Attached files
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| 8-K - BANNER CORPORATION FORM 8-K - BANNER CORP | k121809.htm |
Exhibit 99.1
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Contact: D.
Michael Jones,
President and CEO
Lloyd W. Baker, CFO
(509) 527-3636
News
Release
|
BANNER CORPORATION ANNOUNCES
TERMINATION OF COMMON STOCK OFFERING AND EXPECTED
FOURTH QUARTER IMPROVEMENT
IN CERTAIN KEY OPERATING AREAS
Walla
Walla, Washington (December 18, 2009) Banner Corporation (NASDAQ GMS: BANR),
today announced that it has decided to terminate its previously announced common
stock offering in light of current market conditions. The
Company plans to commence a new offering in 2010 after market conditions become
more favorable and after it has released its operating results for the fourth
quarter of 2009.
While its
operating environment has continued to be challenging, the Company currently
believes that its fourth quarter results will represent an improvement over its
third quarter results. Some of the key areas expected to improve
include a higher net interest margin, lower provision for loan losses, lower
loan write-offs, reduced operating expenses, a flattening of the level of
non-performing assets and increased levels of core deposits. This
belief is based on management’s current assessment only and, as a result, the
Company’s actual reported results could differ materially from the anticipated
results reflected in the immediately preceding statement. The Company
cannot predict the level of its net income at this time because net income is
subject to fair value and other year-end adjustments. The
Company expects to report fourth quarter and annual results for 2009 on or about
January 27, 2010.
About
the Company
Banner
Corporation is a $4.8 billion bank holding company operating two commercial
banks in Washington, Oregon and Idaho. Banner serves the Pacific
Northwest region with a full range of deposit services and business, commercial
real estate, construction, residential, agricultural and consumer
loans. Visit Banner Bank on the Web at www.bannerbank.com.
Forward-Looking
Statements
This
press release includes forward-looking statements within the meaning of the
“Safe-Harbor” provisions of the Private Securities Litigation Reform Act of
1995. These statements are necessarily subject to risk and uncertainty and
actual results could differ materially due to various risk factors, including
those set forth from time to time in our filings with the SEC. You
should not place undue reliance on forward-looking statements and we undertake
no obligation to update any such statements. Factors which could
cause actual results to differ materially include, but are not limited to, the
following: the possibility that after the fourth quarter of 2009 is completed
and the Company has finalized its financial statements for the quarter and the
2009 year, the Company’s actual reported operating results will be materially
different than the anticipated results reflected in the statements made in this
press release, the credit risks of lending activities, including changes in the
level and trend of loan delinquencies and write-offs and changes in our
allowance for loan losses and provision for loan losses that may be impacted by
deterioration in the housing and commercial real estate markets; changes in
general economic conditions, either nationally or in our market areas; changes
in the levels of general interest rates, deposit interest rates, our net
interest margin and funding sources; fluctuations in the demand for loans, the
number of unsold homes and other properties and fluctuations in real estate
values in our market areas; secondary market conditions for loans and
our ability to sell loans in the secondary market; results of
examinations of us by the Board of Governors of the Federal Reserve System and
our bank subsidiaries by the Federal Deposit Insurance Corporation, the
Washington State Department of Financial Institutions, Division of Banks or
other regulatory authorities, including the possibility that any such regulatory
authority may, among other things, institute a formal or informal enforcement
action against us or either of our bank subsidiaries, which could require us to
increase our reserve for loan losses, write-down assets, change our regulatory
capital position or affect our ability to borrow funds or maintain or increase
deposits, which could adversely affect our liquidity and earnings; legislative
or regulatory changes that adversely affect our business including changes in
regulatory policies and principles, or the interpretation of regulatory capital
or other rules; our ability to attract and retain deposits; the use
of estimates in determining fair value of certain of our assets, which estimates
may prove to be incorrect and result in significant declines in valuation;
staffing fluctuations in response to product demand or the implementation of
corporate strategies that affect our workforce and potential associated charges;
the failure or security breach of computer systems on which we depend;
fluctuations in agricultural commodity prices, crop yields and weather
conditions; our ability to control operating costs and expenses; our ability to
implement our growth strategy; our ability to successfully integrate any assets,
liabilities, customers, systems, and management personnel we have acquired or
may in the future acquire into our operations and our ability to realize related
revenue synergies and cost savings within expected time frames and any goodwill
charges related thereto; our ability to manage loan delinquency rates; our
ability to retain key members of our senior management team; costs and effects
of
litigation,
including settlements and judgments; increased competitive pressures among
financial services companies; changes in consumer spending, borrowing and
savings habits; legislative or regulatory changes that adversely affect our
business; adverse changes in the securities markets; inability of key
third-party providers to perform their obligations to us; changes in accounting
policies and practices, as may be adopted by the financial institution
regulatory agencies or the Financial Accounting Standards Board; war or
terrorist activities; other economic, competitive, governmental, regulatory, and
technological factors affecting our operations, pricing, products and services;
future legislative and regulatory changes in the TARP Capital
Purchase Program; and other risks detailed in Banner’s reports filed with the
Securities and Exchange Commission, including its Annual Report on Form 10-K for
the fiscal year ended December 31, 2008, quarterly reports on Form 10-Q for the
quarters ended March 31, 2009, June 30, 2009 and September 30, 2009, as amended,
and its Current Report on Form 8-K filed on December 7, 2009.