|
|
x
|
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
¨
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
|
|
Maryland
|
75-3199276
|
(State or Other Jurisdiction
of Incorporation)
|
(I.R.S. Employer
Identification No.)
|
|
|
15W060 North Frontage Road, Burr Ridge, Illinois 60527
|
|
(Address of Principal Executive Offices)
|
|
Large accelerated filer
|
|
¨
|
|
Accelerated filer
|
|
x
|
Non-accelerated filer
|
|
¨
|
|
Smaller reporting company
|
|
¨
|
|
|
|
|
Emerging growth company
|
|
¨
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|
|
Page
Number
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|
|
|
|
|
|
Item 1.
|
||
Item 2.
|
||
Item 3.
|
||
Item 4.
|
||
|
|
|
|
|
|
Item 1.
|
||
Item 1A.
|
||
Item 2.
|
||
Item 3.
|
||
Item 4.
|
||
Item 5.
|
||
Item 6.
|
||
|
|
|
|
|
|
|
|
|
|
June 30, 2017
|
|
December 31, 2016
|
||||
Assets
|
|
|
|
||||
Cash and due from other financial institutions
|
$
|
9,835
|
|
|
$
|
13,053
|
|
Interest-bearing deposits in other financial institutions
|
71,771
|
|
|
83,631
|
|
||
Cash and cash equivalents
|
81,606
|
|
|
96,684
|
|
||
Securities, at fair value
|
109,762
|
|
|
107,212
|
|
||
Loans receivable, net of allowance for loan losses:
June 30, 2017, $8,122 and December 31, 2016, $8,127 |
1,335,835
|
|
|
1,312,952
|
|
||
Other real estate owned, net
|
4,896
|
|
|
3,895
|
|
||
Stock in Federal Home Loan Bank and Federal Reserve Bank, at cost
|
8,290
|
|
|
11,650
|
|
||
Premises and equipment, net
|
30,889
|
|
|
31,413
|
|
||
Accrued interest receivable
|
4,488
|
|
|
4,381
|
|
||
Core deposit intangible
|
531
|
|
|
782
|
|
||
Bank owned life insurance
|
22,723
|
|
|
22,594
|
|
||
Deferred taxes
|
20,676
|
|
|
22,411
|
|
||
Other assets
|
3,722
|
|
|
6,063
|
|
||
Total assets
|
$
|
1,623,418
|
|
|
$
|
1,620,037
|
|
|
|
|
|
||||
Liabilities
|
|
|
|
||||
Deposits
|
|
|
|
||||
Noninterest-bearing
|
$
|
229,921
|
|
|
$
|
249,539
|
|
Interest-bearing
|
1,117,966
|
|
|
1,089,851
|
|
||
Total deposits
|
1,347,887
|
|
|
1,339,390
|
|
||
Borrowings
|
50,877
|
|
|
51,069
|
|
||
Advance payments by borrowers for taxes and insurance
|
13,693
|
|
|
11,041
|
|
||
Accrued interest payable and other liabilities
|
10,899
|
|
|
13,757
|
|
||
Total liabilities
|
1,423,356
|
|
|
1,415,257
|
|
||
|
|
|
|
|
|
||
Stockholders’ equity
|
|
|
|
||||
Preferred Stock, $0.01 par value, 25,000,000 shares authorized, none issued or outstanding
|
—
|
|
|
—
|
|
||
Common Stock, $0.01 par value, 100,000,000 shares authorized; 18,229,860 shares issued at June 30, 2017 and 19,233,760 issued at December 31, 2016
|
182
|
|
|
192
|
|
||
Additional paid-in capital
|
158,060
|
|
|
173,047
|
|
||
Retained earnings
|
41,496
|
|
|
39,483
|
|
||
Unearned Employee Stock Ownership Plan shares
|
—
|
|
|
(8,318
|
)
|
||
Accumulated other comprehensive income
|
324
|
|
|
376
|
|
||
Total stockholders’ equity
|
200,062
|
|
|
204,780
|
|
||
Total liabilities and stockholders’ equity
|
$
|
1,623,418
|
|
|
$
|
1,620,037
|
|
|
Three Months Ended
June 30, |
|
Six Months Ended
June 30, |
||||||||||||
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||||||
Interest and dividend income
|
|
|
|
|
|
|
|
||||||||
Loans, including fees
|
$
|
12,956
|
|
|
$
|
12,099
|
|
|
$
|
25,716
|
|
|
$
|
24,446
|
|
Securities
|
357
|
|
|
307
|
|
|
706
|
|
|
621
|
|
||||
Other
|
336
|
|
|
175
|
|
|
589
|
|
|
273
|
|
||||
Total interest income
|
13,649
|
|
|
12,581
|
|
|
27,011
|
|
|
25,340
|
|
||||
Interest expense
|
|
|
|
|
|
|
|
||||||||
Deposits
|
1,304
|
|
|
950
|
|
|
2,484
|
|
|
1,737
|
|
||||
Borrowings
|
152
|
|
|
2
|
|
|
248
|
|
|
71
|
|
||||
Total interest expense
|
1,456
|
|
|
952
|
|
|
2,732
|
|
|
1,808
|
|
||||
Net interest income
|
12,193
|
|
|
11,629
|
|
|
24,279
|
|
|
23,532
|
|
||||
Provision for loan losses
|
49
|
|
|
1,315
|
|
|
210
|
|
|
825
|
|
||||
Net interest income after provision for loan losses
|
12,144
|
|
|
10,314
|
|
|
24,069
|
|
|
22,707
|
|
||||
Noninterest income
|
|
|
|
|
|
|
|
||||||||
Deposit service charges and fees
|
569
|
|
|
541
|
|
|
1,098
|
|
|
1,108
|
|
||||
Other fee income
|
490
|
|
|
505
|
|
|
971
|
|
|
1,000
|
|
||||
Insurance commissions and annuities income
|
52
|
|
|
72
|
|
|
129
|
|
|
127
|
|
||||
Gain on sale of loans, net
|
53
|
|
|
3
|
|
|
60
|
|
|
21
|
|
||||
Gain on sale of securities (includes $46 accumulated other comprehensive income reclassifications for unrealized net gains on available for sale securities for the six months ended June 30, 2016)
|
—
|
|
|
—
|
|
|
—
|
|
|
46
|
|
||||
Loan servicing fees
|
62
|
|
|
75
|
|
|
130
|
|
|
148
|
|
||||
Amortization and impairment of servicing assets
|
(28
|
)
|
|
(37
|
)
|
|
(59
|
)
|
|
(68
|
)
|
||||
Earnings on bank owned life insurance
|
66
|
|
|
46
|
|
|
129
|
|
|
97
|
|
||||
Trust income
|
193
|
|
|
165
|
|
|
365
|
|
|
325
|
|
||||
Other
|
150
|
|
|
167
|
|
|
328
|
|
|
327
|
|
||||
Total noninterest income
|
1,607
|
|
|
1,537
|
|
|
3,151
|
|
|
3,131
|
|
||||
Noninterest expense
|
|
|
|
|
|
|
|
||||||||
Compensation and benefits
|
5,110
|
|
|
5,713
|
|
|
11,462
|
|
|
11,706
|
|
||||
Office occupancy and equipment
|
1,599
|
|
|
1,635
|
|
|
3,221
|
|
|
3,282
|
|
||||
Advertising and public relations
|
259
|
|
|
252
|
|
|
640
|
|
|
474
|
|
||||
Information technology
|
679
|
|
|
699
|
|
|
1,432
|
|
|
1,423
|
|
||||
Supplies, telephone, and postage
|
358
|
|
|
297
|
|
|
690
|
|
|
673
|
|
||||
Amortization of intangibles
|
122
|
|
|
129
|
|
|
251
|
|
|
265
|
|
||||
Nonperforming asset management
|
27
|
|
|
127
|
|
|
131
|
|
|
211
|
|
||||
Operations of other real estate owned
|
245
|
|
|
149
|
|
|
458
|
|
|
525
|
|
||||
FDIC insurance premiums
|
125
|
|
|
236
|
|
|
312
|
|
|
453
|
|
||||
Other
|
1,083
|
|
|
1,269
|
|
|
2,276
|
|
|
2,424
|
|
||||
Total noninterest expense
|
9,607
|
|
|
10,506
|
|
|
20,873
|
|
|
21,436
|
|
||||
Income before income taxes
|
4,144
|
|
|
1,345
|
|
|
6,347
|
|
|
4,402
|
|
||||
Income tax expense
|
1,572
|
|
|
514
|
|
|
1,894
|
|
|
1,667
|
|
||||
Net income
|
$
|
2,572
|
|
|
$
|
831
|
|
|
$
|
4,453
|
|
|
$
|
2,735
|
|
Basic earnings per common share
|
$
|
0.14
|
|
|
$
|
0.04
|
|
|
$
|
0.24
|
|
|
$
|
0.14
|
|
Diluted earnings per common share
|
$
|
0.14
|
|
|
$
|
0.04
|
|
|
$
|
0.24
|
|
|
$
|
0.14
|
|
Weighted average common shares outstanding
|
18,330,032
|
|
|
19,130,118
|
|
|
18,485,181
|
|
|
19,279,330
|
|
||||
Diluted weighted average common shares outstanding
|
18,330,455
|
|
|
19,130,435
|
|
|
18,485,597
|
|
|
19,279,642
|
|
|
Three Months Ended
June 30, |
|
Six Months Ended
June 30, |
||||||||||||
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||||||
Net income
|
$
|
2,572
|
|
|
$
|
831
|
|
|
$
|
4,453
|
|
|
$
|
2,735
|
|
Unrealized holding loss arising during the period
|
(63
|
)
|
|
(40
|
)
|
|
(83
|
)
|
|
(62
|
)
|
||||
Tax effect
|
24
|
|
|
16
|
|
|
31
|
|
|
24
|
|
||||
Net of tax
|
(39
|
)
|
|
(24
|
)
|
|
(52
|
)
|
|
(38
|
)
|
||||
Reclassification adjustment for gain included in net income
|
—
|
|
|
—
|
|
|
—
|
|
|
(46
|
)
|
||||
Tax effect, included in income tax expense
|
—
|
|
|
—
|
|
|
—
|
|
|
18
|
|
||||
Reclassification adjustment for gain included in net income, net of tax
|
—
|
|
|
—
|
|
|
—
|
|
|
(28
|
)
|
||||
Other comprehensive loss
|
(39
|
)
|
|
(24
|
)
|
|
(52
|
)
|
|
(66
|
)
|
||||
Comprehensive income
|
$
|
2,533
|
|
|
$
|
807
|
|
|
$
|
4,401
|
|
|
$
|
2,669
|
|
|
Common
Stock
|
|
Additional
Paid-in
Capital
|
|
Retained
Earnings
|
|
Unearned
Employee
Stock
Ownership
Plan
Shares
|
|
Accumulated
Other
Comprehen-sive
Income
|
|
Total
|
||||||||||||
Balance at January 1, 2016
|
$
|
203
|
|
|
$
|
184,797
|
|
|
$
|
36,114
|
|
|
$
|
(9,297
|
)
|
|
$
|
547
|
|
|
$
|
212,364
|
|
Net income
|
—
|
|
|
—
|
|
|
2,735
|
|
|
—
|
|
|
—
|
|
|
2,735
|
|
||||||
Other comprehensive loss, net of tax
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(66
|
)
|
|
(66
|
)
|
||||||
Repurchase and retirement of common stock (618,620 shares)
|
(6
|
)
|
|
(7,667
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(7,673
|
)
|
||||||
Nonvested stock awards-stock-based compensation expense
|
—
|
|
|
768
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
768
|
|
||||||
Cash dividends declared on common stock ($0.10 per share)
|
—
|
|
|
—
|
|
|
(2,004
|
)
|
|
—
|
|
|
—
|
|
|
(2,004
|
)
|
||||||
ESOP shares earned
|
—
|
|
|
97
|
|
|
—
|
|
|
486
|
|
|
—
|
|
|
583
|
|
||||||
Balance at June 30, 2016
|
$
|
197
|
|
|
$
|
177,995
|
|
|
$
|
36,845
|
|
|
$
|
(8,811
|
)
|
|
$
|
481
|
|
|
$
|
206,707
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Balance at January 1, 2017
|
$
|
192
|
|
|
$
|
173,047
|
|
|
$
|
39,483
|
|
|
$
|
(8,318
|
)
|
|
$
|
376
|
|
|
$
|
204,780
|
|
Net income
|
—
|
|
|
—
|
|
|
4,453
|
|
|
—
|
|
|
—
|
|
|
4,453
|
|
||||||
Other comprehensive loss, net of tax
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(52
|
)
|
|
(52
|
)
|
||||||
Net exercise of stock options (198,026 shares)
|
2
|
|
|
(1,239
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(1,237
|
)
|
||||||
Prepayment of ESOP Share Acquisition Loan
|
(8
|
)
|
|
(7,185
|
)
|
|
—
|
|
|
8,318
|
|
|
—
|
|
|
1,125
|
|
||||||
Repurchase and retirement of common stock (448,436 shares)
|
(4
|
)
|
|
(6,563
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(6,567
|
)
|
||||||
Cash dividends declared on common stock ($0.13 per share)
|
—
|
|
|
—
|
|
|
(2,440
|
)
|
|
—
|
|
|
—
|
|
|
(2,440
|
)
|
||||||
Balance at June 30 , 2017
|
$
|
182
|
|
|
$
|
158,060
|
|
|
$
|
41,496
|
|
|
$
|
—
|
|
|
$
|
324
|
|
|
$
|
200,062
|
|
|
Six Months Ended
June 30, |
||||||
|
2017
|
|
2016
|
||||
Cash flows from operating activities
|
|
|
|
||||
Net income
|
$
|
4,453
|
|
|
$
|
2,735
|
|
Adjustments to reconcile to net income to net cash from operating activities
|
|
|
|
||||
Provision for loan losses
|
210
|
|
|
825
|
|
||
Prepayment of ESOP Share Acquisition Loan
|
1,125
|
|
|
—
|
|
||
ESOP shares earned
|
—
|
|
|
583
|
|
||
Stock–based compensation expense
|
—
|
|
|
768
|
|
||
Depreciation and amortization
|
1,890
|
|
|
1,872
|
|
||
Amortization of premiums and discounts on securities and loans
|
(91
|
)
|
|
(77
|
)
|
||
Amortization of core deposit intangible
|
251
|
|
|
265
|
|
||
Amortization of servicing assets
|
59
|
|
|
68
|
|
||
Net change in net deferred loan origination costs
|
183
|
|
|
(37
|
)
|
||
Net loss on sale of other real estate owned
|
31
|
|
|
—
|
|
||
Net gain on sale of loans
|
(60
|
)
|
|
(21
|
)
|
||
Net gain on sale of securities
|
—
|
|
|
(46
|
)
|
||
Loans originated for sale
|
(1,016
|
)
|
|
(503
|
)
|
||
Proceeds from sale of loans
|
1,076
|
|
|
524
|
|
||
Other real estate owned valuation adjustments
|
74
|
|
|
129
|
|
||
Net change in:
|
|
|
|
||||
Accrued interest receivable
|
(107
|
)
|
|
226
|
|
||
Earnings on bank owned life insurance
|
(129
|
)
|
|
(97
|
)
|
||
Other assets
|
3,317
|
|
|
1,955
|
|
||
Accrued interest payable and other liabilities
|
(2,858
|
)
|
|
(682
|
)
|
||
Net cash from operating activities
|
8,408
|
|
|
8,487
|
|
||
Cash flows from investing activities
|
|
|
|
||||
Securities
|
|
|
|
||||
Proceeds from maturities
|
29,275
|
|
|
38,523
|
|
||
Proceeds from principal repayments
|
1,732
|
|
|
2,263
|
|
||
Proceeds from sales of securities
|
—
|
|
|
46
|
|
||
Purchases of securities
|
(33,648
|
)
|
|
(31,857
|
)
|
||
Loans receivable
|
|
|
|
||||
Loan participations sold
|
3,615
|
|
|
—
|
|
||
Principal payments on loans receivable
|
295,864
|
|
|
249,183
|
|
||
Purchase of loans
|
(20,406
|
)
|
|
—
|
|
||
Proceeds of loan sale
|
—
|
|
|
14,746
|
|
||
Originated for investment
|
(304,332
|
)
|
|
(240,574
|
)
|
||
Proceeds of redemption of Federal Home Loan Bank of Chicago stock
|
3,514
|
|
|
—
|
|
||
Purchase of Federal Home Loan Bank and Federal Reserve Bank stock
|
(154
|
)
|
|
—
|
|
||
Proceeds from sale of other real estate owned
|
830
|
|
|
1,630
|
|
||
Purchase of premises and equipment, net
|
(507
|
)
|
|
(317
|
)
|
||
Net cash from (used in) investing activities
|
(24,217
|
)
|
|
33,643
|
|
|
Six Months Ended
June 30, |
||||||
|
2017
|
|
2016
|
||||
Cash flows from financing activities
|
|
|
|
||||
Net change in deposits
|
$
|
8,497
|
|
|
$
|
55,683
|
|
Net change in borrowings
|
(192
|
)
|
|
(62,849
|
)
|
||
Net change in advance payments by borrowers for taxes and insurance
|
2,652
|
|
|
893
|
|
||
Repurchase and retirement of common stock
|
(6,567
|
)
|
|
(7,673
|
)
|
||
Cash dividends paid on common stock
|
(2,440
|
)
|
|
(2,004
|
)
|
||
Shares retired for tax liability
|
(1,219
|
)
|
|
—
|
|
||
Net cash from (used in) financing activities
|
731
|
|
|
(15,950
|
)
|
||
Net change in cash and cash equivalents
|
(15,078
|
)
|
|
26,180
|
|
||
Beginning cash and cash equivalents
|
96,684
|
|
|
59,377
|
|
||
Ending cash and cash equivalents
|
$
|
81,606
|
|
|
$
|
85,557
|
|
|
|
|
|
||||
Supplemental disclosures of cash flow information:
|
|
|
|
||||
Interest paid
|
$
|
2,668
|
|
|
$
|
1,710
|
|
Income taxes paid
|
176
|
|
|
175
|
|
||
Loans transferred to other real estate owned
|
1,936
|
|
|
121
|
|
|
Three Months Ended
June 30, |
|
Six Months Ended
June 30, |
||||||||||||
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||||||
Net income available to common stockholders
|
$
|
2,572
|
|
|
$
|
831
|
|
|
$
|
4,453
|
|
|
$
|
2,735
|
|
Average common shares outstanding
|
18,330,972
|
|
|
19,827,581
|
|
|
18,784,934
|
|
|
19,991,561
|
|
||||
Less:
|
|
|
|
|
|
|
|
||||||||
Unearned ESOP shares
|
—
|
|
|
(694,773
|
)
|
|
(298,813
|
)
|
|
(706,941
|
)
|
||||
Unvested restricted stock shares
|
(940
|
)
|
|
(2,690
|
)
|
|
(940
|
)
|
|
(5,290
|
)
|
||||
Weighted average common shares outstanding
|
18,330,032
|
|
|
19,130,118
|
|
|
18,485,181
|
|
|
19,279,330
|
|
||||
Add - Net effect of dilutive unvested restricted stock
|
423
|
|
|
317
|
|
|
416
|
|
|
312
|
|
||||
Diluted weighted average common shares outstanding
|
18,330,455
|
|
|
19,130,435
|
|
|
18,485,597
|
|
|
19,279,642
|
|
||||
Basic earnings per common share
|
$
|
0.14
|
|
|
$
|
0.04
|
|
|
$
|
0.24
|
|
|
$
|
0.14
|
|
Diluted earnings per common share
|
$
|
0.14
|
|
|
$
|
0.04
|
|
|
$
|
0.24
|
|
|
$
|
0.14
|
|
Number of antidilutive stock options excluded from the diluted earnings per share calculation
|
—
|
|
|
536,459
|
|
|
—
|
|
|
536,459
|
|
||||
Weighted average exercise price of anti-dilutive option shares
|
$
|
—
|
|
|
$
|
12.99
|
|
|
$
|
—
|
|
|
$
|
12.99
|
|
|
Amortized
Cost
|
|
Gross
Unrealized
Gains
|
|
Gross
Unrealized
Losses
|
|
Fair Value
|
||||||||
June 30, 2017
|
|
|
|
|
|
|
|
||||||||
Certificates of deposit
|
$
|
90,619
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
90,619
|
|
Equity mutual fund
|
500
|
|
|
1
|
|
|
—
|
|
|
501
|
|
||||
Mortgage-backed securities - residential
|
13,095
|
|
|
553
|
|
|
(19
|
)
|
|
13,629
|
|
||||
Collateralized mortgage obligations - residential
|
5,008
|
|
|
13
|
|
|
(22
|
)
|
|
4,999
|
|
||||
SBA-guaranteed loan participation certificates
|
14
|
|
|
—
|
|
|
—
|
|
|
14
|
|
||||
|
$
|
109,236
|
|
|
$
|
567
|
|
|
$
|
(41
|
)
|
|
$
|
109,762
|
|
December 31, 2016
|
|
|
|
|
|
|
|
||||||||
Certificates of deposit
|
$
|
85,938
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
85,938
|
|
Equity mutual fund
|
500
|
|
|
—
|
|
|
(1
|
)
|
|
499
|
|
||||
Mortgage-backed securities - residential
|
14,561
|
|
|
644
|
|
|
(21
|
)
|
|
15,184
|
|
||||
Collateralized mortgage obligations - residential
|
5,587
|
|
|
15
|
|
|
(28
|
)
|
|
5,574
|
|
||||
SBA-guaranteed loan participation certificates
|
17
|
|
|
—
|
|
|
—
|
|
|
17
|
|
||||
|
$
|
106,603
|
|
|
$
|
659
|
|
|
$
|
(50
|
)
|
|
$
|
107,212
|
|
|
June 30, 2017
|
||||||
|
Amortized
Cost
|
|
Fair
Value
|
||||
Due in one year or less
|
$
|
90,619
|
|
|
$
|
90,619
|
|
Equity mutual fund
|
500
|
|
|
501
|
|
||
Mortgage-backed securities - residential
|
13,095
|
|
|
13,629
|
|
||
Collateralized mortgage obligations - residential
|
5,008
|
|
|
4,999
|
|
||
SBA-guaranteed loan participation certificates
|
14
|
|
|
14
|
|
||
|
$
|
109,236
|
|
|
$
|
109,762
|
|
|
Three Months Ended
June 30, |
|
Six Months Ended
June 30, |
||||||||||||
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||||||
Proceeds
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
46
|
|
Gross gains
|
—
|
|
|
—
|
|
|
—
|
|
|
46
|
|
|
Less than 12 Months
|
|
12 Months or More
|
|
Total
|
||||||||||||||||||
|
Fair
Value
|
|
Unrealized
Loss
|
|
Fair
Value
|
|
Unrealized
Loss
|
|
Fair
Value
|
|
Unrealized
Loss
|
||||||||||||
June 30, 2017
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Mortgage-backed securities - residential
|
$
|
1,167
|
|
|
$
|
(19
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,167
|
|
|
$
|
(19
|
)
|
Collateralized mortgage obligations - residential
|
—
|
|
|
—
|
|
|
3,490
|
|
|
(22
|
)
|
|
3,490
|
|
|
(22
|
)
|
||||||
|
$
|
1,167
|
|
|
$
|
(19
|
)
|
|
$
|
3,490
|
|
|
$
|
(22
|
)
|
|
$
|
4,657
|
|
|
$
|
(41
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Equity Mutual Fund
|
$
|
499
|
|
|
$
|
(1
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
499
|
|
|
$
|
(1
|
)
|
Mortgage-backed securities - residential
|
1,187
|
|
|
(21
|
)
|
|
—
|
|
|
—
|
|
|
1,187
|
|
|
(21
|
)
|
||||||
Collateralized mortgage obligations - residential
|
3,691
|
|
|
(18
|
)
|
|
1,028
|
|
|
(10
|
)
|
|
4,719
|
|
|
(28
|
)
|
||||||
|
$
|
5,377
|
|
|
$
|
(40
|
)
|
|
$
|
1,028
|
|
|
$
|
(10
|
)
|
|
$
|
6,405
|
|
|
$
|
(50
|
)
|
|
June 30, 2017
|
|
December 31, 2016
|
||||
One-to-four family residential real estate
|
$
|
115,659
|
|
|
$
|
135,218
|
|
Multi-family mortgage
|
555,691
|
|
|
542,887
|
|
||
Nonresidential real estate
|
177,436
|
|
|
182,152
|
|
||
Construction and land
|
2,265
|
|
|
1,302
|
|
||
Commercial loans
|
129,200
|
|
|
103,063
|
|
||
Commercial leases
|
360,397
|
|
|
352,539
|
|
||
Consumer
|
1,829
|
|
|
2,255
|
|
||
|
1,342,477
|
|
|
1,319,416
|
|
||
Net deferred loan origination costs
|
1,480
|
|
|
1,663
|
|
||
Allowance for loan losses
|
(8,122
|
)
|
|
(8,127
|
)
|
||
Loans, net
|
$
|
1,335,835
|
|
|
$
|
1,312,952
|
|
|
Allowance for loan losses
|
|
Loan Balances
|
||||||||||||||||||||
|
Individually
evaluated for
impairment
|
|
Collectively
evaluated for
impairment
|
|
Total
|
|
Individually
evaluated for
impairment
|
|
Collectively
evaluated for
impairment
|
|
Total
|
||||||||||||
June 30, 2017
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
One-to-four family residential real estate
|
$
|
—
|
|
|
$
|
912
|
|
|
$
|
912
|
|
|
$
|
4,745
|
|
|
$
|
110,914
|
|
|
$
|
115,659
|
|
Multi-family mortgage
|
—
|
|
|
3,668
|
|
|
3,668
|
|
|
965
|
|
|
554,726
|
|
|
555,691
|
|
||||||
Nonresidential real estate
|
—
|
|
|
1,631
|
|
|
1,631
|
|
|
—
|
|
|
177,436
|
|
|
177,436
|
|
||||||
Construction and land
|
—
|
|
|
54
|
|
|
54
|
|
|
—
|
|
|
2,265
|
|
|
2,265
|
|
||||||
Commercial loans
|
—
|
|
|
1,012
|
|
|
1,012
|
|
|
—
|
|
|
129,200
|
|
|
129,200
|
|
||||||
Commercial leases
|
—
|
|
|
830
|
|
|
830
|
|
|
—
|
|
|
360,397
|
|
|
360,397
|
|
||||||
Consumer
|
—
|
|
|
15
|
|
|
15
|
|
|
—
|
|
|
1,829
|
|
|
1,829
|
|
||||||
|
$
|
—
|
|
|
$
|
8,122
|
|
|
$
|
8,122
|
|
|
$
|
5,710
|
|
|
$
|
1,336,767
|
|
|
1,342,477
|
|
|
Net deferred loan origination costs
|
|
|
|
|
|
|
|
|
|
1,480
|
|
||||||||||||
Allowance for loan losses
|
|
|
|
|
|
|
|
|
|
(8,122
|
)
|
||||||||||||
Loans, net
|
|
|
|
|
|
|
|
|
|
|
$
|
1,335,835
|
|
|
Allowance for loan losses
|
|
Loan Balances
|
||||||||||||||||||||
|
Individually
evaluated for
impairment
|
|
Collectively
evaluated for
impairment
|
|
Total
|
|
Individually
evaluated for
impairment
|
|
Collectively
evaluated for
impairment
|
|
Total
|
||||||||||||
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
One-to-four family residential real estate
|
$
|
—
|
|
|
$
|
1,168
|
|
|
$
|
1,168
|
|
|
$
|
4,962
|
|
|
$
|
130,256
|
|
|
$
|
135,218
|
|
Multi-family mortgage
|
—
|
|
|
3,647
|
|
|
3,647
|
|
|
787
|
|
|
542,100
|
|
|
542,887
|
|
||||||
Nonresidential real estate
|
26
|
|
|
1,768
|
|
|
1,794
|
|
|
260
|
|
|
181,892
|
|
|
182,152
|
|
||||||
Construction and land
|
—
|
|
|
32
|
|
|
32
|
|
|
—
|
|
|
1,302
|
|
|
1,302
|
|
||||||
Commercial loans
|
—
|
|
|
733
|
|
|
733
|
|
|
—
|
|
|
103,063
|
|
|
103,063
|
|
||||||
Commercial leases
|
—
|
|
|
714
|
|
|
714
|
|
|
—
|
|
|
352,539
|
|
|
352,539
|
|
||||||
Consumer
|
—
|
|
|
39
|
|
|
39
|
|
|
—
|
|
|
2,255
|
|
|
2,255
|
|
||||||
|
$
|
26
|
|
|
$
|
8,101
|
|
|
$
|
8,127
|
|
|
$
|
6,009
|
|
|
$
|
1,313,407
|
|
|
1,319,416
|
|
|
Net deferred loan origination costs
|
|
|
|
|
|
|
|
|
|
1,663
|
|
||||||||||||
Allowance for loan losses
|
|
|
|
|
|
|
|
|
|
(8,127
|
)
|
||||||||||||
Loans, net
|
|
|
|
|
|
|
|
|
|
|
$
|
1,312,952
|
|
|
Three Months Ended
June 30, |
|
Six Months Ended
June 30, |
||||||||||||
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||||||
Beginning balance
|
$
|
7,971
|
|
|
$
|
9,416
|
|
|
$
|
8,127
|
|
|
$
|
9,691
|
|
Loans charged off:
|
|
|
|
|
|
|
|
||||||||
One-to-four family residential real estate
|
(22
|
)
|
|
(355
|
)
|
|
(193
|
)
|
|
(407
|
)
|
||||
Multi-family mortgage
|
—
|
|
|
(6
|
)
|
|
(3
|
)
|
|
(51
|
)
|
||||
Nonresidential real estate
|
—
|
|
|
(1,657
|
)
|
|
(165
|
)
|
|
(1,660
|
)
|
||||
Consumer
|
—
|
|
|
(2
|
)
|
|
—
|
|
|
(18
|
)
|
||||
|
(22
|
)
|
|
(2,020
|
)
|
|
(361
|
)
|
|
(2,136
|
)
|
||||
Recoveries:
|
|
|
|
|
|
|
|
||||||||
One-to-four family residential real estate
|
79
|
|
|
6
|
|
|
85
|
|
|
87
|
|
||||
Multi-family mortgage
|
40
|
|
|
9
|
|
|
51
|
|
|
146
|
|
||||
Nonresidential real estate
|
—
|
|
|
161
|
|
|
—
|
|
|
161
|
|
||||
Construction and land
|
—
|
|
|
—
|
|
|
—
|
|
|
35
|
|
||||
Commercial loans
|
5
|
|
|
28
|
|
|
10
|
|
|
105
|
|
||||
Consumer
|
—
|
|
|
—
|
|
|
—
|
|
|
1
|
|
||||
|
124
|
|
|
204
|
|
|
146
|
|
|
535
|
|
||||
Net recoveries (charge-offs)
|
102
|
|
|
(1,816
|
)
|
|
(215
|
)
|
|
(1,601
|
)
|
||||
Provision for loan losses
|
49
|
|
|
1,315
|
|
|
210
|
|
|
825
|
|
||||
Ending balance
|
$
|
8,122
|
|
|
$
|
8,915
|
|
|
$
|
8,122
|
|
|
$
|
8,915
|
|
|
|
|
|
|
|
|
|
|
Three months ended
June 30, 2017 |
|
Six months ended
June 30, 2017 |
||||||||||||||||||||
|
Loan
Balance
|
|
Recorded
Investment
|
|
Partial Charge-off
|
|
Allowance
for Loan
Losses
Allocated
|
|
Average
Investment
in Impaired
Loans
|
|
Interest
Income
Recognized
|
|
Average
Investment
in Impaired
Loans
|
|
Interest
Income
Recognized
|
||||||||||||||||
June 30, 2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
With no related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
One-to-four family residential real estate
|
$
|
5,071
|
|
|
$
|
4,163
|
|
|
$
|
884
|
|
|
$
|
—
|
|
|
$
|
3,972
|
|
|
$
|
16
|
|
|
$
|
3,771
|
|
|
$
|
36
|
|
One-to-four family residential real estate - non-owner occupied
|
527
|
|
|
551
|
|
|
—
|
|
|
—
|
|
|
1,115
|
|
|
—
|
|
|
1,161
|
|
|
—
|
|
||||||||
Multi-family mortgage - Illinois
|
972
|
|
|
964
|
|
|
—
|
|
|
—
|
|
|
727
|
|
|
10
|
|
|
753
|
|
|
21
|
|
||||||||
|
$
|
6,570
|
|
|
$
|
5,678
|
|
|
$
|
884
|
|
|
$
|
—
|
|
|
$
|
5,814
|
|
|
$
|
26
|
|
|
$
|
5,685
|
|
|
$
|
57
|
|
|
|
|
|
|
|
|
|
|
Year ended
December 31, 2016
|
||||||||||||||
|
Loan
Balance
|
|
Recorded
Investment
|
|
Partial Charge-off
|
|
Allowance
for Loan
Losses
Allocated
|
|
Average
Investment
in Impaired
Loans
|
|
Interest
Income
Recognized
|
||||||||||||
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
With no related allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
One-to-four family residential real estate
|
$
|
5,379
|
|
|
$
|
4,548
|
|
|
$
|
886
|
|
|
$
|
—
|
|
|
$
|
2,947
|
|
|
$
|
70
|
|
One-to-four family residential real estate - non-owner occupied
|
503
|
|
|
386
|
|
|
119
|
|
|
—
|
|
|
251
|
|
|
9
|
|
||||||
Multi-family mortgage - Illinois
|
787
|
|
|
787
|
|
|
—
|
|
|
—
|
|
|
980
|
|
|
41
|
|
||||||
|
6,669
|
|
|
5,721
|
|
|
1,005
|
|
|
—
|
|
|
4,178
|
|
|
120
|
|
||||||
With an allowance recorded:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Nonresidential real estate
|
262
|
|
|
260
|
|
|
21
|
|
|
26
|
|
|
164
|
|
|
—
|
|
||||||
|
262
|
|
|
260
|
|
|
21
|
|
|
26
|
|
|
164
|
|
|
—
|
|
||||||
|
$
|
6,931
|
|
|
$
|
5,981
|
|
|
$
|
1,026
|
|
|
$
|
26
|
|
|
$
|
4,342
|
|
|
$
|
120
|
|
|
Loan Balance
|
|
Recorded
Investment
|
|
Loans Past
Due Over 90
Days, Still
Accruing
|
||||||
June 30, 2017
|
|
|
|
|
|
||||||
One-to-four family residential real estate
|
$
|
3,726
|
|
|
$
|
2,034
|
|
|
$
|
—
|
|
One-to-four family residential real estate – non-owner occupied
|
709
|
|
|
551
|
|
|
—
|
|
|||
Multi-family mortgage - Illinois
|
381
|
|
|
371
|
|
|
—
|
|
|||
|
$
|
4,816
|
|
|
$
|
2,956
|
|
|
$
|
—
|
|
December 31, 2016
|
|
|
|
|
|
||||||
One-to-four family residential real estate
|
$
|
2,861
|
|
|
$
|
2,483
|
|
|
$
|
—
|
|
One-to-four family residential real estate – non-owner occupied
|
428
|
|
|
368
|
|
|
—
|
|
|||
Multi-family mortgage - Illinois
|
187
|
|
|
185
|
|
|
—
|
|
|||
Nonresidential real estate
|
262
|
|
|
260
|
|
|
—
|
|
|||
|
$
|
3,738
|
|
|
$
|
3,296
|
|
|
$
|
—
|
|
|
30-59 Days
Past Due
|
|
60-89 Days
Past Due
|
|
90 Days or
Greater
Past Due
|
|
Total Past
Due
|
|
Loans Not
Past Due
|
|
Total
|
||||||||||||
One-to-four family residential real estate loans
|
$
|
—
|
|
|
$
|
98
|
|
|
$
|
2,034
|
|
|
$
|
2,132
|
|
|
$
|
84,771
|
|
|
$
|
86,903
|
|
One-to-four family residential real estate loans – non-owner occupied
|
2
|
|
|
3
|
|
|
551
|
|
|
556
|
|
|
27,559
|
|
|
28,115
|
|
||||||
Multi-family mortgage - Illinois
|
—
|
|
|
—
|
|
|
371
|
|
|
371
|
|
|
290,277
|
|
|
290,648
|
|
||||||
Multi-family mortgage - Other
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
258,835
|
|
|
258,835
|
|
||||||
Nonresidential real estate
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
174,126
|
|
|
174,126
|
|
||||||
Construction
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,962
|
|
|
1,962
|
|
||||||
Land
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
302
|
|
|
302
|
|
||||||
Commercial loans:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Regional commercial banking
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
41,027
|
|
|
41,027
|
|
||||||
Health care
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
54,176
|
|
|
54,176
|
|
||||||
Direct commercial lessor
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
34,198
|
|
|
34,198
|
|
||||||
Commercial leases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Investment rated commercial leases
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
256,938
|
|
|
256,938
|
|
||||||
Other commercial leases
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
105,426
|
|
|
105,426
|
|
||||||
Consumer
|
1
|
|
|
—
|
|
|
—
|
|
|
1
|
|
|
1,836
|
|
|
1,837
|
|
||||||
|
$
|
3
|
|
|
$
|
101
|
|
|
$
|
2,956
|
|
|
$
|
3,060
|
|
|
$
|
1,331,433
|
|
|
$
|
1,334,493
|
|
|
30-59 Days
Past Due
|
|
60-89 Days
Past Due
|
|
90 Days or
Greater Past Due |
|
Total Past
Due
|
|
Loans Not
Past Due
|
|
Total
|
||||||||||||
One-to-four family residential real estate loans
|
$
|
984
|
|
|
$
|
335
|
|
|
$
|
2,235
|
|
|
$
|
3,554
|
|
|
$
|
92,665
|
|
|
$
|
96,219
|
|
One-to-four family residential real estate loans – non-owner occupied
|
664
|
|
|
114
|
|
|
368
|
|
|
1,146
|
|
|
37,179
|
|
|
38,325
|
|
||||||
Multi-family mortgage - Illinois
|
605
|
|
|
439
|
|
|
184
|
|
|
1,228
|
|
|
294,223
|
|
|
295,451
|
|
||||||
Multi-family mortgage - Other
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
243,944
|
|
|
243,944
|
|
||||||
Nonresidential real estate
|
—
|
|
|
—
|
|
|
260
|
|
|
260
|
|
|
178,644
|
|
|
178,904
|
|
||||||
Construction
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
950
|
|
|
950
|
|
||||||
Land
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
349
|
|
|
349
|
|
||||||
Commercial loans:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Regional commercial banking
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
36,086
|
|
|
36,086
|
|
||||||
Health care
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
35,455
|
|
|
35,455
|
|
||||||
Direct commercial lessor
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
31,847
|
|
|
31,847
|
|
||||||
Commercial leases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Investment rated commercial leases
|
51
|
|
|
—
|
|
|
—
|
|
|
51
|
|
|
269,430
|
|
|
269,481
|
|
||||||
Other commercial leases
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
84,988
|
|
|
84,988
|
|
||||||
Consumer
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,263
|
|
|
2,263
|
|
||||||
|
$
|
2,304
|
|
|
$
|
888
|
|
|
$
|
3,047
|
|
|
$
|
6,239
|
|
|
$
|
1,308,023
|
|
|
$
|
1,314,262
|
|
|
June 30, 2017
|
|
December 31, 2016
|
||||
One-to-four family residential real estate
|
$
|
—
|
|
|
$
|
205
|
|
Troubled debt restructured loans – accrual loans
|
—
|
|
|
205
|
|
||
One-to-four family residential real estate
|
17
|
|
|
136
|
|
||
Troubled debt restructured loans – nonaccrual loans
|
17
|
|
|
136
|
|
||
Total troubled debt restructured loans
|
$
|
17
|
|
|
$
|
341
|
|
|
Six Months Ended June 30,
|
||||||||||||||||||||
|
2017
|
|
2016
|
||||||||||||||||||
|
Number
of loans
|
|
Pre-
Modification
outstanding
recorded
investment
|
|
Post-
Modification
outstanding
recorded
investment
|
|
Number
of loans
|
|
Pre-
Modification
outstanding
recorded
investment
|
|
Post-
Modification
outstanding
recorded
investment
|
||||||||||
One-to-four family residential real estate
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
1
|
|
|
$
|
63
|
|
|
$
|
63
|
|
|
Due to
reduction in interest rate |
|
Due to
extension of maturity date |
|
Due to
permanent reduction in recorded investment |
|
Total
|
||||||||
|
|
|
|
|
|
|
|
||||||||
For the Six Months Ended June 30, 2016
|
|
|
|
|
|
|
|
||||||||
One-to-four family residential real estate
|
$
|
—
|
|
|
$
|
63
|
|
|
$
|
—
|
|
|
$
|
63
|
|
|
Pass
|
|
Special
Mention
|
|
Substandard
|
|
Nonaccrual
|
|
Total
|
||||||||||
One-to-four family residential real estate loans
|
$
|
84,977
|
|
|
$
|
—
|
|
|
$
|
324
|
|
|
$
|
2,030
|
|
|
$
|
87,331
|
|
One-to-four family residential real estate loans – non-owner occupied
|
27,736
|
|
|
—
|
|
|
40
|
|
|
552
|
|
|
28,328
|
|
|||||
Multi-family mortgage loans - Illinois
|
293,342
|
|
|
—
|
|
|
487
|
|
|
374
|
|
|
294,203
|
|
|||||
Multi-family mortgage loans - Other
|
261,488
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
261,488
|
|
|||||
Nonresidential real estate loans
|
177,330
|
|
|
—
|
|
|
106
|
|
|
—
|
|
|
177,436
|
|
|||||
Construction loans
|
1,957
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,957
|
|
|||||
Land loans
|
308
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
308
|
|
|||||
Commercial loans:
|
|
|
|
|
|
|
|
|
|
||||||||||
Regional commercial banking
|
41,001
|
|
|
—
|
|
|
7
|
|
|
—
|
|
|
41,008
|
|
|||||
Health care
|
53,162
|
|
|
—
|
|
|
1,000
|
|
|
—
|
|
|
54,162
|
|
|||||
Direct commercial lessor
|
34,030
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
34,030
|
|
|||||
Commercial leases:
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Investment rated commercial leases
|
255,375
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
255,375
|
|
|||||
Other commercial leases
|
105,022
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
105,022
|
|
|||||
Consumer
|
1,823
|
|
|
—
|
|
|
6
|
|
|
—
|
|
|
1,829
|
|
|||||
|
$
|
1,337,551
|
|
|
$
|
—
|
|
|
$
|
1,970
|
|
|
$
|
2,956
|
|
|
$
|
1,342,477
|
|
|
Pass
|
|
Special
Mention
|
|
Substandard
|
|
Nonaccrual
|
|
Total
|
||||||||||
One-to-four family residential real estate loans
|
$
|
93,514
|
|
|
$
|
—
|
|
|
$
|
629
|
|
|
$
|
2,486
|
|
|
$
|
96,629
|
|
One-to-four family residential real estate loans – non-owner occupied
|
38,179
|
|
|
—
|
|
|
41
|
|
|
369
|
|
|
38,589
|
|
|||||
Multi-family mortgage loans - Illinois
|
297,826
|
|
|
122
|
|
|
1,048
|
|
|
187
|
|
|
299,183
|
|
|||||
Multi-family mortgage loans - Other
|
243,704
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
243,704
|
|
|||||
Nonresidential real estate loans
|
180,047
|
|
|
—
|
|
|
1,845
|
|
|
260
|
|
|
182,152
|
|
|||||
Construction loans
|
946
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
946
|
|
|||||
Land loans
|
356
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
356
|
|
|||||
Commercial loans:
|
|
|
|
|
|
|
|
|
|
||||||||||
Regional commercial banking
|
35,944
|
|
|
—
|
|
|
66
|
|
|
—
|
|
|
36,010
|
|
|||||
Health care
|
35,372
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
35,372
|
|
|||||
Direct commercial lessor
|
30,881
|
|
|
800
|
|
|
—
|
|
|
—
|
|
|
31,681
|
|
|||||
Commercial leases:
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Investment rated commercial leases
|
268,022
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
268,022
|
|
|||||
Other commercial leases
|
84,356
|
|
|
161
|
|
|
—
|
|
|
—
|
|
|
84,517
|
|
|||||
Consumer
|
2,255
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,255
|
|
|||||
|
$
|
1,311,402
|
|
|
$
|
1,083
|
|
|
$
|
3,629
|
|
|
$
|
3,302
|
|
|
$
|
1,319,416
|
|
|
June 30, 2017
|
|
December 31, 2016
|
||||||||||||||||||||
|
Balance
|
|
Valuation Allowance
|
|
Net OREO Balance
|
|
Balance
|
|
Valuation Allowance
|
|
Net OREO Balance
|
||||||||||||
One–to–four family residential
|
$
|
1,997
|
|
|
$
|
(51
|
)
|
|
$
|
1,946
|
|
|
$
|
1,702
|
|
|
$
|
(137
|
)
|
|
$
|
1,565
|
|
Multi-family mortgage
|
361
|
|
|
(4
|
)
|
|
357
|
|
|
370
|
|
|
—
|
|
|
370
|
|
||||||
Nonresidential real estate
|
1,902
|
|
|
(166
|
)
|
|
1,736
|
|
|
1,171
|
|
|
(105
|
)
|
|
1,066
|
|
||||||
Land
|
944
|
|
|
(87
|
)
|
|
857
|
|
|
1,101
|
|
|
(207
|
)
|
|
894
|
|
||||||
|
$
|
5,204
|
|
|
$
|
(308
|
)
|
|
$
|
4,896
|
|
|
$
|
4,344
|
|
|
$
|
(449
|
)
|
|
$
|
3,895
|
|
|
For the Three Months Ended June 30,
|
|
For the Six Months Ended June 30,
|
||||||||||||
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||||||
Beginning balance
|
$
|
5,301
|
|
|
$
|
5,629
|
|
|
$
|
3,895
|
|
|
$
|
7,011
|
|
New foreclosed properties
|
—
|
|
|
56
|
|
|
1,936
|
|
|
121
|
|
||||
Valuation adjustments
|
(54
|
)
|
|
(10
|
)
|
|
(74
|
)
|
|
(129
|
)
|
||||
Sales and Payments
|
(351
|
)
|
|
(302
|
)
|
|
(861
|
)
|
|
(1,630
|
)
|
||||
Ending balance
|
$
|
4,896
|
|
|
$
|
5,373
|
|
|
$
|
4,896
|
|
|
$
|
5,373
|
|
|
For the Three Months Ended June 30,
|
|
For the Six Months Ended June 30,
|
||||||||||||
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||||||
Beginning balance
|
$
|
410
|
|
|
$
|
654
|
|
|
$
|
449
|
|
|
$
|
1,042
|
|
Additions charged to expense
|
54
|
|
|
10
|
|
|
74
|
|
|
129
|
|
||||
Reductions from sales of other real estate owned
|
(156
|
)
|
|
—
|
|
|
(215
|
)
|
|
(507
|
)
|
||||
Ending balance
|
$
|
308
|
|
|
$
|
664
|
|
|
$
|
308
|
|
|
$
|
664
|
|
|
|
Overnight and Continuous
|
|
Up to 30 days
|
|
30 - 90 days
|
|
Greater Than 90 days
|
|
Total
|
||||||||||
June 30, 2017
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Repurchase agreements and repurchase-to-maturity transactions
|
|
$
|
877
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
877
|
|
Gross amount of recognized liabilities for repurchase agreements in Statement of Condition
|
|
$
|
877
|
|
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Repurchase agreements and repurchase-to-maturity transactions
|
|
$
|
1,069
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,069
|
|
Gross amount of recognized liabilities for repurchase agreements in Statement of Condition
|
|
|
|
$
|
1,069
|
|
|
June 30, 2017
|
|
December 31, 2016
|
||||
Allocated to participants
|
1,203,810
|
|
|
1,125,448
|
|
||
Distributed to participants
|
(317,914
|
)
|
|
(313,223
|
)
|
||
Unearned
|
—
|
|
|
831,852
|
|
||
Total ESOP shares
|
885,896
|
|
|
1,644,077
|
|
||
Fair value of unearned shares
|
$
|
—
|
|
|
$
|
12,328
|
|
Stock Options
|
|
Number of
Shares
|
|
Weighted
Average
Exercise Price
|
|
Weighted
Average
Remaining
Contractual
Term
(in years)
|
|
Aggregate
Intrinsic
Value
(1)
|
|||||
Stock options outstanding at December 31, 2015
|
|
1,752,156
|
|
|
$
|
12.30
|
|
|
1.48
|
|
$
|
778
|
|
Stock options granted
|
|
—
|
|
|
—
|
|
|
|
|
|
|||
Stock options exercised
|
|
—
|
|
|
—
|
|
|
|
|
|
|||
Stock options outstanding at December 31, 2016
|
|
1,752,156
|
|
|
$
|
12.30
|
|
|
0.48
|
|
$
|
4,422
|
|
Stock options granted
|
|
—
|
|
|
—
|
|
|
|
|
|
|||
Stock options exercised
|
|
(1,752,156
|
)
|
|
12.30
|
|
|
|
|
|
|||
Stock options outstanding at June 30, 2017
|
|
—
|
|
|
$
|
—
|
|
|
0
|
|
$
|
—
|
|
(1)
|
Stock option aggregate intrinsic value represents the number of shares subject to options multiplied by the difference (if positive) in the closing market price of the common stock underlying the options on the date shown and the weighted average exercise price.
|
•
|
Level 1 – Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date.
|
•
|
Level 2 – Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data.
|
•
|
Level 3 – Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability.
|
|
Fair Value Measurements Using
|
|
|
||||||||||||
|
Quoted
Prices in
Active
Markets for
Identical
Assets
(Level 1)
|
|
Significant
Observable
Inputs
(Level 2)
|
|
Significant
Unobservable
Inputs
(Level 3)
|
|
Fair
Value
|
||||||||
June 30, 2017
|
|
|
|
|
|
|
|
||||||||
Securities:
|
|
|
|
|
|
|
|
||||||||
Certificates of deposit
|
$
|
—
|
|
|
$
|
90,619
|
|
|
$
|
—
|
|
|
$
|
90,619
|
|
Equity mutual fund
|
501
|
|
|
—
|
|
|
—
|
|
|
501
|
|
||||
Mortgage-backed securities – residential
|
—
|
|
|
13,629
|
|
|
—
|
|
|
13,629
|
|
||||
Collateralized mortgage obligations – residential
|
—
|
|
|
4,999
|
|
|
—
|
|
|
4,999
|
|
||||
SBA-guaranteed loan participation certificates
|
—
|
|
|
14
|
|
|
—
|
|
|
14
|
|
||||
|
$
|
501
|
|
|
$
|
109,261
|
|
|
$
|
—
|
|
|
$
|
109,762
|
|
December 31, 2016
|
|
|
|
|
|
|
|
||||||||
Securities:
|
|
|
|
|
|
|
|
||||||||
Certificates of deposit
|
$
|
—
|
|
|
$
|
85,938
|
|
|
$
|
—
|
|
|
$
|
85,938
|
|
Equity mutual fund
|
499
|
|
|
—
|
|
|
—
|
|
|
499
|
|
||||
Mortgage-backed securities - residential
|
—
|
|
|
15,184
|
|
|
—
|
|
|
15,184
|
|
||||
Collateralized mortgage obligations – residential
|
—
|
|
|
5,574
|
|
|
—
|
|
|
5,574
|
|
||||
SBA-guaranteed loan participation certificates
|
—
|
|
|
17
|
|
|
—
|
|
|
17
|
|
||||
|
$
|
499
|
|
|
$
|
106,713
|
|
|
$
|
—
|
|
|
$
|
107,212
|
|
|
Fair Value Measurement Using
|
|
|
||||||||||||
|
Quoted
Prices in
Active Markets
for Identical
Assets
(Level 1)
|
|
Significant
Observable
Inputs
(Level 2)
|
|
Significant
Unobservable
Inputs
(Level 3)
|
|
Fair
Value
|
||||||||
June 30, 2017
|
|
|
|
|
|
|
|
||||||||
Other real estate owned:
|
|
|
|
|
|
|
|
||||||||
One-to-four family residential real estate
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
102
|
|
|
$
|
102
|
|
Multi-family mortgage
|
—
|
|
|
—
|
|
|
112
|
|
|
112
|
|
||||
Nonresidential real estate
|
—
|
|
|
—
|
|
|
900
|
|
|
900
|
|
||||
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,114
|
|
|
$
|
1,114
|
|
|
|
|
|
|
|
|
|
||||||||
December 31, 2016
|
|
|
|
|
|
|
|
||||||||
Impaired loans:
|
|
|
|
|
|
|
|
||||||||
Nonresidential real estate
|
—
|
|
|
—
|
|
|
234
|
|
|
234
|
|
||||
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
234
|
|
|
$
|
234
|
|
Other real estate owned:
|
|
|
|
|
|
|
|
||||||||
One-to-four family residential real estate
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,282
|
|
|
$
|
1,282
|
|
Nonresidential real estate
|
—
|
|
|
—
|
|
|
553
|
|
|
553
|
|
||||
Land
|
—
|
|
|
—
|
|
|
47
|
|
|
47
|
|
||||
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,882
|
|
|
$
|
1,882
|
|
|
Fair Value
|
|
Valuation
Technique(s)
|
|
Significant Unobservable
Input(s)
|
|
Range
(Weighted
Average)
|
||
Other real estate owned:
|
|
|
|
|
|
|
|
||
One-to-four family residential real estate
|
$
|
102
|
|
|
Sales comparison
|
|
Discount applied to valuation
|
|
5.6%
|
Multi-family mortgage
|
112
|
|
|
Sales comparison
|
|
Comparison between sales and income approaches
|
|
1.0%
|
|
Nonresidential real estate loans
|
$
|
900
|
|
|
Sales comparison
|
|
Comparison between sales and income approaches
|
|
-3.66% - 15.22%
(10.7%) |
Other real estate owned
|
$
|
1,114
|
|
|
|
|
|
|
|
|
Fair Value
|
|
Valuation
Technique(s)
|
|
Significant Unobservable
Input(s)
|
|
Range
(Weighted
Average)
|
||
Impaired loans
|
|
|
|
|
|
|
|
||
Nonresidential real estate
|
$
|
234
|
|
|
Sales comparison
|
|
Comparison between sales and income approaches
|
|
-10.2%
|
|
|
|
Income approach
|
|
Cap Rate
|
|
8.5%
|
||
|
$
|
234
|
|
|
|
|
|
|
|
Other real estate owned
|
|
|
|
|
|
|
|
||
One-to-four family residential real estate
|
$
|
1,282
|
|
|
Sales comparison
|
|
Discount applied to valuation
|
|
8.62% to 20.04%
(11.9%)
|
Nonresidential real estate
|
553
|
|
|
Sales comparison
|
|
Comparison between sales and income approaches
|
|
-3.22% to
4.58%
(3.7%)
|
|
Land
|
47
|
|
|
Sales comparison
|
|
Discount applied to valuation
|
|
5.74% to 31.60%
(25.2%)
|
|
|
$
|
1,882
|
|
|
|
|
|
|
|
|
|
|
Fair Value Measurements at
June 30, 2017 Using:
|
|
|
||||||||||||||
|
Carrying
Amount
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||||
Financial assets
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash and cash equivalents
|
$
|
81,606
|
|
|
$
|
9,835
|
|
|
$
|
71,771
|
|
|
$
|
—
|
|
|
$
|
81,606
|
|
Securities
|
109,762
|
|
|
501
|
|
|
109,261
|
|
|
—
|
|
|
109,762
|
|
|||||
Loans receivable, net of allowance for loan losses
|
1,335,835
|
|
|
—
|
|
|
1,342,214
|
|
|
—
|
|
|
1,342,214
|
|
|||||
FHLBC and FRB stock
|
8,290
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
N/A
|
|
|||||
Accrued interest receivable
|
4,488
|
|
|
—
|
|
|
4,488
|
|
|
—
|
|
|
4,488
|
|
|||||
Financial liabilities
|
|
|
|
|
|
|
|
|
|
||||||||||
Noninterest-bearing demand deposits
|
$
|
229,921
|
|
|
$
|
—
|
|
|
$
|
229,921
|
|
|
$
|
—
|
|
|
$
|
229,921
|
|
Savings deposits
|
160,544
|
|
|
—
|
|
|
160,544
|
|
|
—
|
|
|
160,544
|
|
|||||
NOW and money market accounts
|
591,700
|
|
|
—
|
|
|
591,700
|
|
|
—
|
|
|
591,700
|
|
|||||
Certificates of deposit
|
365,722
|
|
|
—
|
|
|
364,543
|
|
|
—
|
|
|
364,543
|
|
|||||
Borrowings
|
50,877
|
|
|
—
|
|
|
50,024
|
|
|
—
|
|
|
50,024
|
|
|||||
Accrued interest payable
|
166
|
|
|
—
|
|
|
166
|
|
|
—
|
|
|
166
|
|
|
|
|
Fair Value Measurements at
December 31, 2016 Using:
|
|
|
||||||||||||||
|
Carrying
Amount
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||||
Financial assets
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash and cash equivalents
|
$
|
96,684
|
|
|
$
|
13,053
|
|
|
$
|
83,631
|
|
|
$
|
—
|
|
|
$
|
96,684
|
|
Securities
|
107,212
|
|
|
499
|
|
|
106,713
|
|
|
—
|
|
|
107,212
|
|
|||||
Loans receivable, net of allowance for loan losses
|
1,312,952
|
|
|
—
|
|
|
1,322,713
|
|
|
234
|
|
|
1,322,947
|
|
|||||
FHLBC and FRB stock
|
11,650
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
N/A
|
|
|||||
Accrued interest receivable
|
4,381
|
|
|
—
|
|
|
4,381
|
|
|
—
|
|
|
4,381
|
|
|||||
Financial liabilities
|
|
|
|
|
|
|
|
|
|
||||||||||
Noninterest-bearing demand deposits
|
$
|
249,539
|
|
|
$
|
—
|
|
|
$
|
249,539
|
|
|
$
|
—
|
|
|
$
|
249,539
|
|
Savings deposits
|
160,002
|
|
|
—
|
|
|
160,002
|
|
|
—
|
|
|
160,002
|
|
|||||
NOW and money market accounts
|
578,237
|
|
|
—
|
|
|
578,237
|
|
|
—
|
|
|
578,237
|
|
|||||
Certificates of deposit
|
351,612
|
|
|
—
|
|
|
350,593
|
|
|
—
|
|
|
350,593
|
|
|||||
Borrowings
|
51,069
|
|
|
—
|
|
|
50,015
|
|
|
—
|
|
|
50,015
|
|
|||||
Accrued interest payable
|
102
|
|
|
—
|
|
|
102
|
|
|
—
|
|
|
102
|
|
ITEM 2.
|
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
|
|
June 30, 2017
|
|
December 31, 2016
|
|
Change
|
||||||
|
(Dollars in thousands)
|
||||||||||
Selected Financial Condition Data:
|
|
|
|
|
|
||||||
Total assets
|
$
|
1,623,418
|
|
|
$
|
1,620,037
|
|
|
$
|
3,381
|
|
Loans, net
|
1,335,835
|
|
|
1,312,952
|
|
|
22,883
|
|
|||
Securities, at fair value
|
109,762
|
|
|
107,212
|
|
|
2,550
|
|
|||
Other real estate owned, net
|
4,896
|
|
|
3,895
|
|
|
1,001
|
|
|||
Deposits
|
1,347,887
|
|
|
1,339,390
|
|
|
8,497
|
|
|||
Borrowings
|
50,877
|
|
|
51,069
|
|
|
(192
|
)
|
|||
Equity
|
200,062
|
|
|
204,780
|
|
|
(4,718
|
)
|
|
Three Months Ended
June 30, |
|
|
|
Six Months Ended
June 30, |
|
|
||||||||||||||||
|
2017
|
|
2016
|
|
Change
|
|
2017
|
|
2016
|
|
Change
|
||||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||||||
Selected Operating Data:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest income
|
$
|
13,649
|
|
|
$
|
12,581
|
|
|
$
|
1,068
|
|
|
$
|
27,011
|
|
|
$
|
25,340
|
|
|
$
|
1,671
|
|
Interest expense
|
1,456
|
|
|
952
|
|
|
504
|
|
|
2,732
|
|
|
1,808
|
|
|
924
|
|
||||||
Net interest income
|
12,193
|
|
|
11,629
|
|
|
564
|
|
|
24,279
|
|
|
23,532
|
|
|
747
|
|
||||||
Provision for loan losses
|
49
|
|
|
1,315
|
|
|
(1,266
|
)
|
|
210
|
|
|
825
|
|
|
(615
|
)
|
||||||
Net interest income after provision for loan losses
|
12,144
|
|
|
10,314
|
|
|
1,830
|
|
|
24,069
|
|
|
22,707
|
|
|
1,362
|
|
||||||
Noninterest income
|
1,607
|
|
|
1,537
|
|
|
70
|
|
|
3,151
|
|
|
3,131
|
|
|
20
|
|
||||||
Noninterest expense
|
9,607
|
|
|
10,506
|
|
|
(899
|
)
|
|
20,873
|
|
|
21,436
|
|
|
(563
|
)
|
||||||
Income before income tax expense
|
4,144
|
|
|
1,345
|
|
|
2,799
|
|
|
6,347
|
|
|
4,402
|
|
|
1,945
|
|
||||||
Income tax expense
|
1,572
|
|
|
514
|
|
|
1,058
|
|
|
1,894
|
|
|
1,667
|
|
|
227
|
|
||||||
Net income
|
$
|
2,572
|
|
|
$
|
831
|
|
|
$
|
1,741
|
|
|
$
|
4,453
|
|
|
$
|
2,735
|
|
|
$
|
1,718
|
|
|
Three Months Ended
June 30, |
|
Six Months Ended
June 30, |
||||||||||||
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||||||
Selected Financial Ratios and Other Data:
|
|
|
|
|
|
|
|
||||||||
Performance Ratios:
|
|
|
|
|
|
|
|
||||||||
Return on assets (ratio of net income to average total assets)
(1)
|
0.64
|
%
|
|
0.22
|
%
|
|
0.56
|
%
|
|
0.36
|
%
|
||||
Return on equity (ratio of net income to average equity)
(1)
|
5.08
|
|
|
1.59
|
|
|
4.37
|
|
|
2.60
|
|
||||
Average equity to average assets
|
12.55
|
|
|
13.86
|
|
|
12.71
|
|
|
13.94
|
|
||||
Net interest rate spread
(1) (2)
|
3.10
|
|
|
3.21
|
|
|
3.13
|
|
|
3.25
|
|
||||
Net interest margin
(1) (3)
|
3.22
|
|
|
3.31
|
|
|
3.24
|
|
|
3.35
|
|
||||
Efficiency ratio
(4)
|
69.62
|
|
|
79.80
|
|
|
76.10
|
|
|
80.40
|
|
||||
Noninterest expense to average total assets
(1)
|
2.38
|
|
|
2.78
|
|
|
2.60
|
|
|
2.84
|
|
||||
Average interest-earning assets to average interest-bearing liabilities
|
131.33
|
|
|
136.17
|
|
|
131.94
|
|
|
136.21
|
|
||||
Dividends declared per share
|
$
|
0.07
|
|
|
$
|
0.05
|
|
|
$
|
0.13
|
|
|
$
|
0.10
|
|
Dividend payout ratio
|
49.94
|
%
|
|
119.60
|
%
|
|
54.79
|
%
|
|
73.27
|
%
|
|
At June 30, 2017
|
|
At December 31, 2016
|
||
Asset Quality Ratios:
|
|
|
|
||
Nonperforming assets to total assets
(5)
|
0.48
|
%
|
|
0.44
|
%
|
Nonperforming loans to total loans
|
0.22
|
|
|
0.25
|
|
Allowance for loan losses to nonperforming loans
|
274.76
|
|
|
246.57
|
|
Allowance for loan losses to total loans
|
0.61
|
|
|
0.62
|
|
Capital Ratios:
|
|
|
|
||
Equity to total assets at end of period
|
12.32
|
%
|
|
12.64
|
%
|
Tier 1 leverage ratio (Bank only)
|
10.89
|
%
|
|
10.27
|
%
|
Other Data:
|
|
|
|
||
Number of full-service offices
|
19
|
|
|
19
|
|
Employees (full-time equivalents)
|
247
|
|
|
246
|
|
(1)
|
Ratios annualized.
|
(2)
|
The net interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities for the period.
|
(3)
|
The net interest margin represents net interest income divided by average total interest-earning assets for the period.
|
(4)
|
The efficiency ratio represents noninterest expense, divided by the sum of net interest income and noninterest income.
|
(5)
|
Nonperforming assets include nonperforming loans and other real estate owned.
|
|
For the Three Months Ended June 30,
|
||||||||||||||||||||
|
2017
|
|
2016
|
||||||||||||||||||
|
Average
Outstanding
Balance
|
|
Interest
|
|
Yield/Rate
(1)
|
|
Average
Outstanding
Balance
|
|
Interest
|
|
Yield/Rate
(1)
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||||
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans
|
$
|
1,318,473
|
|
|
$
|
12,956
|
|
|
3.94
|
%
|
|
$
|
1,210,726
|
|
|
$
|
12,099
|
|
|
4.02
|
%
|
Securities
|
109,454
|
|
|
357
|
|
|
1.31
|
|
|
108,865
|
|
|
307
|
|
|
1.13
|
|
||||
Stock in FHLBC and FRB
|
8,250
|
|
|
102
|
|
|
4.96
|
|
|
6,257
|
|
|
29
|
|
|
1.86
|
|
||||
Other
|
83,396
|
|
|
234
|
|
|
1.13
|
|
|
87,313
|
|
|
146
|
|
|
0.67
|
|
||||
Total interest-earning assets
|
1,519,573
|
|
|
13,649
|
|
|
3.60
|
|
|
1,413,161
|
|
|
12,581
|
|
|
3.58
|
|
||||
Noninterest-earning assets
|
92,548
|
|
|
|
|
|
|
96,954
|
|
|
|
|
|
||||||||
Total assets
|
$
|
1,612,121
|
|
|
|
|
|
|
$
|
1,510,115
|
|
|
|
|
|
||||||
Interest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Savings deposits
|
$
|
161,471
|
|
|
47
|
|
|
0.12
|
|
|
$
|
160,673
|
|
|
43
|
|
|
0.11
|
|
||
Money market accounts
|
305,546
|
|
|
306
|
|
|
0.40
|
|
|
320,232
|
|
|
246
|
|
|
0.31
|
|
||||
NOW accounts
|
274,743
|
|
|
135
|
|
|
0.20
|
|
|
251,465
|
|
|
92
|
|
|
0.15
|
|
||||
Certificates of deposit
|
364,121
|
|
|
816
|
|
|
0.90
|
|
|
302,304
|
|
|
569
|
|
|
0.76
|
|
||||
Total deposits
|
1,105,881
|
|
|
1,304
|
|
|
0.47
|
|
|
1,034,674
|
|
|
950
|
|
|
0.37
|
|
||||
Borrowings
|
51,179
|
|
|
152
|
|
|
1.19
|
|
|
3,107
|
|
|
2
|
|
|
0.26
|
|
||||
Total interest-bearing liabilities
|
1,157,060
|
|
|
1,456
|
|
|
0.50
|
|
|
1,037,781
|
|
|
952
|
|
|
0.37
|
|
||||
Noninterest-bearing deposits
|
230,386
|
|
|
|
|
|
|
240,358
|
|
|
|
|
|
||||||||
Noninterest-bearing liabilities
|
22,315
|
|
|
|
|
|
|
22,745
|
|
|
|
|
|
||||||||
Total liabilities
|
1,409,761
|
|
|
|
|
|
|
1,300,884
|
|
|
|
|
|
||||||||
Equity
|
202,360
|
|
|
|
|
|
|
209,231
|
|
|
|
|
|
||||||||
Total liabilities and equity
|
$
|
1,612,121
|
|
|
|
|
|
|
$
|
1,510,115
|
|
|
|
|
|
||||||
Net interest income
|
|
|
$
|
12,193
|
|
|
|
|
|
|
$
|
11,629
|
|
|
|
||||||
Net interest rate spread
(2)
|
|
|
|
|
3.10
|
%
|
|
|
|
|
|
3.21
|
%
|
||||||||
Net interest-earning assets
(3)
|
$
|
362,513
|
|
|
|
|
|
|
$
|
375,380
|
|
|
|
|
|
||||||
Net interest margin
(4)
|
|
|
|
|
3.22
|
%
|
|
|
|
|
|
3.31
|
%
|
||||||||
Ratio of interest-earning assets to interest-bearing liabilities
|
131.33
|
%
|
|
|
|
|
|
136.17
|
%
|
|
|
|
|
(1)
|
Annualized
|
(2)
|
Net interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.
|
(3)
|
Net interest-earning assets represents total interest-earning assets less total interest-bearing liabilities.
|
(4)
|
Net interest margin represents net interest income divided by average total interest-earning assets.
|
|
Three Months Ended
June 30, |
|
|
||||||||
|
2017
|
|
2016
|
|
Change
|
||||||
|
(Dollars in thousands)
|
||||||||||
Deposit service charges and fees
|
$
|
569
|
|
|
$
|
541
|
|
|
$
|
28
|
|
Other fee income
|
490
|
|
|
505
|
|
|
(15
|
)
|
|||
Insurance commissions and annuities income
|
52
|
|
|
72
|
|
|
(20
|
)
|
|||
Gain on sale of loans, net
|
53
|
|
|
3
|
|
|
50
|
|
|||
Loan servicing fees
|
62
|
|
|
75
|
|
|
(13
|
)
|
|||
Amortization of servicing assets
|
(28
|
)
|
|
(40
|
)
|
|
12
|
|
|||
Recovery of servicing assets
|
—
|
|
|
3
|
|
|
(3
|
)
|
|||
Earnings on bank owned life insurance
|
66
|
|
|
46
|
|
|
20
|
|
|||
Trust income
|
193
|
|
|
165
|
|
|
28
|
|
|||
Other
|
150
|
|
|
167
|
|
|
(17
|
)
|
|||
Total noninterest income
|
$
|
1,607
|
|
|
$
|
1,537
|
|
|
$
|
70
|
|
|
Three Months Ended
June 30, |
|
|
||||||||
|
2017
|
|
2016
|
|
Change
|
||||||
|
(Dollars in thousands)
|
||||||||||
Compensation and benefits
|
$
|
5,110
|
|
|
$
|
5,713
|
|
|
$
|
(603
|
)
|
Office occupancy and equipment
|
1,599
|
|
|
1,635
|
|
|
(36
|
)
|
|||
Advertising and public relations
|
259
|
|
|
252
|
|
|
7
|
|
|||
Information technology
|
679
|
|
|
699
|
|
|
(20
|
)
|
|||
Supplies, telephone and postage
|
358
|
|
|
297
|
|
|
61
|
|
|||
Amortization of intangibles
|
122
|
|
|
129
|
|
|
(7
|
)
|
|||
Nonperforming asset management
|
27
|
|
|
127
|
|
|
(100
|
)
|
|||
Loss (gain) on sale other real estate owned
|
15
|
|
|
(38
|
)
|
|
53
|
|
|||
Valuation adjustments of other real estate owned
|
54
|
|
|
10
|
|
|
44
|
|
|||
Operations of other real estate owned
|
176
|
|
|
177
|
|
|
(1
|
)
|
|||
FDIC insurance premiums
|
125
|
|
|
236
|
|
|
(111
|
)
|
|||
Other
|
1,083
|
|
|
1,269
|
|
|
(186
|
)
|
|||
Total noninterest expense
|
$
|
9,607
|
|
|
$
|
10,506
|
|
|
$
|
(899
|
)
|
|
For the Six Months Ended June 30,
|
||||||||||||||||||||
|
2017
|
|
2016
|
||||||||||||||||||
|
Average
Outstanding
Balance
|
|
Interest
|
|
Yield/Rate
(1)
|
|
Average
Outstanding
Balance
|
|
Interest
|
|
Yield/Rate
(1)
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||||
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans
|
$
|
1,315,900
|
|
|
$
|
25,716
|
|
|
3.94
|
%
|
|
$
|
1,224,422
|
|
|
$
|
24,446
|
|
|
4.02
|
%
|
Securities
|
111,593
|
|
|
706
|
|
|
1.28
|
|
|
113,684
|
|
|
621
|
|
|
1.10
|
|
||||
Stock in FHLBC and FRB
|
8,702
|
|
|
200
|
|
|
4.63
|
|
|
6,257
|
|
|
43
|
|
|
1.38
|
|
||||
Other
|
74,713
|
|
|
389
|
|
|
1.05
|
|
|
69,189
|
|
|
230
|
|
|
0.67
|
|
||||
Total interest-earning assets
|
1,510,908
|
|
|
27,011
|
|
|
3.61
|
|
|
1,413,552
|
|
|
25,340
|
|
|
3.60
|
|
||||
Noninterest-earning assets
|
92,841
|
|
|
|
|
|
|
98,341
|
|
|
|
|
|
||||||||
Total assets
|
$
|
1,603,749
|
|
|
|
|
|
|
$
|
1,511,893
|
|
|
|
|
|
||||||
Interest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Savings deposits
|
$
|
160,967
|
|
|
90
|
|
|
0.11
|
|
|
$
|
159,503
|
|
|
85
|
|
|
0.11
|
|
||
Money market accounts
|
306,329
|
|
|
579
|
|
|
0.38
|
|
|
322,363
|
|
|
495
|
|
|
0.31
|
|
||||
NOW accounts
|
269,046
|
|
|
256
|
|
|
0.19
|
|
|
248,307
|
|
|
183
|
|
|
0.15
|
|
||||
Certificates of deposit
|
358,556
|
|
|
1,559
|
|
|
0.88
|
|
|
268,774
|
|
|
974
|
|
|
0.73
|
|
||||
Total deposits
|
1,094,898
|
|
|
2,484
|
|
|
0.46
|
|
|
998,947
|
|
|
1,737
|
|
|
0.35
|
|
||||
Borrowings
|
50,247
|
|
|
248
|
|
|
1.00
|
|
|
38,809
|
|
|
71
|
|
|
0.37
|
|
||||
Total interest-bearing liabilities
|
1,145,145
|
|
|
2,732
|
|
|
0.48
|
|
|
1,037,756
|
|
|
1,808
|
|
|
0.35
|
|
||||
Noninterest-bearing deposits
|
232,763
|
|
|
|
|
|
|
241,323
|
|
|
|
|
|
||||||||
Noninterest-bearing liabilities
|
21,980
|
|
|
|
|
|
|
22,047
|
|
|
|
|
|
||||||||
Total liabilities
|
1,399,888
|
|
|
|
|
|
|
1,301,126
|
|
|
|
|
|
||||||||
Equity
|
203,861
|
|
|
|
|
|
|
210,767
|
|
|
|
|
|
||||||||
Total liabilities and equity
|
$
|
1,603,749
|
|
|
|
|
|
|
$
|
1,511,893
|
|
|
|
|
|
||||||
Net interest income
|
|
|
$
|
24,279
|
|
|
|
|
|
|
$
|
23,532
|
|
|
|
||||||
Net interest rate spread
(2)
|
|
|
|
|
3.13
|
%
|
|
|
|
|
|
3.25
|
%
|
||||||||
Net interest-earning assets
(3)
|
$
|
365,763
|
|
|
|
|
|
|
$
|
375,796
|
|
|
|
|
|
||||||
Net interest margin
(4)
|
|
|
|
|
3.24
|
%
|
|
|
|
|
|
3.35
|
%
|
||||||||
Ratio of interest-earning assets to interest-bearing liabilities
|
131.94
|
%
|
|
|
|
|
|
136.21
|
%
|
|
|
|
|
(1)
|
Annualized
|
(2)
|
Net interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.
|
(3)
|
Net interest-earning assets represents total interest-earning assets less total interest-bearing liabilities.
|
(4)
|
Net interest margin represents net interest income divided by average total interest-earning assets.
|
|
Six Months Ended
June 30, |
|
|
||||||||
|
2017
|
|
2016
|
|
Change
|
||||||
|
(Dollars in thousands)
|
||||||||||
Deposit service charges and fees
|
$
|
1,098
|
|
|
$
|
1,108
|
|
|
$
|
(10
|
)
|
Other fee income
|
971
|
|
|
1,000
|
|
|
(29
|
)
|
|||
Insurance commissions and annuities income
|
129
|
|
|
127
|
|
|
2
|
|
|||
Gain on sale of loans, net
|
60
|
|
|
21
|
|
|
39
|
|
|||
Gain on sales of securities
|
—
|
|
|
46
|
|
|
(46
|
)
|
|||
Loan servicing fees
|
130
|
|
|
148
|
|
|
(18
|
)
|
|||
Amortization of servicing assets
|
(59
|
)
|
|
(68
|
)
|
|
9
|
|
|||
Earnings on bank owned life insurance
|
129
|
|
|
97
|
|
|
32
|
|
|||
Trust income
|
365
|
|
|
325
|
|
|
40
|
|
|||
Other
|
328
|
|
|
327
|
|
|
1
|
|
|||
Total noninterest income
|
$
|
3,151
|
|
|
$
|
3,131
|
|
|
$
|
20
|
|
|
Six Months Ended
June 30, |
|
|
||||||||
|
2017
|
|
2016
|
|
Change
|
||||||
|
(Dollars in thousands)
|
||||||||||
Compensation and benefits
|
$
|
11,462
|
|
|
$
|
11,706
|
|
|
$
|
(244
|
)
|
Office occupancy and equipment
|
3,221
|
|
|
3,282
|
|
|
(61
|
)
|
|||
Advertising and public relations
|
640
|
|
|
474
|
|
|
166
|
|
|||
Information technology
|
1,432
|
|
|
1,423
|
|
|
9
|
|
|||
Supplies, telephone and postage
|
690
|
|
|
673
|
|
|
17
|
|
|||
Amortization of intangibles
|
251
|
|
|
265
|
|
|
(14
|
)
|
|||
Nonperforming asset management
|
131
|
|
|
211
|
|
|
(80
|
)
|
|||
Loss on sale other real estate owned
|
31
|
|
|
—
|
|
|
31
|
|
|||
Valuation adjustments of other real estate owned
|
74
|
|
|
129
|
|
|
(55
|
)
|
|||
Operations of other real estate owned
|
353
|
|
|
396
|
|
|
(43
|
)
|
|||
FDIC insurance premiums
|
312
|
|
|
453
|
|
|
(141
|
)
|
|||
Other
|
2,276
|
|
|
2,424
|
|
|
(148
|
)
|
|||
Total noninterest expense
|
$
|
20,873
|
|
|
$
|
21,436
|
|
|
$
|
(563
|
)
|
|
June 30, 2017
|
|
March 31, 2017
|
|
December 31, 2016
|
|
Quarter Change
|
|
Six Month Change
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||
Nonaccrual loans:
|
|
|
|
|
|
|
|
|
|
||||||||||
One-to-four family residential real estate
|
$
|
2,585
|
|
|
$
|
2,296
|
|
|
$
|
2,851
|
|
|
$
|
289
|
|
|
$
|
(266
|
)
|
Multi-family mortgage
|
371
|
|
|
106
|
|
|
185
|
|
|
265
|
|
|
186
|
|
|||||
Nonresidential real estate
|
—
|
|
|
—
|
|
|
260
|
|
|
—
|
|
|
(260
|
)
|
|||||
|
2,956
|
|
|
2,402
|
|
|
3,296
|
|
|
554
|
|
|
(340
|
)
|
|||||
Other real estate owned:
|
|
|
|
|
|
|
|
|
|
||||||||||
One-to-four family residential
|
1,946
|
|
|
1,986
|
|
|
1,565
|
|
|
(40
|
)
|
|
381
|
|
|||||
Multi-family mortgage
|
357
|
|
|
615
|
|
|
370
|
|
|
(258
|
)
|
|
(13
|
)
|
|||||
Nonresidential real estate
|
1,736
|
|
|
1,808
|
|
|
1,066
|
|
|
(72
|
)
|
|
670
|
|
|||||
Land
|
857
|
|
|
892
|
|
|
894
|
|
|
(35
|
)
|
|
(37
|
)
|
|||||
|
4,896
|
|
|
5,301
|
|
|
3,895
|
|
|
(405
|
)
|
|
1,001
|
|
|||||
Total nonperforming assets
|
$
|
7,852
|
|
|
$
|
7,703
|
|
|
$
|
7,191
|
|
|
$
|
149
|
|
|
$
|
661
|
|
Ratios:
|
|
|
|
|
|
|
|
|
|
||||||||||
Nonperforming loans to total loans
|
0.22
|
%
|
|
0.18
|
%
|
|
0.25
|
%
|
|
|
|
|
|||||||
Nonperforming assets to total assets
|
0.48
|
|
|
0.48
|
|
|
0.44
|
|
|
|
|
|
|
Actual
|
|
Required for Capital Adequacy Purposes
|
|
To be Well-Capitalized under Prompt Corrective Action Provisions
|
|||||||||||||||
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|||||||||
|
(Dollars in thousands)
|
|||||||||||||||||||
June 30, 2017
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Total capital (to risk-weighted assets):
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Consolidated
|
$
|
190,210
|
|
|
16.29
|
%
|
|
$
|
93,440
|
|
|
8.00
|
%
|
|
N/A
|
|
N/A
|
|||
BankFinancial, NA
|
181,839
|
|
|
15.57
|
|
|
93,416
|
|
|
8.00
|
|
|
$
|
116,770
|
|
|
10.00
|
%
|
||
Tier 1 (core) capital (to risk-weighted assets):
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Consolidated
|
$
|
182,088
|
|
|
15.59
|
%
|
|
$
|
70,080
|
|
|
6.00
|
|
|
N/A
|
|
N/A
|
|||
BankFinancial, NA
|
173,717
|
|
|
14.88
|
|
|
70,062
|
|
|
6.00
|
|
|
93,416
|
|
|
8.00
|
|
|||
Common Tier 1 (CET1)
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Consolidated
|
$
|
182,088
|
|
|
15.59
|
%
|
|
$
|
52,560
|
|
|
4.50
|
|
|
N/A
|
|
N/A
|
|||
BankFinancial, NA
|
173,717
|
|
|
14.88
|
|
|
52,547
|
|
|
4.50
|
|
|
75,901
|
|
|
6.50
|
|
|||
Tier 1 (core) capital (to adjusted average total assets):
|
|
|
|
|
|
|
|
|
||||||||||||
Consolidated
|
$
|
182,088
|
|
|
11.42
|
%
|
|
$
|
63,784
|
|
|
4.00
|
|
|
N/A
|
|
N/A
|
|||
BankFinancial, NA
|
173,717
|
|
|
10.89
|
|
|
63,781
|
|
|
4.00
|
|
|
79,726
|
|
|
5.00
|
|
|
Actual
|
|
Required for Capital Adequacy Purposes
|
|
To be Well-Capitalized under Prompt Corrective Action Provisions
|
|||||||||||||||
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|||||||||
|
(Dollars in thousands)
|
|||||||||||||||||||
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Total capital (to risk-weighted assets):
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Consolidated
|
$
|
193,845
|
|
|
16.96
|
%
|
|
$
|
91,414
|
|
|
8.00
|
%
|
|
N/A
|
|
N/A
|
|||
BankFinancial, NA
|
168,113
|
|
|
14.72
|
|
|
91,386
|
|
|
8.00
|
|
|
$
|
114,232
|
|
|
10.00
|
%
|
||
Tier 1 (core) capital (to risk-weighted assets):
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Consolidated
|
185,718
|
|
|
16.25
|
|
|
68,560
|
|
|
6.00
|
|
|
N/A
|
|
N/A
|
|||||
BankFinancial, NA
|
159,986
|
|
|
14.01
|
|
|
68,539
|
|
|
6.00
|
|
|
91,386
|
|
|
8.00
|
|
|||
Common Tier 1 (CET1)
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Consolidated
|
185,718
|
|
|
16.25
|
|
|
51,420
|
|
|
4.50
|
|
|
N/A
|
|
N/A
|
|||||
BankFinancial, NA
|
159,986
|
|
|
14.01
|
|
|
51,404
|
|
|
4.50
|
|
|
74,251
|
|
|
6.50
|
|
|||
Tier 1 (core) capital (to adjusted average total assets):
|
|
|
|
|
|
|
|
|
||||||||||||
Consolidated
|
185,718
|
|
|
11.92
|
|
|
62,306
|
|
|
4.00
|
|
|
N/A
|
|
N/A
|
|||||
BankFinancial, NA
|
159,986
|
|
|
10.27
|
|
|
62,303
|
|
|
4.00
|
|
|
77,879
|
|
|
5.00
|
|
|
Estimated Decrease
in NPV
|
|
Increase (Decrease) in Estimated
Net Interest Income
|
||||||||||
Change in Interest Rates (basis points)
|
Amount
|
|
Percent
|
|
Amount
|
|
Percent
|
||||||
|
(Dollars in thousands)
|
||||||||||||
+400
|
$
|
(29,403
|
)
|
|
(11.75
|
)%
|
|
$
|
1,974
|
|
|
3.88
|
%
|
+300
|
(17,537
|
)
|
|
(7.01
|
)
|
|
1,603
|
|
|
3.15
|
|
||
+200
|
(8,511
|
)
|
|
(3.40
|
)
|
|
1,242
|
|
|
2.44
|
|
||
+100
|
(2,603
|
)
|
|
(1.04
|
)
|
|
775
|
|
|
1.53
|
|
||
0
|
|
|
|
|
|
|
|
||||||
-25
|
(1,511
|
)
|
|
(0.60
|
)
|
|
(452
|
)
|
|
(0.89
|
)
|
ITEM 4.
|
CONTROLS AND PROCEDURES
|
ITEM 1.
|
LEGAL PROCEEDINGS
|
ITEM 1A.
|
RISK FACTORS
|
ITEM 2.
|
UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
|
(a)
|
Unregistered Sale of Equity Securities
. Not applicable.
|
(b)
|
Use of Proceeds
. Not applicable.
|
(c)
|
Repurchases of Equity Securities
.
|
Period
|
|
Total Number of Shares Purchased
|
|
Average Price Paid per Share
|
|
Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs
|
|
Maximum Number of
Shares that May Yet be Purchased under the Plans or Programs
(1)
|
|||
April 1, 2017 through April 30, 2017
|
|
76,278
|
|
$
|
14.44
|
|
|
76,278
|
|
404,226
|
|
May 1, 2017 through May 31, 2017
|
|
72,682
|
|
14.80
|
|
|
72,682
|
|
331,544
|
|
|
June 1, 2017 through June 30, 2017
|
|
67,431
|
|
14.83
|
|
|
67,431
|
|
264,113
|
|
|
|
|
216,391
|
|
|
|
216,391
|
|
|
(1)
|
On April 27, 2017, the Board extended the expiration date of the current repurchase authorization from June 30, 2017 to December 31, 2017. As of
June 30, 2017
, the Company had repurchased
2,316,642
shares of its common stock out of the
2,580,755
shares of common stock authorized under the share repurchase authorizations.
|
ITEM 3.
|
DEFAULTS UPON SENIOR SECURITIES
|
ITEM 4.
|
MINE SAFETY DISCLOSURES
|
ITEM 5.
|
OTHER INFORMATION
|
ITEM 6.
|
EXHIBITS
|
Exhibit Number
|
|
Description
|
10.1
|
|
Amendment No. 2 to the Amended and Restated Employment Agreement Between BankFinancial, National Association with F. Morgan Gasior
|
10.2
|
|
Amendment No. 2 to the Amended and Restated Employment Agreement Between BankFinancial, National Association with Paul A. Cloutier
|
10.3
|
|
Amendment No. 2 to the Amended and Restated Employment Agreement Between BankFinancial, National Association with James J. Brennan
|
10.4
|
|
Amendment No. 2 to the Amended and Restated Employment Agreement Between BankFinancial, National Association with John G. Manos
|
10.5
|
|
Amendment No. 1 to the Amended and Restated Employment Agreement Between BankFinancial, National Association with William J. Deutsch
|
31.1
|
|
Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
|
31.2
|
|
Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
|
32
|
|
Certification of Chief Executive Officer and Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002*
|
101
|
|
The following financial statements from the BankFinancial Corporation Quarterly Report on Form 10-Q for the quarter ended June 30, 2017, formatted in Extensive Business Reporting Language (XBRL): (i) consolidated statement of conditions, (ii) consolidated statements of operations, (iii) consolidated statements of cash flows and (iv) the notes to consolidated financial statements.
|
*
|
A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.
|
|
|
|
BANKFINANCIAL CORPORATION
|
|
|
|
|
|
|
|
|
Dated:
|
July 26, 2017
|
|
By:
|
/s/ F. Morgan Gasior
|
|
|
|
|
|
F. Morgan Gasior
|
|
|
|
|
|
Chairman of the Board, Chief Executive Officer and President
|
|
|
|
|
|
|
|
|
|
|
|
/s/ Paul A. Cloutier
|
|
|
|
|
|
Paul A. Cloutier
|
|
|
|
|
|
Executive Vice President and Chief Financial Officer
|
“19.
|
INDEMNIFICATION AND INSURANCE.
|
1)
|
I have reviewed this quarterly report on Form 10-Q of BankFinancial Corporation;
|
2)
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3)
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4)
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a)
|
designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b)
|
designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c)
|
evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d)
|
disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5)
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
a)
|
all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
b)
|
any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
Dated:
|
July 26, 2017
|
|
By:
|
/s/ F. Morgan Gasior
|
|
|
|
|
|
F. Morgan Gasior
|
|
|
|
|
|
Chairman of the Board, Chief Executive Officer and President
|
1)
|
I have reviewed this quarterly report on Form 10-Q of BankFinancial Corporation;
|
2)
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3)
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4)
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a)
|
designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b)
|
designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c)
|
evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d)
|
disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5)
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
a)
|
all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
b)
|
any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
Dated:
|
July 26, 2017
|
|
By:
|
/s/ Paul A. Cloutier
|
|
|
|
|
|
Paul A. Cloutier
|
|
|
|
|
|
Executive Vice President and Chief Financial Officer
|
1.
|
the Report fully complies with the requirements of Sections 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
2.
|
the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
|
|
|
BANKFINANCIAL CORPORATION
|
|
|
|
|
|
|
|
|
Dated:
|
July 26, 2017
|
|
By:
|
/s/ F. Morgan Gasior
|
|
|
|
|
|
F. Morgan Gasior
|
|
|
|
|
|
Chairman of the Board and Chief Executive Officer
|
|
|
|
|
|
|
|
|
|
|
|
/s/ Paul A. Cloutier
|
|
|
|
|
|
Paul A. Cloutier
|
|
|
|
|
|
Chief Financial Officer
|
|