Note 1 - Nature of Operations

12 Months Ended

Dec. 31, 2016

Notes to Financial Statements

Nature of Operations [Text Block]

1.

Nature of Operations

Flushing Financial Corporation (the “Holding Company”), a Delaware business corporation, is the bank holding company of its wholly-owned subsidiary Flushing Bank (the “Bank”). The Holding Company and its direct and indirect wholly-owned subsidiaries, including the Bank, Flushing Preferred Funding Corporation (“FPFC”), Flushing Service Corporation (“FSC”), and FSB Properties Inc. (“Properties”), are collectively herein referred to as the “Company.”

The Company’s principal business is attracting retail deposits from the general public and investing those deposits together with funds generated from ongoing operations and borrowings, primarily in

(1)

originations and purchases of multi-family residential properties, commercial business loans, commercial real estate mortgage loans and, to a lesser extent,

one

-to-

four

family (focusing on mixed-use properties, which are properties that contain both residential dwelling units and commercial units);

(2)

construction loans, primarily for residential properties;

(3)

Small Business Administration (“SBA”) loans and other small business loans;

(4)

mortgage loan surrogates such as mortgage-backed securities; and

(5)

U.S. government securities, corporate fixed-income securities and other marketable securities. The Bank also originates certain other consumer loans including overdraft lines of credit. The Bank primarily conducts its business through

nineteen

full-service banking offices,

nine

of which are located in Queens County,

three

in Nassau County,

five

in Kings County (Brooklyn), and

two

in New York County (Manhattan), New York. The Bank also operates “iGObanking.com®”, an internet branch, offering checking, savings, money market and certificates of deposit accounts.