-----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, Dz8apNfDuwEdUeji7zFd/ktK7o5svb9tfTE+X3ABpcnhp21THp4gsjm8Suvy3GVT KNpTDPpwxfD22CnXp6HRMA== 0000939057-08-000118.txt : 20080422 0000939057-08-000118.hdr.sgml : 20080422 20080422111000 ACCESSION NUMBER: 0000939057-08-000118 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20080421 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20080422 DATE AS OF CHANGE: 20080422 FILER: COMPANY DATA: COMPANY CONFORMED NAME: SECURITY FEDERAL CORP CENTRAL INDEX KEY: 0000818677 STANDARD INDUSTRIAL CLASSIFICATION: SAVINGS INSTITUTION, FEDERALLY CHARTERED [6035] IRS NUMBER: 570858504 STATE OF INCORPORATION: SC FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-16120 FILM NUMBER: 08768530 BUSINESS ADDRESS: STREET 1: 238 RICHLAND AVENUE WEST CITY: AIKEN STATE: SC ZIP: 29801 BUSINESS PHONE: 8036413000 MAIL ADDRESS: STREET 1: 238 RICHLAND AVENUE WEST CITY: AIKEN STATE: SC ZIP: 29801 FORMER COMPANY: FORMER CONFORMED NAME: SECURITY FEDERAL CORPORATION DATE OF NAME CHANGE: 19920703 8-K 1 k8042108.htm SECURITY FEDERAL CORPORATION FORM 8-K k8042108.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): April 21, 2008
 
SECURITY FEDERAL CORPORATION
(Exact name of registrant as specified in its charter)
 
South Carolina
  
0-16120
  
57-0858504
(State or other jurisdiction
  
(Commission
  
(IRS Employer
of incorporation)
  
 File Number)
  
Identification No.)
 
238 Richland Avenue West, Aiken, South Carolina
  
29801
(Address of principal executive offices)
  
(Zip Code)
 
Registrant's telephone number (including area code):  (803) 641-3000
 
 
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.
 
[ ]   Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
 
[ ]    Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
 
[ ]    Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17
        CFR 240.14d-2(b))
 
[ ]    Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17
        CFR 240.13e-4(c))

 
 
 

Item 2.02  Results of Operations and Financial Condition

On April 21, 2008, Security Federal Corporation issued its earnings release for the fourth quarter and year ended March 31, 2008.  A copy of the earnings release is attached hereto as Exhibit 99.1 and incorporated herein by reference.

Item 9.01  Financial Statements and Exhibits

(c)             Exhibits

99.1           Press Release of Security Federal Corporation dated April 21, 2008.




 
 
 

 
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.

 
SECURITY FEDERAL CORPORATION
     
     
Date: April 21, 2008
By:
 /s/Roy G. Lindburg 
   
Roy G. Lindburg
   
Treasurer and Chief Financial Officer



 
 
 






 
Exhibit 99.1
 
 
 


 
 
 



News Release

SECURITY FEDERAL CORPORATION ANNOUNCES INCREASE IN ANNUAL
 EARNINGS


Aiken, South Carolina (April 21, 2008) - Security Federal Corporation (OTCBB:SFDL), the holding company for Security Federal Bank, today announced earnings for its fiscal year and for the fourth quarter of its fiscal year both ending March 31, 2008.  The Company reported net income of $4.3 million or $1.66 per share (basic) for its fiscal year ending March 31, 2008, a 3.7% increase from net income of $4.1 million or $1.59 per share (basic) for its prior fiscal year ending March 31, 2007.  The increase in net income is primarily a result of an increase in net interest income during the period.

Net income for the quarter ending March 31, 2008 decreased 7.7% to $1.0 million or $0.40 per share (basic), from $1.1 million or $0.42 per share (basic) for the quarter ending March 31, 2007. The decrease in net income is primarily a result of the Federal Reserve’s precipitous decrease in interest rates during the quarter in conjunction with the Company’s decision to increase the provision for loan losses. The Company anticipates the decrease in the prime rate will continue to negatively impact its net interest margin in future periods. Additions to the provision for loan losses resulted from a general decline in economic conditions and an increase in non-performing assets within the Company’s loan portfolio. Specifically, impaired loans increased to 0.6% of total loans outstanding at March 31, 2008 from 0.3% at March 31, 2007 while classified assets increased to 3.4% of total loans outstanding at March 31, 2008 from 3.0% in the previous year.

Total assets at March 31, 2008 were $840.0 million compared to $738.1 million at March 31, 2007, an increase of 13.8% for the year.  Net loans receivable increased $81.9 million or 18.8% to $517.9 million at March 31, 2008 from $436.0 million at March 31, 2007.  Total deposits were $590.9 million at March 31, 2008 compared to $523.7 million at March 31, 2007, an increase of 12.8%.  Federal Home Loan Bank advances, other borrowings, and subordinated debentures increased $29.9 million or 18.5% to $196.2 million at March 31, 2008 from $166.3 million at March 31, 2007.

Security Federal Bank has 13 full service branch locations in Aiken, Clearwater, Graniteville, Langley, Lexington, North Augusta, Wagener, Columbia and West Columbia, South Carolina and Evans, Georgia. Additional financial services are offered through the Bank’s three wholly owned subsidiaries, Security Federal Insurance Inc., Security Federal Investments Inc., and Security Federal Trust Inc.

For additional information contact Roy Lindburg, Chief Financial Officer, at (803) 641-3070


 
 
 

Forward-looking statements:

Certain matters discussed in this press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  These forward-looking statements relate to, among other things, expectations of the business environment in which the Company operates, projections of future performance, perceived opportunities in the market, potential future credit experience, and statements regarding the Company’s mission and vision.  These forward-looking statements are based upon current management expectations and may, therefore, involve risks and uncertainties.  The Company’s actual results, performance, or achievements may differ materially from those suggested, expressed, or implied by forward-looking statements as a result of a wide variety or range of factors including, but not limited to, interest rate fluctuations; economic conditions in the Company’s primary market area; demand for residential, commercial business and commercial real estate, consumer, and other types of loans; success of new products; competitive conditions between banks and non-bank financial service providers; regulatory and accounting changes; technology factors affecting operations; pricing of products and services; and other risks detailed in the Company’s reports filed with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the fiscal year ending March 31, 2007, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K.  Accordingly, these factors should be considered in evaluating forward-looking statements, and undue reliance should not be placed on such statements.  The Company undertakes no responsibility to update or revise any forward-looking statement.




 
 
 

     
              SECURITY FEDERAL CORPORATION
        
     
UNAUDITED CONSOLIDATED FINANCIAL HIGHLIGHTS
      
                     
     
               INCOME STATEMENT HIGHLIGHTS
          
                     
     
        (In Thousands, except for Earnings per Share)
        
                     
     
                                       Quarter Ended
       Twelve Months Ended
     
                                          March 31,
       March 31,
                     
     
2008
  
2007
    
2008
  
2007
                     
Total interest income
  
$12,342
  
$11,376
    
$49,632
  
$42,098
                     
Total interest expense
7,370
  
6,595
    
29,544
  
23,933
                     
Net interest income
  
4,972
  
4,781
    
20,088
  
18,165
                     
Provision for loan losses
445
  
150
    
895
  
600
                     
Net interest income after
                
   provision for loan losses
4,527
  
4,631
    
19,193
  
17,565
                     
Non-interest income
  
1,351
  
1,208
    
4,489
  
3,860
                     
Non-interest expense
  
4,362
  
4,168
    
17,322
  
15,157
                     
Income before income taxes
1,516
  
1,671
    
6,360
  
6,268
                     
Provision for income taxes
501
  
571
    
2,080
  
2,141
                     
Net income
    
$1,015
  
$1,100
    
$4,280
  
$4,127
                     
Earnings per share
  
$0.40
  
$0.42
    
$1.66
  
$1.59
                     
                     
                 
                 
       
BALANCE SHEET HIGHLIGHTS
        
                     
     
        (In Thousands, except for Book Value per Share)
        
                     
                     
     
March 31, 2008
  
March 31, 2007
          
                     
                     
Total assets
    
$840,030
  
$738,110
          
                     
Cash and cash equivalents
10,539
  
13,438
          
                     
Total loans receivable, net
517,932
  
436,038
          
                     
Investment and mortgage-
                
   backed securities
  
264,312
  
249,905
          
                     
Deposits
    
590,850
  
523,738
          
                     
Borrowings
    
196,173
  
166,292
          
                     
Shareholders' equity
  
47,496
  
42,693
          
                     
Book value per share
  
$18.76
  
$16.36
          
                     
                     

 
 
 

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