-----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, Tg5wkd+f5HB9nfUeBanK9kAWDSbsFKWifUBAZKsYvfYjI9iHuKOsn3t5POKBIICH aud4G3uxDzoJL7zZqbaNjw== 0001157523-04-006512.txt : 20040720 0001157523-04-006512.hdr.sgml : 20040720 20040720140119 ACCESSION NUMBER: 0001157523-04-006512 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20040720 ITEM INFORMATION: ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20040720 FILER: COMPANY DATA: COMPANY CONFORMED NAME: UNION FINANCIAL BANCSHARES INC CENTRAL INDEX KEY: 0000926164 STANDARD INDUSTRIAL CLASSIFICATION: SAVINGS INSTITUTION, FEDERALLY CHARTERED [6035] IRS NUMBER: 570264560 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 033-80808 FILM NUMBER: 04921793 BUSINESS ADDRESS: STREET 1: 203 WEST MAIN ST STREET 2: C/O PROVIDENT COMMUNITY BANK CITY: UNION STATE: SC ZIP: 29379 BUSINESS PHONE: 8644279000 MAIL ADDRESS: STREET 1: 203 WEST MAIN STREET STREET 2: C/O PROVIDENT COMMUNITY BANK CITY: UNION STATE: SC ZIP: 29379 8-K 1 a4683343.txt UNION FINANCIAL BANCSHARES, INC. 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 20, 2004 ------------- UNION FINANCIAL BANCSHARES, INC. (Exact name of registrant as specified in its charter) Delaware 1-5735 57-1001177 - -------------------------------- ---------- ------------------- (State or other Jurisdiction of (Commission (IRS Employer incorporation or organization) File Number) Identification No.) 203 West Main Street, Union, South Carolina 29379-0886 - -------------------------------------------- ---------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code (864) 427-9000 --------------- Not Applicable -------------- (Former name or former address, if changed since last report.) ITEM 7. FINANCIAL STATEMENTS AND OTHER EXHIBITS Exhibit 99.1 Press Release Dated July 20, 2004 ITEM 12. RESULTS OF OPERATION AND FINANCIAL CONDITION On July 20, 2004, Union Financial Bancshares, Inc. announced its financial results for the quarter ending June 30, 2004. The press release announcing financial results for the quarter ending June 30, 2004 is filed as Exhibit 99.1 and incorporated herein by reference. 2 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. UNION FINANCIAL BANCSHARES, INC. Dated: July 20, 2004 By: /s/ Dwight V. Neese ------------------------------------ Dwight V. Neese President and Chief Executive Officer 3 EX-99.1 2 a4683343ex991.txt NEWS RELEASE Exhibit 99.1 Union Financial Bancshares, Inc. Announces Second Quarter Earnings UNION, S.C.--(BUSINESS WIRE)--July 20, 2004--Union Financial Bancshares, Inc. (NASDAQ: UFBS) announced earnings of $548,000 for the quarter ended June 30, 2004 compared to earnings of $484,000 for the second quarter of 2003, a 13.22% increase. Earnings per share were $.27 per share (dilutive) for the second quarter of 2004, versus $.23 per share (dilutive) for the second quarter of 2003. Net interest income before the loan loss provision for the current quarter increased $432,000, or 21.77%, to $2,416,000 compared to $1,984,000 for the same period in the previous year. The increase was due primarily to loan growth over the previous year along with an increase in yield on investments. Provision for loan losses for the current quarter totaled $250,000 compared to $190,000 for the same period in the previous year. The increase in provision for loan losses from the previous year quarter was primarily due to the net growth in the loan portfolio of 5.38% that was driven by a 28.27% increase in the consumer/commercial loan sector. Non interest income for the current quarter decreased $82,000, or 12.95%, to $551,000 compared to $633,000 for the same period in the previous year. The decrease was due to $220,000 from the gain on sale of securities in the previous year compared to $0 for the current year. This decrease was offset by an increase in bank and loan fees of $132,000, or 31.96%, to $545,000 compared to $413,000 for the same period in the previous year as a result of the growth in loans and deposits from the new Rock Hill office that was opened in July, 2003. Non interest expense for the current quarter increased $185,000 or 10.30% to $1,981,000 compared to $1,796,000 for the same period in the previous year. The increase over the previous year was due to additional operating expenses for the new Rock Hill office. At June 30, 2004, assets totaled $353.1 million, an 6.79% increase from $330.6 million at December 31, 2003. Net loans receivable increased $8,247,000, or 5.38%, during the period to $161.5 million at June 30, 2004, compared to $153.3 million at December 31, 2003. Investment and mortgage-backed securities at June 30, 2004, increased 28.78% to $159.4 million from $123.8 million at December 31, 2003. The increase in securities was funded with cash on hand and an increase in borrowings of $18.7 million. Deposits at June 30, 2004, increased 1.68% to $226.9 million from $223.1 million at December 31, 2003. Commenting on the second quarter results, Dwight V. Neese, President and Chief Executive Officer, stated: "We are pleased to report our earnings performance improvement over the comparable period in the previous year. Not only did our second quarter results show an earnings increase of 13% over the previous year quarter, our earnings per share also rose 17%. We continued to have positive growth on our balance sheet, marked by an increase in the consumer and commercial loan portfolios of 28% over the same period last year. Overall, we are pleased with the results of the quarter." The Company announced the declaration of a quarterly dividend of $0.10 per share on its outstanding common stock, payable August 16, 2004 to shareholders of record on July 30, 2004. Union Financial Bancshares is the holding company for Provident Community Bank, N.A., which operates seven banking locations in the upstate of South Carolina. At June 30, 2004, Union Financial had $353.1 million in total assets and total stockholders' equity of $23.6 million. - --------------------------------------------------------------------- Union Financial Bancshares, Inc. Second Quarter - Year Ending December 31, 2004 - --------------------------------------------------------------------- Financial Highlights (Unaudited) ($ in thousands, except share data) Quarter Year Ended Ended Balance Sheet 6/30/04 12/31/03 $Change %Change - ---------------------- ------------------------------------- Total assets $353,124 $330,665 $22,459 6.79% Cash and interest-bearing deposits 7,285 28,702 -21,417 -74.62% Investments & mortgage-backed securities 159,419 123,789 35,630 28.78% Loans receivable (net) 161,548 153,301 8,247 5.38% Goodwill and intangible assets 4,530 4,848 -318 -6.56% Deposits 226,871 223,131 3,740 1.68% Advances and other borrowings 92,250 73,500 18,750 25.51% Trust preferred corporate obligations 8,000 8,000 0 0.00% Stockholders' equity 23,614 25,508 -1,894 -7.43% Outstanding shares 1,948,109 1,966,204 -18,095 -0.92% Book value per share $12.12 $12.97 -$0.85 -6.57% Tangible book value per share $9.80 $10.51 -$0.71 -6.77% Three Months Ended Six Months Ended June 30, June 30, ------------------------------------ Income Statement 2004 2003 2004 2003 - --------------------------------------------------------------------- Net interest income $2,416 $1,984 $4,676 $4,112 Provision for loan losses 250 190 385 425 ------------------------------------- Net interest income after loan loss provision 2,166 1,794 4,291 3,687 Noninterest income 551 633 1,097 1,192 Noninterest expense 1,981 1,796 3,980 3,585 Income tax 188 147 351 312 ------------------------------------- Net income $548 $484 $1,057 $982 ===================================== Earnings per share: basic $0.28 $0.25 $0.54 $0.50 ===================================== Earnings per share: diluted $0.27 $0.23 $0.51 $0.47 ===================================== Six Months Ended June 30, ------------------ Key Financial Ratios 2004 2003 ---------------------- ------------------ Return on average assets 0.60% 0.58% Return on average stockholders' equity 8.08% 7.08% Operating expense to average assets 2.26% 2.12% Capital to average assets 9.25% 10.56% CONTACT: Union Financial Bancshares, Inc. Dwight V. Neese, 864-429-1863 -----END PRIVACY-ENHANCED MESSAGE-----