8-K

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) July 22, 2009

CSB Bancorp, Inc.

(Exact name of registrant as specified in its charter)

Ohio
(State or other jurisdiction
of incorporation) 0-21714
(Commission File Number) 34-1687530
(IRS Employer
Identification Number)

91 North Clay Street, P.O. Box 232,
Millersburg, Ohio
(Address of Principal Executive Offices) 44654
(Zip Code)

Registrant’s telephone number, including area code (330) 674-9015

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:

o     Written communication 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))

ITEM 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION

On July 22, 2009 CSB Bancorp, Inc. issued a press release announcing its earnings for the three month period ended June 30, 2009. A copy of this press release and related financial tables are furnished herein as Exhibit 99.1. A copy of the shareholders’ brochure is furnished as Exhibit 99.2.

ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS

     (c) Exhibits

99.1	Press release and Quarterly Report for CSB Bancorp, Inc. for the quarter ended June 30, 2009.
99.2	Shareholder brochure for CSB Bancorp, Inc. Quarterly Report for the quarter ended June 30, 2009.

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.

	CSB Bancorp, Inc.
	By:	/s/ Paula J. Meiler
		Paula J. Meiler
Date: July 22, 2009		Senior Vice President and Chief Financial Officer

EX-99.1

Exhibit 99.1

CSB BANCORP, INC. REPORTS EARNINGS FOR SECOND QUARTER 2009

Second Quarter and Year to Date Highlights

	Quarter Ended			Six Months Ended
	June 30, 2009			June 30, 2009
Diluted earnings per share	$	0.26		$	0.59
Net Income	$	706,000		$	1,602,000
Return on average common equity		6.32	%		7.24	%
Return on average assets		0.67	%		0.76	%

Millersburg, Ohio — July 22, 2009 — CSB Bancorp, Inc. (OTCBB: CSBB.ob) today announced second quarter 2009 net income of $706 thousand, or $.26 per basic and diluted share, as compared to $878 thousand, or $.36 per basic and diluted share for the same period in 2008.

Annualized returns on average common equity (“ROE”) and average assets (“ROA”) for the quarter were 6.32% and 0.67%, respectively, compared with 9.46% and 1.03% for the second quarter of 2008.

Eddie Steiner, President and CEO stated, “A deep recession continues to suppress economic activity in our markets and shows few signs of significant recovery in the near term. Loan charge-offs and higher FDIC premiums dampened net earnings during the first half of 2009 and we expect similar headwinds for the next six to twelve months while the economy attempts to regain its footing. Core revenue generation remains strong, however, and our high levels of capital and liquidity provide stability and a secure foundation for the future.”

Total revenue amounted to $4.7 million during the quarter, compared with $4.0 million in the second quarter of 2008, an increase of 16.7%. Net interest income of $3.8 million increased $546 thousand or 16.6% over the same quarter of the prior year, while declining $61 thousand or 1.6% from the immediate prior quarter.

Other income of $780 thousand reflects an increase of $101 thousand from the same quarter in the prior year. Gains on sales of mortgage originations account for $110 thousand of the difference, offset partially by a $43 thousand reduction in trust and brokerage revenues due to declines in market valuations and reduced trading volumes.

Non-interest expense totaled $3.2 million during the quarter, an increase of $593 thousand or 22.7% from second quarter 2008. Of the increase, $211 thousand resulted from higher FDIC

insurance premiums assessed on all member financial institutions. The majority of the remaining increase in non-interest expense reflects the increased scale of the Company’s operations following the Indian Village acquisition during fourth quarter 2008. That transaction increased the Company’s balance sheet by approximately 20%. The second quarter ratio of operating expenses to revenue increased to 68.8% as compared to 65.5% in the same quarter of 2008. Absent the higher FDIC premiums, the ratio would have declined to 64.3%.

Federal income tax expense was $302 thousand for second quarter 2009, reflecting an effective tax rate of 29.9%, compared to $423 thousand for the same quarter in 2008, or 32.5%. The decrease in the effective tax rate was primarily the result of a higher proportion of tax-exempt securities in the Company’s investment portfolio.

Average asset balances during second quarter 2009 totaled $424 million, an increase of $2.1 million or 0.5% over first quarter 2009. Average gross loan balances of $319 million increased $1.1 million, or 0.34%, during the quarter. Average commercial loan balances, including commercial real estate, increased $3.3 million or 1.8%, while average balances for residential mortgage and home equity loans declined $1.8 million or 1.4% during the quarter, and installment and other consumer average loan balances decreased $402 thousand, or 4.3%.

As of June 30, 2009, nonperforming assets totaled $4.1 million or 1.29% of period-end loans plus other real estate, compared with $4.2 million or 1.31% at March 31, 2009. Net charge-offs for the quarter totaled $398 thousand, or an annualized rate of 0.50% of average total loans. Steiner remarked, “Nonperforming asset balances stabilized during the second quarter and we are actively working with the credit relationships that are struggling to remain current. We anticipate nonperforming asset levels and net charge-offs will remain somewhat elevated through the remainder of 2009 and likely into 2010.”

The Company’s allowance for loan losses at June 30, 2009 was 1.07% of period end loans and the Company funded $394 thousand in loan loss provision during the quarter. The ratio of allowance for loan losses to nonperforming loans stood at 83% at quarter-end.

Average deposit balances grew $3.9 million, or 1.3% during the quarter to $305 million. Within the deposit category, average balances for non interest-bearing accounts increased $653 thousand or 1.5%, while interest bearing checking, money market and savings average balances increased $838 thousand or 0.8% during the quarter and average time deposit balances increased $2.4 million, or 1.6%.

Short-term and other borrowings amounted to $75.2 million as of June 30, an increase of $4.2 million or 5.9% from March 31, with the increase attributable to repurchase agreement balances maintained with customers of the company.

Shareholders’ equity totaled $44.7 million on June 30, 2009 with 2.7 million common shares outstanding and a tangible equity to assets ratio of 10.16% at quarter-end.

The Company declared a common dividend of $.18 per share during the quarter.

About CSB Bancorp, Inc.

CSB is a financial holding company headquartered in Millersburg, Ohio, with approximate assets of $422 million as of June 30, 2009. CSB provides a complete range of banking and other financial services to consumers and businesses through its wholly owned subsidiary, The Commercial and Savings Bank, with thirteen banking centers in Holmes, Tuscarawas, Wayne and Stark counties and Trust offices located in Millersburg and Wooster, Ohio. A fourteenth banking center is scheduled to open this fall on West High Street in Orrville, Ohio.

Forward-Looking Statement

This release contains forward-looking statements relating to present or future trends or factors affecting the banking industry, and specifically the financial condition and results of operations, including without limitation, statements relating to the earnings outlook of the Company, as well as its operations, markets and products. Actual results could differ materially from those indicated. Among the important factors that could cause results to differ materially are interest rate changes, softening in the economy, which could materially impact credit quality trends and the ability to generate loans, changes in the mix of the Company’s business, competitive pressures, changes in accounting, tax or regulatory practices or requirements and those risk factors detailed in the Company’s periodic reports and registration statements filed with the Securities and Exchange Commission. The Company undertakes no obligation to release revisions to these forward-looking statements or reflect events or circumstances after the date of this release.

Contact Information:
Paula J. Meiler, SVP & CFO
330-763-2873
paula.meiler@csb1.com

CSB BANCORP, INC.
CONSOLIDATED FINANCIAL HIGHLIGHTS

(Unaudited)
(Dollars in thousands except per share data)

	Quarters															YTD
	2009			2009			2008			2008			2008			2009			2008
EARNINGS	2nd Qtr			1st Qtr			4th Qtr			3rd Qtr			2nd Qtr			6 months			6 months
Net interest income FTE (a)	$	3,884		$	3,940		$	3,812		$	3,473		$	3,318		$	7,824		$	6,724
Provision for loan losses		394			241			71			107			48			635			155
Other income		780			796			724			674			680			1,576			1,635
Other expenses		3,210			3,129			3,303			2,663			2,617			6,339			5,346
FTE adjustment (a)		52			46			39			34			32			98			58
Net income		706			896			767			890			878			1,602			1,880
Diluted EPS		0.26			0.33			0.29			0.37			0.36			0.59			0.77
PERFORMANCE RATIOS
Return on average assets (ROA)		0.67	%		0.86	%		0.76	%		1.02	%		1.03	%		0.76	%		1.10	%
Return on average common equity (ROE)		6.32	%		8.20	%		7.40	%		9.46	%		9.46	%		7.24	%		10.14	%
Net interest margin FTE (a)		3.88	%		3.99	%		3.98	%		4.19	%		4.09	%		3.93	%		4.14	%
Efficiency ratio		68.80	%		67.73	%		72.56	%		64.19	%		65.46	%		68.27	%		63.95	%
Number of full-time equivalent employees		141			139			144			124			128
MARKET DATA
Book value/common share	$	16.34		$	16.23		$	15.89		$	15.49		$	15.10
Period-end common share mkt value		16.00			14.00			15.00			15.25			15.75
Market as a % of book		97.92	%		86.26	%		94.40	%		98.45	%		104.29	%
PE ratio		12.80			10.37			10.49			10.23			10.71
Cash dividends/common share	$	0.18		$	0.18		$	0.18		$	0.18		$	0.18		$	0.36		$	0.36
Common stock dividend payout ratio		69.23	%		54.55	%		62.07	%		48.65	%		50.00	%
Average basic common shares		2,734,799			2,734,799			2,629,394			2,422,014			2,432,793			2,734,799			2,438,695
Average diluted common shares		2,734,799			2,734,799			2,629,394			2,422,014			2,432,793			2,734,799			2,438,695
Period end common shares outstanding		2,734,799			2,734,799			2,734,799			2,421,983			2,422,050
Common shares repurchased		0			0			0			67			18,800			0			25,574
Common stock market capitalization	$	43,757		$	38,287		$	41,022		$	36,935		$	38,147
ASSET QUALITY
Gross charge-offs	$	431		$	290		$	47		$	52		$	33		$	721		$	55
Net charge-offs (recoveries)		398			233			(84	)		44			21			631			23
Allowance for loan losses		3,398			3,402			3,394			2,781			2,718
Nonperforming assets (NPAs)		4,123			4,182			2,722			577			615
Net charge-off/average loans ratio		0.50	%		0.30	%		(0.11)	%		0.07	%		0.03	%		0.40	%		0.02	%
Allowance for loan losses/period-end loans		1.07			1.07			1.07			1.08			1.09
NPAs/loans and other real estate		1.29			1.31			0.86			0.23			0.25
Allowance for loan losses/nonperforming loans		83.47			82.51			124.69			481.98			441.75
CAPITAL & LIQUIDITY
Period-end tangible equity to assets		10.16	%		10.09	%		9.84	%		10.91	%		10.54	%
Average equity to assets		10.56			10.50			10.71			10.84			10.94
Average equity to loans		14.06			13.91			13.74			14.74			14.97
Average loans to deposits		104.76			105.76			102.72			102.86			101.48
AVERAGE BALANCES
Assets	$	423,767		$	421,694		$	400,873		$	345,481		$	341,297		$	422,662		$	342,144
Earning assets		401,966			400,356			381,011			330,219			326,435			401,368			326,730
Loans		319,421			318,325			293,714			254,104			249,395			318,876			251,827
Deposits		304,910			300,993			285,926			247,040			245,767			302,962			248,371
Shareholders’ equity		44,918			44,294			41,251			37,446			37,334			44,649			37,261
ENDING BALANCES
Assets	$	422,416		$	422,390		$	424,657		$	343,743		$	347,104
Earning assets		401,558			402,011			402,225			328,812			329,468
Loans		317,880			319,425			316,290			256,343			249,543
Deposits		300,513			304,591			305,453			245,953			248,177
Shareholders’ equity		44,678			44,392			43,468			37,512			36,577

NOTES:

(a) — Net Interest income on a fully tax-equivalent (“FTE”) basis restates interest on tax-exempt securities and loans as if such interest were subject to federal income tax at the statutory rate. Net interest income on an FTE basis is not an accounting principle generally accepted in the United States of America.

CSB BANCORP, INC.
CONSOLIDATED BALANCE SHEETS

(Unaudited)

	June 30,			June 30,
	2009			2008
ASSETS
Cash and cash equivalents
Cash and due from banks	$	7,643,710		$	11,350,478
Interest-earning deposits in other banks		8,056,334			181,101
Federal funds sold		1,691,000			11,000,000
Total cash and cash equivalents		17,391,044			22,531,579
Securities
Available-for-sale, at fair-value		67,302,810			65,562,619
Restricted stock, at cost		5,463,100			3,181,600
Total securities		72,765,910			68,744,219
Loans held for sale		1,164,660			0
Loans		317,879,674			249,542,605
Less allowance for loan losses		3,397,920			2,717,912
Net loans		314,481,754			246,824,693
Goodwill and core deposit intangible		1,949,483			0
Bank owned life insurance		2,800,812			0
Premises and equipment, net		8,243,694			7,076,699
Accrued interest receivable and other assets		3,618,739			1,926,733
TOTAL ASSETS	$	422,416,096		$	347,103,923
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities
Deposits:
Noninterest-bearing	$	44,083,567		$	40,794,649
Interest-bearing		256,429,380			207,381,737
Total deposits		300,512,947			248,176,386
Short-term borrowings		24,917,661			27,111,134
Other borrowings		50,261,780			33,767,797
Accrued interest payable and other liabilities		2,045,383			1,471,300
Total liabilities		377,737,771			310,526,617
Shareholders’ equity
Common stock, $6.25 par value. Authorized 9,000,000 shares; issued 2,980,602 shares in 2009 and 2,667,786 in 2008		18,628,767			16,673,667
Additional paid-in capital		9,889,447			6,459,819
Retained earnings		20,341,438			18,994,645
Treasury stock at cost — 245,803 shares in 2009 and 245,736 shares in 2008		(5,014,541	)		(5,013,535	)
Accumulated other comprehensive income (loss)		733,214			(537,290	)
Total shareholders’ equity		44,678,325			36,577,306
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	422,416,096		$	347,103,923

CSB BANCORP, INC.
CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

	Quarter ended					Six months ended
	June 30,					June 30,
	2009			2008		2009		2008
Interest and dividend income:
Loans, including fees	$	4,582,288		$	4,017,256	$	9,203,044	$	8,429,960
Taxable securities		797,541			772,867		1,685,408		1,577,489
Nontaxable securities		79,925			55,544		147,922		99,422
Other		6,132			47,664		8,856		69,871
Total interest and dividend income		5,465,886			4,893,331		11,045,230		10,176,742
Interest expense:
Deposits		1,135,407			1,166,153		2,297,802		2,593,911
Other		498,412			441,414		1,021,801		917,302
Total interest expense		1,633,819			1,607,567		3,319,603		3,511,213
Net interest income		3,832,067			3,285,764		7,725,627		6,665,529
Provision for loan losses		394,068			47,677		635,140		154,709
Net interest income after provision for loan losses		3,437,999			3,238,087		7,090,487		6,510,820
Non-interest income
Service charges on deposits accounts		324,210			339,256		617,510		626,408
Trust services		119,616			162,568		234,375		351,232
Securities gains (losses)		(577	)		—		115,503		—
Gain on sale of loans		116,890			7,176		184,460		271,835
Other		219,960			170,946		424,406		385,957
Total non-interest income		780,099			679,946		1,576,254		1,635,432
Non-interest expenses
Salaries and employee benefits		1,696,213			1,527,162		3,404,577		3,064,065
Occupancy expense		230,817			184,915		474,162		382,796
Equipment expense		137,951			119,320		271,696		244,770
Franchise tax expense		126,580			107,380		236,370		214,810
Professional and director fees		184,553			140,343		328,316		279,899
FDIC deposit insurance		218,300			7,320		391,200		14,585
Amortization of intangible assets		16,227			0		32,545		0
Other expenses		599,606			530,831		1,200,281		1,144,805
Total non-interest expenses		3,210,247			2,617,271		6,339,147		5,345,730
Income before income tax		1,007,851			1,300,762		2,327,594		2,800,522
Federal income tax provision		301,800			423,000		725,600		921,000
Net income	$	706,051		$	877,762	$	1,601,994	$	1,879,522
Net income per share
Basic	$	0.26		$	0.36		0.59	$	0.77
Diluted	$	0.26		$	0.36		0.59	$	0.77

Note: Certain prior year balances have been reclassified to conform to the current year presentation.

EX-99.2

Exhibit 99.2

FINANCIAL HIGHLIGHTS (DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA) AT OR FOR THE SIX MONTHS ENDED JUNE 30 2009 2008 Assets $ 422,416 $ 347,104 Net loans $ 314,482 $ 246,825 Securities $ 72,766 $ 68,744 Deposits $ 300,513 $ 248,177 Shareholders’ equity $ 44,678 $ 36,577 Net income $ 1,602 $ 1,880 Earnings per share $ 0.59 $ 0.77 Book value per outstanding share $ 16.34 $ 15.10 KEY RATIOS AT OR FOR THE SIX MONTHS ENDED JUNE 30 2009 2008 Return on average assets 0.76 % 1.10 % Return on average equity 7.24 % 10.14 % Net interest margin (tax equivalent) 3.93 % 4.14 % Loans to deposits 105.78 % 100.55 % Allowance for loan loss to total loans 1.07 % 1.09 % Shareholders’ equity to total assets 10.58 % 10.54 % Efficiency ratio 68.27 % 63.95 % DIRECTORS Robert K. Baker Ronald E. Holtman J. Thomas Lang Daniel J. Miller Jeffery A. Robb, Sr. Eddie L. Steiner John R. Waltman Chairman EXECUTIVE OFFICERS Eddie L. Steiner President and Chief Executive Officer Rick L. Ginther President, The Commercial & Savings Bank Paul D. Greig Chief Operations/Information Officer Paula J. Meiler Chief Financial Officer STOCK PERFORMANCE & DIVIDENDS CASH QUARTER TRADE PRICE CLOSING DIVIDEND ENDING HIGH LOW PRICE DECLARED 9/30/07 19.00 15.95 17.00 0.18 12/31/07 17.75 15.40 17.75 0.18 3/31/08 17.90 15.75 16.14 0.18 6/30/08 18.00 15.75 15.75 0.18 9/30/08 16.25 14.40 15.25 0.18 12/31/08 16.00 14.00 15.00 0.18 3/31/09 14.50 12.25 14.00 0.18 6/30/09 17.00 13.26 16.00 0.18 ADDITIONAL STOCK INFORMATION STOCK LISTING Common: Symbol — CSBB.OB STOCK TRANSFER Registrar & Transfer Company Attn: Investor Relations 10 Commerce Drive Cranford, NJ 07016 (800)368-5948 Copies of CSB Bancorp, Inc. S.E.C. Filings may be obtained by writing: Paula J. Meiler, CFO CSB Bancorp, Inc. 91 North Clay Street Millersburg, OH 44654 (330)674-9015 or (800)654-9015 “Remember to call CSB for all your financial needs, whether to borrow, save or invest.”

Exhibit 99.2

DEAR FELLOW SHAREHOLDER A deep recession continues to suppress economic activity in our market and shows few signs of reversing in the near term. These conditions have dampened our earnings. Our core revenue remains strong and our high levels of capital and liquidity provide stability and a secure foundation for the future. Second quarter net income of $706 thousand is 20% below earnings from the same quarter of the prior year. At the midpoint of 2009, net income of $1.6million is 15% behind year ago levels. The reduced earnings are a result of increased costs for loan losses and FDIC insurance premiums, two headwinds that will likely continue for the remainder of the year. Net loan charge-offs (annualized)during the second quarter approximated 0.50% of average loan balances and year-to-date amount to 0.40%. While the charge-off rate exceeds our historical norm, we believe it is manageable and we have recorded $480 thousand more for loan loss provision expense than was necessary through midpoint of last year. We expect loan charge-offs, and resultant provisioning for loan losses, to remain at similar levels through the balance of 2009 as our customers deal with very tough economic conditions and as we continue to reshape the loan portfolio acquired in the Indian Village transaction. FDIC has substantially increased fees for deposit insurance to all member financial institutions. These higher fees amounted to $377 thousand of increased expense during the first half of 2009 as compared to the prior year. We anticipate FDIC insurance costs will remain somewhat elevated during the second half of 2009 as the FDIC continues to replenish its Deposit Insurance Fund. While the above two items shaved approximately $0.21 per share off of our earnings potential for the first six months of 2009, we continue to believe our core earnings model is solid. Proper management of the credit portfolio and expense control will remain a strong focus in the coming months. Average total loan and deposit balances grew modestly during the quarter. However, our near term outlook for economic recovery remains rather muted and we do not expect a strong resurgence in loan demand during the remainder of 2009. Our strategy of building customer relationships to increase usage of our full range of financial products and services remains an important objective. We also continue to evaluate opportunities to further solidify our position in current and target markets. In September, we plan to open our second Orrville banking center, located on West High Street in the heart of the community. Our existing banking center on State Route 57 will continue to serve the broader Orrville, Marshallville, Dalton and Kidron communities. In spite of the various factors creating earnings challenges, CSB continues to generate strong core earnings and remains well positioned to meet the banking needs of the communities we serve. On behalf of the board of directors, we are pleased to provide this report and a second quarter dividend of $0.18 per share, equaling the quarterly dividend level of the past two years. Thank you for your continued support of CSB Bancorp, Inc. Sincerely, EDDIE STEINER JOHN WALTMAN President and CEO Chairman CSB Bancorp, Inc. CSB Bancorp, Inc. CONSOLIDATED STATEMENTS OF CONDITION (UNAUDITED) (DOLLARS IN THOUSANDS EXCEPT PER SHARE DATA) JUNE 30 2009 2008 ASSETS: Cash and due from banks $ 15,700 $ 11,531 Federal funds sold 1,691 11,000 Securities 72,766 68,744 Loans held for sale 1,164 0 Net loans 314,482 246,825 Premises & equipment, net 8,244 7,077 Other assets 8,369 1,927 TOTAL ASSETS $ 422,416 $ 347,104 LIABILITIES: Deposits $ 300,513 $ 248,177 Securities sold under agreements to repurchase 24,918 25,111 Short-term borrowings 0 2,000 Other borrowings 50,262 33,768 Other liabilities 2,045 1,471 TOTAL LIABILITIES $ 377,738 $ 310,527 SHAREHOLDERS’ EQUITY: Common stock $ 18,629 $ 16,674 Additional paid-in capital 9,990 6,460 Retained earnings 20,341 18,994 Treasury stock (5,015 ) (5,014 ) Accumulated other comprehensive income (loss) 733 (537 ) TOTAL SHAREHOLDERS’ EQUITY $ 44,678 $ 36,577 TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 422,416 $ 347,104 CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED) (DOLLARS IN THOUSANDS, EXCEPT PER SHARE DATA) THREE MONTHS ENDED JUNE 30 SIX MONTHS ENDED JUNE 30 2009 2008 2009 2008 INTEREST INCOME: Interest and fees on loans $ 4,582 $ 4,017 $ 9,203 $ 8,430 Interest on securities 877 828 1,833 1,677 Other interest income 6 48 9 70 TOTAL INTEREST INCOME 5,465 4,893 11,045 10,177 INTEREST EXPENSE: Interest on deposits 1,134 1,166 2,297 2,594 Other interest expense 499 441 1,022 917 TOTAL INTEREST EXPENSE 1,633 1,607 3,319 3,511 Net interest income 3,832 3,286 7,726 6,666 Provision for loan losses 394 48 635 155 Net interest income after provision for loan losses 3,438 3,238 7,091 6,511 Noninterest income 780 680 1,576 1,636 Noninterest expense 3,210 2,617 6,339 5,346 Net income before federal income taxes 1,008 1,301 2,328 2,801 Federal income tax provision 302 423 726 921 NET INCOME $ 706 $ 878 $ 1,602 $ 1,880 EARNINGS PER SHARE $ 0.26 $ 0.36 $ 0.59 $ 0.77