FORM 11-K
U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
[X] ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934
For the Fiscal Year Ended December 31, 2000 OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
Commission File Number: 0-22953
A. Full title of the plan and the address of the plan, if different from
that of the issuer named below:
Pioneer Bank, FSB
Profit Sharing 401(k) Plan
B. Name of issuer of the securities held pursuant to the plan and the
address of its principle executive office:
Pioneer Bank, FSB
P.O. Box 846
Baker City, Oregon 97814
Financial Statements and Exhibits
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(a) Financial Statements
The Pioneer Bank FSB Profit Sharing 401(k) Plan become effective as of
July 1, 1959. Filed as a part of this report on Form 11-K are the audited
financial statements of the Plan as of and for the years ended December 31,
2000 and 1999.
(b) Exhibits
Not applicable.
SIGNATURES
The Plan. Pursuant to the requirements of the Securities and Exchange
Act of 1934, the trustees (or other persons who administer the employee
benefit plan) have duly caused this annual report to be signed on its behalf
by the undersigned hereunto duly authorized.
/s/Jonathan McCreary
Date: November 7, 2001 -------------------------------------------
Jonathan McCreary
Trustee
Pioneer Bank FSB Profit Sharing 401(k) Plan
Financial Statements
PIONEER BANK, FSB
PROFIT SHARING 401(k) PLAN
December 31, 2000 and 1999
TABLE OF CONTENTS
Page No.
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INDEPENDENT AUDITORS' REPORT . . . . . . . . . . . . . . . . . . 1
FINANCIAL STATEMENTS
Statements of Net Assets Available for Benefits. . . . . . . . 2
Statement of Changes in Net Assets Available for Benefits. . . 3
Notes to Financial Statements. . . . . . . . . . . . . . . . . 4
SUPPLEMENTAL INFORMATION
Schedule of Assets Held for Investment Purposes. . . . . . . . 10
INDEPENDENT AUDITORS' REPORT
To the Administrative Committee
Pioneer Bank, FSB Profit Sharing 401(k) Plan
Baker City, Oregon
We have audited the accompanying statements of net assets available for
benefits of Pioneer Bank, FSB Profit Sharing 401(k) Plan as of December 31,
2000 and 1999, and the related statement of changes in net assets available
for benefits for the year ended December 31, 2000. These financial statements
are the responsibility of the Plan's management. Our responsibility is to
express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with U.S. generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the net assets available for benefits of Pioneer Bank,
FSB Profit Sharing 401(k) Plan as of December 31, 2000 and 1999 and the
changes in net assets available for benefits for the year ended December 31,
2000 in conformity with U.S. generally accepted accounting principles.
Our audits were made for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental schedule of assets
held for investment purposes is presented for purposes of additional analysis
and are not a required part of the basic financial statements but is
supplementary information required by the Department of Labor's Rules and
Regulations for Reporting and Disclosure under the Employee Retirement Income
Security Act of 1974. The supplemental schedules have been subjected to the
auditing procedures applied in our audits of the basic financial statements
and, in our opinion, are fairly stated in all material respects in relation to
the basic financial statements taken as a whole.
/s/ Balukoff Lindstrom & Co.
Balukoff Lindstrom & Co.
October 3, 2001
Boise, Idaho
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PIONEER BANK FSB PROFIT SHARING 401(k) PLAN
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
December 31, 2000 and 1999
2000 1999
------------- -------------
ASSETS
Investments, at fair value $ 3,726,880 $ 4,361,551
Participant loans 93,591 116,916
------------- -------------
Total investments 3,820,471 4,478,467
Contributions receivable
Employer 4,613 -
Employee 2,156 -
------------- -------------
6,769 -
------------- -------------
TOTAL ASSETS 3,827,240 4,478,467
LIABILITIES - -
------------- -------------
TOTAL LIABILITIES - -
------------- -------------
NET ASSETS AVAILABLE FOR BENEFITS $ 3,827,240 $ 4,478,467
============= =============
See accompanying notes
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PIONEER BANK FSB PROFIT SHARING 401(k) PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
Year Ended December 31, 2000
ADDITIONS TO NET ASSETS ATTRIBUTED TO
Investment income
Net depreciation in fair value of investments $ (743,824)
Interest and dividends 375,048
-------------
(368,776)
Contributions
Employee 197,261
Employer match 78,297
-------------
275,558
-------------
TOTAL ADDITIONS (93,218)
DEDUCTIONS FROM NET ASSETS ATTRIBUTED TO
Withdrawals and benefit payments 557,109
Administrative expenses and other 900
-------------
TOTAL DEDUCTIONS 558,009
-------------
NET DECREASE IN NET ASSETS
AVAILABLE FOR BENEFITS (651,227)
NET ASSETS AVAILABLE FOR BENEFITS,
BEGINNING OF YEAR 4,478,467
-------------
NET ASSETS AVAILABLE FOR BENEFITS,
END OF YEAR $ 3,827,240
=============
See accompanying notes
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PIONEER BANK FSB PROFIT SHARING 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2000 and 1999
NOTE A - DESCRIPTION OF THE PLAN
General
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The following description of the Pioneer Bank, FSB (the Employer) Profit
Sharing 401(k) Plan (the Plan) provides general information. Participants
should refer to the Plan agreement for a description of the Plan provisions.
The Plan is a profit sharing plan established July 1, 1959, to provide
retirement and incidental benefits to eligible employees. The Plan is subject
to the provisions of the Employee Retirement Income Security Act of 1974
(ERISA).
All regular employees are eligible to participate in the Plan after completing
six months of service with the Employer. Effective January 1, 2001, employees
will be able to participate in the Plan upon attaining the age of 18 and
completing one hour of service.
Prudential Mutual Fund Management, Inc. is the Plan Administrator and
Custodian. The Trustees are Michelle D. Kaseberg, William H. Winegar,
Jonathan McCreary, and Anne Raffetto.
Employee Contributions
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Participants may elect to defer up to 10% of their annual compensation, as
defined by the Plan, up to the maximum deferrable amount allowed by the
Internal Revenue Service. During the year, the Board of Trustees amended the
Plan to increase the maximum deferral percentage from 6.25% to 10%. The Plan
accepts rollover contributions of amounts distributed from another qualified
plan or a qualified individual retirement account. Participants may elect to
deposit their contributions in any of the investment options available.
Employer Contributions
- ----------------------
The Employer makes dollar-for-dollar matching contributions to a participant's
account up to a maximum of 3.33% of the participant's annual pretax
compensation that is beneath the annual compensation limit imposed by the IRS.
Additional Employer contributions may be made on a discretionary basis, in
amounts determined by the Employer annually. Employer contributions are
allocated to all employees who are eligible for the Plan and completed at
least 501 hours of service, as well as employees who died or became disabled
during the Plan year, and former employees who retired under the Plan.
Employer contributions are allocated based on the ratio of each participant's
compensation in relation to total compensation of all eligible participants.
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PIONEER BANK FSB PROFIT SHARING 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2000 and 1999
Vesting
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Participants are, at all times, fully vested in their employee account
balance. Participants become vested in their employer account balance over a
six-year period based upon their years of service with the employer as
follows:
Years of Percentage of
Service Vested Interest
------- ---------------
Less than 2 years 0%
2 years 20%
3 years 40%
4 years 60%
5 years 80%
Six or more years 100%
Participants vest immediately in their employee deferrals and rollover
contributions plus actual earnings thereon. The Plan provides for
participants to be fully vested upon death, permanent disability or the
attainment of age 65.
Distributions
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Upon a participant's retirement, death or separation from service,
participants may elect either a lump sum cash payment or, if the value of the
benefit exceeds $3,500, approximate equal payments made at least once a year
over a period not to exceed the life expectancy of the participant or
beneficiary.
The Plan has provisions for hardship withdrawals from the participant's
deferral account. Matching contributions and allocated earnings are not
available for hardship withdrawals.
Forfeitures
- -----------
Upon termination of employment with the Employer, participants are entitled to
a distribution of their vested account balances. Forfeitures of terminated
participant's nonvested benefits are applied to pay administrative expenses
and reduce the Employee's contributions to the Plan. For the years ended
December 31, 2000 and 1999, there were $4,086 and $5,966 of forfeited account
balances, respectively.
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PIONEER BANK FSB PROFIT SHARING 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2000 and 1999
Participant Accounts
- --------------------
Each participant's account is credited with the employee's contributions and
the employer's discretionary matching contributions. Dividend and interest
income, net of administrative expenses with respect to each category of
investments, is allocated to participants' accounts based upon their pro-rata
share of the equity in each investment fund before such allocation.
Expenses
- --------
Substantially all administration expenses of the Plan are paid by the Employer
on behalf of the Plan and will not be reimbursed. The participant pays
expenses incident to certain transactions.
Termination
- -----------
Although the Employer expects to continue the Plan indefinitely, the Employer
may terminate the Plan in whole or in part at any time upon giving written
notice to the Administrator and Trustee. If the Plan is terminated, the
account of each participant will be fully vested and nonforfeitable as of the
effective date of the Plan termination.
Participant Loans
- -----------------
Participants may borrow from their fund accounts up to a maximum equal to the
lesser of $50,000 or 50% of their vested account balance. Loan transactions
are treated as a transfer from the investment to the Loan Fund. Payments on
loans are treated as a transfer from the Loan fund to the investment. Loan
terms generally range from 1-5 years with principal and interest payments
monthly. The loans are secured by the balance in the participant's account
and bear interest at a rate commensurate with local prevailing rates as
determined by the Plan administrator.
Plan Amendments
- ---------------
The Company has the right to amend or terminate the Plan and Trust Agreement.
NOTE B - SUMMARY OF ACCOUNTING POLICIES
Investment Valuation and Income Recognition
- -------------------------------------------
Investments in guaranteed interest accounts are carried at contract value,
which approximates principal amounts contributed to the accounts, plus accrued
interest, less distributions from the contract. Investments in all other
investment options are carried at their fair value measured and quoted market
prices in active markets or by the contracted price. Investment income is
recorded as earned.
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PIONEER BANK FSB PROFIT SHARING 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2000 and 1999
Purchases and sales of securities are recorded on a trade-date basis.
Dividends are recorded on the ex-dividend date.
Payment of Benefits
- -------------------
Benefits are recorded when paid.
Estimates
- ---------
The preparation of financial statements in conformity with U.S. generally
accepted accounting principles requires the plan administrator to make
estimates and assumptions that affect certain reported amounts and
disclosures. Accordingly, actual results may differ from those estimates.
NOTE C - INVESTMENTS
At December 31, 2000 and 1999, investment that constitute 5% of Plan assets
are as follows:
Fund 2000 1999
- ----------------------------------- ------------ ------------
Guaranteed Interest Accounts $ 228,128 $ 320,346
Prudential Jennison Growth Fund 487,405 679,868
Putnam International Growth Fund 423,504 468,856
Putnam New Opportunities Fund 400,841 489,578
Putnam OTC Emerging Growth Fund 193,225 304,770
AIM Constellation Fund 507,740 512,864
Fidelity Advisor Equity Income Fund 297,921 368,280
Oregon Trail Financial Corp Stock 734,715 785,160
Prudential Equity Fund 128,763
Prudential High Yield Bond Fund 136,252
The Plan presents in the statement of changes in net assets available for
benefits the net appreciation in the fair value of its investments, which
consists of realized gains or losses and unrealized appreciation
(depreciation) on those investments.
NOTE D - GUARANTEED INTEREST ACCOUNTS
The Plan invests in pooled guaranteed interest accounts with an average return
of 5.9% and 5.4% for the years ended December 31, 2000 and 1999, respectively.
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PIONEER BANK FSB PROFIT SHARING 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2000 and 1999
NOTE E - RELATED PARTIES
Oregon Trail Financial Corporation is the savings and loan holding company of
the Employer upon the conversion from a federally chartered mutual to a
federall chartered stock savings bank on October 3, 1997. Oregon Trail
Financial Corporation stock is an investment option available to all
participants within the Plan.
NOTE F - INCOME TAX STATUS
The Plan adopted a prototype plan and consequently is relying on the
determination received by the prototype. The Plan has been amended since
adoption of the prototype plan. However, the Plan administrator and the
plan's tax counsel believe the Plan is currently designed and being operated
in compliance with the applicable requirements of the Internal Revenue Code.
Therfore, no provision for income taxes has been included in the Plan's
financial statements.
NOTE G - PLAN AMENDMENTS
On December 19, 2000, the Board of Trustees formally amended the Plan Document
to include all amendments to the original prototype Plan. Amendments to the
prototype Plan include the following:
Effective January 1, 2001, employer contributions will be allocated to all
employees who are eligible for the Plan and employed on the last day of the
Plan Year, as well as employees who died or became disabled during the Plan
year, and former employees who retired under the Plan.
Effective March 13, 2000, the maximum deferral percentage was increased to
10% from 6.25% of eligible compensation.
Effective March 13, 2000, the Plan has the ability to recognize prior
service for eligibility and vesting purposes for those employees whom have
been acquired through a corporate merger or acquisition.
Effective December 27, 2000, participants affected by the layoff due to a
reduction of force announced on December 27, 2000 will be 100% vested as of
their date of termination.
-8-
SUPPLEMENTAL INFORMATION
PIONEER BANK FSB PROFIT SHARING 401(k) PLAN
EIN: 93-0159250
Plan Number 001
SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
December 31, 2000
Current
(a) (b) Identity of Issue (c) Description (d) Cost ** (e) Value
- ----- --------------------- --------------- ----------- ----------
<s> <c> <c> <c> <c>
Prudential Investments
Money Market Fund $ 28,675
Equity Fund Large Value Stock Fund 128,763
Global Fund 27,519
High Yield Fund High Yield Bond Fund 136,252
38,165
Stock Index Fund Large Blend Stock Fund 7,612
Jennison Growth Fund Large Growth Stock Fund 487,405
Putnam Investments
International Growth Fund Foreign Stock Fund 423,504
New Opportunities Fund Large Growth Stock Fund 400,841
OTC Emerging Growth Fund Mid-Cap Growth Stock Fund 193,225
AIM Investments
Constellation Fund Large Growth Stock Fund 507,740
Global Aggressive Growth Fund Global Stock Fund 3,509
Fidelity Advisor
Equity Income Fund Large Value Stock Fund 297,921
John Hancock
Technology Fund Specialty Stock Fund 82,906
Company Stock
*Oregon Trail Financial Corp. Stock 734,715
Guaranteed Interest Accounts
GIA Accounts Guaranteed Interest Accounts 228,128
Loans
Participant Loans Interest rate 7.75% - 8.75% 93,591
----------
TOTAL ASSETS HELD FOR INVESTMENT PURPOSES $3,820,471
==========
* Known party in interest
** Participant directed, therefore, no cost disclosure is necessary.
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