-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, VYJOrvH3h70Zz0QcnH8U0tcHqX9xQBK4+n77eu3Pt+QrKp3a/Xt0fbn2CuFNq57W 6u9t+ddzWKEtM2ZhMhJZCg== 0001169232-03-006193.txt : 20031027 0001169232-03-006193.hdr.sgml : 20031027 20031027170337 ACCESSION NUMBER: 0001169232-03-006193 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20031024 ITEM INFORMATION: Financial statements and exhibits ITEM INFORMATION: Regulation FD Disclosure FILED AS OF DATE: 20031027 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CARVER BANCORP INC CENTRAL INDEX KEY: 0001016178 STANDARD INDUSTRIAL CLASSIFICATION: SAVINGS INSTITUTION, FEDERALLY CHARTERED [6035] IRS NUMBER: 133904174 STATE OF INCORPORATION: DE FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-13007 FILM NUMBER: 03959020 BUSINESS ADDRESS: STREET 1: 75 W 125TH ST CITY: NEW YORK STATE: NY ZIP: 10027-4512 BUSINESS PHONE: 2128764747 MAIL ADDRESS: STREET 1: 75 W 125TH ST CITY: NEW YORK STATE: NY ZIP: 10027-4512 8-K 1 d84734.txt CARVER BANCORP INC ================================================================================ UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ------------------------- FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 ------------------------- Date of report (Date of earliest event reported): October 24, 2003 CARVER BANCORP, INC. (Exact name of registrant as specified in its charter) DELAWARE 0-21487 13-3904147 (State or other jurisdiction of (Commission File (IRS Employer incorporation) Number) Identification No.) 75 WEST 125TH STREET NEW YORK, NEW YORK 10027-4512 (Address of principal executive offices, including zip code) Registrant's telephone number, including area code: (212) 876-4747 NOT APPLICABLE (Former name or former address, if changed since last report) ================================================================================ ITEMS 1 THROUGH 6 AND 8, 10 AND 11. NOT APPLICABLE. ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS. (c) Exhibits The following exhibits are filed as part of this Report: 99.1 Press release, dated October 24, 2003, which, among other things, highlights the Company's financial results for the quarter ended September 30, 2003. ITEM 9. REGULATION FD DISCLOSURE. (INCLUDING ITEM 12 RESULTS OF OPERATIONS AND FINANCIAL CONDITION) This information is being furnished pursuant to Item 12, "Results of Operations and Financial Condition." This information is being presented under Item 9 as provided in the Commission's interim guidance regarding Form 8-K Item 11 and Item 12 filing requirements (SEC Release No. 33-8216). On October 24, 2003, Carver Bancorp, Inc. issued a press release reporting financial results for the second quarter of the fiscal year ending March 31, 2004. The full text of the press release is included in this Form 8-K as Exhibit 99.1. The information provided pursuant to this Form 8-K shall not be deemed incorporated by reference by any general statement incorporating by reference this Form 8-K into any filing under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, and shall not otherwise be deemed filed under such Acts. SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. CARVER BANCORP, INC. By: /s/ Deborah C. Wright ------------------------------------- Deborah C. Wright President and Chief Executive Officer Dated: October 27, 2003 EXHIBIT INDEX EXHIBIT NO. DESCRIPTION ----------- ----------- 99.1 Press release, dated October 24, 2003, which, among other things, highlights the Company's financial results for the quarter ended September 30, 2003. EX-99.1 3 d84734_ex99-1.txt PRESS RELEASE EXHIBIT 99.1 [LOGO OF CARVER BANCORP, INC.] FOR IMMEDIATE RELEASE Contact: David Lilly / Ruth Pachman William Gray Kekst and Company Carver Bancorp, Inc. (212) 521-4800 (212) 360-8840 CARVER BANCORP, INC. ANNOUNCES SECOND QUARTER RESULTS REPORTS EPS OF $0.55 AND $0.98 FOR THE SECOND QUARTER AND YEAR TO DATE, RESPECTIVELY DECLARES QUARTERLY DIVIDEND OF $0.05 NEW YORK, NEW YORK, OCTOBER 24, 2003 - Carver Bancorp, Inc. (the "Company" or "Carver") (AMEX: CNY), the holding company for Carver Federal Savings Bank (the "Bank"), today announced its results of operations for the three-month period ended September 30, 2003, the second quarter of the fiscal year ending March 31, 2004 ("fiscal 2004"). The Company reported diluted earnings per share of $0.55 for the quarter ended September 30, 2003, compared to $0.37 diluted earnings per share for the same period last year, an increase of 49%. Net income available to common stockholders increased $491,000, or 55.4%, to $1.4 million compared to $886,000 for the same period last year. During the quarter, the Company recovered $558,000 related to previously unrecognized income from mortgage loans. This recovery, which was recorded in other non-interest income, resulted in additional diluted earnings per share of $0.13 for the quarter. Financial highlights for the three-month period ended September 30, 2003 compared to September 30, 2002, unless otherwise indicated, include: o Net interest income decreased $56,000, or 1.2%, relatively unchanged at $4.5 million. o Non-interest income increased $858,000, or 119.8%, to $1.6 million from $716,000. o Non-interest expense increased $357,000, or 10.1%, to $3.9 million from $3.5 million. o Total assets increased $12.1 million, or 2.4%, to $521.9 million from $509.8 million at March 31, 2003. o Total loans receivable, net, increased $21.8 million, or 7.5%, to $314.6 million from $292.7 million at March 31, 2003. o Investment securities decreased $11.1 million, or 6.7%, to $154.5 million from $165.6 million at March 31, 2003. o Total deposits increased $14.1 million, or 4.1%, to $361.2 million from $347.2 million at March 31, 2003. o Total borrowings increased $1.4 million, or 1.3%, to $110.4 million from $109.0 million at March 31, 2003. o Stockholders' Equity increased $1.3 million, or 3.2%, to $42.4 million from $41.1 million at March 31, 2003. Commenting on the Company's results, President and Chief Executive Officer Deborah C. Wright stated: "The second quarter of fiscal 2004 included strong accomplishments for Carver demonstrated by our continued earnings and balance sheet growth and the successful issuance of approximately $13 million in subordinated debt raised through an issuance of trust preferred securities. The proceeds of trust preferred securities have been contributed to the Bank to enhance regulatory capital which will facilitate our growth strategy. While Carver's net interest margin improved relative to the first quarter, we are continually monitoring and positioning our balance sheet to meet the challenges of an unpredictable interest rate climate. We remain focused on controlling expenses required to expand Carver's presence in our target markets to provide long-term earnings momentum and stockholder value." Ms. Wright continued: "Pleased with Carver's results and prospects going forward, the Board of Directors on October 23, 2003 declared a $0.05 per share quarterly dividend for the second quarter of fiscal 2004, our fourth quarterly dividend following the Board's establishment of a regular quarterly dividend on its common stock on January 8, 2003." INCOME STATEMENT HIGHLIGHTS Quarterly Results - ----------------- Net income available to common stockholders increased $491,000, or 55.4%, to $1.4 million compared to $886,000 for the same period last year. The improvement is primarily due to increased non-interest income of $858,000 and a decrease in the Bank's effective tax rate, partially offset by increased non-interest expenses of $357,000. Net interest income before the provision for loan losses decreased by $56,000, or 1.2%, to $4.5 million, relatively unchanged compared to the same period last year. Interest income declined $157,000, or 2.3%, compared to the same period last year. Partially offsetting the decline in interest income was a decrease in interest expense of $101,000, or 4.6%. Interest income decreased primarily as a result of the declining interest rate environment, which in turn has decreased yields on interest earning assets. Interest expense benefited from the declining interest rate environment and the Bank's restructuring of certain deposit rates in an effort to better position the balance sheet. The Company did not provide for additional loan loss reserves as the Company considers the current overall allowance for loan losses to be adequate. Non-interest income increased $858,000, or 119.8%, to $1.6 million compared to $716,000 for the same period last year. This increase was primarily due to the change in other non-interest income. The change in other non-interest income was primarily attributable to a recovery of $558,000 in mortgage income of which $411,000 was related to the recognition of previously unrecognized mortgage loan income from one problem loan that had been held in escrow pending the resolution of certain mechanics' liens. The remaining $147,000 was from previously unrecognized prepaid mortgage loan income. The increases in loan fees and charges as well as depository fees and charges were primarily due to higher mortgage prepayment penalties, increases in ATM usage over the same period last year, growth in debit card income and a restructuring of loan and depository fees and service charges which began in the second quarter of the fiscal year ended March 31, 2003 ("fiscal 2003"). In an effort to reposition the balance sheet, the Company sold investment securities during the quarter which generated a net gain of $31,000. Non-interest expense increased $357,000, or 10.1%, to $3.9 million compared to $3.5 million for the same period last year. The increase in non-interest expense was primarily due to an increase of $209,000 in employee compensation and benefit expense resulting from salary increases, new hires, increased cost of benefit plans and the timing for accruals of employee bonus expense. Additionally, there were minor increases in net occupancy and equipment expenses primarily resulting from new and upgraded 24/7 ATM centers and an increase in other non-interest 2 expense due primarily to higher consulting expenses related to establishing the Bank's real estate investment trust. Income before taxes increased $445,000, or 25.7%, to $2.2 million compared to the same period last year. Income taxes decreased $46,000, or 5.8%, to $751,000 compared to the same period last year due to a reduction in the Company's tax rate following the establishment of the real estate investment trust. Six-Month Results - ----------------- Net income available to common stockholders increased $703,000, or 41.1%, to $2.4 million compared to $1.7 million for the same period last year. The improvement is primarily due to increased non-interest income of $1.0 million and a decrease in the Bank's effective tax rate, partially offset by increased non-interest expenses of $344,000 and a decrease in net interest income of $199,000. Net interest income before the provision for loan losses decreased by $199,000, or 2.2%, to $8.8 million compared to $9.0 million for the same period last year. Interest income declined $409,000, or 3.0%, compared to the same period last year. Partially offsetting the decline in interest income was a reduction in interest expense of $210,000, or 4.6%. Interest income decreased primarily as a result of the declining interest rate environment, which in turn has decreased yields on interest earning assets. Interest expense benefited from the declining interest rate environment and the Bank's restructuring of certain deposit rates in an effort to better position the balance sheet. The Company did not provide for additional loan loss reserves as the Company considers the current overall allowance for loan losses to be adequate. Non-interest income increased $1.0 million, or 62.6%, to $2.7 million compared to $1.7 million for the same period last year. The change in other non-interest income was primarily attributable to a recovery of $558,000 of which $411,000 was related to the recognition of previously unrecognized mortgage loan income from one problem loan that had been held in escrow pending the resolution of certain mechanics' liens. The remaining $147,000 was from previously unrecognized prepaid mortgage loan income. The increases in loan fees and charges as well as depository fees and charges were primarily due to higher mortgage prepayment penalties, increases in ATM usage over the same period last year, growth in debit card income and a restructuring of loan and depository fees and service charges which began in the second quarter of fiscal 2003. In an effort to reposition the balance sheet, the Company sold investment securities during the second quarter which generated a net gain of $31,000. Non-interest expense increased $344,000, or 4.7%, to $7.7 million compared to $7.3 million for the same period last year. The increase in non-interest expense was primarily due to an increase of $340,000 in employee compensation and benefit expense resulting from salary increases, new hires, increased cost of benefit plans and the timing for accruals of employee bonus expense. Additionally, $204,000 in increased consulting expenses was related to establishing the Bank's real estate investment trust. Partially offsetting these increases were reductions in advertising expense of $124,000 and loan expenses of $77,000. Income before taxes increased $502,000, or 15.1%, to $3.8 million compared to $3.3 million for the same period last year. Income taxes decreased $201,000, or 13.3%, to $1.3 million compared to the same period last year due to a reduction in the Company's tax rate following the 3 establishment of the real estate investment trust. FINANCIAL CONDITION HIGHLIGHTS At September 30, 2003, total assets increased by $12.1 million, or 2.4%, to $521.9 million compared to $509.8 million at March 31, 2003. The asset growth primarily reflects an increase in total loans receivable, net, of $21.8 million as mortgage loan originations and purchases exceeded mortgage loan repayments. The increase was partially offset by a decline in total securities of $11.1 million as new loans replaced investments that matured, prepaid or were sold. Management will continue to evaluate the balance of interest earning assets allocated to loan originations and purchases as well as additional purchases of mortgage-backed securities while continuing to assess yields and economic risk. At September 30, 2003, total liabilities increased by $10.8 million, or 2.3%, to $479.6 million from $468.8 million at March 31, 2003. The increase in liabilities is a result of deposit growth of $14.1 million and the net addition of $12.7 million in trust preferred securities, partially offset by net repayments of borrowings from the Federal Home Loan Bank of New York of $11.3 million and a decrease of $4.7 million in other liabilities. At September 30, 2003, total stockholders' equity increased $1.3 million, or 3.2%, to $42.4 million compared to $41.1 million at March 31, 2003. The increase in total stockholders' equity was primarily attributable to an increase in retained earnings year-to-date of $2.2 million, partially offset by a decrease of $669,000 in accumulated other comprehensive income and a $222,000 decrease related to treasury stock. The $222,000 decrease related to treasury stock is attributable to repurchases of the Company's stock, partially offset by payments made from treasury stock for stock-based compensation plans. During the quarter ended September 30, 2003, the Company did not purchase any additional shares of its common stock in open market transactions as part of its stock repurchase program announced on August 6, 2002. To date, the Company has purchased 29,100 shares of its common stock in open market transactions at an average price of $13.84 per share. The Company intends to use the repurchased shares to fund its stock-based benefit and compensation plans and for any other purpose the Board of Directors of the Company deems advisable in compliance with applicable law. ASSET QUALITY At September 30, 2003, non-performing assets totaled $2.9 million, or 0.91% of total loans receivable, compared to $1.8 million, or 0.61% of total loans receivable, at March 31, 2003. The increase is primarily attributable to three loans totaling approximately $1.3 million that were over 90 days past due at September 30, 2003. At September 30, 2003, the allowance for loan losses of $4.1 million was substantially unchanged from $4.2 million at March 31, 2003. The allowance for loan losses decreased $45,000 due to net charge-offs during fiscal 2004. At September 30, 2003, the ratio of the allowance for loan losses to non-performing loans was 141.8% compared to 230.7% at March 31, 2003. At September 30, 2003, the ratio of the allowance for loan losses to total loans receivable was 1.29% compared to 1.40% at March 31, 2003. Carver Bancorp, Inc., the largest publicly-traded African- and Caribbean- American run financial services institution in the United States, is the holding company for Carver Federal Savings 4 Bank, a federally chartered stock savings bank. The Bank operates five full-service branches in the New York City boroughs of Brooklyn, Queens and Manhattan. For further information, please visit the Company's website at www.carverbank.com. STATEMENTS CONTAINED IN THIS NEWS RELEASE WHICH ARE NOT HISTORICAL FACTS ARE FORWARD-LOOKING STATEMENTS AS THAT TERM IS DEFINED IN THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. THIS NEWS RELEASE CONTAINS FORWARD-LOOKING STATEMENTS WHICH MAY BE IDENTIFIED BY THE USE OF SUCH WORDS AS "BELIEVE," "EXPECT," "ANTICIPATE," "INTEND," "SHOULD," "COULD," "PLANNED," "ESTIMATED," "POTENTIAL" AND SIMILAR TERMS AND PHRASES. SUCH FORWARD-LOOKING STATEMENTS ARE SUBJECT TO RISKS AND UNCERTAINTIES WHICH COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE CURRENTLY ANTICIPATED DUE TO A NUMBER OF FACTORS. FACTORS WHICH COULD RESULT IN MATERIAL VARIATIONS INCLUDE, BUT ARE NOT LIMITED TO, THE COMPANY'S SUCCESS IN IMPLEMENTING ITS INITIATIVES, INCLUDING EXPANDING ITS PRODUCT LINE, SUCCESSFULLY REBRANDING ITS IMAGE AND ACHIEVING GREATER OPERATING EFFICIENCIES; CHANGES IN INTEREST RATES WHICH COULD AFFECT NET INTEREST MARGINS AND NET INTEREST INCOME; COMPETITIVE FACTORS WHICH COULD AFFECT NET INTEREST INCOME AND NON-INTEREST INCOME; GENERAL ECONOMIC CONDITIONS WHICH COULD AFFECT THE VOLUME OF LOAN ORIGINATION, DEPOSIT FLOWS, REAL ESTATE VALUES, THE LEVELS OF NON-INTEREST INCOME AND THE AMOUNT OF LOAN LOSSES AS WELL AS OTHER FACTORS DISCUSSED IN DOCUMENTS FILED BY THE COMPANY WITH THE SECURITIES AND EXCHANGE COMMISSION FROM TIME TO TIME. THE COMPANY AND THE BANK UNDERTAKE NO OBLIGATION TO UPDATE THESE FORWARD-LOOKING STATEMENTS TO REFLECT EVENTS OR CIRCUMSTANCES THAT OCCUR AFTER THE DATE ON WHICH SUCH STATEMENTS WERE MADE. # # # 5
CARVER BANCORP, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (In thousands, except share data) SEPTEMBER 30, MARCH 31, 2003 2003 ------------------ ----------------- (UNAUDITED) ASSETS Cash and cash equivalents: Cash and due from banks $ 11,856 $ 17,660 Federal funds sold 9,000 5,500 ------------------ ----------------- Total cash and cash equivalents 20,856 23,160 ------------------ ----------------- Securities: Available-for-sale, at fair value (including pledged as collateral of $90,603 at September 30, 2003, $124,139 at March 31, 2003) 102,650 129,055 Held-to-maturity, at amortized cost (including pledged as collateral of $51,039 at September 30, 2003, $35,138 at March 31, 2003) 51,852 36,530 ------------------ ----------------- Total securities 154,502 165,585 ------------------ ----------------- Loans receivable: Real estate mortgage loans 316,555 294,710 Consumer and commercial business loans 2,117 2,186 Allowance for loan losses (4,113) (4,158) ------------------ ----------------- Total loans receivable, net 314,559 292,738 ------------------ ----------------- Office properties and equipment, net 10,469 10,193 Federal Home Loan Bank of New York stock, at cost 5,602 5,440 Accrued interest receivable 2,984 3,346 Identifiable intangible asset, net 71 178 Other assets 12,885 9,205 ------------------ ----------------- Total assets $ 521,928 $ 509,845 ================== ================= LIABILITIES AND STOCKHOLDERS' EQUITY Liabilities: Deposits $ 361,220 $ 347,164 Advances from the Federal Home Loan Bank of New York and other borrowed money 97,644 108,996 Subordinated borrowings 12,742 -- Other liabilities 7,956 12,612 ------------------ ----------------- Total liabilities 479,562 468,772 ================== ================= Stockholders' equity: Preferred stock (par value $0.01 per share; 1,000,000 shares authorized; 100,000 issued and outstanding) 1 1 Common stock (par value $0.01 per share: 5,000,000 shares authorized; 2,316,358 shares issued; 2,283,558 and 2,296,960 outstanding at September 30, 2003 and March 31, 2003, respectively) 23 23 Additional paid-in capital 23,811 23,781 Retained earnings 18,898 16,712 Unamortized awards of common stock under management recognition plan (36) (4) Treasury stock, at cost (32,800 shares at September 30, 2003 and 19,398 shares at March 31, 2003) (412) (190) Accumulated other comprehensive income 81 750 ------------------ ----------------- Total stockholders' equity 42,366 41,073 ------------------ ----------------- Total liabilities and stockholders' equity $ 521,928 $ 509,845 ================== =================
6
CARVER BANCORP, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (In thousands, except per share data) THREE MONTHS ENDED SIX MONTHS ENDED SEPTEMBER 30, SEPTEMBER 30, (UNAUDITED) (UNAUDITED) ------------------------------- -------------------------------- 2003 2002 2003 2002 -------------- -------------- --------------- --------------- Interest Income: (1) Loans $ 5,061 $ 5,310 $ 9,927 $ 10,688 Total securities 1,515 1,372 3,111 2,652 Federal funds sold 26 77 81 188 -------------- -------------- --------------- --------------- Total interest income 6,602 6,759 13,119 13,528 -------------- -------------- --------------- --------------- Interest expense: Deposits 1,133 1,469 2,405 3,071 Advances and other borrowed money 976 741 1,934 1,478 -------------- -------------- --------------- --------------- Total interest expense 2,109 2,210 4,339 4,549 -------------- -------------- --------------- --------------- Net interest income 4,493 4,549 8,780 8,979 Provision for loan losses - - - - -------------- -------------- --------------- --------------- Net interest income after provision for loan losses 4,493 4,549 8,780 8,979 -------------- -------------- --------------- --------------- Non-interest income: Depository fees and charges 490 457 974 861 Loan fees and service charges 492 257 1,137 804 Gain on sale of securities 31 - 31 - Other 561 2 572 4 -------------- -------------- --------------- --------------- Total non-interest income 1,574 716 2,714 1,669 -------------- -------------- --------------- --------------- Non-interest expense: (1) Employee compensation and benefits 1,798 1,589 3,603 3,263 Net occupancy expense 343 320 667 656 Equipment 399 354 782 772 Other 1,350 1,270 2,619 2,636 -------------- -------------- --------------- --------------- Total non-interest expense 3,890 3,533 7,671 7,327 -------------- -------------- --------------- --------------- Income before income taxes 2,177 1,732 3,823 3,321 Income taxes 751 797 1,310 1,511 -------------- -------------- --------------- --------------- Net income $ 1,426 $ 935 $ 2,513 $ 1,810 ============== ============== =============== =============== Dividends applicable to preferred stock $ 49 $ 49 $ 98 $ 98 Net income available to common stockholders $ $ 1,377 $ 886 $ 2,415 $ 1,712 ============== ============== =============== =============== Earnings per common share: Basic $ 0.60 $ 0.39 $ 1.05 $ 0.75 ============== ============== =============== =============== Diluted $ 0.55 $ 0.37 $ 0.98 $ 0.72 ============== ============== =============== ===============
(1) Reclassifications have been made to prior year periods in order to conform with current periods. 7
CARVER BANCORP, INC. AND SUBSIDIARIES SELECTED KEY RATIOS (Unaudited) THREE MONTHS ENDED SIX MONTHS ENDED KEY OPERATING RATIOS: SEPTEMBER 30, SEPTEMBER 30, ------------------------------ --------------------------- 2003 2002 2003 2002 --------------- ------------- ------------ ------------- Return on average assets (1) 1.10% 0.85% 0.97% 0.82% Return on average equity (2) 13.51 9.85 12.07 9.64 Interest rate spread (3) 3.51 4.24 3.45 4.18 Net interest margin (4) 3.64 4.40 3.60 4.35 Operating expenses to average assets (5) 2.99 3.20 2.97 3.32 Equity-to-assets (6) 8.12 8.30 8.12 8.30 Efficiency ratio (7) 64.12 67.10 66.74 68.81 Average interest-earning assets to interest-bearing liabilities 1.08 1.07 1.08 1.08 ASSET QUALITY RATIOS: SEPTEMBER 30, MARCH 31, ------------------------------ --------------------------- 2003 2002 2003 2002 --------------- ------------- ------------ ------------- Non performing assets to total assets (8) 0.56 0.45 0.36 0.63 Non performing assets to total loans receivable (8) 0.91 0.74 0.61 0.96 Allowance for loan losses to total loans receivable 1.29 1.47 1.40 1.41 Allowance for loan losses to non-performing loans (8) 141.8 198.1 230.7 146.2
(1) Net income divided by average total assets, annualized (2) Net income divided by average total equity, annualized (3) Combined weighted average interest rate earned less combined weighted average interest rate cost (4) Net interest income divided by average interest-earning assets annualized (5) Non-interest expenses less loss on foreclosed real estate divided by average total assets, annualized (6) Total equity divided by assets at period end (7) Operating expenses divided by sum of net interest income plus non-interest income (8) Non performing assets consist of non-accrual loans, loans accruing 90 days or more past due, & property acquired in settlement of loans 8 -----END PRIVACY-ENHANCED MESSAGE-----