SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): April 30, 2003
GREENE COUNTY BANCORP, INC.
(Exact name of registrant as specified in its charter)
Federal 0-25165 14-1809721
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(State or other jurisdiction (Commission File No.) (IRS Employer
of incorporation) Identification No.)
302 Main Street, Catskill NY 12414
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (518) 943-2600
Not Applicable
________________________
(Former name or former address, if changed since last report)
Item 7. Financial Statements and Exhibits.
(a) Not Applicable.
(b) Not Applicable.
(c) Exhibits.
Exhibit No. Description
______________ ________________
99 Press release dated April 30, 2003
Item 9. Regulation FD Disclosure.
The following information is furnished pursuant to this Item 9 and in
satisfaction of Item 12, "Disclosure of Results of Operations and Financial
Condition."
On April 30, 2003, Greene County Bancorp, Inc. (the "Company") announced
its earnings for the three and nine months ended March 31, 2003. A copy of the
press release dated April 30, 2003, describing earnings for such periods is
attached as Exhibit 99 to this report.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned, hereunto duly authorized.
GREENE COUNTY BANCORP, INC.
DATE: April 30, 2003 By:
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J. Bruce Whittaker
President and Chief Executive Officer
EXHIBIT 99
PRESS RELEASE OF GREENE COUNTY BANCORP, INC.
Greene County Bancorp, Inc.
Announces Quarterly and Nine Months' Earnings
Catskill, N.Y. -- (BUSINESS WIRE) - April 30, 2003-- Greene County Bancorp,
Inc. (the "Company") (NASDAQ: GCBC), the holding company for The Bank of Greene
County (the "Bank"), today reported net income for the quarter and nine months
ended March 31, 2003. Net income for the nine months ended March 31, 2003 amount
to $1,699,000, or $0.86 per basic and $0.84 per diluted share as compared to
$1,193,000, or $0.61 per basic and $0.59 per diluted share for the nine months
ended March 31, 2002, an increase of $506,000, or 42.4%. Net income for the
quarter ended March 31, 2003 amounted to $514,000, or $0.26 per basic and $0.25
per diluted share as compared to $468,000, or $0.24 per basic and $0.23 per
diluted share for the quarter ended March 31, 2002, an increase of $46,000, or
9.8%. Improvement in net interest income and noninterest income contributed to
the overall increase in net income and was somewhat offset by increases in
non-interest expense when comparing the nine-month periods and quarters ended
March 31, 2003 and 2002.
Net interest income increased to $6.5 million for the nine months and $2.2
million for the quarter ended March 31, 2002 as compared to $5.5 million for the
nine months and $1.9 million for the quarter ended March 31, 2002, improvements
of $1.0 million and $0.3 million, or 18.2% and 15.8%, respectively. Net interest
spread increased 4 basis points to 3.78% as compared to 3.74% when comparing the
nine-month periods ended March 31, 2003 to 2002 and increased 7 basis points to
3.81% as compared to 3.74% when comparing the quarters ended March 31, 2003 and
2002. Net interest margin decreased 4 basis points to 3.93% as compared to 3.97%
when comparing the nine-month periods ended March 31, 2003 and 2002 and
increased 1 basis point to 3.95% as compared to 3.94% when comparing the
quarters ended March 31, 2003 and 2002. These changes were primarily the result
of increased loan and mortgage-backed securities interest and decreased deposit
expense. The yield on loans and other investments as well as rates on deposits
were driven by the continued low interest rate environment experienced during
the last calendar year.
The provision for loan losses for the nine months ended March 31, 2003
decreased to $105,000 as compared to $158,900 for the nine months ended March
31, 2002. The provision for loan losses for the nine months ended March 31, 2002
reflected the establishment of a reserve for potential losses associated with
the Bank's new Overdraft Protection Program, initiated in October 2001, and the
growth in, and composition of, the loan portfolio. The provision for loan losses
increased to $75,000 for the quarter ended March 31, 2003 as compared to $60,000
for the quarter ended March 31, 2002 as a result of an increased level of
nonperforming loans and charge-offs. The level of nonperforming loans to total
loans increased to 0.23% at March 31, 2003 as compared to 0.08% at March 31,
2002. It should be noted that the level of nonperforming loans experienced at
March 31, 2002 was considered unusually low and unsustainable.
Noninterest income increased to $1.8 million for the nine months ended
March 31, 2003 as compared to $1.3 million for the nine months ended March 31,
2002, an increase of $0.5 million or 38.5%. Noninterest income increased to
$600,000 for the quarter ended March 31, 2003 as compared to $471,000 for the
quarter ended March 31, 2002, an increase of $129,000 or 27.4%. The most
significant item affecting noninterest income was the increase in insufficient
funds fees associated with the Overdraft Protection Program. Other factors
contributing to noninterest income were gains of $67,000 associated with sales
of real estate owned and improved merchant credit card processing and debit card
fees during the nine months ended March 31, 2003.
Noninterest expense increased to $5.7 million from $5.1 million, an
increase of $0.6 million or 11.6% when comparing the nine-months ended March 31,
2003 and 2002. Noninterest expense increased to $2.0 million from $1.7 million,
an increase of $0.3 million or 17.6% when comparing the quarters ended March 31,
2003 and 2002. Increases in salaries and benefits resulted from the addition of
several new positions including additional marketing and computer technology
staff, as well as increases in the costs of retirement plans. The Company
continues to invest in technology and staff in order to bring customers the
highest quality products and services. The Bank has increased its amount of
transaction accounts during the timeframes discussed and as a result has
increased costs associated with such accounts. The expense for service and data
processing of accounts is driven by the number of accounts. Other expense
accounts such as office supplies are also impacted by an increased number of
accounts.
The effective tax rate increased to 31.5% for the nine months ended March
31, 2003, as compared to 25.9% for the nine months ended March 31, 2002 in
anticipation of the effective rate required for the fiscal year ending June 30,
2003. A major reason for the change in effective rate was the expected decrease
in the percentage of income that municipal securities and other tax free
investments are expected to contribute to total income during the fiscal year.
Total assets of the Company were $244.1 million at March 31, 2003 as
compared to $220.2 million at June 30, 2002, an increase of $23.9 million, or
10.9%. Growth occurred most significantly in investments, which increased $18.7
million to $84.8 million at March 31, 2003 as compared to $66.1 million at June
30, 2002. This growth was funded by increases in interest bearing deposits,
which increased $22.1 million to $183.7 million at March 31, 2003 as compared to
$161.6 million at June 30, 2002. Savings and money market accounts experienced
the largest increases. Investors continue to move money into banks due to the
stock market volatility and uncertainty.
Shareholders' equity increased to $22.5 million at March 31, 2003 from
$22.1 million at June 30, 2002, as net income of $1.7 million was partially
offset by dividends paid of $591,000. Net unrealized gains associated with the
available-for-sale investment portfolio caused accumulated other comprehensive
income to increase by approximately $503,000, net of tax.
Headquartered in Catskill, New York, the Company provides full-service
community based banking in its six branch offices located in Catskill, Cairo,
Coxsackie, Greenville, Tannersville, and Westerlo. Customers are offered 24-hour
services through ATM network systems, an automated telephone banking system and
Internet Banking through its web site at http://www.thebankofgreenecounty.com.
This press release contains statements about future events that constitute
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. Actual results could differ materially from those
projected in the forward-looking statements. Factors that might cause such a
difference include, but are not limited to, general economic conditions, changes
in interest rates, regulatory considerations, competition, technological
developments, retention and recruitment of qualified personnel, and market
acceptance of the Company's pricing, products and services.
As of March 31, 2003 As of June 30, 2002
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Unaudited Audited
Assets
Total cash and cash equivalents $20,295,168 $17,832,021
Investment securities, at fair value 84,818,851 66,088,530
Federal Home Loan Bank stock, at cost 1,121,100 1,121,100
Gross loans receivable 132,577,404 129,727,150
Less: Allowance for loan losses (1,117,627) (1,068,734)
Less: Unearned origination fees and costs, net (310,405) (285,132)
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Net loans receivable 131,149,372 128,373,284
Premises and equipment 4,810,832 4,963,621
Accrued interest receivable 1,505,232 1,452,104
Prepaid expenses and other assets 317,233 296,691
Other real estate owned 55,125 30,229
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Total Assets $244,072,913 $220,157,580
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Liabilities and shareholders' equity
Noninterest bearing deposits $22,455,818 $22,067,347
Interest bearing deposits 183,732,590 161,646,281
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Total deposits 206,188,408 183,713,628
FHLB borrowing 8,000,000 9,000,000
Accrued interest and other liabilities 1,550,109 911,959
Accrued income taxes 114,771 131,287
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Total liabilities 215,853,288 193,756,874
Total shareholders' equity 28,219,625 26,400,706
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Total liabilities and shareholders' equity $244,072,913 $220,157,580
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Common shares outstanding 2,034,203 2,024,835
For the For the
Nine Months Nine Months
Ended Ended
March 31, 2003 March 31, 2002
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Unaudited Unaudited
Interest income $9,803,753 $9,319,761
Interest expense 3,328,733 3,767,333
Net interest income 6,475,020 5,552,428
Provision for loan loss 105,000 158,900
Non-interest income 1,831,051 1,272,958
Non-interest expense 5,719,282 5,055,503
Income before taxes 2,481,789 1,610,983
Tax provision 782,900 417,900
Net Income $1,698,889 $1,193,083
Basic EPS $0.86 $0.61
Weighted average shares
outstanding 1,978,535 1,959,546
Diluted EPS $0.84 $0.59
Weighted average diluted
shares outstanding 2,033,029 2,012,285
At and For the At and For the
Nine Months Nine Months
Ended Ended
Mar. 31, 2003 Mar. 31, 2002
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Unaudited Unaudited
Selected Financial Ratios
Return on average assets 0.97% 0.80%
Return on average equity 8.25% 6.26%
Net interest rate spread 3.78% 3.74%
Net interest margin 3.93% 3.97%
Non-performing assets to total assets 0.15% 0.06%
Non-performing loans to total loans 0.23% 0.08%
Allowance for loan loss to
non-performing loans 360.49% 994.18%
Allowance for loan loss to net loans 0.85% 0.82%
Shareholders' equity to total assets 11.75% 12.81%
Book value per share $14.21 $12.90
For the For the
Three Months Three Months
Ended Ended
March 31, 2003 March 31, 2002
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Unaudited Unaudited
Interest income $3,261,154 $3,104,967
Interest expense 1,042,162 1,188,147
Net interest income 2,218,992 1,916,820
Provision for loan loss 75,000 60,000
Non-interest income 600,407 470,923
Non-interest expense 1,977,363 1,719,516
Income before taxes 767,036 608,227
Tax provision 253,000 140,500
Net Income $514,036 $467,727
Basic EPS $0.26 $0.24
Weighted average shares
outstanding 1,982,123 1,955,078
Diluted EPS $0.25 $0.23
Weighted average diluted
shares outstanding 2,038,278 2,013,215
For the For the
Three Months Three Months
Ended Ended
Mar. 31, 2003 Mar. 31, 2002
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Unaudited Unaudited
Selected Financial Ratios
Return on average assets 0.91% 0.90%
Return on average equity 7.77% 7.35%
Net interest rate spread 3.81% 3.74%
Net interest margin 3.95% 3.94%
Non-performing assets to total assets
Non-performing loans to total loans
Allowance for loan loss to
non-performing loans
Allowance for loan loss to net loans
Shareholders' equity to total assets
Book value per share
Contact: J. Bruce Whittaker, President and CEO
Michelle Plummer, CFO and Treasurer
Phone: 518-943-2600