A Letter from the President
To Our Community:
Over 160 years ago, on April 9th, an act to incorporate Seamen’s Savings Bank passed the Massachusetts House of Representatives. The Act was ratified by the Senate on April 12th, and was signed into law by Governor George S. Boutwell on April 14th. It was the culmination of an idea by David Fairbanks and 12 other businessmen. The idea was to provide a mutual bank without stockholders, a banking institution for the average citizen, the small depositor. Indeed, as late as 1877, the Bank’s bylaws read: “The smallest deposit shall be 5¢ and the lowest sum which shall be put upon interest shall be $1.00.” From its beginnings, the Bank’s primary purpose was to serve the community. That we have continued to prosper through the years is a testament to that original idea — that we are a community institution.
Today, your Bank has grown into a $300 million institution with five offices from Provincetown to Eastham. Our surplus continues to grow and, at fiscal year-end on March 31, 2011, we can report an 11% capital ratio which was bolstered by net income of $1,440,000, representing a 14% increase from a year ago. The uncertainties of the current real estate market and the slow pace of economic recovery continued to weigh on loan demand while deposits held strong even after the substantial increases of 2009-10. As has always been our policy, our investment portfolio remains one of high quality and short duration. With our strong capital position and a conservative liquidity posture, we remain confident of our abilities to meet the economic challenges ahead.
Today’s ever-increasing regulatory challenges must also be met and managed. Many of this administration’s proposals for regulatory reform have yet to be interpreted and defined. We have allocated added resources for software costs, for training, for increased FDIC premiums, and for additional staff.
These challenges will require hard work and commitment from our employees. Of one thing we can be sure, government costs and the regulatory burden on community banks will continue to increase.
Despite these economic and regulatory challenges, our focus will remain on the community. Familiar to the Bank’s employees is a phrase taken from our Corporate Culture Statement: We are large enough to make a difference in the community and small enough to create an atmosphere in which each employee can make a significant contribution and be proud that they work for Seamen’s Bank. This contribution is reflected by a participation in community events. It is reflected by employee and trustee participation on town boards and nonprofit organizations. And it is reflected by the annual financial support from the Bank’s Charitable Foundation which donated in excess of $125,000 last year.
Take another look at the Charles Webster Hawthorne painting on the cover of our Annual Report. Like the “Fisher Boy” getting ready for “His First Voyage”, no one can be sure of what the future may hold. As I focus on our future, I am mindful that there is a legacy here to preserve and, as the Bank celebrates its 160th year, I remain confident in the Bank’s future success, resolute in our commitment, and appreciative of the support of our employees, our trustees,
our corporators, our customers, and our community.
Respectfully,
John K. Roderick
President
View a PDF of this year's Annual Report
Consolidated Balance Sheets
| Year ended March 31 |
2011
|
2010
|
| Assets |
|
|
| Cash and Due from Banks |
4,851,000
|
4,886,000
|
| Securities |
72,783,000
|
63,609,000
|
| Federal Funds Sold |
13,486,000
|
11,577,000
|
| Loans |
193,340,000
|
197,758,000
|
| Reserve for Losses |
(2,569,000)
|
(2,518,000)
|
| Land, Builings, Equipment |
3,812,000
|
3,922,000
|
| Other Real Estate Owned |
0
|
467,000
|
| Other Assets |
6,036,000
|
5,977,000
|
| Total Assets |
291,739,000
|
285,678,000
|
| |
|
|
| Liabilities and Surplus |
|
|
| Deposits |
257,534,000
|
252,793,000
|
| Other Liabilities |
2,053,000
|
1,805,000
|
| Total Liabilities |
259,587,000
|
254,598,000
|
| |
|
|
| Undivided Profits |
31,852,000
|
30,570,000
|
| Net Unrealized Gains on Securities held for Sale |
300,000
|
510,000
|
| Total Surplus |
32,152,000
|
31,080,000
|
| |
|
|
| Total Liabilities and Surplus |
291,739,000
|
285,678,000
|
This statement has not been reviewed, or confirmed for accuracy, by the Federal Deposit Insurance Corporation.
|
