Condensed Financial Information of Parent

12 Months Ended

Dec. 31, 2015

Condensed financial information for The First Bancorp, Inc. exclusive of its subsidiary is as follows:

Balance Sheets



As of December 31,	2015		2014
Assets
Cash and cash equivalents	$	1,431,000	$	522,000
Dividends receivable	2,500,000		2,500,000
Investments	509,000		528,000
Investment in subsidiary	137,433,000		132,399,000
Premises and equipment	12,000		24,000
Goodwill	27,559,000		27,559,000
Other assets	438,000		302,000
Total assets	$	169,882,000	$	163,834,000
Liabilities and shareholders' equity
Dividends payable	$	2,366,000	$	2,252,000
Other liabilities	18,000		28,000
Total liabilities	2,384,000		2,280,000
Shareholders' equity
Common stock	108,000		107,000
Additional paid-in capital	59,862,000		59,282,000
Retained earnings	107,500,000		102,125,000
Accumulated other comprehensive income
Net unrealized gain on available for sale securities, net of tax	28,000		40,000
Total accumulated other comprehensive income	28,000		40,000
Total shareholders' equity	167,498,000		161,554,000
Total liabilities and shareholders' equity	$	169,882,000	$	163,834,000

Statements of Income



For the years ended December 31,	2015			2014			2013
Interest and dividends on investments	$	18,000		$	15,000		$	10,000
Net securities gains	—			38,000			—
Total income	18,000			53,000			10,000
Occupancy expense	12,000			12,000			11,000
Other operating expense	488,000			604,000			362,000
Total expense	500,000			616,000			373,000
Loss before income taxes and Bank earnings	(482,000		)	(563,000		)	(363,000		)
Applicable income taxes	(172,000		)	(200,000		)	(128,000		)
Loss before Bank earnings	(310,000		)	(363,000		)	(235,000		)
Equity in earnings of Bank
Remitted	10,000,000			8,850,000			7,096,000
Unremitted	6,516,000			6,222,000			6,104,000
Net income	$	16,206,000		$	14,709,000		$	12,965,000

Statements of Cash Flows



For the years ended December 31,	2015			2014			2013
Cash flows from operating activities:
Net income	$	16,206,000		$	14,709,000		$	12,965,000
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	12,000			9,000			11,000
Equity compensation expense	296,000			431,000			214,000
Gain on sale of investment	—			(38,000		)	—
Increase in other assets	(135,000		)	(98,000		)	(132,000		)
(Increase) decrease in dividend receivable	(50,000		)	(1,050,000		)	400,000
Increase in other liabilities	160,000			105,000			258,000
Unremitted earnings of Bank	(6,516,000		)	(6,222,000		)	(6,104,000		)
Net cash provided by operating activities	9,973,000			7,846,000			7,612,000
Cash flows from investing activities:
Capital expenditures	—			(1,000		)	—
Net cash used in investing activities	—			(1,000		)	—
Cash flows from financing activities:
Payment to repurchase preferred stock	—			—			(12,500,000		)
Purchase of common stock	(180,000		)	—			—
Proceeds from sale of common stock	465,000			457,000			11,973,000
Dividends paid	(9,349,000		)	(8,893,000		)	(8,657,000		)
Net cash used in financing activities	(9,064,000		)	(8,436,000		)	(9,184,000		)
Net increase (decrease) in cash and cash equivalents	909,000			(591,000		)	(1,572,000		)
Cash and cash equivalents at beginning of year	522,000			1,113,000			2,685,000
Cash and cash equivalents at end of year	$	1,431,000		$	522,000		$	1,113,000