EXHIBIT 99
STATEFED FINANCIAL CORPORATION
519 Sixth Avenue
Des Moines, Iowa 50309
For Further Information Contact: FOR IMMEDIATE RELEASE
John F. Golden, President and CEO Date: November 4, 1999
StateFed Financial Corporation
519 Sixth Avenue
Des Moines, Iowa 50309
Phone: (515) 282-0236
STATEFED FINANCIAL CORPORATION
ANNOUNCES 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, 1999. For
the three-month period ended September 30, 1999, the company reported net income
of $245,200 as compared to $224,986 for the same period in 1998, an increase of
$20,214, or 9%. The increase in net earnings was primarily due to an increase in
net interest income of $31,100, an increase in non-interest income of $1,100,
and a decrease in non-interest expense of $7,000, partially offset by an
increase in income tax expense of $19,000.
At September 30, 1999, the company had total assets of $90.2 million and
total liabilities of $74.2 million, compared to total assets of $90.8 million
and total liabilities of $74.7 million at June 30, 1999. The decrease in total
assets for the three month period ending September 30, 1999 was due to a
decrease in cash and amounts due from depository institutions of $4.3 million, a
decrease in investments in certificates of deposits of $199,300, partially
offset by an increase in loans receivable of $2.9 million, an increase in
investment securities of $976,000, and an increase in real estate held for
investment of $163,300.
The book value of StateFed Financial Corporation increased to $10.65 per
share at September 30, 1999. Diluted earnings per share for the first quarter
ended September 30, 1999 were 16 cents per share. As of September 30, 1999,
there were 1,509,100 shares outstanding.
Continued
STATEFED FINANCIAL CORPORATION
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
September 30, 1999 and June 30, 1999
ASSETS (Unaudited)
September 30, 1999 June 30, 1999
------------------ -------------
Cash and amounts due from depository institutions $ 4,162,953 $ 8,481,216
Investments in certificates of deposit 685,000 884,300
Investment securities 2,920,366 1,944,374
Loans receivable, net 75,230,026 72,330,884
Real estate acquired for development 156,608 236,602
Real estate held for investment, net 2,808,506 2,645,245
Property acquired in settlement of loans 1,123,017 1,133,517
Office property and equipment, net 1,169,930 1,188,247
Federal Home Loan Bank stock, at cost 1,147,600 1,147,600
Accrued interest receivable 550,618 536,028
Other assets 272,881 295,695
----------- -----------
TOTAL ASSETS $90,227,505 $90,823,708
=========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Deposits $54,378,141 $54,713,072
Advances from Federal Home Loan Bank 18,854,270 18,877,047
Advances from borrowers for taxes and insurance 47,091 337,371
Accrued interest payable 184,760 133,773
Dividends payable 113,183 114,300
Income taxes:current and deferred 420,883 324,643
Other liabilities 162,259 200,123
----------- -----------
TOTAL LIABILITIES $74,160,587 $74,700,329
=========== ===========
Stockholders' equity:
Common stock $ 8,905 $ 8,905
Additional paid-in capital 8,536,529 8,526,563
Unearned compensation - restricted stock awards (254,551) (271,290)
Unrealized gain (loss) on investments (89,853) 3,803
Treasury stock (2,356,890) (2,234,986)
Retained earnings - substantially restricted 10,222,778 10,090,384
----------- -----------
TOTAL STOCKHOLDERS' EQUITY $16,066,918 $16,123,379
----------- -----------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $90,227,505 $90,823,708
=========== ===========
STATEFED FINANCIAL CORPORATION
SELECTED CONSOLIDATED FINANCIAL DATA
1st Quarter
September 30
----------------------
1999 1998
----------------------
Unaudited
OPERATIONS DATA
Total interest income $1,663,480 $1,706,083
Total interest expense 964,800 1,038,485
---------- ----------
Net interest income 698,680 667,598
Provision for loan losses 9,000 9,000
---------- ----------
Net interest income after provision for loan losses 689,680 658,598
Non-interest income:
Real estate operations 136,084 137,909
Other non-interest income 26,794 23,883
---------- ----------
Total non-interest income 162,878 161,792
Total non-interest expense 486,118 493,164
---------- ----------
Income before income taxes 366,440 327,226
Income tax expense 121,240 102,240
---------- ----------
Net Income $ 245,200 $ 224,986
========== ==========
Earnings per share $0.17 $0.15
Diluted earnings per share $0.16 $0.15