DISTRIBUTION OF EARNINGS OF FIRST BANK

12 Months Ended

Dec. 31, 2014

Disclosure of Restrictions on Dividends, Loans and Advances Disclosure [Abstract]

DISTRIBUTION OF EARNINGS OF FIRST BANK

DISTRIBUTION OF EARNINGS OF FIRST BANK

First Bank is restricted by various state and federal regulations as to the amount of dividends that are available for payment to the Company. Under the most restrictive of these requirements, the payment of dividends is limited in any calendar year to the net profit of the current year combined with the retained net profits of the preceding two years. Permission must be obtained for dividends exceeding these amounts. Under its MOU with the FRB, First Bank has agreed not to declare or pay any dividends, without the prior consent of the FRB, that would cause First Bank to pay dividends in excess of its earnings or make a capital distribution that would cause First Bank's Tier 1 Leverage Ratio to fall below 9.0%, as further described in Note 14 to the consolidated financial statements. Furthermore, pursuant to Missouri Revised Statutes, First Bank is required to obtain approval from the MDOF prior to paying any dividends to the Company. The Company is unable to predict whether or when the FRB or the MDOF will grant such consents in the future.

On January 31, 2014, the Company received regulatory approval from the FRB, which granted First Bank the authority to pay a dividend to the Company and the authority to the Company to utilize such funds, for the sole purpose of paying the accumulated deferred interest payments on the Company's outstanding junior subordinated debentures issued in connection with the Company's trust preferred securities. In February 2014, First Bank paid a dividend of $70.0 million to the Company, as further described in Note 12 to the consolidated financial statements. Since that time, First Bank has continued to pay quarterly dividends to the Company, and the Company has continued to pay interest on its junior subordinated debentures to the respective trustees on the regularly scheduled quarterly payment dates. First Bank paid a total of $95.0 million of dividends to the Company during the year ended December 31, 2014, as further described in Note 23 to the consolidated financial statements.