SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8 - K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported)
July 31, 1997
FFW CORPORATION
(Exact name of Registrant as specified in its Charter)
Delaware 0 - 21170 35 - 1875502
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(State or other jurisdiction (Commission File No.) (IRS Employer
of incorporation) Identification Number)
1205 N. Cass Street, Wabash, Indiana 46992 - 1027
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (219) 563 - 3185
N/A
(Former name or former address, if changed since last report)
Item 5. Other Events
On July 31, 1997, the Registrant issued the attached press release.
Item 7. Financial Statements and Exhibits
(a) Exhibits
1. Press release, dated July 31, 1997.
SIGNATURES
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.
FFW CORPORATION
Date: August 22, 1997 By: \s\ Nicholas M. George
----------------------
Nicholas M. George
President and Chief
Executive Officer
Date: July 31, 1997
Contact: Nicholas M. George,
President
(219) 563-3185
PRESS RELEASE FOR IMMEDIATE RELEASE
FFW CORPORATION ANNOUNCES EARNINGS FOR THE YEAR ENDED JUNE 30, 1997
Wabash, IN--FFW Corporation (NASDAQ: FFWC) holding company for First
Federal Savings Bank of Wabash, Indiana, announced today operating results for
the year ended June 30, 1997. Net income for the year ended June 30, 1997, was
$1.3 million or $ 1.91 per share compared to $1.6 million or $ 2.13 per share
for the quarter ended June 30, 1996. This equates to an decrease of 18.8% and
10.3%, respectively, in net income and primary earnings per share.
Nicholas M. George, President of FFW Corporation, indicated that the
earnings decrease was due to the $337,800 net of tax, one time SAIF assessment,
and cost associated with the completed acquisition of a branch in South Whitley,
Indiana. Mr. George pointed out that had the SAIF assessment not been paid
income for the year would have been $1.7 million or $2.39 for primary earnings
per share. This would equate to a 6.3% and 12.2% increase, respectively, in net
income and primary earnings per share.
Net income for the three months ended June 30, 1997 was $391,000 or $
.55 per share, compared to $430,000 or $ .60 per share for the three months
ended June 30, 1996. Mr. George, attributed the reduced earnings to the increase
in non-interest expense of $148,000. The increased expense is a result of the
cost related to the purchase of deposit liabilities and certain assets
associated with the branch in South Whitely, Indiana, and growing staff that now
includes a commercial loan department. The acquisition of the South Whitley
branch closed and was converted over to First Federal June 13, 1997. The
acquisition increased our deposits by $17.1 million with $8.9 million being in
checking and savings accounts.
FFW Corporation's ended the year with total assets of $178.9 million an
increase of $28.4 million from $150.5 million at June 30, 1997. Net loans
receivable for year ended June 30, 1997 increased by $13.7 million to total of
$114.2 million a 13.6% increase.
First Federal Savings Bank operates full-service offices in Wabash,
North Manchester, Syracuse, and now South Whitley that offer a variety of loan
and deposit products. Investment services such as purchases of stocks, mutual
funds and insurance products are offered through an affiliated company, FirstFed
Financial Incorporated.
FFW
Corporation
July 31, 1997
SELECTED CONSOLIDATED FINANCIAL INFORMATION
(Unaudited)
Selected Balance Sheet Data: 6/30/97 6/30/96
------- -------
(In Thousands)
Total Assets ............................... $178,933 $150,467
Loans Receivable Net ....................... 114,159 100,529
Loans Held for Sale ........................ 0 423
Securities Available for Sale .............. 42,847 40,566
Deposits ................................... 116,118 92,490
Borrowings ................................. 44,800 41,800
Stockholders' Equity ....................... 17,141 15,458
(Unaudited) (Unaudited)
Twelve months Ended Three Months Ended
-------------------------- ---------------------------
Selected Operating Data: 6/30/97 6/30/96 6/30/97 6/30/96
--------- --------- --------- ---------
(In Thousands)
Total Interest Income ............................... $ 3,197 $ 2,893 $ 12,224 $ 11,164
Total Interest Expense .............................. 1,886 1,732 7,246 6,799
--------- --------- --------- ---------
Net Interest Income ............................... $ 1,311 $ 1,161 $ 4,978 $ 4,365
Provision for Loan Losses ........................... 50 47 120 95
--------- --------- --------- ---------
Net Interest Income After Provision for Loan Losses $ 1,261 $ 1,114 $ 4,858 $ 4,270
Gain on Sales of Interest Earning Assets ............ 9 19 46 146
Net Unrealized Losses on Loans Held for Sale ........ 0 (1) 0 (1)
Other Non-Interest Income ........................... 190 134 628 483
Other Non-Interest Expenses ......................... (854) (675) (3,583) (2,586)
--------- --------- --------- ---------
Income Before Income Taxes ........................ $ 606 $ 591 $ 1,949 $ 2,312
Income Tax Expense .................................. 215 161 605 726
--------- --------- --------- ---------
Net Income ........................................ $ 391 $ 430 $ 1,344 $ 1,586
========= ========= ========= =========
Earnings Per Common & Common Equivalent Shares
Primary ............................................. $ .55 $ .60 $ 1.91** $ 2.13
Fully Diluted ....................................... $ .55 $ .60 $ 1.90** $ 2.13
Dividend Paid Per Share ............................. $ .18 $ .15 $ .63 $ .51
Average Shares Outstanding .......................... 702,320 726,459 700,594 755,313
Supplemental Data:
Interest Rate Spread ................................ 2.71% 2.57% 2.69% 2.48%
Return on Average Assets*** ......................... .94% 1.16% .85% 1.09%
Return on Average Equity*** ......................... 9.47% 11.07% 8.42% 9.89%
* Reduced by SAIF assessment net of tax of $337,800
** Earnings per Share reduced by SAIF assessment net of tax of $.48
*** Annualized