The Company is a Maryland corporation that was incorporated in April 2010. The
Companys common stock is traded on the Global Select tier of the NASDAQ Stock
Market under the symbol "CFFN."
The Bank is a wholly-owned subsidiary of the Company and is a federally chartered
and insured savings bank headquartered in Topeka, Kansas. The Bank is examined
and regulated by the Office of the Comptroller of the Currency (the "OCC"),
its primary regulator, and its deposits are insured up to applicable limits
by the Deposit Insurance Fund ("DIF"), which is administered by the
Federal Deposit Insurance Corporation ("FDIC"). We primarily serve
the metropolitan areas of Topeka, Wichita, Lawrence, Manhattan, Emporia and
Salina, Kansas and a portion of the metropolitan area of greater Kansas City
through 37 traditional and 10 in-store branches. The Company, as a savings and
loan holding company, is examined and regulated by the FRB.
We have been, and intend to continue to be, a community-oriented financial
institution offering a variety of financial services to meet the needs of the
communities we serve. We attract retail deposits from the general public and
invest those funds primarily in permanent loans secured by first mortgages on
owner-occupied, one- to four-family residences. While our primary business is
the origination of one- to four-family loans, we also purchase whole one- to
four-family loans from correspondent lenders, originate consumer loans primarily
secured by mortgages on one- to four-family residences, originate and participate
in loans with other lenders that are secured by commercial or multi-family real
estate, and invest in certain investment securities and mortgage-backed securities
("MBS") using funding from retail deposits, brokered and public unit
deposits, Federal Home Loan Bank Topeka ("FHLB") borrowings, and repurchase
agreements. We offer a variety of deposit accounts having a wide range of interest
rates and terms, which generally include savings accounts, money market accounts,
interest-bearing and noninterest-bearing checking accounts, and certificates
of deposit with terms ranging from 91 days to 96 months. Our revenues are derived
principally from interest on loans, MBS, investment securities, and FHLB stock.
The Company is significantly affected by prevailing economic conditions, including
federal monetary and fiscal policies and federal regulation of financial institutions.
Retail deposit balances are influenced by a number of factors, including interest
rates paid on competing investment products, the level of personal income, and
the personal rate of savings within our market areas. Lending activities are
influenced by the demand for housing and other loans, our loan underwriting
guidelines compared to those of our competitors, as well as interest rate pricing
competition from other lending institutions.
Our executive offices are located at 700 South Kansas Avenue, Topeka, Kansas
66603, and our telephone number at that address is (785) 235-1341.
Originating and purchasing loans secured by one- to four-family residential
properties is the Banks primary lending business, resulting in a loan concentration
in residential first mortgage loans located in Kansas and Missouri. The Bank
also originates consumer loans and construction loans secured by residential
properties, and originates and participates in commercial and multi-family real
estate loans and construction loans secured by multi-family or commercial real
estate.
Federally chartered savings institutions have the authority to invest in various
types of liquid assets, including U.S. Treasury obligations; securities of various
federal agencies; government-sponsored enterprises ("GSEs"), including
callable agency securities; municipal bonds; certain certificates of deposit
of insured banks and savings institutions; certain bankers acceptances; repurchase
agreements; and federal funds. Subject to various restrictions, federally chartered
savings institutions may also invest their assets in investment grade commercial
paper, corporate debt securities, and mutual funds whose assets conform to the
investments that a federally chartered savings institution is otherwise authorized
to make directly. As a member of FHLB, the Bank is required to maintain a specified
investment in FHLB stock. See "Regulation and Supervision – Federal
Home Loan Bank System" and "Office of the Comptroller of the Currency"
for a discussion of additional restrictions on our investment activities.
The Chief Investment Officer has the primary responsibility for management
of the Banks investment portfolio, subject to the direction and guidance of
ALCO. The Chief Investment Officer considers various factors when making decisions,
including the marketability, maturity, and tax consequences of the proposed
investment. The composition of the investment portfolio will be affected by
various market conditions, including the slope of the yield curve, the level
of interest rates, the impact on the Banks interest rate risk, the trend of
net deposit flows, the volume of loan sales, the anticipated demand for funds
via withdrawals, repayments of borrowings, and loan originations and purchases.
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