-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, DqY7doDTJrYV0tyS02t2x4lMJWYEUmn4aiZqc4ZVXjWPieLPqhwrFWVUIxI5Iv1o OZv3sh1J9zjRcrXJhvgVjA== 0000804563-98-000005.txt : 19981111 0000804563-98-000005.hdr.sgml : 19981111 ACCESSION NUMBER: 0000804563-98-000005 CONFORMED SUBMISSION TYPE: 10QSB PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19980930 FILED AS OF DATE: 19981110 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BENCHMARK BANKSHARES INC CENTRAL INDEX KEY: 0000804563 STANDARD INDUSTRIAL CLASSIFICATION: STATE COMMERCIAL BANKS [6022] IRS NUMBER: 541460991 STATE OF INCORPORATION: VA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10QSB SEC ACT: SEC FILE NUMBER: 000-18445 FILM NUMBER: 98743178 BUSINESS ADDRESS: STREET 1: 100 S BROAD ST CITY: KENBRIDGE STATE: VA ZIP: 23944 BUSINESS PHONE: 8046768444 MAIL ADDRESS: STREET 1: 100 S BROAD ST CITY: KENBRIDGE STATE: VA ZIP: 23944 10QSB 1 THIRD QUARTER 1998 10QSB Page 1 of 17 Form 10-QSB U. S. Securities and Exchange Commission Washington, DC 20549 [X] Quarterly Report Under Section 13 or 15(d) of the Securities Exchange Act of 1934 For the 9-month period ended September 30, 1998. [ ] Transition Report Under Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from ______________ to ______________ Commission File No. 000-18445 Benchmark Bankshares, Inc. (Name of Small Business Issuer in its Charter) Virginia 54-1460991 (State or Other Jurisdiction of (I.R.S. Employer ID No.) Incorporation or Organization) 100 South Broad Street Kenbridge, Virginia 23944 (Address of Principal Executive Offices) Issuer's Telephone Number: (804)676-8444 Check whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 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. (1) Yes [X] No [ ] (2) Yes [X] No [ ] State the number of shares outstanding of each of the issuer's classes of common equity, as of the latest applicable date: 2,997,465.366 Page 2 of 17 Form 10-QSB Benchmark Bankshares, Inc. Index September 30, 1998 Part I Financial Information Item 1 Consolidated Balance Sheet Consolidated Statement of Income Condensed Consolidated Statement of Cash Flows Notes to Consolidated Financial Statements Item 2 Management's Discussion and Analysis of Financial Condition and Results of Operations Part II Other Information Item 1 Legal Proceedings Item 2 Changes in Securities Item 3 Defaults Upon Senior Securities Item 4 Submission of Matters to a Vote of Security Holders Item 5 Other Information Item 6 Report on Form 8K Page 3 of 17 Form 10-QSB Benchmark Bankshares, Inc. Consolidated Balance Sheet (Unaudited) (Audited) September 30, December 31, 1998 1997 ---- ---- Assets Cash and due from banks $ 4,781,921 $ 4,595,094 Securities Federal Agency obligations 9,387,297 9,007,268 State and municipal obligations 10,058,136 8,915,548 Other securities 137,000 137,000 Federal funds sold 19,346,000 5,353,000 Loans 131,199,153 127,110,962 Less Unearned interest income (266,868) (297,097) Allowance for loan losses (1,522,115) (1,391,424) --------------- ------------- Net Loans 129,410,170 125,422,441 Premises and equipment - net 3,159,386 2,997,866 Accrued interest receivable 1,490,906 1,236,384 Deferred income taxes 284,760 266,401 Other real estate 550,704 533,234 Other assets 671,911 270,659 --------------- ------------- Total Assets $ 179,278,191 $158,734,895 =============== ============= Page 4 of 17 Form 10-QSB Benchmark Bankshares, Inc. Consolidated Balance Sheet (Unaudited) (Audited) September 30, December 31, 1998 1997 ---- ---- Liabilities and Stockholders' Equity Deposits Demand (noninterest-bearing) $ 17,238,593 $ 13,859,115 NOW accounts 18,360,695 15,707,189 Money market accounts 6,844,373 6,564,365 Savings 9,441,392 8,320,696 Time, $100,000 and over 16,053,682 12,370,092 Other time 91,247,785 83,920,648 --------------- ------------- Total Deposits 159,186,520 140,742,105 Accrued interest payable 779,702 708,315 Accrued income tax payable 27,892 49,867 Dividends payable - 440,824 Other liabilities 292,293 141,512 --------------- ------------- Total Liabilities 160,286,407 142,082,623 Stockholders' Equity Common stock, par value $.21 per share, authorized 4,000,000 shares; issued and outstanding 2,997,465.366 shares as of 9-30-98; and authorized 4,000,000 shares, issued and outstanding 2,942,811.048 shares as of 12-31-97 629,468 617,990 Capital surplus 4,307,183 3,667,557 Retained earnings 13,789,169 12,189,180 Accumulated other comprehensive income, net of tax 265,964 177,545 --------------- ------------- Total Stockholders' Equity 18,991,784 16,652,272 --------------- ------------- Total Liabilities and Stockholders' Equity $ 179,278,191 $158,734,895 =============== ============= Note: The balance sheet at December 31, 1997 has been derived from the audited financial statements at that date. See notes to consolidated financial statements. Page 5 of 17 Form 10-QSB Benchmark Bankshares, Inc. Consolidated Statement of Income (Unaudited) Nine Months Ended September 30, 1998 1997 ---- ---- Interest Income Interest and fees on loans $ 9,316,058 $ 9,133,353 Interest on U. S. Government obligations 508,487 394,087 Interest on State and municipal obligations 352,293 374,676 Interest on Federal funds sold 452,205 275,663 Interest on other securities 2,610 2,610 ------------ ------------ Total Interest Income 10,631,653 10,180,389 Interest Expense Interest on deposits 5,147,596 4,853,985 ------------ ------------ Net Interest Income 5,484,057 5,326,404 Provision for Loan Losses 228,924 293,979 ------------ ------------ Net Interest Income after Provision 5,255,133 5,032,425 Noninterest Income Service charges, commissions, and fees on deposits 316,556 300,107 Other operating income 155,960 143,495 (Losses) on sale of securities (595) (1,468) ------------ ------------ Total Noninterest Income 471,921 442,134 Noninterest Expense Salaries and wages 1,482,925 1,436,714 Employee benefits 335,104 291,060 Occupancy expense 151,099 157,965 Furniture and equipment expense 112,383 108,712 Other operating expense 699,672 695,916 ------------ ------------ Total Noninterest Expense 2,781,183 2,690,367 ------------ ------------ Net Income before Taxes 2,945,871 2,784,192 Income Taxes 897,230 859,059 ------------ ------------ Net Income 2,048,641 1,925,133 Other Comprehensive Income, Net of Tax Unrealized holding gains arising during period 265,964 - ------------ ------------ Comprehensive Income $ 2,314,605 $ 1,925,133 ============ ============ Net Income per Share $ 0.69 $ 0.66 (1) ============ ============ (1) Adjusted for a 2 for 1 stock split on October 2, 1997. See notes to consolidated financial statements. Page 6 of 17 Form 10-QSB Benchmark Bankshares, Inc. Consolidated Statement of Income (Unaudited) Three Months Ended September 30, 1998 1997 ---- ---- Interest Income Interest and fees on loans $3,136,756 $3,123,813 Interest on U. S. Government obligations 171,314 131,812 Interest on State and municipal obligations 120,484 116,635 Interest on Federal funds sold 212,113 106,642 ----------- ----------- Total Interest Income 3,640,667 3,478,902 Interest Expense Interest on deposits 1,790,543 1,646,941 ----------- ----------- Net Interest Income 1,850,124 1,831,961 Provision for Loan Losses 80,974 147,784 ----------- ----------- Net Interest Income after Provision 1,769,150 1,684,177 Noninterest Income Service charges, commissions, and fees on deposits 107,218 107,213 Other operating income 88,479 57,592 (Losses) on sale of securities (159) (234) ----------- ----------- Total Noninterest Income 195,538 164,571 Noninterest Expense Salaries and wages 489,307 488,486 Employee benefits 113,725 112,634 Occupancy expense 51,152 54,359 Furniture and equipment expense 38,364 36,079 Other operating expense 252,115 254,777 ----------- ----------- Total Noninterest Expense 944,663 946,335 ----------- ----------- Net Income before Taxes 1,020,025 902,413 Income Taxes 287,844 279,223 ----------- ----------- Net Income 732,181 623,190 Other Comprehensive Income, Net of Tax Unrealized holding gains arising during period 103,635 - ----------- ----------- Comprehensive Income $ 835,816 $ 623,190 =========== =========== Net Income per Share $ 0.25 $ 0.22 (1) =========== =========== (1) Adjusted for a 2 for 1 stock split on October 2, 1997. See notes to consolidated financial statements. Page 7 of 17 Form 10-QSB Benchmark Bankshares, Inc. Condensed Consolidated Statement of Cash Flows (Unaudited) Nine Months Ended September 30, 1998 1997 ---- ---- Cash Flows from Operating Activities $ 1,370,299 $ 1,789,246 Cash Flows from Financing Activities Net increase in demand deposits and interest- bearing transaction accounts 6,032,984 2,892,251 Net increase in savings and money market deposits 1,400,704 601,366 Net increase in certificates of deposit 11,010,727 3,245,634 Net sale of stock 651,104 369,155 Dividends paid (440,824) (394,226) ------------ ------------ Net Cash Provided by Financing Activities 18,654,695 6,714,180 Cash Flows from Investing Activities Purchase of securities (10,961,068) (661,787) Sale of securities 114,430 823,870 Maturity of securities 9,457,989 1,669,779 Net increase in loans (4,118,420) (6,559,840) Purchases of premises and equipment (320,628) (70,331) Other real estate (17,470) - ------------ ------------ Net Cash Used by Investing Activities (5,845,167) (4,798,309) ------------ ------------ Increase in Cash and Cash Equivalents 14,179,827 3,705,117 Beginning Cash and Cash Equivalents 9,948,094 8,482,901 ------------ ------------ Ending Cash and Cash Equivalents $24,127,921 $12,188,018 ============ ============ Supplemental Data Interest paid $ 5,076,209 $ 4,830,217 Taxes paid 966,927 821,031 See notes to consolidated financial statements. Page 8 of 17 Form 10-QSB Benchmark Bankshares, Inc. Condensed Consolidated Statement of Cash Flows (Unaudited) Three Months Ended September 30, 1998 1997 ---- ---- Cash Flows from Operating Activities $ 425,341 $ 744,851 Cash Flows from Financing Activities Net increase in demand deposits and interest-bearing transaction accounts 710,959 851,471 Net increase (decrease) in savings and money market deposits 5,331 (248,993) Net increase in certificates of deposit 4,902,414 938,246 Sale of stock 210,779 369,155 Dividends paid - (394,226) ----------- ----------- Net Cash Provided by Financing Activities 5,829,483 1,515,653 Cash Flows from Investing Activities Purchase of securities (3,776,983) (499,927) Sales of securities 23,062 - Maturity of securities 4,457,989 253,876 Net increase in loans (2,251,641) (2,268,272) Purchases of premises and equipment (55,831) (16,003) Other real estate (17,470) - ----------- ----------- Net Cash Used by Investing Activities (1,620,874) (2,530,326) ----------- ----------- Increase (Decrease) in Cash and Cash Equivalents 4,633,950 (269,822) Beginning Cash and Cash Equivalents 19,493,971 12,457,840 Ending Cash and Cash Equivalents $24,127,921 $12,188,018 ============ ============ Supplemental Data Interest paid $ 1,741,547 $ 1,626,017 Taxes paid 305,000 237,011 See notes to consolidated financial statements. Page 9 of 17 Form 10-QSB Benchmark Bankshares, Inc. Notes to Consolidated Financial Statements September 30, 1998 1. Basis of Presentation The accompanying consolidated financial statements and related notes of Benchmark Bankshares, Inc. and its subsidiary, Benchmark Community Bank, were prepared by management, which has the primary responsibility for the integrity of the financial information. The statements have been prepared in conformity with generally accepted accounting principles appropriate in the circumstances and include amounts that are based on management's best estimates and judgments. In meeting its responsibilities for the accuracy of its financial statements, management relies on the Company's internal accounting controls. The system provides reasonable assurances that assets are safeguarded and transactions are recorded to permit the preparation of appropriate financial information. The interim period financial information included herein is unaudited; however, such information reflects all adjustments (consisting solely of normal recurring adjustments), which are, in the opinion of management, necessary to a fair presentation of financial position, results of operation, and changes in financial position for the interim periods herein reported. 2. Significant Accounting Policies and Practices The accounting policies and practices of Benchmark Bankshares, Inc. conform to generally accepted accounting principles and general practice within the banking industry. Certain of the more significant policies and practices follow: (a) The consolidated financial statements of Benchmark Bankshares, Inc. and its wholly owned subsidiary, Benchmark Community Bank, include the accounts of both companies. All material inter-company balances and transactions have been eliminated in consolidation. (b) Investment Securities. Pursuant to guidelines established in FAS 115, the Company has elected to classify a portion of its current portfolio as securities available-for-sale. This category refers to investments that are not actively traded but are not anticipated by management to be held-to-maturity. Typically, these types of investments will be utilized by management to meet short-term asset/liability management needs. The remainder of the portfolio is classified as held-to-maturity. This category refers to investments that are anticipated by management to be held until they mature. For purposes of financial statement reporting, securities classified as available-for-sale are to be reported at fair market value (net of any tax effect) as of the date of the statements; however, unrealized holding gains or losses are to be excluded from earnings and reported as a net amount in a separate component of stockholders' equity until realized. Securities classified as held-to-maturity are recorded at cost. The resulting book value ignores the impact of current market trends. Page 10 of 17 (c) Loans. Interest on loans is computed by methods which generally result in level rates of return on principal amounts outstanding (simple interest). Unearned interest on certain installment loans is recognized as income using the rule of 78's method, which materially approximates the effective interest method. Loan fees and related costs are recognized as income and expense in the year the fees are charged and costs incurred. (d) Allowance for Loan Losses. The allowance for loan losses is increased by provisions charged to expense and decreased by loan losses net of recoveries. The provision for loan losses is based on the Bank's loan loss experience and management's detailed review of the loan portfolio which considers economic conditions, prior loan loss experience, and other factors affecting the collectivity of loans. Accrual of interest is discontinued on loans past due 90 days or more when collateral is inadequate to cover principal and interest or immediately if management believes, after considering economic and business conditions and collection efforts, that the borrower's financial condition is such that collection is doubtful. (e) Premises and Equipment. Premises and equipment are stated at cost less accumulated depreciation. Depreciation is computed generally by the straight line basis over the estimated useful lives of the assets. Additions to premises and equipment and major betterments and replacements are added to the accounts at cost. Maintenance and repairs and minor replacements are expensed as incurred. Gains and losses on dispositions are reflected in current earnings. (f) Depreciation. For financial reporting, property and equipment are depreciated using the straight line method; for income tax reporting, depreciation is computed using statutory accelerated methods. Leasehold improvements are amortized on the straight line method over the estimated useful lives of the improvements. Income taxes in the accompanying financial statements reflect the depreciation method used for financial reporting and, accordingly, include a provision for the deferred income tax effect of depreciation which will be recognized in different periods for income tax reporting. (g) Earnings Per Share Earnings per share were computed by using the average shares outstanding for each period presented. The 1998 average shares have been adjusted to reflect the sale of 22,105.344 shares of the Company's common stock through the dividend reinvestment plan and 32,550 shares exercised from the employee stock option plan during the first nine months of 1998. The 1997 average shares have been adjusted to reflect the sale of 17,818.008 shares through the dividend reinvestment program. The average shares of outstanding stock for the first nine months of 1998 and 1997 were 2,957,702.001 shares and 2,922,177.770 shares, respectively. As of September 30, 1998, the Company had outstanding granted options to purchase 110,950 shares of Benchmark Bankshares, Inc. stock to employees and directors under two separate incentive stock plans. Based on current trading values of the stock, the stock options are not considered materially dilutive; therefore, the Company's earnings per share are reported as a simple capital structure. Page 11 of 17 (h) Cash and Cash Equivalents The term cash as used in the Condensed Consolidated Statement of Cash Flows refers to all cash and cash equivalent investments. For purposes of the statement, Federal funds sold, which have a one day maturity, are classified as cash equivalents. (i) The table below reflects the components of the Net Deferred Tax Asset account as of September 30, 1998: Deferred Tax Assets Resulting from Loan loss reserves $465,099 Deferred Tax Liabilities Resulting from Depreciation (43,327) Unrealized securities gains (137,012) --------- Net Deferred Tax Asset $284,760 ========= (j) Year 2000 Compliance The Company has developed a plan which, when implemented, will result in compliance, by June 30, 1999, with all Year 2000 issues related to its operation. In the last quarter, the Federal Reserve Bank reviewed the Bank's existing plan and implementation thereof and reported that the Bank had followed the regulator's guidelines and timetable as prescribed. While in-house operational areas are being addressed currently, the Bank is also dependent on outside vendors and utilities over which it has little control. In these areas, the Bank is pressing for written guarantees for future compliance. If these outside vendors do not provide the proper level of assurances, the Bank will seek additional vendors or take alternative action. The alternative programs are in the early stages of development. Currently, there are no meaningful cost projections for the alternative procedures. Page 12 of 17 Item 2 Management's Discussion and Analysis of Financial Condition and Results of Operations The following is management's discussion and analysis of certain significant factors which have affected the Company's financial position and operating results during the periods included in the accompanying condensed financial statements. Nine Months Ending September 30: 1998 Versus 1997 Earnings Summary Net income of $2,048,641 for the first nine months of 1998 increased $123,508 or 6.42% as compared to net income of $1,925,133 earned during the first nine months of 1997. Earnings per share of $.69 as of September 30, 1998 increased $.03 over the September 30, 1997 level of $.66. The annualized return on average assets of 1.62% decreased 1.82% while the annualized return on average equity of 15.45% decreased 7.49% when comparing first nine months 1998 results with those of first nine months 1997. The increase in earnings reflects a continued growth in loans and deposits. The decline in the return on assets reflects a quicker rate of growth in deposits over loans resulting in a heavier emphasis on lower earning investments. The decrease in the rate of return on equity indicates growth in equity through stock purchases and income retention. Interest Income and Interest Expense Total interest income of $10,631,653 for the first nine months of 1998 increased $451,264 or 4.43% over interest income of $10,180,389 recorded during the first nine months of 1997. The major area of increase was from investments which increased $268,559. Total interest expense in the first nine months of 1998 increased to a level of $5,484,057. This amounted to an increase of $630,072 or 12.98% over the level reached during the first nine months of 1997. This increase in interest expense resulted from deposit growth. Provision for Loan Losses While the Company's loan loss experience ratio remains low, management continues to set aside increasing provisions to the loan loss reserve. During the first nine months of 1998, the Bank increased the loan loss reserve by $130,691 to a level of $1,522,115 or 1.16% of the outstanding loan balance. At year end 1997, the reserve level amounted to $1,349,480 or 1.06% of the outstanding loan balance net of unearned interest. Non-Accrual Loans Non-accrual loans consist of loans accounted for on a non-accrual basis. These loans are maintained on a non-accrual status because of deterioration in the financial condition of the borrower or payment in full of principal or interest is not expected or principal or interest has been in default for a period of 90 days or more unless the asset is both well secured and in the process of collection. As of September 30, 1998, the Bank had $787,580 or .60% of the loan portfolio classified as non-accrual loans. Page 13 of 17 Noninterest Income and Noninterest Expense Noninterest income of $471,921 increased $29,787 or 6.74% for the first nine months of 1998 as compared to the level of $442,134 reached during the first nine months of 1997. The increase primarily resulted from an increase in fees collected on deposit accounts. Noninterest expense of $699,672 increased $3,756 or .54% for the first nine months of 1998 as compared to the level of $2,690,367 reached during the first nine months of 1997 as increases in salaries due to staffing the new office were almost totally offset by a decrease in other operating expenses. Off Balance Sheet Instruments/Credit Concentrations The Company is a party to financial instruments with off balance sheet risk in the normal course of business to meet the financing needs of its customers. Unless noted otherwise, the Company does not require collateral or other security to support these financial instruments. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Those guarantees are primarily issued to facilitate the transaction of business between these parties where the exact financial amount of the transaction is unknown, but a limit can be projected. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. There is a fee charged for this service. As of September 30, 1998, the Bank had $2,195,102 outstanding letters of credit. These instruments are based on the financial strength of the customer and the existing relationship between the Company and the customer. The maturities of these instruments are as follows: 1999 $ 411,313 2000 1,000 2001 1,177,971 2002 604,818 Liquidity As of the end of the first nine months of 1998, $57,043,001 or 43.48% of gross loans will mature or are subject to repricing within one year. These loans are funded in part by $16,053,682 in certificates of deposit of $100,000 or more of which $8,383,384 mature in one year or less. Currently, the Bank has a maturity average ratio for the next twelve months of 55.81% when comparing assets and deposits. At year end 1997, $49,997,185 or 39.39% of gross loans were scheduled to mature or were subject to repricing within one year and $13,277,452 in certificates of deposit were scheduled to mature during 1998. Capital Adequacy Total stockholder equity was $18,991,784 or 10.59% of total assets as of September 30, 1998. This compared to $16,652,272 or 10.49% of total assets as of December 31, 1997. Page 14 of 17 Primary capital (stockholders' equity plus loan loss reserves) of $20,513,899 represents 11.44% of total assets as of September 30, 1998 as compared to $18,043,696 or 11.37% of total assets as of December 31, 1997. The increase in the equity position resulted from the sale of additional stock through the Dividend Reinvestment Program and Stock Option Plans as well as an increase in earnings in the first nine months of 1998 versus the first nine months of 1997. Page 15 of 17 Three Months Ending September 30: 1998 Versus 1997 The same operating policies and philosophies discussed in the nine month discussion were prevalent throughout the third quarter and the operating results were predictably similar. Earnings Summary Net income of $732,181 for the third quarter of 1998 increased $108,991 or 17.49% as compared to the $623,190 earned during the third quarter of 1997. Earnings per share of $.25 for the third quarter of 1998 increased $.03 or 13.64% when compared to the corresponding period in 1997. The annualized return on average assets was 1.66% and the return on average equity was 15.86% for the third quarter of 1998. This compares to a return on average assets of 1.57% and a return on average equity of 15.83% for the same period in 1997. The increased earnings reflect an increase in net earning assets for the comparison period. Interest Income and Interest Expense Total interest income of $3,640,667 for the third quarter of 1998 increased $161,765 or 4.65% from the total interest income of $3,478,902 for the corresponding quarter in 1997. The increase resulted from growth in the investment portfolio including short-term Federal funds sold. Interest on total investments amounted to $503,911. This represented an increase of $148,822 or 41.91% over the corresponding period in 1997. Interest expense for the third quarter of 1998 increased $143,602 or 8.72% over the same period in 1997. The increase in interest expense reflected the deposit growth within the Bank's trade area. Provisions for Loan Losses During the third quarter, the demand for loans was strong and the level of quality loans continued to increase. During the period, the Bank provided an additional $80,974 to the reserve through its provision for loan loss. Loans and Deposits During the third quarter of 1998, net loans grew $2,268,900 or 7.12% annualized. This growth resulted from the continued strong loan demand experienced throughout the Company's trade area. The strong loan demand also allowed the Bank to increase the quality of the loan portfolio by increasing the loan acceptance criteria. Deposits increased by $5,618,704 or 14.64% annualized for the three month period ending September 30, 1998. Management feels that the growth in deposits has resulted from an increase in the size of the trade area as well as further penetration into existing market areas. Page 16 of 17 Form 10-QSB Benchmark Bankshares, Inc. September 30, 1998 Part II Other Information Item 1 Legal Proceedings None Item 2 Changes in Securities None Item 3 Defaults Upon Senior Securities None Item 4 Submission of Matters to a Vote of Security Holders None Item 5 Other Information None Item 6 Report on Form 8-K No reports on Form 8-K have been filed during the quarter ended September 30, 1998. Page 17 of 17 Form 10-QSB Benchmark Bankshares, Inc. September 30, 1998 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 thereunto duly authorized. Benchmark Bankshares, Inc. (Registrant) Date: November 9, 1998 Ben L. Watson, III ------------------ President and CEO Date: November 9, 1998 Janice C. Whitlow ----------------- Cashier and Treasurer EX-27 2 FDS --
9 (Replace this text with the legend) 1 $ 9-MOS DEC-31-1998 JAN-01-1998 SEP-30-1998 1 4,781,921 0 19,346,000 0 16,215,724 3,366,709 3,388,883 131,199,153 1,522,115 179,278,191 159,186,520 0 1,099,887 0 0 0 629,468 18,362,316 179,278,191 9,316,058 1,315,595 0 10,631,653 5,147,596 5,147,596 5,484,057 228,924 (595) 2,781,183 2,048,641 2,048,641 0 0 2,314,605 .69 .69 4.30 787,580 947,615 1,050,713 1,487,312 715,509 196,196 97,963 1,522,115 1,522,115 0 1,432,115
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