UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-QSB
(Mark One)
[x] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended MARCH 31, 2001
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[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(D) OF THE EXCHANGE ACT
For the transition period from to
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Commission file number 0-30680
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FIRST FEDERAL OF OLATHE BANCORP, INC.
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(Exact name of small business issuer as specified in its charter)
KANSAS 48-1226075
(State or other jurisdiction of (IRS Employer Identification No.)
incorporation or organization)
100 EAST PARK STREET, OLATHE, KS 66061
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(Address of principal executive offices)
(913) 782-0026
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(Issuer's telephone number)
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(Former name, former address and former fiscal year, if changed
since last report)
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
PROCEEDINGS DURING THE PRECEDING FIVE YEARS
Check whether the registrant filed all documents and reports required to be
filed by Section 12, 13 or 15(d) of the Exchange Act after the distribution of
securities under a plan confirmed by a court.
Yes [ ] No [ ]
APPLICABLE ONLY TO CORPORATE ISSUERS
State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date: 556,328 COMMON STOCK, PAR VALUE
$.01 PER SHARE, AS OF MAY 11, 2001
Transitional Small Business Disclosure Format (Check one): Yes [ ] No [x]
FIRST FEDERAL OF OLATHE BANCORP, INC.
FORM 10-QSB
THREE MONTHS ENDED MARCH 31, 2001
PART I - FINANCIAL INFORMATION
Interim Financial Information required by Rule 10-01 of Regulation S-X and Item
303 of Regulation S-B is included in this Form 10-QSB as referenced below:
PAGE
----
Item 1. CONSOLIDATED FINANCIAL STATEMENTS
Consolidated Balance Sheets at
March 31, 2001 (Unaudited) and December 31, 2000 .................... 3
Consolidated Statements of Income (Unaudited) for the Three Months
Ended March 31, 2001 and 2000 ....................................... 4
Consolidated Statement of Changes in Stockholders' Equity (Unaudited)
for the Three Months Ended March 31, 2001 ........................... 5
Consolidated Statements of Cash Flows (Unaudited) for
the Three Months Ended March 31, 2001 and 2000 ...................... 6
Notes to Consolidated Financial Statements (Unaudited) .............. 7
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS............................ 8
PART II - OTHER INFORMATION
Item 1. LEGAL PROCEEDINGS................................................ 13
Item 2. CHANGES IN SECURITIES............................................ 13
Item 3. DEFAULTS UPON SENIOR SECURITIES.................................. 13
Item 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.............. 13
Item 5. OTHER INFORMATION................................................ 13
Item 6. EXHIBITS AND REPORTS ON FORM 8-K................................. 13
Signatures ................................................................. 14
FIRST FEDERAL OF OLATHE BANCORP, INC.
AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
March 31, December 31,
2001 2000
------------- -------------
(Unaudited)
ASSETS
Cash and cash equivalents:
Cash and non-interest earning deposits $ 650,585 $ 132,860
Federal funds sold 5,300,000
------------ ------------
Total cash and cash equivalents 5,950,585 132,860
Held-to-maturity securities, at cost 10,500,000 12,594,061
Available-for-sale securities 842,517 828,576
Federal Home Loan Bank stock, at cost 380,000 330,000
Loans, net of deferred loan fees and allowance for loan losses 36,463,916 36,059,760
Accrued interest and dividend receivable 433,462 455,310
Equipment, net of accumulated depreciation 12,355 13,813
Foreclosed assets held for sale, net 133,028
Other assets 14,401 6,502
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Total Assets $ 54,730,264 $ 50,420,882
============ ============
LIABILITIES AND STOCKHOLDERS' EQUITY
LIABILITIES
Deposits $ 32,613,031 $ 28,504,396
Dividends payable 102,364
Advances from borrowers for taxes and insurance 215,082 3,936
Interest payable on deposits 325,962 39,940
Advances from the Federal Home Loan Bank 6,000,000 6,600,000
Accrued expenses 71,411 78,646
Deferred income taxes 239,943 234,924
Income taxes payable 151,848 20,597
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Total Liabilities 39,617,277 35,584,803
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STOCKHOLDERS' EQUITY
Common stock, $.01 par value, 4,000,000 shares
authorized, 556,328 shares issued and outstanding 5,563 5,563
Additional paid-in capital 5,041,442 5,041,442
Unearned ESOP shares (434,448) (434,448)
Retained earnings 9,968,057 9,700,070
Accumulated other comprehensive income
Unrealized appreciation on available-for-sale securities,
net of income taxes of $299,000 in 2001
and $294,000 in 2000 532,373 523,452
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Total Stockholders' Equity 15,112,987 14,836,079
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Total Liabilities and Stockholders' Equity $ 54,730,264 $ 50,420,882
============ ============
See accompanying notes to the unaudited
consolidated financial statements
- 3 -
FIRST FEDERAL OF OLATHE BANCORP, INC.
AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
Three Months Ended March 31
2001 2000
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INTEREST AND DIVIDEND INCOME
Loans receivable $ 801,113 $ 683,533
Investment securities 202,804 189,504
Cash and cash equivalents 41,599 41,191
Equity securities 2,630 5,365
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Total interest and dividend income 1,048,146 919,593
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INTEREST EXPENSE
Deposits 407,354 471,317
Federal Home Loan Bank advances 100,396 14,272
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Total interest expense 507,750 485,589
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NET INTEREST AND DIVIDEND INCOME
NON-INTEREST INCOME
Service charges and other fees 4,332 1,958
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NON-INTEREST EXPENSE
Salaries and related payroll expenses 30,459 27,253
Federal insurance premiums 5,600 5,866
Directors' fees 14,220 6,420
Occupancy of premises 16,447 12,494
Professional fees 42,892 33,570
Other general and administrative expenses 7,123 9,333
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Total non-interest expense 116,741 94,936
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INCOME BEFORE INCOME TAXES
INCOME TAX PROVISION 160,000 121,000
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NET INCOME $ 267,987 $ 220,026
============= =============
EARNINGS PER SHARE - BASIC AND DILUTED $ .52 $ N/A
======== =========
See accompanying notes to the unaudited
consolidated financial statements
-4-
FIRST FEDERAL OF OLATHE BANCORP, INC.
AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY
THREE MONTHS ENDED MARCH 31, 2001
(UNAUDITED)
ACCUMULATED
COMPRE- ADDITIONAL UNEARNED OTHER
HENSIVE COMMON PAID-IN ESOP RETAINED COMPREHENSIVE TOTAL
INCOME STOCK CAPITAL SHARES EARNINGS INCOME EQUITY
--------- --------- ------------ -------- ----------- ---------------- ----------
BALANCE, DECEMBER 31, 2000 $5,563 5,041,442 $(434,448) $ 9,700,070 $ 523,452 $14,836,079
Net income $ 267,987 267,987 267,987
Other comprehensive income:
Change in unrealized
appreciation
on available-for-sale securities,
net of income taxes of $5,000 8,921 8,921 8,921
--------- --------- ------------ -------- ----------- ---------------- -----------
$ 276,908
BALANCE, MARCH 31, 2001 ========== $ 5,563 $ 5,041,442 $(434,448) $9,968,057 $ 532,373 $15,112,987
======== ============ ========== ========== ================ ===========
See accompanying notes to the unaudited
consolidated financial statements
-5-
FIRST FEDERAL OF OLATHE BANCORP, INC.
AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS
THREE MONTHS ENDED MARCH 31, 2001 AND 2000
(UNAUDITED)
2001 2000
---------------- -----------
CASH FLOWS FROM OPERATING ACTIVITIES
Net income $ 267,987 $ 220,026
Items not requiring (providing) cash:
Depreciation and amortization 1,458 1,458
Accretion of discounts on securities (5,939)
Deferred income taxes 10,624
Changes in:
Accrued interest receivable 21,848 17,177
Other assets (7,899) (160,352)
Accrued interest payable 286,022 336,935
Accrued expenses (7,235) (16,299)
Income taxes payable 131,251 110,376
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Net cash provided by operating activities
CASH FLOWS FROM INVESTING ACTIVITIES
Net originations of loans (537,184) (737,014)
Purchase of FHLB stock (50,000)
Proceeds from maturities of held-to-maturity securities 2,100,000
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Net cash provided by (used in) investing activities 1,512,816 (737,014)
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CASH FLOWS FROM FINANCING ACTIVITIES
Net increase in deposits 4,108,635 4,113,333
Repayment of FHLB advances (600,000)
Dividends paid (102,364)
Net increase in advances from borrowers for taxes and insurance 211,145 170,916
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Net cash provided by financing activities 3,617,416 4,284,249
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INCREASE IN CASH AND CASH EQUIVALENTS
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 132,860 2,605,360
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CASH AND CASH EQUIVALENTS, END OF PERIOD $ 5,950,585 $ 6,672,540
============= =============
See accompanying notes to the unaudited
consolidated financial statements
-6-
FIRST FEDERAL OF OLATHE BANCORP, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
NOTE 1: BASIS OF PRESENTATION
In the opinion of management, the accompanying unaudited consolidated
financial statements contain all adjustments necessary to present fairly the
consolidated financial position as of March 31, 2001 and the consolidated
results of its operations, changes in stockholders' equity, and cash flow for
the period ended March 31, 2001 and are of a normal, recurring nature. Also, in
the opinion of management, the March 31, 2000 statement of income and cash flow
contain all adjustments necessary to present fairly the results of its
operations for the three months then ended and are of a normal, recurring
nature.
Certain information and note disclosures normally included in the Company's
annual financial statements prepared in accordance with generally accepted
accounting principles have been condensed or omitted.
These consolidated financial statements should be read in conjunction with
the consolidated financial statements and notes thereto included in the
Company's 10-KSB annual report for 2000 filed with the SEC. The consolidated
statement of financial condition of the Company as of December 31, 2000 has been
derived from the audited consolidated statement of financial condition of the
Company as of that date.
The results of operations and other data for the three months ended March
31, 2001 are not necessarily indicative of results to be expected for the full
year.
NOTE 2: COMMITMENTS AND CONTINGENCIES
At March 31, 2001, the Association had outstanding commitments to originate
loans amounting to approximately $642,000.
NOTE 3: EARNINGS PER SHARE
For 2001, earnings per share is based upon the total number of shares
outstanding, less unreleased ESOP shares, and is presented as if those shares
had been outstanding for the entire year.
The computation of per share earnings for the three months ended March 31,
2001 is as follows:
Net income $ 267,987
Average common shares outstanding 512,833
----------
Basic and diluted earnings per share $ .52
==========
At March 31, 2000, the Association was a mutual savings institution and,
thus, net earnings per share is not reported on the results of operations for
the period then ended.
-7-
FIRST FEDERAL OF OLATHE BANCORP, INC.
ITEM 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
GENERAL
The following discussion compares the consolidated financial condition of
First Federal of Olathe Bancorp, Inc. and Subsidiary (the "Company") at March
31, 2001 to December 31, 2000 and the results of operations for the three months
ended March 31, 2001 with the corresponding period in 2000. Currently, the
business and management of First Federal of Olathe Bancorp, Inc. is primarily
the business and management of First Federal Savings and Loan Association of
Olathe (the "Association"). This discussion should be read in conjunction with
the interim consolidated financial statements and footnotes included herein.
This quarterly report on Form 10-QSB includes statements that may
constitute forward looking statements, usually containing the words "believe,"
"estimate," "expect," "intent" or similar expressions. These statements are made
pursuant to the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements inherently involve risks and
uncertainties that could cause actual results to differ materially from those
reflected in the forward-looking statements. Factors that could cause future
results to vary from current expectations include, but are not limited to, the
following: changes in economic conditions (both generally and more specifically
in the markets in which the Company operates); changes in interest rates,
accounting principles, policies or guidelines and in government legislation and
regulation (which change from time to time and over which the Company has no
control); and other risks detailed in this quarterly report on Form 10-QSB and
the Company's other Securities and Exchange Commission filings. Readers are
cautioned not to place undue reliance on these forward-looking statements, which
reflect management's analysis only as of the date hereof. The Company undertakes
no obligation to publicly revise these forward-looking statements to reflect
events or circumstances that arise after the date hereof.
First Federal of Olathe Bancorp, Inc. is a Kansas corporation organized in
December 1999, by the Association for the purpose of becoming a holding company
of the Association. On April 11, 2000, the Company acquired all of the capital
stock of the Association in exchange for 50% of the net conversion proceeds and
issued shares of its common stock to persons who submitted orders in the
subscription and community offerings. Immediately following the Conversion, the
only significant assets of the Company were the capital stock of the
Association, the Company's loan to the ESOP, and the remainder of the net
Conversion proceeds retained by the Company. The business and management of the
Company primarily consist of the business and management of the Association. The
Company will neither own nor lease any property, but will instead use the
premises, equipment and furniture of the Association. At the present time, the
Company does not intend to employ any persons other than officers of the
Association, and the Company will utilize the support staff of the Association
from time to time. Additional employees will be hired as appropriate to the
extent the Company expands or changes its business in the future.
-8-
FIRST FEDERAL OF OLATHE BANCORP, INC.
ITEM 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Management believes that the holding company structure will provide the
Company with additional flexibility to diversify, should it decide to do so, its
business activities through existing or newly formed subsidiaries, or through
acquisitions of or mergers with other financial institutions and financial
services related companies. Although there are no current arrangements,
understandings or agreements, written or oral, regarding any such opportunities
or transactions, the Company will be in a position, subject to regulatory
limitations and the Company's financial position, to take advantage of any such
opportunities that may arise. The initial activities of the Company are
anticipated to be funded by the proceeds retained by the Company and earnings
thereon or, alternatively, through dividends from the Association.
To date, the Company has not engaged in any business activities other than
those related to the Conversion.
FINANCIAL CONDITION
Total assets increased by $4.3 million, or 8.5%, to $54.7 million at March
31, 2001 from $50.4 million at December 31, 2000. This increase was primarily
the result of an increase of $5.3 million in federal funds sold, an increase of
$.4 million in mortgage loans and an increase of $.5 million in cash and
non-interest earning deposits, offset by a decrease of $2.1 million in
investments held to maturity.
Mortgage loans increased $.4 million, or 1.1%, to $36.5 million at March
31, 2001 from $36.1 million at December 31, 2000. The increase reflects the
Association's controlled growth strategy, including capitalizing on the strong
housing market in the Association's market area during the quarter ended March
31, 2001.
Securities held to maturity decreased $2.1 million, or 16.7%, to $10.5
million at March 31, 2001 from $12.6 million at December 31, 2000, reflecting
the maturity of federal agency debt securities. Federal funds sold increased
$5.3 million or 100% from December 31, 2000 as the Company invested proceeds
from security maturities and increased overall deposits in these short-term
overnight investments.
Deposits increased $4.1 million, or 14.4%, to $32.6 million at March 31,
2001 from $28.5 million at December 31, 2000, most of which occurred in March
2001 and was comprised of customer deposits in 30 month saving certificates. The
increase in deposits is due principally to the Association's decision during the
first quarter of 2001 to accept brokered certificates of deposit from out of
state sources.
Advances from the Federal Home Loan Bank decreased $.6 million, or 9.1%, to
$6.0 million at March 31, 2001 from $6.6 million at December 31, 2000. The
decrease is net of a $1.6 million increase in January of 2001, of which a $.6
million line of credit advance was paid-off and a one year advance note was
allowed to expire as the Company has realized an increase in deposits during the
first quarter of 2001.
Total stockholders' equity increased $.3 million, or 1.87%, to $15.1
million at March 31, 2001 from $14.8 million at December 31, 2000 which
represents net income of the Company during that period.
-9-
FIRST FEDERAL OF OLATHE BANCORP, INC.
ITEM 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED MARCH 31, 2001 AND 2000
NET INCOME. Net income for the quarter ended March 31, 2001 was $267,987,
as compared to net income of $220,026 for the quarter ended March 31, 2000. This
represents a $47,961, or 21.8% increase. The increase was due primarily to the
increased net interest income, which was partially offset by higher non-interest
expense. Earnings per share (EPS) amounted to $.52 for the quarter ended March
31, 2001. EPS data was not calculated for the quarter ended March 31, 2000 as
the Conversion had not yet occurred. The Company's annualized return on average
assets for the quarters ended March 31, 2001 and 2000 were 2.0% and 1.9%,
respectively. The return on average stockholders' equity amounted to 7.1% and
9.5% for the quarters ended March 31, 2001 and 2000, respectively.
NET INTEREST INCOME. For the quarter ended March 31, 2001, net interest
income increased by $106,392, or 24.5%, to $540,396 from $434,004. The increase
reflects an increase of $128,553, or 14%, in interest income to $1,048,146 for
the quarter ended March 31, 2001 from $919,593 for the quarter ended March 31,
2000, and an increase of $22,161, or 4.6% in interest expense, to $507,750 for
the quarter ended March 31, 2001 from $485,589 for the quarter ended March 31,
2000. The net interest margin increased to 4.0% during the 2001 first quarter,
from 3.7% for the first quarter of 2000.
Interest income increased principally as a result of the increase in
interest earning assets. The annualized yield on average interest-earning assets
remained constant at 7.8% for the first quarters of 2001 and 2000, while average
earning assets increased to $54 million for the quarter ended March 31, 2001 as
compared to $47 million for the same period in the prior year. The increase in
average interest-earning assets was fueled principally by an increase in loans
receivable due to favorable economic conditions and the robust single-family
housing market in Johnson County, Kansas. In addition, the average yield on
notes receivable increased to 8.8% for the three months ended March 31, 2001
from 8.5% for the first quarter of 2000, as a result of higher mortgage rates
during the last three quarters of 2000.
The interest expense increase is attributed principally to an increase
in advances from the FHLB. The interest expense on Federal Home Loan Bank
Advances increased $86,124 to $100,396 for the first quarter of 2001 from
$14,272 for the same period in 2000, which reflected the increase in the average
outstanding balances of advances from the Federal Home Loan Bank. This increase
was offset, however, by the decrease in deposit interest expense.
Interest expense on deposits decreased $63,963 to $407,354 for the first
quarter of 2001 from $471,317 for the same period in 2000, which reflected the
decrease in the average outstanding deposit balances for the two periods. During
2000, the Association had an outflow of brokered deposits, which matured during
that period and were not renewed. The Association received attractive rates on
the FHLB advances and utilized these advances in late 2000 and early 2001 to
fund loans.
PROVISION FOR LOAN LOSSES. The allowance for loan losses was $175,000 for
the quarters ended March 31, 2001 and 2000. Although no additions were made to
the provision for loan losses during 2000, management continues to closely
assess the loan portfolio for inherent losses and reports all loans greater than
30 days past due to the Board of Directors. In addition, detail review and
discussion occurs with management and the Board for those loans that approach
the 60 and 90 days past due levels. Management deemed no additional provision
was necessary for the quarters ended March 31, 2001 and 2000.
-10-
FIRST FEDERAL OF OLATHE BANCORP, INC.
ITEM 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
At March 31, 2001 and 2000, the allowance for loan losses represents .5% of
net loans for each period. The allowance for loan losses at March 31, 2001
represents 79.3% of non-performing loans. There were no non-performing loans at
March 31, 2000. Loans in the over 90-day category amounted to $191,000 and
$336,000, or .3% and .7% of total assets as of March 31, 2001 and 2000.
NON-INTEREST INCOME. Non-interest income increased $2,374 to $4,332 for the
quarter ended March 31, 2001 from $1,958 for the quarter ended March 31, 2000.
The increase is primarily attributable to an increase in other service charge
income.
NON-INTEREST EXPENSE. Non-interest expense increased $21,805 to $116,741
for the quarter ended March 31, 2001 from $94,936 for the quarter ended March
31, 2000. This increase is due principally to an increase of 121.5% or $7,800 in
Directors' fees from $6,420 to $14,220 and an increase in professional fees of
28.7%, or $9,322 from $33,570 to $42,892 for the quarters ended March 31, 2000
and 2001, respectively.
INCOME TAXES. Income taxes increased by $39,000 to $160,000 for the three
months ended March 31, 2001 from $121,000 for the three months ended March 31,
2000. The effective tax rates were 37.4% and 35.4% for the three months ended
March 31, 2001 and 2000, respectively.
LIQUIDITY AND CAPITAL RESOURCES
The Association's primary sources of funds are deposits, FHLB advances,
repayments on loans, the maturity of investment securities and interest income.
Although maturity and scheduled amortization of loans are relatively predictable
sources of funds, deposit flows and prepayments on loans are influenced
significantly by general interest rates, economic conditions and competition.
The Association is required to maintain minimum levels of liquid assets
under the OTS regulations. Savings institutions are required to maintain an
average daily balance of liquid assets (including cash, certain time deposits,
and specified U.S. Government, state, or federal agency obligations) of not less
than 4.0% of its average daily balance of net withdrawal accounts, plus
short-term borrowings. It is the Association's policy to maintain its liquidity
portfolio in excess of regulatory requirements.
The Association's most liquid assets are cash and cash equivalents, which
include overnight deposits at First National Bank of Olathe and the FHLB of
Topeka. The levels of these assets are dependent on the Association's operating,
financing, lending, and investment activities during any given period. At March
31, 2001 and at December 31, 2000, cash and cash equivalents were $6.0 million
and $133,000, respectively. The increase in cash and cash equivalents at March
31, 2001, compared to December 31, 2000, resulted primarily from the maturity of
held to maturity securities and the increase in deposits.
Liquidity management for the Association is both an ongoing and long-term
function of the Association's asset/liability management strategy. Excess funds
generally are invested in overnight deposits at the FHLB of Topeka and the First
National Bank of Olathe. Should the Association require funds beyond its ability
to generate them internally, additional sources of funds are available through
FHLB advances. The Association would pledge its mortgage loans, FHLB stock or
certain other assets as collateral for such advances. At March 31, 2001, the
Association had a balance of $6.0 million in FHLB advances. In addition to the
$5.3 million in deposits available at the FHLB, the Association had unused
advance commitments with the FHLB of $1.6 million at March 31, 2001.
-11-
FIRST FEDERAL OF OLATHE BANCORP, INC.
ITEM 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
The Association is required to maintain regulatory capital sufficient to
meet tangible, core and risk-based capital ratios of at least 1.5%, 4.0% and
8.0%, respectively. At March 31, 2001, the Association exceeded each of its
capital requirements, with tangible, core and risk-based capital ratios of
22.12%, 22.12% and 52.82% respectively.
IMPACT OF INFLATION AND CHANGING PRICES
The financial statements and related financial data presented herein have
been prepared in accordance with generally accepted accounting principles, which
generally require the measurement of financial position and operating results in
terms of historical dollars, without considering changes in relative purchasing
power over time due to inflation. Unlike most industrial companies, virtually
all of the Association's assets and liabilities are monetary in nature. As a
result, interest rates generally have a more significant impact on the
Association's performance than does the effect of inflation. Interest rates do
not necessarily move in the same direction or in the same magnitude as the
prices of goods and services, since such prices are affected by inflation to a
larger extent than by interest rates.
-12-
FIRST FEDERAL OF OLATHE BANCORP, INC.
FORM 10-QSB
THREE MONTHS ENDED MARCH 31, 2001
PART II - OTHER INFORMATION
---------------------------
ITEM 1: LEGAL PROCEEDINGS
Neither the Company nor the Association is a party to any material legal
proceedings at this time. From time to time the Association may be involved in
various claims and legal actions arising in the ordinary course of business.
ITEM 2: CHANGES IN SECURITIES
Not applicable
ITEM 3: DEFAULTS UPON SENIOR SECURITIES
Not applicable
ITEM 4: SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
None
ITEM 5: OTHER INFORMATION
None
ITEM 6: EXHIBITS AND REPORTS ON FORM 8-K
a. Exhibits
None
b. Reports on Form 8-K
None
-13-
SIGNATURES
In accordance with the requirements of the Securities Exchange Act of 1934, the
registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.
FIRST FEDERAL OF OLATHE BANCORP, INC.
Date: May 11, 2001 By /s/Mitch Ashlock
--------------------
Mitch Ashlock, President and
Chief Executive Officer
(Duly authorized officer and principal
executive and financial officer)
-14-