Attached files
| file | filename |
|---|---|
| EX-10.1 - PROVIDENT COMMUNITY BANCSHARES, INC. | v206466_ex10-1.htm |
| EX-10.2 - PROVIDENT COMMUNITY BANCSHARES, INC. | v206466_ex10-2.htm |
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
DC 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): December
21, 2010
PROVIDENT COMMUNITY
BANCSHARES, INC.
(Exact
name of Company as specified in its charter)
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Delaware
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1-5735
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57-1001177
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(State or other jurisdiction of
incorporation or organization)
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(Commission File
Number)
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(IRS Employer
Identification No.)
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2700 Celanese Road, Rock Hill, South Carolina
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29732
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(Address of principal executive offices)
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(Zip Code)
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Company’s
telephone number, including area code: (803)
325-9400
Not
Applicable
(Former
name or former address, if changed since last report)
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the Company under any of the following
provisions:
¨ Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
¨ Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
¨ Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
¨ Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
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Item 1.01
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Entry into a Material
Definitive Agreement
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On December 21, 2010, Provident
Community Bank, N.A. (the “Bank”), the wholly owned subsidiary of Provident
Community Bancshares, Inc. (the “Company’), entered into a Stipulation and
Consent to the Issuance of a Consent Order with the Office of the Comptroller of
the Currency (the “OCC”), whereby the Bank consented to the issuance of a
Consent Order (the “Order”) by the OCC, without admitting or denying that
grounds exist for the OCC to initiate an administrative proceeding against the
Bank.
The Order requires the Bank to
take the following actions: establish a compliance committee to monitor and
coordinate compliance with the Order; develop a three year strategic plan;
achieve Tier 1 capital at least equal to 8% of adjusted total assets and total
capital at least equal to 12% of risk-weighted assets within 120 days and
develop a three-year capital plan; not pay any dividends to the Company without
prior regulatory approval; ensure that the Bank has competent management in
place in all executive officer positions; adopt a credit policy to improve the
Bank’s loan portfolio management; establish an effective, independent and
ongoing loan review system; implement a program for the maintenance of an
adequate allowance for loan and lease losses; implement a program designed to
protect the Bank’s interest in its problem assets; adopt a written asset
concentration management program; revise and maintain a comprehensive liquidity
risk management program that ensures that sufficient funds or access to funds
exist to meet the Bank’s current and projected funding needs; adopt policies and
procedures to ensure that all official and regulatory reports filed by the Bank
accurately reflect the Bank’s condition; and address various deficiencies cited
by the OCC.
The Order will remain in
effect until modified or terminated by the OCC. Any material
failure to comply with the provisions of the Order could result in enforcement
actions by the OCC. While the Company intends to take such actions as may be
necessary to enable the Bank to comply with the requirements of the Order, there
can be no assurance that the Bank will be able to comply fully with the
provisions of the Order, or to do so within the timeframes required, that
compliance with the Order will not be more time consuming or more expensive than
anticipated, or that compliance with the Order will enable the Company and the
Bank to resume profitable operations, or that efforts to comply with the Order
will not have adverse effects on the operations and financial condition of the
Company and the Bank.
The foregoing description of the Order
is qualified in its entirety by reference thereto, a copy of which is attached
to this Current Report on Form 8-K as Exhibit 10.1 and incorporated herein by
reference. The Stipulation and Consent to
the Issuance of a Consent Order is also attached to this Current Report on Form
8-K as Exhibit 10.2 and is incorporated herein by
reference.
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Item 9.01
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Financial Statements
and Exhibits.
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(d)
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Exhibits
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Number
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Description
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10.1
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Consent
Order issued by the Comptroller of the Currency
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10.2
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Stipulation and
Consent to the Issuance of a Consent Order dated December 21, 2010 between
the Comptroller of the Currency and Provident Community Bank, N.A., Rock
Hill, South
Carolina
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SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the Company has duly
caused this report to be signed on its behalf by the undersigned hereunto duly
authorized.
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PROVIDENT COMMUNITY BANCSHARES, INC.
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(Company)
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Date:
December 23, 2010
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By:
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/s/ Dwight
V. Neese
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Dwight
V. Neese
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President
and Chief Executive
Officer
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