EXHIBIT 99
For Further Information Contact: For Immediate Release
John F. Golden, President and CEO February 9, 2000
StateFed Financial Corporation 519 Sixth Avenue
Des Moines, Iowa 50309
Phone: (515) 282-0236
STATEFED FINANCIAL CORPORATION
ANNOUNCES 2ND QUARTER EARNINGS
Des Moines, Iowa (NASDAQ: "SFFC") -- StateFed Financial Corporation,
the parent company for State Federal Savings and Loan Association of Des Moines,
announced today the financial results for the quarter ended December 31, 1999.
For the three month period ended December 31, 1999, the company reported net
income of $255,417 as compared to $252,873 for the same period in 1998, an
increase of $2,544. The increase in net earnings was primarily due to an
increase in interest income of $86,700, partially offset by a decrease in
non-interest income of $15,600, and an increase in non-interest expense of
$68,700.
For the six month period ended December 31, 1999, the company reported
net income of $500,617 as compared to $477,858 for the same period in 1998, an
increase of $22,800. The increase in net earnings was primarily due to an
increase in net interest income of $117,800, partially offset by a decrease in
non-interest income of $14,500, an increase in non-interest expense of $61,700,
and an increase in income tax expense of $18,900.
Earnings per share for the second quarter ended December 31, 1999 were
$.17 cents per share. As of December 31, 1999 there were 1,508,600 shares
outstanding. The Corporation's stock is traded on the NASDAQ System under the
symbol "SFFC".
Continued
STATEFED FINANCIAL CORPORATION
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
December 31, 1999 and June 30, 1999
(Unaudited)
December 31, 1999 June 30, 1999
ASSETS ----------------- -------------
Cash and amounts due from depository institutions $ 1,295,641 $ 8,481,216
Investments in certificates of deposit 685,000 884,300
Investment securities 2,218,333 1,944,374
Loans receivable, net 79,810,014 72,330,884
Real estate acquired for development 156,608 236,602
Real estate held for investment, net 3,118,806 2,645,245
Property acquired in settlement of loans 982,624 1,133,517
Office property and equipment, net 1,149,023 1,188,247
Federal Home Loan Bank stock, at cost 1,147,600 1,147,600
Accrued interest receivable 541,625 536,028
Other assets 294,939 295,695
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TOTAL ASSETS $91,400,213 $90,823,708
=========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Deposits $54,538,387 $54,713,072
Advances from Federal Home Loan Bank 19,831,158 18,877,047
Advances from borrowers for taxes and insurance 323,605 337,371
Accrued interest payable 2,140 133,773
Dividends payable 113,145 114,300
Income taxes: current and deferred 288,998 324,643
Other liabilities 192,314 200,123
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TOTAL LIABILITIES $75,289,747 $74,700,329
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Stockholders' equity:
Common stock $ 8,905 $ 8,905
Additional paid-in capital 8,537,818 8,526,563
Unearned compensation - restricted stock awards (238,035) (271,290)
Unrealized gain (loss) on investments (191,642) 3,803
Treasury stock (2,371,629) (2,234,986)
Retained earnings - substantially restricted 10,365,049 10,090,384
----------- -----------
TOTAL STOCKHOLDERS' EQUITY $16,110,466 $16,123,379
----------- -----------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $91,400,213 $90,823,708
=========== ===========
Three Months Ended Six Months Ended
December 31 December 31
----------------------- -----------------------
1999 1998 1999 1998
----------- ----------- ----------- -----------
OPERATIONS DATA
Total interest income......... $1,729,604 $1,692,904 $3,393,084 $3,398,987
Total interest expense........ $ 953,547 $1,003,594 $1,918,347 $2,042,079
---------- ---------- ---------- ----------
Net interest income........... $ 776,057 $ 689,310 $1,474,737 $1,356,908
Provision for loan losses..... $ 9,000 $ 9,000 $ 18,000 $ 18,000
---------- ---------- ---------- ----------
Net interest income after
provision for loan losses..... $ 767,057 $ 680,310 $1,456,737 $1,338,908
Non-interest income:
Real estate operations........ $ 128,328 $ 147,650 $ 264,411 $ 285,511
Other non-interest income..... $ 32,787 $ 29,070 $ 59,581 $ 53,001
---------- ---------- ---------- ----------
Total non-interest income..... $ 161,115 $ 176,720 $ 323,992 $ 338,512
Total non-interest expense.... $ 542,615 $ 473,917 $1,028,732 $ 967,082
---------- ---------- ---------- ----------
Income before income taxes.... $ 385,557 $ 383,113 $ 751,997 $ 710,338
Income tax expense............ $ 130,140 $ 130,240 $ 251,380 $ 232,480
---------- ---------- ---------- ----------
Net Income.................... $ 255,417 $ 252,873 $ 500,617 $ 477,858
========== ========== ========== ==========
Basic earnings per share...... $ 0.17 $ 0.17 $ 0.34 $ 0.32
Diluted earnings per share.... $ 0.17 $ 0.17 $ 0.33 $ 0.31