MAINE
|
01-0413282
|
|
(State
or other jurisdiction of
|
(I.R.S.
Employer
|
|
incorporation
or organization)
|
Identification
No.)
|
2
ELM STREET, CAMDEN, ME
|
04843
|
|
(Address
of principal executive offices)
|
(Zip
Code)
|
Large accelerated filer ¨
|
Accelerated filer x
|
|
Non-accelerated filer ¨
(Do not check if a smaller reporting
company)
|
Smaller reporting company ¨
|
PAGE
|
||
PART
I. FINANCIAL INFORMATION
|
||
ITEM
1.
|
FINANCIAL
STATEMENTS
|
|
Report
of Independent Registered Public Accounting Firm
|
3
|
|
Consolidated
Statements of Condition
March
31, 2009 and December 31, 2008
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4
|
|
Consolidated
Statements of Income
Three
Months Ended March 31, 2009 and 2008
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5
|
|
Consolidated
Statements of Changes in Shareholder’s Equity
Three
Months Ended March 31, 2009 and 2008
|
6
|
|
Consolidated
Statements of Cash Flows
Three
Months Ended March 31, 2009 and 2008
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7
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|
Notes to
Consolidated Financial Statements
Three
Months Ended March 31, 2009 and 2008
|
8-20
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|
ITEM
2.
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MANAGEMENT'S
DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS
|
21-32
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ITEM
3.
|
QUANTITATIVE
AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK
|
33-34
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ITEM
4.
|
CONTROLS
AND PROCEDURES
|
34
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PART
II. OTHER INFORMATION
|
||
ITEM
1.
|
LEGAL
PROCEEDINGS
|
34
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ITEM 1A.
|
RISK
FACTORS
|
34
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ITEM
2.
|
UNREGISTERED
SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
|
35
|
ITEM
3.
|
DEFAULTS
UPON SENIOR SECURITIES
|
35
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ITEM
4.
|
SUBMISSION
OF MATTERS TO A VOTE OF SECURITY HOLDERS
|
35
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ITEM
5.
|
OTHER
INFORMATION
|
35
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ITEM
6.
|
EXHIBITS
|
36
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SIGNATURES
|
37
|
|
EXHIBIT
INDEX
|
38
|
|
EXHIBITS
|
|
March 31,
|
December 31,
|
|||||||
(In Thousands, Except Number of Shares and per Share Data)
|
2009
|
2008
|
||||||
ASSETS
|
|
|
||||||
Cash
and due from banks
|
$
|
28,765
|
$
|
35,195
|
||||
Securities
|
|
|
||||||
Securities
available for sale, at fair value
|
590,666
|
606,031
|
||||||
Securities
held to maturity, at amortized cost (fair value $41,376 and $41,954 at
March 31, 2009 and December 31, 2008, respectively)
|
41,515
|
42,040
|
||||||
Federal
Home Loan and Federal Reserve Bank stock, at cost
|
21,969
|
21,969
|
||||||
Total
securities
|
654,150
|
670,040
|
||||||
Loans
held for sale
|
8,964
|
—
|
||||||
Loans
|
1,469,520
|
1,500,908
|
||||||
Less
allowance for loan losses
|
(17,691
|
)
|
(17,691
|
)
|
||||
Net
loans
|
1,451,829
|
1,483,217
|
||||||
Goodwill
|
41,780
|
41,857
|
||||||
Bank-owned
life insurance
|
40,854
|
40,459
|
||||||
Premises
and equipment, net
|
25,307
|
25,872
|
||||||
Interest
receivable
|
8,385
|
8,325
|
||||||
Core
deposit intangible
|
4,393
|
4,518
|
||||||
Other
real estate owned
|
3,183
|
4,024
|
||||||
Other
assets
|
25,910
|
27,989
|
||||||
Total
assets
|
$
|
2,293,520
|
$
|
2,341,496
|
||||
LIABILITIES
AND SHAREHOLDERS’ EQUITY
|
|
|
||||||
Liabilities
|
||||||||
Deposits:
|
|
|
||||||
Demand
|
$
|
170,974
|
$
|
180,407
|
||||
Interest
checking, savings and money market
|
618,634
|
632,664
|
||||||
Retail
certificates of deposit
|
592,604
|
593,013
|
||||||
Brokered
deposits
|
98,978
|
83,433
|
||||||
Total
deposits
|
1,481,190
|
1,489,517
|
||||||
Federal
Home Loan Bank advances
|
216,480
|
258,925
|
||||||
Other
borrowed funds
|
356,188
|
359,470
|
||||||
Junior
subordinated debentures
|
43,435
|
43,410
|
||||||
Accrued
interest and other liabilities
|
24,231
|
23,774
|
||||||
Total
liabilities
|
2,121,524
|
2,175,096
|
||||||
|
|
|||||||
Shareholders’
Equity
|
|
|
||||||
Common
stock, no par value; authorized 20,000,000 shares, issued and outstanding
7,641,074 and 7,638,713 shares on March 31, 2009 and December 31, 2008,
respectively
|
2,973
|
2,851
|
||||||
Surplus
|
46,133
|
46,133
|
||||||
Retained
earnings
|
122,862
|
118,564
|
||||||
Accumulated
other comprehensive income (loss)
|
|
|
||||||
Net
unrealized gains (losses) on securities available for sale, net of
tax
|
1,236
|
|
(89
|
)
|
||||
Net
unrealized losses on derivative instruments, net of tax
|
(165
|
)
|
—
|
|||||
Net
unrecognized losses on postretirement plans, net of tax
|
(1,043
|
)
|
(1,059
|
)
|
||||
Total
accumulated other comprehensive income (loss)
|
28
|
|
(1,148
|
)
|
||||
Total
shareholders’ equity
|
171,996
|
166,400
|
||||||
Total
liabilities and shareholders’ equity
|
$
|
2,293,520
|
$
|
2,341,496
|
Three Months Ended March 31,
|
||||||||
(In Thousands, Except Number of Shares and per Share Data)
|
2009
|
2008
|
||||||
Interest
Income
|
|
|
||||||
Interest
and fees on loans
|
$
|
21,621
|
$
|
25,314
|
||||
Interest
on U.S. government and sponsored enterprise obligations
|
7,240
|
6,148
|
||||||
Interest
on state and political subdivision obligations
|
645
|
676
|
||||||
Interest
on federal funds sold and other investments
|
30
|
771
|
||||||
Total
interest income
|
29,536
|
32,909
|
||||||
Interest
Expense
|
|
|
||||||
Interest
on deposits
|
6,394
|
8,942
|
||||||
Interest
on borrowings
|
3,934
|
6,052
|
||||||
Interest
on junior subordinated debentures
|
713
|
752
|
||||||
Total
interest expense
|
11,041
|
15,746
|
||||||
Net
interest income
|
18,495
|
17,163
|
||||||
Provision
for Loan Losses
|
1,730
|
500
|
||||||
Net
interest income after provision for loan losses
|
16,765
|
16,663
|
||||||
Non-Interest
Income
|
|
|
||||||
Service
charges on deposit accounts
|
1,233
|
1,227
|
||||||
Other
service charges and fees
|
613
|
639
|
||||||
Income
from fiduciary services
|
1,354
|
1,677
|
||||||
Brokerage
and insurance commissions
|
358
|
318
|
||||||
Mortgage
banking income (loss), net
|
455
|
|
(130
|
)
|
||||
Bank-owned
life insurance
|
395
|
293
|
||||||
Net
investment securities gains
|
—
|
180
|
||||||
Other
income
|
152
|
199
|
||||||
Total
non-interest income
|
4,560
|
4,403
|
||||||
Non-Interest
Expenses
|
|
|
||||||
Salaries
and employee benefits
|
5,658
|
6,652
|
||||||
Net
occupancy
|
1,123
|
1,089
|
||||||
Furniture
and equipment
|
837
|
852
|
||||||
Consulting
and service fees
|
711
|
714
|
||||||
Other
real estate owned and collection costs
|
880
|
227
|
||||||
Regulatory
assessments
|
872
|
161
|
||||||
Amortization
of core deposit intangible
|
125
|
310
|
||||||
Other
expenses
|
2,085
|
2,256
|
||||||
Total
non-interest expenses
|
12,291
|
12,261
|
||||||
Income
before income taxes
|
9,034
|
8,805
|
||||||
Income
Taxes
|
2,820
|
2,611
|
||||||
Net
Income
|
$
|
6,214
|
$
|
6,194
|
||||
Per
Share Data
|
|
|
||||||
Basic
earnings per share – common stock
|
$
|
0.81
|
$
|
0.81
|
||||
Basic
earnings per share – unvested share-based payment awards
|
0.81
|
0.80
|
||||||
Diluted
earnings per share – common stock
|
0.81
|
0.80
|
||||||
Diluted
earnings per share– unvested share-based payment awards
|
$
|
0.81
|
$
|
0.80
|
||||
Weighted
average number of shares outstanding
|
7,639,169
|
7,692,726
|
(In Thousands, Except Number of
Shares and per Share Data)
|
Common
Stock
|
Surplus
|
Retained
Earnings
|
Net
Unrealized
(Losses)
Gains
on Securities
Available for
Sale
|
Net
Unrealized
Losses on
Derivative
Instruments
|
Net
Unrecognized
Losses on
Postretirement
Plans
|
Total
Shareholders’
Equity
|
|||||||||||||||||||||
Balance
at December 31, 2007
|
$
|
2,522
|
$
|
2,629
|
$
|
114,289
|
$
|
1,516
|
$
|
—
|
$
|
(753
|
)
|
$
|
120,203
|
|||||||||||||
Net
income
|
—
|
—
|
6,194
|
—
|
—
|
—
|
6,194
|
|||||||||||||||||||||
Change
in unrealized gains on securities available for sale, net of taxes of
($1,615)
|
—
|
—
|
—
|
3,000
|
—
|
|
—
|
3,000
|
||||||||||||||||||||
Change
in unrecognized losses on postretirement plans, net of taxes of
($212)
|
—
|
—
|
—
|
—
|
—
|
393
|
393
|
|||||||||||||||||||||
Total
comprehensive income
|
—
|
—
|
6,194
|
3,000
|
—
|
393
|
9,587
|
|||||||||||||||||||||
Shares
issued during acquisition of Union Bankshares Company (1,222,497
shares)
|
—
|
43,523
|
—
|
—
|
—
|
—
|
|
43,523
|
||||||||||||||||||||
Equity
compensation expense
|
—
|
34
|
—
|
—
|
—
|
—
|
34
|
|||||||||||||||||||||
Exercise
of stock options and issuance of restricted stock (total 9,291
shares)
|
280
|
(148
|
)
|
—
|
—
|
—
|
—
|
132
|
||||||||||||||||||||
Common
stock repurchase (41,343 shares)
|
—
|
(51
|
)
|
(1,288
|
)
|
—
|
—
|
—
|
(1,339
|
)
|
||||||||||||||||||
Balance
at March 31, 2008
|
$
|
2,802
|
$
|
45,987
|
$
|
119,195
|
$
|
4,516
|
$
|
—
|
$
|
(360
|
)
|
$
|
172,140
|
|||||||||||||
Balance
at December 31, 2008
|
$
|
2,851
|
$
|
46,133
|
$
|
118,564
|
$
|
(89
|
)
|
$
|
—
|
$
|
(1,059
|
)
|
$
|
166,400
|
||||||||||||
Net
income
|
—
|
—
|
6,214
|
—
|
—
|
—
|
6,214
|
|||||||||||||||||||||
Change
in unrealized gains on securities available for sale, net of taxes of
($713)
|
—
|
—
|
—
|
1,325
|
|
—
|
—
|
1,325
|
|
|||||||||||||||||||
Change
in unrealized losses on derivative instruments, net of taxes of
$89
|
—
|
—
|
—
|
—
|
(165
|
)
|
—
|
(165
|
)
|
|||||||||||||||||||
Change
in net unrecognized losses on postretirement plans, net of taxes of
($8)
|
—
|
—
|
—
|
—
|
—
|
16
|
|
16
|
|
|||||||||||||||||||
Total
comprehensive income
|
—
|
—
|
6,214
|
1,325
|
(165
|
)
|
16
|
7,390
|
||||||||||||||||||||
Equity
compensation expense
|
—
|
93
|
—
|
—
|
—
|
—
|
93
|
|||||||||||||||||||||
Exercise
of stock options and issuance of restricted stock (total 2,361
shares)
|
122
|
(93
|
)
|
—
|
—
|
—
|
—
|
29
|
||||||||||||||||||||
Cash
dividends declared ($0.25 per share)
|
—
|
—
|
(1,916
|
)
|
—
|
—
|
—
|
(1,916
|
)
|
|||||||||||||||||||
Balance
at March 31, 2009
|
$
|
2,973
|
$
|
46,133
|
$
|
122,862
|
$
|
1,236
|
$
|
(165
|
)
|
$
|
(1,043
|
)
|
$
|
171,996
|
Three Months Ended March 31,
|
||||||||
(In Thousands)
|
2009
|
2008
|
||||||
Operating Activities
|
|
|
||||||
Net
income
|
$
|
6,214
|
$
|
6,194
|
||||
Adjustments
to reconcile net income to net cash provided by operating
activities:
|
|
|
||||||
Provision
for loan losses
|
1,730
|
500
|
||||||
Depreciation
and amortization
|
667
|
464
|
||||||
Equity
compensation expense
|
93
|
34
|
||||||
(Increase)
decrease in interest receivable
|
(60
|
)
|
57
|
|||||
Amortization
of core deposit intangible
|
125
|
310
|
||||||
Net
investment securities gains
|
—
|
(180
|
)
|
|||||
Originations
of mortgage loans held for sale
|
(29,119
|
)
|
—
|
|||||
Proceeds
from the sale of mortgage loans
|
20,155
|
—
|
||||||
Gain
on sale of mortgage loans
|
(112
|
)
|
—
|
|||||
Liquidation
of defined benefit pension plan
|
(735
|
)
|
—
|
|||||
Decrease
in other assets
|
2,334
|
|
845
|
|
||||
Increase
in other liabilities
|
388
|
|
476
|
|||||
Net
cash provided by operating activities
|
1,680
|
8,700
|
||||||
Investing
Activities
|
|
|
||||||
Acquisition
of Union Bankshares Company
|
—
|
|
(29,028
|
)
|
||||
Proceeds
from maturities of securities held to maturity
|
500
|
—
|
||||||
Proceeds
from sales and maturities of securities available for sale
|
47,830
|
67,252
|
||||||
Purchase
of securities held to maturity
|
—
|
|
(39
|
)
|
||||
Purchase
of securities available for sale
|
(30,469
|
)
|
(70,447
|
)
|
||||
Net
decrease (increase) in loans
|
30,074
|
(6,876
|
)
|
|||||
Proceeds
from the sale of other real estate owned
|
175
|
—
|
||||||
Premium
received on sale of branch
|
—
|
1,400
|
||||||
Purchase
of premises and equipment
|
(194
|
)
|
(522
|
)
|
||||
Net
cash provided (used) by investing activities
|
47,916
|
|
(38,260
|
)
|
||||
Financing
Activities
|
|
|
||||||
Net
decrease in deposits
|
(8,336
|
)
|
(43,294
|
)
|
||||
Proceeds
from Federal Home Loan Bank long-term advances
|
—
|
155,810
|
||||||
Repayments
on Federal Home Loan Bank long-term advances
|
(42,445
|
)
|
(133,392
|
)
|
||||
Net
change in short-term Federal Home Loan Bank borrowings
|
(31,185
|
)
|
35,060
|
|
||||
Net
increase in other borrowed funds
|
27,828
|
33,249
|
||||||
Increase
in due to broker
|
—
|
1,875
|
||||||
Decrease
in note payable
|
(5
|
)
|
(10,000
|
)
|
||||
Common
stock repurchase
|
—
|
|
(1,339
|
)
|
||||
Proceeds
from exercise of stock options
|
29
|
132
|
||||||
Cash
dividends paid on common stock
|
(1,912
|
)
|
(1,566
|
)
|
||||
Net
cash (used) provided by financing activities
|
(56,026
|
)
|
36,535
|
|
||||
Net
(decrease) increase in cash and cash equivalents
|
(6,430
|
)
|
6,975
|
|
||||
Cash
and cash equivalents at beginning of year
|
35,195
|
28,790
|
||||||
Cash
and cash equivalents at end of period
|
$
|
28,765
|
$
|
35,765
|
||||
Supplemental
information
|
|
|
||||||
Interest
paid
|
$
|
11,341
|
$
|
15,168
|
||||
Income
taxes paid
|
—
|
229
|
||||||
Common
stock issued in acquisition
|
—
|
43,523
|
||||||
Transfer
from loans to loans held for sale
|
8,964
|
4,265
|
||||||
Transfer
from loans to other real estate owned
|
—
|
34
|
Three Months Ended March 31,
|
||||||||
2009
|
2008
|
|||||||
Net
income, as reported
|
$
|
6,214
|
$
|
6,194
|
||||
Weighted-average
common shares outstanding – basic
|
7,639,169
|
7,692,726
|
||||||
Dilutive
effect of stock-based compensation
|
3,536
|
2,007
|
||||||
Weighted-average
common and potential common shares – diluted
|
7,642,705
|
7,694,733
|
||||||
Basic
earnings per share – common stock
|
$
|
0.81
|
$
|
0.81
|
||||
Basic
earnings per share – unvested share-based payment awards
|
0.81
|
0.80
|
||||||
Diluted
earnings per share – common stock
|
0.81
|
0.80
|
||||||
Diluted
earnings per share– unvested share-based payment awards
|
$
|
0.81
|
$
|
0.80
|
Amortized
Cost
|
Unrealized
Gains
|
Unrealized
Losses
|
Fair
Value
|
|||||||||||||
March
31, 2009
|
|
|
|
|
||||||||||||
Available
for sale
|
|
|
|
|
||||||||||||
Obligations
of U.S. government sponsored enterprises
|
$
|
4,527
|
$
|
57
|
$
|
—
|
$
|
4,584
|
||||||||
Obligations
of states and political subdivisions
|
24,499
|
147
|
(245
|
)
|
24,401
|
|||||||||||
Mortgage-backed
securities issued or guaranteed by U.S. government sponsored
enterprises
|
500,518
|
15,995
|
(212
|
)
|
516,301
|
|||||||||||
Private
issue collateralized mortgage obligations
|
54,220
|
5
|
(12,452
|
)
|
41,773
|
|||||||||||
Total
debt securities
|
583,764
|
16,204
|
(12,909
|
)
|
587,059
|
|||||||||||
Equity
securities
|
5,000
|
—
|
(1,393
|
)
|
3,607
|
|||||||||||
Total
securities available for sale
|
$
|
588,764
|
$
|
16,204
|
$
|
(14,302
|
)
|
$
|
590,666
|
|||||||
Held
to maturity
|
|
|
|
|
||||||||||||
Obligations
of states and political subdivisions
|
$
|
41,515
|
$
|
272
|
$
|
(411
|
)
|
$
|
41,376
|
|||||||
Total
securities held to maturity
|
$
|
41,515
|
$
|
272
|
$
|
(411
|
)
|
$
|
41,376
|
|||||||
December
31, 2008
|
|
|
|
|
||||||||||||
Available
for sale
|
|
|
|
|
||||||||||||
Obligations
of U.S. government sponsored enterprises
|
$
|
4,539
|
$
|
64
|
$
|
—
|
$
|
4,603
|
||||||||
Obligations
of states and political subdivisions
|
25,457
|
105
|
(215
|
)
|
25,347
|
|||||||||||
Mortgage-backed
securities issued or guaranteed by U.S. government sponsored
enterprises
|
514,049
|
11,339
|
(52
|
)
|
525,336
|
|||||||||||
Private
issue collateralized mortgage obligations
|
57,123
|
1
|
(10,347
|
)
|
46,777
|
|||||||||||
Total
debt securities
|
601,168
|
11,509
|
(10,614
|
)
|
602,063
|
|||||||||||
Equity
securities
|
5,000
|
—
|
(1,032
|
)
|
3,968
|
|||||||||||
Total
securities available for sale
|
$
|
606,168
|
$
|
11,509
|
$
|
(11,646
|
)
|
$
|
606,031
|
|||||||
Held
to maturity
|
|
|
|
|
||||||||||||
Obligations
of states and political subdivisions
|
$
|
42,040
|
$
|
213
|
$
|
(299
|
)
|
$
|
41,954
|
|||||||
Total
securities held to maturity
|
$
|
42,040
|
$
|
213
|
$
|
(299
|
)
|
$
|
41,954
|
Less Than 12 Months
|
12 Months or More
|
Total
|
||||||||||||||||||||||
|
Fair
Value
|
Unrealized
Losses
|
Fair
Value
|
Unrealized
Losses
|
Fair
Value
|
Unrealized
Losses
|
||||||||||||||||||
March
31, 2009
|
|
|
|
|
|
|
||||||||||||||||||
Obligations
of states and political subdivisions
|
$
|
32,136
|
$
|
(656
|
)
|
$
|
—
|
$
|
—
|
$
|
32,136
|
$
|
(656
|
)
|
||||||||||
Mortgage-backed
securities
|
14,777
|
(210
|
)
|
2,713
|
(2
|
)
|
17,490
|
(212
|
)
|
|||||||||||||||
Private
issue collateralized mortgage obligations
|
5,027
|
(406
|
)
|
33,493
|
(12,046
|
)
|
38,520
|
(12,452
|
)
|
|||||||||||||||
Equity
securities
|
3,607
|
(1,393
|
)
|
—
|
—
|
3,607
|
(1,393
|
)
|
||||||||||||||||
Total
|
$
|
55,547
|
$
|
(2,665
|
)
|
$
|
36,206
|
$
|
(12,048
|
)
|
$
|
91,753
|
$
|
(14,713
|
)
|
|||||||||
December
31, 2008
|
|
|
|
|
|
|
||||||||||||||||||
Obligations
of states and political subdivisions
|
$
|
32,393
|
$
|
(477
|
)
|
$
|
770
|
$
|
(37
|
)
|
$
|
33,163
|
$
|
(514
|
)
|
|||||||||
Mortgage-backed
securities
|
18,440
|
(38
|
)
|
4,407
|
(14
|
)
|
22,847
|
(52
|
)
|
|||||||||||||||
Private
issue collateralized mortgage obligations
|
37,106
|
(6,193
|
)
|
9,652
|
(4,154
|
)
|
46,758
|
(10,347
|
)
|
|||||||||||||||
Equity
securities
|
3,968
|
(1,032
|
)
|
—
|
—
|
3,968
|
(1,032
|
)
|
||||||||||||||||
Total
|
$
|
91,907
|
$
|
(7,740
|
)
|
$
|
14,829
|
$
|
(4,205
|
)
|
$
|
106,736
|
$
|
(11,945
|
)
|
March 31,
|
December 31,
|
|||||||
2009
|
2008
|
|||||||
Residential
real estate loans
|
$
|
619,538
|
$
|
620,956
|
||||
Commercial
real estate loans
|
391,523
|
400,312
|
||||||
Commercial
loans
|
206,306
|
213,683
|
||||||
Consumer
loans
|
261,172
|
265,865
|
||||||
Deferred
loan fees net of costs
|
(55
|
)
|
92
|
|
||||
Total
loans
|
$
|
1,478,484
|
$
|
1,500,908
|
For the Quarter Ended
|
||||||||
March 31, 2009
|
March 31, 2008
|
|||||||
Balance at
beginning of year
|
$
|
17,691
|
$
|
13,653
|
||||
Acquired
from Union Bankshares
|
—
|
4,369
|
||||||
Loans
charged off
|
(1,827
|
)
|
(1,592
|
)
|
||||
Recoveries
on loans previously charged off
|
97
|
49
|
||||||
Net
charge-offs
|
(1,730
|
)
|
(1,543
|
)
|
||||
Provision
for loan losses
|
1,730
|
500
|
|
|||||
Balance
at end of period
|
$
|
17,691
|
$
|
16,979
|
Goodwill
|
||||||||||||
|
Banking
|
Financial
Services
|
Total
|
|||||||||
Balance at December 31,
2008
|
$
|
34,797
|
$
|
7,060
|
$
|
41,857
|
||||||
2009
activity
|
(77
|
)
|
—
|
(77
|
)
|
|||||||
Balance
at March 31, 2009
|
$
|
34,720
|
$
|
7,060
|
$
|
41,780
|
Core Deposit Intangible
|
||||||||||||
|
Total
|
Accumulated
Amortization
|
Net
|
|||||||||
Balance at December 31, 2008
|
$
|
14,444
|
$
|
(9,926
|
)
|
$
|
4,518
|
|||||
2009
activity
|
—
|
(125
|
)
|
(125
|
)
|
|||||||
Balance
at March 31, 2009
|
$
|
14,444
|
$
|
(10,051
|
)
|
$
|
4,393
|
Trust Relationship Intangible
|
||||||||||||
|
Total
|
Accumulated
Amortization
|
Net
|
|||||||||
Balance at
December 31, 2008
|
$
|
753
|
$
|
(75
|
)
|
$
|
678
|
|||||
2009
activity
|
—
|
(19
|
)
|
(19
|
)
|
|||||||
Balance
at March 31, 2009
|
$
|
753
|
$
|
(94
|
)
|
$
|
659
|
Trust Relationship
|
Core Deposit
|
|||||||
Intangible
|
Intangible
|
|||||||
2009
|
$
|
56
|
$
|
377
|
||||
2010
|
75
|
502
|
||||||
2011
|
75
|
502
|
||||||
2012
|
75
|
502
|
||||||
2013
|
75
|
502
|
||||||
Thereafter
|
303
|
|
2,008
|
|||||
Total
unamortized intangible
|
$
|
659
|
$
|
4,393
|
For the
Quarter Ended
|
||||
March 31, 2009
|
||||
Balance at beginning of year
|
$
|
4,024
|
||
Additions
|
—
|
|||
Increase
in OREO valuation allowance
|
(666
|
)
|
||
Properties
sold
|
(175
|
)
|
||
Balance
at end of period
|
$
|
3,183
|
Three Months Ended March 31,
|
||||||||
2009
|
2008
|
|||||||
Mortgage
Servicing Rights:
|
|
|
||||||
Balance
at beginning of year
|
$
|
139
|
$
|
142
|
||||
Acquired
from Union Bankshares
|
—
|
1,199
|
||||||
Capitalized
mortgage servicing rights
|
213
|
—
|
||||||
Amortization
charged against mortgage
banking income
|
(368
|
)
|
(241
|
)
|
||||
Valuation
adjustment
|
368
|
|
(31
|
)
|
||||
Balance
at end of period
|
$
|
352
|
$
|
1,069
|
||||
Valuation
Allowance:
|
|
|
||||||
Balance
at beginning of year
|
$
|
(469
|
)
|
$
|
(1
|
)
|
||
Increase
in impairment reserve
|
—
|
|
(31
|
)
|
||||
Reduction
of impairment reserve
|
368
|
—
|
||||||
Balance
at end of period
|
$
|
(101
|
)
|
$
|
(32
|
)
|
SERP
|
Other Postretirement
Benefits
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Net
Period Benefit Cost Recognized in Net Income:
|
|
|
|
|
||||||||||||
Service
cost
|
$
|
51
|
$
|
46
|
$
|
16
|
$
|
16
|
||||||||
Interest
cost
|
104
|
65
|
34
|
34
|
||||||||||||
Recognized
net actuarial loss
|
19
|
—
|
1
|
—
|
||||||||||||
Recognized
prior service cost
|
5
|
5
|
—
|
—
|
||||||||||||
Net
period benefit cost
|
179
|
116
|
51
|
50
|
||||||||||||
Changes
in Funded Status Recognized in Other Comprehensive Loss:
|
|
|
|
|
||||||||||||
Net
actuarial loss
|
—
|
(606
|
)
|
—
|
6
|
|||||||||||
Reclassifications
to net period benefit cost
|
|
|
|
|
||||||||||||
Amortization
of net unrecognized actuarial loss
|
(19
|
)
|
—
|
|
(1
|
)
|
—
|
|
||||||||
Amortization
of prior service cost
|
(5
|
)
|
(5
|
)
|
—
|
—
|
||||||||||
Net
deferred tax expense (benefit)
|
8
|
|
214
|
1
|
|
(2)
|
||||||||||
Recognized
in other comprehensive loss
|
(16
|
)
|
(397
|
)
|
—
|
4
|
|
|||||||||
Total
recognized in net period benefit cost and other comprehensive
loss
|
$
|
163
|
$
|
(281
|
)
|
$
|
51
|
$
|
54
|
SERP
|
Other Postretirement
Benefits
|
|||||||||||||||
|
2009
|
2008
|
2009
|
2008
|
||||||||||||
Unrecognized
net actuarial loss
|
$
|
1,192
|
$
|
304
|
$
|
280
|
$
|
95
|
||||||||
Unrecognized
prior service cost
|
132
|
155
|
—
|
—
|
||||||||||||
Net
deferred tax benefit
|
(463
|
)
|
(161
|
)
|
(98
|
)
|
(33
|
)
|
||||||||
Total
accumulated other comprehensive loss
|
$
|
861
|
$
|
298
|
$
|
182
|
$
|
62
|
Three Months Ended March 31,
|
||||||||
2009
|
2008
|
|||||||
Dividend
yield
|
4.09
|
%
|
3.00
|
%
|
||||
Weighted
average risk-free interest rate
|
1.60
|
%
|
2.98
|
%
|
||||
Weighted
average expected volatility
|
42.48
|
%
|
27.09
|
%
|
||||
Weighted
average expected life in years
|
5.22
|
5.70
|
||||||
Weighted
average fair value of options granted
|
$
|
6.62
|
$
|
6.73
|
|
Number of
Shares
|
Weighted-
Average
Exercise
Price
|
Weighted-Average
Remaining
Contractual
Term
|
Aggregate
Intrinsic
Value
($000)
|
||||||||||||
Options
outstanding at December 31, 2008
|
91,600 | $ | 36.73 | |||||||||||||
Granted
|
50,000 | 24.46 | ||||||||||||||
Forfeited
|
(2,300 | ) | 37.94 | |||||||||||||
Options
outstanding at March 31, 2009
|
139,300 | $ | 32.31 | 8.0 | $ | — | ||||||||||
Options
exercisable at March 31, 2009
|
50,700 | $ | 36.04 | 6.3 | $ | — |
Awards
|
Weighted-
Average
Grant Date
Fair Value
|
|||||||
Nonvested
at January 1, 2009
|
53,500
|
$
|
9.05
|
|||||
Granted
|
50,000
|
6.62
|
||||||
Vested
|
(14,900
|
)
|
9.08
|
|||||
Nonvested
at March 31, 2009
|
88,600
|
$
|
7.68
|
Three Months Ended
March 31,
|
||||||||
|
2009
|
2008
|
||||||
Restricted
stock awards
|
$
|
52
|
$
|
16
|
||||
MSPP
grants
|
8
|
8
|
||||||
Total
compensation expense
|
$
|
60
|
$
|
24
|
||||
Related
income tax benefit
|
$
|
21
|
$
|
8
|
||||
Fair
value of grants vested
|
$
|
54
|
$
|
107
|
Restricted Stock
|
Stock Purchase (MSPP)
|
|||||||||||||||
|
Number of
Shares
|
Weighted
Average
Grant Date
Fair Value
|
Number of
Shares
|
Weighted
Average
Grant
Date Fair
Value
|
||||||||||||
Nonvested
at January 1, 2009
|
7,406 | $ | 37.99 | 3,262 | $ | 11.29 | ||||||||||
Granted
|
2,000 | 24.46 | 3,339 | 6.56 | ||||||||||||
Vested
|
(1,600 | ) | 44.15 | (761 | ) | 13.64 | ||||||||||
Nonvested
at March 31, 2009
|
7,806 | $ | 30.76 | 5,840 | $ | 8.28 |
March
31, 2009
|
||||||||||||||||
Level
1
|
Level
2
|
Level
3
|
Total
|
|||||||||||||
Assets
held at fair value:
|
|
|
|
|
||||||||||||
Securities
available for sale
|
$
|
—
|
$
|
590,666
|
$
|
—
|
$
|
590,666
|
||||||||
Derivatives
instruments
|
—
|
(254
|
)
|
—
|
(254
|
)
|
December
31, 2008
|
||||||||||||||||
Level
1
|
Level
2
|
Level
3
|
Total
|
|||||||||||||
Assets
held at fair value:
|
|
|
|
|
||||||||||||
Securities
available for sale
|
$
|
—
|
$
|
606,031
|
$
|
—
|
$
|
606,031
|
||||||||
Derivatives
instruments (1)
|
—
|
—
|
—
|
—
|
|
(1)
|
The
fair value was less than $1,000
|
March
31, 2009
|
||||||||||||||||
Level
1
|
Level
2
|
Level
3
|
Total
|
|||||||||||||
Assets:
|
|
|
|
|
||||||||||||
Impaired
loans
|
$
|
—
|
$
|
15,326
|
$
|
—
|
$
|
15,326
|
||||||||
Other
real estate owned
|
—
|
—
|
3,183
|
3,183
|
||||||||||||
Mortgage
servicing rights
|
—
|
453
|
—
|
453
|
December
31, 2008
|
||||||||||||||||
Level
1
|
Level
2
|
Level
3
|
Total
|
|||||||||||||
Assets:
|
|
|
|
|
||||||||||||
Impaired
loans
|
$
|
—
|
$
|
11,158
|
$
|
—
|
$
|
11,158
|
||||||||
Other
real estate owned
|
—
|
—
|
4,024
|
4,024
|
||||||||||||
Mortgage
servicing rights
|
—
|
174
|
—
|
174
|
|
·
|
general,
national, regional or local economic conditions which are less favorable
than anticipated, including fears of global recession and continued
sub-prime and credit issues, impacting the performance of the Company’s
investment portfolio, quality of credits or the overall demand for
services;
|
·
|
changes
in loan default and charge-off rates could affect the allowance for loan
losses;
|
·
|
declines
in the equity and financial markets which could result in impairment of
goodwill;
|
·
|
reductions
in deposit levels could necessitate increased and/or higher cost borrowing
to fund loans and investments;
|
·
|
declines
in mortgage loan refinancing, equity loan and line of credit activity
which could reduce net interest and non-interest
income;
|
·
|
changes
in the domestic interest rate environment and inflation, as substantially
all of the assets and virtually all of the liabilities are monetary in
nature;
|
·
|
further
actions by the U.S. government and Treasury Department, similar to the
Federal Home Loan Mortgage Corporation conservatorship, which could have a
negative impact on the Company’s investment portfolio and
earnings;
|
·
|
misalignment
of the Company’s interest-bearing assets and
liabilities;
|
·
|
increases
in loan repayment rates affecting interest income and the value of
mortgage servicing rights; and
|
·
|
changes
in accounting rules, Federal and State laws, Internal Revenue Service
regulations, and other regulations and policies governing financial
holding companies and their subsidiaries which may impact our ability to
take appropriate action to protect our financial interests in certain loan
situations.
|
·
|
Net
interest income on a fully-taxable equivalent basis for the first quarter
of 2009 increased 7.5% to $18.9 million due to lower funding costs and an
improvement in the net interest
margin.
|
·
|
The
provision for loan losses of $1.7 million increased $1.2 million in the
first three months of 2009 compared to the same period of 2008 as a result
of an increase in net charge-offs and non-performing
assets.
|
·
|
For
the three months ended March 31, 2009, net charge-offs totaled $1.7
million, or an annualized rate of 0.46% of average loans, compared to $1.5
million, or 0.41%, for the same period of 2008. Non-performing assets as a
percentage of total assets amounted to 0.89% and 0.70% at March 31, 2009
and 2008, respectively.
|
·
|
Non-interest
income for the first three months of 2009 was $4.6 million, a 3.6%
increase over the first quarter of 2008. The increase was driven by an
increase in mortgage banking income, including mortgage-servicing income
and gains on the sale of loans, in part offset by a decline in income from
fiduciary services at Acadia Trust, N.A.
(“AT”).
|
·
|
We
recorded net gains on our investment securities portfolio totaling
$180,000 in the first quarter of 2008 primarily due to a restructuring of
the portfolio acquired from Union Bankshares Company (“Union
Bankshares”).
|
·
|
Non-interest
expense for the first three months of 2009 was $12.3 million, an increase
of $30,000, or 0.25%, over the first quarter of the prior year, which was
primarily due to an increase in regulatory assessments and in foreclosed
properties and collection costs, in part offset by a 14.9% decline in
salary and benefit costs and a decrease in the amortization of the core
deposit intangible.
|
·
|
Total
loans at March 31, 2009 were $1.5 billion, a decrease of $22.4 million
compared to December 31, 2008. The decline in loan balances was primarily
in the commercial and commercial real estate
portfolios.
|
·
|
Investment
securities declined $15.9 million at March 31, 2009 compared to December
31, 2008 due to security
prepayments.
|
·
|
Total
liabilities at March 31, 2009 of $2.1 billion decreased $53.6 million, or
2.5%, as borrowings decreased $45.7 million, primarily in FHLB borrowings,
due to the decline in earning asset
balances.
|
·
|
Shareholders’
equity increased 3.4% due to current year earnings and other comprehensive
income, in part offset by dividends
declared.
|
March 31, 2009
|
March 31, 2008
|
|||||||||||||||||||||||
(Dollars in Thousands)
|
Average
Balance
|
Interest
|
Yield/
Rate
|
Average
Balance
|
Interest
|
Yield/
Rate
|
||||||||||||||||||
ASSETS
|
||||||||||||||||||||||||
Interest-earning
assets:
|
||||||||||||||||||||||||
Securities – taxable
|
$ | 586,207 | 7,270 | 5.03 | % | $ | 540,221 | $ | 6,911 | 5.15 | % | |||||||||||||
Securities – nontaxable
(1)
|
67,156 | 992 | 5.99 | % | 71,063 | 1,040 | 5.89 | % | ||||||||||||||||
Federal
funds sold
|
— | — | — | % | 1,071 | 8 | 3.00 | % | ||||||||||||||||
Loans
(1)
(2)
:
|
||||||||||||||||||||||||
Residential
real estate
|
616,602 | 9,194 | 6.05 | % | 630,368 | 9,549 | 6.09 | % | ||||||||||||||||
Commercial
real estate
|
398,901 | 6,301 | 6.41 | % | 423,375 | 7,621 | 7.24 | % | ||||||||||||||||
Commercial
|
187,005 | 2,601 | 5.64 | % | 213,909 | 4,044 | 7.60 | % | ||||||||||||||||
Municipal
|
21,587 | 255 | 4.79 | % | 16,547 | 238 | 5.78 | % | ||||||||||||||||
Consumer
|
265,320 | 3,346 | 5.11 | % | 230,821 | 3,929 | 6.85 | % | ||||||||||||||||
Total
loans
|
1,489,415 | 21,697 | 5.91 | % | 1,515,020 | 25,381 | 6.74 | % | ||||||||||||||||
Total
interest-earning assets
|
2,142,778 | 29,959 | 5.67 | % | 2,127,375 | 33,340 | 6.30 | % | ||||||||||||||||
Cash
and due from banks
|
27,409 | 37,804 | ||||||||||||||||||||||
Other
assets
|
154,854 | 138,078 | ||||||||||||||||||||||
Less:
ALL
|
(17,963 | ) | (17,796 | ) | ||||||||||||||||||||
Total
assets
|
$ | 2,307,078 | $ | 2,285,461 | ||||||||||||||||||||
LIABILITIES
& SHAREHOLDERS’ EQUITY
|
||||||||||||||||||||||||
Interest-bearing
liabilities:
|
||||||||||||||||||||||||
NOW
accounts
|
$ | 184,008 | 226 | 0.50 | % | $ | 189,181 | 465 | 0.99 | % | ||||||||||||||
Savings
accounts
|
133,173 | 118 | 0.36 | % | 134,635 | 225 | 0.67 | % | ||||||||||||||||
Money
market accounts
|
294,653 | 896 | 1.23 | % | 366,341 | 2,636 | 2.89 | % | ||||||||||||||||
Certificates
of deposit
|
589,286 | 4,625 | 3.18 | % | 493,344 | 4,835 | 3.94 | % | ||||||||||||||||
Total
retail deposits
|
1,201,120 | 5,865 | 1.98 | % | 1,183,501 | 8,161 | 2.77 | % | ||||||||||||||||
Broker
deposits
|
83,247 | 529 | 2.58 | % | 70,384 | 781 | 4.46 | % | ||||||||||||||||
Junior
subordinated debentures
|
43,423 | 713 | 6.66 | % | 43,331 | 752 | 6.98 | % | ||||||||||||||||
Borrowings
|
617,206 | 3,934 | 2.58 | % | 614,532 | 6,052 | 3.96 | % | ||||||||||||||||
Total
wholesale funding
|
743,876 | 5,176 | 2.82 | % | 728,247 | 7,585 | 4.19 | % | ||||||||||||||||
Total
interest-bearing liabilities
|
1,944,996 | 11,041 | 2.30 | % | 1,911,748 | 15,746 | 3.31 | % | ||||||||||||||||
Demand
deposits
|
173,130 | 178,507 | ||||||||||||||||||||||
Other
liabilities
|
21,070 | 27,190 | ||||||||||||||||||||||
Shareholders’
equity
|
167,882 | 168,016 | ||||||||||||||||||||||
Total
liabilities and shareholders’ equity
|
$ | 2,307,078 | $ | 2,285,461 | ||||||||||||||||||||
Net
interest income (fully-taxable equivalent)
|
18,918 | 17,594 | ||||||||||||||||||||||
Less:
fully-taxable equivalent adjustment
|
(423 | ) | (431 | ) | ||||||||||||||||||||
|
$ | 18,495 | $ | 17,163 | ||||||||||||||||||||
Net
interest rate spread (fully-taxable equivalent)
|
3.37 | % | 2.99 | % | ||||||||||||||||||||
Net
interest margin (fully-taxable equivalent)
|
3.58 | % | 3.33 | % |
(1)
|
Reported
on tax-equivalent basis calculated using a rate of
35%.
|
(2)
|
Loans
held for sale and non-accrual loans are included in total average
loans.
|
|
·
|
$65.9
million of obligations of states and political subdivisions rated
investment grade and 98% of the portfolio rated A or better by at least
one of the three rating agencies (Moody’s, Standard & Poor’s and
Fitch);
|
|
·
|
$34.6
million and $7.1 million of private issue collateralized mortgage
obligations rated Triple-A and Double-B, respectively, by at least one of
the three rating agencies;
|
|
·
|
$21.0
million of Federal Home Loan Bank (“FHLB”) of Boston stock which has
suspended quarterly dividend payments. Given the extended time frame
the FHLB of Boston has to redeem the stock, and the Company’s ability and
intent to hold the stock until redeemed, management believes that the
stock is not impaired; and
|
|
·
|
$3.6
million of Duff & Phelps Select Income Fund Auction Preferred Stock
which has failed at auction. We believe the failed auctions are a
temporary liquidity event related to this asset class of securities. The
security is rated Triple-A by Moody’s and Standard and Poor’s. We are
currently collecting all amounts due according to contractual terms and
have the ability and intent to hold the securities until they clear
auction, are called, or mature; therefore, the securities are not
considered other than temporarily
impaired.
|
March 31,
|
December 31,
|
|||||||
(Dollars in Thousands)
|
2009
|
2008
|
||||||
Non-accrual
loans
|
$
|
17,250
|
$
|
12,501
|
||||
Accruing
loans past due 90 days
|
—
|
206
|
||||||
Total
non-performing loans
|
17,250
|
12,707
|
||||||
Other
real estate owned
|
3,183
|
4,024
|
||||||
Total
non-performing assets
|
$
|
20,433
|
$
|
16,731
|
||||
Non-performing
loans to total loans
|
1.17
|
%
|
0.85
|
%
|
||||
Allowance
for loan losses to non-performing loans
|
102.55
|
%
|
139.22
|
%
|
||||
Non-performing
assets to total assets
|
0.89
|
%
|
0.71
|
%
|
||||
Allowance
for loan losses to non-performing assets
|
86.58
|
%
|
105.73
|
%
|
March 31,
|
December 31,
|
|||||||
(Dollars in Thousands)
|
2009
|
2008
|
||||||
Loans
30-89 days past due:
|
||||||||
Residential
real estate loans
|
$
|
1,196
|
$
|
2,880
|
||||
Commercial
real estate
|
2,878
|
2,314
|
||||||
Commercial
loans
|
1,105
|
3,601
|
||||||
Consumer
loans
|
583
|
829
|
||||||
Total
loans 30-89 days past due
|
$
|
5,762
|
$
|
9,624
|
||||
Loans
30-89 days past due to total loans
|
0.39
|
%
|
0.64
|
%
|
Three Months Ended March 31,
|
||||||||
(Dollars in Thousands)
|
2009
|
2008
|
||||||
Allowance
at the beginning of period
|
$
|
17,691
|
$
|
13,653
|
||||
Acquired
from Union Bankshares
|
—
|
4,369
|
||||||
Provision
for loan losses
|
1,730
|
500
|
||||||
Charge-offs:
|
|
|
||||||
Residential
real estate loans
|
26
|
40
|
||||||
Commercial
real estate
|
846
|
704
|
||||||
Commercial
loans
|
719
|
641
|
||||||
Consumer
loans
|
236
|
206
|
||||||
Total
loan charge-offs
|
1,827
|
1,591
|
||||||
Recoveries:
|
|
|
||||||
Residential
real estate loans
|
7
|
—
|
||||||
Commercial
real estate loans
|
8
|
—
|
||||||
Commercial
loans
|
19
|
10
|
||||||
Consumer
loans
|
63
|
38
|
||||||
Total
loan recoveries
|
97
|
48
|
||||||
Net
charge-offs
|
(1,730
|
)
|
(1,543
|
)
|
||||
Allowance
at the end of the period
|
$
|
17,691
|
$
|
16,979
|
||||
Average
loans outstanding
|
$
|
1,489,415
|
$
|
1,515,020
|
||||
Net
charge-offs (annualized) to average loans outstanding
|
0.46
|
%
|
0.41
|
%
|
||||
Provision
for loan losses to average loans outstanding
|
0.47
|
%
|
0.13
|
%
|
||||
Allowance
for loan losses to total loans
|
1.20
|
%
|
1.12
|
%
|
||||
Allowance
for loan losses to net charge-offs
|
252.11
|
%
|
273.58
|
%
|
||||
Allowance
for loan losses to non-performing loans
|
102.55
|
%
|
109.18
|
%
|
||||
Allowance
for loan losses to non-performing assets
|
86.58
|
%
|
105.43
|
%
|
Total Amount
Committed
|
Commitment Expires in:
|
|||||||||||||||||||
(Dollars in Thousand)
|
<1 Year
|
1 – 3 Years
|
4 – 5 Years
|
>5 Years
|
||||||||||||||||
Letters
of Credit
|
$
|
1,546
|
$
|
1,088
|
$
|
458
|
$
|
—
|
$
|
—
|
||||||||||
Commercial
Commitment Letters
|
26,434
|
26,434
|
—
|
—
|
—
|
|||||||||||||||
Residential
Loan Origination
|
33,453
|
33,453
|
—
|
—
|
—
|
|||||||||||||||
Home
Equity Line of Credit Commitments
|
156,010
|
3,559
|
1,164
|
61
|
151,226
|
|||||||||||||||
Other
Commitments to Extend Credit
|
119,354
|
79,930
|
22,355
|
1,588
|
15,481
|
|||||||||||||||
Total
|
$
|
336,797
|
$
|
144,464
|
$
|
23,977
|
$
|
1,649
|
$
|
166,707
|
Total Amount
of Obligations
|
Payments Due per Period
|
|||||||||||||||||||
(Dollars in Thousands)
|
<1 Year
|
1 – 3 Years
|
4 – 5 Years
|
>5 Years
|
||||||||||||||||
Operating Leases
|
$
|
5,737
|
$
|
795
|
$
|
1,513
|
$
|
892
|
$
|
2,537
|
||||||||||
Capital
Leases
|
1,238
|
39
|
86
|
85
|
1,028
|
|||||||||||||||
Construction
Contracts
|
—
|
—
|
—
|
—
|
—
|
|||||||||||||||
Borrowings
from the FHLB
|
345,630
|
180,547
|
97,055
|
26,378
|
41,650
|
|||||||||||||||
Commercial
Repurchase Agreements
|
126,549
|
10,000
|
10,000
|
101,000
|
5,549
|
|||||||||||||||
Other
Borrowed Funds
|
100,308
|
100,308
|
—
|
—
|
—
|
|||||||||||||||
Junior
Subordinated Debentures
|
43,435
|
—
|
—
|
—
|
43,435
|
|||||||||||||||
Note
Payable
|
181
|
23
|
52
|
53
|
53
|
|||||||||||||||
Other
Contractual Obligations
|
1,185
|
231
|
954
|
—
|
—
|
|||||||||||||||
Total
|
$
|
624,263
|
$
|
291,943
|
$
|
109,660
|
$
|
128,408
|
$
|
94,252
|
Rate Change
|
Estimated Change in NII
|
|||
+200
bp
|
(1.0
|
)% | ||
-100
bp
|
0.0
|
% |
ITEM
1.
|
LEGAL
PROCEEDINGS
|
ITEM 1A.
|
RISK
FACTORS
|
ITEM
2.
|
UNREGISTERED
SALES OF EQUITY SECURITIES AND USE OF
PROCEEDS
|
(c)
|
(d)
|
|||||||||
Total Number of
|
Maximum Number
|
|||||||||
(a)
|
(b)
|
Shares Purchased
|
of Shares that May
|
|||||||
Total Number
|
Average
|
as Part of Publicly
|
Yet Be Purchased
|
|||||||
of Shares
|
Price Paid
|
Announced Plans
|
Under the Plans
|
|||||||
Period
|
Purchased
|
per Share
|
or Programs
|
or Programs
|
||||||
1/1/09
– 3/31/09
|
-
|
$ |
-
|
-
|
700,000
|
ITEM
3.
|
DEFAULTS
UPON SENIOR SECURITIES
|
ITEM
4.
|
SUBMISSION
OF MATTERS TO A VOTE OF SECURITY
HOLDERS
|
ITEM
5.
|
OTHER
INFORMATION
|
ITEM
6.
|
EXHIBITS
|
CAMDEN NATIONAL CORPORATION
|
|||
(Registrant)
|
|||
/s/ Gregory A. Dufour
|
May 8, 2009
|
||
Gregory A. Dufour
|
Date
|
||
President and Chief Executive Officer
|
|||
/s/ Deborah A. Jordan
|
May 8, 2009
|
||
Deborah A. Jordan
|
Date
|
||
Chief Financial Officer and Principal
|
|||
Financial & Accounting Officer
|
Page
|
||
(3.i.1)
|
The
Articles of Incorporation of Camden National Corporation (incorporated by
reference to Exhibit 3.1 to the Company’s Form 10-Q filed with the
Securities and Exchange Commission on August 10, 2001)
|
-
|
(3.i.2)
|
Articles
of Amendment to the Articles of Incorporation of Camden National
Corporation, as amended to date (incorporated by reference to Exhibit 3.3
to the Company’s Form 10-Q filed with the Securities and Exchange
Commission on May 9, 2003)
|
-
|
(3.i.3)
|
Articles
of Amendment to the Articles of Incorporation of Camden National
Corporation, as amended to date (incorporated by reference to Exhibit
3.i.3 to the Company’s Form 10-Q filed with the Securities and Exchange
Commission on May 4, 2007)
|
-
|
(3.ii)
|
The
Bylaws of Camden National Corporation, as amended to date (incorporated by
reference to Exhibit 3.ii to the Company’s Form 10-Q filed with the
Securities and Exchange Commission on May 4, 2007)
|
-
|
(10.1)
|
Change
in Control Agreement for the Company’s CEO (incorporated by reference to
Exhibit 10.1 to the Company’s Form 8-K filed with the Securities and
Exchange Commission on April 14, 2009)
|
-
|
(10.2)
|
Change
in Control Agreement for the Company’s Named Executive Officers
(incorporated by reference to Exhibit 10.2 to the Company’s Form 8-K filed
with the Securities and Exchange Commission on April 14,
2009)
|
-
|
(11.1)
|
Statement
re computation of per share earnings (Data required by SFAS No. 128, Earnings Per Share, is
provided in Note 2 to the consolidated financial statements in this
report)
|
-
|
(23.1)
|
Consent
of Berry, Dunn, McNeil & Parker relating to the financial statements
of Camden National Corporation
|
39
|
(31.1)
|
Certification
of Chief Executive Officer pursuant to Rule 13a-14(a) of the Securities
Exchange Act of 1934
|
40
|
(31.2)
|
Certification
of Chief Financial Officer, Principal Financial & Accounting Officer
pursuant to Rule 13a-14(a) of the Securities Exchange Act of
1934
|
41
|
(32.1)
|
Certification
of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted
pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
|
42
|
(32.2)
|
Certification
Chief Financial Officer, Principal Financial & Accounting Officer
pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of
the Sarbanes-Oxley Act of 2002
|
43
|