Document
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
___________________

FORM 8-K
___________________
 
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
 
Date of Report (Date of earliest event reported): October 25, 2017




Investar Holding Corporation
(Exact name of registrant as specified in its charter)


 
Louisiana
001-36522
27-1560715
(State or other jurisdiction
of incorporation)
(Commission
File Number)
(I.R.S. Employer
Identification No.)
 
 
7244 Perkins Road
Baton Rouge, Louisiana 70808
 
 
(Address of principal executive offices) (Zip Code)
 
 
Registrant’s telephone number, including area code: (225) 227-2222


Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
þ
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company þ

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. þ





Item 2.02
Results of Operations and Financial Condition.
On October 25, 2017, Investar Holding Corporation issued a press release announcing its financial results for the quarter ended September 30, 2017. A copy of the press release is furnished as exhibit 99.1 to this Current Report on Form 8-K.
The information contained in this Current Report shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act except as shall be expressly set forth by specific reference in such a filing.
 
Item 9.01
Financial Statements and Exhibits.
(d) Exhibits

Exhibit Number
 
Description of Exhibit
 
 
 
 


Additional Information About the Proposed Transaction and Where to Find It

This communication is being made in respect of the proposed merger transaction involving Investar Holding Corporation (“Company”) and BOJ Bancshares, Inc. (“BOJ”). This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities.

In connection with the proposed transaction, the Company has filed a registration statement on Form S-4 (File No. 333-220884) with the SEC, which includes a proxy statement of BOJ and a prospectus of the Company, and will file other documents regarding the proposed transaction with the SEC. Before making any voting or investment decision, investors and security holders of BOJ and the Company are urged to carefully read the entire registration statement and proxy statement/prospectus, as well as any amendments or supplements to these documents and any other relevant documents filed with the SEC, because they contain important information about the proposed transaction. A definitive proxy statement/prospectus is being mailed to the stockholders of BOJ, seeking the required stockholder approvals. These documents and other documents relating to the acquisition filed by the Company can be obtained free of charge at investors.investarbank.com or at the SEC’s website at www.sec.gov.






SIGNATURES
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 hereunto duly authorized.
 
 
 
 
 
 
 
 
 
 
 
 
INVESTAR HOLDING CORPORATION
 
 
 
 
Date: October 26, 2017
 
 
 
By:
 
/s/ John J. D’Angelo
 
 
 
 
 
 
John J. D’Angelo
 
 
 
 
 
 
President and Chief Executive Officer




Exhibit
Exhibit 99.1
For Immediate Release

Investar Holding Corporation Announces Record Revenues Following Acquisition

BATON ROUGE, LA (October 25, 2017) – Investar Holding Corporation (NASDAQ: ISTR) (the “Company”), the holding company for Investar Bank (the “Bank”), today announced financial results for the quarter ended September 30, 2017. The Company reported net income of $2.1 million, or $0.24 per diluted share for the third quarter of 2017, compared to $1.9 million, or $0.22 per diluted share for the quarter ended June 30, 2017, and $2.0 million, or $0.29 per diluted share, for the quarter ended September 30, 2016.

On a non-GAAP basis, core earnings per share in the third quarter of 2017 was $0.29 per basic and diluted share (refer to the Reconciliation of Non-GAAP Financial Measures table for a reconciliation of GAAP to non-GAAP metrics).

The Company’s balance sheet and statement of income as of and for the three and nine months ended September 30, 2017 include the impact of the Company’s acquisition of Citizens Bancshares, Inc. (“Citizens”), which was completed on July 1, 2017. As of the acquisition date, Citizens had approximately $250 million in total assets, including $130 million in loans, and approximately $212 million in deposits. The assets acquired and liabilities assumed have been recorded at fair value and are subject to change pending finalization of all valuations.
Investar Holding Corporation President and Chief Executive Officer John D’Angelo said:
“The third quarter was an exciting quarter for Investar. Following the acquisition of Citizens Bancshares, Inc. and its wholly-owned subsidiary, Citizens Bank on July 1, 2017, our operating teams, including our new Investar family members from Evangeline Parish, worked diligently to successfully integrate the former Citizens Bank, while continuing to provide outstanding customer service. Working together to create synergies promptly after completing a merger is important to our earnings success. This is the first quarter of operations following the Citizens acquisition and the results reflect the positive effect of the acquisition on our balance sheet and income statement. We are pleased with the results and expect to recognize additional benefits from the acquisition going into the next quarter.
We also announced the acquisition of BOJ Bancshares, Inc., the parent company for The Highlands Bank, in Jackson, Louisiana, which we expect to be completed by the end of the fourth quarter of 2017. The acquisition of The Highlands Bank fits our strategy of expansion through extensions of our existing markets. We believe this limits integration risk and allows us to continue to build our brand in existing and surrounding markets. We also believe that the acquisition further positions us to grow the franchise and increase long-term shareholder value. Both we and The Highlands Bank are customer service-focused community banks and look forward to welcoming the customers and employees of The Highlands Bank to the Investar family.
In addition to growth by acquisition, Investar continued to bolster its teams in the third quarter with the addition of four commercial lenders in the Baton Rouge, New Orleans and Lafayette markets, as well as a Community Development Officer in the New Orleans market, and two Treasury Management Sales Officers in the New Orleans and Lafayette markets. We look forward to the knowledge and experience brought to Investar by these team members, as well as the growth in business relationships with our customers.”
Third Quarter Highlights
Total revenues, or interest and noninterest income, for the quarter ended September 30, 2017 totaled $15.6 million, an increase of $3.0 million, or 23.4%, compared to June 30, 2017, and an increase of $3.6 million, or 29.8%, compared to September 30, 2016.
Total assets increased to $1.5 billion at September 30, 2017, compared to $1.2 billion at both June 30, 2017 and September 30, 2016.
Total loans increased $177.6 million, or 19%, to $1.1 billion at September 30, 2017, compared to $933.0 million at June 30, 2017. Excluding the loans acquired in the Citizens acquisition, or $124.4 million, total loans increased $53.2 million, or 5.7%, to $986.1 million at September 30, 2017, compared to $933.0 million at June 30, 2017.
The business lending portfolio, which consists of loans secured by owner-occupied commercial real estate properties and commercial and industrial loans, was $342.6 million at September 30, 2017, an increase of $58.5 million, or 20.6%, compared to the business lending portfolio of $284.1 million at June 30, 2017, and an increase of $92.3 million, or 36.9%, compared to the business lending portfolio of $250.3 million at September 30, 2016.
Nonperforming loans decreased to 0.20% at September 30, 2017, compared to 1.06% at September 30, 2016.
Total interest income increased $2.6 million, or 21.9%, for the quarter ended September 30, 2017, compared to the quarter ended June 30, 2017, and increased $3.5 million, or 31.4%, compared to the quarter ended September 30, 2016.



Net interest margin increased twelve basis points to 3.40% for the three months ended September 30, 2017, compared to 3.28% for the three months ended June 30, 2017, and increased seventeen basis points from 3.23% for the three months ended September 30, 2016.
Cost of deposits decreased seven basis points to 0.91% for the three months ended September 30, 2017, compared to 0.98% for both of the three month periods ended June 30, 2017 and September 30, 2016.
The Company successfully completed the conversion of branch and operating systems associated with the Citizens acquisition during the quarter.
The dividend payout ratio increased to 12.26% for the quarter ended September 30, 2017, compared to 9.94% for the quarter ended June 30, 2017 and 3.81% compared to the quarter ended September 30, 2016.
The Company repurchased 12,056 shares of its common stock through its stock repurchase program at an average price of $21.89 during the quarter ended September 30, 2017.
The Company announced it has entered into a definitive agreement (the “Agreement”) to acquire BOJ Bancshares, Inc. (“BOJ”) and its wholly owned subsidiary, The Highlands Bank, in Jackson, Louisiana. The agreement provides for consideration to be paid to the shareholders of BOJ in the form of cash and shares of the Companys common stock. BOJ shareholders will be entitled to receive an aggregate amount of cash consideration equal to $3.95 million and an aggregate of 799,559 shares of the Companys common stock, subject to certain adjustments. Assuming no adjustments to the merger consideration under the terms of the Agreement, the transaction is valued at approximately $22.78 million based upon the closing price of Investar’s common stock of $23.55 on October 17, 2017. It is expected that shareholders of BOJ will own approximately 8% of the combined company following the acquisition.







Loans
Total loans were $1.1 billion at September 30, 2017, an increase of $177.6 million, or 19.0%, compared to June 30, 2017, and an increase of $263.7 million, or 31.1%, compared to September 30, 2016. Included in total loans at September 30, 2017 is $124.4 million, or 11.2% of the total loan portfolio, of loans acquired from Citizens. Exclusive of acquired loans, total loans at September 30, 2017 increased $53.2 million, or 5.7%, compared to June 30, 2017, and $139.3 million, or 16.4%, compared to September 30, 2016.
The following table sets forth the composition of the Company’s loan portfolio as of the dates indicated (dollars in thousands).


 

 

 

 
Linked Quarter Change
 
Year/Year Change
 
Percentage of Total Loans

 
9/30/2017
 
6/30/2017
 
9/30/2016
 
$
 
%
 
$
 
%
 
9/30/2017
 
9/30/2016
Mortgage loans on real estate
 

 

 

 

 

 

 

 

 

Construction and development
 
$
122,501

 
$
109,627

 
$
92,355

 
$
12,874

 
11.7
 %
 
$
30,146

 
32.6
 %
 
11.0
%
 
10.9
%
1-4 Family
 
252,003

 
177,979

 
175,392

 
74,024

 
41.6

 
76,611

 
43.7

 
22.7

 
20.7

Multifamily
 
50,770

 
46,109

 
42,560

 
4,661

 
10.1

 
8,210

 
19.3

 
4.6

 
5.0

Farmland
 
14,130

 
8,006

 
8,281

 
6,124

 
76.5

 
5,849

 
70.6

 
1.3

 
1.0

Commercial real estate
 

 

 

 

 

 

 

 

 

Owner-occupied
 
217,369

 
185,226

 
172,952

 
32,143

 
17.4

 
44,417

 
25.7

 
19.6

 
20.5

Nonowner-occupied
 
245,053

 
223,297

 
192,270

 
21,756

 
9.7

 
52,783

 
27.5

 
22.0

 
22.7

Commercial and industrial
 
125,230

 
98,837

 
77,312

 
26,393

 
26.7

 
47,918

 
62.0

 
11.3

 
9.1

Consumer
 
83,465

 
83,879

 
85,706

 
(414
)
 
(0.5
)
 
(2,241
)
 
(2.6
)
 
7.5

 
10.1

Total loans
 
1,110,521

 
932,960

 
846,828

 
177,561

 
19.0
 %
 
263,693

 
31.1
 %
 
100
%
 
100
%
Loans held for sale
 

 

 
40,553

 

 

 
(40,553
)
 
(100.0
)
 

 

Total gross loans
 
$
1,110,521

 
$
932,960

 
$
887,381

 
$
177,561

 
19.0
 %
 
$
223,140

 
25.1
 %
 

 

One to four family loans were $252.0 million at September 30, 2017, an increase of $74.0 million, or 41.6%, compared to $178.0 million at June 30, 2017, and an increase of $76.6 million, or 43.7%, compared to September 30, 2016. The increase in the 1-4 family portfolio is primarily a result of the approximately $61.5 million 1-4 family loans acquired from Citizens.
At September 30, 2017, the Company’s total business lending portfolio, which consists of loans secured by owner-occupied commercial real estate properties and commercial and industrial loans, was $342.6 million, an increase of $58.5 million, or 20.6%, compared to the business lending portfolio of $284.1 million at June 30, 2017, and an increase of $92.3 million, or 36.9%, compared to the business lending portfolio of $250.3 million at September 30, 2016. Included in the business lending portfolio is $34.0 million, or 9.9% of the total portfolio, of loans acquired from Citizens. The Company continues to focus on relationship banking and growing our commercial loan portfolio.
Consumer loans, including indirect auto loans of $64.1 million, totaled $83.5 million at September 30, 2017, a decrease of $0.4 million, or 0.5%, compared to $83.9 million, including indirect auto loans of $70.8 million, at June 30, 2017, and a decrease of $42.8 million, or 33.9%, compared to $126.3 million at September 30, 2016. Excluding the consumer loans acquired from Citizens, or $8.5 million, consumer loans decreased $8.9 million, or 10.6%, to $75.0 million at September 30, 2017. The decrease in consumer loans, excluding acquired loans, when compared to the linked quarter is attributable to the scheduled paydowns of the consumer loans.
Credit Quality
Nonperforming loans were $2.2 million, or 0.20% of total loans, at September 30, 2017, an increase of $1.0 million, or 86.5%, compared to $1.2 million, or 0.13% of total loans, at June 30, 2017, and a decrease of $6.8 million, or 75.7%, compared to $9.0 million, or 1.06% of total loans, at September 30, 2016. The increase in nonperforming loans at September 30, 2017 compared to June 30, 2017 is mainly attributable to the Citizens acquisition. The decrease in nonperforming loans compared to September 30, 2016 is mainly attributable to one $4.7 million owner-occupied commercial real estate relationship and one $2.7 million commercial and industrial loan relationship that were not performing at September 30, 2016.



Exclusive of acquired loans, the allowance for loan losses was $7.6 million, or 541.62% and 0.77% of nonperforming loans and total loans, respectively, at September 30, 2017, compared to $7.3 million, or 627.63% and 0.78% of nonperforming loans and total loans, respectively, at June 30, 2017, and $7.4 million, or 82.44% and 0.87% of nonperforming loans and total loans, respectively, at September 30, 2016. The increase in the allowance as a percentage of nonperforming loans at September 30, 2017 compared to September 30, 2016 is a result of the $6.8 million decrease in nonperforming loans discussed above. The decrease in the allowance for loan losses as a percentage of total loans at September 30, 2017 compared to September 30, 2016 is due to an overall increase in the legacy portfolio of the Company of $139.3 million, or 16.4%, while the allowance for loan losses increased $0.2 million, or 3.0%.
The provision for loan losses was $0.4 million for both the second and third quarters of 2017, a decrease of $0.1 million compared to provision for loan losses of $0.5 million for the quarter ended September 30, 2016.
Management continues to monitor the Company’s loan portfolio for exposure to potential negative impacts of suppressed oil and gas prices. We consider our direct exposure to the energy sector not to be significant, at approximately one percent of the total loan portfolio at September 30, 2017. However, should the price of oil and gas decline further and/or remain at the current low price for an extended period, the general economic conditions in our south Louisiana markets could be negatively affected and could negatively impact borrowers’ ability to service their debt. Management continually evaluates the allowance for loan losses based on several factors, including economic conditions, and currently believes that any potential negatively affected future cash flows related to these loans would be covered by the current allowance for loan losses.
Deposits
Total deposits at September 30, 2017 were $1.1 billion, an increase of $206.5 million, or 23.1%, compared to June 30, 2017, and an increase of $194.3 million, or 21.4%, compared to September 30, 2016. The Company acquired $212.2 million in deposits from the Citizens acquisition. Exclusive of acquired deposits, total deposits decreased $5.6 million, or 0.6%, compared to June 30, 2017, and decreased $17.9 million, or 2.0%, compared to September 30, 2016. The decrease in deposits is primarily due to a decrease in time deposits of $8.5 million, or 2.1%, compared to June 30, 2017, and a decrease of $79.7 million, or 17%, compared to September 30, 2016, resulting from the Bank’s strategy to decrease its dependence on non-retail certificates of deposit.

The following table sets forth the composition of the Company’s deposits as of the dates indicated (dollars in thousands).
 
 
 
 
 
 
 
 
Linked Quarter Change
 
Year/Year Change
 
Percentage of
Total Deposits

 
9/30/2017
 
6/30/2017
 
9/30/2016
 
$
 
%
 
$
 
%
 
9/30/2017
 
9/30/2016
Noninterest-bearing demand deposits
 
$
175,130

 
$
130,625

 
$
112,414

 
$
44,505

 
34.1
%
 
$
62,716

 
55.8
%
 
15.9
%
 
12.4
%
NOW accounts
 
192,503

 
171,244

 
150,551

 
21,259

 
12.4

 
41,952

 
27.9

 
17.5

 
16.6

Money market deposit accounts
 
147,096

 
143,957

 
123,487

 
3,139

 
2.2

 
23,609

 
19.1

 
13.3

 
13.6

Savings accounts
 
103,017

 
50,945

 
51,332

 
52,072

 
102.2

 
51,685

 
100.7

 
9.4

 
5.7

Time deposits
 
483,616

 
398,054

 
469,267

 
85,562

 
21.5

 
14,349

 
3.1

 
43.9

 
51.7

Total deposits
 
$
1,101,362

 
$
894,825

 
$
907,051

 
$
206,537

 
23.1
%
 
$
194,311

 
21.4
%
 
100.0
%
 
100.0
%
Financial Results for the Quarter Ended September 30, 2017
The financial results for the quarter ended September 30, 2017 reflect the acquisition of Citizens beginning July 1, 2017. The acquisition of Citizens added three branch locations in Evangeline Parish with total assets of $250 million, total loans of $130 million, and total deposits of $212 million. During the quarter ended September 30, 2017, the Company recognized $0.8 million in expenses related to the acquisition of Citizens.
Net Interest Income
Net interest income for the third quarter of 2017 totaled $11.5 million, an increase of $2.2 million, or 24.0%, compared to the second quarter of 2017, and an increase of $2.8 million, or 31.8%, compared to the third quarter of 2016. The increase in net interest income was primarily driven by growth in loan and securities balances partially offset by an increase in interest expense as we funded the increase in earning assets with increased deposits and borrowings. Net interest income for the third quarter of 2017 increased $2.7 million and $0.8 million due to increases in the volume and yield, respectively, of interest-earning assets, offset slightly by decreases of $0.4 million and $0.3 million due to the increases in the volume and rate, respectively, of interest-bearing liabilities compared to the third quarter of 2016.



The Company’s net interest margin was 3.40% for the quarter ended September 30, 2017 compared to 3.28% for the quarter ended June 30, 2017 and 3.23% for the quarter ended September 30, 2016. The yield on interest-earning assets was 4.26% for the quarter ended September 30, 2017 compared to 4.18% for the quarter ended June 30, 2017 and 4.06% for the quarter ended September 30, 2016.
The cost of deposits decreased seven basis points to 0.91% for the quarter ended September 30, 2017 compared to 0.98% for both the quarters ended June 30, 2017 and September 30, 2016. The decrease in the cost of deposits when compared to the quarters ended June 30, 2017 and September 30, 2016 is a result of a decrease in the cost of savings deposits and time deposits. The overall costs of funds for the quarter ended September 30, 2017 decreased five basis points to 1.05% compared to 1.10% for the quarter ended June 30, 2017 and increased seven basis points compared to 0.98% for the quarter ended September 30, 2016. The decrease in the cost of deposits and cost of funds at September 30, 2017 compared to June 30, 2017 is mainly a result of lower cost deposits and long term borrowings acquired from Citizens. The increase in the cost of funds at September 30, 2017 compared to September 30, 2016 is mainly attributable to the increase in long term borrowings resulting from the Company’s issuance and sale, on March 24, 2017, of $18.6 million in aggregate principal amount of its 6.00% Fixed-to-Floating Rate Subordinated Notes due in 2027. The Company used the net proceeds from the debt issuance to fund a portion of the acquisition of Citizens Bancshares, Inc. and its wholly-owned subsidiary, Citizens Bank.
Noninterest Income
Noninterest income for the third quarter of 2017 totaled $1.2 million, an increase of $0.4 million, or 45.7%, compared to the second quarter of 2017, and an increase of $0.1 million, or 13.4%, compared to the third quarter of 2016. The increase in noninterest income when compared to the quarter ended June 30, 2017 is due to a $0.2 million increase in both service charges on deposit accounts and gain on sale of fixed assets, offset by a $0.1 million decrease in the gain on sale of investment securities.
Noninterest Expense
Noninterest expense for the third quarter of 2017 totaled $9.1 million, an increase of $2.2 million, or 31.7%, compared to the second quarter of 2017, and an increase of $2.6 million, or 39.3%, compared to the third quarter of 2016. The increase in noninterest expense compared to the quarters ended June 30, 2017 and September 30, 2016 is mainly attributable to the increases in both salaries and employee benefits and acquisition expense. The increase in salaries and employee benefits is a result of the increase in employees following the Citizens acquisition, as well as the addition of four commercial lenders in the Baton Rouge, New Orleans and Lafayette markets, and a Community Development Officer and Treasury Management Sales Officer in the New Orleans market during the quarter ended September 30, 2017. The increase in acquisition expense was a result of the Citizens acquisition that was completed on July 1, 2017.
Noninterest expense for the third quarter of 2017 includes a full quarter of expenses of approximately $0.4 million for both de novo branches, one in each of the Baton Rouge (Gonzales) and New Orleans (Elmwood) markets, that were opened at the end of the second quarter of 2017.
Basic Earnings Per Share and Diluted Earnings Per Share
The Company reported both basic and diluted earnings per share of $0.24 for the three months ended September 30, 2017, a decrease of $0.05 compared to basic and diluted earnings per share of $0.29 for the three months ended September 30, 2016. The decrease in both basic and diluted earnings per share is attributable to the Company’s issuance of approximately 1.6 million common shares as part of a public offering on March 22, 2017, as well as the $0.8 million in acquisition expenses related to the Citizens acquisition.
Taxes
The Company recorded income tax expense of $1.0 million for the quarter ended September 30, 2017, which equates to an effective tax rate of 32.6%.
About Investar Holding Corporation
Investar Holding Corporation, headquartered in Baton Rouge, Louisiana, provides full banking services, excluding trust services, through its wholly-owned banking subsidiary, Investar Bank, a state chartered bank. The Company’s primary market is South Louisiana and it currently operates 15 full service banking offices located throughout its market. At September 30, 2017, the Company had 227 full-time equivalent employees.
Non-GAAP Financial Measures
This press release contains financial information determined by methods other than in accordance with generally accepted accounting principles in the United States of America, or GAAP. These measures and ratios include “tangible common equity,” “tangible assets,” “tangible equity to tangible assets,” “tangible book value per common share,” “core noninterest income,” “core earnings before noninterest



expense,” “core noninterest expense,” “core earnings before income tax expense,” “core income tax expense,” “core earnings,” “core efficiency ratio,” “core return on average assets,” “core return on average equity,” “core basic earnings per share,” and “core diluted earnings per share.” Management believes these non-GAAP financial measures provide information useful to investors in understanding the Company’s financial results, and the Company believes that its presentation, together with the accompanying reconciliations, provide a more complete understanding of factors and trends affecting the Company’s business and allow investors to view performance in a manner similar to management, the entire financial services sector, bank stock analysts and bank regulators. These non-GAAP measures should not be considered a substitute for GAAP basis measures and results, and the Company strongly encourages investors to review its consolidated financial statements in their entirety and not to rely on any single financial measure. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies’ non-GAAP financial measures having the same or similar names. A reconciliation of the non-GAAP financial measures disclosed in this press release to the comparable GAAP financial measures is included at the end of the financial statement tables.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect the Company’s current views with respect to, among other things, future events and financial performance. The Company generally identifies forward-looking statements by terminology such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “could,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates,” or the negative version of those words or other comparable words. Any forward-looking statements contained in this press release are based on the historical performance of the Company and its subsidiaries or on the Company’s current plans, estimates and expectations. The inclusion of this forward-looking information should not be regarded as a representation by the Company that the future plans, estimates or expectations by the Company will be achieved. Such forward-looking statements are subject to various risks and uncertainties and assumptions relating to the Company’s operations, financial results, financial condition, business prospects, growth strategy and liquidity. If one or more of these or other risks or uncertainties materialize, or if the Company’s underlying assumptions prove to be incorrect, the Company’s actual results may vary materially from those indicated in these statements. The Company does not undertake any obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise. A number of important factors could cause actual results to differ materially from those indicated by the forward-looking statements. These factors include, but are not limited to, the following, any one or more of which could materially affect the outcome of future events:

business and economic conditions generally and in the financial services industry in particular, whether nationally, regionally or in the markets in which we operate;
our ability to achieve organic loan and deposit growth, and the composition of that growth;
changes (or the lack of changes) in interest rates, yield curves and interest rate spread relationships that affect our loan and deposit pricing;
the extent of continuing client demand for the high level of personalized service that is a key element of our banking approach as well as our ability to execute our strategy generally;
our dependence on our management team, and our ability to attract and retain qualified personnel;
changes in the quality or composition of our loan or investment portfolios, including adverse developments in borrower industries or in the repayment ability of individual borrowers;
inaccuracy of the assumptions and estimates we make in establishing reserves for probable loan losses and other estimates;
the concentration of our business within our geographic areas of operation in Louisiana;
concentration of credit exposure;
the ability to effectively integrate employees, customers, operations and branches from our recent acquisition of Citizens; and
the satisfaction of the conditions to closing the pending acquisition of BOJ Bancshares, Inc. and the ability to subsequently integrate it effectively.

These factors should not be construed as exhaustive. Additional information on these and other risk factors can be found in Item 1A. “Risk Factors” and in the “Special Note Regarding Forward-Looking Statements” in Item 7. “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016, filed with the Securities and Exchange Commission.

For further information contact:
Investar Holding Corporation                
Chris Hufft
Chief Financial Officer
(225) 227-2215
Chris.Hufft@investarbank.com



INVESTAR HOLDING CORPORATION
SUMMARY FINANCIAL INFORMATION
(Amounts in thousands, except share data)
(Unaudited)

 










 
As of and for the three months ended

 
9/30/2017
 
6/30/2017
 
9/30/2016
 
Linked Quarter
 
Year/Year
EARNINGS DATA
 
 
 
 
 
 
 
 
 
 
Total interest income
 
$
14,442

 
$
11,844

 
$
10,993

 
21.9
 %
 
31.4
 %
Total interest expense
 
2,904

 
2,542

 
2,240

 
14.2

 
29.6

Net interest income
 
11,538

 
9,302

 
8,753

 
24.0

 
31.8

Provision for loan losses
 
420

 
375

 
450

 
12.0

 
(6.7
)
Total noninterest income
 
1,167

 
801

 
1,029

 
45.7

 
13.4

Total noninterest expense
 
9,122

 
6,928

 
6,548

 
31.7

 
39.3

Income before income taxes
 
3,163

 
2,800

 
2,784

 
13.0

 
13.6

Income tax expense
 
1,032

 
877

 
747

 
17.7

 
38.2

Net income
 
$
2,131

 
$
1,923

 
$
2,037

 
10.8

 
4.6

 
 
 
 
 
 
 
 
 
 
 
AVERAGE BALANCE SHEET DATA
 
 
 
 
 
 
 
 
 
 
Total assets
 
$
1,437,929

 
$
1,198,878

 
$
1,134,591

 
19.9
 %
 
26.7
 %
Total interest-earning assets
 
1,346,455

 
1,137,752

 
1,075,145

 
18.3

 
25.2

Total loans
 
1,073,800

 
914,265

 
840,028

 
17.4

 
27.8

Total gross loans
 
1,073,800

 
914,265

 
874,272

 
17.4

 
22.8

Total interest-bearing deposits
 
927,014

 
745,647

 
784,591

 
24.3

 
18.2

Total interest-bearing liabilities
 
1,101,112

 
922,780

 
905,521

 
19.3

 
21.6

Total deposits
 
1,100,226

 
862,361

 
887,327

 
27.6

 
24.0

Total stockholders’ equity
 
152,186

 
149,713

 
113,056

 
1.7

 
34.6

 
 
 
 
 
 
 
 
 
 
 
PER SHARE DATA
 
 
 
 
 
 
 
 
 
 
Earnings:
 
 
 
 
 
 
 
 
 
 
Basic earnings per share
 
$
0.24

 
$
0.22

 
$
0.29

 
9.1
 %
 
(17.2
)%
Diluted earnings per share
 
0.24

 
0.22

 
0.29

 
9.1

 
(17.2
)
Core Earnings(1):
 
 
 
 
 
 
 
 
 
 
Core basic earnings per share(1)
 
0.29

 
0.22

 
0.27

 
31.8

 
7.4

Core diluted earnings per share(1)
 
0.29

 
0.22

 
0.27

 
31.8

 
7.4

Book value per share
 
17.56

 
17.11

 
15.93

 
2.6

 
10.2

Tangible book value per share(1)
 
16.04

 
16.74

 
15.47

 
(4.2
)
 
3.7

Common shares outstanding
 
8,704,562

 
8,815,119

 
7,131,186

 
(1.3
)
 
22.1

 
 
 
 
 
 
 
 
 
 
 
PERFORMANCE RATIOS
 
 
 
 
 
 
 
 
 
 
Return on average assets
 
0.59
%
 
0.64
%
 
0.71
%
 
(7.8
)%
 
(16.9
)%
Core return on average assets(1)
 
0.70

 
0.64

 
0.66

 
9.4

 
6.1

Return on average equity
 
5.55

 
5.15

 
7.15

 
7.8

 
(22.4
)
Core return on average equity(1)
 
6.61

 
5.11

 
6.63

 
29.4

 
(0.3
)
Net interest margin
 
3.40

 
3.28

 
3.23

 
3.7

 
5.3

Net interest income to average assets
 
3.18

 
3.11

 
3.06

 
2.3

 
3.9

Noninterest expense to average assets
 
2.52

 
2.32

 
2.29

 
8.6

 
10.0

Efficiency ratio(2)
 
71.80

 
68.57

 
66.94

 
4.7

 
7.3

Core efficiency ratio(1)
 
66.49

 
68.46

 
68.37

 
(2.9
)
 
(2.7
)
Dividend payout ratio
 
12.26

 
9.94

 
3.81

 
23.3

 
221.8

Net charge-offs to average loans
 
0.01

 
0.03

 
0.02

 
(66.7
)
 
(50.0
)

 

 

 

 

 


 

 

 

 

 

(1) Non-GAAP financial measure. See reconciliation.
(2) Efficiency ratio represents noninterest expenses divided by the sum of net interest income (before provision for loan losses) and noninterest income.




INVESTAR HOLDING CORPORATION
SUMMARY FINANCIAL INFORMATION
(Amounts in thousands, except share data)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
As of and for the three months ended
 
 
9/30/2017
 
6/30/2017
 
9/30/2016
 
Linked Quarter
 
Year/Year
ASSET QUALITY RATIOS
 
 
 
 
 
 
 
 
 
 
Nonperforming assets to total assets
 
0.41
%
 
0.41
%
 
0.80
%
 
 %
 
(48.8
)%
Nonperforming loans to total loans
 
0.20

 
0.13

 
1.06

 
53.8

 
(81.1
)
Allowance for loan losses to total loans, excluding acquired loans
 
0.77

 
0.78

 
0.87

 
(1.3
)
 
(11.5
)
Allowance for loan losses to nonperforming loans, excluding acquired loans
 
541.62

 
627.63

 
82.4

 
(13.7
)
 
557.3

 
 
 
 
 
 
 
 
 
 
 
CAPITAL RATIOS
 
 
 
 
 
 
 
 
 
 
Investar Holding Corporation:
 
 
 
 
 
 
 
 
 
 
Total equity to total assets
 
10.35
%
 
12.30
%
 
9.84
%
 
(15.9
)%
 
5.2
 %
Tangible equity to tangible assets(1)
 
9.54

 
12.07

 
9.59

 
(21.0
)
 
(0.5
)
Tier 1 leverage ratio
 
10.13

 
12.71

 
10.10

 
(20.3
)
 
0.3

Common equity tier 1 capital ratio(2)
 
11.86

 
14.71

 
11.02

 
(19.4
)
 
7.6

Tier 1 capital ratio(2)
 
12.15

 
15.05

 
11.37

 
(19.3
)
 
6.9

Total capital ratio(2)
 
14.32

 
17.57

 
12.11

 
(18.5
)
 
18.2

Investar Bank:
 
 
 
 
 
 
 
 
 
 
Tier 1 leverage ratio
 
11.20

 
13.96

 
9.94

 
(19.8
)
 
12.7

Common equity tier 1 capital ratio(2)
 
13.46

 
16.53

 
11.19

 
(18.6
)
 
20.3

Tier 1 capital ratio(2)
 
13.46

 
16.53

 
11.19

 
(18.6
)
 
20.3

Total capital ratio(2)
 
14.10

 
17.26

 
11.93

 
(18.3
)
 
18.2

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1) Non-GAAP financial measure. See reconciliation.
(2) Estimated for September 30, 2017




INVESTAR HOLDING CORPORATION
CONSOLIDATED BALANCE SHEETS
(Amounts in thousands, except share data)
(Unaudited)

 

 

 


 
September 30, 2017
 
June 30, 2017
 
September 30, 2016
ASSETS
 

 

 

Cash and due from banks
 
$
17,942

 
$
11,720

 
$
10,172

Interest-bearing balances due from other banks
 
30,566

 
23,238

 
35,811

Federal funds sold
 

 
3

 
172

Cash and cash equivalents
 
48,508

 
34,961

 
46,155


 

 

 

Available for sale securities at fair value (amortized cost of $228,980, $185,121, and $147,609, respectively)
 
227,562

 
183,584

 
148,981

Held to maturity securities at amortized cost (estimated fair value of $19,311, $19,418, and $21,625, respectively)
 
19,306

 
19,460

 
21,454

Loans held for sale
 

 

 
40,553

Loans, net of allowance for loan losses of $7,605, $7,320, and $7,383, respectively
 
1,102,916

 
925,640

 
839,445

Other equity securities
 
7,744

 
7,025

 
7,388

Bank premises and equipment, net of accumulated depreciation of $7,362, $7,497, and $6,380, respectively
 
33,705

 
31,510

 
31,835

Other real estate owned, net
 
3,830

 
3,830

 
279

Accrued interest receivable
 
4,147

 
3,197

 
3,081

Deferred tax asset
 
2,604

 
2,343

 
1,384

Goodwill and other intangible assets, net
 
13,271

 
3,213

 
3,244

Bank-owned life insurance
 
8,140

 
7,297

 
7,150

Other assets
 
4,690

 
3,466

 
3,256

Total assets
 
$
1,476,423

 
$
1,225,526

 
$
1,154,205


 

 

 

LIABILITIES
 

 

 

Deposits
 

 

 

Noninterest-bearing
 
$
175,130

 
$
130,625

 
$
112,414

Interest-bearing
 
926,232

 
764,200

 
794,637

Total deposits
 
1,101,362

 
894,825

 
907,051

Advances from Federal Home Loan Bank
 
162,700

 
109,285

 
88,943

Repurchase agreements
 
24,892

 
36,745

 
23,554

Subordinated debt
 
18,157

 
18,145

 

Junior subordinated debt
 
3,609

 
3,609

 
3,609

Accrued taxes and other liabilities
 
12,827

 
12,121

 
17,472

Total liabilities
 
1,323,547

 
1,074,730

 
1,040,629


 

 

 

STOCKHOLDERS’ EQUITY
 

 

 

Preferred stock, no par value per share; 5,000,000 shares authorized
 

 

 

Common stock, $1.00 par value per share; 40,000,000 shares authorized; 8,704,562, 8,815,119, and 7,131,186 shares outstanding, respectively
 
8,705

 
8,815

 
7,131

Surplus
 
113,458

 
113,246

 
81,827

Retained earnings
 
31,508

 
29,644

 
24,465

Accumulated other comprehensive loss
 
(795
)
 
(909
)
 
153

Total stockholders’ equity
 
152,876

 
150,796

 
113,576

   Total liabilities and stockholders’ equity
 
$
1,476,423

 
$
1,225,526

 
$
1,154,205




INVESTAR HOLDING CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
(Amounts in thousands, except share data)
(Unaudited)

 
 
 
 
 
 
 
 
 
 

 
For the three months ended
 
For the nine months ended

 
September 30, 2017
 
June 30, 2017
 
September 30, 2016
 
September 30, 2017
 
September 30, 2016
INTEREST INCOME
 

 

 

 

 

Interest and fees on loans
 
$
12,893

 
$
10,559

 
$
10,011

 
$
33,456

 
$
29,277

Interest on investment securities
 
1,399

 
1,199

 
920

 
3,627

 
2,667

Other interest income
 
150

 
86

 
62

 
296

 
146

Total interest income
 
14,442

 
11,844

 
10,993

 
37,379

 
32,090


 

 

 

 

 

INTEREST EXPENSE
 

 

 

 

 

Interest on deposits
 
2,137

 
1,827

 
1,934

 
5,817

 
5,212

Interest on borrowings
 
767

 
715

 
306

 
1,862

 
920

Total interest expense
 
2,904

 
2,542

 
2,240

 
7,679

 
6,132

Net interest income
 
11,538

 
9,302

 
8,753

 
29,700

 
25,958


 

 

 

 

 

Provision for loan losses
 
420

 
375

 
450

 
1,145

 
1,704

Net interest income after provision for loan losses
 
11,118

 
8,927

 
8,303

 
28,555

 
24,254


 

 

 

 

 

NONINTEREST INCOME
 

 

 

 

 

Service charges on deposit accounts
 
281

 
96

 
79

 
474

 
264

Gain on sale of investment securities, net
 
27

 
109

 
204

 
242

 
428

Gain on sale of fixed assets, net
 
160

 
1

 

 
184

 
1,252

Gain (loss) on sale of other real estate owned, net
 
37

 
(10
)
 

 
32

 
11

Gain on sale of loans, net
 

 

 

 

 
313

Servicing fees and fee income on serviced loans
 
352

 
378

 
510

 
1,153

 
1,638

Other operating income
 
310

 
227

 
236

 
768

 
666

Total noninterest income
 
1,167

 
801

 
1,029

 
2,853

 
4,572

Income before noninterest expense
 
12,285

 
9,728

 
9,332

 
31,408

 
28,826


 

 

 

 

 

NONINTEREST EXPENSE
 

 

 

 

 

Depreciation and amortization
 
542

 
391

 
371

 
1,309

 
1,110

Salaries and employee benefits
 
5,136

 
4,109

 
3,945

 
13,195

 
11,708

Occupancy
 
317

 
245

 
265

 
826

 
743

Data processing
 
446

 
355

 
374

 
1,169

 
1,115

Marketing
 
124

 
119

 
102

 
271

 
316

Professional fees
 
263

 
231

 
312

 
726

 
966

Customer reimbursements
 

 

 

 

 
584

Acquisition expenses
 
824

 
80

 

 
1,049

 

Other operating expenses
 
1,470

 
1,398

 
1,179

 
4,189

 
3,494

Total noninterest expense
 
9,122

 
6,928

 
6,548

 
22,734

 
20,036

Income before income tax expense
 
3,163

 
2,800

 
2,784

 
8,674

 
8,790

Income tax expense
 
1,032

 
877

 
747

 
2,756

 
2,758

Net income
 
$
2,131

 
$
1,923

 
$
2,037

 
$
5,918

 
$
6,032


 
 
 
 
 
 
 
 
 
 
EARNINGS PER SHARE
 
 
 
 
 
 
 
 
 
 
Basic earnings per share
 
$
0.24

 
$
0.22

 
$
0.29

 
$
0.72

 
$
0.85

Diluted earnings per share
 
$
0.24

 
$
0.22

 
$
0.29

 
$
0.71

 
$
0.84

Cash dividends declared per common share
 
$
0.03

 
$
0.02

 
$
0.01

 
$
0.07

 
$
0.03





INVESTAR HOLDING CORPORATION
EARNINGS PER SHARE
(Amounts in thousands, except share data)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
For the three months ended
 
For the nine months ended
 
 
September 30, 2017
 
June 30, 2017
 
September 30, 2016
 
September 30, 2017
 
September 30, 2016
Net income
 
$
2,131

 
$
1,923

 
$
2,037

 
$
5,918

 
$
6,032

Weighted average number of common shares outstanding used in computation of basic earnings per share
 
8,702,559

 
8,685,980

 
7,059,953

 
8,203,645

 
7,137,398

Effect of dilutive securities:
 
 
 
 
 
 
 
 
 
 
Restricted stock
 
27,741

 
27,045

 
15,546

 
18,756

 
8,991

Stock options
 
46,632

 
43,640

 
15,369

 
10,572

 
14,920

Stock warrants
 
20,585

 
23,963

 
11,575

 
47,022

 
11,360

Weighted average number of common shares outstanding plus effect of dilutive securities used in computation of diluted earnings per share
 
8,797,517

 
8,780,628

 
7,102,443

 
8,279,995

 
7,172,669

Basic earnings per share
 
$
0.24

 
$
0.22

 
$
0.29

 
$
0.72

 
$
0.85

Diluted earnings per share
 
$
0.24

 
$
0.22

 
$
0.29

 
$
0.71

 
$
0.84






INVESTAR HOLDING CORPORATION
CONSOLIDATED AVERAGE BALANCE SHEET, INTEREST EARNED AND YIELD ANALYSIS
(Amounts in thousands)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
For the three months ended
 
 
September 30, 2017
 
June 30, 2017
 
September 30, 2016
 
 
Average
Balance
 
Interest
Income/
Expense
 
Yield/ Rate
 
Average
Balance
 
Interest
Income/
Expense
 
Yield/ Rate
 
Average
Balance
 
Interest
Income/
Expense
 
Yield/ Rate
Assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-earning assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans
 
$
1,073,800

 
$
12,893

 
4.76
%
 
$
914,265

 
$
10,559

 
4.63
%
 
$
874,272

 
$
10,011

 
4.54
%
Securities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Taxable
 
203,407

 
1,193

 
2.33

 
165,689

 
1,013

 
2.45

 
136,047

 
728

 
2.12

Tax-exempt
 
34,659

 
206

 
2.36

 
29,375

 
186

 
2.54

 
30,733

 
192

 
2.48

Interest-bearing balances with banks
 
34,589

 
150

 
1.72

 
28,423

 
86

 
1.21

 
34,093

 
62

 
0.72

Total interest-earning assets
 
1,346,455

 
14,442

 
4.26

 
1,137,752

 
11,844

 
4.18

 
1,075,145

 
10,993

 
4.06

Cash and due from banks
 
22,626

 
 
 
 
 
8,213

 
 
 
 
 
7,138

 
 
 
 
Intangible assets
 
13,283

 
 
 
 
 
3,217

 
 
 
 
 
3,248

 
 
 
 
Other assets
 
63,007

 
 
 
 
 
56,919

 
 
 
 
 
56,273

 
 
 
 
Allowance for loan losses
 
(7,442
)
 
 
 
 
 
(7,223
)
 
 
 
 
 
(7,213
)
 
 
 
 
Total assets
 
$
1,437,929

 
 
 
 
 
$
1,198,878

 
 
 
 
 
$
1,134,591

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities and stockholders’ equity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing liabilities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Deposits:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing demand deposits
 
$
337,846

 
$
604

 
0.71

 
$
291,902

 
$
524

 
0.72

 
$
262,841

 
$
433

 
0.65

Savings deposits
 
102,331

 
139

 
0.54

 
51,474

 
83

 
0.65

 
51,924

 
88

 
0.67

Time deposits
 
486,837

 
1,394

 
1.14

 
402,271

 
1,220

 
1.22

 
469,826

 
1,413

 
1.19

Total interest-bearing deposits
 
927,014

 
2,137

 
0.91

 
745,647

 
1,827

 
0.98

 
784,591

 
1,934

 
0.98

Short-term borrowings
 
122,456

 
367

 
1.19

 
137,848

 
350

 
1.02

 
98,286

 
237

 
0.96

Long-term debt
 
51,642

 
400

 
3.07

 
39,285

 
365

 
3.73

 
22,644

 
69

 
1.21

Total interest-bearing liabilities
 
1,101,112

 
2,904

 
1.05

 
922,780

 
2,542

 
1.10

 
905,521

 
2,240

 
0.98

Noninterest-bearing deposits
 
173,212

 
 
 
 
 
116,714

 
 
 
 
 
102,736

 
 
 
 
Other liabilities
 
11,419

 
 
 
 
 
9,671

 
 
 
 
 
13,278

 
 
 
 
Stockholders’ equity
 
152,186

 
 
 
 
 
149,713

 
 
 
 
 
113,056

 
 
 
 
Total liability and stockholders’ equity
 
$
1,437,929

 
 
 
 
 
$
1,198,878

 
 
 
 
 
$
1,134,591

 
 
 
 
Net interest income/net interest margin
 
 
 
$
11,538

 
3.40
%
 
 
 
$
9,302

 
3.28
%
 
 
 
$
8,753

 
3.23
%







INVESTAR HOLDING CORPORATION
CONSOLIDATED AVERAGE BALANCE SHEET, INTEREST EARNED AND YIELD ANALYSIS
(Amounts in thousands)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
For the nine months ended
 
 
September 30, 2017
 
September 30, 2016
 
 
Average
Balance
 
Interest
Income/
Expense
 
Yield/ Rate
 
Average
Balance
 
Interest
Income/
Expense
 
Yield/ Rate
Assets
 
 
 
 
 
 
 
 
 
 
 
 
Interest-earning assets:
 
 
 
 
 
 
 
 
 
 
 
 
Loans
 
$
960,868

 
$
33,456

 
4.66
%
 
$
853,116

 
$
29,277

 
4.57
%
Securities:
 
 
 
 
 
 
 
 
 
 
 
 
Taxable
 
173,273

 
3,044

 
2.35

 
125,982

 
2,172

 
2.30

Tax-exempt
 
31,540

 
583

 
2.47

 
25,920

 
495

 
2.54

Interest-bearing balances with banks
 
29,238

 
296

 
1.35

 
25,608

 
146

 
0.76

Total interest-earning assets
 
1,194,919

 
37,379

 
4.18

 
1,030,626

 
32,090

 
4.15

Cash and due from banks
 
13,180

 
 
 
 
 
7,335

 
 
 
 
Intangible assets
 
6,612

 
 
 
 
 
3,228

 
 
 
 
Other assets
 
58,401

 
 
 
 
 
54,478

 
 
 
 
Allowance for loan losses
 
(7,265
)
 
 
 
 
 
(6,770
)
 
 
 
 
Total assets
 
$
1,265,847

 
 
 
 
 
$
1,088,897

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities and stockholders’ equity
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing liabilities:
 
 
 
 
 
 
 
 
 
 
 
 
Deposits:
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing demand
 
$
307,369

 
$
1,616

 
0.70

 
$
249,960

 
$
1,205

 
0.64

Savings deposits
 
69,194

 
308

 
0.60

 
52,596

 
265

 
0.67

Time deposits
 
440,956

 
3,893

 
1.18