XOTC:RBLG Quarterly Report 10-Q Filing - 6/30/2012

Effective Date 6/30/2012

f10q_063012-0203.htm
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
 
FORM 10-Q
(Mark One)
X
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended                                                June 30, 2012                                               

OR
 
 
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                                     to  __________________

Commission file number 0-50969
 
 
ROEBLING FINANCIAL CORP, INC.
 
(Exact name of Registrant as specified in its charter)
 
New Jersey
 
55-0873295
(State or other jurisdiction of incorporation or organization)   (I.R.S. employer identification no.)
 
Route 130 South and Delaware Avenue, Roebling, New  Jersey    
08554
(Address of principal executive offices)   (Zip Code)
 
Registrant’s telephone number   (609) 499-9400
 
 
N/A
 
(Former name, former address and former fiscal year, if changed since last report.)
 
Indicate by check mark whether the Registrant 1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 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:  Yes   X      No       

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).   x Yes  ¨ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.
 
 
Large accelerated filer o
 
Accelerated filer o
 
Non-accelerated filer o
(Do not check if a smaller reporting company)
 
Smaller reporting company x

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes ___  No   X   

APPLICABLE ONLY TO CORPORATE ISSUERS:

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date: August 8, 2012
 
Class
 
Outstanding
$.10 par value common stock   1,686,527 shares

 
 

 
ROEBLING FINANCIAL CORP, INC.
FORM 10-Q
FOR THE QUARTER ENDED MARCH 31, 2012

INDEX

 
Page
Number
PART I - FINANCIAL INFORMATION OF ROEBLING FINANCIAL CORP, INC.
 
Item 1.
Consolidated Financial Statements and Notes Thereto
1 - 16
Item 2.
Management’s Discussion and Analysis of Financial 
     Condition and Results of Operations
17 - 21
Item 3
Quantitative and Qualitative Disclosures About Market Risk
21
Item 4.
Controls and Procedures
21 - 22
     
PART II - OTHER INFORMATION
 
Item 1.
Legal Proceedings
23
Item 1A.
Risk Factors
23
Item 2.
Unregistered Sales of Equity Securities and Use of Proceeds
23
Item 3.
Defaults upon Senior Securities
23
Item 4.
Mine Safety Disclosures
23
Item 5.
Other Information
23
Item 6.
Exhibits
24
     
SIGNATURES   25
 
 

 
 

 
 
ROEBLING FINANCIAL CORP, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
 
(Unaudited)
           
             
(In thousands, except share and per share data)
           
   
June 30,
   
September 30,
 
   
2012
   
2011
 
             
Assets
           
             
Cash and due from banks
  $ 793     $ 747  
Interest-bearing deposits
    6,477       3,081  
     Total cash and cash equivalents
    7,270       3,828  
                 
Securities available for sale
    40,181       42,818  
Securities held to maturity
    92       109  
Loans receivable, net
    109,130       108,616  
Real estate owned
    444       1,611  
Accrued interest receivable
    472       516  
Federal Home Loan Bank of New York stock, at cost
    670       545  
Premises and equipment
    3,177       3,159  
Other assets
    2,185       2,666  
     Total assets
  $ 163,621     $ 163,868  
                 
Liabilities and Stockholders' Equity
               
                 
Liabilities
               
                 
Deposits
  $ 135,418     $ 139,219  
Borrowed funds
    9,000       6,000  
Advances from borrowers for taxes and insurance
    630       525  
Other liabilities
    1,647       1,494  
     Total liabilities
    146,695       147,238  
                 
Stockholders' equity
               
                 
 Serial preferred stock, $0.10 par value; 5,000,000 shares authorized;                
  none issued
    -       -  
Common stock; $0.10 par value; 20,000,000 shares authorized;
               
  1,718,473 issued
    172       172  
Additional paid-in-capital
    10,287       10,314  
Treasury stock; 31,946 shares, at cost
    (190 )     (190 )
Unallocated employee stock ownership plan shares
    (175 )     (233 )
Unallocated restricted stock plan shares
    (97 )     (87 )
Deferred compensation obligation
    302       285  
Stock purchased for deferred compensation plan
    (302 )     (285 )
Retained earnings - substantially restricted
    6,158       5,942  
Accumulated other comprehensive income (loss):
               
  Unrealized gain on securities available for sale, net of tax
    861       810  
  Defined benefit plan, net of tax
    (90 )     (98 )
     Total stockholders' equity
    16,926       16,630  
                 
     Total liabilities and stockholders' equity
  $ 163,621     $ 163,868  
 
See notes to unaudited consolidated financial statements.


 

 
 
ROEBLING FINANCIAL CORP, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME

(Unaudited)
           
             
(In thousands, except per share data)
           
    For the Three Months Ended  
    June 30,  
   
2012
   
2011
 
             
Interest income:
           
   Loans receivable
  $ 1,282     $ 1,398  
   Securities      259       314  
   Other interest-earning assets
    7       7  
        Total interest income
    1,548       1,719  
                 
Interest expense:
               
   Deposits
    277       377  
   Borrowed funds
    43       50  
        Total interest expense
    320       427  
                 
Net interest income before provision for loan losses
    1,228       1,292  
Provision for loan losses
    0       85  
        Net interest income after provision for loan losses
    1,228       1,207  
                 
Non-interest income:
               
   Loan fees
    19       20  
   Account servicing and other
    105       93  
   Gain on sale of loans
    8       0  
        Total non-interest income
    132       113  
                 
Non-interest expense:
               
   Compensation and benefits
    598       581  
   Occupancy and equipment
    113       120  
   Service bureau and data processing
    147       132  
   Federal deposit insurance premiums
    52       51  
   Real estate owned expense, net
    13       53  
   Other expense
    273       374  
        Total non-interest expense
    1,196       1,311  
                 
        Income before income tax (benefit)
    164       9  
Income tax (benefit)
    60       (2 )
        Net income
    104       11  
                 
Other comprehensive income, net of tax:
               
   Unrealized gain on securities available for sale, net of tax
    49       163  
   Adjustment to minimum pension liability
    3       3  
Comprehensive income
  $ 156     $ 177  
                 
Earnings per common share:
               
  Basic
  $ 0.06     $ 0.01  
  Diluted
  $ 0.06     $ 0.01  
                 
Weighted average number of shares outstanding:
               
  Basic
    1,665       1,656  
  Diluted
    1,665       1,656  
                 
                 
See notes to unaudited consolidated financial statements.
 

 

 
 
ROEBLING FINANCIAL CORP, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME

(Unaudited)
           
             
(In thousands, except per share data)
           
    For the Nine Months Ended  
    June 30,  
   
2012
   
2011
 
             
Interest income:
           
   Loans receivable
  $ 3,939     $ 4,224  
   Securities
    824       965  
   Other interest-earning assets
    22       29  
        Total interest income
    4,785       5,218  
                 
Interest expense:
               
   Deposits
    921       1,185  
   Borrowed funds
    138       156  
        Total interest expense
    1,059       1,341  
                 
Net interest income before provision for loan losses
    3,726       3,877  
Provision for loan losses
    0       135  
        Net interest income after provision for loan losses
    3,726       3,742  
                 
Non-interest income:
               
   Loan fees
    58       64  
   Account servicing and other
    302       288  
   Gain on sale of loans
    27       11  
        Total non-interest income
    387       363  
                 
Non-interest expense:
               
   Compensation and benefits
    1,754       1,738  
   Occupancy and equipment
    346       369  
   Service bureau and data processing
    450       392  
   Federal deposit insurance premiums
    160       211  
   Real estate owned expense, net
    341       81  
   Other expense
    735       832  
        Total non-interest expense
    3,786       3,623  
                 
        Income before income tax
    327       482  
Income tax
    111       165  
        Net income
    216       317  
                 
Other comprehensive income (loss), net of tax:
               
   Unrealized gain (loss) on securities available for sale, net of tax
    51       (133 )
   Adjustment to minimum pension liability
    8       10  
Comprehensive income
  $ 275     $ 194  
                 
Earnings per common share:
               
  Basic
  $ 0.13     $ 0.19  
  Diluted
  $ 0.13     $ 0.19  
                 
Weighted average number of shares outstanding:
               
  Basic
    1,663       1,653  
  Diluted
    1,663       1,653  
                 
See notes to unaudited consolidated financial statements.
         
 

 

 
 
ROEBLING FINANCIAL CORP, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY

(Unaudited)
                                                           
                                                             
(In thousands)
                                                           
                                 
Common
          Accumulated        
          Additional      
Unallocated
    Unallocated     Deferred     Stock for           Other        
    Common     Paid-in     Treasury     ESOP     RSP     Compensation     Deferred     Retained     Comprehensive        
    Stock     Capital     Stock     Shares     Shares     Obligation     Compensation     Earnings     Income     Total  
                                                             
Balance at September 30, 2011
  $ 172     $ 10,314     $ (190 )   $ (233 )   $ (87 )   $ 285     $ (285 )   $ 5,942     $ 712     $ 16,630  
                                                                                 
Net income for the nine months
                                                                               
  ended June 30, 2012
    -       -       -       -       -       -       -       216       -       216  
                                                                                 
Amortization of ESOP shares
    -       (34 )     -       58       -       -       -       -       -       24  
                                                                                 
Change in unrealized gain on
                                                                         
securities available for sale,
                                                                         
  net of tax
    -       -       -       -       -       -       -       -       51       51  
                                                                                 
Deferred compensation plan
    -       -       -       -       -       17       -       -       -       17  
                                                                                 
Common stock acquired for
                                                                               
  deferred compensation plan
    -       -       -       -       -       -       (17 )     -       -       (17 )
                                                                                 
Allocation of RSP shares
    -       10       -       -       (10 )     -       -       -       -       0  
                                                                                 
Tax expense of stock benefit plans
    -       (3 )     -       -       -       -       -       -       -       (3 )
                                                                                 
Adjustment to mimimum pension
                                                                               
  liability, net of tax
    -       -       -       -       -       -       -       -       8       8  
                                                                                 
Balance at June 30, 2012
  $ 172     $ 10,287     $ (190 )   $ (175 )   $ (97 )   $ 302     $ (302 )   $ 6,158     $ 771     $ 16,926  
 
See notes to unaudited consolidated financial statements.


 

 
 
ROEBLING FINANCIAL CORP, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)
           
             
(In thousands)
           
    For the Nine Months Ended  
    June 30,  
   
2012
   
2011
 
             
Cash flows from operating activities:
           
   Net income
  $ 216     $ 317  
   Adjustments to reconcile net income to cash provided by
               
     operating activities:
               
         Depreciation
    89       95  
         Amortization of premiums and discounts, net
    42       33  
         Amortization of deferred loan fees and costs, net
    9       19  
         Provision for loan losses
    -       135  
         Provision for losses on real estate owned
    297       65  
         Originations of loans held for sale, net of repayments
    (3,764 )     (3,842 )
         Gain on sale of loans
    (27 )     (11 )
         Proceeds from sale of loans held for sale
    3,791       4,359  
         (Gain) loss on disposition of premises and equipment
    (4 )     2  
         Decrease (increase) in other assets
    442       (104 )
         Decrease (increase) in accrued interest receivable
    44       (21 )
         Increase in other liabilities
    163       148  
         Amortization/allocation of ESOP and RSP
    25       39  
         Increase in deferred compensation stock obligation
    17       33  
                   Net cash provided by operating activities
    1,340       1,267  
                 
Cash flows from investing activities:
               
    Purchase of securities available for sale
    (10,912 )     (14,028 )
    Proceeds from payments and maturities of securities available for sale
    13,591       12,542  
    Proceeds from payments and maturities of securities held to maturity
    17       13  
    Proceeds from sale of loans
    -       77  
    Loan disbursements, net payments
    (536 )     745  
    Proceeds from sale of real estate owned
    883       610  
    Purchase of Federal Home Loan Bank stock
    (125 )     (58 )
    Purchase of premises and equipment
    (107 )     (42 )
    Proceeds from sale of premises and equipment
    4       -  
                   Net cash provided by (used in) investing activities
    2,815       (141 )
                 
Cash flows from financing activities:
               
    Net decrease in deposits
    (3,801 )     (4,074 )
    Net increase in short-term borrowed funds
    4,000       2,750  
    Repayment of long-term borrowed funds
    (1,000 )     (1,000 )
    Increase in advance payments by borrowers for taxes
               
       and insurance
    105       95  
    Purchase of common shares for deferred compensation plan
    (17 )     (33 )
                   Net cash used in financing activities
    (713 )     (2,262 )
                 
    Net increase (decrease) in cash and cash equivalents
    3,442       (1,136 )
    Cash and cash equivalents at beginning of period
    3,828       6,019  
    Cash and cash equivalents at end of period
  $ 7,270     $ 4,883  
                 
Supplemental Disclosures of Cash Flow Information:
               
    Cash paid for:
               
        Interest on deposits and borrowed funds
  $ 1,059     $ 1,342  
        Income taxes
    1       130  
                 
    Transfers to real estate owned
    14       1,041  
 
See notes to unaudited consolidated financial statements.


5
 

 

ROEBLING FINANCIAL CORP, INC.
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 1 - BASIS OF PRESENTATION

The accompanying unaudited consolidated financial statements of Roebling Financial Corp, Inc. (the “Company”) have been prepared in accordance with the instructions for Form 10-Q.  Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements.  However, such information presented reflects all adjustments (consisting solely of normal recurring adjustments) which are, in the opinion of the Company’s management, necessary for a fair statement of results for the interim period.

The results of operations for the three and nine months ended June 30, 2012, are not necessarily indicative of the results to be expected for the year ending September 30, 2012, or any other future interim period.  The unaudited consolidated financial statements and notes thereto should be read in conjunction with the audited financial statements and notes thereto for the year ended September 30, 2011 included in the Company’s Annual Report on Form 10-K.

NOTE 2 – EARNINGS PER SHARE

Basic earnings per share is computed by dividing net income for the period by the weighted average number of shares of common stock outstanding, adjusted for unearned shares of the Employee Stock Ownership Plan (“ESOP”).  Diluted earnings per share is computed by adjusting the weighted average number of shares of common stock outstanding to include the effect of outstanding stock options and compensation grants, if dilutive, using the treasury stock method.

The following is a summary of the Company’s earnings per share calculations:
 
   
Three Months Ended
    Nine Months Ended  
    June 30,     June 30,  
   
2012
   
2011
   
2012
   
2011
 
                         
Net income
  $ 103,999     $ 10,554     $ 215,602     $ 316,643  
                                 
Weighted average common shares
                               
  outstanding for computation of
                               
  basic EPS (1)
    1,664,795       1,655,644       1,662,507       1,653,357  
                                 
Common-equivalent shares due to
                               
  the dilutive effect of stock options
                               
  and RSP awards
    -       -       -       -  
                                 
Weighted-average common shares
                               
  for computation of diluted EPS
    1,664,795       1,655,644       1,662,507       1,653,357  
                                 
Earnings per common share:
                               
   Basic
  $ 0.06     $ 0.01     $ 0.13     $ 0.19  
   Diluted
  $ 0.06       0.01     $ 0.13     $ 0.19  
                                 
(1) Excludes unallocated ESOP shares
                               

 

 

NOTE 3 – SECURITIES AVAILABLE FOR SALE

    June 30, 2012  
   
Amortized
   
Gross Unrealized
   
Estimated
 
   
Cost
   
Gains
   
Losses
   
Fair Value
 
                         
Investment Securities
                       
   U.S. Government and Agency Securities:
                       
      Due within one year
  $ 1,000,000     $ 4,840     $ -     $ 1,004,840  
      Due after one year through five years
    6,000,000       109,070       -       6,109,070  
      Due after five years through ten years
    10,853,837       138,438       -       10,992,275  
                                 
   Marketable Equity Securities
    2,888       -       2,784       104  
                                 
   Residential Mortgage-backed Securities
    20,890,022       1,184,613       -       22,074,635  
                                 
    $ 38,746,747     $ 1,436,961     $ 2,784     $ 40,180,924  
 

    September 30, 2011  
   
Amortized
   
Gross Unrealized
   
Estimated
 
   
Cost
   
Gains
   
Losses
   
Fair Value
 
                         
Investment Securities
                       
   U.S. Government and Agency Securities:
                       
      Due after one year through five years
  $ 8,000,000     $ 120,410     $ -     $ 8,120,410  
      Due after five years through ten years
    10,997,704       58,196       930       11,054,970  
                                 
   Marketable Equity Securities
    2,888       -       2,792       96  
                                 
   Residential Mortgage-backed Securities
    22,467,391       1,175,179       450       23,642,120  
                                 
    $ 41,467,983     $ 1,353,785     $ 4,172     $ 42,817,596  
 
 
There were no sales of investment securities or mortgage-backed securities during the nine months ended June 30, 2012.

The following tables provide a summary of securities available for sale which were in an unrealized loss position at June 30, 2012 and September 30, 2011.  Approximately $2,800 or 100% and $2,800 or 67% of the unrealized loss as of June 30, 2012 and September 30, 2011, respectively, was comprised of securities in a continuous loss position for twelve months or more.  Unrealized losses on government and agency and mortgage-backed debt securities are caused primarily by changes in market interest rates.  The Company does not intend to sell these securities and it is not likely that we would be required to sell them before recovery of the amortized cost basis.

7
 

 
 

    June 30, 2012  
    Under One Year     One Year or More  
                         
         
Gross
         
Gross
 
   
Estimated
   
Unrealized
   
Estimated
   
Unrealized
 
   
Fair Value
   
Loss
   
Fair Value
   
Loss
 
                         
Marketable Equity Securities
  $ -     $ -     $ 104     $ 2,784  
                                 
        Total available for sale
  $ -     $ -     $ 104     $ 2,784  
 

    September 30, 2011  
    Under One Year     One Year or More  
                         
         
Gross
         
Gross
 
   
Estimated
   
Unrealized
   
Estimated
   
Unrealized
 
   
Fair Value
   
Loss
   
Fair Value
   
Loss
 
                         
U.S. Government and Agency Securities
  $ 999,070     $ 930     $ -     $ -  
Marketable Equity Securities
    -       -       96       2,792  
Residential Mortgage-backed Securities
    1,026,552       450       -       -  
                                 
        Total available for sale
  $ 2,025,622     $ 1,380     $ 96     $ 2,792  
 
 
NOTE 4 – SECURITIES HELD TO MATURITY
 
   
June 30,
   
September 30,
 
   
2012
   
2011
 
             
Residential Mortgage-backed Securities:
           
   Amortized cost
  $ 92,298     $ 109,236  
   Gross unrealized gains
    2,612       3,424  
   Gross unrealized losses
    -       -  
                 
   Estimated fair value
  $ 94,910     $ 112,660  
 
 
NOTE 5 – LOANS RECEIVABLE, NET

The Company has segmented its loans into three portfolio segments of residential, commercial purpose and consumer.  It has further disaggregated these segments into additional classes of loans.  The residential portfolio segment includes loans to consumers, secured by one-to-four family residential properties that are generally owner-occupied.  This portfolio segment includes two classes, mortgage loans and home equity loans.  Commercial purpose loans are one segment and one class of receivable.  These are loans made to individuals and businesses for business purposes.  They are generally collateralized by commercial real estate, residential properties (one-to-four or multifamily), land or business assets, and may be provided for permanent or construction financing.  The consumer portfolio segment includes non-mortgage loans to individuals for consumer purposes.  They are further categorized into three classes, including account loans, unsecured loans and other loans.

The following tables reflect the aging and accrual status of our loan portfolio by portfolio segment and class as of June 30, 2012 and September 30, 2011.
 
8
 

 
 
 
Past Due
     
Total
             
 
30-59
 
60-89
 
90+
         
Loans
           
90+ and
June 30, 2012
 Days
 
 Days
 
 Days
 
 Total
 
 Current
    Receivable      
Non-accrual
   
Accruing
             
       (In thousands)
                 
Residential:
                                   
  Mortgage
 $             -
 
 $           35
 
 $         495
 
 $         530
 
 $    58,211
 
 $    58,741
    $
735
   
 $             -
  Home equity
              43
 
              81
 
            207
 
            331
 
       26,343
 
       26,674
     
            239
   
                -
Commercial purpose
                -
 
                -
 
         1,037
 
         1,037
 
       23,468
 
       24,505
     
            846
   
            191
Consumer:
                                   
  Account loans
                -
 
                -
 
                -
 
                -
 
              45
 
              45
     
                 -
   
                -
  Unsecured
                -
 
                -
 
                -
 
                -
 
              87
 
              87
     
                 -
   
                -
  Other
 -
 
 -
 
 -
 
                -
 
              43
 
              43
     
 -
   
 -
 
 $           43
 
 $         116
 
 $      1,739
 
 $      1,898
 
 $  108,197
 
 $  110,095
    $
1,820
   
 $         191
                                     
 
Past Due
     
Total
             
 
30-59
 
60-89
 
90+
         
Loans
           
90+ and
September 30, 2011
 Days
 
 Days
 
 Days
 
 Total
 
 Current
 
Receivable
     
Non-accrual
   
 Accruing
             
       (In thousands)
                 
Residential:
                                   
  Mortgage
 $           36
 
 $             -
 
 $         209
 
 $         245
 
 $    55,882
 
 $    56,127
    $
209
   
 $             -
  Home equity
              91
 
              72
 
            140
 
            303
 
       26,620
 
       26,923
     
            140
   
                -
Commercial purpose
                -
 
                -
 
            526
 
            526
 
       26,073
 
       26,599
     
            335
   
            191
Consumer:
                                   
  Account loans
                -
 
                -
 
                -
 
                -
 
              47
 
              47
     
                 -
   
                -
  Unsecured
                -
 
                -
 
                -
 
                -
 
              79
 
              79
     
                 -
   
                -
  Other
              36
 
 -
 
 -
 
              36
 
              71
 
            107
     
 -
   
 -
 
 $         163
 
 $           72
 
 $         875
 
 $      1,110
 
 $  108,772
 
 $  109,882
    $
684
   
 $         191
 
One of the primary methods we use as an indicator of the credit quality of our residential and commercial purpose portfolios is the regulatory classification system, along with impaired loan determinations.  For the consumer portfolio segment, payment performance is our primary indicator of credit quality.  The following tables reflect the credit quality indicators by portfolio segment and class, as of June 30, 2012 and September 30, 2011:

 
                                     
Credit Risk Profile by Classification:
                               
   
Residential Mortgage
   
Home Equity
   
Commercial Purpose
 
   
June 30,
   
September 30,
   
June 30,
   
September 30,
   
June 30,
   
September 30,
 
(In thousands)
 
2012
   
2011
   
2012
   
2011
   
2012
   
2011
 
                                     
Pass
  $ 56,754     $ 54,389     $ 26,322     $ 26,590     $ 16,668     $ 16,896  
Special mention
    1,252       1,493       113       193       3,932       4,374  
Substandard
    735       245       219       140       3,905       5,116  
Doubtful
    -       -       -       -       -       -  
Loss
    -       -       20       -       -       213  
   Total
  $ 58,741     $ 56,127     $ 26,674     $ 26,923     $ 24,505     $ 26,599  
                                                 
Credit Risk Profile by Performance:
                                         
   
Consumer
 
   
Account Loans
   
Consumer Unsecured
   
Other Consumer
 
   
June 30,
   
September 30,
   
June 30,
   
September 30,
   
June 30,
   
September 30,
 
(In thousands)
   2012      2011      2012      2011      2012      2011  
                                                 
Performing
  $ 45     $ 47     $ 87     $ 79     $ 43     $ 107  
Non-performing     -       -       -       -       -       -  
   Total   $ 45     $ 47     $ 87     $ 79     $ 43     $ 107  
 

9
 

 
 
Additional information about impaired loans, by portfolio segment and class, is as follows:
 
   
As of June 30, 2012
   
As of September 30, 2011
 
         
Unpaid
               
Unpaid
       
   
Recorded
   
Principal
   
Related
   
Recorded
   
Principal
   
Related
 
(In thousands)
 
Investment
   
Balance
   
Allowance
   
Investment
   
Balance
   
Allowance
 
                                     
With no related allowance:
                                   
   Residential
                                   
     Mortgage
  $ -     $ -     $ -     $ -     $ -     $ -  
     Home equity
    135       135       -       140       140       -  
  Commercial purpose
    1,129       1,129       -       1,441       1,441       -  
      1,264       1,264       -       1,581       1,581       -  
                                                 
With a related allowance:
                                               
   Residential
                                               
     Mortgage
    -       -       -       -       -       -  
     Home equity
    72       72       20       -       -       -  
  Commercial purpose
    296       296       91       507       507       213  
      368       368       111       507       507       213  
                                                 
Total:
                                               
   Residential
                                               
     Mortgage
    -       -       -       -       -       -  
     Home equity
    207       207       20       140       140       -  
  Commercial purpose
    1,425       1,425       91       1,948       1,948       213  
     Total impaired
  $ 1,632     $ 1,632     $ 111     $ 2,088     $ 2,088     $ 213  
 

   
For the Three Months Ended
   
For the Nine Months Ended
 
   
June 30, 2012
   
June 30, 2011
   
June 30, 2012
   
June 30, 2011
 
   
Average
   
Interest
   
Average
   
Interest
   
Average
   
Interest
   
Average
   
Interest
 
   
Recorded
   
Income
   
Recorded
   
Income
   
Recorded
   
Income
   
Recorded
   
Income
 
(In thousands)
 
Investment
   
Recognized
   
Investment
   
Recognized
   
Investment
   
Recognized
   
Investment
   
Recognized
 
                                                 
With no related allowance: