BANK OF SOUTH CAROLINA CORPORATION - PARENT COMPANY

12 Months Ended

Dec. 31, 2021

Condensed Financial Information Disclosure [Abstract]

BANK OF SOUTH CAROLINA CORPORATION - PARENT COMPANY

20.

BANK OF SOUTH CAROLINA CORPORATION - PARENT COMPANY

The Company’s principal source of income is dividends from the Bank. Certain regulatory requirements restrict the amount of dividends which the Bank can pay to the Company. The Company’s principal asset is its investment in its Bank subsidiary. The Company’s condensed statements of financial condition as of December 31, 2021 and 2020, and the related condensed statements of income and cash flows for the years ended December 31, 2021, 2020 and 2019, are as follows:

Condensed Statements of Financial Condition

		December 31
	2021		2020
Assets
Cash	$	1,233,354	$	1,723,556
Investment in wholly-owned bank subsidiary		53,327,296		53,934,084
Other assets		298,998		261,196
Total assets	$	54,859,648	$	55,918,836
Liabilities and shareholders’ equity
Other liabilities	$	942,015	$	938,480
Shareholders’ equity		53,917,633		54,980,356
Total liabilities and shareholders’ equity	$	54,859,648	$	55,918,836

Condensed Statements of Income

	For the year ended December 31,
	2021			2020			2019
Interest income	$	288		$	759		$	1,280
Net operating expenses		(256,471	)		(255,409	)		(221,510	)
Dividends received fom bank		3,805,000			4,700,000			4,170,000
Equity in undistributed earnings of subsidiary		3,196,048			2,015,281			3,368,663
Net income	$	6,744,865		$	6,460,631		$	7,318,433

Condensed Statements of Cash Flows

	For the year ended December 31,
	2021			2020			2019
Cash flows from operating activities:
Net income	$	6,744,865		$	6,460,631		$	7,318,433
Stock-based compensation expense		103,033			92,986			78,053
Equity in undistributed earnings of subsidiary		(3,196,048	)		(2,015,280	)		(3,368,663	)
Decrease in other assets		(37,802	)		(36,590	)		(45,979	)
Increase in other liabilities		(1	)		—			—
Net cash provided by operating activities		3,614,047			4,501,747			3,981,844
Cash flows from financing activities:
Dividends paid		(4,312,138	)		(3,592,841	)		(4,031,157	)
Repurchase of common shares		—			(398,868	)		—
Stock options exercised		207,889			117,044			138,286
Net cash used by financing activities		(4,104,249	)		(3,874,665	)		(3,892,871	)
Net (decrease) increase in cash		(490,202	)		627,082			88,973
Cash at the beginning of the year		1,723,556			1,096,474			1,007,501
Cash at the end of the year	$	1,233,354		$	1,723,556		$	1,096,474
Supplemental disclosure for non-cash investing and financing activity
Change in dividends payable	$	3,536		$	53,680		$	58,163