|
84,134 | 11.3 | % | 74,748 | 10.6 | % | 9,386 | 12.6 | % | |||||||||||||||
Other
( Land & Multi-family)
|
43,901 | 5.9 | % | 40,698 | 5.8 | % | 3,203 | 7.9 | % | |||||||||||||||
Total
real estate loans
|
498,818 | 67.1 | % | 493,402 | 69.8 | % | 5,416 | 1.1 | % | |||||||||||||||
Real estate construction
loans:
|
||||||||||||||||||||||||
Construction-one-to-four
family
|
8,974 | 1.2 | % | 13,448 | 1.9 | % | (4,474 | ) | -33.3 | % | ||||||||||||||
Construction-commercial
|
10,883 | 1.5 | % | 11,129 | 1.6 | % | (246 | ) | -2.2 | % | ||||||||||||||
Acquisition
& development
|
5,008 | 0.7 | % | 5,329 | 0.8 | % | (321 | ) | -6.0 | % | ||||||||||||||
Total
real estate construction loans
|
24,865 | 3.3 | % | 29,906 | 4.2 | % | (5,041 | ) | -16.9 | % | ||||||||||||||
Other loans:
|
||||||||||||||||||||||||
Home
equity
|
107,525 | 14.5 | % | 98,410 | 13.9 | % | 9,115 | 9.3 | % | |||||||||||||||
Consumer
|
87,162 | 11.7 | % | 64,673 | 9.2 | % | 22,489 | 34.8 | % | |||||||||||||||
Commercial
|
25,273 | 3.4 | % | 20,009 | 2.8 | % | 5,264 | 26.3 | % | |||||||||||||||
Total
other loans
|
219,960 | 29.6 | % | 183,092 | 25.9 | % | 36,868 | 20.1 | % | |||||||||||||||
Total
loans
|
743,643 | 100 | % | 706,400 | 100 | % | 37,243 | 5.3 | % | |||||||||||||||
Allowance
for loan losses
|
(10,598 | ) | (6,482 | ) | (4,116 | ) | 63.5 | % | ||||||||||||||||
Net
deferred loan costs
|
8,662 | 3,256 | 5,406 | 166.0 | % | |||||||||||||||||||
Premiums
on purchased loans
|
172 | 339 | (167 | ) | -49.3 | % | ||||||||||||||||||
Loans,
net
|
$ | 41,879 | $ | 703,513 | $ | 38,366 | 5.5 | % |
Georgia
|
Florida
|
Other States
|
Total
|
|||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||
1-4
Family First Mortgages
|
$ | 84,258 | $ | 229,973 | $ | 56,552 | $ | 370,783 | ||||||||
1-4
Family Second Mortgages
|
49,648 | 55,544 | 2,333 | 107,525 | ||||||||||||
1-4
Family Construction Loans
|
1,135 | 7,504 | 336 | 8,974 | ||||||||||||
$ | 135,041 | $ | 293,021 | $ | 59,222 | $ | 487,282 |
2008
|
2007
|
|||||||
(Dollars
in Thousands)
|
||||||||
Beginning
balance
|
$ | 6,482 | $ | 4,705 | ||||
Loans
charged-off
|
(10,989 | ) | (2,953 | ) | ||||
Recoveries
|
1,157 | 2,114 | ||||||
Net
charge-offs
|
(9,832 | ) | (839 | ) | ||||
Provision
for loan losses
|
13,948 | 2,616 | ||||||
Ending
balance
|
$ | 10,598 | $ | 6,482 |
For
the year ended December 31,
|
||||||||||||||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||||||||||
2008
|
2007
|
|||||||||||||||||||||||
Average
Balance
|
Interest
|
Average
Yield /Cost
|
Average
Balance
|
Interest
|
Average
Yield /Cost
|
|||||||||||||||||||
INTEREST-EARNING
ASSETS
|
||||||||||||||||||||||||
Loans
receivable(1)
|
$ | 730,245 | $ | 46,385 | 6.35 | % | $ | 668,150 | $ | 46,331 | 6.93 | % | ||||||||||||
Securites(2)
|
147,855 | 7,866 | 5.32 | % | 126,809 | 6,822 | 5.38 | % | ||||||||||||||||
Other
interest-earning assets(3)
|
42,323 | 1,008 | 2.38 | % | 44,607 | 2,356 | 5.28 | % | ||||||||||||||||
Total
interest-earning assets
|
920,423 | 55,259 | 6.00 | % | 839,566 | 55,509 | 6.61 | % | ||||||||||||||||
Non-interest-earning
assets
|
57,578 | 54,085 | ||||||||||||||||||||||
Total
assets
|
$ | 978,001 | $ | 893,651 | ||||||||||||||||||||
INTEREST-BEARING
LIABILITIES
|
||||||||||||||||||||||||
Savings
deposits
|
$ | 35,132 | 132 | 0.38 | % | $ | 40,333 | 157 | 0.39 | % | ||||||||||||||
Interest
on interest-bearing demand
|
58,709 | 1,438 | 2.45 | % | 50,092 | 1,481 | 2.96 | % | ||||||||||||||||
Money
market accounts
|
132,313 | 4,036 | 3.05 | % | 155,863 | 7,012 | 4.50 | % | ||||||||||||||||
Time
deposits
|
336,982 | 15,048 | 4.47 | % | 303,102 | 15,145 | 5.00 | % | ||||||||||||||||
Federal
Home Loan Bank advances
|
191,055 | 7,575 | 3.96 | % | 148,184 | 6,653 | 4.49 | % | ||||||||||||||||
Securities
sold under agreement to repurchase
|
89,793 | 3,780 | 4.21 | % | 59,063 | 2,675 | 4.53 | % | ||||||||||||||||
Total
interest-bearing liabilities
|
843,984 | 32,009 | 3.79 | % | 756,637 | 33,123 | 4.38 | % | ||||||||||||||||
Non-interest-bearing
liabilities
|
45,704 | 45,563 | ||||||||||||||||||||||
Total
liabilities
|
889,688 | 802,200 | ||||||||||||||||||||||
Stockholders'
equity
|
88,313 | 91,451 | ||||||||||||||||||||||
Total
liabilities and stockholders' equity
|
$ | 978,001 | $ | 893,651 | ||||||||||||||||||||
Net
interest income
|
$ | 23,250 | $ | 22,386 | ||||||||||||||||||||
Net
interest spread
|
2.21 | % | 2.23 | % | ||||||||||||||||||||
Net
earning assets
|
$ | 76,439 | $ | 82,929 | ||||||||||||||||||||
Net
interest margin(4)
|
2.53 | % | 2.67 | % | ||||||||||||||||||||
Average
interest-earning assets to average interest-bearing
liabilities
|
109.06 | % | 110.96 | % |
(1)
|
Calculated
net of deferred loan fees and loss reserve. Nonaccrual loans included as
loans carrying a zero yield.
|
(2)
|
Calculated
based on carrying value. Not full tax equivalents, as the numbers would
not change materially from those presented in the
table.
|
(3)
|
Includes
Federal Home Loan Bank stock at cost and term deposits with other
financial institutions.
|
(4)
|
Net
interest income divided by average interest-earning
assets.
|
2008
vs. 2007
|
||||||||||||
Increase/(Decrease)
|
Total
|
|||||||||||
Due
to
|
Increase
|
|||||||||||
Volume
|
Rate
|
(Decrease)
|
||||||||||
INTEREST-EARNING ASSETS
|
(Dollars
in Thousands)
|
|||||||||||
Loans
receivable
|
$ | 4,116 | $ | (4,062 | ) | $ | 54 | |||||
Securites
|
1,120 | (76 | ) | 1,044 | ||||||||
Other
interest-earning assets
|
(115 | ) | (1,233 | ) | (1,348 | ) | ||||||
Total
interest-earning assets
|
5,121 | (5,371 | ) | (250 | ) | |||||||
INTEREST-BEARING
LIABILITIES
|
||||||||||||
Savings
deposits
|
(20 | ) | (6 | ) | (26 | ) | ||||||
Interest
bearing demand accounts
|
233 | (277 | ) | (44 | ) | |||||||
Money
market accounts
|
(951 | ) | (2,025 | ) | (2,976 | ) | ||||||
Time
deposits
|
1,601 | (1,696 | ) | (95 | ) | |||||||
Federal
Home Loan Bank advances
|
1,765 | (842 | ) | 923 | ||||||||
Securities
sold under agreements to repurchase
|
1,305 | (201 | ) | 1,104 | ||||||||
Total
interest-bearing liabilities
|
3,933 | (5,047 | ) | (1,114 | ) | |||||||
Net
interest income
|
$ | 1,188 | $ | (324 | ) | $ | 864 |
Increase(decrease)
|
||||||||||||||||
2008
|
2007
|
Dollars
|
Percentage
|
|||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||
Service
charges and fees
|
$ | 4,871 | $ | 5,251 | $ | (380 | ) | -7.2 | % | |||||||
Gain
on sale of real estate mortgages
|
||||||||||||||||
held
for sale
|
118 | 34 | 84 | 247.1 | % | |||||||||||
(Loss)
on sale of foreclosed assets
|
(815 | ) | (247 | ) | (568 | ) | 230.0 | % | ||||||||
Gain
(loss) on available for sale securities
|
650 | (46 | ) | 696 | -1513.0 | % | ||||||||||
Commission
income
|
278 | 314 | (36 | ) | -11.5 | % | ||||||||||
Interchange
fees
|
886 | 897 | (11 | ) | -1.2 | % | ||||||||||
Bank
owned life insurance earnings
|
984 | 861 | 123 | 14.3 | % | |||||||||||
Life
insurance proceeds in excess of CSV
|
2,634 | - | 2,634 | 100.0 | % | |||||||||||
Other
|
528 | (138 | ) | 666 | -482.6 | % | ||||||||||
$ | 10,134 | $ | 6,926 | $ | 3,208 | 46.3 | % |
Increase
(decrease)
|
||||||||||||||||
2008
|
2007
|
Dollars
|
Percentage
|
|||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||
Compensation
& benefits
|
$ | 13,741 | $ | 12,391 | $ | 1,350 | 10.9 | % | ||||||||
Occupancy
and equipment
|
2,652 | 2,383 | 269 | 11.3 | % | |||||||||||
Data
processing
|
1,023 | 1,136 | (113 | ) | -9.9 | % | ||||||||||
Advertising
|
799 | 584 | 215 | 36.8 | % | |||||||||||
Outside
professional services
|
1,889 | 4,066 | (2,177 | ) | -53.5 | % | ||||||||||
Interchange
charges
|
224 | 422 | (198 | ) | -46.9 | % | ||||||||||
Collection
expense and repossessed asset losses
|
508 | 301 | 207 | 68.8 | % | |||||||||||
Telephone
|
600 | 501 | 99 | 19.8 | % | |||||||||||
Other
|
4,078 | 3,667 | 411 | 11.2 | % | |||||||||||
$ | 25,514 | $ | 25,451 | $ | 63 | 0.2 | % |
For
the year ended December 31,
|
||||||||||||||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||||||||||
2007
|
2006
|
|||||||||||||||||||||||
Average
Balance
|
Interest
|
Average
Yield /Cost
|
Average
Balance
|
Interest
|
Average
Yield /Cost
|
|||||||||||||||||||
INTEREST-EARNING
ASSETS
|
||||||||||||||||||||||||
Loans
receivable(1)
|
$ | 668,150 | $ | 46,331 | 6.93 | % | $ | 613,532 | $ | 41,029 | 6.69 | % | ||||||||||||
Securites(2)
|
126,809 | 6,822 | 5.38 | % | 75,917 | 3,604 | 4.75 | % | ||||||||||||||||
Other
interest-earning assets(3)
|
44,607 | 2,356 | 5.28 | % | 34,205 | 1,774 | 5.19 | % | ||||||||||||||||
Total
interest-earning assets
|
839,566 | 55,509 | 6.61 | % | 723,654 | 46,407 | 6.41 | % | ||||||||||||||||
Non-interest-earning
assets
|
54,085 | 56,600 | ||||||||||||||||||||||
Total
assets
|
$ | 893,651 | $ | 780,254 | ||||||||||||||||||||
INTEREST-BEARING
LIABILITIES
|
||||||||||||||||||||||||
Savings
deposits
|
$ | 40,333 | 157 | 0.39 | % | $ | 49,104 | 195 | 0.40 | % | ||||||||||||||
Interest
on interest-bearing demand
|
50,092 | 1,481 | 2.96 | % | 58,454 | 1,572 | 2.69 | % | ||||||||||||||||
Money
market accounts
|
155,863 | 7,012 | 4.50 | % | 77,989 | 3,098 | 3.97 | % | ||||||||||||||||
Time
deposits
|
303,102 | 15,145 | 5.00 | % | 312,564 | 13,584 | 4.35 | % | ||||||||||||||||
Federal
Home Loan Bank advances
|
148,184 | 6,653 | 4.49 | % | 128,260 | 5,664 | 4.42 | % | ||||||||||||||||
Securities
sold under agreement to repurchase
|
59,063 | 2,675 | 4.53 | % | 13,951 | 634 | 4.54 | % | ||||||||||||||||
Total
interest-bearing liabilities
|
756,637 | 33,123 | 4.38 | % | 640,322 | 24,747 | 3.86 | % | ||||||||||||||||
Non-interest-bearing
liabilities
|
45,563 | 46,318 | ||||||||||||||||||||||
Total
liabilities
|
802,200 | 686,640 | ||||||||||||||||||||||
Stockholders'
equity
|
91,451 | 93,614 | ||||||||||||||||||||||
Total
liabilities and stockholders' equity
|
$ | 893,651 | $ | 780,254 | ||||||||||||||||||||
Net
interest income
|
$ | 22,386 | $ | 21,660 | ||||||||||||||||||||
Net
interest spread
|
2.23 | % | 2.55 | % | ||||||||||||||||||||
Net
earning assets
|
$ | 82,929 | $ | 83,332 | ||||||||||||||||||||
Net
interest margin(4)
|
2.67 | % | 2.99 | % | ||||||||||||||||||||
Average
interest-earning assets to average interest-bearing
liabilities
|
110.96 | % | 113.01 | % |
(1)
|
Calculated
net of deferred loan fees and loss reserve. Nonaccrual loans included as
loans carrying a zero yield.
|
(2)
|
Calculated
based on carrying value. Not full tax equivalents, as the numbers would
not change materially from those presented in the
table.
|
(3)
|
Includes
Federal Home Loan Bank stock at cost and term deposits with other
financial institutions.
|
(4)
|
Net
interest income divided by average interest-earning
assets.
|
2007
vs. 2006
|
||||||||||||
Increase/(Decrease)
|
Total
|
|||||||||||
Due
to
|
Increase
|
|||||||||||
Volume
|
Rate
|
(Decrease)
|
||||||||||
INTEREST-EARNING ASSETS
|
(Dollars
in Thousands)
|
|||||||||||
Loans
receivable
|
$ | 3,412 | $ | 1,890 | $ | 5,302 | ||||||
Securites
|
2,685 | 534 | 3,219 | |||||||||
Other
interest-earning assets
|
549 | 32 | 581 | |||||||||
Total
interest-earning assets
|
6,646 | 2,456 | 9,102 | |||||||||
INTEREST-BEARING
LIABILITIES
|
||||||||||||
Savings
deposits
|
(34 | ) | (4 | ) | (38 | ) | ||||||
Interest
bearing demand accounts
|
(238 | ) | 147 | (91 | ) | |||||||
Money
market accounts
|
3,455 | 459 | 3,914 | |||||||||
Time
deposits
|
(421 | ) | 1,983 | 1,562 | ||||||||
Federal
Home Loan Bank advances
|
893 | 96 | 989 | |||||||||
Securities
sold under agreements to repurchase
|
2,043 | (2 | ) | 2,041 | ||||||||
Total
interest-bearing liabilities
|
5,698 | 2,679 | 8,377 | |||||||||
Net
interest income
|
$ | 948 | $ | (223 | ) | $ | 725 |
Increase(decrease)
|
||||||||||||||||
2007
|
2006
|
Dollars
|
Percentage
|
|||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||
Service
charges and fees
|
$ | 5,251 | $ | 5,745 | $ | (494 | ) | -8.6 | % | |||||||
Gain
on sale of real estate mortgages
|
||||||||||||||||
held
for sale
|
34 | 67 | (33 | ) | -49.3 | % | ||||||||||
Gain
(loss) on sale of foreclosed assets
|
(247 | ) | (1 | ) | (246 | ) | 24600.0 | % | ||||||||
Net
loss on available for sale securities
|
(46 | ) | (163 | ) | 117 | -71.8 | % | |||||||||
Commission
income
|
314 | 314 | - | 0.0 | % | |||||||||||
Interchange
fees
|
897 | 791 | 106 | 13.4 | % | |||||||||||
Bank
owned life insurance earnings
|
861 | 840 | 21 | 2.5 | % | |||||||||||
Other
|
(138 | ) | 412 | (550 | ) | -133.5 | % | |||||||||
$ | 6,926 | $ | 8,005 | $ | (1,079 | ) | -13.5 | % |
Increase
(decrease)
|
||||||||||||||||
2007
|
2006
|
Dollars
|
Percentage
|
|||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||
Compensation
& benefits
|
$ | 12,391 | $ | 10,947 | $ | 1,444 | 13.2 | % | ||||||||
Occupancy
and equipment
|
2,383 | 2,228 | 155 | 7.0 | % | |||||||||||
Data
processing
|
1,136 | 1,483 | (347 | ) | -23.4 | % | ||||||||||
Advertising
|
584 | 847 | (263 | ) | -31.1 | % | ||||||||||
Outside
professional services
|
4,066 | 1,994 | 2,072 | 103.9 | % | |||||||||||
Interchange
charges
|
422 | 491 | (69 | ) | -14.1 | % | ||||||||||
Collection
expense and repossessed
|
||||||||||||||||
asset
losses
|
301 | 267 | 34 | 12.7 | % | |||||||||||
Telephone
|
501 | 500 | 1 | 0.2 | % | |||||||||||
Other
|
3,667 | 2,922 | 745 | 25.5 | % | |||||||||||
$ | 25,451 | $ | 21,679 | $ | 3,772 | 17.4 | % |
December
31, 2008
|
||||||||||||||||||||
Less
Than
1
Year
|
1
Through
3
Years
|
4
Through
5
Years
|
More
Than
5
Years
|
Total
|
||||||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||||||
FHLB
advances
|
$ | 12,250 | $ | 38,000 | $ | - | $ | 134,600 | $ | 184,850 | ||||||||||
Operating
leases (premises)
|
287 | 301 | 316 | 695 | 1,599 | |||||||||||||||
Borrowings
and operating leases
|
12,537 | 38,301 | 316 | 135,295 | 186,449 | |||||||||||||||
Undisbursed
portion of loans closed
|
- | - | - | - | 8,669 | |||||||||||||||
Unused
lines of credit
|
- | - | - | - | 76,907 | |||||||||||||||
Total
loan commitments
|
- | - | - | - | 85,576 | |||||||||||||||
Loan
purchase commitment
|
- | - | - | - | - | |||||||||||||||
Security
repurchase commitment
|
92,800 | - | - | - | 92,800 | |||||||||||||||
Total
purchase commitments
|
- | - | - | - | - | |||||||||||||||
Total
contractual obligations And loan commitments
|
$ | 105,337 | $ | 38,301 | $ | 316 | $ | 135,295 | $ | 364,825 |
To
Be Well
|
||||||||||||||||||||||||
Capitalized
Under
|
||||||||||||||||||||||||
For
Capital
|
Prompt
Corrective
|
|||||||||||||||||||||||
Actual
|
Adequacy Purposes
|
Action Provisions
|
||||||||||||||||||||||
Amount
|
Ratio
|
Amount
|
Ratio
|
Amount
|
Ratio
|
|||||||||||||||||||
(Dollars
in Millions)
|
||||||||||||||||||||||||
As of December 31, 2008
|
||||||||||||||||||||||||
Total
capital (to risk-weighted assets)
|
$ | 74.5 | 10.9 | % | $ | 54.6 | 8.0 | % | $ | 68.3 | 10.0 | % | ||||||||||||
Tier
1 (core) capital (to risk-weighted assets)
|
$ | 68.5 | 10.0 | % | $ | 27.3 | 4.0 | % | $ | 41.0 | 6.0 | % | ||||||||||||
Tier
1 (core) capital (to adjusted total assets)
|
$ | 68.5 | 7.0 | % | $ | 39.4 | 4.0 | % | $ | 49.2 | 5.0 | % |
Economic
Value of Equity and Duration of Assets and Liabilities at December 31,
2008
|
||||||||||||||||||||||||
Change
in Interest Rate
|
||||||||||||||||||||||||
Decrease
|
Decrease
|
Decrease
|
Increase
|
Increase
|
Increase
|
|||||||||||||||||||
3%
|
2%
|
1%
|
1%
|
2%
|
3%
|
|||||||||||||||||||
Duration
of assets(1)
|
1.54 | 1.62 | 2.26 | 2.77 | 2.89 | 3.03 | ||||||||||||||||||
Duration
of liabilities(1)
|
2.48 | 2.61 | 3.29 | 3.06 | 2.97 | 2.99 | ||||||||||||||||||
Differential
in duration
|
-0.94 | -0.99 | -1.03 | -0.29 | -0.08 | 0.04 | ||||||||||||||||||
Amount
of change in Economic Value of Equity(2)
|
$ | (28,240,492 | ) | $ | (19,817,889 | ) | $ | (10,290,360 | ) | $ | 2,823,339 | $ | 1,717,281 | $ | (1,071,596 | ) | ||||||||
Percentage
change in Economic Value of Equity(2)
|
-29.89 | % | -20.98 | % | -10.89 | % | 2.99 | % | 1.82 | % | -1.13 | % |
Economic
Value of Equity and Duration of Assets and Liabilities at December 31,
2007
|
||||||||||||||||||||||||
Change
in Interest Rate
|
||||||||||||||||||||||||
Decrease
|
Decrease
|
Decrease
|
Increase
|
Increase
|
Increase
|
|||||||||||||||||||
3%
|
2%
|
1%
|
1%
|
2%
|
3%
|
|||||||||||||||||||
Duration
of assets(1)
|
1.86 | 1.96 | 2.04 | 2.43 | 2.56 | 2.69 | ||||||||||||||||||
Duration
of liabilities(1)
|
3.12 | 3.29 | 3.34 | 2.59 | 1.92 | 1.83 | ||||||||||||||||||
Differential
in duration
|
-1.26 | -1.33 | -1.30 | -0.16 | 0.64 | 0.86 | ||||||||||||||||||
Amount
of change in Economic Value of Equity(2)
|
$ | (35,310,888 | ) | $ | (24,779,571 | ) | $ | (12,073,995 | ) | $ | 1,552,966 | $ | (11,880,348 | ) | $ | (24,079,263 | ) | |||||||
Percentage
change in Economic Value of Equity(2)
|
-36.67 | % | -25.73 | % | -12.54 | % | 1.61 | % | -12.34 | % | -25.01 | % |
(1)
|
Expressed
as number of years before asset/liability reprices to achieve stated rate
of interest rate increase
|
(2)
|
Represents
the cumulative five year pre-tax impact on the Company's equity due to
increased or (decreased) net interest
margin
|
2008
|
2007
|
|||||||
ASSETS
|
||||||||
Cash
and due from financial institutions
|
$ | 10,025 | $ | 4,726 | ||||
Short-term
interest-earning deposits
|
24,033 | 24,584 | ||||||
Total
cash and cash equivalents
|
34,058 | 29,310 | ||||||
Securities
available for sale
|
147,474 | 134,216 | ||||||
Real
estate mortgages held for sale
|
736 | 640 | ||||||
Loans,
net of allowance of $10,598 in 2008 and $6,482 in 2007
|
741,879 | 703,513 | ||||||
Federal
Home Loan Bank stock, at cost
|
9,996 | 9,293 | ||||||
Accrued
interest receivable
|
3,934 | 4,080 | ||||||
Land,
premises and equipment, net
|
16,562 | 16,973 | ||||||
Bank
owned life insurance
|
22,173 | 22,227 | ||||||
Other
real estate owned
|
3,332 | 1,726 | ||||||
Goodwill
|
2,811 | 2,661 | ||||||
Other
assets (includes deferred tax asset of $7,727 in 2008 and $4,912 in
2007)
|
13,134 | 6,387 | ||||||
Total
assets
|
$ | 996,089 | $ | 931,026 | ||||
LIABILITIES
AND STOCKHOLDERS' EQUITY
|
||||||||
Deposits
|
||||||||
Non-interest-bearing
demand
|
$ | 33,192 | $ | 35,284 | ||||
Interest-bearing
demand
|
67,714 | 45,893 | ||||||
Savings
and money market
|
164,388 | 184,899 | ||||||
Time
|
359,312 | 316,654 | ||||||
Total
deposits
|
624,606 | 582,730 | ||||||
Securities
sold under agreement to repurchase
|
92,800 | 78,500 | ||||||
Federal
Home Loan Bank advances
|
184,850 | 173,000 | ||||||
Accrued
expenses and other liabilities
|
9,873 | 6,990 | ||||||
Total
liabilities
|
912,129 | 841,220 | ||||||
Commitments
and contingencies
|
- | - | ||||||
Preferred
stock: $0.01 par value; 2,000,000 shares authorized none
issued
|
- | - | ||||||
Common
stock: $0.01 par value; 18,000,000 shares authorized, shares issued
14,813,469 at December 31, 2008 and 2007
|
148 | 148 | ||||||
Additional
paid in capital
|
60,061 | 59,082 | ||||||
Unearned
employee stock ownership plan (ESOP) shares of 232,760 at December 31,
2008 and 279,312 at December 31, 2007
|
(2,328 | ) | (2,793 | ) | ||||
Retained
earnings
|
46,201 | 51,182 | ||||||
Accumulated
other comprehensive (loss) income
|
(308 | ) | 104 | |||||
Treasury
stock, at cost, 1,361,633 shares at December 31, 2008 and 1,131,867
at December 31, 2007
|
(19,814 | ) | (17,917 | ) | ||||
Total
stockholders' equity
|
83,960 | 89,806 | ||||||
Total
liabilities and stockholders' equity
|
$ | 996,089 | $ | 931,026 |
2008
|
2007
|
2006
|
||||||||||
Interest
and dividend income
|
||||||||||||
Loans,
including fees
|
$ | 46,385 | $ | 46,331 | $ | 41,029 | ||||||
Securities
and interest-earning deposits in other financial institutions -
taxable
|
8,695 | 8,973 | 5,308 | |||||||||
Securities
and interest-earning deposits in other financial institutions - tax
exempt
|
179 | 205 | 70 | |||||||||
Total
interest and dividend income
|
55,259 | 55,509 | 46,407 | |||||||||
Interest
expense
|
||||||||||||
Deposits
|
20,654 | 23,795 | 18,448 | |||||||||
Federal
Home Loan Bank advances
|
7,575 | 6,653 | 5,665 | |||||||||
Securities
sold under agreements to repurchase
|
3,780 | 2,675 | 634 | |||||||||
Total
interest expense
|
32,009 | 33,123 | 24,747 | |||||||||
Net
interest income
|
23,250 | 22,386 | 21,660 | |||||||||
Provision
for loan losses
|
13,948 | 2,616 | 475 | |||||||||
Net
interest income after provision for loan losses
|
9,302 | 19,770 | 21,185 | |||||||||
Noninterest
income
|
||||||||||||
Service
charges and fees
|
4,871 | 5,251 | 5,745 | |||||||||
Gain
on sale of real estate mortgages held for sale
|
118 | 34 | 67 | |||||||||
Loss
on sale of foreclosed assets
|
(815 | ) | (247 | ) | (1 | ) | ||||||
Gain
(loss) on sale of securities available for sale
|
650 | (46 | ) | (163 | ) | |||||||
Commission
income
|
278 | 314 | 314 | |||||||||
Interchange
fees
|
886 | 897 | 791 | |||||||||
Bank
owned life insurance earnings
|
984 | 861 | 840 | |||||||||
Life
insurance proceeds in excess of CSV
|
2,634 | - | - | |||||||||
Other
|
528 | (138 | ) | 412 | ||||||||
10,134 | 6,926 | 8,005 | ||||||||||
Noninterest
expense
|
||||||||||||
Compensation
and benefits
|
13,741 | 12,391 | 10,947 | |||||||||
Occupancy
and equipment
|
2,652 | 2,383 | 2,228 | |||||||||
Data
processing
|
1,023 | 1,136 | 1,483 | |||||||||
Advertising
|
799 | 584 | 847 | |||||||||
Outside
professional services
|
1,889 | 4,066 | 1,994 | |||||||||
Interchange
charges
|
224 | 422 | 491 | |||||||||
Collection
expense and repossessed asset losses
|
508 | 301 | 267 | |||||||||
Telephone
|
600 | 501 | 500 | |||||||||
Other
|
4,078 | 3,667 | 2,922 | |||||||||
25,514 | 25,451 | 21,679 | ||||||||||
(Loss)
income before income tax (benefit) expense
|
(6,078 | ) | 1,245 | 7,511 | ||||||||
Income
tax (benefit) expense
|
(3,233 | ) | 130 | 2,382 | ||||||||
Net
income (loss)
|
$ | (2,845 | ) | $ | 1,115 | $ | 5,129 | |||||
(Loss)
earnings per common share:
|
||||||||||||
Basic
|
$ | (0.22 | ) | $ | 0.08 | $ | 0.38 | |||||
Diluted
|
$ | (0.22 | ) | $ | 0.08 | $ | 0.38 | |||||
Dividends
declared per common share
|
$ | 0.47 | $ | 0.57 | $ | 0.42 |
ACCUMULATED
|
||||||||||||||||||||||||||||
COMMON
STOCK
|
ADDITIONAL
PAID IN CAPITAL
|
UNEARNED
ESOP SHARES
|
RETAINED
EARNINGS
|
OTHER
COMPREHENSIVE INCOME (LOSS)
|
TREASURY
STOCK
|
TOTAL
STOCKHOLDERS’ EQUITY
|
||||||||||||||||||||||
Balance
at January 1, 2006
|
$ | 148 | $ | 56,876 | $ | (3,724 | ) | $ | 49,629 | $ | (408 | ) | $ | (9,603 | ) | $ | 92,918 | |||||||||||
ESOP
shares earned, 46,552 shares
|
- | 290 | 465 | - | - | - | 755 | |||||||||||||||||||||
Stock
options exercised
|
- | (13 | ) | - | - | - | 115 | 102 | ||||||||||||||||||||
Management
restricted stock granted
|
- | (348 | ) | - | - | - | 348 | - | ||||||||||||||||||||
Management
restricted stock expense, 78,256 shares
|
- | 595 | - | - | - | - | 595 | |||||||||||||||||||||
Stock
options expense
|
- | 308 | - | - | - | - | 308 | |||||||||||||||||||||
Dividends
declared ($0.42 per share)
|
- | - | - | (2,048 | ) | - | - | (2,048 | ) | |||||||||||||||||||
Treasury
stock purchased at cost
|
- | - | - | - | - | (6,877 | ) | (6,877 | ) | |||||||||||||||||||
Comprehensive
income:
|
||||||||||||||||||||||||||||
Net
income
|
- | - | - | 5,129 | - | - | 5,129 | |||||||||||||||||||||
Other
comprehensive income (loss)
|
- | - | - | - | 204 | - | 204 | |||||||||||||||||||||
Total
comprehensive income
|
- | - | - | 5,129 | 204 | - | 5,333 | |||||||||||||||||||||
Balance
at December 31, 2006
|
148 | 57,708 | (3,259 | ) | 52,711 | (204 | ) | (16,017 | ) | 91,087 | ||||||||||||||||||
ESOP
shares earned, 46,552 shares
|
- | 276 | 466 | - | - | - | 742 | |||||||||||||||||||||
Stock
options exercised
|
- | (8 | ) | - | - | - | 65 | 57 | ||||||||||||||||||||
Management
restricted stock granted
|
- | (98 | ) | - | - | - | 207 | 109 | ||||||||||||||||||||
Management
restricted stock expense, 78,256 shares
|
- | 684 | - | - | - | - | 684 | |||||||||||||||||||||
Stock
options expense
|
- | 332 | - | - | - | - | 332 | |||||||||||||||||||||
Directors
deferred compensation
|
- | 49 | - | - | - | (49 | ) | - | ||||||||||||||||||||
Shares
relinquished
|
- | 139 | - | - | - | (155 | ) | (16 | ) | |||||||||||||||||||
Cash
dividends declared ($0.57 per share)
|
- | - | - | (2,644 | ) | - | - | (2,644 | ) | |||||||||||||||||||
Treasury
stock purchased at cost
|
- | - | - | - | - | (1,968 | ) | (1,968 | ) | |||||||||||||||||||
Comprehensive
income:
|
||||||||||||||||||||||||||||
Net
income
|
- | - | - | 1,115 | - | - | 1,115 | |||||||||||||||||||||
Other
comprehensive income
|
- | - | - | - | 308 | - | 308 | |||||||||||||||||||||
Total
comprehensive income
|
- | - | - | 1,115 | 308 | - | 1,423 | |||||||||||||||||||||
Balance
at December 31, 2007
|
$ | 148 | $ | 59,082 | $ | (2,793 | ) | $ | 51,182 | $ | 104 | $ | (17,917 | ) | $ | 89,806 |
ACCUMULATED
|
||||||||||||||||||||||||||||
COMMON
STOCK
|
ADDITIONAL
PAID IN CAPITAL
|
UNEARNED
ESOP SHARES
|
RETAINED
EARNINGS
|
OTHER
COMPREHENSIVE INCOME (LOSS)
|
TREASURY
STOCK
|
TOTAL
STOCKHOLDERS’ EQUITY
|
||||||||||||||||||||||
Balance
at January 1, 2008
|
$ | 148 | $ | 59,082 | $ | (2,793 | ) | $ | 51,182 | $ | 104 | $ | (17,917 | ) | $ | 89,806 | ||||||||||||
ESOP
shares earned, 46,552 shares
|
- | (94 | ) | 465 | - | - | - | 371 | ||||||||||||||||||||
Management
restricted stock expense, 78,256 shares
|
- | 680 | - | - | - | - | 680 | |||||||||||||||||||||
Stock
options expense
|
- | 397 | - | - | - | - | 397 | |||||||||||||||||||||
Directors
deferred compensation
|
- | (4 | ) | - | - | - | 4 | - | ||||||||||||||||||||
Cash
dividends declared ($0.47 per share)
|
- | - | - | (2,136 | ) | - | - | (2,136 | ) | |||||||||||||||||||
Shares
relinquished
|
- | - | - | - | - | (60 | ) | (60 | ) | |||||||||||||||||||
Treasury
stock purchased at cost
|
- | - | - | - | - | (1,841 | ) | (1,841 | ) | |||||||||||||||||||
Comprehensive
income: (loss)
|
||||||||||||||||||||||||||||
Net
income (loss)
|
- | - | - | (2,845 | ) | - | - | (2,845 | ) | |||||||||||||||||||
Other
comprehensive income (loss)
|
- | - | - | - | (412 | ) | - | (412 | ) | |||||||||||||||||||
Total
comprehensive income (loss)
|
- | - | - | (2,845 | ) | (412 | ) | - | (3,257 | ) | ||||||||||||||||||
Balance
at December 31, 2008
|
$ | 148 | $ | 60,061 | $ | (2,328 | ) | $ | 46,201 | $ | (308 | ) | $ | (19,814 | ) | $ | 83,960 |
2008
|
2007
|
2006
|
||||||||||
Cash
flows from operating activities
|
||||||||||||
Net
income (loss)
|
$ | (2,845 | ) | $ | 1,115 | $ | 5,129 | |||||
Adjustments
to reconcile net income to to net cash from operating
activities:
|
||||||||||||
Provision
for loan losses
|
13,948 | 2,616 | 475 | |||||||||
Gain
on sale of real estate mortgages held for sale
|
(118 | ) | (34 | ) | (67 | ) | ||||||
Loans
originated for sale
|
(11,167 | ) | (74,419 | ) | (37,931 | ) | ||||||
Proceeds
from loan sales
|
11,189 | 78,178 | 33,733 | |||||||||
Loss
on sale of other real estate owned
|
815 | 247 | 1 | |||||||||
(Gain)
loss on sale of securities available for sale
|
(650 | ) | 46 | 163 | ||||||||
Proceeds
from VISA IPO redemption
|
79 | - | - | |||||||||
(Gain)
loss on disposal of equipment
|
(605 | ) | 130 | 146 | ||||||||
ESOP
compensation expense
|
371 | 742 | 755 | |||||||||
Share-based
compensation expense
|
1,077 | 1,109 | 903 | |||||||||
Net
depreciation and amortization
|
2,038 | 1,807 | 1,890 | |||||||||
Net
change in accrued interest receivable
|
146 | (581 | ) | (777 | ) | |||||||
Increase
in cash surrender value of bank owned life insurance
|
(894 | ) | (861 | ) | (840 | ) | ||||||
Net
change in other assets
|
(6,473 | ) | (2,225 | ) | (392 | ) | ||||||
Net
change in accrued expenses and other liabilities
|
3,180 | 915 | (89 | ) | ||||||||
Net
cash from operating activities
|
10,001 | 8,785 | 3,099 | |||||||||
Cash
flows from investing activities
|
||||||||||||
Proceeds
from maturities and payments of securites available for
sale
|
25,661 | 18,694 | 17,808 | |||||||||
Proceeds
from the sales of securities available for sale
|
76,245 | 14,619 | 16,657 | |||||||||
Purchase
of securities available for sale
|
(115,309 | ) | (67,871 | ) | (61,642 | ) | ||||||
Loans
purchased
|
- | (51,423 | ) | (35,977 | ) | |||||||
Net
change in loans
|
(57,940 | ) | (17,633 | ) | (24,768 | ) | ||||||
Expenditures
on premises and equipment
|
(1,728 | ) | (932 | ) | (4,478 | ) | ||||||
Proceeds
from sales of premises and equipment
|
1,653 | - | - | |||||||||
Proceeds
from the sale of other real estate owned
|
2,287 | 401 | 612 | |||||||||
Proceeds
from bank owed life insurance, net
|
1,038 | - | - | |||||||||
Purchase
of FHLB stock
|
(703 | ) | (1,345 | ) | (874 | ) | ||||||
Purchase
of Beckman Mortgage
|
(150 | ) | - | - | ||||||||
Net
change in other investments
|
- | 1,200 | 600 | |||||||||
Net
cash from investing activities
|
(68,946 | ) | (104,290 | ) | (92,062 | ) |
2008
|
2007
|
2006
|
||||||||||
Cash
flows from financing activities
|
||||||||||||
Net
increase in deposits
|
$ | 41,876 | $ | 9,678 | $ | 56,731 | ||||||
FHLB
advances
|
133,000 | 95,000 | 40,000 | |||||||||
Proceeds
from sale of securities under agreement to repurchase
|
14,300 | 49,500 | 29,000 | |||||||||
Repayment
of FHLB advances
|
(121,150 | ) | (66,000 | ) | (25,000 | ) | ||||||
Treasury
stock repurchased
|
(1,841 | ) | (1,968 | ) | (6,877 | ) | ||||||
Shares
relinquished
|
(60 | ) | - | - | ||||||||
Proceeds
from exercise of stock options, including tax benefit
|
- | 57 | 102 | |||||||||
Dividends
paid
|
(2,432 | ) | (2,509 | ) | (1,895 | ) | ||||||
Net
cash from financing activities
|
63,693 | 83,758 | 92,061 | |||||||||
Net
change in cash and cash equivalents
|
4,748 | (11,747 | ) | 3,098 | ||||||||
Cash
and equivalents beginning of period
|
29,310 | 41,057 | 37,959 | |||||||||
Cash
and equivalents at end of period
|
$ | 34,058 | $ | 29,310 | $ | 41,057 | ||||||
Supplemental
information:
|
||||||||||||
Interest
paid
|
$ | 32,070 | $ | 32,839 | $ | 24,287 | ||||||
Income
taxes paid
|
3,180 | 3,269 | 3,921 | |||||||||
Supplemental
noncash disclosures:
|
||||||||||||
Loans
transferred to other real estate
|
$ | 4,704 | $ | 2,089 | $ | 589 |
Fair
Value
|
Gross
Unrealized Gains
|
Gross
Unrealized Losses
|
||||||||||
December
31, 2008
|
(Dollars
in Thousands)
|
|||||||||||
U.S.
Government-sponsored enterprises
|
$ | 14,200 | $ | 371 | $ | (35 | ) | |||||
State
and municipal
|
2,513 | 7 | (158 | ) | ||||||||
Mortgage-backed
|
130,761 | 1,063 | (1,781 | ) | ||||||||
$ | 147,474 | $ | 1,441 | $ | (1,974 | ) | ||||||
December
31, 2007
|
||||||||||||
U.S.
Government-sponsored enterprises
|
$ | 11,510 | $ | 87 | $ | (45 | ) | |||||
State
and municipal
|
8,684 | 13 | (175 | ) | ||||||||
Mortgage-backed
|
114,022 | 703 | (429 | ) | ||||||||
$ | 134,216 | $ | 803 | $ | (649 | ) |
2008
|
2007
|
2006
|
||||||||||
(Dollars
in Thousands)
|
||||||||||||
Proceeds
|
$ | 82,584 | $ | 14,619 | $ | 16,657 | ||||||
Gross
gains
|
928 | 40 | 2 | |||||||||
Gross
losses
|
(278 | ) | (86 | ) | (165 | ) |
2008
|
||||
(Dollars
in Thousands)
|
||||
Due
in one year or less
|
$ | - | ||
Due
from one to five years
|
- | |||
Due
from five to ten years
|
1,365 | |||
Due
after ten years
|
15,348 | |||
Mortgage-backed
|
130,761 | |||
Total
|
$ | 147,474 |
(Dollars
in Thousands)
|
||||||||||||||||||||||||
Less
than 12 Months
|
12
Months or More
|
Total
|
||||||||||||||||||||||
Fair
|
Unrealized
|
Fair
|
Unrealized
|
Fair
|
Unrealized
|
|||||||||||||||||||
Description of Securities
|
Value
|
Loss
|
Value
|
Loss
|
Value
|
Loss
|
||||||||||||||||||
2008
|
||||||||||||||||||||||||
Government-sponsored
enterprises
|
$ | 940 | $ | (35 | ) | $ | - | $ | - | $ | 940 | $ | (35 | ) | ||||||||||
State
and municipal
|
1,015 | (33 | ) | 823 | (125 | ) | 1,838 | (158 | ) | |||||||||||||||
Mortgage-backed
|
30,149 | (724 | ) | 14,796 | (1,057 | ) | 44,945 | (1,781 | ) | |||||||||||||||
Total
temporarily impaired
|
$ | 32,104 | $ | (792 | ) | $ | 15,619 | $ | (1,182 | ) | $ | 47,723 | $ | (1,974 | ) | |||||||||
2007
|
||||||||||||||||||||||||
Government-sponsored
enterprises
|
$ | 1,968 | $ | (6 | ) | $ | 933 | $ | (39 | ) | $ | 2,901 | $ | (45 | ) | |||||||||
State
and municipal
|
7,575 | (175 | ) | - | - | 7,575 | (175 | ) | ||||||||||||||||
Mortgage-backed
|
26,297 | (193 | ) | 24,464 | (236 | ) | 50,761 | (429 | ) | |||||||||||||||
Total
temporarily impaired
|
$ | 35,840 | $ | (374 | ) | $ | 25,397 | $ | (275 | ) | $ | 61,237 | $ | (649 | ) |
As
of December 31,
|
Increase
(decrease)
|
|||||||||||||||||||||||
2008
|
%
of total loans
|
|
2007
|
%
of total loans
|
Dollars
|
Percentage
|
|
|||||||||||||||||
Real estate loans:
|
(Dollars
In Thousands)
|
|||||||||||||||||||||||
One-to-four
family
|
$ | 370,783 | 49.9 | % | $ | 377,956 | 53.5 | % | $ | (7,173 | ) | -1.9 | % | |||||||||||
Commercial
|
84,134 | 11.3 | % | 74,748 | 10.6 | % | 9,386 | 12.6 | % | |||||||||||||||
Other
( land & multifamily)
|
43,901 | 5.9 | % | 40,698 | 5.8 | % | 3,203 | 7.9 | % | |||||||||||||||
Total
real estate loans
|
498,818 | 67.1 | % | 493,402 | 69.8 | % | 5,416 | 1.1 | % | |||||||||||||||
Real estate construction
loans:
|
||||||||||||||||||||||||
Construction-one-to-four
family
|
8,974 | 1.2 | % | 13,448 | 1.9 | % | (4,474 | ) | -33.3 | % | ||||||||||||||
Construction-commercial
|
10,883 | 1.5 | % | 11,129 | 1.6 | % | (246 | ) | -2.2 | % | ||||||||||||||
Acquisition
& development
|
5,008 | 0.7 | % | 5,329 | 0.8 | % | (321 | ) | -6.0 | % | ||||||||||||||
Total
real estate construction loans
|
24,865 | 3.3 | % | 29,906 | 4.2 | % | (5,041 | ) | -16.9 | % | ||||||||||||||
Other loans:
|
||||||||||||||||||||||||
Home
equity
|
107,525 | 14.5 | % | 98,410 | 13.9 | % | 9,115 | 9.3 | % | |||||||||||||||
Consumer
|
87,162 | 11.7 | % | 64,673 | 9.2 | % | 22,489 | 34.8 | % | |||||||||||||||
Commercial
|
25,273 | 3.4 | % | 20,009 | 2.8 | % | 5,264 | 26.3 | % | |||||||||||||||
Total
other loans
|
219,960 | 29.6 | % | 183,092 | 25.9 | % | 36,868 | 20.1 | % | |||||||||||||||
Total
loans
|
743,643 | 100 | % | 706,400 | 100 | % | 37,243 | 5.3 | % | |||||||||||||||
Allowance
for loan losses
|
(10,598 | ) | (6,482 | ) | (4,116 | ) | 63.5 | % | ||||||||||||||||
Net
deferred loan costs
|
8,662 | 3,256 | 5,406 | 166.0 | % | |||||||||||||||||||
Premiums
on purchased loans
|
172 | 339 | (167 | ) | -49.3 | % | ||||||||||||||||||
Loans,
net
|
$ | 741,879 | $ | 703,513 | $ | 38,366 | 5.5 | % |
Years
Ended December 31,
|
||||||||||||
(Dollars
in Thousands)
|
||||||||||||
2008
|
2007
|
2006
|
||||||||||
Beginning
balance
|
$ | 6,482 | $ | 4,705 | $ | 4,587 | ||||||
Provision
for loan losses
|
13,948 | 2,616 | 475 | |||||||||
Loans
charged-off
|
(10,989 | ) | (2,953 | ) | (1,215 | ) | ||||||
Recoveries
|
1,157 | 2,114 | 858 | |||||||||
Ending
balance
|
$ | 10,598 | $ | 6,482 | $ | 4,705 |
(Dollars
in Thousands)
|
||||||||
2008
|
2007
|
|||||||
Year-end
loans with no allocated allowance for loan losses
|
$ | - | $ | 1,643 | ||||
Year-end
loans with an allocated allowance for loan losses
|
17,472 | 5,403 | ||||||
Total
|
$ | 17,472 | $ | 7,046 | ||||
Amount
of the allowance for loan losses allocated to impaired
loans
|
$ | 3,525 | $ | 1,371 |
Years
Ended December 31,
(Dollars
in Thousands)
|
||||||||||||
2008
|
2007
|
2006
|
||||||||||
Average
of impaired loans during the period
|
$ | 10,092 | $ | 3,396 | $ | 3,798 | ||||||
Interest
income recognized during impairment
|
-- | -- | -- | |||||||||
Cash-basis
interest income recognized
|
-- | -- | -- |
(Dollars
in Thousands)
|
||||
Beginning
balance
|
$ | 3,329 | ||
New
loans
|
230 | |||
Effect
of changes in related parties
|
(941 | ) | ||
Repayments
|
(46 | ) | ||
Ending
balance
|
$ | 2,572 |
Fair
Value Measurements at December 31, 2008 Using:
|
||||||||||||||||
December
31, 2008
|
Quoted
Prices in Active Markets for Identical Assets
(Level
1)
|
Significant
Other Observable Inputs (Level 2)
|
Significant
Unobservable Inputs
(Level
3)
|
|||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||
Assets:
|
||||||||||||||||
Available
for sale securities
|
$ | 147,474 | $ | 8,693 | $ | 138,781 | $ | - | ||||||||
Liabilities:
|
||||||||||||||||
Swap
|
$ | (618 | ) | - | $ | (618 | ) | - |
Fair
Value Measurements at December 31, 2008 Using:
|
||||||||||||||||
December
31, 2008
|
Quoted
Prices in Active Markets for Identical Assets
(Level
1)
|
Significant
Other Observable Inputs (Level 2)
|
Significant
Unobservable Inputs
(Level
3)
|
|||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||
Assets:
|
||||||||||||||||
Impaired
loans – collateral dependent
|
$ | 13,947 | - | $ | - | $ | 13,947 |
2008
|
2007
|
|||||||
(Dollars
in Thousands)
|
||||||||
Loans
|
$ | 3,072 | $ | 3,092 | ||||
Securities
available for sale
|
862 | 858 | ||||||
FHLB
stock dividend
|
- | 130 | ||||||
Total
|
$ | 3,934 | $ | 4,080 |
2008
|
2007
|
|||||||
(Dollars
in Thousands)
|
||||||||
Land
|
$ | 7,241 | $ | 7,742 | ||||
Buildings
and leasehold improvements
|
12,312 | 12,270 | ||||||
Furniture,
fixtures, and equipment
|
9,318 | 8,619 | ||||||
Building
and equipment in process
|
368 | 322 | ||||||
29,239 | 28,953 | |||||||
Accumulated
depreciation and amortization
|
(12,677 | ) | (11,980 | ) | ||||
Land,
premises and equipment, net
|
$ | 16,562 | $ | 16,973 |
2008
|
2007
|
|||||||
(Dollars
in Thousands)
|
||||||||
Beginning
of period
|
$ | 2,661 | $ | 2,661 | ||||
Increases
in goodwill
|
150 | - | ||||||
End
of period
|
$ | 2,811 | $ | 2,661 |
2008
|
2007
|
|||||||||||||||
(Dollars
in Thousands)
|
||||||||||||||||
Gross
Carrying
Amount
|
Accumulated
Amortization
|
Gross
Carrying
Amount
|
Accumulated
Amortization
|
|||||||||||||
Amortized
intangible assets:
|
||||||||||||||||
Core
deposit intangibles
|
$ | 611 | $ | (466 | ) | $ | 611 | $ | (428 | ) |
(Dollars
in Thousands)
|
||||
2009
|
$ | 35 | ||
2010
|
34 | |||
2011
|
32 | |||
2012
|
31 | |||
2013
|
11 |
(Dollars
in Thousands)
|
||||
2009
|
$ | 241,469 | ||
2010
|
80,425 | |||
2011
|
17,828 | |||
2012
|
8,982 | |||
2013
|
10,593 | |||
2014
|
15 | |||
$ | 359,312 |
2008
|
2007
|
2006
|
||||||||||
(Dollars
in Thousands)
|
||||||||||||
Interest
bearing
|
$ | 1,438 | $ | 1,482 | $ | 1,572 | ||||||
Savings
& money market
|
4,168 | 7,169 | 3,293 | |||||||||
Time
|
15,048 | 15,144 | 13,583 | |||||||||
$ | 20,654 | $ | 23,795 | $ | 18,448 |
2008
|
2007
|
|||||||
(Dollars
in Thousands)
|
||||||||
Maturities
October 2009 through March 2018, fixed at rates from 2.66% to
4.41%, averaging 3.97%
|
$ | 152,600 | $ | 153,000 | ||||
Maturities
April 2009 through January 2014, variable rate at rates from 3.75% to
5.65%, averaging 4.43%
|
32,250 | 20,000 | ||||||
Total
|
$ | 184,850 | $ | 173,000 |
(Dollars
in Thousands)
|
||||
2009
|
$ | 12,250 | ||
2010
|
25,000 | |||
2011
|
13,000 | |||
2012
|
- | |||
2013
|
- | |||
Thereafter
|
134,600 | |||
$ | 184,850 |
2008
|
2007
|
|||||||
(Dollars
in Thousands)
|
||||||||
Average
daily balance during the year
|
$ | 89,793 | $ | 45,077 | ||||
Average
interest rate during the year
|
4.45 | % | 4.42 | % | ||||
Maximum
month-end balance during the years
|
$ | 92,800 | $ | 78,500 | ||||
Weighted
average interest rate at year-end
|
4.30 | % | 4.25 | % |
2008
|
||||
(Dollars
in Thousands)
|
||||
Notional
amounts
|
$ | 50,000 | ||
Weighted
average pay rates (3 month LIBOR, 2.50% floor)
|
2.50 | % | ||
Weighted
average receive rates (3 month LIBOR, 4.37% cap)
|
1.47 | % | ||
Weighted
average maturity
|
2.25 | |||
Fair
value of combined interest rate swaps
|
$ | (618 | ) |
2008
|
2007
|
|||||||
(Dollars
in Thousands)
|
||||||||
Allocated
to eligible employees
|
232,760 | 186,208 | ||||||
Unearned
|
232,760 | 279,312 | ||||||
Total
ESOP shares
|
465,520 | 465,520 | ||||||
Fair
value of unearned shares
|
$ | 908 | $ | 3,318 |
Weighted-Average
|
||||||||
Grant-Date
|
||||||||
Shares
|
Fair
Value
|
|||||||
Non-vested
at January 1, 2008
|
179,865 | $ | 14.23 | |||||
Granted
|
- | - | ||||||
Vested
|
(65,477 | ) | 12.79 | |||||
Forfeited
|
(2,994 | ) | 12.30 | |||||
Non-vested
at December 31, 2008
|
111,394 | $ | 15.46 |
2008
|
||||
Risk-free
interest rate
|
3.28 | % | ||
Expected
term of stock options (years)
|
6.0 | |||
Expected
stock price volatility
|
22.26 | % | ||
Expected
dividends
|
3.73 | % |
Weighted-
|
||||||||||||||||
Weighted-
|
Average
|
Aggregate
|
||||||||||||||
Average
|
Remaining
|
Intrinsic
|
||||||||||||||
Exercise
|
Contractual
|
Value
|
||||||||||||||
Options
|
Shares
|
Price
|
Term
|
(in
thousands)
|
||||||||||||
Outstanding
at beginnng of year
|
560,451 | $ | 13.97 | - | - | |||||||||||
Granted
|
27,000 | 8.40 | - | - | ||||||||||||
Exercised
|
- | - | - | - | ||||||||||||
Forfeited
|
(28,350 | ) | 13.73 | - | - | |||||||||||
Outstanding
at December 31, 2008
|
559,101 | $ | 13.72 | 7.0 | $ | - | ||||||||||
Vested
or expected to vest
|
533,143 | $ | 13.89 | 7.0 | $ | - | ||||||||||
Exercisable
at year end
|
346,885 | $ | 13.92 | 6.7 | $ | - |
2008
|
2007
|
2006
|
||||||||||
Intrinsic
value of options exercised
|
$ | - | $ | 18,000 | $ | 29,000 | ||||||
Cash
received from option exercises
|
- | 57,000 | 102,000 | |||||||||
Tax
benefit realized from option exercises
|
- | - | - | |||||||||
Weighted
average fair value of options granted
|
$ | 1.35 | $ | 1.82 | $ | 3.45 |
Years
Ended December 31,
|
||||||||||||
2008
|
2007
|
2006
|
||||||||||
(Dollars
in Thousands)
|
||||||||||||
Current
- Federal
|
$ | - | $ | 3,025 | $ | 3,067 | ||||||
Current
- State
|
15 | $ | 15 | $ | 15 | |||||||
Deferred
- Federal
|
(3,248 | ) | (2,910 | ) | (646 | ) | ||||||
Deferred
- State
|
(484 | ) | (324 | ) | (54 | ) | ||||||
Change
in valuation allowance
|
484 | 324 | - | |||||||||
Total
|
$ | (3,233 | ) | $ | 130 | $ | 2,382 |
Years
Ended December 31,
|
||||||||||||
2008
|
2007
|
2006
|
||||||||||
Income
taxes at Current
|
(Dollars
in Thousands)
|
|||||||||||
Statutory
rate of 34%
|
$ | (2,066 | ) | $ | 423 | $ | 2,554 | |||||
Increase(decrease)
from
|
||||||||||||
State
income tax, net of Federal tax effect
|
(492 | ) | (413 | ) | (24 | ) | ||||||
Tax-exempt
income
|
(49 | ) | (56 | ) | (19 | ) | ||||||
Increase
in cash surrender value of BOLI
|
(310 | ) | (293 | ) | (286 | ) | ||||||
Proceeds
from life insurance in excess of BOLI
|
(920 | ) | - | - | ||||||||
ESOP
share release
|
- | 94 | 87 | |||||||||
Stock
option expense
|
103 | 81 | 73 | |||||||||
Change
in valuation allowance
|
484 | 324 | - | |||||||||
Other,
net
|
17 | (30 | ) | (3 | ) | |||||||
Income
tax (benefit) expense
|
$ | (3,233 | ) | $ | 130 | $ | 2,382 | |||||
Effective
tax rate
|
53.2 | % | 10.4 | % | 31.7 | % |
December
31,
|
||||||||
(Dollars
in Thousands)
|
||||||||
2008
|
2007
|
|||||||
Deferred
tax assets:
|
||||||||
Allowance
for loan losses
|
$ | 4,027 | $ | 2,463 | ||||
Depreciation
|
208 | 299 | ||||||
Deferred
compensation arrangements
|
1,292 | 1,233 | ||||||
Other
real estate
|
154 | 290 | ||||||
Net
operating loss carryforward
|
3,131 | 1,640 | ||||||
Net
unrealized losses on AFS securities
|
224 | - | ||||||
Interest
income on non-accrual loans
|
32 | 33 | ||||||
Accrued
expenses
|
378 | 162 | ||||||
Deferred
loan fees
|
182 | 107 | ||||||
$ | 9,628 | $ | 6,227 | |||||
Deferred
tax liability:
|
||||||||
Net
unrealized gain on AFS securities
|
- | (51 | ) | |||||
Deferred
loan costs
|
(446 | ) | (500 | ) | ||||
Prepaid
expenses
|
(239 | ) | (171 | ) | ||||
Core
deposit intangibles
|
(357 | ) | (269 | ) | ||||
Other
|
(51 | ) | - | |||||
(1,093 | ) | (991 | ) | |||||
Valuation
allowance
|
(808 | ) | (324 | ) | ||||
Net
deferred tax asset
|
$ | 7,727 | $ | 4,912 |
To
Be Well
|
||||||||||||||||||||||||
Capitalized
Under
|
||||||||||||||||||||||||
For
Capital
|
Prompt
Corrective
|
|||||||||||||||||||||||
Actual
|
Adequacy Purposes
|
Action
|
||||||||||||||||||||||
Amount
|
Ratio
|
Amount
|
Ratio
|
Amount
|
Ratio
|
|||||||||||||||||||
As of December 31, 2008
|
||||||||||||||||||||||||
Total
capital (to risk weighted assets)
|
$ | 74.5 | 10.9 | % | $ | 54.6 | 8.0 | % | $ | 68.3 | 10.0 | % | ||||||||||||
Tier
1 (core) capital (to risk weighted assets)
|
68.5 | 10.0 | % | 27.3 | 4.0 | % | 41.0 | 6.0 | % | |||||||||||||||
Tier
1 (core) capital (to adjusted total assets)
|
68.5 | 7.0 | % | 39.4 | 4.0 | % | 49.2 | 5.0 | % | |||||||||||||||
As of December 31, 2007
|
||||||||||||||||||||||||
Total
capital (to risk weighted assets)
|
$ | 75.5 | 12.1 | % | $ | 50.1 | 8.0 | % | $ | 62.6 | 10.0 | % | ||||||||||||
Tier
1 (core) capital (to risk weighted assets)
|
70.4 | 11.2 | % | 25.1 | 4.0 | % | 37.6 | 6.0 | % | |||||||||||||||
Tier
1 (core) capital (to adjusted total assets)
|
70.4 | 7.7 | % | 36.8 | 4.0 | % | 46.0 | 5.0 | % |
2008
|
2007
|
|||||||
(Dollars
in Thousands)
|
||||||||
GAAP
equity
|
$ | 77,109 | $ | 73,213 | ||||
Intangible
assets
|
(2,955 | ) | (2,844 | ) | ||||
Unrealized
(gain) loss on securities available for sale
|
- | (117 | ) | |||||
Minority
interest in includable consolidated subsidiaries including
REIT
|
125 | 125 | ||||||
Tier
1 Capital
|
74,279 | 70,377 | ||||||
General
allowance for loan and lease losses
|
6,046 | 5,111 | ||||||
Total
capital
|
$ | 80,325 | $ | 75,488 |
2008
|
2007
|
|||||||
(Dollars
in Thousands)
|
||||||||
Undisbursed
portion of loans closed
|
$ | 8,669 | $ | 14,664 | ||||
Unused
lines of credit and commitments to fund loans
|
76,907 | 88,037 |
2008
|
2007
|
2006
|
||||||||||
Basic
|
(Dollars
in Thousands, Except Share Information)
|
|||||||||||
Net
(loss) income
|
$ | (2,845 | ) | $ | 1,115 | $ | 5,129 | |||||
Weighted
average common shares outstanding
|
13,557,869 | 13,693,651 | 14,036,595 | |||||||||
Less:
Average unallocated ESOP shares
|
(278,930 | ) | (325,736 | ) | (372,288 | ) | ||||||
Average
unvested restricted stock awards
|
(144,164 | ) | (202,571 | ) | (237,283 | ) | ||||||
Average
shares
|
13,134,775 | 13,165,344 | 13,427,024 | |||||||||
Basic
(loss) earnings per common share
|
$ | (0.22 | ) | $ | 0.08 | $ | 0.38 | |||||
Diluted
|
||||||||||||
Net
(loss) income
|
$ | (2,845 | ) | $ | 1,115 | $ | 5,129 | |||||
Weighted
average common shares outstanding per common share
|
13,134,775 | 13,165,344 | 13,427,024 | |||||||||
Add:Dilutive
effects of assumed exercise of stock options
|
- | 51,445 | 25,695 | |||||||||
Dilutive
effects of full vesting of stock awards
|
- | 128,719 | 105,107 | |||||||||
Average
shares and dilutive potential common shares
|
13,134,775 | 13,345,508 | 13,557,826 | |||||||||
Diluted
(loss) earnings per common share
|
$ | (0.22 | ) | $ | 0.08 | $ | 0.38 |
2008
|
2007
|
2006
|
||||||||||
(Dollars
in Thousands)
|
||||||||||||
Unrealized
holding (losses) and gains on securities available for
sale
|
$ | (37 | ) | $ | 440 | $ | 167 | |||||
Less
reclassification adjustments for (gains)
|
||||||||||||
losses
recognized in income
|
(650 | ) | 46 | 163 | ||||||||
Net
unrealized (losses) and gains
|
(687 | ) | 486 | 330 | ||||||||
Tax
effect
|
275 | (178 | ) | (126 | ) | |||||||
Net-of-tax
amount
|
(412 | ) | 308 | 204 | ||||||||
Other
comprehensive income
|
$ | (412 | ) | $ | 308 | $ | 204 |
As
of December 31,
|
||||||||||||||||
2008
|
2007
|
|||||||||||||||
Carrying
|
Estimated
|
Carrying
|
Estimated
|
|||||||||||||
Amount
|
Fair
Value
|
Amount
|
Fair
Value
|
|||||||||||||
FINANCIAL
ASSETS
|
(Dollars
in Thousands)
|
|||||||||||||||
Cash
and cash equivalents
|
$ | 34,058 | $ | 34,058 | $ | 29,310 | $ | 29,310 | ||||||||
Real
estate mortgages held for sale
|
736 | 736 | 640 | 640 | ||||||||||||
Loans,
net
|
731,411 | 733,142 | 696,467 | 683,562 | ||||||||||||
Federal
Home Loan Bank stock
|
9,996 | n/a | 9,293 | n/a | ||||||||||||
Accrued
interest receivable
|
3,934 | 3,934 | 4,080 | 4,080 | ||||||||||||
FINANCIAL
LIABILITIES
|
||||||||||||||||
Deposits
|
624,606 | 627,049 | 582,730 | 582,791 | ||||||||||||
Securities
sold under agreements to repurchase
|
92,800 | 106,327 | 78,500 | 76,533 | ||||||||||||
Federal
Home Loan Bank advances
|
184,850 | 216,869 | 173,000 | 144,906 | ||||||||||||
Accrued
interest payable
|
1,441 | 1,441 | 1,342 | 1,342 |
2008
|
2007
|
|||||||
(Dollars
in Thousands)
|
||||||||
Cash
and cash equivalents at subsidiary
|
$ | 303 | $ | 706 | ||||
Securities
available for sale
|
4,321 | 6,660 | ||||||
Investment
in subsidiary
|
77,108 | 73,213 | ||||||
Note
receivable from ESOP
|
2,614 | 3,032 | ||||||
Other
assets
|
1,960 | 7,865 | ||||||
Total
assets
|
$ | 86,306 | $ | 91,476 | ||||
Borrowed
funds
|
$ | 1,535 | $ | 718 | ||||
Other
accrued expenses
|
811 | 952 | ||||||
Total
stockholders'equity
|
83,960 | 89,806 | ||||||
Total
liabilities and stockholders' equity
|
$ | 86,306 | $ | 91,476 |
2008
|
2007
|
2006
|
||||||||||
(Dollars
in Thousands)
|
||||||||||||
Net
interest income
|
$ | 543 | $ | 530 | $ | 671 | ||||||
Gain
(loss) on sale of securities
|
63 | - | (43 | ) | ||||||||
Other
|
(14 | ) | 136 | 23 | ||||||||
Equity
in net (loss) income of subsidiary
|
(2,780 | ) | 2,345 | 5,239 | ||||||||
Total
income (loss)
|
(2,188 | ) | 3,011 | 5,890 | ||||||||
Total
expense
|
657 | 1,896 | 761 | |||||||||
Net
income (loss)
|
$ | (2,845 | ) | $ | 1,115 | $ | 5,129 |
2008
|
2007
|
2006
|
||||||||||
(Dollars
in Thousands)
|
||||||||||||
Cash
flow from operating activities
|
||||||||||||
Net
income (loss)
|
$ | (2,845 | ) | $ | 1,115 | $ | 5,129 | |||||
Adjustments:
|
||||||||||||
Net
depreciation and amortization
|
10 | - | - | |||||||||
(Gain)
loss on sale of securities
|
(10 | ) | - | 43 | ||||||||
Net
change in other assets
|
1,292 | (1,866 | ) | (664 | ) | |||||||
Net
change in other liabilities
|
156 | (339 | ) | 73 | ||||||||
Share-based
compensation expense
|
1,077 | 1,125 | 903 | |||||||||
Dividends
received from subsidiary
|
- | 10,216 | 2,044 | |||||||||
Equity
in undistributed (earnings) loss of subsidiary
|
2,780 | (2,345 | ) | (5,239 | ) | |||||||
Net
cash from operating activities
|
2,460 | 7,906 | 2,289 | |||||||||
Cash
flow from investing activities
|
||||||||||||
Purchase
of securities available for sale
|
(8,537 | ) | - | (2,449 | ) | |||||||
Proceeds
from maturities and repayments of securities available for
sale
|
6,268 | 983 | 2,279 | |||||||||
Proceeds
from the sale of securities available for sale
|
4,134 | - | 3,000 | |||||||||
Purchase
of bank owned life insurance
|
2,161 | (3,100 | ) | (1,695 | ) | |||||||
Life
insurance proceeds in excess of CSV
|
2,634 | - | - | |||||||||
Contribution
to Bank subsidiary
|
(6,423 | ) | - | - | ||||||||
Payments
received on ESOP loan
|
418 | 376 | 362 | |||||||||
Expenditures
on premises and equipment
|
(3 | ) | - | - | ||||||||
Net
change in other interest bearing deposits at subsidiary
|
- | 1,200 | 600 | |||||||||
Net
cash from investing activities
|
652 | (541 | ) | 2,097 | ||||||||
Cash
flow from financing activities
|
||||||||||||
Advances
from Atlantic Coast Bank
|
818 | 428 | 3,618 | |||||||||
Proceeds
from exercise of stock options
|
- | 57 | 102 | |||||||||
Shares
relinquished
|
(60 | ) | (16 | ) | - | |||||||
Treasury
stock purchased
|
(1,841 | ) | (1,968 | ) | (6,877 | ) | ||||||
Repayments
to Atlantic Coast Bank
|
- | (2,978 | ) | (350 | ) | |||||||
Dividends
paid
|
(2,432 | ) | (2,509 | ) | (1,895 | ) | ||||||
Net
cash from financing activities
|
(3,515 | ) | (6,986 | ) | (5,402 | ) | ||||||
Net
change in cash and cash equivalents
|
(403 | ) | 379 | (1,016 | ) | |||||||
Cash
and cash equivalents at beginning of period
|
706 | 327 | 1,343 | |||||||||
Cash
and cash equivalents at end of period
|
$ | 303 | $ | 706 | $ | 327 |
(Dollars
in Thousands)
|
||||||||||||||||||||
Interest
|
Net
Interest
|
Net
|
Earnings (Loss) per Common
Share
|
|||||||||||||||||
Income
|
Income
|
Income (Loss)
|
Basic
|
Diluted
|
||||||||||||||||
2008
|
||||||||||||||||||||
First
quarter
|
$ | 14,027 | $ | 5,818 | $ | 23 | $ | 0.00 | $ | 0.00 | ||||||||||
Second
quarter
|
13,776 | 6,111 | 711 | 0.06 | 0.06 | |||||||||||||||
Third
quarter
|
13,840 | 5,930 | (329 | ) | (0.03 | ) | (0.03 | ) | ||||||||||||
Fourth
quarter
|
13,616 | 5,391 | (3,250 | ) | (0.25 | ) | (0.25 | ) | ||||||||||||
2007
|
||||||||||||||||||||
First
quarter
|
$ | 13,256 | $ | 5,353 | $ | 785 | $ | .06 | $ | .06 | ||||||||||
Second
quarter
|
13,766 | 5,538 | 635 | .05 | .05 | |||||||||||||||
Third
quarter
|
14,263 | 5,730 | 789 | .06 | .06 | |||||||||||||||
Fourth
quarter
|
14,224 | 5,765 | (1,094 | ) | (.09 | ) | (.09 | ) | ||||||||||||
2006
|
||||||||||||||||||||
First
quarter
|
$ | 10,515 | $ | 5,237 | $ | 1,291 | $ | .10 | $ | .10 | ||||||||||
Second
quarter
|
11,156 | 5,422 | 1,410 | .10 | .10 | |||||||||||||||
Third
quarter
|
12,006 | 5,558 | 1,518 | .11 | .11 | |||||||||||||||
Fourth
quarter
|
12,730 | 5,443 | 910 | .07 | .07 |
3.1
|
Charter
of Atlantic Coast Federal Corporation 1
|
|
3.2
|
Bylaws
of Atlantic Coast Federal Corporation 1
|
|
4
|
Form
of Common Stock Certificate of Atlantic Coast Federal Corporation 1
|
|
10.1
|
Employee
Stock Ownership Plan 1
|
|
10.2
|
Employment
Agreement with Robert J. Larison, Jr. 2
|
|
Second
Amended and Restated Supplemental Executive Retirement Agreement with
Robert J. Larison, Jr.
|
||
Amended
and Restated Supplemental Executive Retirement Plan
|
||
Amended
and Restated 2005 Director Retirement Plan
|
||
Amended
and Restated 2005 Director Fee Deferred Plan
|
||
10.7
|
Atlantic
Coast Federal Corporation 2005 Stock Option Plan 3
|
|
10.8
|
Atlantic
Coast Federal Corporation 2005 Recognition and Retention Plan 3
|
|
10.9
|
Split
Dollar Life Insurance Agreement with Robert J. Larison, Jr. 4
|
|
10.10
|
Split
Dollar Life Insurance Agreement with Carl W. Insel 4
|
|
10.11
|
2008
Executive Deferred Compensation Plan6
|
|
Supplemental
Executive Retirement Agreement with Carl W. Insel
|
||
10.13
|
Supplemental
Executive Retirement Agreement with Thomas B. Wagers, Sr. 5
|
|
Director
Emeritus Plan
|
||
Amended
and Restated 2007 Director Deferred Compensation Plan for
Equity
|
||
Subsidiaries
of Registrant
|
||
Consent
of Crowe Horwath LLP
|
||
Certification
of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley
Act of 2002
|
||
Certification
of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley
Act of 2002
|
||
Certification
of Chief Executive Officer and Chief Financial Officer pursuant to Section
906 of the Sarbanes-Oxley Act of
2002
|
1
|
Incorporated
by reference to the registrant’s Registration Statement on Form S-1, and
any amendments thereto, originally filed with the Securities and Exchange
Commission on March 25, 2004 (Registration No.
333-113923).
|
|
|
||
2
|
Incorporated
by reference to the registrant’s Form 8-K Current Report, originally filed
with the Securities and Exchange Commission on May 22,
2008.
|
|
|
||
3
|
Incorporated
by reference to the registrant’s Registration Statement on Form S-8 filed
with the Securities and Exchange Commission on July 25, 2005 (Registration
No. 333-126861).
|
|
|
||
4
|
Incorporated
by reference to the registrant’s Form 8-K Current Report, originally filed
with the Securities and Exchange Commission on November 9,
2006.
|
|
|
||
5
|
Incorporated
by reference to the registrant’s Form 8-K/A Current Report, originally
filed with the Securities and Exchange Commission on August 5,
2008.
|
|
|
||
6
|
Incorporated
by reference to the registrant’s Form 8-K Current Report, originally filed
with the Securities and Exchange Commission on February 12,
2006.
|
ATLANTIC
COAST FEDERAL CORPORATION
|
||
Date: March
30, 2009
|
By:
|
/s/ Robert J. Larison,
Jr.
|
Robert
J. Larison, Jr.
|
||
President,
Chief Executive Officer and
Director
|
By: /s/
Robert J. Larison, Jr.
|
By:
/s/ Dawna R.
Miller
|
Robert
J. Larison, Jr.
President,
Chief Executive Officer and Director
|
Dawna
R. Miller
Senior
Vice President and Chief Financial Officer
|
Date:
March 30, 2009
|
Date:
March 30, 2009
|
By: /s/
Thomas F. Beeckler
|
By:
/s/ Frederick D.
Franklin, Jr.
|
Thomas
F. Beeckler
Director
|
Frederick
D. Franklin, Jr.
Director
|
Date:
March 30, 2009
|
Date:
March 30, 2009
|
By:
/s/ Charles E.
Martin, Jr.
|
By:
/s/ W. Eric
Palmer
|
Charles
E. Martin, Jr.
Director
|
W.
Eric Palmer
Director
|
Date:
March 30, 2009
|
Date:
March 30, 2009
|
By:
/s/ Robert J.
Smith
|
By:
/s/ Forrest W.
Sweat, Jr.
|
Robert
J. Smith
Director
|
Forrest
W. Sweat, Jr.
Director
|
Date:
March 30, 2009
|
Date:
March 30, 2009
|
By:
/s/ H. Dennis
Woods
|
|
H.
Dennis Woods
Director
|
|
Date:
March 30, 2009
|