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 ended June 30, 2009
/ / TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES
EXCHANGE ACT
For the transition period from to
Commission file Number 00-16934
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 __
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 __ Accelerated filer __
Non-accelerated filer __ 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 __ 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 July 31, 2009.
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BOL BANCSHARES, INC. & SUBSIDIARY
INDEX
Page No.
PART I. Financial Information
Item 1. Financial Statements
Consolidated Statements of Condition 3
Consolidated Statements of Income 4
Consolidated Statements of Comprehensive Income 5
Consolidated Statements of Cash Flow 6
Notes to Consolidated Financial Statements 7
Item 2. Management's Discussion and Analysis 9
Item 3. Quantitative and Qualitative Disclosures about Market Risk,
Catastrophic Events and Future Growth 11
Item 4. Submission of Matters to a Vote of Security Holders 12
Item 4T. Controls and Procedures 13
PART II. Other Information
Item 6. Exhibits 13
Signatures 14
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PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
BOL BANCSHARES, INC.
CONSOLIDATED STATEMENTS OF CONDITION
June 30 Dec. 31,
(Amounts in Thousands) 2009 2008
(Unaudited) (Audited)
ASSETS
Cash and Due from Banks
Non-Interest Bearing Balances and Cash $3,099 $3,104
Federal Funds Sold 12,675 25,375
Certificates of Deposit 4,900 0
Investment Securities
Securities Held to Maturity 2,000 2,001
Securities Available for Sale 814 823
Loans-Less Allowance for Loan Losses of $1,800
in 2009 and in 2008 58,605 55,608
Property, Equipment and Leasehold Improvements
(Net of Depreciation and Amortization) 6,320 6,516
Other Real Estate 1,259 1,153
Other Assets 835 926
TOTAL ASSETS $90,507 $95,506
LIABILITIES AND SHAREHOLDERS' EQUITY
LIABILITIES
Deposits:
Non-Interest Bearing 32,669 34,930
NOW Accounts 9,888 10,766
Money Market Accounts 3,062 3,667
Savings Accounts 21,406 22,717
Time Deposits, $100,000 and over 2,840 1,880
Other Time Deposits 6,514 7,018
TOTAL DEPOSITS 76,379 80,978
Notes Payable 1,543 1,543
Other Liabilities 1,102 1,533
TOTAL LIABILITIES 79,024 84,054
SHAREHOLDERS' EQUITY
Preferred Stock - Par Value $1
1,845,507 Shares Issued and Outstanding in 2009
1,997,360 Shares Issued and Outstanding in 2008 1,846 1,997
Common Stock - Par Value $1
179,145 Shares Issued and Outstanding in 2009 and 2008 179 179
Accumulated Other Comprehensive Income 471 477
Capital in Excess of Par - Retired Stock 189 158
Undivided Profits 8,641 7,917
Current Earnings 157 724
TOTAL SHAREHOLDERS' EQUITY 11,483 11,452
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $90,507 $95,506
The accompanying notes are an integral part of these financial statements.
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BOL BANCSHARES, INC.
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
Three months ended Six months ended
June 30 June 30
(Amounts in Thousands) 2009 2008 2009 2008
INTEREST INCOME
Interest and Fees on Loans $1,536 $1,655 $3,062 $3,382
Interest on Investment Securities 13 12 27 84
Interest on Federal Funds Sold 6 184 16 427
Interest on Certificates of Deposit 16 0 24 0
Total Interest Income 1,571 1,851 3,129 3,893
INTEREST EXPENSE
Interest on Deposits 89 188 182 407
Interest Expense on Notes Payable and Debentures
28 28 56 56
Total Interest Expense 117 216 238 463
NET INTEREST INCOME 1,454 1,635 2,891 3,430
Provision for Loan Losses 245 66 340 129
NET INTEREST INCOME AFTER PROVISION
FOR LOAN LOSSES 1,209 1,569 2,551 3,301
NON-INTEREST INCOME
Service Charges on Deposit Accounts 96 127 190 249
Cardholder & Other Credit Card Income 108 125 210 244
Other Operating Income 319 22 555 645
Total Non-interest Income 523 274 955 1,138
NON-INTEREST EXPENSE
Salaries and Employee Benefits 690 679 1,383 1,280
Occupancy Expense 260 294 529 538
Communications 60 61 113 116
Outsourcing Fees 371 398 730 785
Loan & Credit Card Expense 38 30 65 58
Professional Fees 58 74 111 118
ORE Expense 22 9 35 17
Other Operating Expense 201 175 387 349
Total Non-interest Expense 1,700 1,720 3,353 3,261
Income Before Tax Provision 32 123 153 1,178
(Benefit) Provision For Income Taxes (6) 48 (4) 407
NET INCOME $38 $75 $157 $771
Earnings Per Share of Common Stock $0.21 $0.42 $0.87 $4.31
The accompanying notes are an integral part of these financial statements.
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BOL BANCSHARES, INC.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(Unaudited)
Six Months Ended
June 30 June 30
(Amounts in thousands) 2009 2008
NET INCOME $157 $771
OTHER COMPREHENSIVE INCOME, NET OF TAX
Unrealized Holding Losses on Investment
Securities Available-for-Sale, Arising
During the Period (6) -
COMPREHENSIVE INCOME $151 $771
The accompanying notes are an integral part of these financial statements.
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BOL BANCSHARES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
Six Months Ended June 30
(Amounts in thousands) 2009 2008
OPERATING ACTIVITIES
Net Income $157 $771
Adjustments to Reconcile Net Income to Net
Cash Provided by Operating Activities:
Provision for Loan Losses 340 129
Depreciation and Amortization Expense 201 212
Amortization of Investment Security Premiums 1 (2)
Decrease in Deferred Income Taxes 3 -
Decrease (Increase) in Other Assets 92 (25)
Decrease in Other Liabilities
and Accrued Interest (431) (1,316)
Net Cash Provided by (Used in) Operating Activities 363 (231)
INVESTING ACTIVITIES
Proceeds from Held-to-Maturity Investment Securities
Released at Maturity - 8,000
Purchases of Held-to-Maturity Investment Securities - (2,000)
Purchases of Property and Equipment (4) (100)
Increase in Certificate of Deposit with Other Banks(4,900) -
Net (Increase) Decrease in Loans (3,444) 409
Net Cash (Used in) Provided by Investing Activities (8,348) 6,309
FINANCING ACTIVITIES
Net Decrease in Non-Interest Bearing
and Interest Bearing Deposits (4,599) (209)
Preferred Stock Retired (121) (56)
Net Cash Used in Financing Activities (4,720) (265)
Net (Decrease)Increase in Cash and Cash Equivalents(12,705) 5,813
Cash and Cash Equivalents - Beginning of Year 28,479 31,651
Cash and Cash Equivalents - End of Period $15,774 $37,464
The accompanying notes are an integral part of these financial statements.
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BOL BANCSHARES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued)
(Unaudited)
SUPPLEMENTAL DISCLOSURES: 2009 2008
Cash Paid During the Year for Interest $278 $652
Cash Paid During the Year for Income Taxes $0 $429
Market Value Adjustment for Unrealized Loss
on Securities Available-for-Sale ($9) $0
Additions to Other Real Estate Thru Foreclosure $106 $0
The accompanying notes are an integral part of these financial statements.
NOTES TO CONSOLIDATED 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.
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.
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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 are as
follows (amounts in thousands):
June 30, 2009
Carrying Fair
Amount Value
Financial Assets:
Cash and Short-Term Investments $3,099 $3,099
Certificates of Deposit 4,900 4,900
Investment Securities 2,823 2,814
Loans 60,405 60,714
Less: Allowance for Loan Losses (1,800) (1,800)
$69,427 $69,727
Financial Liabilities:
Deposits $76,379 $77,047
Unrecognized Financial Instruments:
Commitments to Extend Credit $1,973 $1,973
Credit Card Arrangements 20,560 20,560
$32,362 $32,362
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December 31, 2008
Carrying Fair
Amount Value
Financial Assets:
Cash and Short-Term Investments $3,104 $3,104
Investment Securities 2,824 2,849
Loans 57,408 57,540
Less: Allowance for Loan Losses (1,800) (1,800)
$61,536 $61,693
Financial Liabilities:
Deposits $80,977 $81,133
Unrecognized Financial Instruments:
Commitments to Extend Credit $3,763 $3,763
Credit Card Arrangements 28,599 28,599
$32,362 $32,362
ITEM 2 MANAGEMENT'S DISCUSSION AND ANALYSIS
Hurricane Katrina Disclosure
Insurance proceeds received for storm damages caused by Hurricane
Katrina have covered the damages sustained to the Bank's branches. Proceeds
in the contingency account exceeded the cost of repairs caused by Hurricane
Katrina. Accordingly, the remaining funds have been booked to income as the
repairs are completed. Of the 7 branch locations that were affected by
Hurricane Katrina, only the Carrollton branch was not reopened.
JUNE 30, 2009 COMPARED WITH DECEMBER 31, 2008
BALANCE SHEET
Total assets at June 30, 2009 were $90,507,000 compared to $95,506,000
at December 31, 2008, for a decrease of $4,999,000, or 5.23%. Federal Funds
Sold decreased $12,700,000 from $25,375,000 at December 31, 2008 to
$12,675,000 at June 30, 2009. This decrease was mainly attributable to the
purchase of Certificates of Deposit for a total of $4,900,000 with other
banks during the first six months of 2009 at a higher interest rate than
Federal Funds are paying. The remainder is due to having less available to
sell due to the balance sheet shrinking back to pre-Katrina levels.
Investment securities decreased $10,000 to $2,814,000 at June 30, 2009 from
$2,824,000 at December 31, 2008. Total loans increased $2,997,000 or 5.39%
to $58,605,000 at June 30, 2009 from $55,608,000 at December 31, 2008. This
increase in the loan portfolio is due mainly to an increase in 1-4
residential loans of $2,172,000, an increase in construction loans of
$1,173,000, an increase in commercial loans of $360,000, an increase in
personal loans of $107,000, and an increase in second mortgage loans of
$52,000. This was offset by a decrease in commercial real estate and other
real estate loans of $351,000 and a decrease of $525,000 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.
Total deposits decreased $4,599,000, or 5.68%, to $76,379,000 at June
30, 2009 from $80,978,000 at December 31, 2008. Total non-interest bearing
deposits decreased $2,261,000 and interest-bearing accounts decreased
$2,338,000. The decrease of interest earning deposits was mainly attributable
to a decrease in savings deposits of $1,311,000, a decrease in NOW accounts
of $878,000, and a decrease in Money Market accounts of $605,000. Time
deposits increased $456,000.
Other liabilities decreased $431,000 from $1,533,000 at December 31,
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2008 to $1,102,000 at June 30, 2009. This decrease is due mainly to
insurance proceeds from Hurricane Katrina that were received and held in
contingency accounts that exceeded the total cost of repairs and impairment
of assets associated with the hurricane. This amounted to $450,000 and was
credited to miscellaneous income during the first six months of 2009.
Shareholder's Equity increased $31,000 from $11,452,000 at December
31, 2008 to $11,483,000 at June 30, 2009. This increase is due mainly to net
income for the six months ended June 30, 2009 of $157,000, an increase in
capital in excess of par-retired Preferred Stock of $31,000, partially offset
by a decrease in Preferred Stock of $151,000.
SIX MONTHS ENDED JUNE 30, 2009 COMPARED WITH SIX MONTHS ENDED JUNE 30, 2008
INCOME
The Company's net income for the six months ended June 30, 2009 was
$157,000 or $.87 per share, a decrease of $614,000 from the Company's total
net income of $771,000 or $4.31 per share for the same period last year.
Interest income decreased $764,000 for the six months ended June 30,
2009 over the same period last year. Interest on federal funds sold decreased
$411,000 due to a decrease in the average interest rate paid from 2.55% at
June 30, 2008 to .17% at June 30, 2009. The average balance of federal funds
sold decreased $15,151,000 from $33,544,000 at June 30, 2008 to $18,393,000
at June 30, 2009. Interest on investment securities decreased $57,000 due
mainly to a decrease in the average balance from $5,170,000 at June 30, 2008
to $2,818,000 at June 30, 2009. During the first quarter of 2008, $8,000,000
in securities were called and the Bank purchased $2,000,000. Interest in the
loan portfolio decreased $320,000 due mainly to a decrease in the average
interest rate of 11.81% at June 30, 2008 to 10.76% at June 30, 2009. The
average balance of Certificates of Deposits purchased was $3,506,000 at an
average interest rate of 1.37% for 2009 as compared to $0 for 2008.
Interest expense decreased $225,000 for the six months ended June 30,
2009 over the same period last year. This was caused by a decrease in the
average interest rate paid on interest-bearing deposits from 1.63% at June
30, 2008 to .83% as of June 30, 2009. Additionally there was a decrease in
the average balance of interest bearing deposits from $49,956,000 at June 30,
2008 to $44,004,000 at June 30, 2009. The average interest rate on interest-
bearing liabilities decreased from 1.80% at June 30, 2008 to 1.05% at June
30, 2009.
Net interest income decreased $539,000 for the six months ended June
30, 2009 compared to the same period last year. Interest rate spreads
increased from 6.32% at June 30, 2008 to 6.62% at June 30, 2009.
Non-interest income decreased $183,000 for the six month period from
$1,138,000 at June 30, 2008 to $955,000 at June 30, 2009. Other income
decreased $90,000 for the six months ended June 30, 2008. This decrease is
due mainly to the sale of Visa stock for a gain of $578,000 in the first six
months of 2008 compared to the recognition of insurance proceeds of $450,000
that was not needed for Hurricane Katrina repairs in the first six months of
2009. Deposit related fees decreased $59,000 of which $48,000 was due to a
decrease in fees collected on overdrawn accounts. Cardholder and other
credit card fees decreased $34,000.
Non-interest expense increased $92,000 for the six month period of 2009
as compared to the same period last year. Salaries and Employee Benefits
increased $103,000 from $1,280,000 at June 30, 2008 to $1,383,000 at June 30,
2009. This increase was due mainly to payroll expenses of $84,000 for 2007
that was not paid until 2008 resulting in a credit of $84,000 in 2008 for 14
days payroll, compared to a credit of $17,000 for 4 days payroll expenses of
2008 that was not paid until 2009. Other operating expenses increased
$38,000 due mainly to FDIC assessments of $6,000 at June 30, 2008 compared to
$44,000 at June 30, 2009 due to the increase in the assessment rate. This
was offset by a decrease of $55,000 in outsourcing fees due mainly to credit
card interchange fees of $380,000 in 2009 compared to $445,000 in 2008.
The provision for income taxes decreased $411,000 compared to the same
period last year from a provision of $407,000 at June 30, 2008 to a benefit
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of $4,000 at June 30, 2009. This was due to a decrease in income before taxes
and tax refunds from the IRS of $56,000 for prior years amended tax returns.
SECOND QUARTER 2009 COMPARED WITH SECOND QUARTER 2008
INCOME
Net income for the second quarter of 2009 was $38,000 or $.21 per share
compared to $75,000 or $.42 per share for the same period last year for a
decrease of $37,000.
Interest income decreased $280,000 over the same period last year.
Interest on the loan portfolio decreased $119,000 from $1,655,000 at June 30,
2008 to $1,536,000 at June 30, 2009. This was caused mainly by a decrease in
the average interest rate from 11.67% at June 30, 2008 to 10.66% at June 30,
2009. Interest on federal funds sold decreased $178,000 due mainly to the
decrease in the average balance of federal funds sold from $36,243,000 at
June 30, 2008 to $15,627,000 at June 30, 2009 and a decrease in the average
interest rate from 2.03% at June 30, 2008 to .15% at June 30, 2009.
Interest expense decreased $99,000 for the three months ended June 30,
2009 over the same period last year. This was caused by a decrease in the
average interest rate on interest-bearing deposits from 1.51% at June 30,
2008 to .81% as of June 30, 2009 and a decrease in the average balance of
interest-bearing deposits for $49,886,000 at June 30, 2008 to $43,821,000 at
June 30, 2009. Net interest income decreased $181,000 due primarily to the
decrease in average interest earning assets. Average interest earning assets
for the quarter ended June 30, 2009 was $80,515,000 compared to $95,724,000
for the quarter ended June 30, 2008. The decrease in average interest
earning assets was offset by the lower average interest rates on interest
bearing deposits from 1.51% at June 30, 2008 compared to .81% at June 30,
2009. The average interest rate on interest-bearing liabilities decreased
from 1.68% at June 30, 2008 to 1.03% at June 30, 2009. Interest rate spreads
increased from 6.05% at June 30, 2008 to 6.77% at June 30, 2009.
Non-interest income increased $249,000 for the three-month period as
compared to the same period last year. This increase was due mainly to
insurance proceeds of $300,000 that were credited to miscellaneous income
that were not needed for Hurricane Katrina repairs in the three months ended
June 30, 2009. There was a decrease in deposit related fees of $31,000 of
which $25,000 was due to a decrease in the fees collected on overdrawn
accounts. Cardholder and other credit card fees decreased $17,000.
Non-interest expense decreased $20,000 for the three-month period as
compared to the same period last year. The reduction in Occupancy expense of
$34,000 was due mainly a decrease of $20,000 in utilities expense from
$71,000 for the second quarter of 2008 to $51,000 for the second quarter of
2009.
The provision for income taxes decreased $54,000 compared to the same
period last year from a provision of $48,000 at June 30, 2008 to a benefit of
$6,000 at June 30, 2009 due to a decrease in income before taxes and a tax
refund of $16,000 from IRS for a prior year amended tax return.
Item 3 Quantitative and Qualitative Disclosures about Market Risk,
Catastrophic Events, and Future Growth
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
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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 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. While the Company has assembled an experienced management team,
and has management development plans in place, the unexpected loss of key
employees could have a material adverse effect on the Company's business and
may result in lower revenues.
PART II - OTHER INFORMATION
Item 4 Submission of Matters to a Vote of Security Holders
The Annual Meeting of Shareholders of BOL BANCSHARES, INC. was held on
April 14, 2009. Six nominees were elected to serve one year terms as
directors. Laporte, Sehrt, Romig and Hand was approved as the independent
auditors. There were no other matters voted upon at the meeting.
Below are the names of the nominees who were elected as directors and
the number of shares cast for each. The total shares voting were 116,833.
Number of Shares
Nominee For Against Abstain
G. Harrison Scott 116,798 22 13
Johnny C. Crow 116,748 72 13
Franck F. LaBiche 116,798 22 13
Henry L. Klein 116,820 0 13
Sharry R. Scott 116,820 0 13
A. Earle Cefalu, Jr. 116,820 0 13
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Item 4T Controls and Procedures
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
Item 6 Exhibits
Exhibits
1.1 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
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BOL BANCSHARES, INC.
SIGNATURES
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.
/s/ G. Harrison Scott
August 13, 2009 G. Harrison Scott
Date 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)
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