Profile: Southwest Georgia Financial Corp (SGB.A)
20 May 2015
Southwest Georgia Financial Corporation is a bank holding company that operates through its wholly owned subsidiary, Southwest Georgia Bank (the Bank), a state-chartered bank. The Bank is community-oriented and offers such customary banking services as consumer and commercial checking accounts, negotiable order of withdrawal (NOW) accounts, savings accounts, certificates of deposit, lines of credit, VISA business accounts and money transfers. The Bank finances commercial and consumer transactions, makes secured and unsecured loans, and provides a variety of other banking services. The Bank has a trust and investment division that performs corporate, pension and personal trust services, and acts as trustee, executor and administrator for estates, and as administrator or trustee of various types of employee benefit plans for corporations and other organizations. The Bank also operates Empire Financial Services, Inc. (Empire), a commercial mortgage banking firm located in Baldwin County, and a loan production office located in Lowndes County.
The Company provides banking services through the Bank to individuals and businesses principally in Colquitt County, Baker County, Thomas County, Worth County, and the surrounding counties of southwest Georgia. The Bank operates Southwest Georgia Insurance Services Division, an insurance agency that offers property and casualty insurance, life, health and disability insurance. The Bank’s trust and investment area has a securities sales department, which offers full-service brokerage through a third-party service provider. As of December 31, 2013, the Bank had two automated teller machines.
The Bank makes both secured and unsecured loans to individuals, corporations and other businesses. Both consumer and commercial lending operations include various types of credit for the Bank's customers. Secured loans include first and second real estate mortgage loans. The Bank also makes direct installment loans to consumers on both a secured and unsecured basis. At December 31, 2013, the loan portfolio mix at year-end 2013 consisted of 7.2% loans secured by construction real estate, 36.0% loans secured by commercial real estate, 29.4% of loans secured by residential real estate, and 5.8% of loans secured by agricultural real estate. The loan portfolio also included other commercial, financial, and agricultural purposes of 20.0% and installment loans to individuals for consumer purposes of 1.6%.
The Bank’s investment securities consist largely of the United States Government-sponsored pass-thru mortgage-backed securities and the United States Government agency bonds. As of December 31, 2013, its investment portfolio consisted of 26% of its assets and 52% of the portfolio includes largely state, county and municipal securities. Also, the portfolio includes 20% of U.S. Government sponsored pass-thru residential mortgage-backed securities, 25% of U.S. Government Agency securities, and 3% of corporate notes.
Sources of Funds
The Bank’s primary source of funds is deposits. It offers a variety of deposit accounts having a range of interest rates and terms to both consumers and businesses. At December 31, 2013, the Bank’s deposit base, totaling $310,434,539, consisted of $81,828,637 in noninterest-bearing demand deposits (26.4% of total deposits), $113,021,795 in interest-bearing demand deposits including money market accounts (36.4% of total deposits), $28,791,929 in savings deposits (9.3% of total deposits), $49,835,865 in time deposits in amounts less than $100,000 (16.0% of total deposits), and $36,956,313 in time deposits of $100,000 or more (11.9% of total deposits). As of December 31, 2013, it had a total of $37.0 million in certificates of deposit of $100,000 or more. The Bank uses borrowings from the Federal Home Loan Bank to support its residential mortgage lending activities. As of December 31, 2013, the company borrowed $9 million in principal reducing credit advances and repaid $2 million of the fixed-rate advances from the Federal Home Loan Bank.
Southwest Georgia Financial Corp
201 1st St SE,
PO Box 849
MOULTRIE GA 31768-4747