STATEFED FINANCIAL CORPORATION519 Sixth AvenueDes Moines, Iowa 50309| For Further Information Contact: | FOR IMMEDIATE RELEASE |
| John F. Golden, Chairman of the Board | Date: November 7, 2000 |
StateFed Financial Corporation
519 Sixth Avenue
Des Moines, Iowa 50309 | |
| Phone: (515) 282-0236 | |
STATEFED FINANCIAL CORPORATIONANNOUNCES FIRST QUARTER EARNINGS Des Moines, Iowa (NASDAQ: "SFFC") ---- StateFed Financial Corporation, the parent company for State Federal Savings and Loan Association of Des Moines, today announced financial results for the quarter ended September 30, 2000. For the three-month period ended September 30, 2000, the company reported net income of $324,100 as compared to $245,200 for the same period in 1999, an increase of $78,900, or 32.2%. The increase in net earnings was primarily due to an increase in net interest income of $179,300, partially offset by a decrease in non-interest income of $6,400, an increase in non-interest expense of $54,500, and an increase in income tax expense of $39,500. The net interest income increased $179,300 due to an increase of $346,000 in interest income primarily due to an increase of loans receivable and a slight increase in average loan interest rates, offset by an increase of $166,700 due to the additional funds borrowed from the Federal Home Loan Bank. The $54,500 increase in non-interest expense was due primarily to the expenditure of $45,000 in legal fees due to the proxy fight.
At September 30, 2000, the company had total assets of $102.8 million and total liabilities of $85.9 million, compared to total assets of $100.7 million and total liabilities of $84.0 million at June 30, 2000. The increase in total assets for the three month period ending September 30, 2000 of $2.1 million was due to an increase in loans receivable of $3.0 million, an increase in office property and equipment of $403,300, and an increase in Federal Home Loan Bank stock of $98,800, partially offset a decrease in cash and amounts due from depository institutions of $1.2 million, a decrease in investment securities of $247,600, and a decrease in real estate held for investment of $15,700.
When used in this press release or other public shareholder communications, or in oral statements made with the approval of an authorized executive officer, the words or phrases "will likely result," "are expected to," "will continue," "is anticipated," "estimate," "project," "significantly" or similar expressions are intended to identify "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. The Company wishes to caution readers not to place undue reliance on any forward-looking statements, which speak only as of the date made, and to advise readers that various factors including regional and national economic conditions, changes in levels of market interest rates, credit risks of lending activities and competitive and regulatory factors could affect the Bank's financial performance and could cause the Company's actual results for future periods to differ materially from those anticipated or projected.
The Company does not undertake, and specifically disclaims, any obligation to publicly release the result of any revisions which may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.
ContinuedNEXT PAGESTATEFED FINANCIAL CORPORATIONCONSOLIDATED STATEMENTS OF FINANCIAL CONDITIONSeptember 30, 2000 and June 30, 2000| ASSETS | (Unaudited) | |
| September 30, 2000
| June 30, 2000
|
| Cash and amounts due from depository institutions | $ 1,324,061 | $ 2,477,494 |
| Investments in certificates of deposit | $ 495,568 | $ 495,692 |
| Investment securities | $ 1,983,718 | $ 2,231,274 |
| Loans receivable, net | $ 89,562,334 | $ 86,572,585 |
| Real estate acquired for development | $ 156,620 | $ 156,614 |
| Real estate held for investment, net | $ 2,160,043 | $ 2,175,785 |
| Property acquired in settlement of loans | $ 1,334,435 | $ 1,337,847 |
| Office property and equipment, net | $ 3,368,979 | $ 2,965,659 |
| Federal Home Loan Bank stock, at cost | $ 1,563,400 | $ 1,464,600 |
| Accrued interest receivable | $ 611,530 | $ 573,293 |
| Other assets | $ 247,553
| $ 233,936
|
| TOTAL ASSETS | $102,808,241
========== | $100,684,779
========== |
| | | |
| LIABILITIES AND STOCKHOLDERS' EQUITY | | |
| Liabilities: | | |
| Deposits | $ 53,789,298 | $ 53,648,118 |
| Advances from Federal Home Loan Bank | $ 31,259,756 | $ 29,283,906 |
| Advances from borrowers for taxes and insurance | $ -- | $ 353,743 |
| Accrued interest payable | $ 151,462 | $ 140,243 |
| Dividends payable | $ 113,295 | $ 113,220 |
| Income taxes: current and deferred | $ 426,367 | $ 296,992 |
| Other liabilities | $ 170,511
| $ 198,689
|
| TOTAL LIABILITIES | $ 85,910,689 | $ 84,034,911 |
| Stockholders' equity: | | |
| Common stock | $ 17,810 | $ 17,810 |
| Additional paid-in capital | $ 8,556,369 | $ 8,546,501 |
| Unearned compensation - restricted stock awards | $ (189,926) | $ (205,761) |
| Unrealized loss on investments | $ (122,101) | $ (124,579) |
| Treasury stock | $(2,354,214) | $(2,362,921) |
| Retained earnings - substantially restricted | $ 10,989,614
| $ 10,778,818
|
| TOTAL STOCKHOLDERS' EQUITY | $ 16,897,552
| $ 16,649,868
|
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY |
$102,808,241
========== |
$100,684,779
========== |
NEXT PAGE | 1st Quarter |
| September 30 |
| 2000
| 1999
|
| OPERATIONS DATA | | |
| | | |
| Total interest income | $2,009,467 | $1,663,480 |
| | | |
| Total interest expense | $1,131,477 | $ 964,800 |
| | | |
| Net interest income | $ 877,990 | $ 698,680 |
| | | |
| Provision for loan losses | $ 9,000 | $ 9,000 |
| | | |
| Net interest income after provision for loan losses | $ 868,990 | $ 689,680 |
| | | |
| Non-interest income: | | |
| Real estate operations | $ 127,745 | $ 136,084 |
| | | |
| Other non-interest income | $ 28,760 | $ 26,794 |
| | | |
| Total non-interest income | $ 156,505 | $ 162,878 |
| | | |
| Total non-interest expense | $ 540,618 | $ 486,118 |
| | | |
| Income before income taxes | $ 484,877 | $ 366,440 |
| | | |
| Income tax expense | $ 160,786 | $ 121,240 |
| | | |
| Net Income | $ 324,091 | $ 245,200 |
| | | |
| Earnings per share | $ 0.22 | $ 0.17 |
| | | |
| Diluted earnings per share | $ 0.22 | $ 0.16 |
