Mutualbanks convert to stock form for myriad reasons, one of the most important beingto increase safety and soundness through elevated capital ratios. A handful of mutualsalready boast bulging capital ratios, not only removing an incentive to go publicbut making a full conversion a longshot.

As ofMarch 31, of the 335 mutual banks with greater than $100 million in total assets,31 had a tangible common equity-to-tangible assets ratio above 20%.

This analysis excludes publicmutual holding companies, subsidiaries of insurance companies and companies thatare not the largest banking entity within a mutual corporate structure that containsmultiple entities.

Withinthat mutual universe, Middletown, N.Y.-based First Federal Savings of Middletown has the highest tangiblecapital ratio, at 36%. The company stands out in other financial metrics as well.It is the only one in that group with more than half of its asset base comprisedof cash and cash equivalents. Its loans-to-deposits ratio of 16% ranks second-lowestamong the mutuals, and its five-year total asset change of -17% is ninth-lowest.

Yakima,Wash.-based Yakima Federal Savingsand Loan Association is the largest company on the overcapitalized list,with $1.79 billion in assets. In June, the FDIC disclosed that Yakima Federal'sCRA rating was "needsto improve." Over the past five years, total loans and leases at Yakima Federalhave declined 9% while assets have gone up 5%.

Asit has battled credit-quality issues, Wilmington, Ohio-based Wilmington Savings Bank has decreased its assets by 40% sincethe first quarter of 2011. It was among the most capitalized banks, with a tangiblecapital ratio of more than 23%. The company's nonperforming assets-to-total assetsratio was 11.47% at March 31, which was the highest ratio among the $100 million-plusmutuals, but down substantially from its five-year quarterly peak of 23.70% at March31, 2013.