{{3-31-04 p.C-5972}}
[¶12,142] In the Matter of Cornerstone Bank, Senatobia, Mississippi, Docket No.
03-217b (1-20-04).
A cease and desist order was issued, based on findings by the FDIC that
it had reason to believe that respondent was engaged in unsafe and
unsound banking practices.
[.1] Management—Qualifications Specified
[.2] Capital—Tier 1 Capital Increase/Maintain
[.3] Loan Loss Reserve—Establishment of or Increase in Required
[.4] Profit Plan—Preparation of Plan Required
[.5] Assets—Charge-off or Collection
[.6] Loans—Extensions of Credit—To Borrowers with Existing Adversely
Classified Credits
[.7] Loan Policy—Preparation or Revision of Policy Required
[.8] Loan Review and Grading System—Establishment of Required
[.9] Violations of Law—Corrections of Violations Required
{{3-31-04 p.C-5973}}
[.10] Bank Operations—Internal Routine and Control Procedures—Establish
[.11] Assets—Special Mention—Eliminate Deficiencies
[.12] Funds Management and Liquidity—Preparation or Revision of Funds
Management Policy Required
[.13] Dividends—Dividends Restricted
[.14] Reports of Condition and Income—Procedures for Filing
[.15] Shareholders—Disclosure of Cease and Desist Order Required
[.16] Progress Report—Written Report Required
In the Matter of
CORNERSTONE BANK
SENATOBIA, MISSISSIPPI
(Insured State Nonmember Bank)
ORDER TO CEASE AND DESIST
FDIC-03-217b
Cornerstone Bank, Senatobia, Mississippi ("Bank"), having
been advised of its right to a Notice of Charges and of Hearing
detailing the unsafe or unsound banking practices and violations of law
and/or regulations alleged to have been committed by the Bank and of
its right to a hearing on the alleged charges under section 8(b)(1) of
the Federal Deposit Insurance Act ("Act"), 12 U.S.C.
§1818(b)(1), and having waived those rights, entered into a
STIPULATION AND CONSENT TO THE ISSUANCE OF AN ORDER TO CEASE AND DESIST
("CONSENT AGREEMENT") with counsel for the Federal Deposit
Insurance Corporation ("FDIC"), dated January 20, 2004, whereby
solely for the purpose of this proceeding and without admitting or
denying the alleged charges of unsafe or unsound banking practices and
violations of law and/or regulations, the Bank consented to the
issuance of an ORDER TO CEASE AND DESIST ("ORDER") by the FDIC.
The FDIC considered the matter and determined that it had reason to
believe that the Bank had engaged in unsafe or unsound banking
practices and had committed violations of law and/or regulations. The
FDIC, therefore, accepted the CONSENT AGREEMENT and issued the
following:
ORDER TO CEASE AND DESIST
IT IS HEREBY ORDERED that the Bank, its directors, officers,
employees, agents, and other institution-affiliated parties (as that
term is defined in Section 3(u) of the Act, 12 U.S.C. §1813(u)), and
its successors and assigns cease and desist from the following unsafe
or unsound banking practices and violations:
(a) engaging in hazardous lending and lax collection practices;
(b) operating with inadequate capital in relation to the kind and
quality of assets held by the Bank;
(c) operating with a large volume of poor quality assets;
(d) operating with an inadequate loan valuation reserve;
(e) operating with inadequate provisions for liquidity;
(f) operating with inadequate internal routine and controls policies;
(g) operating in such a manner as to produce operating losses;
(h) operating in violation of section 22(h) of the Federal Reserve Act,
as amended, 12 U.S.C. §375b, and sections 215.4(a), 215.4(b), and
215.5(d) of Regulation O of the Board of Governors of the Federal
Reserve System, 12 C.F.R. §215.4(a), 215.4(b), 215.4(d), and
215.5, made applicable to state nonmember banks by section 18(j)(2), 12
U.S.C. §1828(j)(2) and 12 C.F.R. §337.3 of the FDIC's Rules and
Regulations; in violation of Section 32 of the FDI Act, 12 U.S.C.
§1831i(a), in violation of Part 303 of the FDIC's Rules and
Regulations, Subpart F, Change of Director or Senior Executive Officer,
12 C.F.R. §303.100; in violation of Part 323 of the FDIC's Rules
and Regulations, Appraisals, 12 C.F.R. Part 323; in contravention of
Appendices A and B of Part 364 of the FDIC's Rules and Regulations, 12
C.F.R. Part 364; in contravention of the Interagency Guidelines for
Real Estate Lending Policies, Appendix A of Part 365 of the FDIC's
Rules and Regulations,
{{3-31-04 p.C-5974}}
12 C.F.R. Part 365, Appendix A; in contravention
of the Interagency Policy Statement on the Internal Audit Function and
its Outsourcing, FDIC Financial Institutions Letter 133–97; in
contravention of the Joint Agency Policy Statement on Interest Rate
Risk, 61 Fed. Reg. 345746; in contravention of Interagency Policy
Statement on the Allowance for Loan and Lease Losses, FDIC Financial
Institutions Letter 89–93; and in violation of Mississippi Code
Section 81-5-87;
(i) operating with management whose policies and practices are
detrimental to the Bank and jeopardize the safety of its deposits; and
(j) operating with a board of directors which has failed to provide
adequate supervision over and direction to the active management of the
Bank.
IT IS FURTHER ORDERED that the Bank, its institution-affiliated
parties, and its successors and assigns, take affirmative action as
follows:
[.1]1. (a) During the life of this ORDER, the Bank shall have management
qualified to restore the Bank to a sound condition. Such management
shall include a chief executive officer and an experienced senior
lending officer responsible for supervising the Bank's overall lending
function.
(b) Present management shall be assessed on its ability to:
(i) Comply with the requirements of this ORDER;
(ii) Improve and thereafter maintain the Bank in a safe and sound
condition, including asset quality, capital adequacy, liquidity
adequacy, and earnings adequacy;
(iii) Comply with all applicable State and Federal laws, rules,
regulations and statements of policy; and
(iv) Restore all aspects of the Bank to a safe and sound condition,
including asset quality, capital adequacy, earnings, management
effectiveness, and liquidity.
(c) (i) During the life of this ORDER, the Bank shall notify the
Regional Director of the Dallas Region-Memphis Area Office
("Regional Director") and the Commissioner of the Department of
Banking and Consumer Finance for the State of Mississippi
("Commissioner") in writing of any resignations and/or
terminations of any members of its board of directors and/or any of its
senior executive officer(s) within 15 days of the event.
(ii) The Bank shall comply with section 32 of the Act, 12 U.S.C.
§1831i.
(d) Within 30 days from the effective date of this ORDER, the
board of directors shall establish a committee of the board of
directors with the responsibility to ensure that the Bank complies with
the provisions of this ORDER. At least two-thirds of the members of
such committee shall be independent, outside directors as defined
herein. The committee shall report monthly to the entire board of
directors, and a copy of the report and any discussion relating to the
report or the ORDER shall be included in the minutes of the board of
directors. Nothing contained herein shall diminish the responsibility
of the entire board of directors to ensure compliance with the
provisions of this ORDER.
(e) For the purposes of this ORDER, an "outside director" shall
be an individual who is neither an officer nor full-time employee of
the Bank or its holding company.
(f) Within twelve months of the effective date of this ORDER, each
member of the board of directors shall attend at least eight hours of
training related to the duties and responsibilities of bank directors.
This training shall be conducted by a recognized organization of
bankers or be sponsored and approved by such an organization, and be
acceptable to the Regional Director and the Commissioner.
[.2]2. (a) Within 10 days from the effective date of this ORDER, the Bank
shall have Tier I capital equal to or greater than eight (8.0) percent
of the Bank's Part 325 total assets. Thereafter, during the life of
this ORDER, the Bank shall maintain Tier I capital equal to or greater
than eight (8.0) percent of the Bank's Part 325 total assets.
(b) Any increase in Tier I capital necessary to meet the ratio
required by Paragraph 2(a) of this ORDER may be accomplished by the
following:
(i) The sale of new securities in the form of common stock; or
(ii) The direct contribution of cash by the directors, shareholders, or
parent Bank holding company of the Bank; or
(iii) Any other method acceptable to the FDIC.
(c) If all or part of the increase in Tier I capital required by
Paragraph 2(a) of this ORDER is accomplished by the sale of new
{{3-31-04 p.C-5975}}
securities, the board of directors of the Bank shall adopt and
implement a plan for the sale of such additional securities, including
the voting of any shares owned or proxies held or controlled by them in
favor of the plan. Should the implementation of the plan involve a
public distribution of the Bank's securities (including a distribution
limited only to the Bank's existing shareholders), the Bank shall
prepare offering materials fully describing the securities being
offered, including an accurate description of the financial condition
of the Bank and the circumstances giving rise to the offering, and any
other material disclosures necessary to comply with the Federal
securities laws. Prior to the implementation of the plan and, in any
event, not less than 20 days prior to the dissemination of such
materials, the plan and any materials used in the sale of the
securities shall be submitted to the FDIC, Accounting & Securities
Unit, 550 17th Street, N.W., Room F-6043, Washington, D.C. 20429 for
review. Any changes requested to be made in the plan or materials by
the FDIC shall be made prior to their dissemination. If the Regional
Director allows any part of the increase in Tier I capital to be
provided by the sale of noncumulative perpetual preferred stock, then
all terms and conditions of the issue, including, but not limited to,
those terms and conditions relative to the interest rate and any
convertibility factor, shall be presented to the Regional Director for
prior approval.
(d) In complying with the provisions of Paragraph 2 of this ORDER, the
Bank shall provide to any subscriber and/or purchaser of the Bank's
securities written notice of any planned or existing development or
other changes which are materially different from the information
reflected in any offering materials used in connection with the sale of
Bank securities. The written notice required by this paragraph shall be
furnished within 10 days from the date such material development or
change was planned or occurred, whichever is earlier, and shall be
furnished to every subscriber and/or purchaser of the Bank's
securities who received or was tendered the information contained in
the Bank's original offering materials.
(e) For purposes of this ORDER, the terms "Tier I capital," and
"Part 325 total assets" shall have the meanings ascribed to them
in Part 325 of the FDIC's Rules and Regulations, respectively
subsections 325.2(v), and 325.2(x), 12 C.F.R. §325.2(v) and (x).
The "Capital Calculations" schedule on page 66 of the Report of
Examination of the Bank as of May 12, 2003 provides the method for
determining the ratio of Tier I capital to Part 325 total assets as
required by this ORDER.
(f) The Bank shall not lend funds directly or indirectly, whether
secured or unsecured, to any purchaser of Bank stock or to any investor
by any other means for any portion of any increase in Tier I capital
required herein.
[.3]3. (a) Within 30 days from the effective date of this ORDER, the Bank
shall establish and shall thereafter maintain, through charges to
current operating income, an adequate valuation reserve for loan and
lease losses. In determining the adequacy of the valuation reserve for
loan and lease losses, the board of directors of the Bank shall, at a
minimum, consider the following:
(i) Prevailing instructions contained in the Federal Financial
Institutions Examination Council booklet entitled
"Instructions-Consolidated Reports of Condition and Income";
(ii) The volume and mix of the existing loan portfolio, including the
volume and severity of nonperforming loans and adversely classified
credits, as well as an analysis of net charge-offs experienced on
previously adversely classified loans;
(iii) The extent to which loan renewals and extensions are used to
maintain loans on a current basis and the degree of risk associated
with such loans;
(iv) The trend in loan growth, including any rapid increase in loan
volume within a relatively short time period;
(v) General and local economic conditions affecting the collectibility
of the Bank's loans;
(vi) Previous loan loss experience by loan type, including the trend of
net charge-offs as a percent of average loans over the past several
years;
(vii) Off balance sheet credit risks;
(viii) The overall risk associated with each concentration of credit
together with the degree of rick associated with each related
individual borrower; and
(ix) Any other factors appropriate in determining future valuation
reserves.
{{3-31-04 p.C-5976}}
(b) Prior to the submission of any Report of Condition or Report
of Income, the board of directors of the Bank shall review the adequacy
of the Bank's valuation reserve for loan and lease losses. The minutes
of the board meetings at which each review is undertaken shall indicate
the results of the review, the amount of any increase to the reserve,
and the basis for the amount of the valuation reserve. The criteria for
the review shall be as set forth in Paragraph 3(a).
(c) Notwithstanding the provisions of Paragraph 3(a) and 3(b) above,
the Bank shall achieve, within 30 days of the effective date of this
ORDER, a valuation reserve for loan and lease losses, after charge off
of assets classified "Loss" as required in Paragraph 5(a) below,
of not less than $1,215,000 and shall thereafter maintain, through
charges to current operating income, an adequate valuation reserve for
loan and lease losses.
(d) In the event that the Regional Director and/or the Commissioner
determine, at subsequent examinations and/or visitations, that the
Bank's valuation reserve for loan and lease losses is inadequate, the
Bank shall amend its Consolidated Reports of Condition and Income in
accordance with Paragraph 14.
(e) The requirements of Paragraph 3(c) above are not to be construed as
a standard for future operations.
[.4]4. (a) Within 60 days from the effective date of this ORDER, and within
the first 30 days of each calendar year thereafter, the board of
directors shall develop a written profit plan consisting of goals and
strategies for improving the earnings of the Bank for each calendar
year. The written profit plan shall include, at a minimum:
(i) Identification of the major areas in, and means by, which the
board of directors will seek to improve the Bank's operating
performance;
(ii) Realistic and comprehensive budgets;
(iii) A budget review process to monitor the income and expense of the
Bank to compare actual figures with budgetary projections on not less
than a quarterly basis; and
(iv) A description of the operating assumptions that form the basis
for, and adequately support, major projected income and expense
components.
(b) Such written profit plan and any subsequent modification
thereto shall be submitted to the Regional Director and the
Commissioner for review and comment. No more than 30 days after the
receipt of any comment from the Regional Director or the Commissioner,
the board of directors shall approve the written profit plan which
approval shall be recorded in the minutes of the board of directors.
Thereafter, the Bank, its directors, officers, and employees shall
follow the written profit plan and/or any subsequent modification.
[.5]5. (a) Within 10 days from the effective date of this ORDER, the Bank
shall eliminate from its books, by charge-off or collection, all assets
classified "Loss" as of May 12, 2003, that have not been
previously collected or charged off. Reduction of these assets through
proceeds of other loans made by the Bank is not considered collection
for the purpose of this paragraph.
(b) Within 60 days from the effective date of this ORDER, the Bank
shall formulate and submit to the Regional Director and the
Commissioner for review and approval a written plan of action directed
at reducing the Bank's risk position in each line of credit which was
classified "Substandard" as of May 12, 2003 and which aggregated
$200,000 or more. Such plan shall include, but not be limited to, the
following:
(i) Target dollar levels to which the Bank will reduce each line of
credit or other asset within three months, six months, and twelve
months from the effective date of this ORDER; and
(ii) Provisions for the submissions of monthly written progress reports
under this Paragraph 5 to the Bank's board of directors for review and
recordation in the board minutes.
(c) As used in Paragraph 5(b), the word "reduce" means (1)
to collect, (2) to charge off, or (3) to sufficiently improve the
quality of assets adversely classified to warrant removing any adverse
classification, as determined by the FDIC.
[.6]6. (a) Beginning with the effective date of this ORDER, the Bank shall
not extend, directly or indirectly, any additional credit to, or for
the benefit of, any borrower who has a loan or other extension of
credit with the Bank that has been charged off or classified, in whole
or in part, "Loss" as of May 12, 2003, and is uncollected. The
requirements of this paragraph shall not prohibit the Bank from
renewing (after collection in
{{3-31-04 p.C-5977}}
cash of interest due from the borrower)
any credit already extended to any borrower.
(b) Paragraph 6(a) shall not apply if the Bank's failure to
extend further credit to a particular borrower would be detrimental to
the best interests of the Bank. Prior to this extending of any
additional credit pursuant to this paragraph, either in the form of a
renewal, extension, or further advance of funds, such additional credit
shall be approved by a majority of the Bank's board of directors, or a
designated committee thereof, who shall certify, in writing:
(i) Why the failure of the Bank to extend such credit would be
detrimental to the best interests of the Bank,
(ii) That the Bank's position would be improved thereby, and
(iii) How the Bank's position would be improved.
The signed certification shall be made a part of the minutes of
the Bank's board or designated committee, and a copy of the signed
certification shall be retained in the borrower's credit file.
(c) Beginning with the effective date of this ORDER, the Bank
shall not make any further extensions of credit to any borrower thereof
whose loans in the aggregate exceed $50,000 and are adversely
classified "Substandard" as of May 12, 2003 unless such extension
has been approved by a majority of the Bank's board of directors in
advance and the Bank's board of directors has detailed in the written
minutes of the meeting how it has affirmatively determined all of the
following:
(i) That the extension of credit is in full compliance with the
Bank's loan policy;
(ii) That it is necessary to protect the Bank's interest or that the
extension of credit is adequately secured;
(iii) That based upon credit analysis the customer is deemed to be
creditworthy; and
(iv) That all necessary loan documentation is on file, including
current financial and cash flow information and satisfactory appraisal,
title, and lien documents.
(d) The minutes shall also include the following information about
the extension of credit:
(i) The amount adversely classified as of May 12, 2003;
(ii) The current balance;
(iii) The amount of credit requested;
(iv) A description of the collateral and its value securing the credit;
and
(v) A full description of the documentation presented to the board of
directors, including the date of the borrower's most recent financial
information and the borrower's current income or cash flow data.
(e) Beginning with the effective date of this ORDER, the Bank
shall not renew any loan without the full collection of interest due.
The issuance of separate notes to the borrowing customer or a third
party, the proceeds of which pay interest due, shall not satisfy the
requirements of this paragraph unless these separate notes receive
prior board approval in the same manner as outlined in Paragraph 6(b).
(f) As used in this paragraph, the term "further extension of
credit" shall include renewals, extensions, and a further
advancement of funds.
[.7]7. (a) Within 60 days from the effective date of this ORDER, the Bank
shall review its written loan policy and make whatever changes may be
necessary to provide for the safe and sound administration of all
aspects of the lending function. Proper and adequate loan documentation
or evidence thereof, as is required by sound banking practices before
disbursement of the loan proceeds to borrowers or before renewal or
extensions of existing loans, shall be part of the review. Such policy
shall provide for identification of primary and secondary sources of
repayment, the establishment of and adherence to realistic amortization
programs, and proper and adequate loan documentation or evidence
thereof as is required by sound banking practices before disbursement
of the loan proceeds to borrowers or before renewal or extensions of
existing loans. Evidence of the review and establishment of procedures
to ensure compliance with the loan policy shall be reduced to writing.
The policy and its implementation shall be in a form and manner
acceptable to the Regional Director and the Commissioner as determined
at subsequent examinations and/or visitations.
(b) Beginning with the effective date of this ORDER, the Bank
shall initiate and implement a program to strengthen its credit files
and correct the technical exceptions as
{{3-31-04 p.C-5978}}
detailed on pages 64 and 65 of
the May 12, 2003 Report of Examination. In all future operations, the
Bank shall ascertain that all documents or evidence thereof, properly
completed, are obtained before credit is extended.
[.8]8. (a) Within 60 days of the effective date of this ORDER, the board
shall establish an effective internal loan review and grading system
("System") to periodically review the Bank's loan portfolio and
identify and categorize problem credits. At a minimum, the System shall
provide for:
(i) The identification of the overall quality of the loan
portfolio;
(ii) The identification and amount of each delinquent loan;
(iii) An identification or grouping of loans that warrant the special
attention of management;
(iv) For each loan identified, a statement of the amount and an
identification of the degree of risk that the loan will not be fully
repaid according to its terms and the reason(s) why the particular loan
merits special attention;
(v) An identification of credit and collateral documentation
exceptions;
(vi) The identification and status of each violation of law, rule or
regulation;
(vii) An identification of loans not in conformance with the Bank's
lending policy, and exceptions to the Bank's lending policy;
(viii) An identification of insider loan transactions; and
(ix) A mechanism for reporting periodically, no less than quarterly, to
the board of directors on the status of each loan identified and the
action(s) taken by management.
(b) A copy of the reports submitted to the board, as well as
documentation of the action taken by the Bank to collect or strengthen
assets identified as problem credits, shall be kept with the minutes of
the board of directors.
(c) Within 60 days from the effective date of this ORDER, the Bank's
board of directors shall establish and appoint a loan committee to
review and approve in advance all extensions of credit, and/or renewals
that when aggregated with all other extensions of credit to that
borrower, either directly or indirectly, exceed or would exceed
$200,000. The review should include financial, income, and cash flow
information, collateral values and lien information, repayment terms,
past performance by the borrower, the purpose of the extension, and
whether the extension complies with the Bank's loan policy and
applicable laws, rules and regulations. The loan committee shall meet
at least twice monthly and shall maintain written minutes which detail
the information reviewed by the loan committee, its conclusions,
approvals, denials, recommendations, and reasons for the approval of
any credit which does not fully comply with the review requirements set
forth in this paragraph. At least monthly, the loan committee shall
submit its written minutes to the board of directors. At least
two-thirds of the members of the loan committee shall be independent,
outside directors as defined in Paragraph 1(e) of this ORDER.
[.9]9. Within 60 days from the effective date of this ORDER, the Bank shall
eliminate and/or correct all violations of law and regulations, and all
contraventions of FDIC policy statements and guidelines, which are set
out on pages 29 through 36 of the Report of Examination of the Bank as
of May 12, 2003. In addition, the Bank shall henceforth comply with all
applicable laws and regulations.
[.10]10. Within 60 days from the effective date of this ORDER, the Bank
shall adopt and implement a written policy for the operation of the
Bank in such a manner as to provide internal routine and controls
consistent with safe and sound banking practices. Such policy and its
implementation shall be satisfactory to the Regional Director and the
Commissioner as determined at subsequent examinations and/or
visitations.
[.11]11. Within 90 days of the effective date of this ORDER, the Bank shall
sufficiently reduce or otherwise improve assets subject to Special
Mention as of May 12, 2003 to warrant removal from the Special Mention
category.
[.12]12. Within 90 days from the effective date of this ORDER, the Bank
shall formulate and adopt a written liquidity and funds management
policy. Such policy shall include the establishment of acceptable
ranges of ratios in the following areas: volatile liability dependence,
total loans to total deposits, and temporary investments to volatile
liabilities. In addition, the liquidity policy shall incorporate a
funds management program
{{3-31-04 p.C-5979}}
which designates acceptable levels for:
volatile liabilities, including borrowings; asset mix, including
temporary funds and investments, long-term investment securities and
classes of obligors, and loans to deposits; and rate-sensitive assets
as a percent of rate-sensitive liabilities. The policy and its
implementation shall be in a form and manner acceptable to the Regional
Director and the Commissioner as determined at subsequent examinations
and/or visitations.
[.13]13. While this ORDER is in effect, the Bank shall not declare or pay
any cash dividends on its capital stock without the prior written
approval of the Regional Director and the Commissioner.
[.14]14. During the life of this ORDER, the Bank shall file with the FDIC
Consolidated Reports of Condition and Income which accurately reflect
the financial condition of the Bank as of the reporting period. In
particular, such Reports shall include any adjustment in the Bank's
books made necessary or appropriate as a consequence of any State or
FDIC examination of the Bank during that reporting period.
[.15]15. Following the effective date of this ORDER, the Bank shall send to
its shareholders or otherwise furnish a description of this ORDER, (i)
in conjunction with the Bank's next shareholder's communication, and
also (ii) in conjunction with its notice or proxy statement preceding
the Bank's next shareholder's meeting. The description shall fully
describe the ORDER in all material respects. The description and any
accompanying communication, statement, or notice shall be sent to the
FDIC, Division of Supervision and Consumer Protection, Registration,
Disclosure, & Securities Unit (or its successor unit), 550 17th Street,
N.W., Room F-6043, Washington, D.C. 20429 for review at least 20 days
prior to dissemination to shareholders. Any changes requested to be
made by the FDIC shall be made prior to dissemination of the
description, communication, notice, or statement.
[.16]16. On the twentieth day following the end of the first calendar
quarter following the effective date of this ORDER, and on the
twentieth day following the end of every calendar quarter thereafter,
the Bank shall furnish written progress reports to the Regional
Director and the Commissioner detailing the form and manner of any
actions taken to secure compliance with this ORDER and the results
thereof. Such reports may be discontinued when the corrections required
by this ORDER have been accomplished and the Regional Director and the
Commissioner have released the Bank in writing from making further
reports.
The provisions of this ORDER shall be binding upon the Bank, its
directors, officers, employees, agents, successors, assigns, and other
institution-affiliated parties of the Bank.
This ORDER shall become effective 10 days from the date of its
issuance.
The provisions of this ORDER shall remain effective and enforceable
except to the extent that, and until such time as, any provisions of
this ORDER shall have been modified, terminated, suspended, or set
aside by the FDIC.
Pursuant to delegated authority.
Dated: January 20, 2004.
