FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
QUARTERLY REPORT UNDER SECTION 13 OR 15(D)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 1996 Commission File Number 0-11172
FIRST CITIZENS BANCORPORATION OF SOUTH CAROLINA, INC.
(Exact name of registrant as specified in its charter)
South Carolina 57-0738665
(State or other jurisdiction of (IRS Employer Identification No.)
incorporation or organization)
1230 Main Street
Columbia, South Carolina 29201
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (803) 733-3456
No Change
(Former name or former address,
if changed since last report.)
Indicate by check mark whether the Registrant (1) has 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 the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practical date.
Class Outstanding at March 31, 1996
Common Stock, $5.00 Par Value 892,813 Shares
Non-voting Common Stock, $5.00 Par Value 47,720 Shares
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
Page 2
FIRST CITIZENS BANCORPORATION OF SOUTH CAROLINA AND SUBSIDIARY
CONSOLIDATED BALANCE SHEET - UNAUDITED (dollars in thousands)
March 31, December 31, March 31,
1996 1995 1995
ASSETS
Cash and due from banks:
Noninterest-bearing $ 64,178 $ 88,892 $ 76,263
Interest-bearing 12,150 12,675 13,525
Total cash and due from banks 76,328 101,567 89,788
Investment securities:
Held-to-maturity 462,464 451,796 475,689
Available-for-sale 14,173 13,185 11,090
Total securities 476,637 464,981 486,779
Federal funds sold 18,500 0 12,900
Gross loans and discounts
Real estate - construction 16,487 16,334 9,206
Real estate - mortgage 685,076 659,371 567,491
Installment 329,831 332,817 277,841
Commercial, financial and agricultural 107,896 105,737 96,235
Less: Reserve for loan losses (21,632) (21,153) (19,515)
Net loans and discounts 1,117,658 1,093,106 931,258
Premises and equipment 44,936 44,186 40,783
Other real estate owned 635 473 109
Interest income accrued, not collected 14,473 14,225 10,550
Intangible assets 15,271 16,710 14,709
Other assets 16,667 16,426 14,693
TOTAL ASSETS $ 1,781,105 $ 1,751,674 $ 1,601,569
LIABILITIES AND STOCKHOLDERS' EQUITY
Deposits:
Demand 250,021 $ 241,824 216,692
Time 615,442 590,227 528,599
Savings 670,620 663,888 642,121
Total deposits 1,536,083 1,495,939 1,387,412
Federal funds purchased 0 20,600 0
Securities sold under repurchase agreements 102,506 97,907 81,204
Term loan 11,275 11,700 12,975
Other liabilities 14,666 13,442 19,622
TOTAL LIABILITIES 1,664,530 1,639,588 1,501,213
Stockholders' Equity:
Preferred stock 3,282 3,282 3,282
Non-voting common stock - $5.00 par value, authorized
1,000,000; issued and outstanding March 31, 1996-47,720,
December 31, 1995 and March 31, 1995 - 50,720 239 254 254
Voting common stock - $5.00 par value, authorized 2,000,000;
issued and outstanding March 31, 1996, December 31, 1995
and March 31, 1995 - 892,813 4,464 4,464 4,464
Surplus 55,000 55,000 55,000
Undivided profits 47,014 43,152 32,871
Unrealized gain on investment securities available-for-sale, net of taxes 6,576 5,934 4,485
TOTAL STOCKHOLDERS' EQUITY 116,575 112,086 100,356
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 1,781,105 $ 1,751,674 $ 1,601,569
Page 3
FIRST CITIZENS BANCORPORATION OF SOUTH CAROLINA AND SUBSIDIARY
CONSOLIDATED STATEMENT OF INCOME - UNAUDITED
(dollars in thousands, except for per share amounts)
Quarter Ended March 31,
--------------------------------------------------
1996 1995 % Change
-------------------------------- -------------
Interest income and fees:
Loans $24,364 $20,407 19.39%
United States Government obligations 6,396 5,608 14.05%
Mortgage-backed securities 29 0 100.00%
Tax-exempt securities 569 519 9.63%
Other securities and federal funds sold 634 431 47.10%
31,992 26,965 18.64%
Interest expense:
Deposits 12,705 10,921 16.34%
Short-term borrowings 1,314 1,103 19.13%
Long-term borrowings 227 273 -16.85%
14,246 12,297 15.85%
Net interest income 17,746 14,668 20.98%
Provision for loan losses 1,020 404 152.48%
Net interest income after
provision for loan losses 16,726 14,264 17.26%
Noninterest income:
Service charges on deposit accounts 2,911 2,572 13.18%
Fees for other customer services 1,616 1,578 2.41%
Other 551 640 -13.91%
5,078 4,790 6.01%
Noninterest expense:
Salaries and employee benefits 6,994 7,158 -2.29%
Net occupancy expense 594 572 3.85%
Furniture and equipment expense 370 391 -5.37%
Depreciation expense 759 881 -13.85%
Amortization of intangibles 1,586 1,255 26.37%
Other 4,909 5,561 -11.72%
15,212 15,818 -3.83%
Income before income taxes 6,592 3,236 103.71%
Applicable income taxes 2,432 1,087 123.74%
Net Income 4,160 2,149 93.58%
Per share amounts:
Earnings per common share: $4.38 $2.23 96.24%
Weighted average common shares outstanding 940,893 943,533 -0.28%
Page 4
FIRST CITIZENS BANCORPORATION OF SOUTH CAROLINA AND SUBSIDIARY
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY - UNAUDITED (dollars
in thousands):
Non-Voting Voting
Preferred Common Common Undivided
Stock Stock Stock Surplus Profits
Balance at December 31, 1994 $3,282 $254 $4,464 $55,000 $30,765
Net income 2,149
Preferred stock dividends (43)
Change in unrealized gain on investment
securities available-for-sale, net of taxes
Balance at March 31, 1995 3,282 254 4,464 55,000 32,871
Net income 10,409
Preferred stock dividends (128)
Change in unrealized gain on investment
securities available-for-sale, net of taxes
Balance at December 31, 1995 3,282 254 4,464 55,000 43,152
Net income 4,160
Preferred stock dividends (43)
Reacquired non-voting common stock (15) (255)
Change in unrealized gain on investment
securities available-for-sale, net of taxes
Balance at March 31, 1996 $3,282 $239 $4,464 $55,000 $47,014
Unrealized
Gain/(Loss) on Total
Investment Stockholders'
Securities Equity
Balance at December 31, 1994 4,260 $98,025
Net income 2,149
Preferred stock dividends (43)
Change in unrealized gain on investment 0
securities available-for-sale, net of taxes 225 225
Balance at March 31, 1995 4,485 100,356
Net income 10,409
Preferred stock dividends (128)
Change in unrealized gain on investment
securities available-for-sale, net of taxes 1,449 1,449
Balance at December 31, 1995 5,934 112,086
Net income 4,160
Preferred stock dividends (43)
Reacquired non-voting common stock (270)
Change in unrealized gain on investment
securities available-for-sale, net of taxes 642 642
Balance at March 31, 1996 $6,576 $116,575
Page 5
CONSOLIDATED STATEMENT OF CASH FLOWS - UNAUDITED (dollars in thousands)
Three Months Ended
March 31,
--------------------------------------
1996 1995
--------------------------------------
Cash Flows From Operating Activities
Net Income $4,160 $2,149
Adjustments to reconcile net income to net cash provided
by operating activities:
Provision for loan losses 1,020 404
Depreciation and amortization 2,345 2,135
Amortization/(accretion) of investment securities (48) (139)
Provision for deferred income taxes (83) (588)
Gains on sales of premises and equipment (3) (13)
(Increase)/decrease in interest income accrued, not collected (248) 1,576
Increase in accrued interest payable 6 1,264
Originations of loans held for resale (14,959) (6,524)
Proceeds from sales of loans held for resale 12,725 7,366
Gains on sales of loans held for resale (60) (9)
Increase in other assets (503) (2,219)
Increase in other liabilities 1,218 3,036
Other operating activities 0 (68)
==================================
Net Cash Provided By Operating Activities 5,570 8,370
==================================
Cash Flows From Investing Activities:
Net increase in loans (23,278) (14,720)
Proceeds from maturities of investment securities, available for sale 107 0
Proceeds from maturities of investment securities, held to maturity 52,093 90,364
Purchases of investment securities, held to maturity (62,821) (89,912)
Increase in federal funds sold (18,500) (12,900)
Proceeds from sales of premises and equipment 27 20
Purchases of premises and equipment (1,532) (729)
Net increase/(decrease) in other real estate owned (162) 161
Net increase/(decrease) in intangible assets 92 (344)
Purchase of institutions, net of cash acquired 4,543 0
==================================
Net Cash Used In Investing Activities (49,431) (28,060)
==================================
Cash Flows From Financing Activities:
Net increase in deposits 35,361 894
(Decrease)increase in federal funds purchased and securities sold
under agreements to repurchase (16,001) 5,288
Term loan payments (425) (425)
Cash dividends paid (43) (43)
Reacquired common stock (270) 0
==================================
Net Cash Provided By Financing Activities 18,622 5,714
==================================
Decrease in cash and due from banks (25,239) (13,976)
Cash and due from banks at beginning of year 101,567 103,764
==================================
Cash and due from banks at end of period $76,328 $89,788
==================================
Supplemental disclosures of cash flow information:
Interest paid $14,251 $11,032
==================================
Income taxes paid $170 $1,401
==================================
Page 6
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
The preceding financial statements are unaudited; however, in the opinion of
management, all adjustments (comprising all normal recurring accruals) necessary
for a fair presentation of financial statements have been included. A summary of
Bancorporation's significant accounting policies is set forth in Note 1 to the
Consolidated Financial Statements in Bancorporation's Annual Report on Form 10-K
for 1995. The significant accounting policies used during the current quarter
are unchanged from those disclosed in the 1995 Annual Report.
INCOME TAXES: (dollars in thousands)
Deferred tax assets and liabilities recorded pursuant to Statement of Financial
Accounting Standards ("SFAS") No. 109 are composed of the following at:
March 31, March 31,
1996 1995
Provision for loan losses in excess
of amount deductible for taxes 7,485 6,674
Other, net 2,533 984
Gross deferred tax asset 10,018 7,658
Book depreciation over tax (326) (423)
Interest income, accretion of bond
discount and expenses recognized
for books not taxed until realized (182) (203)
Deferred income and expense items
recognized in different accounting periods (262) (404)
Pension plan (834) (759)
Unrealized gains on available-for-sale securities (2,299) (2,415)
Other (257) (166)
Gross deferred tax liability (4,160) (4,370)
Net deferred tax asset $5,858 $3,288
INVESTMENT SECURITIES:
Bancorporation adopted SFAS No. 115, "Accounting for Certain Investments in Debt
and Equity Securities" effective January 1, 1994. Management has reviewed the
investment securities portfolio and classified all securities, except equity
securities, as held-to-maturity and carried at amortized cost since
Bancorporation has both the positive intent and ability to hold these securities
to maturity. Equity securities, as required by SFAS No. 115, are classified as
available-for-sale and carried at estimated fair value with unrealized gains and
losses included as a component of stockholders' equity on an after-tax basis.
Page 7
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
LOANS:
Effective January 1, 1995, Bancorporation adopted SFAS No. 114, "Accounting by
Creditors for Impairment of a Loan," which specifies how allowances for credit
losses related to certain impaired loans should be determined and generally
requires impairment to be measured on the basis of discounted expected cash
flows. This statement considers a loan to be impaired when, based on current
information and events, it is probable that a creditor will be unable to collect
all amounts due according to the contractual terms of the loan agreement. In
October 1994, FASB issued SFAS No. 118, "Accounting by Creditors for Impairment
of a Loan - Income Recognition and Disclosures" which amends the income
recognition requirements of SFAS No. 114. Bancorporation adopted SFAS No. 114
and SFAS No. 118 as of January 1, 1995. The impact of adoption of SFAS No. 114
and SFAS No. 118 on Bancorporation's consolidated financial statements was not
material.
SFAS No. 114 applies to all impaired loans, uncollateralized as well as
collaterized, except large groups of smaller-balance homogeneous loans that are
collectively evaluated for impairment. Accordingly, Bancorporation considers its
portfolio of credit card, residential mortgage and consumer loans to be exempt
from this statement.
Loans on which the accrual of interest has been discontinued are designated
as nonaccrual loans. Loans, excluding most consumer loans, are placed in
nonaccrual status when principal or interest is delinquent 90 days or more.
Also, loans which are classified doubtful or loss, or where the borrower has
filed bankruptcy, are considered nonaccrual loans. Management considers all
nonaccrual loans to be impaired as well as other loans of which the ultimate
collectibility of principal and interest is uncertain. Loans which exceed 90
days past due and are considered uncollectible are generally charged-off against
the allowance for loan losses.
Payments received on nonaccrual loans are applied to principal until such
amount is liquidated in full. Subsequent payments on nonaccrual loans are
recognized as interest income when received. Except in cases where other
accounting or regulatory rules apply, loans are generally returned to accrual
status when the collectibility of both principal and interest on a timely basis
is reasonably assured and all delinquent principal and interest on the loan
become well secured and in the process of collection.
Page 8
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
MORTGAGE SERVICING RIGHTS:
On May 12, 1995, the FASB issued SFAS No. 122, "Accounting for Mortgage
Servicing Rights", an amendment to SFAS No. 65 which is to be applied
prospectively for fiscal years beginning after December 15, 1995. SFAS No. 122
requires that a mortgage servicing entity allocate the total cost of the
mortgage loans purchased or originated to the mortgage servicing rights (MSRs)
and the loans (without the MSRs) based on their relative fair values if it is
practicable to estimate those values. If it is not practical to estimate the
fair values of the MSRs and the mortgage loans (without the MSRs), the entire
cost of purchasing or originating the loans should be allocated to the mortgage
loan and no cost should be allocated to the MSR. In addition, SFAS No. 122
requires that an entity assess its MSR portfolios for impairment based on the
fair value of those rights. The entity must stratify its MSRs that are
capitalized after adoption of this Statement based on one or more of the
predominant risk characteristics of the underlying loans. Impairment should be
recognized through a valuation allowance for each impaired stratum. Under SFAS
No. 65, the cost of originated MSRs was not recognized as an asset but was
charged to earnings when the related loan was sold. In addition, the cost
allocation was different for purchased MSRs. In contrast to a cost allocation
based on relative market value as set forth in SFAS No. 122, the prior
requirement was to allocate the costs incurred in excess of the market value of
the loans without the MSRs to purchased MSRs. Bancorporation has adopted SFAS
No. 122 effective January 1, 1996, the effect of which was not material.
Page 9
PART I - FINANCIAL INFORMATION
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations
Page 10
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS
SUMMARY: (dollars in thousands)
First Citizens Bancorporation reported net income of $4,160 for the quarter
ended March 31, 1996, up 93.58% from $2,149 reported for the same quarter a year
ago, which represented annualized returns of 14.56% on stockholders' equity and
1.02% on interest-earning assets. The increase in earnings is attributed to an
increase in net interest margin and interest spread, an increase in service
charges collected on deposit accounts and a decrease in cost of operations.
Average gross loans increased $178,034 or 18.88% for the quarter ended March 31,
1996 as compared to the same period in 1995, with a yield of 8.77% for the first
quarter of 1996. Average interest-earning assets increased $182,643 or 12.60%
for the quarter ended March 31, 1996 when compared with the same quarter a year
ago. Average taxable and non-taxable investment securities for the quarter ended
March 31, 1996 decreased by $10,576 or 2.19% as compared to the same period in
1995, with a taxable equivalent yield of 6.25% for the first quarter of 1996.
Taxable equivalent net interest income was up $3,042 or 20.15% for the quarter
ended March 31, 1996 when compared to the same period a year ago. Noninterest
income increased by $288 or 6.01% for the quarter ended March 31, 1996 as
compared to the same period in 1995. Noninterest expense decreased $606 or 3.83%
when compared to the same period of 1995.
The provision for loan losses was $1,020 for the quarter ended March 31, 1996 as
compared to $404 in 1995. Net loan losses for the first quarter were $541 or
.19% (annualized) of average gross loans, up from $138 or .06% (annualized) of
average gross loans a year earlier.
Nonperforming assets at March 31, 1996 were $4,362 or .38% of gross loans. The
reserve for loan losses totaled $21,632 and represented 1.90% of period-end
loans and 4.96 times nonperforming assets.
Net income per common share for the quarter ended March 31, 1996 increased
96.41% to $4.38, as compared to $2.23 for the first quarter of 1995. Book value
per common share as of March 31, 1996 increased 17.08% to $120.46, as compared
to $102.88 for the same period in 1995.
The equity capital to total assets ratio at period-end was 6.55% as compared to
6.27% for the same period in 1995. The Tier 1 and total risk-based capital
ratios at March 31, 1996 were 8.86% and 10.53%, respectively, compared to the
March 31, 1995 ratios of 9.20% and 11.20%, respectively.
Page 11
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
SUMMARY (Continued):
Components of Capital (dollars in thousands):
March 31,
1996 1995
Stockholders' Equity:
Preferred stock $3,282 $3,282
Common stock 4,703 4,718
Surplus 55,000 55,000
Undivided profits 53,590 37,356
Total stockholders' equity 116,575 100,356
Reserve for loan losses 21,632 19,515
Total primary capital 138,207 119,871
Long-term debt qualifying as secondary capital 11,275 12,975
Total capital $149,482 $132,846
Tier I leverage ratio 5.52% 5.31%
Risk based capital ratio total 10.53% 11.20%
Tier I 8.86% 9.20%
Tier II 1.67% 2.00%
NET INTEREST INCOME: (dollars in thousands)
Net interest income on a taxable equivalent basis was $18,136 for the first
quarter of 1996, an increase of 20.15% from $15,094 for the comparable period in
1995.
The following table presents the components of net interest income for the first
quarter ended March 31, 1996 and 1995:
Net Interest Income: (dollars in thousands)
Three Months Ended March 31,
1996 1995
Total interest income $31,992 $26,965
Total interest expense 14,246 12,297
Net interest income 17,746 14,668
Tax equivalent adjustment 390 426
Net interest income (taxable equivalent basis) $18,136 $15,094
Page 12
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
NET INTEREST INCOME (Continued):
Taxable Equivalent Rate/Volume Variance Analysis (Amounts in thousands)
Three Months Ended March 31,
- ----------------------------------------------------------------------------------------------------------------------------------
Net
Average Balance Interest Rev./Exp. Yield Change Due To Increase
1996 1995 1996 1995 1996 1995 Rate Volume (Decrease)
Interest-earning assets:
$1,120,983 $942,948 $24,449 $20,407 8.77% 8.78% Loans, net of unearned interest $138 $3,904 $4,042
430,520 443,658 6,511 5,670 6.05% 5.11% Taxable investment securities 1,040 (199) 841
42,101 39,539 875 800 8.31% 8.09% Non-taxable investment securities 22 53 75
26,958 10,368 347 146 5.18% 5.71% Federal funds sold (14) 215 201
12,177 13,582 200 223 6.61% 6.66% Other earning assets 0 (23) (23)
1,632,739 1,450,095 32,382 27,246 7.97% 7.60% Total interest-earning assets 1,186 3,950 5,136
Noninterest-earning assets:
66,995 75,367 Cash and due from banks
44,784 41,022 Premises and equipment
25,047 21,186 Other, less reserve for loan losses
136,826 137,575 Total noninterest-earning assets
$1,769,565 $1,587,670 TOTAL ASSETS
Interest-bearing liabilities:
$1,281,832 $1,170,838 12,705 10,921 3.99% 3.78% Deposits $678 $1,106 $1,784
Federal funds purchased and securities
112,174 76,933 1,314 1,103 4.71% 5.81% sold under agreements to repurchase (204) 415 211
11,326 13,108 227 273 8.02% 8.33% Long-term debt (10) (36) (46)
1,405,332 1,260,879 14,246 12,297 4.08% 3.95% Total interest-bearing liabilities 464 1,485 1,949
Noninterest-bearing liabilities:
234,784 211,333 Demand deposits
14,555 15,591 Other liabilities
249,339 226,924 Total noninterest-bearing liabilities
114,894 99,867 Stockholders' equity
TOTAL LIABILITIES AND
$1,769,565 $1,587,670 14,246 12,297 STOCKHOLDERS' EQUITY 464 1,485 1,949
$18,136 $14,949 Net interest income $722 $2,465 $3,187
7.97% 7.60% Interest income to interest-earning assets
Page 13
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
RESERVE FOR LOAN LOSSES: (dollars in thousands)
The reserve at March 31, 1996 was $21,632 or 1.90% of total loans as compared to
$19,515 or 2.05% of total loans at March 31, 1995.
For the quarter ended March 31, 1996 the provision for loan losses was $1,020,
an increase of 152.48% over the $404 for the same period in 1995. Of this
increase, $541 was due to net chargeoffs and $479 was due to an increase in
loans.
Net chargeoffs were $541 in the first quarter of 1996 which represented an
increase of 292.03% when compared to the $138 reported for the comparable period
of 1995. Most of the increase was due to a charge off to one borrower of $383.
Provision and Reserve for Loan Losses: (dollars in thousands)
Three Months Ended March 31,
1996 1995
Reserve for loan losses:
Balance at beginning of period $21,153 $19,249
Provision charged to expense 1,020 404
Chargeoffs (784) (354)
Recoveries 243 216
Net chargeoffs (541) (138)
Balance at end of period $21,632 $19,515
Ratios (annualized):
Net Chargeoffs to:
Average loans .19 .06
Loans at end of period .19 .06
Reserve for loan losses 10.00 2.83
Page 14
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS
NONINTEREST INCOME AND EXPENSE: (dollars in thousands)
Total noninterest income for the first quarter of 1996 was $5,078, an increase
of 6.01% from the $4,790 earned for the first quarter of 1995. Much of the
increase was due to a growth in the number of deposit accounts and our increased
emphasis on collecting service fees formerly waived.
Total noninterest expense for the first quarter of 1996 was $15,212, a decrease
of 3.83% when compared with $15,818 for the same period a year ago. Most of the
decrease was due to a reduction in the FDIC insurance assessment.
The following table provides additional details of noninterest income and
expense:
Three Months Ended
March 31, Change
1996 1995 Amount Percent
Noninterest income:
Service charges on deposit accounts $2,911 $2,572 $339 13.18%
Commissions, service charges and fees 575 649 (74) -11.40%
Mortgage servicing 503 496 7 1.41%
Bankcard fees and discounts 538 433 105 24.25%
All other 551 640 (89) -13.91%
Total noninterest income $5,078 $4,790 $288 6.01%
Noninterest expense:
Salaries and wages $5,416 $5,600 ($184) -3.29%
Pension and other employee benefits 1,578 1,558 20 1.28%
Total staff expenses 6,994 7,158 (164) -2.29%
Occupancy expense 912 849 63 7.42%
Furniture and equipment expense 811 994 (183) -18.41%
Amortization of intangibles 1,586 1,255 331 26.37%
Telephone 310 316 (6) -1.90%
Stationery and supplies 348 266 82 30.83%
Professional services 257 300 (43) -14.33%
Automated services 1,302 1,198 104 8.68%
FDIC insurance assessment 69 779 (710) -91.14%
Bankcard 561 459 102 22.22%
Postage 366 316 50 15.82%
All other 1,696 1,928 (232) -12.03%
Total noninterest expense $15,212 $15,818 ($606) -3.83%
Page 15
PART II - OTHER INFORMATION
Item 1. Legal Proceedings.
Neither Registrant nor its subsidiary, First Citizens Bank and Trust Company,
nor its subsidiaries, are a party to, nor is any of their property the subject
of, any material or other pending legal proceeding, other than ordinary routine
proceedings incidental to their business.
Item 2. Changes in Securities.
Not Applicable.
Item 3. Defaults upon Senior Securities.
Not Applicable.
Item 4. Submission of Matters to Vote of Security Holders.
Not Applicable.
Item 5. Other Information. (dollars in thousands)
On February 20, 1996, Registrant purchased some assets and assumed deposits of
one office of another financial institution located in Marion, South Carolina.
Total assets purchased were $69 and deposits assumed totaled $4,783. A premium
of $239 on deposits purchased will be assigned to a core deposit intangible
asset and will be amortized over five to twelve years using the straight-line
method of amortization. The acquisition will be accounted for by the purchase
method of accounting. Proforma financial information is not attached since the
business acquired is not considered a "significant subsidiary" per Rule 1-02(v).
Registrant has also entered into an agreement to purchase five (5) offices from
two (2) other financial institutions. Total assets purchased will be
approximately $35,000 and deposits assumed will be approximately $70,900.
Premium paid for these acquisitions is expected to be around $6,800. Both
acquisitions are expected to close in the third quarter.
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibits
11 Statement Re Computation of Per Share Earnings - Page 18
27 Financial Data Schedule - Page 19
(b) No reports on Form 8-K were filed during the quarter ended March 31, 1996
Page 16
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.
FIRST CITIZENS BANCORPORATION
OF SOUTH CAROLINA, INC.
(Registrant)
Dated: 5/10/96 By: (Signature of Jay C. Case)
Jay C. Case, Treasurer
(Chief Financial Officer)
Page 17