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 ended June 30, 1995, or
Transition Report Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
For the transition period from _______ to ___________
Commission File Number 0-12216
OLD KENT FINANCIAL CORPORATION
(Exact name of registrant as specified in its charter)
Michigan 38-1986608
(State of Incorporation) (I.R.S. Employer Identification Number)
One Vandenberg Center
Grand Rapids, Michigan 49503
(Address of principal executive (Zip Code)
Registrant's telephone number, including a(616) 771-5000
Indicate by check mark whether the Registrant (1) has 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 periods 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
The number of shares outstanding of the registrant's Common stock, par value
of $1, as of July 31, 1995 was 43,170,418 shares.
Exhibit Index on Page 14
INDEX
OLD KENT FINANCIAL CORPORATION
PART I FINANCIAL INFORMATION
Item 1. Financial Statements (unaudited)
Consolidated Balance Sheets as of June 30, 1995
and December 31, 1994
Consolidated Statements of Income for the three
and six months ended June 30, 1995 and 1994
Consolidated Statements of Cash Flows for the
six months ended June 30, 1995 and 1994
Notes to consolidated financial statements
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations
PART II. OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K
SIGNATURES
OLD KENT FINANCIAL CORPORATION AND SUBSIDIARIES
Consolidated Balance Sheets (Unaudited)______________________________________________________
June 30, December 31,
(dollars in thousands) 1995 1994
ASSETS:
Cash and due from banks........................................... $529,666 $486,281
Federal funds sold and resale agreements.......................... 486,107 28,727
Total cash and cash equivalents................................... 1,015,773 515,008
Interest-earning deposits......................................... 855 5,255
Trading account securities........................................ 3,261 10,651
Mortgages held-for-sale........................................... 324,345 189,989
Securities available-for-sale:
Collateralized mortgage obligations and other mortgage-backed
securities................................................. 262,181 406,422
Other securities............................................... 531,799 1,050,908
Total securities available-for-sale (amortized cost of
$800,203, and $1,518,208, respectively)...................... 793,980 1,457,330
Securities held-to-maturity:
Collateralized mortgage obligations and other mortgage-backed
securities................................................. 982,363 1,092,797
Other securities............................................... 939,869 990,695
Total securities held-to-maturity (market values of
$1,921,345 and $2,002,803, respectively)..................... 1,922,232 2,083,492
Loans............................................................. 7,491,863 6,854,849
Allowance for credit losses....................................... (175,351) (167,253)
Net loans......................................................... 7,316,512 6,687,596
Premises and equipment............................................ 173,703 171,815
Other assets...................................................... 381,305 356,587
Total Assets...................................................... $11,931,966 $11,477,723
LIABILITIES AND SHAREHOLDERS' EQUITY:
Liabilities:
Deposits:
Non-interest bearing........................................... $1,382,515 $1,449,460
Interest-bearing............................................... 7,745,782 7,599,218
Foreign deposits -- interest-bearing........................... 297,247 380,659
Total deposits............................................... 9,425,544 9,429,337
Short-term borrowed funds......................................... 1,306,801 1,009,650
Other liabilities................................................. 225,007 141,621
Long-term debt.................................................... 1,072 1,119
Total Liabilities................................................. 10,958,424 10,581,727
Shareholders' Equity:
Preferred stock: 25,000,000 shares authorized and unissued........ -- --
Common stock, $1 par value: 150,000,000 shares authorized;
43,109,990 and 43,178,291 shares issued and outstanding ........ 43,110 43,178
Capital surplus................................................... 136,708 141,246
Retained earnings................................................. 797,771 751,163
Valuation adjustment of securities available-for-sale............. (4,047) (39,591)
Total Shareholders' Equity........................................ 973,542 895,996
Total Liabilities and Shareholders' Equity....................... $11,931,966 $11,477,723
See accompanying notes to consolidated financial statements
OLD KENT FINANCIAL CORPORATION AND SUBSIDIARIES
Consolidated Statements of Income (Unaudited)____________________________________
For the Three Months For the Six Months
Ended June 30, Ended June 30,
(in thousands, except per share data) 1995 1994 1995 1994
Interest Income:
Interest and fees on loans.......................... $169,452 $120,005 $325,793 $225,532
Interest on mortgages available-for-sale............ 4,110 3,861 6,797 8,806
Interest on securities available-for-sale........... 16,271 20,844 39,104 43,447
Interest on securities held-to-maturity:
Taxable........................................... 29,108 34,830 59,658 68,910
Tax-exempt........................................ 3,250 3,296 6,522 6,585
Interest on deposits................................ 216 360 422 539
Interest on federal funds sold and resale agreements 6,236 822 8,934 1,491
Interest on trading account securities.............. 620 248 948 717
Total interest income............................... 229,263 184,266 $448,178 356,027
Interest Expense:
Interest on domestic deposits....................... 87,396 58,557 167,092 113,566
Interest on foreign deposits........................ 4,905 2,628 10,050 5,586
Interest on short-term borrowed funds............... 17,986 8,815 34,218 15,865
Interest on long-term debt.......................... 27 32 55 57
Total interest expense.............................. 110,314 70,032 211,415 135,074
Net Interest Income................................... 118,949 114,234 236,763 220,953
Provision for credit losses........................... 5,991 6,471 10,558 11,135
Net interest income after provision
for credit losses................................. 112,958 107,763 226,205 209,818
Other Income:
Trust income........................................ 10,638 10,732 20,964 21,044
Service charges on deposit accounts................. 10,144 9,161 19,292 17,261
Securities transactions............................. (30) 1,200 (167) 627
Credit card transaction revenue..................... 6,750 5,048 13,343 9,771
Mortgage banking gains.............................. 2,463 3,646 4,896 5,652
Mortgage servicing revenue.......................... 3,962 3,308 7,818 6,005
Nonrecurring and OREO income........................ 2,153 1,481 2,202 1,601
Other............................................... 9,509 7,801 18,260 15,396
Total other income.................................. 45,589 42,377 86,608 77,357
Other Expenses:
Salaries and employee benefits...................... 45,617 43,524 92,636 83,498
Occupancy expense................................... 6,569 7,059 13,795 13,803
Equipment expense................................... 6,043 5,670 12,039 11,073
FDIC Insurance...................................... 5,150 4,706 10,299 9,220
Interbank credit card transaction fees.............. 4,388 3,787 8,498 6,761
Nonrecurring and OREO expense....................... 1,275 0 1,275 --
Other expenses...................................... 32,880 30,308 65,933 58,602
Total other expenses................................ 101,922 95,054 204,475 182,957
Income Before Income Taxes............................ 56,625 55,086 108,338 104,218
Income taxes........................................ 19,232 18,233 36,242 34,474
Net Income............................................ $37,393 $36,853 $72,096 $69,744
Per Common Share:
Net income.......................................... $0.86 $0.85 $1.66 $1.62
Dividends........................................... $0.31 $0.29 $0.62 $0.58
Number of Common Shares Used to Calculate
Primary Income Per Share (in thousands)............. 43,438 43,460 43,387 43,117
See accompanying notes to consolidated financial statements.
OLD KENT FINANCIAL CORPORATION AND SUBSIDIARIES
Consolidated Statements of Cash Flows
Six months ended June 30 (in thousands) 1995 1994
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income.......................................................$ 72,096 $ 69,744
Adjustments to reconcile net income
to net cash provided by operating activities:
Provision for credit losses.............................. 10,558 11,135
Depreciation, amortization and accretion................. 19,506 18,754
Net gains on sales of assets............................. (4,617) (3,012)
Net decrease in trading account securities............... 8,657 31,657
Originations and acquisitions of mortgages held-for-sale. (878,124) (1,011,639)
Proceeds from sales of mortgages held-for-sale........... 746,231 1,346,088
Net change in other assets............................... (32,367) (17,775)
Net change in other liabilities.......................... 72,755 (47,470)
Net cash provided by operating activities........................ 14,695 397,482
CASH FLOWS FROM INVESTING ACTIVITIES:
Maturities and prepayments of securities available-for-sale...... 212,718 63,531
Proceeds from sales of securities available-for-sale............. 997,940 1,213,641
Purchases of securities available-for-sale....................... (492,054) (1,022,624)
Maturities and prepayments of securities held-to-maturity........ 183,800 399,564
Purchases of securities held-to-maturity......................... (22,910) (367,372)
Net change in interest-earning deposits.......................... 4,355 (6,582)
Net increase in loans............................................ (639,475) (473,770)
Purchases of leasehold improvements, premises and equipment, net. (12,778) (14,592)
Acquisition of businesses net of cash acquired................... - 23,763
Net cash provided by (used for) investing activities............. 231,596 (184,441)
CASH FLOWS FROM FINANCING ACTIVITIES:
Increase in time deposits........................................ 316,376 335,769
Decrease in demand and savings deposits.......................... (320,168) (334,480)
Increase in short-term borrowed funds............................ 290,901 55,930
Payments of long-term debt obligations........................... (47) (43)
Repurchases of common stock...................................... (8,305) (64,177)
Proceeds from common stock issuances............................. 2,483 2,562
Dividends paid to shareholders................................... (26,766) (24,503)
Net cash provided by (used for) financing activities............. 254,474 (28,942)
Net change in cash and cash equivalents.......................... 500,765 184,099
Cash and cash equivalents at beginning of year................... 515,008 513,272
Cash and cash equivalents at end of year.........................$ 1,015,773 $ 697,371
Supplemental disclosures of cash flow information:
Interest paid on deposits, short-term borrowings and
long-term debt...............................................$ 190,389 $ 133,744
Federal income taxes paid...................................... 40,603 37,702
See accompanying notes to consolidated financial statements.
OLD KENT FINANCIAL CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
June 30, 1995
NOTE A: BASIS OF PRESENTATION
The accompanying unaudited consolidated financial statements have been
prepared in accordance with generally accepted accounting principles for
interim financial information and with the instructions to Form 10-Q and Rule
10-01 of Regulation S-X. Accordingly, they do not include all of the
information and footnotes required by generally accepted accounting
principles for complete financial statements. In the opinion of management,
all adjustments (consisting of normal recurring accruals) considered necessary
for a fair presentation have been included. Operating results for the three
and six months ended June 30, 1995 are not necessarily indicative of the
results that may be expected for the year ended December 31, 1995. For
further information, refer to the consolidated financial statements and
footnotes thereto included in the Corporation's annual report on Form 10-K
for the year ended December 31, 1994.
Prior period's amounts included in these financial statements have been
reclassified to place them on a basis comparable with the current periods'
financial statements.
NOTE B: LOANS AND NONPERFORMING ASSETS
The following summarizes loans and nonperforming assets at the
dates indicated (dollars in thousands):
June 30, December 31,
Loans: 1995 1994
Commercial.............................. $1,824,111 $1,655,764
Real estate - Commercial............... 1,614,710 1,326,042
Real estate - Construction............. 208,143 215,213
Real estate - Residential mortgages.... 1,141,779 1,160,614
Real estate - Consumer home equity .... 593,746 561,975
Consumer................................ 1,772,872 1,722,134
Credit card loans....................... 169,723 102,252
Lease financing......................... 166,779 110,855
Total Loans............................. $7,491,863 $6,854,849
June 30, December 31,
Nonperforming assets (dollars in thousands) 1995 1994
Impaired loans (on nonaccrual status)....... $39,540 $54,576
Restructured loans.......................... 3,814 5,838
Other real estate owned..................... 9,738 12,366
Total nonperforming assets.................. $53,092 $72,780
OLD KENT FINANCIAL CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS -- Continued (Unaudited)
June 30, 1995
NOTE C: ALLOWANCE FOR CREDIT LOSSES
The following summarizes the changes in the allowance for credit losses
(in thousands of dollars):
For the six months
ended June 30,
Allowance for Credit Losses 1995 1994
Balance at January 1,............................. $167,253 $145,323
Allowances acquired with purchased loans........... 199 9,237
Provision for credit losses........................ 10,558 11,135
Gross loans charged-off............................ (9,520) (9,511)
Gross recoveries of loans previously charged-off... 6,861 7,211
Balance at end of period,.......................... $175,351 $163,395
NOTE D: SECURITIES AVAILABLE-FOR-SALE
The following summarizes amortized costs and estimated market values of securities
available-for-sale at the dates indicated (in thousands of dollars):
Carrying
Gross Gross Value
Amortized Unrealized Unrealized at Market
June 30, 1995: Cost Gains Losses Value
U.S. Treasury and federal agencies................. $ 509,179 $ 801 $ 3,943 $ 506,037
Collateralized mortgage obligations and
other mortgage-backed securities................. 262,181 1,820 4,901 259,100
Equity securities.................................. 28,843 0 0 28,843
Total securities available-for-sale................ $ 800,203 $2,621 $ 8,844 $ 793,980
December 31, 1994:
U.S. Treasury and federal agencies................. $1,054,962 $1,396 $30,178 $1,026,180
Collateralized mortgage obligations and
other mortgage-backed securities................. 439,904 78 33,560 406,422
Equity securities.................................. 23,342 1,386 0 24,728
Total securities available-for-sale................ $1,518,208 $2,860 $63,738 $1,457,330
NOTE E: SECURITIES HELD-TO-MATURITY
The following summarizes amortized costs and estimated market values of securities
held-to-maturity at the dates indicated (in thousands of dollars):
Gross Gross
Amortized Unrealized Unrealized Market
June 30, 1995: Cost Gains Losses Value
U.S. Treasury and federal agencies................ $ 725,110 $ 9,886 $ 4,981 $ 730,015
Collateralized mortgage obligations and
other mortgage-backed securities................ 982,364 9,347 19,638 972,073
State and political subdivision securities........ 214,758 5,914 1,415 219,257
Total securities held-to-maturity................. $1,922,232 $25,147 $26,034 $1,921,345
December 31, 1994:
U.S. Treasury and federal agencies................ $ 769,576 $ 2,409 $11,752 $ 760,233
Collateralized mortgage obliga
other mortgage-backed securities................ 1,092,797 1,590 72,355 1,022,032
State and political subdivision securities........ 221,119 3,645 4,226 220,538
Total securities held-to-maturity $2,083,492 $ 7,644 $88,333 $2,002,803
OLD KENT FINANCIAL 'CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS -- Continued (Unaudited)
June 30, 1995
NOTE F: BUSINESS COMBINATIONS
On February 1, 1995 Old Kent acquired First National Bank Corp., a bank
holding company headquarted in Mount Clemens, Michigan. The merger was
effected through the exchange of 1.08125 shares of Old Kent Common Stock
(2,636,221 total shares) for each outstanding share of First National Bank
Corp., common stock. The merger was accounted for as a pooling-of-interests.
Accordingly, the accompanying consolidated financial statements have been
restated to include the financial position and results of operations of
First National Bank Corp. prior to the merger.
NOTE G: ADOPTION OF SFAS NO. 122
In May, 1995, the Financial Accounting Standards Board (FASB) issued Statement
of Financial Accounting Standards (SFAS) No. 122, "Accounting for Mortgage
Servicing Rights, an amendment of FASB Statement No. 65." This Statement
requires recognizing as separate assets the rights to service mortgage loans
for others, however those servicing rights are acquired. The Statement also
requires assessing the capitalized mortgage servicing rights for impairment
based on the fair value of those rights. The provisions of this Statement
shall be applied prospectively in fiscal years beginning after December 15,
1995, and earlier application is encouraged. The corporation has adopted
the provisions of SFAS No. 122. The adoption did not have a material impact
on the corporation's financial position or results of operations.
NOTE H: CAPITAL STOCK
The board of directors of Old Kent Financial Corporation declared a 5% stock
dividend, payable on August 15, 1995, to shareholders of record on July 19,
1995. Per share amounts included in this report have not been adjusted to
reflect this dividend.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
The following is management's discussion and analysis of certain significant
factors which have affected the Registrant's financial condition and results
of operations during the periods included in the consolidated financial
statements included in this filing. The Registrant's form 10-Q for the
quarterly period ended March 31, 1995 is herein incorporated by reference.
RESULTS OF OPERATIONS
The Registrant's net income was $37,393,000 for the second quarter of 1995
compared to $36,853,000 for the same period in 1994. Second quarter net
income per share for 1995 was $.86, a 1.2% increase over last year's $.85.
Year-to-date net income was $72,096,000 compared to $69,744,000 a year ago
and earnings per share was $1.66, a 2.5% increase over last year's $1.62.
Total assets were $11.9 billion at quarter-end compared to total assets of
$10.9 billion at June 30, 1994. Return on average equity for the second
quarter of 1995 was 15.77% compared to 16.83% for the second quarter of 1994.
Return on assets was 1.28% for the second quarter of 1995 compared to 1.38%
for the second quarter of 1994.
The Registrant's net interest income for the second quarter of 1995 was
$118.9 million, a 4.1% increase over the $114.2 million recorded in the same
period of 1994. This increase primarily resulted from an 10.2% increase in
average interest-earning assets. The net interest margin of 4.43% for the
second quarter of 1995 compared to 4.70% for the second quarter of 1994.
The decrease in the net interest margin is primarily due to increased
borrowing costs.
The provision for credit losses was $6.0 million for the second quarter of
1995 and $6.5 million for the second quarter of 1994. The allowance for
credit losses as a percent of loans and leases outstanding was 2.34% at June
30, 1995 and 2.65% at June 30, 1994. Nonperforming assets as a percent of
total loans was .71% at June 30, 1995 and 1.13% at June 30, 1994. Net credit
losses were $1.8 million or .10% of average loans for the second quarter of
1995 compared to $1.7 million or .12% of average loans for the same period a
year ago.
Total other operating income, excluding security transactions and nonrecurring
items, increased 9.5% to $43.5 million during the second quarter of 1995 over
the same period a year ago. Merchant discount revenue on credit card
transactions increased 33.7% or $1.7 million, a result of increased volume
and improved pricing practices. Mortgage servicing revenue increased $.7
million or 19.8% during the second quarter of 1995 over the same period a
year ago. This reflects an increase of $1.5 billion in the Registrant's
third party mortgage servicing portfolio from a year ago. Service charges on
deposits increased 10.7% or $1.0 million, trust income decreased .9% and
mortgage banking gains decreased $1.2 million or 32.4%. The decrease in
mortgage banking gains was largely influenced by the effects of a rising
interest rate environment during the first half of 1995.
Non-recurring income of $2.1 million includes gains on sale of other real
estate owned of approximately $0.9 million, and recoveries of non-loan
receivables by the Registrant's subsidiary, Vanguard Financial Service
Corp., of approximately $1.2 million.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS (CONTINUED)
Total net securities losses for the second quarter of 1995 were $30,000
compared to gains of $1,200,000 for the same period of 1994.
Total operating expenses for the second quarter of 1995 increased 7.2% over
the same period of 1994. Salaries, wages and employee benefits increased
4.8% for the second quarter of 1995 over the second quarter of 1994. The
number of full-time equivalent employees decreased by 133 (2.5%) over a
year-ago to 5,243 at June 30, 1995. During the second quarter of 1995
compared to the same period a year ago, equipment and net occupancy expenses
decreased .9%, interbank credit card transaction expense increased 15.9%,
FDIC expenses increased 9.4%, and other expenses increased 8.5%. The
increase in operating expenses includes the partial-period effect of EdgeMark
Financial Corporation, acquired in May of 1994. The FDIC anticipates
decreasing premium rates during the last half of 1995 and if implemented, the
Registrant would realize substantial savings in FDIC premiums.
A nonrecurring charge of $1.3 million was incurred during the second quarter
of 1995. This represents an initial charge related to a re-engineering
program aimed at substantially reducing certain operating costs. The
Registrant intends to reduce personnel costs and to pursue other efficiency
opportunities as a means of achieving enduring profitability enhancements.
The Registrant expects to recognize additional charges of greater magnitudes
related to its re-engineering during the last six months of 1995. The timing
and amounts of these anticipated future charges, as well as the ensuing
profitability benefits are not estimable as of the filing date of this report.
Management expects that it will develop additional information regarding the
overall non-recurring charges associated with re-engineering certain
operations and the anticipated benefits by December 31, 1995.
BALANCE SHEET CHANGES
Total loans increased 9.3% or $637 million from year-end 1994. For the first
half of 1995, commercial loans grew at an annualized rate of 20% or $324
million and consumer loans grew at an annualized rate of 38% or $327 million.
As a result of increased loan demand, securities available-for-sale (excluding
valuation adjustment) and securities held-to-maturity, decreased $825 million
since year-end 1994. Other interest-earning assets increased $445 million
since year-end 1994, to total $490 million at June 30, 1995. Total interest-
earning assets (excluding securities available-for-sale valuation adjustment)
increased 3.2% or $338 million from December 31, 1994.
The Registrant sold approximately $332.1 million of mortgages held-for-sale
during the quarter. The Registrant's total mortgage servicing portfolio grew
35% from a year ago, to a balance of $5.7 billion at June 30, 1995. The
increase is primarily a result of a $981 million mortgage servicing portfolio
purchased in the second quarter of 1995.
Total deposits decreased $3.8 million from year-end 1994. Non-interest
bearing deposits decreased 4.6% or $67 million and interest-bearing deposits
increased .8% or $63 million. Short-term borrowed funds increased 29.4% or
$297 million from December 31, 1994.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS (CONTINUED)
LIQUIDITY AND CAPITAL RESOURCES
The maintenance of an adequate level of liquidity is necessary to ensure that
sufficient funds are available to meet customers' loan demand and deposit
withdrawals. The banking subsidiaries' liquidity sources consist of
securities available-for-sale, maturing loans and securities held-to-maturity,
and other short-term investments. Liquidity has also been obtained through
liabilities such as customer-related core deposits, funds borrowed,
certificates of deposit and public funds deposits.
Subsequent to June 30, 1995, in addition to its normal recurring sales of
mortgages held-for-sale, the Registrant intends to sell approximately $325
million of residential mortgage loans that had been classified as a component
of total loans on the accompanying balance sheets. As a result of these
sales, the Registrant expects to realize a gain of approximately $2.8 million.
This transaction was the result of the Registrant's ongoing management of its
liquidity. In addition, the Registrant is contemplating the sale of
approximately $250 million of consumer loans (collateralized by automobiles.)
This transaction would be effected via a sale and securitization, with the
retention of servicing rights by Old Kent. Management expects that this
transaction, if consumated, would be completed by September 30, 1995 and would
not have a material impact on the Corporation's financial condition or results
of operations.
At June 30, 1995, shareholders' equity was $974 million, compared to $896
million at December 31, 1994, an increase of $78 million, or 8.7%. Total
equity at June 30, 1995 was reduced by an after-tax unrealized loss of $4
million on securities available-for-sale. Shareholders' equity as a
percentage of total assets as of June 30, 1995 was 8.16%. The following
table represents the Registrant's consolidated regulatory capital position as
of June 30, 1995.
Regulatory capital at June 30, 1995
(in millions) Tier 1 Total
Leverage Risk-Based Risk-Based
Ratio Capital Capital
Actual capital $881.0 $884.7 $992.0
Required regulatory minimum capital 354.9 340.8 681.6
Capital in excess of requirements $525.4 $543.9 $310.4
Actual ratio 7.44% 10.38% 11.64%
Regulatory Minimum Ratio 3.00% 4.00% 8.00%
Ratio considered "well capitalized"
by regulatory agencies 5.00% 6.00% 10.00%
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS (CONTINUED)
The changes in book value per common share are shown in the table below.
Book value per common share, December 31, 1994 $20.75
Net income per common share for the six months
ended June 30, 1995 1.66
Dividends per common share (.62)
Net change in valuation adjustment of securities
available-for-sale .82
Other changes (.03)
Book value per common share, June 30, 1995 $22.58
PART II OTHER INFORMATION
Item 1. Legal Proceedings.
This item is inapplicable or is omitted pursuant to the
instructions to Part II.
Item 2. Changes in Securities.
This item is inapplicable or is omitted pursuant to the
instructions to Part II.
Item 3. Defaults on Senior Securities.
This item is inapplicable or is omitted pursuant to the
instructions to Part II.
Item 4. Submission of Matters to a Vote of Security Holders.
This item is inapplicable or is omitted pursuant to the
instructions to Part II.
Item 5. Other Information.
This item is inapplicable or is omitted pursuant to the
instructions to Part II.
Item 6. Exhibits and Reports on Form 8-K.
a.) Exhibit 10 - (a) Executive Stock Option Plan of 1986
(as amended)
(b) Stock Option Incentive Plan of 1992
(as amended)
Exhibit 11 - Statement Re: Computation of Earnings Per Share
Exhibit 27 - Financial Data Schedules
b.) Reports on Form 8-K
No Form 8-K was filed during the second quarter of 1995.
EXHIBIT INDEX
Exhibit Page Number
10 (a) Executive Stock Option Plan of 1986 (as amended) 18
(b) Stock Option Incentive Plan of 1992 (as amended)
11 Statement of Earnings per Share 16
27 Financial Data Schedule 17
SIGNITURES
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 thereunto duly authorized.
OLD KENT FINANCIAL CORPORATION
/s/ David J. Wagner
Date: August 14, 1995 David J. Wagner
President and
Chief Executive Officer
/s/ Richard W. Wroten
Date: August 14, 1995 Richard W. Wroten
Executive Vice President and
Chief Financial Officer