Federal Home Loan Bank Stock
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9 Months Ended | |||
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Dec. 31, 2011
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Federal Home Loan Bank Stock Disclosure [Abstract] | ||||
Federal Home Loan Bank Stock Disclosure [Text Block] |
The Company owns approximately $879,000 of Federal Home Loan Bank of Chicago (“FHLB”) stock. The FHLB of Chicago is operating under a Cease and Desist Order from its regulator, the Federal Housing Finance Agency (“FHFA”). The FHLB’s new capital structure and excess stock repurchase plan was approved by the FHFA. The repurchase plan allows for the FHLB to repurchase approximately $500 million in excess capital stock held by its members which will represent 45% of the excess stock outstanding. The FHLB will continue to provide liquidity and funding through advances and access for members to sell loans to FNMA through the MPF X-tra program. With regard to dividends, the FHLB will continue to assess their dividend capacity each quarter and make the appropriate request for approval. The FHLB did not pay a dividend during 2010; however in 2011, the FHLB declared and paid four dividends at an annualized rate of 10 basis points per share. Management performed an analysis and deemed the Company’s cost method investment in FHLB stock to be recoverable as of December 31, 2011. |