CONDENSED FINANCIAL STATEMENTS OF KENTUCKY FIRST FEDERAL BANCORP

12 Months Ended

Jun. 30, 2014

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Condensed Financial Information of Parent Company Only Disclosure [Text Block]

NOTE K - CONDENSED FINANCIAL STATEMENTS OF KENTUCKY FIRST FEDERAL BANCORP

The following condensed financial statements summarize the financial position of Kentucky First Federal Bancorp as of June 30, 2014 and 2013, and the results of its operations and its cash flows for the fiscal years ended June 30, 2014 and 2013.

KENTUCKY FIRST FEDERAL BANCORP

BALANCE SHEETS

June 30, 2014 and 2013

(In thousands)

	2014		2013
ASSETS
Interest-bearing deposits in First Federal of Hazard	$	869	$	1,085
Interest-bearing deposits in First Federal of Frankfort		1,133		762
Other interest-bearing deposits		13		43
Investment in First Federal of Hazard		17,384		16,967
Investment in Frankfort First		47,200		47,270
Prepaid expenses and other assets		639		535
Total assets	$	67,238	$	66,662
LIABILITIES AND SHAREHOLDERS’ EQUITY
Accounts payable and other liabilities	$	33	$	40
Total liabilities		33		40
Shareholders’ equity
Common stock		86		86
Additional paid-in capital		34,671		34,732
Retained earnings		34,027		33,604
Shares acquired by stock benefit plans		(1,410)		(1,626)
Shares acquired for treasury – at cost		(239)		(197)
Accumulated other comprehensive income		70		23
Total shareholders’ equity		67,205		66,622
Total liabilities and shareholders’ equity	$	67,238	$	66,662

KENTUCKY FIRST FEDERAL BANCORP

STATEMENTS OF INCOME

Years ended June 30, 2014 and 2013

(Dollar amounts in thousands)

	2014		2013
Income
Interest income	$	110	$	122
Dividends from First Federal of Hazard		—		6,480
Equity in undistributed (excess distributed) earnings of First Federal of Hazard		417		(5,745)
Dividends from Frankfort First		1,795		—
Equity in undistributed earnings of Frankfort First		(116)		2,823
Total income		2,206		3,680
Non-interest expenses		387		752
Earnings before income taxes		1,819		2,928
Federal income tax expense (benefit)		(115)		12
NET INCOME	$	1,934	$	2,916

KENTUCKY FIRST FEDERAL BANCORP

STATEMENTS OF CASH FLOWS

For Years ended June 30, 2014 and 2013

(Dollar amounts in thousands)

	2014		2013
Cash flows from operating activities:
Net earnings for the year	$	1,934	$	2,916
Adjustments to reconcile net earnings to net cash provided by operating activities:
Excess (deficit) distributions over earnings (undistributed earnings) from consolidated subsidiaries		(333)		2,921
Noncash compensation expense		187		467
Increase (decrease) in cash due to changes in:
Prepaid expenses and other assets		(104)		(79)
Other liabilities		(7)		(71)
Net cash provided by operating activities		1,677		6,154

	2014		2013
Cash flows from financing activities:
Dividends paid on common stock		(1,510)		(1,283)
Acquisition of CKF Bancorp, net of cash acquired		—		(3,466)
Repurchase of treasury shares		(42)		(—)
Net cash used in financing activities		(1,552)		(4,749)
Net increase (decrease) in cash and cash equivalents		125		999
Cash and cash equivalents at beginning of year		1,890		891
Cash and cash equivalents at end of year	$	2,015	$	1,890

Dividends from the Banks are the primary source of funds for the Company. Banking regulations limit the amount of dividends that may be paid without prior approval to $1.1 million. Under these regulations, the amount of dividends that may be paid in any calendar year is limited to the current year’s net profits, as defined, combined with the retained net profits of the preceding two years, less any required transfers to surplus.