SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K/A
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): December 22, 2000
FIRST PLACE FINANCIAL CORP.
| Delaware | 0-25049 | 34-1880130 |
| (State or other jurisdiction | (Commission | (I.R.S. employer |
| of incorporation) | file number) | identification no.) |
| 185 E. Market Street, Warren, Ohio | 44482 |
| (Address of principal executive offices) | (Zip code) |
Registrant's telephone number, including area code: (330) 373-1221
Not Applicable
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
Included within this document are the audited financial statements for FFY Financial Corp. at June 30, 2000 and the unaudited financial statements at September 30, 2000. Also included is the unaudited condensed combined balance sheet as of September 30, 2000, and the unaudited condensed combined statement of income for the year ended June 30, 2000 and the three month period ended September 30, 2000.
| June 30, 2000 | June 30, 1999 | |||||
|---|---|---|---|---|---|---|
| Assets | ||||||
| Cash | $ 4,543,181 | $ 5,362,745 | ||||
| Interest-bearing deposits | 6,489,636 | 5,245,061 | ||||
| Short-term investments | — | 865,000.00 | ||||
| Total cash and cash equivalents | 11,032,817 | 11,472,806 | ||||
| Securities available for sale | 158,136,350 | 190,325,599 | ||||
| Loans receivable, net of allowance for loan losses of $2,658,784 and $2,645,132, respectively | 484,516,963 | 453,839,111 | ||||
| Loans available for sale | 170,800 | 441,500.00 | ||||
| Interest and dividends receivable on securities | 1,675,487 | 1,953,940 | ||||
| Interest receivable on loans | 2,920,810 | 2,707,846 | ||||
| Federal Home Loan Bank stock, at cost | 5,192,800 | 4,841,200 | ||||
| Office properties and equipment, net | 7,172,439 | 7,218,640 | ||||
| Other assets | 3,656,928 | 2,890,372 | ||||
| Total Assets | $674,475,394 | $675,691,014 | ||||
| Liabilities and Stockholders’ Equity | ||||||
| Liabilities: | ||||||
| Deposits | $446,048,790 | $457,342,802 | ||||
| Securities sold under agreements to repurchase: | ||||||
| Short-term | 6,937,905 | 6,617,747 | ||||
| Long-term | 51,300,000 | 51,300,000 | ||||
| Borrowed funds: | ||||||
| Short-term | 17,500,000 | 22,800,000 | ||||
| Long-term | 79,280,000 | 60,000,000 | ||||
| Advance payments by borrowers for taxes and insurance | 2,347,744 | 2,221,976 | ||||
| Other payables and accrued expenses | 5,865,465 | 5,291,964 | ||||
| Total Liabilities | 609,279,904 | 605,574,489 | ||||
| Commitments and contingencies | ||||||
| Stockholders’ equity: | ||||||
| Preferred stock, $.01 par value: | ||||||
| Authorized 5,000,000 shares; none outstanding | — | — | ||||
| Common stock, $.01 par value; authorized 15,000,000 shares issued 7,589,366 shares | 75,894 | 75,894 | ||||
| Additional paid-in capital | 38,456,297 | 38,092,628 | ||||
| Retained earnings, substantially restricted | 50,500,226 | 46,243,673 | ||||
| Treasury stock, at cost, (869,251 and 467,987 shares respectively) | (14,865,169 | ) | (8,551,484 | ) | ||
| Accumulated other comprehensive income | (6,415,886 | ) | (2,816,864 | ) | ||
| Common stock purchased by: | ||||||
| Employee Stock Ownership and 401(k) Plan | (2,274,082 | ) | (2,645,532 | ) | ||
| Recognition and Retention Plans | (281,790 | ) | (281,790 | ) | ||
| Total Stockholders’ Equity | 65,195,490 | 70,116,525 | ||||
| Total Liabilities and Stockholders’ Equity | $674,475,394 | $675,691,014 | ||||
| Years ended June 30, | ||||||||
|---|---|---|---|---|---|---|---|---|
| 2000 | 1999 | 1998 | ||||||
| Interest Income | ||||||||
| Loans | $39,046,180 | $39,046,983 | $39,785,064 | |||||
| Securities available for sale | 10,353,310 | 9,552,383 | 7,622,185 | |||||
| Federal Home Loan Bank stock | 362,556 | 333,072 | 312,213 | |||||
| Other interest-earning assets | 33,597 | 151,179 | 286,969 | |||||
| Total Interest Income | 49,795,643 | 49,083,617 | 48,006,431 | |||||
| Interest Expense | ||||||||
| Deposits | 19,327,671 | 20,116,405 | 21,282,008 | |||||
| Securities sold under agreements to repurchase: | ||||||||
| Short-term | 406,052 | 449,923 | 871,761 | |||||
| Long-term | 3,127,608 | 2,974,050 | 2,043,340 | |||||
| Borrowed funds: | ||||||||
| Short-term | 1,194,432 | 1,451,527 | 1,361,933 | |||||
| Long-term | 4,067,135 | 1,522,577 | — | |||||
| Total Interest Expense | 28,122,898 | 26,514,482 | 25,559,042 | |||||
| Net Interest Income | 21,672,745 | 22,569,135 | 22,447,389 | |||||
| Provision for loan losses | 475,763 | 494,438 | 565,521 | |||||
| Net Interest Income after | ||||||||
| Provision for Loan Losses | 21,196,982 | 22,074,697 | 21,881,868 | |||||
| Non-Interest Income | ||||||||
| Service charges | 1,106,266 | 897,011 | 700,445 | |||||
| Gain on sale of securities available for sale | 45,574 | 203,317 | 246,473 | |||||
| Gain on sale of loans | 234,162 | 720,153 | 134,211 | |||||
| Other | 638,687 | 729,529 | 683,847 | |||||
| Total Non-Interest Income | 2,024,689 | 2,550,010 | 1,764,976 | |||||
| Non-Interest Expense | ||||||||
| Salaries and employee benefits | 6,670,918 | 6,456,173 | 6,076,824 | |||||
| Net occupancy and equipment | 2,010,129 | 2,043,578 | 1,805,939 | |||||
| Insurance and bonding | 388,415 | 478,923 | 493,752 | |||||
| State and local taxes | 914,057 | 993,634 | 1,077,154 | |||||
| Other | 2,850,978 | 2,522,740 | 2,316,964 | |||||
| Total Non-Interest Expense | 12,834,497 | 12,495,048 | 11,770,633 | |||||
| Income before Income Taxes Minority Interest | 10,387,174 | 12,129,659 | 11,876,211 | |||||
| Income Tax Expense and Minority Interest | ||||||||
| Federal | 3,048,000 | 4,040,000 | 4,147,000 | |||||
| State | — | 43,000 | — | |||||
| Minority interest in (loss) of consolidated subsidiaries | (20,625 | ) | (93,446 | ) | — | |||
| Net Income | $ 7,359,799 | $ 8,140,105 | $ 7,729,211 | |||||
| Basic Earnings per Share | $ 1.15 | $ 1.15 | $ 1.03 | |||||
| Diluted Earnings per Share | $ 1.12 | $ 1.11 | $ 0.99 | |||||
| Years end June 30, | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| 2000 | 1999 | 1998 | |||||||
| Cash flows from operating activities | |||||||||
| Net Income | $ 7,359,799 | $ 8,140,105 | $ 7,729,211 | ||||||
| Adjustments to reconcile net income to net cash provided by operating activities | |||||||||
| Depreciation | 1,047,013 | 1,135,772 | 969,042 | ||||||
| Amortization and accretion | 35,562 | 344,464 | 381,801 | ||||||
| Increase (decrease) in accrued federal income taxes | 1,317,826 | (1,323,643 | ) | (487,987 | ) | ||||
| Deferred federal income taxes | 1,357,000 | 1,593,000 | 261,000 | ||||||
| Net gain on sale of securities | (45,574 | ) | (203,317 | ) | (246,473 | ) | |||
| Gain on sale of loans | (234,162 | ) | (720,153 | ) | (134,211 | ) | |||
| Loans originated for sale | (14,904,923 | ) | (30,855,271 | ) | (4,988,080 | ) | |||
| Proceeds from sales of loans originated for sale | 15,409,785 | 31,128,924 | 5,077,069 | ||||||
| Provision for loan losses | 475,763 | 494,438 | 565,521 | ||||||
| Federal Home Loan Bank stock dividend | (351,600 | ) | (329,700 | ) | (304,700 | ) | |||
| (Increase) decrease in interest receivable | 65,489 | (542,095 | ) | (355,161 | ) | ||||
| Tax benefits related to employee plans | 188,174 | 295,643 | 152,987 | ||||||
| Other, net | 497,362 | 1,205,683 | 1,043,628 | ||||||
| Net cash provided by operating activities | 12,217,514 | 10,363,850 | 9,663,647 | ||||||
| Cash flows from investing activities | |||||||||
| Proceeds from maturity of securities available for sale | 3,020,000 | 10,697,077 | 16,727,605 | ||||||
| Proceeds from sales of securities available for sale | 15,451,261 | 35,698,278 | 41,929,782 | ||||||
| Purchase of securities available for sale | (742,661 | ) | (144,809,607 | ) | (99,324,173 | ) | |||
| Purchase of Federal Home Loan Bank stock | — | — | (112,300 | ) | |||||
| Principal receipts on securities available for sale | 8,773,241 | 26,370,997 | 29,165,393 | ||||||
| Net (increase) decrease in loans | (30,559,564 | ) | 29,154,107 | (21,563,866 | ) | ||||
| Purchase of office properties and equipment | (1,003,087 | ) | (554,064 | ) | (1,136,981 | ) | |||
| (Increase) decrease in investment in real estate development joint venture | 364,084 | (128,639 | ) | (766,241 | ) | ||||
| Purchase of insurance agency intangible assets | (690,000 | ) | — | — | |||||
| Other, net | (278,611 | ) | (59,115 | ) | (6,017 | ) | |||
| Net cash used in investing activities | (5,665,337 | ) | (43,630,966 | ) | (35,086,798 | ) | |||
| Cash flows from financing activities | |||||||||
| Net increase in deposits | (11,264,389 | ) | 13,371,715 | (6,138,251 | ) | ||||
| Net increase (decrease) in short-term securities sold under agreements to repurchase | 320,158 | (6,470,576 | ) | 5,781,075 | |||||
| Net increase (decrease) in long-term securities sold under agreements to repurchase | — | — | 26,300,000 | ||||||
| Net decrease in short-term borrowed funds | (5,300,000 | ) | (11,185,000 | ) | 6,530,000 | ||||
| Proceeds from long-term borrowed funds | 29,280,000 | 60,000,000 | — | ||||||
| Decrease in amounts due to bank | |||||||||
| Net increase in advance payments by borrowers for taxes and insurance | (10,000,000 | ) | — | — | |||||
| Treasury stock purchases | (7,072,998 | ) | (17,675,478 | ) | (5,239,911 | ) | |||
| Dividends paid | (3,103,246 | ) | (3,102,129 | ) | (2,900,750 | ) | |||
| Proceeds from stock options exercised | 190,209 | 559,294 | 336,930 | ||||||
| Increase ( decrease) in amounts due to bank | (154,055 | ) | (368,059 | ) | 695,939 | ||||
| Other, net | 112,155 | (465,027 | ) | 125,546 | |||||
| Net cash provided by (used in) financing activities | (6,992,166 | ) | 34,664,740 | 25,490,578 | |||||
| Net increase (decrease) in cash and cash equivalents | (439,989 | ) | 1,397,624 | 67,427 | |||||
| Cash and cash equivalents | |||||||||
| Beginning of period | 11,472,806 | 10,075,182 | 10,007,755 | ||||||
| End of period | $11,032,817 | $11,472,806 | $10,075,182 | ||||||
| Supplemental disclosure of cash flow information: | |||||||||
| Cash payments of interest expense | $28,328,248 | $25,377,616 | $25,095,614 | ||||||
| Cash payments of income taxes | 185,000 | 3,475,000 | 4,150,000 | ||||||
| Supplemental schedule of non-cash investing activities | |||||||||
| Real estate acquired through foreclosure | $ 961,969 | $ 936,116 | $ 643,725 | ||||||
| Real estate sales gy loan issuance | 730,392 | 742,543 | 543,500 | ||||||
| September 30, 2000 | June 30, 2000 | |||||
|---|---|---|---|---|---|---|
| ASSETS | ||||||
| Cash | $ 4,944,064 | $ 4,543,181 | ||||
| Interest-bearing deposits | 6,374,706 | 6,489,636 | ||||
| TOTAL CASH AND CASH EQUIVALENTS | 11,318,770 | 11,032,817 | ||||
| Securities available for sale | 158,422,417 | 158,136,350 | ||||
| Loans receivable | 492,509,792 | 484,516,963 | ||||
| Loans available for sale | 354,275 | 170,800 | ||||
| Interest and dividends receivable on securities | 1,848,583 | 1,675,487 | ||||
| Interest receivable on loans | 3,090,150 | 2,920,810 | ||||
| Federal Home Loan Bank stock, at cost | 5,465,400 | 5,192,800 | ||||
| Office properties and equipment, net | 7,079,152 | 7,172,439 | ||||
| Other assets | 3,948,886 | 3,656,928 | ||||
| TOTAL ASSETS | $684,037,425 | $674,475,394 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||
| Liabilities: | ||||||
| Deposits | $439,366,391 | $446,048,790 | ||||
| Securities sold under agreements to repurchase: | ||||||
| Short-term | 7,907,312 | 6,937,905 | ||||
| Long-term | 51,300,000 | 51,300,000 | ||||
| Borrowed funds: | ||||||
| Short-term | 28,002,400 | 17,500,000 | ||||
| Long-term | 79,280,000 | 79,280,000 | ||||
| Advance payments by borrowers for taxes and insurance | 1,084,078 | 2,347,744 | ||||
| Other liabilities | 10,350,904 | 5,865,465 | ||||
| TOTAL LIABILITIES | 617,291,085 | 609,279,904 | ||||
| Commitments | ||||||
| Stockholders’ equity: | ||||||
| Preferred stock, $.01 par value: | ||||||
| Authorized 5,000,000 shares; none outstanding | — | — | ||||
| Common stock, $.01 par value: | ||||||
| Authorized 15,000,000 shares; issued 7,589,366 shares, outstanding 6,621,913 shares and 6,720,115 shares, respectively at September 30, 2000 and June 30, 2000 | 75,894 | 75,894 | ||||
| Additional paid-in capital | 38,579,010 | 38,456,297 | ||||
| Retained earnings, substantially restricted | 51,197,641 | 50,500,226 | ||||
| Treasury stock, at cost, 967,453 shares at September 30, 2000 and 869,251 shares at June 30, 2000 | (16,068,892 | ) | (14,865,169 | ) | ||
| Accumulated other comprehensive loss | (4,569,761 | ) | (6,415,886 | ) | ||
| Common stock purchased by: | ||||||
| Employee stock ownership and 401(k) plan | (2,185,762 | ) | (2,274,082 | ) | ||
| Recognition and retention plans | (281,790 | ) | (281,790 | ) | ||
| TOTAL STOCKHOLDERS’ EQUITY | 66,746,340 | 65,195,490 | ||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $684,037,425 | $674,475,394 | ||||
| Three months ended September 30, | ||||||
|---|---|---|---|---|---|---|
| 2000 | 1999 | |||||
| NET CASH PROVIDED BY OPERATING ACTIVITIES | $ 4,530,484 | $ 4,985,879 | ||||
| CASH FLOWS FROM INVESTING ACTIVITIES | ||||||
| Proceeds from maturity of securities available for sale | 124,124 | 1,000,000 | ||||
| Proceeds from sales of securities available for sale | — | 13,820,146 | ||||
| Purchase of securities available for sale | — | (556,813 | ) | |||
| Principal receipts on securities available for sale | 2,348,554 | 2,847,645 | ||||
| Purchase of Federal Home Loan Bank stock | (177,400 | ) | — | |||
| Net increase in loans | (8,330,111 | ) | (6,692,300 | ) | ||
| Purchase of office properties and equipment | (165,825 | ) | (526,854 | ) | ||
| Other, net | (38,018 | ) | 85,253 | |||
| NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES | (6,238,676 | ) | 9,977,077 | |||
| CASH FLOWS FROM FINANCING ACTIVITIES | ||||||
| Net decrease in deposits | (6,651,486 | ) | (11,513,501 | ) | ||
| Net increase (decrease) in short-term securities sold under agreements to repurchase | 969,407 | (2,671 | ) | |||
| Net increase in short-term borrowed funds | 10,502,400 | 2,103,000 | ||||
| Decrease in advance payments by borrowers for taxes and insurance | (1,263,666 | ) | (1,099,886 | ) | ||
| Treasury stock purchases | (1,207,938 | ) | (3,092,276 | ) | ||
| Dividends paid | (783,148 | ) | (738,614 | ) | ||
| Proceeds from stock options exercised | 2,750 | 35,930 | ||||
| Other, net | 425,826 | (540,081 | ) | |||
| NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES | 1,994,145 | (14,848,099 | ) | |||
| NET INCREASE IN CASH AND CASH EQUIVALENTS | 285,953 | 114,857 | ||||
| CASH AND CASH EQUIVALENTS | ||||||
| Beginning of period | 11,032,817 | 11,472,806 | ||||
| End of period | $11,318,770 | $11,587,663 | ||||
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||||||
| Cash payments of interest expense | $ 5,877,428 | $ 5,292,963 | ||||
| Loans originated for sale | (5,084,170 | ) | (4,014,385 | ) | ||
| Proceeds from sales of loans originated for sale | 5,011,607 | 4,171,126 | ||||
| Three months ended September 30, | ||||||
|---|---|---|---|---|---|---|
| 2000 | 1999 | |||||
| INTEREST INCOME | ||||||
| Mortgage loans | $8,683,903 | $8,185,470 | ||||
| Consumer and other loans | 1,625,494 | 1,340,578 | ||||
| Securities available for sale | 2,513,722 | 2,769,955 | ||||
| Federal Home Loan Bank stock | 100,567 | 90,010 | ||||
| Other interest-earning assets | 3,301 | 19,514 | ||||
| TOTAL INTEREST INCOME | 12,926,987 | 12,405,527 | ||||
| INTEREST EXPENSE | ||||||
| Deposits | 5,164,947 | 4,861,712 | ||||
| Securities sold under agreements to repurchase: | ||||||
| Short-term | 127,539 | 88,045 | ||||
| Long-term | 890,110 | 747,192 | ||||
| Borrowed funds: | ||||||
| Short-term | 391,152 | 328,287 | ||||
| Long-term | 1,308,891 | 787,807 | ||||
| TOTAL INTEREST EXPENSE | 7,882,639 | 6,813,043 | ||||
| NET INTEREST INCOME | 5,044,348 | 5,592,484 | ||||
| Provision for loan losses | 201,677 | 101,062 | ||||
| NET INTEREST INCOME AFTER | ||||||
| PROVISION FOR LOAN LOSSES | 4,842,671 | 5,491,422 | ||||
| NONINTEREST INCOME | ||||||
| Service charges | 324,557 | 255,161 | ||||
| Gain on sale of securities | 0 | 1,309 | ||||
| Gain on sale of loans | 110,912 | 59,791 | ||||
| Other | 306,430 | 150,351 | ||||
| TOTAL NONINTEREST INCOME | 741,899 | 466,612 | ||||
| NONINTEREST EXPENSE | ||||||
| Salaries and employee benefits | 1,770,190 | 1,656,457 | ||||
| Net occupancy and equipment | 500,623 | 515,550 | ||||
| Insurance and bonding | 72,750 | 115,891 | ||||
| State and local taxes | 216,989 | 250,208 | ||||
| Other | 897,745 | 797,367 | ||||
| TOTAL NONINTEREST EXPENSE | 3,458,297 | 3,335,473 | ||||
| INCOME BEFORE INCOME TAXES | ||||||
| AND MINORITY INTEREST | 2,126,273 | 2,622,561 | ||||
| INCOME TAX EXPENSE | ||||||
| Federal | 646,000 | 781,000 | ||||
| State | 0 | 0 | ||||
| Minority interest in loss of consolidated subsidiaries | (290 | ) | (1,857 | ) | ||
| NET INCOME | $1,480,563 | $1,843,418 | ||||
| BASIC EARNINGS PER SHARE | $ 0.24 | $ 0.28 | ||||
| DILUTED EARNINGS PER SHARE | $ 0.23 | $ 0.27 | ||||
| Year ended June 30, 2000 | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Historical First Place | Historical FFY Financial | Pro Forma Adjustments Dr (Cr) | Pro Forma Combined | ||||||||
| (Dollars in thousands, except for per share data) | |||||||||||
| Interest Income | $58,506 | $49,796 | $ (597 | ) | $108,899 | ||||||
| Interest expense | 32,657 | 28,123 | 123 | 60,903 | |||||||
| Net interest income | 25,849 | 21,673 | (474 | ) | 47,996 | ||||||
| Provision for loan losses | 2,294 | 476 | 2,770 | ||||||||
| Net interest income after provision for loan losses | 23,555 | 21,197 | (474 | ) | 45,226 | ||||||
| Noninterest income | 2,447 | 2,025 | 4,472 | ||||||||
| Noninterest expense | 15,890 | 12,835 | (3,510 | ) | 25,215 | ||||||
| Income before income taxes and minority interest | 10,112 | 10,387 | (3,984 | ) | 24,483 | ||||||
| Income tax expense | 3,298 | 3,048 | 1,523 | 7,869 | |||||||
| Minority interest in loss of consolidated subsidiaries | (21 | ) | (21 | ) | |||||||
| Net income | $ 6,814 | $ 7,360 | $(2,461 | ) | $ 16,635 | ||||||
| Earnings per share: | |||||||||||
| Basic | $ 0.75 | $ 1.15 | |||||||||
| Diluted | $ 0.75 | $ 1.12 | |||||||||
| Pro forma earnings per share | |||||||||||
| Basic | $ 1.05 | ||||||||||
| Diluted | $ 1.03 | ||||||||||
| Quarter ended September 30, 2000 | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| Historical First Place | Historical FFY Financial | Pro Forma Adjustments Dr (Cr) | Pro Forma Combined | ||||||
| (Dollars in thousands, except for per share data) | |||||||||
| Interest Income | $19,001 | $12,927 | $(149 | ) | $32,077 | ||||
| Interest expense | 12,479 | 7,882 | 31 | 20,392 | |||||
| Net interest income | 6,522 | 5,045 | (119 | ) | 11,686 | ||||
| Provision for loan losses | 300 | 202 | 502 | ||||||
| Net interest income after provision for loan losses | 6,222 | 4,843 | (119 | ) | 11,184 | ||||
| Noninterest income | 1,125 | 742 | 1,867 | ||||||
| Noninterest expense | 4,604 | 3,458 | (877 | ) | 7,185 | ||||
| Income before income taxes and minority interest | 2,743 | 2,127 | (996 | ) | 5,866 | ||||
| Income tax expense | 849 | 646 | 381 | 1,876 | |||||
| Minority interest in loss of consolidated subsidiaries | — | — | |||||||
| Net income | $ 1,894 | $ 1,481 | $(615 | ) | $ 3,990 | ||||
| Earnings per share: | |||||||||
| Basic | $ 0.21 | $ 0.24 | |||||||
| Diluted | $ 0.21 | $ 0.23 | |||||||
| Pro forma earnings per share | |||||||||
| Basic | $ 0.26 | ||||||||
| Diluted | $ 0.25 | ||||||||
| FIRST PLACE FINANCIAL CORP. | |
| March 9, 2001 | By: /s/ Steven R. Lewis |
| Steven R. Lewis Chief Executive Officer |
