-----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, IBvAQSk7UFcb8hLkcP+fjZS5+BKUsFMMaqitYBis8lNQBVOnuGPffkCCGk/kOcXh gxWb4Wcdyshc9raKh+AfLw== 0000950116-98-001284.txt : 19980609 0000950116-98-001284.hdr.sgml : 19980609 ACCESSION NUMBER: 0000950116-98-001284 CONFORMED SUBMISSION TYPE: 10-Q/A PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19980331 FILED AS OF DATE: 19980608 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: YARDVILLE NATIONAL BANCORP CENTRAL INDEX KEY: 0000787849 STANDARD INDUSTRIAL CLASSIFICATION: NATIONAL COMMERCIAL BANKS [6021] IRS NUMBER: 222670267 STATE OF INCORPORATION: NJ FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q/A SEC ACT: SEC FILE NUMBER: 000-26086 FILM NUMBER: 98643629 BUSINESS ADDRESS: STREET 1: 3111 QUAKERBRIDGE RD CITY: MERCERVILLE STATE: NJ ZIP: 08619 BUSINESS PHONE: 6095855100 MAIL ADDRESS: STREET 1: 3111 QUAKERBRIDGE RD CITY: MERCERVILLE STATE: NJ ZIP: 08619 10-Q/A 1 FORM 10 QA UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10 QA (Mark One) [ X ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES ACT OF 1934 For the quarterly period ended March 31, 1998 [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES ACT OF 1934 For transition period from Commission File Number: 0-26086 YARDVILLE NATIONAL BANCORP ------------------------------------------------------- (Exact name of registrant as specified in its charter) New Jersey 22-2670267 - ------------------------------- --------------------------------- (State or other jurisdiction of (IRS Employer Identification No.) incorporation or organization) 3111 Quakerbridge Road, Mercerville, New Jersey 08619 ------------------------------------------------------- (Address of principal executive offices) (609) 585-5100 ------------------------------------------------------- (Registrant's telephone number, including area code) Not Applicable ------------------------------------------------------- (Former name, former address and former fiscal year, if changed from last report) Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15 (d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes (X) No ( ) Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of April 30, 1998. Common Stock, no par value 5,138,883 - -------------------------- ---------------------------- Class Number of shares outstanding Item 1. Financial Statements Yardville National Bancorp and Subsidiaries Consolidated Statements of Condition (Unaudited)
March 31, December 31, - ------------------------------------------------------------------------------------------------ (in thousands, except for share data) 1998 1997 - ------------------------------------------------------------------------------------------------ Assets: Cash and due from banks $ 24,465 $ 18,923 Federal funds sold 16,998 1,500 - ------------------------------------------------------------------------------------------------ Cash and Cash Equivalents 41,463 20,423 - ------------------------------------------------------------------------------------------------ Interest bearing deposits 4,122 2,219 Securities available for sale 151,330 159,724 Investment securities (market value of $26,076 in 1998 and $26,848 in 1997) 26,099 26,912 Loans 409,094 385,751 Less: Allowance for loan losses (5,902) (5,570) - ------------------------------------------------------------------------------------------------ Loans, net 403,192 380,181 Bank premises and equipment, net 5,405 5,192 Other real estate 3,492 3,171 Other assets 19,989 16,864 - ------------------------------------------------------------------------------------------------ Total Assets $ 655,092 $ 614,686 - ------------------------------------------------------------------------------------------------ Liabilities and Stockholders' Equity Deposits Non-interest bearing $ 65,917 $ 66,560 Interest bearing 385,859 356,384 - ------------------------------------------------------------------------------------------------ Total Deposits 451,776 422,944 - ------------------------------------------------------------------------------------------------ Borrowed funds Securities sold under agreements to repurchase 109,790 100,050 Other 35,856 34,266 - ------------------------------------------------------------------------------------------------ Total Borrowed Funds 145,646 134,316 Company - obligated Mandatorily Redeemable Trust Preferred Securities of Subsidiary Trust holding solely junior Subordinated Debentures of the Company 11,500 11,500 Other liabilities 6,233 6,181 - ------------------------------------------------------------------------------------------------ Total Liabilities $ 615,155 $ 574,941 - ------------------------------------------------------------------------------------------------ Stockholders' equity Preferred stock: no par value Authorized 1,000,000 shares, none issued Common Stock: no par value Authorized 12,000,000 shares Issued and outstanding 5,073,767 in 1998 And 5,082,050 shares in 1997 20,249 17,703 Surplus 2,205 2,205 Undivided profits 18,331 19,713 Common stock in treasury, at cost: 39,800 shares in 1998 (723) -- Accumulated other comprehensive income (125) 124 - ------------------------------------------------------------------------------------------------ Total Stockholders' Equity 39,937 39,745 - ------------------------------------------------------------------------------------------------ Total Liabilities and Stockholders' Equity $ 655,092 $ 614,686 - ------------------------------------------------------------------------------------------------
Shares and related amounts adjusted for two-for-one stock split declared December 23, 1997 and 2.5% stock dividend declared March 25, 1998. See Accompanying Notes to Unaudited Consolidated Financial Statements. 2 Yardville National Bancorp and Subsidiaries Consolidated Statements of Income (Unaudited)
Three Months Ended March 31, - ---------------------------------------------------------------------------------------- (in thousands, except for share data) 1998 1997 - ---------------------------------------------------------------------------------------- INTEREST INCOME: Interest and fees on loans $ 8,748 $ 7,345 Interest on deposits with banks 55 16 Interest on securities available for sale 2,440 1,569 Interest on investment securities: Taxable 277 342 Exempt from Federal income tax 102 102 Interest on Federal funds sold 69 164 - ---------------------------------------------------------------------------------------- Total Interest Income 11,691 9,538 - ---------------------------------------------------------------------------------------- INTEREST EXPENSE: Interest on savings account deposits 1,255 1,230 Interest on certificates of deposit of $100,000 or more 301 305 Interest on other time deposits 2,673 2,228 Interest on borrowed funds 1,917 1,157 Interest on trust preferred securities 266 -- - ---------------------------------------------------------------------------------------- Total Interest Expense 6,412 4,920 - ---------------------------------------------------------------------------------------- Net Interest Income 5,279 4,618 Less provision for loan losses 400 275 - ---------------------------------------------------------------------------------------- Net Interest Income After Provision for Loan Losses 4,879 4,343 - ---------------------------------------------------------------------------------------- NON-INTEREST INCOME: Service charges on deposit accounts 306 283 Gains on sales of mortgages, net 17 -- Securities gains, net 9 -- Other non-interest income 356 323 - ---------------------------------------------------------------------------------------- Total Non-Interest Income 688 606 - ---------------------------------------------------------------------------------------- NON-INTEREST EXPENSE: Salaries and employee benefits 1,943 1,817 Occupancy expense, net 233 234 Equipment 296 250 Other non-interest expense 1,032 778 - ---------------------------------------------------------------------------------------- Total Non-Interest Expense 3,504 3,079 - ---------------------------------------------------------------------------------------- Income before income tax expense 2,063 1,870 Income tax expense 729 658 - ---------------------------------------------------------------------------------------- Net Income $ 1,334 $ 1,212 - ---------------------------------------------------------------------------------------- EARNINGS PER SHARE: Basic $ 0.26 $ 0.24 Diluted $ 0.26 $ 0.24 - ---------------------------------------------------------------------------------------- Weighted average shares outstanding: Basic 5,073 5,000 Diluted 5,117 5,080 - ----------------------------------------------------------------------------------------
Shares and related amounts adjusted for two-for-one stock split declared December 23, 1997 and 2.5% stock dividend declared March 25, 1998. See Accompanying Notes to Unaudited Consolidated Financial Statements. 3 Yardville National Bancorp and Subsidiaries Consolidated Statements of Cash Flows (Unaudited)
Three months ended March 31, - ----------------------------------------------------------------------------------------------------- (in thousands) 1998 1997 - ----------------------------------------------------------------------------------------------------- Cash Flows from Operating Activities: Net Income $ 1,334 $ 1,212 Adjustments: Provision for loan losses 400 275 Depreciation 226 206 Amortization and accretion 144 100 Gains on sales of securities available for sale (9) -- Loss on sales of other real estate 1 -- Writedown of other real estate 3 2 (Increase) decrease in other assets (2,975) 59 Increase in other liabilities 51 919 - ----------------------------------------------------------------------------------------------------- Net Cash (Used in) Provided by Operating Activities (825) 2,773 - ----------------------------------------------------------------------------------------------------- Cash Flows From Investing Activities: Net decrease in interest bearing deposits (1,903) (1,132) Purchase of securities available for sale (22,287) (19,969) Maturities, calls, and paydowns of securities available for sale 18,021 7,838 Proceeds from sales of securities available for sale 12,161 -- Proceeds from maturities and paydowns of investment securities 1,278 734 Purchase of investment securities (500) -- Net increase in loans (23,819) (13,419) Expenditures for bank premises and equipment (439) (53) Proceeds from sale of other real estate 83 -- - ----------------------------------------------------------------------------------------------------- Net Cash Used in Investing Activities (17,405) (26,001) - ----------------------------------------------------------------------------------------------------- Cash Flows from Financing Activities: Net increase in non-interest bearing demand, money market, and savings deposits 1,557 18,803 Net increase in certificates of deposit 27,275 11,607 Net increase (decrease) in borrowed funds 11,330 (4,861) Proceeds from issuance of common stock 178 175 Treasury Shares Acquired (723) -- Dividends paid (347) (294) - ----------------------------------------------------------------------------------------------------- Net Cash Provided by Financing Activities 39,270 25,430 - ----------------------------------------------------------------------------------------------------- Net increase in cash and cash equivalents 21,040 2,202 Cash and cash equivalents as of beginning of period 20,423 17,150 - ----------------------------------------------------------------------------------------------------- Cash and Cash Equivalents as of End of Period $ 41,463 $ 19,352 - ----------------------------------------------------------------------------------------------------- Supplemental Disclosure of Cash Flow Information: Cash paid during period for: Interest expense 6,551 4,310 Income taxes 1,309 600 - ----------------------------------------------------------------------------------------------------- Supplemental Schedule of Non-cash Investing and Financing Activities: Transfers to other real estate from loans, net of charge offs 407 462 - -----------------------------------------------------------------------------------------------------
See Accompanying Notes to Unaudited Consolidated Financial Statements. 4 Yardville National Bancorp and Subsidiaries Notes to Consolidated Financial Statements Three Months Ended March 31, 1998 (Unaudited) 1. Summary of Significant Accounting Policies Basis of Financial Statement Presentation: The consolidated financial statements have been prepared in conformity with generally accepted accounting principles. In preparing the financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the balance sheet and revenue and expenses for the period. Actual results could differ significantly from those estimates. Material estimates that are particularly susceptible to significant change in the near-term relate to the determination of the allowance for loan losses and the valuation reserve of real estate acquired in connection with foreclosures or in satisfaction of loans. In connection with the determination of the allowance for loan losses and other real estate, management obtains independent appraisals for significant properties. The consolidated financial data as of and for the three months ended March 31, 1998 includes, in the opinion of management, all adjustments, consisting of only normal recurring accruals necessary for a fair presentation of such periods. The consolidated financial data for the interim periods presented is not necessarily indicative of the result of operations that might be expected for the entire year ending December 31, 1998. Consolidation The consolidated financial statements include the accounts of Yardville National Bancorp and its subsidiaries, Yardville Capital Trust (the "Trust") and Yardville National Bank (the "Bank") and the Bank's wholly owned subsidiaries, Yardville National Investment Corporation, Brendan Inc., Nancy Beth Inc., and Yardville Real Estate Corporation (collectively, "YNB"). All significant inter-company accounts and transactions have been eliminated. Brendan Inc. and Nancy Beth Inc. are utilized for the control and disposal of other real estate properties. Yardville Real Estate Corporation is utilized to hold Bank branch properties. Allowance for Loan Losses For financial reporting purposes, the provision for loan losses charged to operating expense is determined by management and based upon a periodic review of the loan portfolio, past experience, the economy, and other factors that may affect a borrower's ability to repay the loan. This provision is based on management's estimates, and actual losses may vary from these estimates. These estimates are reviewed and adjustments, as they become necessary, are reported in the periods in which they become known. Management believes that the allowance for loan losses is adequate. While management uses available information to recognize losses on loans, future additions to the allowance may be necessary based on changes in economic conditions, particularly in New Jersey. In addition, various regulatory agencies, as an integral part of their examination process periodically review the Bank's allowance for loan losses and the valuation of other real estate. Such agencies may require the Bank to recognize additions to the allowance or adjustments to the carrying value of other real estate based on their judgement about information available at the time of their examination. 5 2. Earnings Per Share Weighted average shares for the basic net income per share calculation for the three months ended March 31, 1998 and 1997 were 5,073,000 and 5,000,000 respectively. For the diluted net income per share computation common stock equivalents of 44,000 and 80,000 are included for the three months ended March 31, 1998 and 1997, respectively. 3. Recently Issued Accounting Standards SFAS No. 130 FASB Statement No. 130 "Reporting Comprehensive Income" (Statement 130) establishes standards for reporting and display of comprehensive income and its components (revenue, expenses, gains and losses) in a full set of general-purpose financial statements. Statement 130 requires that all items that are required to be recognized under accounting standards as components of comprehensive income be reported in a financial statement that is displayed with the same prominence as other financial statements. Statement 130 does not require a specific format for that financial statement but requires that an enterprise display an amount representing total comprehensive income for the period in that financial statement. Statement 130 requires an enterprise to (a) classify items of other comprehensive income by their nature in a financial statement and (b) display the accumulated balance of other comprehensive income separately from retained earnings and additional paid-in capital in the equity section of a statement of financial position. This statement is effective for fiscal years beginning after December 15, 1997. Reclassification of financial statements for earlier periods provided for comparative purposes are required. YNB adopted Statement No. 130 on January 1, 1998 and the disclosure is contained in the table below. 6
Comprehensive Net Income Three Months Ended March 31, - -------------------------------------------------------------------------------------- (in thousands) 1998 1997 - -------------------------------------------------------------------------------------- Net Income $ 1,334 $ 1,212 Other comprehensive income Unrealized (loss) gain on securities available for sale, net of taxes (249) 285 - -------------------------------------------------------------------------------------- Other comprehensive income (249) 285 - -------------------------------------------------------------------------------------- Total comprehensive income $ 1,085 1,497 - --------------------------------------------------------------------------------------
SFAS No. 132 In February 1998, the FASB issued SAS No. 132 "Employer Disclosures about Pensions and Other Post Retirement Benefits." This statement standardizes the disclosure requirements for pensions and other postretirement benefits by requiring additional information that will facilitate financial analysis and eliminating certain disclosures that are considered no longer useful. SFAS No. 132 supersedes the disclosure requirements in SFAS Nos. 87, 88 and 106. This statement is effective for fiscal years beginning after December 15, 1997. Restatement of disclosure for earlier periods provided for comparative purposes are required unless information is not readily available 7 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 thereunto duly authorized. YARDVILLE NATIONAL BANCORP -------------------------------- (Registrant) Date: June 5, 1998 By: /s/ Stephen F. Carman -------------------- ------------------------------- Stephen F. Carman Executive Vice President and Chief Financial Officer 8 -----END PRIVACY-ENHANCED MESSAGE-----