Form 8-K - Current report

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 17, 2024

SECURITY FEDERAL CORPORATION
(Exact name of registrant as specified in its charter)

South Carolina	000-16120	57-0858504
(State or other jurisdiction	(Commission	(IRS Employer
of incorporation)	File Number)	Identification No.)

238 Richland Avenue NW, Aiken, South Carolina		29801
(Address of principal executive offices)		(Zip Code)

Registrant's telephone number (including area code): (803) 641-3000

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions.

☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 8.01 Other Events

On October 17, 2024, Security Federal Corporation (the “Company”) notified holders that the Company will redeem on November 22, 2024 (the “Redemption Date”) all of the Company’s outstanding 5.25% Fixed-to-Floating Rate Ten-Year Notes due November 22, 2029, having an aggregate principal amount of $16,500,000 (the “Ten-Year Notes”), in accordance with the terms of the Ten-Year Notes.

The total redemption price will be 100% of the aggregate principal amount of the Ten-Year Notes, plus accrued and unpaid interest to, but excluding, the Redemption Date. The Company will utilize excess cash on hand for the redemption payment.

A copy of the notice is attached hereto as Exhibit 99.1 and incorporated herein by reference.

Item 9.01 Financial Statements and Exhibits

(d)

Exhibits

99.1

Notice of Redemption dated October 17, 2024.

104

Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.

	SECURITY FEDERAL CORPORATION


Date: October 17, 2024	By:	/s/ Darrell Rains
		Darrell Rains
		Chief Financial Officer

Exhibit 99.1

NOTICE OF REDEMPTION

TO THE HOLDERS OF SECURITY FEDERAL CORPORATION

5.25% FIXED-TO-FLOATING RATE SUBORDINATED NOTES DUE 2029

(the “10-Year Notes”)

Notice is hereby given that Security Federal Corporation (the “Company”) has elected to redeem all of its outstanding 10-Year Notes as of November 22, 2024 (the “Redemption Date”) pursuant to Section 4 of the 10-Year Notes. Each of the 10-Year Notes will be redeemed at 100% of the principal amount thereof plus accrued and unpaid interest to but excluding the Redemption Date (the “Redemption Price”).

Capitalized terms used but not defined in this Notice have the meanings given to them in the 10-Year Note.

On the Redemption Date, all of the outstanding ($16,500,000 in the aggregate) 10-Year Notes will become due and payable. Payment of the Redemption Price will be made upon presentation and surrender to the Company at the Payment Office.

The method of delivery of the 10-Year Notes is at the option and risk of the holder thereof, but if mail is used, certified or registered mail, properly insured, is recommended for your protection.

On and after the Redemption Date, interest shall cease to accrue on the 10-Year Notes.

SECURITY FEDERAL CORPORATION
as the COMPANY

Dated: October 17, 2024

Document And Entity Information	Oct. 17, 2024
Document Information [Line Items]
Entity, Registrant Name	SECURITY FEDERAL CORPORATION
Document, Type	8-K
Document, Period End Date	Oct. 17, 2024
Entity, Incorporation, State or Country Code	SC
Entity, File Number	000-16120
Entity, Tax Identification Number	57-0858504
Entity, Address, Address Line One	238 Richland Avenue NW
Entity, Address, City or Town	Aiken
Entity, Address, State or Province	SC
Entity, Address, Postal Zip Code	29801
City Area Code	803
Local Phone Number	641-3000
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Entity, Emerging Growth Company	false
Amendment Flag	false
Entity, Central Index Key	0000818677