Kentucky First Federal Bancorp, incorporated on March 2, 2005, is a mid-tier holding company. The Company's subsidiaries include First Federal Savings and Loan Association of Hazard (First Federal of Hazard) and Frankfort First Bancorp, Inc. (Frankfort First Bancorp). Frankfort First Bancorp's subsidiary is First Federal Savings Bank of Kentucky, Frankfort, Kentucky (First Federal of Frankfort). The Company operates First Federal of Hazard and First Federal of Frankfort as two independent, community-oriented savings institutions.
Lending Activities
The Company's loan portfolio consists primarily of one- to four-family residential mortgage loans. The Company also offers loans secured by churches, commercial real estate, and multi-family real estate. It also offers loans secured by deposit accounts and, through First Federal of Frankfort, home equity loans. The Company's primary lending activity is the origination of mortgage loans to enable borrowers to purchase or refinance existing homes in the Banks respective market areas. The Banks offer various programs for the purchase and refinance of one- to four-family loans. The Company originates loans to individuals to finance the construction of residential dwellings for personal use or for use as rental property. The Company offers mortgage loans secured by multi-family property, including residential real estate consisting of five or more units. The Company offers mortgage loans secured by nonresidential real estate, which are secured by commercial office buildings, churches, condominiums and properties used for other purposes. The Company's consumer loans include home equity lines of credit, loans secured by savings deposits, automobile loans and unsecured or personal loans. As June 30, 2016, residential mortgage loans totaled $204.5 million, construction loans totaled $2.8 million, multi-family loans totaled $15.6 million, nonresidential totaled $27.1 million, commercial non-mortgage loans totaled $1.8 million and consumer loan balance totaled $8.6 million.
Investment Activities
The Company has legal authority to invest in various types of liquid assets, including the United States Treasury obligations, securities of various federal agencies and state and municipal governments, mortgage-backed securities and certificates of deposit of federally insured institutions. The Company is also required to maintain an investment in Federal Home Loan Banks (FHLB)-Cincinnati stock. As of June 30, 2016, the Company's investment portfolio consisted of mortgage-backed securities issued and guaranteed by Fannie Mae, Freddie Mac and Ginnie Mae with stated final maturities of 30 years or less.
Sources of Funds
Deposits, loan repayments and maturities, redemptions, sales and repayments of investment and mortgage-backed securities are the Company's sources of funds for lending and other investment purposes. Deposits are attracted from within its market areas through the offering of passbook savings and certificate accounts, and, at First Federal of Kentucky, checking accounts and individual retirement accounts (IRAs). First Federal of Hazard and First Federal of Frankfort borrow from the FHLB-Cincinnati to supplement their supplies of investable funds and to meet deposit withdrawal requirements. The Federal Home Loan Bank functions as a central reserve bank providing credit for member financial institutions.
Subsidiary Activities
The Company's subsidiaries are First Federal of Hazard and Frankfort First Bancorp. Frankfort First Bancorp has one subsidiary, First Federal of Frankfort. As federally chartered savings institutions, the Banks are permitted to invest an amount equal to 2% of assets in subsidiaries, with an additional investment of 1% of assets where, such investment serves community, inner city and community-development purposes.
The Company competes with Peoples Bank & Trust Company of Hazard, Community Trust Bancorp, Inc., 1st Trust Bank, Inc., Farmers Bank and Capital Trust Company, The Farmers National Bank of Danville, Commonwealth Credit Union, Kentucky Employees Credit Union and Whitaker Bank Corporation.
479 Main St
The company trades on NASDAQ exchange. The company headquarter is located in Kentucky, KY. The company was established in the 2005.| Ticker | KFFB |
| Long Name | Kentucky First Federal Bancorp |
| Short Name | Kentucky First Federal Bancorp |