Attached files
| file | filename |
|---|---|
| EX-99.1 - FIRST FINANCIAL SERVICE CORP | v209198_ex99-1.htm |
| EX-10.1 - FIRST FINANCIAL SERVICE CORP | v209198_ex10-1.htm |
| EX-10.2 - FIRST FINANCIAL SERVICE CORP | v209198_ex10-2.htm |
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
D.C. 20549
FORM
8-K
CURRENT
REPORT
Current
Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of
1934
January
27, 2011
(Date of
earliest event reported)
First Financial
Service Corporation
(Exact
name of registrant as specified in its charter)
Securities
and Exchange Commission File Number: 0-18832
|
KENTUCKY
|
61-1168311
|
|
|
(State
or other jurisdiction
|
(I.R.S.
Employer Identification No.)
|
|
|
of
incorporation or organization)
|
2323
Ring Road, Elizabethtown, Kentucky, 42701
(Address
of principal executive offices) (Zip Code)
Registrant’s
telephone, including area code: (270) 765-2131
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant 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))
Item
1.01: Entry Into a Material Definitive Agreement
First
Federal Savings Bank (the “Bank”), the wholly owned subsidiary of First
Financial Service Corporation (the “Company”), has entered into a Stipulation
and Consent to the Issuance of a Consent Order with the Federal Deposit
Insurance Corporation (“FDIC”), and the Kentucky Department of Financial
Institutions (“KDFI”). The Consent Order was issued and became
effective on January 27, 2011.
Under the
terms of the Consent Order, the Bank cannot declare dividends without the prior
written approval of the FDIC and KDFI. Other material provisions of
the Consent Order require the Bank to:
|
|
·
|
obtain
an independent assessment of executive management and senior commercial
lending staff;
|
|
|
·
|
increase
the Bank’s capital ratios;
|
|
|
·
|
develop
and implement a plan to reduce the level of non-performing
assets;
|
|
|
·
|
develop
and implement a plan to reduce concentrations of credit in commercial real
estate loans;
|
|
|
·
|
maintain
adequate reserves for loan and lease
losses;
|
|
|
·
|
implement
revised credit risk management practices and credit administration
policies and procedures;
|
|
|
·
|
implement
procedures to ensure compliance with applicable laws, rules, regulations
and policy statements;
|
|
|
·
|
periodically
evaluate the Bank’s strategic plan and budget for fiscal
2011;
|
|
|
·
|
develop
revisions to the Bank’s funding contingency plan, which identifies
available sources of liquidity and plans for dealing with potential
adverse economic and market conditions;
and
|
|
|
·
|
prepare
and submit progress reports to the FDIC and
KDFI.
|
The
Consent Order will remain in effect until modified or terminated by the FDIC and
KDFI.
All
customer deposits remain fully insured to the fullest extent by the
FDIC. The Bank will continue to serve its customers in all areas
including making loans, establishing lines of credit, accepting deposits and
processing bank transactions. Neither the Company nor the Bank
admitted any wrongdoing in consenting to issuance of the Consent
Order.
The
description of the Consent Order set forth in this Item 1.01 is qualified in its
entirety by reference to the Consent Order and the related Stipulation and
Consent, copies of which are attached hereto as Exhibits 10.1 and 10.2,
respectively, and are incorporated by reference herein in their
entirety.
On
January 27, 2011, the Company issued a press release with respect to the
foregoing matters, a copy of which is attached hereto as Exhibit
99.1
Item
9.01: Financial Statements and Exhibits
(d)
Exhibits
The
following exhibits are being furnished herewith and this list shall constitute
the exhibit index:
|
10.1
|
Consent
Order with the FDIC and KDFI
|
|
10.2
|
Stipulation
and Consent to the Issuance of a Consent
Order
|
|
99.1
|
Press
Release of First Financial Service Corporation dated January 27,
2011
|
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.
|
FIRST
FINANCIAL SERVICE CORPORATION
|
||
|
Date:
January 27, 2011
|
By:
/s/
|
Gregory
S. Schreacke
|
|
Gregory
S. Schreacke
|
||
|
President
|
2