-----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, N2AYQPtStI2U04irRwybPuAt5xKemsbll836Wzpc7YvUyIXJDGC84gx4KEMLDtwJ RILYpANUZiiNe6/AhURKQw== 0000713095-07-000074.txt : 20071109 0000713095-07-000074.hdr.sgml : 20071109 20071109091006 ACCESSION NUMBER: 0000713095-07-000074 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20071109 ITEM INFORMATION: Other Events FILED AS OF DATE: 20071109 DATE AS OF CHANGE: 20071109 FILER: COMPANY DATA: COMPANY CONFORMED NAME: FARMERS CAPITAL BANK CORP CENTRAL INDEX KEY: 0000713095 STANDARD INDUSTRIAL CLASSIFICATION: NATIONAL COMMERCIAL BANKS [6021] IRS NUMBER: 611017851 STATE OF INCORPORATION: KY FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-14412 FILM NUMBER: 071228481 BUSINESS ADDRESS: STREET 1: PO BOX 309 STREET 2: 202 W MAIN ST CITY: FRANKFORT STATE: KY ZIP: 40602 BUSINESS PHONE: 5022271668 MAIL ADDRESS: STREET 1: P O BOX 309 STREET 2: 202 WEST MAIN STREET CITY: FRANKFORT STATE: KY ZIP: 40602 8-K 1 form8kleverage.htm FORM 8-K, LEVERAGE TRANSACTION 11-07 form8kleverage.htm



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) – November 9, 2007 (November 7, 2007)

   
Farmers Capital Bank Corporation 
 
(Exact name of registrant as specified in its charter)

     
Kentucky
0-14412
61-1017851
(State or other jurisdiction of incorporation)
(Commission File Number)
(IRS Employer Identification No.)
     

P.O. Box 309  Frankfort, KY
40602
(Address of principal executive offices)
(Zip Code)

Registrant’s telephone number, including area code:  (502) 227-1668

Not Applicable
(Former name or former address, if changed since last report.)
 
 

 
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
 
o
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

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ITEM 8.01                                OTHER EVENTS
 

 
On November 7, 2007 Farmers Capital Bank Corporation (the “Company”) entered into a balance sheet leverage transaction to enhance earnings. The Company borrowed approximately $200 million in multiple fixed rate repurchase agreements with a weighted average cost of 3.95%. The borrowings mature in time periods ranging from three to 10 years with a weighted average maturity of 6.5 years and are callable quarterly after time periods ranging from one to five years.

The Company used the proceeds from the borrowing to purchase a like amount of fixed rate Government National Mortgage Association bonds (the “Bonds”). The Bonds have a current weighted average yield of 5.69% and a stated maturity of 30 years. The estimated weighted average maturity of the Bonds is seven years.

The initial spread between the interest earned on the assets purchased and the interest paid on the funds borrowed is 174 basis points. The Company’s modeling results indicate that the transaction is accretive to earnings in the near future under an immediate and sustained change in interest rates up to 300 basis points and downward of 200 basis points from current levels.


 

 

 

 

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SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.



 
Farmers Capital Bank Corporation
   
   
Date  November 9, 2007
/s/ G. Anthony Busseni
 
G. Anthony Busseni
 
President and Chief Executive Officer
   



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