UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM 10-Q
x QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period endedMar. 31, 2011
o TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT
For the transition period from to
Commission file Number00-16934
BOL BANCSHARES, INC.
(Exact name of registrant as specified in its charter.)
| Louisiana | 72-1121561 |
| (State of incorporation) | (I.R.S. Employer Identification No.) |
300 St. Charles Avenue, New Orleans, La. 70130
(Address of principal executive offices)
(504) 889-9400
(Registrant’s telephone number)
Indicate by check mark whether the registrant (1) filed all reports required to be filed by section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.
| Large accelerated filer o | Accelerated filer o | |
| Non-accelerated filer o | Smaller reporting company x |
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No x
Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practical date: 179,145 SHARES AS OF May 15, 2011.
1
BOL BANCSHARES, INC. & SUBSIDIARY
| Page No. | |||
| PART I. Financial Information | |||
| Item 1. | Financial Statements | ||
| 3 | |||
| 4 | |||
| 5 | |||
| 6 | |||
| 7 | |||
| 11 | |||
| 13 | |||
| 13 | |||
| PART II. Other Information | |||
| 14 | |||
| 15 | |||
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
BOL BANCSHARES, INC.
| Mar. 31 | Dec. 31, | |||||||
| (Amounts in Thousands) | 2011 | 2010 | ||||||
| (Unaudited) | (Audited) | |||||||
| ASSETS | ||||||||
| Cash and Due from Banks | ||||||||
| Non-Interest Bearing Balances and Cash | $ | 2,838 | $ | 3,834 | ||||
| Federal Funds Sold | 16,700 | 14,950 | ||||||
| Certificates of Deposit | 3,953 | 4,203 | ||||||
| Investment Securities | ||||||||
| Securities Held to Maturity | 0 | 0 | ||||||
| Securities Available for Sale | 878 | 878 | ||||||
| Loans-Less Allowance for Loan Losses of $1,800 in 2011 and in 2010 | 58,270 | 60,236 | ||||||
| Property, Equipment and Leasehold Improvements (Net of Depreciation and Amortization) | 5,781 | 5,856 | ||||||
| Other Real Estate | 3,395 | 3,137 | ||||||
| Other Assets | 756 | 1,282 | ||||||
| TOTAL ASSETS | $ | 92,571 | $ | 94,376 | ||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
| LIABILITIES | ||||||||
| Deposits: | ||||||||
| Non-Interest Bearing | 30,938 | 31,867 | ||||||
| NOW Accounts | 11,135 | 11,184 | ||||||
| Money Market Accounts | 4,047 | 3,948 | ||||||
| Savings Accounts | 19,785 | 20,157 | ||||||
| Time Deposits, $100,000 and over | 2,870 | 5,248 | ||||||
| Other Time Deposits | 10,153 | 8,173 | ||||||
| TOTAL DEPOSITS | 78,928 | 80,577 | ||||||
| Notes Payable | 1,144 | 1,144 | ||||||
| Other Liabilities | 676 | 882 | ||||||
| TOTAL LIABILITIES | 80,748 | 82,603 | ||||||
SHAREHOLDERS’ EQUITY | ||||||||
| Preferred Stock - Par Value $1 | ||||||||
| 1,808,911 Shares Issued and Outstanding in 2011 | ||||||||
| 1,810,296 Shares Issued and Outstanding in 2010 | 1,809 | 1,810 | ||||||
| Common Stock - Par Value $1 | ||||||||
| 179,145 Shares Issued and Outstanding in 2011 and 2010 | 179 | 179 | ||||||
| Accumulated Other Comprehensive Income | 513 | 513 | ||||||
| Capital in Excess of Par - Retired Stock | 196 | 195 | ||||||
| Undivided Profits | 9,075 | 8,777 | ||||||
| Current Earnings | 50 | 299 | ||||||
| TOTAL SHAREHOLDERS’ EQUITY | 11,823 | 11,773 | ||||||
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 92,571 | $ | 94,376 | ||||
The accompanying notes are an integral part of these financial statements.
BOL BANCSHARES, INC.
(Unaudited)
| Three Months Ended | ||||||||
| Mar 31 | Mar 31 | |||||||
| (Amounts in Thousands) | 2011 | 2010 | ||||||
| INTEREST INCOME | ||||||||
| Interest and Fees on Loans | $ | 1,478 | $ | 1,487 | ||||
| Interest on Investment Securities | 2 | 2 | ||||||
| Interest on Federal Funds Sold | 6 | 4 | ||||||
| Interest on Certificates of Deposit | 9 | 17 | ||||||
| Total Interest Income | 1,495 | 1,510 | ||||||
| INTEREST EXPENSE | ||||||||
| Interest on Deposits | 88 | 90 | ||||||
| Interest Expense on Notes Payable and Debentures | 18 | 19 | ||||||
| Total Interest Expense | 106 | 109 | ||||||
| NET INTEREST INCOME | 1,389 | 1,401 | ||||||
| Provision for Loan Losses | 20 | 75 | ||||||
| NET INTEREST INCOME AFTER PROVISION | ||||||||
| FOR LOAN LOSSES | 1,369 | 1,326 | ||||||
| NON-INTEREST INCOME | ||||||||
| Service Charges on Deposit Accounts | 109 | 112 | ||||||
| Cardholder & Other Credit Card Income | 101 | 101 | ||||||
| Other Operating Income | 39 | 314 | ||||||
| Total Non-interest Income | 249 | 527 | ||||||
| NON-INTEREST EXPENSE | ||||||||
| Salaries and Employee Benefits | 600 | 624 | ||||||
| Occupancy Expense | 224 | 268 | ||||||
| Communications | 57 | 47 | ||||||
| Outsourcing Fees | 346 | 319 | ||||||
| Loan & Credit Card Expense | 28 | 26 | ||||||
| Professional Fees | 82 | 54 | ||||||
| ORE Expense | 43 | 110 | ||||||
| Other Operating Expense | 156 | 13 | ||||||
| Total Non-interest Expense | 1,536 | 1,461 | ||||||
| Income Before Tax Provision | 82 | 392 | ||||||
| Provision For Income Taxes | 32 | 137 | ||||||
| NET INCOME | $ | 50 | $ | 255 | ||||
| Earnings Per Share of Common Stock | $ | 0.28 | $ | 1.42 | ||||
The accompanying notes are an integral part of these financial statements.
BOL BANCSHARES, INC.
(Unaudited)
| BOL BANCSHARES, INC. & SUBSIDIARY | ||||||||
| CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||||||
| Three Months Ended | ||||||||
| Mar. 31 | Mar. 31 | |||||||
| (Amounts in thousands) | 2011 | 2010 | ||||||
| NET INCOME | $ | 50 | $ | 255 | ||||
| OTHER COMPREHENSIVE INCOME, NET OF TAX | ||||||||
Unrealized Holding (Losses) Gains on Investment Securities Available-for-Sale, Arising During the Period | (0 | ) | 37 | |||||
| COMPREHENSIVE INCOME | $ | 50 | $ | 292 | ||||
The accompanying notes are an integral part of these financial statements.
BOL BANCSHARES, INC.
(Unaudited)
Three Months Ended March 31,
| (Amounts in thousands) | 2011 | 2010 | ||||||
| OPERATING ACTIVITIES | ||||||||
| Net Income | $ | 50 | $ | 255 | ||||
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: | ||||||||
| Provision for Loan Losses | 20 | 75 | ||||||
| Depreciation and Amortization Expense | 79 | 97 | ||||||
| Amortization of Investment Security Premiums | — | — | ||||||
| Decrease in Deferred Income Taxes | (122 | ) | (258 | ) | ||||
| Gain on Sale of Other Real Estate | — | (200 | ) | |||||
| Decrease in Other Assets | 268 | 172 | ||||||
Decrease in Other Liabilities and Accrued Interest | 175 | 247 | ||||||
| Net Cash Provided by Operating Activities | 470 | 388 | ||||||
| INVESTING ACTIVITIES | ||||||||
Proceeds from Held-to-Maturity Investment Securities Released at Maturity | — | 1,000 | ||||||
| Purchases of Held-to-Maturity Investment Securities | — | (1,000 | ) | |||||
| Purchases of Property and Equipment | (5 | ) | (11 | ) | ||||
| Proceeds from Sale of Other Real Estate | — | 200 | ||||||
| OREO Costs Capitalized | (258 | ) | (180 | ) | ||||
Decrease (Increase) in Certificate of Deposit with Other Banks | 250 | 752 | ||||||
| Net (Increase) in Loans | 1,946 | (224 | ) | |||||
| Net Cash Provided by (Used in) Investing Activities | 1,932 | 537 | ||||||
| FINANCING ACTIVITIES | ||||||||
Net Decrease in Non-Interest Bearing and Interest Bearing Deposits | (1,648 | ) | (1,415 | ) | ||||
| Preferred Stock Retired | (1 | ) | (15 | ) | ||||
| Net Cash Used in Financing Activities | (1,649 | ) | (1,430 | ) | ||||
| Net (Decrease) Increase in Cash and Cash Equivalents | 754 | (505 | ) | |||||
| Cash and Cash Equivalents - Beginning of Year | 18,784 | 17,591 | ||||||
| Cash and Cash Equivalents - End of Period | 19,538 | 17,086 | ||||||
The accompanying notes are an integral part of these financial statements.
BOL BANCSHARES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued)
(Unaudited)
| 2011 | 2010 | |||||||
| SUPPLEMENTAL DISCLOSURES: | ||||||||
| Cash Paid During the Year for Interest | $ | 80 | $ | 28 | ||||
| Cash Paid During the Year for Income Taxes | $ | 0 | $ | 0 | ||||
| Market Value Adjustment for Unrealized (Loss) Gain | $ | 0 | $ | 57 | ||||
The accompanying notes are an integral part of these financial statements.
Note A Summary of Accounting Policies
Basis of Presentation
The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, Bank of Louisiana (the Bank), and the Bank’s wholly owned subsidiary, BOL Assets, LLC. These consolidated financial statements were prepared in accordance with instructions for Form 10-Q and Regulation S-X, and do not include information or footnotes for a complete presentation of financial condition, results of operations, and cash flows in conformity with accounting principles generally accepted in the United States of America. However, in the opinion of management, all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the financial statements have been included.
Use of Estimates
In preparing consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the Consolidated Statements of Financial Condition and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the allowance for loan losses.
Cash and Cash Equivalents
Cash equivalents include amounts due from banks and federal funds sold. Generally, federal funds are purchased and sold for one-day periods.
Disclosure about Fair Value of Financial Instruments
The following methods and assumptions were used to estimate the fair value of each class of financial instruments for which it is practicable to estimate the value:
Cash and Short-Term Investments
For cash, the carrying amount approximates fair value. For short-term investments, fair values are calculated based upon general investment market interest rates for similar maturity investments.
Investment Securities
For securities and marketable equity securities held-for-investment purposes, fair values are based on quoted market prices.
Loan Receivables
For certain homogeneous categories of loans, such as residential mortgages, credit card receivables and other consumer loans, fair value is estimated using the current U.S. treasury interest rate curve, a factor for cost of processing and a factor for historical credit risk to determine the discount rate.
Deposit Liabilities
The fair value of demand deposits, savings deposits and certain money market deposits are calculated based upon general investment market interest rates for investments with similar maturities. The value of fixed maturity certificates of deposit is estimated using the U.S. treasury interest rate curve currently offered for deposits of similar remaining maturities.
Commitments to Extend Credit
The fair value of commitments is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present credit-worthiness of the counterparties.
The estimated fair values of the Company’s financial instruments at March 31, 2011 and December 31, 2010, are as follows (amounts in thousands):
| March 31, 2011 | ||||||||
| Carrying | Fair | |||||||
| Amount | Value | |||||||
| Financial Assets: | ||||||||
| Cash and Short-Term Investments | $ | 2,838 | $ | 2,838 | ||||
| Certificates of Deposit | 3,953 | 3,953 | ||||||
| Investment Securities | 878 | 878 | ||||||
| Loans | 60,070 | 59,922 | ||||||
| Less: Allowance for Loan Losses | (1,800 | ) | (1,800 | ) | ||||
| $ | 65,363 | $ | 65,791 | |||||
| Financial Liabilities: | ||||||||
| Deposits | $ | 78,928 | $ | 79,024 | ||||
| Unrecognized Financial Instruments: | ||||||||
| Commitments to Extend Credit | $ | 1,100 | $ | 1,100 | ||||
| Credit Card Arrangements | 13,400 | 13,400 | ||||||
| $ | 14,500 | $ | 14,500 | |||||
| December 31, 2010 | ||||||||
| Carrying | Fair | |||||||
| Amount | Value | |||||||
| Financial Assets: | ||||||||
| Cash and Short-Term Investments | $ | 3,834 | $ | 3,834 | ||||
| Certificates of Deposit | 4,203 | 4,203 | ||||||
| Investment Securities | 878 | 878 | ||||||
| Loans | 62,036 | 62,054 | ||||||
| Less: Allowance for Loan Losses | (1,800 | ) | (1,800 | ) | ||||
| $ | 68,575 | $ | 69,169 | |||||
| Financial Liabilities: | ||||||||
| Deposits | $ | 80,577 | $ | 80,675 | ||||
| Unrecognized Financial Instruments: | ||||||||
| Commitments to Extend Credit | $ | 1,763 | $ | 1,763 | ||||
| Credit Card Arrangements | 14,626 | 14,626 | ||||||
Financial Instruments
On January 1, 2008, the Company adopted the FASB fair value guidance pertaining for all financial assets and liabilities and nonfinancial assets and liabilities that are recognized or disclosed at fair value in the financial statements on a recurring basis (at least annually). This guidance defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements.
The fair value guidance defines fair value as the price that would be received upon sale of an asset or paid upon transfer of a liability in an orderly transaction between market participants at the measurement date and in the principal or most advantageous market for that asset or liability. The fair value should be calculated based on assumptions that market participants would use in pricing the asset or liability, not on assumptions specific to the entity. In addition, the fair value of liabilities should include consideration of non-performance risk including our own credit risk.
In addition to defining fair value, the fair value guidance expands the disclosure requirements around fair value and establishes a fair value hierarchy for valuation inputs. The hierarchy prioritizes the inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market. Each fair value measurement is reported in one of the three levels which is determined by the lowest level input that is significant to the fair value measurement in its entirety. These levels are:
● | Level 1 - Inputs are based upon unadjusted quoted prices for identical instruments traded in active markets |
| ● | Level 2 - Inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market or can be corroborated by observable market date for substantially the full term of the assets or liabilities |
| ● | Level 3 - Inputs are generally unobservable and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. The fair values are therefore determined using model-based techniques that include option pricing models, discounted cash flow models, and similar techniques. |
The following table presents the Company’s assets and liabilities measured at fair value on a recurring basis at March 31, 2011 (amounts in thousands):
| Level 1 | Level 2 | Level 3 | Net Balance | |||||||||||||
| Assets | ||||||||||||||||
| Equity Securities | $ | — | $ | 878 | $ | — | $ | 878 | ||||||||
| Total | $ | — | $ | 878 | $ | — | $ | 878 | ||||||||
Subsequent Events
In accordance with the subsequent events topic of the ASC, the Company evaluates events and transactions that occur after the balance sheet date for potential recognition in the financial statements. The effect of all subsequent events that provide additional evidence of conditions that existed at the balance sheet date are recognized in the financial statements as of March 31, 2011. In preparing these financial statements, the Company evaluated the events and transactions that occurred from March 31, 2011 through the date these financial statements were issued.
MARCH 31, 2011 COMPARED WITH DECEMBER 31, 2010
BALANCE SHEET
Total assets at March 31, 2011 were $92,571,000 compared to $94,376,000 at December 31, 2010, for a decrease of $1,805,000, or 1.91%. Federal Funds Sold increased $1,750,000 from $14,950,000 at December 31, 2010 to $16,700,000 at March 31, 2011. Certificates of Deposit decreased $250,000 from $4,203,000 at December 31, 2010 to $3,953,000 at March 31, 2011. Both the increase in Federal Funds Sold and the decrease in Certificates of Deposit were due to normal fluctuations. Investment securities remained the same. Total loans decreased $1,966,000, or 3.26%, to $58,270,000 at March 31, 2011 from $60,236,000 at December 31, 2010. This decrease in the loan portfolio is due mainly to a decrease in commercial real estate loans of $1,318,000, a decrease in construction loans of $1,558,000, a decrease in commercial loans of $82,000, a decrease in personal loans of $101,000, a decrease in overdrafts of $93,000 and a decrease of $358,000 in the credit card portfolio. The credit card portfolio decrease was largely attributable to (i) competition from other banks and non-traditional credit card issuers; (ii) tightening of the Bank’s underwriting standards; and (iii) normal attrition, in addition to the cyclical nature of the business. These decreases were partially offset by an increase in 1-4 residential loans of $1,472,000, an increase in second mortgage loans of $20,000, and increase in other real estate loans of $52,000.
Total deposits decreased $1,649,000, or 2.05%, to $78,928,000 at March 31, 2011 from $80,577,000 at December 31, 2010. Total non-interest bearing deposits decreased $929,000 and interest-bearing accounts decreased $720,000. The decrease of interest earning deposits was mainly attributable to a decrease in NOW accounts of $49,000, a decrease in savings accounts of $372,000 and a decrease of $398,000 in time deposits. These decreases were offset by an increase in money market accounts of $99,000.
Other liabilities decreased $206,000 from $882,000 at December 31, 2010 to $676,000 at March 31, 2011. This decrease is due mainly to a decrease in deferred taxes of $226,000 and a decrease in accrued interest of $4,000. These decreases were partially offset by an increase in other miscellaneous liability accounts of $24,000.
Shareholder’s Equity increased $50,000 from $11,773,000 at December 31, 2010 to $11,823,000 at March 31, 2011. This increase is due to net income recognized during the quarter.
THREE MONTHS ENDED MARCH 31, 2011 COMPARED WITH THREE MONTHS ENDED MARCH 31, 2010.
INCOME
The Company’s net income for the three months ending March 31, 2011 was $50,000, or $0.28 per share, a decrease of $205,000 from the Company’s total net income of $255,000, or $1.42 per share, for the same period last year.
Interest income decreased $15,000 for the three months ended March 31, 2011 over the same period last year. Interest in the loan portfolio decreased $9,000 due mainly to a decrease in the average interest rate of 10.20% at March 31, 2010 to 10.03% at March 31, 2010. Interest on Certificates of Deposit purchased decreased by $8,000 due to a decrease in the average balance of $3,981,000 with an average rate of 0.90% for 2011 as compared to an average balance of $4,929,000 with an average rate of 1.38% in 2010. The offset being an increase in Federal funds sold of $2,000 primarily due to an increase in the average balance of $1,908,000 as well as an increase in the interest rate paid of 0.04%. Interest income on investment securities remained the same for 2011.
Interest expense decreased $3,000 for the three months ended March 31, 2011 over the same period last year. Interest on Deposits decrease by $2,000, due primarily to a decrease in the average interest rate paid on interest-bearing deposits from .78% at March 31, 2010 to .73% for March 31, 2011 and interest paid on Notes Payable and Debentures decrease by $1,000 in 2011.
Net interest income decreased $12,000 for the three months ended March 31, 2011 compared to the same period last year. Our interest rate spread decreased from 6.72% at March 31, 2010 to 6.65% at March 31, 2011. The decrease in the rate spread was due to a decrease of .13% on the yield of interest-earning assets from 7.64% to 7.51% for the three months ended March 31, 2010 compared to the three months ended March 31, 2011, and a decrease of .06% on the average rate paid out on interest bearing liabilities from .92% paid for the three months ended March 31, 2010 as compared to .86% paid for the three months ended March 31, 2011.
Non-interest income decreased $278,000 for the three month period from $527,000 at March 31, 2010 to $249,000 at March 31, 2011. Income from Service charges on deposit accounts decreased $3,000 and other operating income decreased $275,000. This decrease in other operating income for 2011 is due primarily to the sale of ORE property for $200,000 and $75,000 received in dividend income during 2010.
Non-interest expense increased $75,000 for the three month period of 2011 as compared to the same period last year. Communications increased by $10,000, outsourcing fees increased $27,000, loan and credit card increase by $2,000, professional fees increased $28,000 and other operating increased $143,000. The increase in other operating expenses is due mainly to a 2010 reversal of a 2009 accrual recorded for possible additional expenses. The offset to the increase in non-interest expense is a decrease in salaries and employee benefits of $24,000, a decrease in occupancy expense of $44,000 and a decrease in ORE expense of $67,000 for repairs done to properties in the three month period of 2009.
The provision for income taxes decreased $105,000, from a provision of $137,000 at March 31, 2009 to a provision of $32,000 at March 31, 2010.
Management considers interest rate risk to be a market risk that could have a significant effect on the financial condition of the Company. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially adversely affect our business, financial condition, and/or operating results. Difficult conditions in the financial services markets may materially and adversely affect the business and results of operations of the Bank and the Company.
Dramatic declines in the housing market during the past year, along with falling home prices and increasing foreclosures and unemployment, have resulted in significant write downs of asset values by financial institutions, including government-sponsored entities and major commercial and investment banks. These write-downs, initially of mortgage-backed securities by spreading to credit default swaps and other derivative securities, have caused many financial institutions to seek additional capital, to merge with larger and stronger institutions, and, in some cases, to fail. Many lenders and institutional investors have reduced, and in some cases, ceased to provide funding to borrowers, including other financial institutions. This market turmoil and tightening of credit have led to an increased level of commercial and consumer delinquencies, lack of consumer confidence, increased market volatility, and widespread reduction of business activity generally, which could have a material adverse effect on our business and operations. A worsening of these conditions would likely exacerbate any adverse effects of these difficult market conditions on us and others in the financial institutions industry. However, the majority of small community banks such as the Bank of Louisiana, have strong reserve positions and are well capitalized.
The occurrence of catastrophic events such as hurricanes, tropical storms, earthquakes, windstorms, floods, severe winter weather, fires and other catastrophes could adversely affect our consolidated financial condition or results of operations. Unpredictable natural and other disasters could have an adverse effect on us in that such events could materially disrupt our operations or the ability or willingness of our customers to access financial services offered by us. The incidence and severity of catastrophic events could nevertheless reduce our earnings and cause volatility in our financial results for any fiscal quarter or year and have a material adverse effect on our financial condition or results of operation.
The Company is a customer-focused organization. Future growth is expected to be driven in a large part by the relationships maintained with customers. The Company has assembled an experienced management team, and has management development plans in place.
Under the supervision and with the participation of our management, we evaluated the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities and Exchange Act of 1934) as of the end of the period covered by this report. Based upon that evaluation, the certifying officers of the Company have concluded that, as of the end of the period covered by this report, our disclosure controls and procedures are effective to ensure that information required to be disclosed in the reports that the Company files or submits under the Securities and Exchange Act of 1934, is recorded, processed, summarized and reported within the applicable time periods specified by the Securities and Exchange Commission’s rules and forms. There has been no change in the Company’s internal control over financial reporting during the Company’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.
PART II - OTHER INFORMATION
| Exhibits | |
| 31.1 | Rule 13a-14(a)/15d-14(a) Certification of Principal Executive Officer |
| 31.2 | Rule 13a-14(a)/15d-14(a) Certification of Principal Financial Officer |
| 32 | Certification Pursuant to 18 U.S.C. Section 1350 |
BOL BANCSHARES, INC.
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| BOL BANCSHARES, INC. | ||
| May 16, 2011 | /s/G. Harrison Scott | |
| Date | G. Harrison Scott | |
| Chairman | ||
| (in his capacity as a duly authorized officer of the Registrant) | ||
| /s/Peggy L. Schaefer | ||
| Peggy L. Schaefer | ||
| Treasurer | ||
| (in her capacity as Chief Accounting Officer of the Registrant) |
15