SEC Info - Mackinac Financial Corp/MI - ‘10-K’ for 12/31/00

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Mackinac Financial Corp/MI – ‘10-K’ for 12/31/00

On: Thursday, 3/29/01, at 3:43pm ET · For: 12/31/00 · Accession #: 950124-1-1781 · File #: 0-20167

  As Of                Filer                Filing    For·On·As Docs:Size              Issuer               Agent

 3/29/01  Mackinac Financial Corp/MI        10-K       12/31/00    4:187K                                   Bowne - Bde

Annual Report — Form 10-K
Filing Table of Contents

Document/Exhibit                   Description                      Pages   Size 

 1: 10-K        Annual Report                                         24    116K 
 2: EX-13       Annual Report                                         50    252K 
 3: EX-21       Subsidiaries                                           1      5K 
 4: EX-23       Consent of Independent Public Accountants              1      6K

10-K — Annual Report
Document Table of Contents

Page	(sequential)	\|	(alphabetic)	Top
			Alternative Formats (Word, et al.) Business Certain Relationships and Related Transactions Changes in and Disagreements With Accountants and Financial Disclosure Directors and Executive Officers of Registrant Executive Compensation Exhibits, Financial Statements, Schedules, and Reports on Form 8-K Financial Statements Legal Proceedings Management's Discussion and Analysis of Financial Condition and Results of Operations Market for Registrant's Common Stock and Related Stock Holder Matters North Country Financial Corporation Properties Quantitative and Qualitative Disclosures About Market Risk Security Ownership of Certain Beneficial Owners and Management Selected Financial Data Submission of Matters to A Vote of Security Holders
1	1st Page - Filing Submission
"	North Country Financial Corporation
2	Item 1:. Business
14	Item 2:. Properties
16	Item 3:. Legal Proceedings
"	Item 4:. Submission of Matters to A Vote of Security Holders
"	Item 5:. Market for Registrant's Common Stock and Related Stock Holder Matters
17	Item 6:. Selected Financial Data
"	Item 7:. Management's Discussion and Analysis of Financial Condition and Results of Operations
"	Item 7A:. Quantitative and Qualitative Disclosures About Market Risk
19	Item 8:. Financial Statements
"	Item 9:. Changes in and Disagreements With Accountants and Financial Disclosure
"	Item 10:. Directors and Executive Officers of Registrant
20	Item 11:. Executive Compensation
"	Item 12:. Security Ownership of Certain Beneficial Owners and Management
"	Item 13:. Certain Relationships and Related Transactions
"	Item 14 -. Exhibits, Financial Statements, Schedules, and Reports on Form 8-K

10-K 1st Page of 24 TOC ↑Top Previous Next ↓Bottom Just 1st
 
 FORM 10-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

 [X] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934

 For the fiscal year ended December 31, 2000

 [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _______ to ________

Commission file number 0-20167

 NORTH COUNTRY FINANCIAL CORPORATION
(Exact name of registrant as specified in its charter)

                                                                [Download Table]
                                                              
MICHIGAN                                   38-2062816         
(State of other jurisdiction of            (I.R.S.  Employer  
incorporation or organization)             Identification No.)

 3530 North Country Drive, Traverse City, Michigan 49684
 (Address of principal executive offices) (Zip Code)

Registrant's telephone number, including area code: (231) 929-5600

Securities registered pursuant to Section 12(b) of the Act: None

 Securities registered pursuant to Section 12(g) of the Act:
Common Stock, no par value
 Preferred Share Purchase Rights
(Title of Class)

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was     
required to file such reports), and (2) has been subject to such filing         
requirements for the past 90 days. Yes _X_ No ____                              

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405  
of Regulation S-K is not contained herein, and will not be contained, to the    
best of Registrant's knowledge, in definitive proxy or information statements   
incorporated by reference in Part III of this Form 10-K or any amendments to    
this Form 10-K. | |                                                             

The aggregate market value of the common stock held by non-affiliates of the    
Registrant, based on a per share price of $6.81 as of March 1, 2001, was $47.8  
million. As of March 1, 2001, there were outstanding 7,017,931 shares of the    
Corporation's Common Stock (no par value).                                      

Documents Incorporated by Reference: Portions of the Corporation's 2000 Annual  
Report to Shareholders are incorporated by reference into Parts I and II of this
Report.                                                                         

Portions of the Corporation's Proxy Statement for the Annual Meeting of         
Shareholders to be held April 17, 2001 are incorporated by reference into Part  
III of this Report.                                                             

10-K 2nd Page of 24 TOC 1st Previous Next ↓Bottom Just 2nd

PART I

ITEM 1: BUSINESS

 GENERAL

North Country Financial Corporation (the "Registrant" or "Corporation") was     
incorporated under the laws of the state of Michigan on December 16, 1974. The  
Corporation changed its name from "First Manistique Corporation" to "North      
Country Financial Corporation" on April 14, 1998. The Registrant owns all of the
outstanding stock of its banking subsidiary, North Country Bank and Trust (the  
"Bank"). The Registrant also owns eight nonbank subsidiaries: First Manistique  
Agency, an insurance agency which sells annuities as well as life and health    
insurance; First Rural Relending Company, a nonprofit relending company; North  
Country Financial Group, a corporation which provides tax-exempt lease/purchase 
financing to municipalities; North Country Capital Trust, a statutory business  
trust which was formed solely for the issuance of trust preferred securities;   
NCB Real Estate Company, which owns several properties used by the Bank; North  
Country Mortgage Company LLC and American Financial Mortgage Corporation,       
entities engaged in the business of mortgage lending and brokering; and North   
Country Employee Leasing Company, a company that leases employees to North      
Country Bank and Trust. The latter three entities are new to the Registrant in  
2000. The Bank represents the principal asset of the Registrant. The Registrant 
and its subsidiary Bank are engaged in a single industry segment, commercial    
banking, broadly defined to include commercial and retail banking activities    
along with other permitted activities closely related to banking.               

The Registrant became a registered bank holding company under the Bank Holding  
Company Act of 1956, as amended, on April 1, 1976, when it acquired First       
Northern Bank and Trust ("First Northern"). On May 1, 1986, Manistique Lakes    
Bank merged with First Northern. The Registrant acquired all of the outstanding 
stock of the Bank of Stephenson on February 8, 1994, in exchange for cash and   
common stock. The Bank of Stephenson was operated as a separate banking         
subsidiary of the Registrant until September 30, 1995, when it was merged into  
First Northern. First Northern acquired Newberry State Bank on December 8, 1994,
in exchange for cash. On September 15, 1995, First Northern acquired the fixed  
assets and assumed the deposits of the Rudyard branch of First of America Bank, 
in exchange for cash. The Registrant acquired all of the outstanding stock of   
South Range State Bank ("South Range") on January 31, 1996, in exchange for cash
and notes. On August 12, 1996, First Northern and South Range changed their     
names to North Country Bank and Trust and North Country Bank, respectively. On  
February 4, 1997, the Registrant acquired all of the outstanding stock of UP    
Financial Inc., the parent holding company of First National Bank of Ontonagon  
("Ontonagon"). Ontonagon was merged into North Country Bank. North Country Bank 
was operated as a separate banking subsidiary of the Registrant until March 10, 
1998, when it was merged into North Country Bank and Trust. On June 25, 1999,   
North Country Bank and Trust acquired the fixed assets and assumed the deposits 
of the Kaleva and Mancelona branches of Huntington National Bank in exchange for
cash. On July 23, 1999, North Country Bank and Trust sold the fixed assets and  
deposits of the Rudyard and Cedarville branches to Central Savings Bank in      
exchange for cash. On January 14, 2000, North Country Bank and Trust sold the   
fixed assets and deposits of the Garden branch to First Bank, Upper Michigan in 
exchange for cash. On June 16, 2000, North                                      

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10-K 3rd Page of 24 TOC 1st Previous Next ↓Bottom Just 3rd

Country Bank and Trust acquired the fixed assets and assumed the deposits of the
Glen Arbor and Alanson branches of Old Kent Bank, in exchange for cash.         

The Corporation is headquartered in Traverse City, Michigan. The executive      
offices and mailing address of the Corporation are located at 3530 North Country
Drive, Traverse City, Michigan 49684.                                           

The Bank is headquartered in Traverse City, Michigan at the address above. The  
Bank has 20 branch offices located in the Upper Peninsula of Michigan and nine  
branch offices located in Michigan's Lower Peninsula. The Bank maintains offices
in Grand Traverse, Otsego, Wexford, Manistee, Antrim, Leelanau, Emmet,          
Schoolcraft, Menominee, Delta, Dickinson, Hougton, Baraga, Ontonagon, Marquette,
Luce, Alger, Mackinac, and Chippewa counties. The Bank provides drive-in        
convenience at 20 branch locations and has automatic teller machines operating  
at 14 locations. The Bank has no foreign offices.                               

The Bank is engaged in the general commercial banking business, providing a full
range of loan and deposit products. These banking services include customary    
retail and commercial banking services, including checking and savings accounts,
time deposits, interest bearing transaction accounts, safe deposit facilities,  
real estate mortgage lending, commercial lending, commercial and governmental   
lease financing, and direct and indirect consumer financing.                    

FORWARD-LOOKING STATEMENTS

The discussions in this Report on Form 10-K and the documents incorporated      
herein by reference which are not statements of historical fact (including      
statements in the future tense and those which include terms such as "believe," 
"will," "expect," and "anticipate") contain forward-looking statements that     
involve risks and uncertainties. The Corporation's actual future results could  
materially differ from those discussed. Factors that might cause actual results 
to differ from the results discussed in forward-looking statements include, but 
are not limited to:                                                             

   -      General economic conditions, either nationally or the state in
which the Corporation does business;                

 -      Legislation or regulatory changes which adversely affect the
businesses in which the Corporation is engaged;     

-      Changes in the interest rate environment which increase or 
decrease interest rate margins;                     

      -      Changes in securities markets with respect to the market value of
           financial assets and the level of volatility in certain markets
such as foreign exchange;                           

      -      Significant increases in competition in the banking and financial
    services industry resulting from industry consolidation,
             regulatory changes and other factors, as well as actions taken by
particular competitors;                             

-      Changes in consumer spending, borrowing and savings habits;

-      Technological changes;                                     

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     -      Acquisitions and unanticipated occurrences which delay or reduce
the expected benefits of acquisitions;              

   -      The Corporation's ability to increase market share and control
expenses;                                           

     -      The effect of compliance with legislation or regulatory changes;

-      The effect of changes in accounting policies and practices;

-      The costs and effects of unanticipated litigation and of   
  unexpected or adverse outcomes in such litigation; and

-      The factors discussed in Item 1 in this Report and in the  
            Management's Discussion and Analysis in Item 7, as well as those
             discussed elsewhere in this Report and the documents incorporated
herein by reference.                                

All forward-looking statements contained in this report are based upon          
information presently available and the Corporation assumes no obligation to    
update any forward-looking statements.                                          

PRINCIPAL SOURCES OF REVENUE

The principal source of revenue for the Registrant is interest and fees on loans
and investment income. The sources of income for the three most recent years are
as follows (in thousands):                                                      

                                                                [Download Table]

                             2000     1999      1998 
                             ----     ----      ---- 
                                                     
Interest and fees on loans  $50,063  $40,457  $37,284
Investment income             4,105    1,670      467
Other interest income           515      422      747
Noninterest income            6,853    3,538    2,651

 EMPLOYEES

As of March 1, 2001, the Corporation and its subsidiaries employed in the       
aggregate 200 employees equating to 175 full-time equivalents.                  

 COMPETITION

Banking is a highly competitive business. In addition to other banks, the Bank  
also competes for loans and deposits with savings and loan associations, credit 
unions, investment firms, and large national retailers, and competes for        
deposits with money market funds. In order to successfully compete, management  
has developed a sales and service culture, stresses and rewards quality customer
service, and designs products to meet the needs of the customer. The Bank also  
utilizes its ability to sell loans in the secondary market.                     

The Corporation continues to offer its premium-based certificate of deposit     
program. Customers can elect to receive one of several products in place of cash
interest payments on term certificates. The Corporation offers firearms, golf   
clubs, various other sporting equipment, and                                    

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grandfather clocks under these programs. The most successful and long-standing  
of the programs is the firearm program, which is offered to sports enthusiasts  
nationally. Under this program, the Corporation records the cost of the product 
given as a discount from the face amount of the certificate of deposit and      
recognizes interest expense on the effective interest method over the life of   
the certificate.                                                                

BUSINESS

The Bank makes mortgage, commercial, and installment loans to customers         
throughout Michigan. Fees may be charged for these services. Historically, the  
Bank has predominantly sold its conforming residential mortgage loans in the    
secondary market. The Bank also finances commercial and governmental leases     
throughout the country; the leases are originated by unrelated entities or the  
Registrant's subsidiary, North Country Financial Group. The Bank reviews the    
credit quality of each lease before entering into a financing agreement.        

The Bank supports the growth of the service industry, with its year round resort
and related businesses, gaming, forestry, restaurants, farming, fishing, and    
many other activities important to growth in Michigan. The economy of the market
areas of the Bank is affected by summer and winter tourism activities.          

There are no material concentrations of credit to, nor have material portions of
the Bank's deposits been received from, a single person, industry, group, or    
geographical location.                                                          

The Bank is a member of the Federal Home Loan Bank of Indianapolis. The Federal 
Home Loan Bank of Indianapolis provides an additional source of liquidity and   
long-term funds. Membership in the Federal Home Loan Bank also provides access  
to attractive rate advances as well as advantageous lending programs. The       
Community Investment Program makes advances to be used for funding              
community-oriented mortgage lending, and the Affordable Housing Program grants  
advances to fund lending for long-term low and moderate income owner occupied   
and affordable rental housing at subsidized interest rates.                     

The Bank regularly assesses its ability to raise funds through the issuance of  
certificates of deposit in denominations of $100,000 or more in the local and   
regional market area and has established conservative guidelines for the total  
funding to be provided by these deposits. The Bank also uses brokered deposits  
to attract certificates of deposits in denominations of $100,000 or more.       

The Bank uses federal funds purchased from correspondent banks to respond to    
deposit fluctuations and temporary loan demands.                                

As of December 31, 2000, the Bank had no material risks relative to foreign     
sources. See the "Interest Rate Risk" and "Foreign Exchange Risk" sections in   
Management's Discussion and Analysis of Financial Condition and Results of      
Operation for details on the Registrant's foreign account activity.             

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Compliance with federal, state, and local statutes and/or ordinances relating to
the protection of the environment is not expected to have a material effect upon
the Bank's capital expenditures, earnings, or competitive position.             

SUPERVISION AND REGULATION

As a registered bank holding company, the Corporation is subject to regulation  
and examination by the Board of Governors of the Federal Reserve System (the    
"Federal Reserve Board") under the Bank Holding Company Act, as amended (the    
"BHCA"). The Bank is subject to regulation and examination by the Michigan      
Financial Institutions Bureau and the FDIC.                                     

Under the BHCA, the Corporation is subject to periodic examination by the       
Federal Reserve Board, and is required to file with the Federal Reserve Board   
periodic reports of its operations and such additional information as the       
Federal Reserve Board may require. In accordance with Federal Reserve Board     
policy, the Corporation is expected to act as a source of financial strength to 
the Bank and to commit resources to support the Bank in circumstances where the 
Corporation might not do so absent such policy. In addition, there are numerous 
federal and state laws and regulations which regulate the activities of the     
Corporation, the Bank and the nonbank subsidiaries, including requirements and  
limitations relating to capital and reserve requirements, permissible           
investments and lines of business, transactions with affiliates, loan limits,   
mergers and acquisitions, issuances of securities, dividend payments,           
inter-affiliate liabilities, extensions of credit and branch banking.           

Federal banking regulatory agencies have established capital adequacy rules     
which take into account risk attributable to balance sheet assets and           
off-balance sheet activities. All banks and bank holding companies must meet a  
minimum total risk-based capital ratio of 8%, of which at least one-half must be
comprised of core capital elements defined as Tier 1 capital (which consists    
principally of shareholders' equity). The federal banking agencies also have    
adopted leverage capital guidelines which banking organizations must meet. Under
these guidelines, the most highly rated banking organizations must meet a       
minimum leverage ratio of at least 3% Tier 1 capital to total assets, while     
lower rated banking organizations must maintain a ratio of at least 4% to 5%.   
Failure to meet minimum capital requirements can initiate certain mandatory -   
and possible additional discretionary - actions by regulators that, if          
undertaken, could have a direct material effect on the consolidated financial   
statements. The risk-based and leverage standards presently used by the Federal 
Reserve Board are minimum requirements, and higher capital levels will be       
required it warranted by the particular circumstances or risk profiles of       
individual banking organizations. The Federal Reserve Board has not advised the 
Corporation of any specific minimum Tier 1 capital leverage ratio applicable to 
it.                                                                             

Federal law provides the federal banking regulators with broad power to take    
prompt corrective action to resolve the problems of undercapitalized            
institutions. The extent of the regulators' power depends on whether the        
institution in question is "well capitalized," "adequately capitalized,"        
"undercapitalized," "significantly undercapitalized," or "critically            
undercapitalized." To be well capitalized under the regulatory framework, the   
Tier 1 capital ratio must meet or exceed 6%, the total capital ratio must meet  
or exceed 10% and the leverage ratio must meet or exceed 5%. At December 31,    
2000 and 1999, the most recent notification                                     

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from the Federal Reserve categorized the Corporation as well capitalized under  
the regulatory framework for prompt corrective action. There are no conditions  
or events since that notification that management believes have changed the     
Corporation's category. The Bank's risk-based capital and leverage ratios meet  
or exceed the defined minimum requirements, and the Bank has been deemed well   
capitalized as of December 31, 2000 and 1999.                                   

Current federal law provides that adequately capitalized and managed bank       
holding companies from any state may acquire banks and bank holding companies   
located in any other state, subject to certain conditions. Banks are permitted  
to create interstate branching networks in states that do not "opt out" of      
interstate branching.                                                           

The laws and regulations to which the Corporation is subject are constantly     
under review by Congress, regulatory agencies and state legislatures. On        
November 12, 1999, then President Clinton signed important legislation passed by
Congress to overturn Depression-era restrictions on affiliations by banking     
organizations. This comprehensive legislation, referred to as the               
Gramm-Leach-Bliley Act (the "Act"), eliminates certain barriers to and          
restrictions on affiliations between banks and securities firms, insurance      
companies and other financial services organizations. The Act provides for a new
type of "financial holding company" structure under which affiliations among    
these entities may occur, subject to the regulation of the Federal Reserve Board
and regulation of affiliates by the functional regulators, including the        
Securities and Exchange Commission and state insurance regulators. In addition, 
the Act permits certain non-banking financial and financially related activities
to be conducted by operating subsidiaries of a national bank. Under the Act, a  
bank holding company may become certified as a financial holding company by     
filing a notice with the Federal Reserve Board, together with a certification   
that the bank holding company meets certain criteria, including capital,        
management and Community Reinvestment Act requirements. The Act contains a      
number of provisions allocating regulatory authority among the Federal Reserve  
Board, other banking regulators, the Securities and Exchange Commission and     
state insurance regulators. In addition, the Act imposes strict new limits on   
the transfer and use by financial institutions of nonpublic, personal           
information about their customers.                                              

Other important provisions of the Act permit merchant banking and venture       
capital activities, and insurance underwriting, to be conducted by a subsidiary 
of a financial holding company, and municipal securities underwriting activities
to be conducted directly by a national bank or by its subsidiary. Under the Act,
a financial holding company may engage in a broad list of "financial            
activities," and any non-financial activity that the Federal Reserve Board      
determines is "complementary" to a financial activity and poses no substantial  
risk to the safety and soundness of depository institutions or the financial    
system.                                                                         

While certain provisions of the Act became effective on November 12, 1999, other
provisions are subject to delayed effective dates, and in some cases, will be   
implemented only upon the adoption by federal regulatory agencies of rules      
prescribed by the Act. On June 1, 2000, the federal bank regulatory agencies    
issued final regulations implementing the Act's consumer privacy protections.   
Among other things, the new privacy regulations give customers the right to "opt
out" of having their nonpublic, personal information shared by a financial      
institution with nonaffiliated third parties, bars financial institutions from  
disclosing customer account numbers                                             

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or other such access codes to nonaffiliated third parties for direct marketing  
purposes and requires annual disclosure by financial institutions of their      
policies and procedures for protecting customers' nonpublic, personal           
information. Full compliance with the new privacy regulations is mandatory as of
July 1, 2001.                                                                   

On January 5, 2000, Michigan passed legislation repealing and replacing the 1969
Banking Code. The new law, effective March 1, 2000, eliminated barriers to the  
use of new technologies in bank operations, created new powers for state banks, 
extended the timeframe for regulatory examinations to up to 18 months, allowed  
de novo branching in Michigan by out-of-state national banks, and specified that
a state bank has the same tax exemptions as savings and loan associations       
(currently all personal property owned by, and mortgages and securities held by 
a savings and loan association are tax exempt). Among other things, the new     
powers authorized under the "Banking Law of 1999" include the ability to engage 
in the sale of insurance, to own stock in a "bankers bank" that provides trust  
services or other services authorized by the state commissioner, to purchase or 
hold real property for bank use, and to exercise any other powers granted by    
order or declaratory ruling of the state commissioner.                          

The earnings and business of the Corporation and the Bank are also affected by  
the general economic and political conditions in the United States and abroad   
and by the monetary and fiscal policies of various federal agencies. The Federal
Reserve Board impacts the competitive conditions under which the Corporation    
operates by determining the cost of funds obtained from money market sources for
lending and investing and by exerting influence on interest rates and credit    
conditions. In addition, legislative and economic factors can be expected to    
have an ongoing impact on the competitive environment within the financial      
services industry. The impact of fluctuating economic conditions and federal    
regulatory policies on the future profitability of the Corporation and its      
subsidiaries cannot be predicted with certainty.                                

SELECTED STATISTICAL INFORMATION

I.     Distribution of Assets, Obligations, and Shareholders' Equity; Interest  
Rates and Interest Differential                                                 

The key components of net interest income, the average daily balance sheet for  
each year - including the components of earning assets and supporting           
obligations - the related interest income on a fully tax equivalent basis and   
interest expense, as well as the average rates earned and paid on these assets  
and obligations is contained under the caption "Management's Discussion and     
Analysis of Financial Condition and Results of Operations" in the Registrant's  
2000 Annual Report, and is incorporated herein by reference.                    

An analysis of the changes in net interest income from period-to-period and the 
relative effect of the changes in interest income and expense due to changes in 
the average balances of earning assets and interest-bearing obligations and     
changes in interest rates is contained under the caption "Management's          
Discussion and Analysis of Financial Condition and Results of Operations" in the
Registrant's 2000 Annual Report, and is incorporated herein by reference.       

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II.      Investment Portfolio                                     

A.     Investment Portfolio Composition                           

The following table presents the carrying value of investment securities        
available for sale as of December 31 (in thousands):                            

                                                                [Download Table]

                                       2000     1999    1998
                                       ----     ----    ----
                                                            
U.S. Treasury and federal agencies  $10,882   $9,392  $3,513
State and political subdivisions     15,542   16,210   1,021
Corporate securities                  4,740    3,008   1,290
Mortgage-related securities          40,902   14,733   2,852
                                     ------   ------   -----
TOTAL                               $72,066  $43,343  $8,676
                                     ======   ======   =====

Included in the December 31, 2000 investment securities available for sale are  
$5.5 million of White Mountain Apache Tribe Revenue Bonds Series 1999B.         

B.     Relative Maturities and Weighted Average Interest Rates    

The following table presents the maturity schedule of securities held and the   
weighted average yield of those securities, as of December 31, 2000 (fully      
taxable equivalent, in thousands):                                              

                                                        [Enlarge/Download Table]

                                    1 Year or Less   1-5 Years    5-10 Years    Over 10 Years 
                                    --------------   ---------    ----------    ------------- 
                                                                                              
U.S. Treasury and federal agencies                                      $2,967          $7,915
State and political subdivisions                $51         $239         7,176           8,076
Corporate securities                            232        1,984           497           2,027
Mortgage-related securities                                                             40,902

Weighted average yield (1)                    5.72%        7.39%         8.30%           7.75%

 (1)    Weighted average yield includes the effect of tax-equivalent
adjustments using a 34% tax rate.                   

III.   Loan Portfolio                                             

A.     Type of Loans                                              

The following table sets forth the major categories of loans outstanding for    
each category at December 31 (in thousands):                                    

                                                                [Download Table]

                             2000     1999      1998      1997       1996   
                             ----     ----      ----      ----       ----   
                                                                            
Commercial, financial and                                                   
agricultural                $308,421  $258,592  $219,027  $181,683  $141,555
Real estate - construction     9,208    12,539    11,923    10,940    13,897
Real estate - mortgage       113,834   107,750    97,415    95,543    80,592
Consumer                      13,059    17,051    23,160    26,795    31,156

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                                                                [Download Table]

         2000     1999      1998      1997       1996   
         ----     ----      ----      ----       ----   
                                                        
Leases    97,167    70,689    60,195    57,558    47,686
        --------    ------    ------    ------    ------
TOTAL   $541,689  $466,621  $411,720  $372,519  $314,886
         =======   =======   =======   =======   =======

Included in loan totals for December 31, 2000, 1999, and 1998 are $6.6 million, 
$6.5 million, and $4.1 of loans to Canadian obligators.                         

To the extent the Corporation utilizes lease financing for its customers, the   
leases are accounted for as loans.                                              

       B.     Maturities and Sensitivities of Loans to Changes in Interest Rates

The following table presents the remaining maturity of total loans outstanding  
for the categories shown at December 31, 2000, based on scheduled principal     
repayments (in thousands). The amounts due after one year are classified        
according to the sensitivity to changes in interest rates.                      

                                                        [Enlarge/Download Table]

                                  Commercial,                                              
                                Financial and   Real Estate  Real Estate                   
                                 Agricultural  Construction   Mortgage    Consumer   Leases
                                 ------------  ------------   --------    --------   ------
                                                                                           
In one year or less                   $71,657        $8,289     $1,979      $3,012  $10,324
After one year but within five                                                             
years:                                                                                     
  Variable interest rates             133,881           ---      2,153          82    1,602
  Fixed interest rates                 33,481           919     11,678       9,521   37,178
After five years:                                                                          
  Variable interest rates              42,313           ---     93,583          38    2,492
  Fixed interest rates                 27,089           ---      4,441         406   45,571
                                     --------        ------    -------         ---   ------
TOTAL                                $308,421        $9,208   $113,834     $13,059  $97,167
                                     ========        ======   ========     =======  =======

C.     Risk Elements                                              

The following table presents a summary of non-performing assets and problem     
loans as of December 31 (in thousands):                                         

                                                                [Download Table]

                            2000     1999    1998    1997   1996 
                            ----     ----    ----    ----   ---- 
                                                                 
Nonaccrual loans            $10,547    $95  $2,174  $1,956    $49

Interest income that would                                       
have been recorded for                                           
nonaccrual loans                                                 
under original                                                   
terms                           413      3     207      93    ---

Interest income recorded                                         
during                                                           

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                                                                [Download Table]

                          2000     1999   1998   1997   1996 
                          ----     ----   ----   ----   ---- 
                                                             
period for                                                   
nonaccrual loans              143    ---    ---    ---    ---

Accruing loans                                               
past due 90 days or more    3,117  2,452  1,238    698     68

Restructured loans not                                       
included above              3,654    ---    ---    ---    ---

Included in nonaccrual loans as of December 31, 2000 are $2.4 million of        
commercial loans to Canadian obligors.                                          

In March 2001, the Corporation received full payment of $6.9 million for a      
commercial loan that was on nonaccrual at December 31, 2000. This loan is       
included in the totals in the above table.                                      

IV.    Summary of Loan Loss Experience                            

A.   Analysis of the Allowance for Loan Losses                    

Changes in the allowance for loan losses arise from loans charged off,          
recoveries on loans previously charged off by loan category, and additions to   
the allowance for loan losses through provisions charged to expense. Factors    
which influence management's judgment in determining the provision for loan     
losses include establishing specified loss allowances for selected loans        
(including large loans, nonaccrual loans, and problem and delinquent loans) and 
consideration of historical loss information and local economic conditions. The 
following table presents information relative to the allowance for loan losses  
for the years ended December 31 (in thousands):                                 

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                                                                [Download Table]

                                 2000    1999    1998    1997      1996
                                 ----    ----    ----    ----      ----
                                                                       
Balance of allowance for loan                                          
losses at beginning of period    $6,863  $6,112  $5,600  $4,591  $3,137

Loans charged off:                                                     
Commercial, financial and                                              
agricultural                      1,284     405     406     351   1,012
Real estate - construction           --      --      --      --      --
Real estate - mortgage              328      74      31      37       8
Consumer                            263     329     368     413     357
Leases                            1,553      --      --      --      --
                                  -----     ---     ---     ---     ---

TOTAL LOANS CHARGED OFF           3,428     808     805     801   1,377
                                  -----     ---     ---     ---   -----

Recoveries of loans previously                                         
charged off:                                                           
Commercial, financial and                                              
agricultural                         66       9      47       2      67
Real estate - construction           --      --      --      --      --
Real estate - mortgage                9      10      --       7      --
Consumer                             69      83      70      77      55
Leases                               --      --      --      27      --
                                    ---     ---     ---     ---     ---
TOTAL RECOVERIES                    144     102     117     113     122
                                    ---     ---     ---     ---     ---

Net loans charged off             3,284     706     688     688   1,255
Provisions charged to expense     5,875   1,457   1,200   1,398   2,424
Allowance from acquisitions          --      --      --     299     285
                                  -----   -----   -----   -----   -----

BALANCE AT END OF PERIOD         $9,454  $6,863  $6,112  $5,600  $4,591
                                  =====   =====   =====   =====   =====

Ratio of net charge-offs during                                        
period to average loans                                                
outstanding                        0.7%    0.2%    0.2%    0.2%    0.4%

B.     Allocation of Allowance for Loan Losses                    

The allocation of the allowance for loan losses for the years ended December 31 
is shown on the following table (in thousands). The percentages shown represent 
the percent of each loan category to total loans.                               

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                                                        [Enlarge/Download Table]

                      2000                1999                1998                1997                1996       
               -----------------   -----------------   -----------------   -----------------   ---------------   
               Amount      %       Amount      %       Amount      %       Amount      %       Amount      %     
               ------    -------   ------    -------   ------    -------   ------    -------   ------    -----   
                                                                                                                 
Commercial,                                                                                                      
financial and                                                                                                    
agricultural     $3,407     56.9%    $2,443     55.4%    $1,789     53.2%    $2,873     48.8%    $2,356     45.0%
Real estate -                                                                                                    
construction         --      1.7%       114      2.7%        65      2.9%        --      2.9%        --      4.4%
Real estate -                                                                                                    
mortgage            136     21.0%       835     23.1%       622     23.7%        99     25.6%        81     25.6%
Consumer            371      2.4%       326      3.7%       229      5.6%       416      7.2%       341      9.9%
Leases            1,507     18.0%     1,049     15.1%       880     14.6%       350     15.5%        27     15.1%
Unallocated       4,033       N/A     2,096       N/A     2,507       N/A     1,862       N/A     1,526       N/A
                  -----       ---     -----       ---     -----       ---     -----       ---     -----       ---
TOTAL            $9,454      100%    $6,863      100%    $6,112      100%    $5,600      100%    $4,591      100%
                 ======      ====     =====      ====     =====      ====     =====      ====     =====      ====

V.     Deposits                                                   

At December 31, 2000, $3.7 million of total deposits are from Canadian          
customers.                                                                      

The following table presents the maturities of certificates of deposits and     
other time deposits of $100,000 or more as of December 31, 2000 (in thousands): 

                                                                [Download Table]
                                                                                
3 months or less                                                         $22,468
Over 3 months through 6 months                                            19,656
Over 6 months through 12 months                                           10,989
Over 12 months                                                            28,014
                                                                          ------
Total                                                                    $81,127
                                                                         =======

VI.    Return on Equity and Assets                                

Selected financial data of the Registrant is contained in the Corporation's 2000
Annual Report and is incorporated herein by reference.                          

See Item 6, "Selected Financial Data."                                          

VII.   Financial Instruments with Off-Balance Sheet Risk          

The Registrant is a party to financial instruments with off-balance sheet risk  
in the normal course of business to meet financial needs of its customers. These
financial instruments include commitments to make loans, unused lines of credit,
and standby letters of credit. The Registrant's exposure to credit loss in the  
event of nonperformance by the other party to the financial instrument is       
represented by the contractual amount of those instruments. The Registrant      
follows the same credit policy to make such commitments as it uses for          
on-balance-sheet items.                                                         

The Registrant had the following fixed and variable rate commitments outstanding
at December 31 (in thousands):                                                  

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                                                        [Enlarge/Download Table]

                                              2000                             1999           
                               ---------------------------------  --------------------------- 
                                      Fixed           Variable          Fixed         Variable
                                      -----           --------          -----         --------
                                                                                              
Outstanding letters of credit               ---          $14,601           ---      $ 14,425  
Unused lines of credit                  $12,225           73,491        $9,294        73,939  
Loan commitments outstanding              6,585           33,074         7,127        45,420  

Fixed rates on unused lines of credit and loan commitments ranged from 6.25% to 
18% at December 31, 2000.                                                       

Since many commitments to make loans expire without being used, the amount does 
not necessarily represent future cash commitments. Collateral obtained upon     
exercise of the commitment is determined using management's credit evaluation of
the borrower and may include real estate, vehicles, business assets, deposits,  
and other items.                                                                

ITEM 2: PROPERTIES

The Registrant's headquarters are located at 3530 North Country Drive, Traverse 
City, Michigan 49684. The headquarters location is owned by the Registrant and  
not subject to any mortgage.                                                    

The Bank conducts business from 29 offices at locations described below in Grand
Traverse, Otsego, Wexford, Manistee, Antrim, Leelanau, Emmet, Schoolcraft,      
Menominee, Delta, Dickinson, Hougton, Baraga, Ontonagon, Marquette, Luce, Alger,
Mackinac, and Chippewa counties. The Corporation continually reviews the        
possibility of applying for additional branch locations, depending on           
management's assessment of market and economic conditions, the availability of  
locations, and the proximity of branches of competing institutions. The         
following table lists each of the Bank's offices.                               

                                                                               [Download Table]
                                                                           
                                                                            
 Traverse City                                     Traverse City            
 -------------                                     -------------            
 3530 North Country Drive                          333 East State Street    
 Traverse City, MI 49684                           Traverse City, MI 49684  
 Grand Traverse County                             Grand Traverse County    

 Gaylord                                           Cadillac                 
 -------                                           --------                 
 145 North Otsego Avenue                           220 South Mitchell Street
 Gaylord, MI 49735                                 Cadillac, MI 49601       
 Otsego County                                     Wexford County           

 Kaleva                                            Mancelona                
 ------                                            ---------                
 14429 Wuoksi Avenue                               625 North Williams Street
 Kaleva, MI 49645                                  Mancelona, MI 49659      
 Manistee County                                   Antrim County            

 Glen Arbor                                        Alanson                  
 ----------                                        -------                  
 6545 Western                                      6230 River Street        
 Glen Arbor, Mi 49636                              Alanson, MI 49706        


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                                                                [Download Table]
                                                                              
Leelanau County                                   Emmet County                

Petoskey                                          Manistique                  
--------                                          ----------                  
3890 Charlevoix Avenue                            130 South Cedar Street      
Petoskey, MI 49770                                Manistique, MI 49854        
Emmet County                                      Schoolcraft County          

Menominee                                         Stephenson                  
---------                                         ----------                  
1111 10th Street                                  245 Menominee Street        
Menominee, MI 49858                               Stephenson, MI 49887        
Menominee County                                  Menominee County            

Escanaba                                          Iron Mountain               
--------                                          -------------               
837 North Lincoln Road                            1890 South Stephenson Avenue
Escanaba, MI 49829                                Iron Mountain, MI 49801     
Delta County                                      Dickinson County            

South Range                                       Ripley                      
-----------                                       ------                      
47 Trimountain Avenue                             106 Royce Road              
South Range, MI 49963                             Franklin Township, MI 49930 
Houghton County                                   Houghton County             

Calumet                                           L'anse                      
-------                                           ------                      
1175 Calumet Avenue                               117 US Highway 41           
Calumet, MI 49913                                 L'anse, MI 49946            
Houghton County                                   Baraga County               

Ontonagon                                         Marquette Main              
---------                                         --------------              
601 River Street                                  300 North McClellan Street  
Ontonagon, MI 49953                               Marquette, MI 49855         
Ontonagon County                                  Marquette County            

Marquette Presque Isle                            Newberry Main               
----------------------                            -------------               
1400 Presque Isle                                 414 Newberry Avenue         
Marquette, MI 49855                               Newberry, MI 49868          
Marquette County                                  Luce County                 

Munising                                          Curtis                      
--------                                          ------                      
301 East Superior Street                          415 Main Street             
Munising, MI 49862                                Curtis, MI 49820            
Alger County                                      Mackinac County             

Naubinway                                         St. Ignace                  
---------                                         ----------                  
US Highway 2                                      430 North State Street      
Naubinway, MI 49762                               St. Ignace, MI 49781        
Mackinac County                                   Mackinac County             

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                                                                [Download Table]
                                                                             
 Mackinac Island                                   Sault Main                
 ---------------                                   ----------                
 21 Hoban Street                                   138 Ridge Street          
 Mackinac Island, MI 49781                         Sault Ste. Marie, MI 49783
 Mackinac County                                   Chippewa County           

 Sault Cascade                                                               
 -------------                                                               
 4250 I-75 Business Spur                                                     
 Sault Ste. Marie, MI 49783                                                  
 Chippewa County                                                             

All of the above locations are designed for use and operation as a bank, are    
well maintained, and are suitable for current operations. Of the 29 branch      
locations, 8 are leased and 21 are owned.                                       

North Country Financial Group leases space in a professional office building    
located at 1860 Blake Street, Denver, Colorado 80202.                           

American Financial Mortgage Corporation leases an office building located at    
1011 Noteware Drive, Traverse City, Michigan 49686.                             

 ITEM 3: LEGAL PROCEEDINGS

As the date hereof, there were no material pending legal proceedings, other than
routine litigation incidental to the business of banking to which the Registrant
or any of its subsidiaries is a party of or which any of its properties is the  
subject.                                                                        

 ITEM 4: SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

No matters were submitted during the fourth quarter of fiscal 2000 to a vote of 
the Registrant's stockholders.                                                  

 PART II

 ITEM 5: MARKET FOR REGISTRANT'S COMMON STOCK AND RELATED STOCK HOLDER MATTERS

Market information pertaining to the Registrant's common stock is contained     
under the caption "Market Information" in the Registrant's 2000 Annual Report,  
and is incorporated herein by reference.                                        

The number of common shareholders of the Registrant is contained under the      
caption "Market Summary" on page 2 in the Registrant's 2000 Annual Report, and  
is incorporated herein by reference.                                            

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The holders of the Registrant's common stock are entitled to dividends when, as 
and if declared by the Board of Directors of the Registrant out of funds legally
available for that purpose. Dividends have been paid on a quarterly basis. In   
determining dividends, the Board of Directors considers the earnings, capital   
requirements and financial condition of the Registrant and its subsidiary bank, 
along with other relevant factors. The Registrant's principal source of funds   
for cash dividends is the dividends paid by the subsidiary bank. The ability of 
the Registrant and the subsidiary bank to pay dividends is subject to regulatory
restrictions and requirements.                                                  

The cash dividends declared by quarter for 2000 and 1999 is included in the     
Corporation's 2000 Annual Report under the caption "Comparative Highlights" and 
is incorporated herein by reference.                                            

 ITEM 6: SELECTED FINANCIAL DATA

Selected financial data of the Registrant is contained in the Corporation's 2000
Annual Report and is incorporated herein by reference.                          

 ITEM 7: MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS 

Incorporated by reference to the Management's Discussion and Analysis in the    
Corporation's 2000 Annual Report to Shareholders.                               

 ITEM 7A: QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT
 MARKET RISK

The Corporation's primary market risk exposure is interest rate risk and, to a  
lesser extent, liquidity risk and foreign exchange risk. The Corporation has no 
market risk sensitive instruments held for trading purposes. The Corporation has
limited agricultural-related loan assets and therefore has minimal significant  
exposure to changes in commodity prices. Any impact that changes in foreign     
exchanges rates and commodity prices would have on interest rates are assumed to
be insignificant.                                                               

Interest rate risk is the exposure of the Corporation's financial condition to  
adverse movements in interest rates. The Corporation derives its income         
primarily from the excess of interest collected on its interest-earning assets  
over the interest paid on its interest-bearing obligations. The rates of        
interest the Corporation earns on its assets and owes on its obligations        
generally are established contractually for a period of time. Since market      
interest rates change over time, the Corporation is exposed to lower            
profitability if it cannot adapt to interest rate changes. Accepting interest   
rate risk can be an important source of profitability and shareholder value;    
however, excess levels of interest rate risk could pose a significant threat to 
the Corporation's earnings and capital base. Accordingly, effective risk        
management that maintains interest rate risk at prudent levels is essential to  
the Corporation's safety and soundness.                                         

Evaluating the exposure to changes in interest rates includes assessing both the
adequacy of the process used to control interest rate risk and the quantitative 
level of exposure. The                                                          

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Corporation's interest rate risk management process seeks to ensure that        
appropriate policies, procedures, management information systems and internal   
controls are in place to maintain interest rate risk at prudent levels with     
consistency and continuity. In evaluating the quantitative level of interest    
rate risk, the Corporation assesses the existing and potential future effects of
changes in interest rates on its financial condition, including capital         
adequacy, earnings, liquidity and asset equity.                                 

The table below measures current maturity levels of interest-earning assets and 
interest-bearing obligations, along with average stated rates and estimated fair
values at December 31, 2000 (in thousands):                                     

Principal/Notional Amount Maturing in:

                                                        [Enlarge/Download Table]

                                                                                                 Fair Value 
                             2001      2002     2003     2004     2005     Thereafter   Total     12/31/00  
                             ----      ----     ----     ----     ----     ----------   -----     --------  
                                                                                                            
Rate Sensitive Assets                                                                                       
---------------------                                                                                       
Fixed interest rate                                                                                         
securities                       $283      $55      $56   $1,545     $567     $69,560   $72,066      $72,066
  Average interest rate          5.36     5.50     5.50     6.97     7.71        7.47      7.45             

Fixed interest rate loans      56,990   27,604   28,608   20,719   18,323      49,999   202,244      195,873
  Average interest rate          8.13     8.82     8.87     8.65     8.38        7.88      8.35             

Variable interest rate                                                                                      
loans                          75,359   32,269   40,862   38,549   37,181     115,225   339,445      339,445
  Average interest rate         10.47    10.40    10.42    10.26    10.29       10.14     10.30             

Other assets                    4,180                                                     4,180        4,180
  Average interest rate          8.35                                                      8.35             

Total rate sensitive assets  $136,812  $59,927  $69,526  $60,813  $56,071    $234,784  $617,935     $611,564

Rate Sensitive Obligations                                                                                  
--------------------------                                                                                  
Savings, money market and                                                                                   
interest-bearing demand      $241,787                                                  $241,787     $241,787
  Average interest rate          4.86                                                      4.86             

Time deposits                 155,459  $60,399   $9,150  $13,210     $692        $707   239,617      239,301
  Average interest rate          6.41     6.88     6.32     6.76     6.10        5.66      6.54             

Federal funds purchased         1,800                                                     1,800        1,800
  Average interest rate          7.00                                                      7.00             

Fixed interest rate                                                                                         
borrowings                        686      734      788    1,987      881       4,159     9,235        8,311
  Average interest rate          6.25     6.28     6.30     6.42     6.30        5.00      5.73             

Variable interest rate-                                                                                     
borrowings                                                                     60,000    60,000       62,170

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                                                        [Enlarge/Download Table]

                                                                                            Fair Value 
                           2001      2002    2003     2004    2005    Thereafter    Total     12/31/00 
                           ----      ----    ----     ----    ----    ----------    -----     -------- 
                                                                                                       
  Average interest rate                                                    5.75       5.75             

Subordinated debentures                                                  12,450     12,450       12,450
  Average interest rates                                                   9.26       9.26             

Total rate sensitive                                                                                   
obligations               $399,732  $61,133  $9,938  $15,197  $1,573    $77,316   $564,889     $565,819

There have been no material changes in the Corporation's annual net maturity    
levels of interest-earning assets and interest-bearing obligations as well as   
the net fair value of those assets and liabilities from December 31, 1999 to    
December 31, 2000.                                                              

In addition to changes in interest rates, the level of future net interest      
income is also dependent on a number of variables, including: the growth,       
composition and levels of loans, deposits, and other earning assets and         
interest-bearing obligations, and economic and competitive conditions; potential
changes in lending, investing and deposit strategies; customer preferences; and 
other factors.                                                                  

ITEM 8: FINANCIAL STATEMENTS

Incorporated by reference to the Registrant's Consolidated Financial Statements 
for the years ended December 31, 2000, 1999 and 1998 in the Corporation's 2000  
Annual Report to Shareholders.                                                  

ITEM 9: CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS AND FINANCIAL DISCLOSURE

None.                                                                           

PART III

 ITEM 10: DIRECTORS AND EXECUTIVE OFFICERS OF REGISTRANT

The information set forth under the caption "Election of Directors" of the      
Registrant's definitive Proxy Statement dated March 12, 2001, is hereby         
incorporated by reference.                                                      

The following are the executive officers of the Corporation. The executive      
officers serve at the pleasure of the Board of Directors and are appointed by   
the Board annually. There are no arrangements or understandings between any     
officer and any other person pursuant to which the officer was elected.         

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                                                                [Download Table]

Name                  Age  Position                             
----                  ---  --------                             
                                                                
Ronald G. Ford        53   Chairman and Chief Executive Officer 
Sherry L. Littlejohn  41   President and Chief Operating Officer

 ITEM 11: EXECUTIVE COMPENSATION

Information relating to compensation of the Registrant's executive officers and 
directors is contained under the captions "Remuneration of Directors" and       
"Executive Compensation," in the Registrant's definitive Proxy Statement dated  
March 12, 2001, and is incorporated herein by reference.                        

 ITEM 12: SECURITY OWNERSHIP OF CERTAIN BENEFICIAL
 OWNERS AND MANAGEMENT

Information relating to security ownership of certain beneficial owners and     
management is contained under the caption "Beneficial Ownership of Common Stock"
in the Registrant's definitive Proxy Statement dated March 12, 2001, and is     
incorporated herein by reference.                                               

 ITEM 13: CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

Information relating to certain relationships and related transactions is       
contained under the caption "Indebtedness of and Transactions With Management"  
in the Registrant's definitive Proxy Statement dated March 12, 2001, and is     
incorporated herein by reference.                                               

 PART IV

ITEM 14 - EXHIBITS, FINANCIAL STATEMENTS, SCHEDULES, AND
 REPORTS ON FORM 8-K

(a)    Financial Statements.                                      

1.     The following documents are filed as part of Item 8 of this
report:                                             

Independent Auditor's Report                        
        Consolidated Balance Sheets as of December 31, 2000 and 1999
              Consolidated Statements of Income for the years ended December 31,
2000, 1999, and 1998                            
              Consolidated Statements of Changes in Shareholders' Equity for the
years ended December 31, 2000, 1999, and 1998   
              Consolidated Statements of Cash Flows for the years ended December
31, 2000, 1999, and 1998                        

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Notes to Consolidated Financial Statements          

   2.     Schedules to the consolidated financial statements required by
          Article 9 of Regulation S-X are not required under the related
              instructions or are inapplicable, and therefore have been omitted.

3.     The following exhibits are filed as part of this report:   

Reference is made to the exhibit index which follows the signature page of this 
report.                                                                         

The Registrant will furnish a copy of any exhibits listed on the Exhibit Index  
to any shareholder of the Registrant without charge upon written request of     
Kristine Hoefler, 3530 North Country Drive, Traverse City, Michigan 49684.      

(b)    Reports on Form 8-K                                        

During the fourth quarter of 2000, the Registrant filed a Current Report on Form
8-K dated November 3, 2000 with respect to Item 9 of Form 8-K.                  

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SIGNATURES

       Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized, dated March 28, 2001. 

NORTH COUNTRY FINANCIAL CORPORATION                                             

/s/ Ronald G. Ford                                                              
-----------------------------------------------------                           
Ronald G. Ford                                                                  
Chairman and Chief Executive Officer                                            

      Pursuant to the requirements of the Securities Exchange Act of 1934,
this report has been signed below on March 28, 2001, by the following persons on
behalf of the Registrant and in the capacities indicated. Each director of the  
Registrant, whose signature appears below, hereby appoints Ronald G. Ford,      
Sherry L. Littlejohn and Michael C. Henricksen, and each of them severally, as  
his attorney-in-fact, to sign in his name and on his behalf, as a director of   
the Registrant, and to file with the Commission any and all Amendments to this  
Report on Form 10-K.                                                            

Signature                                                     

                                                        [Enlarge/Download Table]
                                                                                         
/s/ Ronald G. Ford                            /s/ Michael C. Henricksen                  
--------------------------------------------  -------------------------------------------
Ronald G. Ford - Director, Chairman           Michael C. Henricksen - Director           
and Chief Executive Officer                                                              
(Principal Executive Officer)                                                            

/s/ Sherry L. Littlejohn                                                                 
--------------------------------------------  -------------------------------------------
Sherry L. Littlejohn - Director, President,   Wesley W. Hoffman - Director               
Chief Operating Officer and Treasurer                                                    
(Principal Financial and Accounting Officer)                                             

--------------------------------------------  -------------------------------------------
Paul Arsenault - Director                     Thomas G. King - Director                  

                                              /s/ John D. Lindroth                       
--------------------------------------------  -------------------------------------------
Bernard A. Bouschor - Director                John D. Lindroth - Director                

/s/ Stanley J. Gerou                          /s/ John P. Miller                         
--------------------------------------------  -------------------------------------------
Stanley J. Gerou - Director                   John P. Miller - Director                  

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 EXHIBIT INDEX

Number            Exhibit                                                       

3.1               Articles of Incorporation, as amended, incorporated herein by 
                 reference to exhibit 3.1 of the Registrant's Quarterly Report
          on Form 10-Q for the quarter ended September 30, 1999.

3.2               Bylaws, as amended, incorporated herein by reference to       
                 exhibit 3.2 of the Registrant's Quarterly Report on Form 10-Q
for the quarter ended September 30, 1999.   

4.1               Rights Agreement dated as of June 21, 2000 between the        
            Registrant and Registrar and Transfer Company, as Rights
            Agent, which includes as Exhibit A the attachment to the
            Certificate of Amendment, as Exhibit B the Form of Right
          Certificate, and as Exhibit C the Summary of Rights to
                  Purchase Preferred Shares, incorporated herein by reference to
                  exhibit 4 of the Registrant's Current Report on Form 8-K filed
on July 31, 2000.                           

4.2               Certain borrowings and guaranteed preferred beneficial        
             interests in the Registrant's subordinated debentures are
            described in Notes 9 and 13 of the Registrant's Notes to
               Consolidated Financial Statements. The Registrant agrees to
          furnish to the Commission, upon request, copies of any
          instruments defining the rights of holders of any such
securities.                                 

10.1              Stock Option Plan, incorporated by reference to the           
                  Registrant's definitive proxy statement for its annual meeting
of shareholders held April 21, 1994.        

10.2              Deferred Compensation, Deferred Stock, and Current Stock      
                Purchase Plan for Nonemployee Directors, incorporated herein
                  by reference to exhibit 10.2 of the Registrant's Annual Report
             on Form 10-K for the fiscal year ended December 31, 1999.

10.3              North Country Financial Corporation Stock Compensation Plan,  
           incorporated herein by reference to exhibit 10.3 of the
               Registrant's Annual Report on Form 10-K for the fiscal year
ended December 31, 1999.                    

10.4              North Country Financial Corporation 1997 Directors' Stock     
                 Option Plan, incorporated herein by reference to exhibit 10.4
                 of the Registrant's Annual Report on Form 10-K for the fiscal
year ended December 31, 1999.               

10.5              North Country Financial Corporation 2000 Stock Incentive Plan,
           incorporated herein by reference to exhibit 10.1 of the
              Registrant's Quarterly Report on Form 10-Q for the quarter
ended March 31, 2000.                       

10.6              Employment Agreement dated July 3, 2000 between the Registrant
           and Ronald G. Ford, incorporated herein by reference to
                exhibit 10 of the Registrant's Quarterly Report on Form 10-Q
for the quarter ended June 30, 2000.        

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10.7              Consulting Agreement dated September 15, 1999 between the     
         Registrant and Ronald G. Ford, incorporated herein by
                  reference to exhibit 10.1 of the Registrant's Quarterly Report
          on Form 10-Q for the quarter ended September 30, 1999.

10.8              Employment Agreement dated September 30, 2000 between the     
               Registrant and Sherry L. Littlejohn, incorporated herein by
                reference to exhibit 10 of the Registrant's Quarterly Report
          on Form 10-Q for the quarter ended September 30, 2000.

10.9              North Country Financial Corporation Supplemental Executive    
                Retirement Plan, incorporated herein by reference to exhibit
                  10.6 of the Registrant's Quarterly Report on Form 10-Q for the
quarter ended September 30, 1999.           

10.10             Lease Agreement commencing March 1, 2000, by and among C.     
               Ronald Dufina, Mary McCourt Dufina and North Country Bank &
               Trust, incorporated herein by reference to exhibit 10.13 of
              the Registrant's Annual Report on Form 10-K for the fiscal
year ended December 31, 1999.               

13                2000 Annual Report to Shareholders. This exhibit, except for  
              those portions expressly incorporated by reference in this
                  filing, is furnished for the information of the Securities and
                 Exchange Commission and is not deemed "filed" as part of this
filing.                                     

21                Subsidiaries of the Registrant.                               

23                Consent of Independent Public Accountants.                    

23

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Dates Referenced Herein and Documents Incorporated by Reference

		Referenced-On Page
This ‘10-K’ Filing	Date	First	Last	Other Filings

	7/1/01	8
	4/17/01	1		DEF 14A
Filed on:	3/29/01			DEF 14A
	3/28/01	22
	3/12/01	19	20
	3/1/01	1	4
For Period End:	12/31/00	1	20
	11/3/00	21		8-K
	9/30/00	24		10-Q
	7/31/00	23		8-A12G, 8-K
	7/3/00	23
	6/30/00	23		10-Q
	6/21/00	23
	6/16/00	2
	6/1/00	7
	3/31/00	23		10-Q
	3/1/00	8	24
	1/14/00	2
	1/5/00	8
	12/31/99	6	24	10-K
	11/12/99	7
	9/30/99	23	24	10-Q
	9/15/99	24
	7/23/99	2
	6/25/99	2		SC 13G/A
	12/31/98	10	20	10-K
	4/14/98	2		DEF 14A, PRE 14A
	3/10/98	2
	2/4/97	2
	8/12/96	2
	1/31/96	2		8-K
	9/30/95	2		10-Q
	9/15/95	2
	12/8/94	2
	4/21/94	23
	2/8/94	2
				List all Filings

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Filing Submission 0000950124-01-001781 – Alternative Formats (Word / Rich Text, HTML, Plain Text, et al.)

Mackinac Financial Corp/MI – ‘10-K’ for 12/31/00

On: Thursday, 3/29/01, at 3:43pm ET · For: 12/31/00 · Accession #: 950124-1-1781 · File #: 0-20167

Previous ‘10-K’: ‘10-K’ on 3/28/00 for 12/31/99 · Next: ‘10-K’ on 3/29/02 for 12/31/01 · Latest: ‘10-K’ on 3/12/21 for 12/31/20

Annual Report — Form 10-KFiling Table of Contents

10-K — Annual ReportDocument Table of Contents

Dates Referenced Herein and Documents Incorporated by Reference

Annual Report — Form 10-K
Filing Table of Contents

10-K — Annual Report
Document Table of Contents