Condensed Financial Information of Parent

12 Months Ended

Dec. 31, 2018

Condensed financial information for The First Bancorp, Inc. exclusive of its subsidiary is as follows:

Balance Sheets



As of December 31,	2018		2017
Assets
Cash and cash equivalents	$	1,190,000	$	958,000
Dividends receivable	2,950,000		2,500,000
Investments	—		441,000
Investment in subsidiary	162,763,000		152,174,000
Premises and equipment	2,000		3,000
Goodwill	27,559,000		27,559,000
Other assets	232,000		312,000
Total assets	$	194,696,000	$	183,947,000
Liabilities and shareholders' equity
Dividends payable	$	3,150,000	$	2,599,000
Other liabilities	4,000		27,000
Total liabilities	3,154,000		2,626,000
Shareholders' equity
Common stock	109,000		108,000
Additional paid-in capital	62,746,000		61,747,000
Retained earnings	128,687,000		119,373,000
Accumulated other comprehensive income
Net unrealized gain on available for sale securities, net of tax	—		93,000
Total accumulated other comprehensive income	—		93,000
Total shareholders' equity	191,542,000		181,321,000
Total liabilities and shareholders' equity	$	194,696,000	$	183,947,000

Statements of Income



For the years ended December 31,	2018			2017			2016
Interest and dividends on investments	$	—		$	15,000		$	22,000
Net securities gains (losses)	137,000			(3,000		)	(6,000		)
Total income	137,000			12,000			16,000
Occupancy expense	2,000			5,000			9,000
Other operating expense	652,000			588,000			528,000
Total expense	654,000			593,000			537,000
Loss before income taxes and Bank earnings	(517,000		)	(581,000		)	(521,000		)
Applicable income taxes	(164,000		)	(187,000		)	(186,000		)
Loss before Bank earnings	(353,000		)	(394,000		)	(335,000		)
Equity in earnings of Bank
Remitted	11,300,000			11,180,000			11,300,000
Unremitted	12,589,000			8,802,000			7,044,000
Net income	$	23,536,000		$	19,588,000		$	18,009,000

Statements of Cash Flows



For the years ended December 31,	2018			2017			2016
Cash flows from operating activities:
Net income	$	23,536,000		$	19,588,000		$	18,009,000
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	—			5,000			8,000
Equity compensation expense	381,000			392,000			298,000
(Gain) loss on sale of investments	(137,000		)	3,000			6,000
Tax benefit from vesting of restricted stock	—			—			32,000
Decrease in other assets	81,000			27,000			136,000
(Increase) decrease in dividends receivable	(450,000		)	1,300,000			(1,300,000		)
Increase (decrease) in dividends payable	551,000			(1,179,000		)	112,000
Increase (decrease) in other liabilities	—			(3,000		)	(4,000		)
Unremitted earnings of Bank	(12,589,000		)	(8,802,000		)	(7,044,000		)
Net cash provided by operating activities	11,373,000			11,331,000			10,253,000
Cash flows from investing activities:
Proceeds from sales/maturities of investments	459,000			—			87,000
Capital expenditures	1,000			(4,000		)	—
Net cash provided by (used in) investing activities	460,000			(4,000		)	87,000
Cash flows from financing activities:
Purchase of common stock	(168,000		)	(154,000		)	(129,000		)
Proceeds from sale of common stock	619,000			632,000			531,000
Repurchase of warrants	—			—			(1,750,000		)
Dividends paid	(12,052,000		)	(11,460,000		)	(9,810,000		)
Net cash used in financing activities	(11,601,000		)	(10,982,000		)	(11,158,000		)
Net increase (decrease) in cash and cash equivalents	232,000			345,000			(818,000		)
Cash and cash equivalents at beginning of year	958,000			613,000			1,431,000
Cash and cash equivalents at end of year	$	1,190,000		$	958,000		$	613,000