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8-K - FORM 8-K - FENTURA FINANCIAL INC | k50036e8vk.htm |
EXHIBIT 99.1
February 2011
To Our Shareholders:
It has been quite some time since we have been able to share positive news with you about the
financial performance of your companyso I am pleased to report that Fentura, and each of the
subsidiary banks, achieved a profit during the fourth quarter of 2010. For the quarter, Fentura
reported a profit of $214,000 or $0.09 per diluted share; a substantial improvement over the
operating losses reported in the first, second and third quarters of the year. Additionally, the
performance for the quarter reflects marked improvement over the fourth quarter of 2009 on an
operating pre-tax basis. On a pre-tax basis, the fourth quarter of 2010 reflects a $2,393,000
improvement in the pre-tax operating income over the same quarter of the prior year. In December
of 2009, a change in federal income tax regulation allowed Fentura to realize the benefit of an
extended tax loss carry back, resulting in a $3,658,000 tax benefit for the quarter.
The quarterly financial performance improvement as compared to each of the prior four quarters is
primarily a result of a substantial reduction in the provision for loan losses. After 14
consecutive quarters of extraordinarily high loan loss provision expense, (due to the impact of the
economy on many of our borrowers), we were able to reduce the provision expense for the fourth
quarter of 2010 and still maintain an adequate reserve for loan losses. Clearly, we are beginning
to achieve improvement in asset quality ratios as our bankers continue to successfully address
problem loan situations through restructuring and upgrading loans, and working with borrowers to
liquidate assets or collateral to reduce problem loans. We are also seeing signs of stabilization
of real estate collateral values. So it is with a sense of guarded optimism that we anticipate
further improvement in our performance as the economy continues to strengthen.
Non-interest income of $1,381,000 reflects a 22% increase over the $1,130,000 reported for the
fourth quarter of last year, as increases in residential mortgage gains and wealth
management income more than offset a decline in deposit related service charge fee income. Our
bankers continue to exercise good stewardship in controlling and reducing overhead and operating
expenses, as total non interest expense of $3,305,000 declined $594,000 from the level reported for
the fourth quarter of 2009.
5
On a year-to-date basis, Fentura reported an operating loss of $5,385,000 or $2.37 per diluted
share which is a substantial improvement over the $16,980,000 or $7.70 per diluted share loss
reported for 2009. The substantial improvement was primarily a result of elevated provision for
loan loss expense in 2009; for both continuing operations and discontinued operations. For the
year, the net interest margin improved 22 basis points from 3.50% in 2009 to 3.72% in 2010.
Aggressive relationship management pricing by our lenders and retail bankers was the primary cause
for the improvement.
At year-end 2010, assets totaled $424,228,000, a $97,851,000 decrease from the prior year.
Approximately half of the decline resulted from the sale of Davison State Bank with the remaining
portion a result of the banks managing to lower loan and deposit levels to maintain appropriate
capital ratios. At year-end, both banks were adequately capitalized as measured against regulatory
standards.
During the second quarter of 2010, we reported that Fentura had entered into an agreement to sell
West Michigan Community Bank to a group of private investors. The sale of the bank was completed
January 31, 2011. The financial results for West Michigan Community Bank are reported at year-end
2010 as discontinued operations, net of tax for income reporting purposes. The sale resulted in an
approximate $750,000 gain on sale, which will be accounted for in the first quarter 2011 results.
As reported previously, the sale benefits both Fentura Financial, Inc. and The State Bank.
Effective with the sale, the pro forma Fentura Tier 1 capital leverage ratio improved 36% to
approximately 6.7%. Additionally, it is expected that during the first quarter of 2011, Fentura
will be able to downstream proceeds connected with the sale to further strengthen the capital
position of The State Bank.
Just prior to year-end 2010, the Boards of Directors of The State Bank appointed Ronald Justice
President and Chief Operating Officer. Most recently, Ron served as President and CEO of West
Michigan Community Bank. He began his career with The State Bank in 1985 and served in various
banking capacities prior to his West Michigan appointment. Ron will serve on the board of The
State Bank and he is expected to again become very active in community and civic activities.
I hope you detected the note of optimism that this shareholder letter is intended to provide. Your
company has gone through a very difficult period starting in the third quarter of 2007. The impact
from the collapse of the housing industry in 2007, the partial meltdown of the financial industry
in 2008, the contraction of
6
the auto industry and the dramatic drop in real estate values all had a
staggering impact on our banks. Our
decision to shrink the company through divestitures and other internal measures now appears to have
been a very effective survival strategy; as the companys financial performance is improving and
the capital position at both Fentura and The State Bank are at their highest levels since the
recession first started.
We deeply appreciate your continued support as we look forward; anticipating further performance
improvement in 2011 and beyond.
Sincerely,
Donald L. Grill
President & CEO
President & CEO
7
Fentura Financial Inc.
Consolidated Statement of Condition
(000s omitted except per share data)
Unaudited
Consolidated Statement of Condition
(000s omitted except per share data)
Unaudited
December 30, | ||||||||
2010 | 2009 | |||||||
ASSETS |
||||||||
Cash and due from banks |
$ | 11,592 | $ | 15,490 | ||||
Federal Funds Sold |
21,900 | 16,150 | ||||||
Total cash and cash equivalents |
33,492 | 31,640 | ||||||
Securities available for sale, at fair value |
41,875 | 33,939 | ||||||
Securities held to maturity (fair value of $4,383
at December 31, 2010 and $5,492 at December 31, 2009) |
4,350 | 5,455 | ||||||
Total securities |
46,225 | 39,394 | ||||||
Loans held for sale |
850 | 229 | ||||||
Commercial loans |
150,179 | 164,163 | ||||||
Construction loans |
9,597 | 21,904 | ||||||
Real estate loans |
19,046 | 23,681 | ||||||
Consumer loans |
29,153 | 32,302 | ||||||
Total loans |
207,975 | 242,050 | ||||||
Less: Allowance for loan losses |
(10,027 | ) | (8,589 | ) | ||||
Net loans |
197,948 | 233,461 | ||||||
Bank premises and equipment |
10,335 | 10,994 | ||||||
Accrued interest receivable |
1,050 | 1,289 | ||||||
Bank-owned life insurance |
5,800 | 5,947 | ||||||
Assets of discontinued operations |
122,968 | 188,006 | ||||||
Other assets |
5,560 | 11,119 | ||||||
Total assets |
$ | 424,228 | $ | 522,079 | ||||
LIABILITIES |
||||||||
Noninterest bearing deposits |
$ | 55,044 | $ | 53,113 | ||||
Interest bearing deposits |
220,933 | 258,438 | ||||||
Total deposits |
275,977 | 311,551 | ||||||
Short-term borrowings |
879 | 164 | ||||||
Other borrowings |
954 | 981 | ||||||
Subordinated debt |
14,000 | 14,000 | ||||||
Liabilities of discontinued operations |
113,321 | 171,758 | ||||||
Accrued taxes, interest and other
liabilities |
3,042 | 3,093 | ||||||
Total liabilities |
408,173 | 501,547 | ||||||
Common stock
2,308,765 issued
(2,248,553 in 2009) |
43,036 | 42,913 | ||||||
Retained deficit |
(27,042 | ) | (21,657 | ) | ||||
Accumulated other comprehensive income (loss) |
61 | (724 | ) | |||||
Total stockholders equity |
16,055 | 20,532 | ||||||
Total liabilities and
stockholders equity |
$ | 424,228 | $ | 522,079 | ||||
Fentura Financial Inc.
Consolidated Statement of Income
(000s omitted except per share data)
Unaudited
Consolidated Statement of Income
(000s omitted except per share data)
Unaudited
Three Months Ended December 31, | ||||||||
2010 | 2009 | |||||||
INTEREST INCOME |
||||||||
Interest and fees on loans |
$ | 3,291 | $ | 3,801 | ||||
Interest and dividends on securities: |
||||||||
Taxable |
213 | 246 | ||||||
Tax-exempt |
45 | 113 | ||||||
Interest on short-term securities |
8 | 2 | ||||||
Total interest income |
3,557 | 4,162 | ||||||
INTEREST EXPENSE |
||||||||
Deposits |
856 | 1,303 | ||||||
Borrowings |
132 | 129 | ||||||
Total interest expense |
988 | 1,432 | ||||||
NET INTEREST INCOME |
2,569 | 2,730 | ||||||
Provision for loan losses |
700 | 2,409 | ||||||
Net interest income after
provision for loan losses |
1,869 | 321 | ||||||
NONINTEREST INCOME |
||||||||
Service charges on deposit accounts |
320 | 472 | ||||||
Trust and investment services income |
260 | 178 | ||||||
Gain on sale of loans |
283 | 141 | ||||||
Other operating income |
518 | 339 | ||||||
Total noninterest income |
1,381 | 1,130 | ||||||
NONINTEREST EXPENSE |
||||||||
Salaries and benefits |
1,600 | 1,480 | ||||||
Occupancy of bank premises |
284 | 306 | ||||||
Equipment expense |
297 | 340 | ||||||
Loss on equity impairment |
| | ||||||
Other operating expenses |
1,124 | 1,773 | ||||||
Total noninterest expense |
3,305 | 3,899 | ||||||
NET INCOME (LOSS) BEFORE TAXES FROM
CONTINUING OPERATIONS |
(55 | ) | (2,448 | ) | ||||
Federal income taxes (benefit) |
106 | (3,658 | ) | |||||
NET INCOME (LOSS) FROM CONTINUING
OPERATIONS |
(161 | ) | 1,210 | |||||
NET INCOME (LOSS) FROM DISCONTINUED
OPERATIONS, NET OF TAX |
375 | (320 | ) | |||||
NET INCOME (LOSS) |
$ | 214 | $ | 890 | ||||
Per share amounts: |
||||||||
INCOME (LOSS) PER SHARE FROM CONTINUING OPERATIONS: |
||||||||
Basic |
$ | (0.07 | ) | $ | 0.54 | |||
Diluted |
$ | (0.07 | ) | $ | 0.54 | |||
NET INCOME (LOSS) PER SHARE: |
||||||||
Basic |
$ | 0.09 | $ | (0.40 | ) | |||
Diluted |
$ | 0.09 | $ | (0.40 | ) |
Fentura Financial Inc.
Consolidated Statement of Income
(000s omitted except per share data)
Unaudited
Consolidated Statement of Income
(000s omitted except per share data)
Unaudited
Twelve Months Ended December 31, | ||||||||
2010 | 2009 | |||||||
INTEREST INCOME |
||||||||
Interest and fees on loans |
$ | 13,874 | $ | 16,239 | ||||
Interest and dividends on securities: |
||||||||
Taxable |
881 | 1,173 | ||||||
Tax-exempt |
295 | 474 | ||||||
Interest on short-term securities |
27 | 3 | ||||||
Total interest income |
15,077 | 17,889 | ||||||
INTEREST EXPENSE |
||||||||
Deposits |
4,032 | 6,230 | ||||||
Borrowings |
520 | 695 | ||||||
Total interest expense |
4,552 | 6,925 | ||||||
NET INTEREST INCOME |
10,525 | 10,964 | ||||||
Provision for loan losses |
6,934 | 11,040 | ||||||
Net interest income (loss) after
provision for loan losses |
3,591 | (76 | ) | |||||
NONINTEREST INCOME |
||||||||
Service charges on deposit accounts |
1,445 | 1,726 | ||||||
Trust and investment services income |
915 | 919 | ||||||
Gain on sale of loans |
701 | 744 | ||||||
Other operating income |
1,709 | 1 | ||||||
Loss on equity investment |
| (1,360 | ) | |||||
Total noninterest income |
4,770 | 2,030 | ||||||
NONINTEREST EXPENSE |
||||||||
Salaries and benefits |
6,387 | 6,650 | ||||||
Occupancy of bank premises |
1,225 | 1,326 | ||||||
Equipment expense |
1,265 | 1,339 | ||||||
Loss on equity impairment |
| 200 | ||||||
Other operating expenses |
4,389 | 4,537 | ||||||
Total noninterest expense |
13,266 | 14,052 | ||||||
NET INCOME (LOSS) BEFORE TAXES |
(4,905 | ) | (12,098 | ) | ||||
Federal income taxes (benefit) |
(22 | ) | 221 | |||||
NET INCOME (LOSS) FROM CONTINUING
OPERATIONS |
(4,883 | ) | (12,319 | ) | ||||
NET INCOME (LOSS) FROM DISCONTINUED
OPERATIONS, NET OF TAX |
(502 | ) | (4,661 | ) | ||||
NET INCOME (LOSS) |
$ | (5,385 | ) | $ | (16,980 | ) | ||
Per share amounts: |
||||||||
INCOME (LOSS) PER SHARE FROM CONTINUING OPERATIONS: |
||||||||
Basic |
$ | (2.15 | ) | $ | (5.59 | ) | ||
Diluted |
$ | (2.15 | ) | $ | (5.59 | ) | ||
NET INCOME (LOSS) PER SHARE: |
||||||||
Basic |
$ | (2.37 | ) | $ | (7.70 | ) | ||
Diluted |
$ | (2.37 | ) | $ | (7.70 | ) |
Financial Highlights
$ in thousands except per share data
Unaudited
$ in thousands except per share data
Unaudited
December 30, | ||||||||||||
2010 | 2009 | %Change | ||||||||||
Net Income |
$ | (5,385 | ) | $ | (16,980) | % | (68.29 | )% | ||||
Return on average total equity |
(28.52 | ) | (61.18) | % | (53.38 | )% | ||||||
Return on average assets |
(1.15 | ) | (3.02) | % | (61.92 | )% | ||||||
Net interest margin |
3.72 | 3.50 | % | 6.29 | % | |||||||
Efficiency ratio |
86.73 | 108.14 | 19.80 | % | ||||||||
Per Common Share: |
||||||||||||
Net Income(Loss) basic |
($2.37 | ) | ($7.70 | ) | (69.22 | )% | ||||||
Net Income(Loss) diluted |
($2.37 | ) | ($7.70 | ) | (69.22 | )% | ||||||
Book value |
$ | 6.95 | $ | 9.13 | (23.88 | )% | ||||||
Market price (last trade) |
$ | 1.75 | $ | 1.36 | 28.68 | % |
Forward Looking Statements
This discussion contains forward
looking statements that are
based on managements beliefs,
assumptions, current
expectations, estimates and
projections about the
financial services industry, the
economy, and about the
Corporation itself. Words such
as anticipates,
believes, estimates,
expects, forecasts, intends,
is likely, plans,
projects, variations of such words
and similar expressions are
intended to identify such
forward looking statements.
These statements are not
guarantees of future performance
and involve certain risks,
uncertainties and assumptions
(Future Factors), which
are difficult to predict with regard
to timing, extent,
likelihood and degree of occurrence.
Therefore, actual results
and outcomes may materially differ
from what may be expressed
or forecast in such forward looking
statements. The Corporation
undertakes no obligation to
update, amend or clarify forward
looking statements as a result of new
information, future events, or
otherwise.
Future factors that could cause a
difference between an
ultimate actual outcome and a
preceding forward looking
statement include, but are
not limited to, changes in interest
rate and interest rate relationships,
demands for products and
service, the degree of competition by
traditional and non-traditional
competitors, changes in
banking laws or regulations,
changes in tax laws, changes in
prices, the impact of technological
advances, government and regulatory
policy changes, the outcome of
pending and future litigation and
contingencies, trends in customer
behavior as well as their ability to
repay loans, and the local and
national economy.
Fentura Financial Inc.
Consolidated Balance Sheets
(Dollars in thousands)
UNAUDITED
Consolidated Balance Sheets
(Dollars in thousands)
UNAUDITED
Dec 31 | Sep 30 | Jun 30 | Mar 31 | Dec 31 | ||||||||||||||||
2010 | 2010 | 2010 | 2010 | 2009 | ||||||||||||||||
ASSETS |
||||||||||||||||||||
Cash and cash equivalents |
||||||||||||||||||||
Cash and due from banks |
$ | 11,592 | $ | 12,804 | $ | 13,119 | $ | 13,385 | $ | 15,490 | ||||||||||
Short term investments |
21,900 | 30,950 | 21,900 | 15,150 | 16,150 | |||||||||||||||
Total cash & cash equivalents |
33,492 | 43,754 | 35,019 | 28,535 | 31,640 | |||||||||||||||
Securities: |
||||||||||||||||||||
Securities available for sale |
41,875 | 38,141 | 27,925 | 31,981 | 33,939 | |||||||||||||||
Securities held to maturity |
4,350 | 4,481 | 4,702 | 5,453 | 5,455 | |||||||||||||||
Total securities |
46,225 | 42,622 | 32,627 | 37,434 | 39,394 | |||||||||||||||
Loans held for sale |
850 | 1,877 | 1,386 | 1,046 | 229 | |||||||||||||||
Loans: |
||||||||||||||||||||
Commercial |
150,179 | 155,875 | 163,069 | 167,177 | 164,163 | |||||||||||||||
Real estate construction |
9,597 | 10,807 | 12,391 | 14,363 | 21,904 | |||||||||||||||
Real estate mortgage |
19,046 | 20,136 | 21,079 | 21,958 | 23,681 | |||||||||||||||
Consumer |
29,153 | 30,341 | 30,424 | 31,110 | 32,302 | |||||||||||||||
Total loans |
207,975 | 217,159 | 226,963 | 234,608 | 242,050 | |||||||||||||||
Less: Allowance for loan losses |
(10,027 | ) | (11,456 | ) | (10,610 | ) | (9,686 | ) | (8,589 | ) | ||||||||||
Net loans |
197,948 | 205,703 | 216,353 | 224,922 | 233,461 | |||||||||||||||
Bank owned life insurance |
5,800 | 5,764 | 6,024 | 5,985 | 5,947 | |||||||||||||||
Bank premises and equipment |
10,335 | 10,490 | 10,651 | 10,818 | 10,994 | |||||||||||||||
Federal Home Loan Bank stock |
740 | 806 | 806 | 806 | 806 | |||||||||||||||
Accrued interest receivable |
1,050 | 1,036 | 1,154 | 1,386 | 1,289 | |||||||||||||||
Acquisition intangibles |
| | | | | |||||||||||||||
Other Real Estate Owned |
2,742 | 3,920 | 3,851 | 4,452 | 3,761 | |||||||||||||||
Assets of discontinued operations |
122,968 | 130,996 | 139,053 | 184,543 | 188,006 | |||||||||||||||
Other assets |
2,078 | 2,411 | 8,365 | 9,067 | 6,552 | |||||||||||||||
TOTAL ASSETS |
$ | 424,228 | $ | 449,379 | $ | 455,289 | $ | 508,994 | $ | 522,079 | ||||||||||
LIABILITIES & SHAREHOLDERS EQUITY |
||||||||||||||||||||
LIABILITIES |
||||||||||||||||||||
Deposits: |
||||||||||||||||||||
Non-interest bearing deposits |
55,044 | 54,555 | 56,097 | 53,529 | 53,113 | |||||||||||||||
Interest bearing deposits |
220,933 | 239,172 | 232,523 | 245,360 | 258,438 | |||||||||||||||
Total deposits |
275,977 | 293,727 | 288,620 | 298,889 | 311,551 | |||||||||||||||
Short-term borrowings |
879 | 116 | 10 | 67 | 164 | |||||||||||||||
Federal Home Loan Bank Advances |
954 | 954 | 954 | 981 | 981 | |||||||||||||||
Subordinated debentures |
14,000 | 14,000 | 14,000 | 14,000 | 14,000 | |||||||||||||||
Liabilities of discontinued operations |
113,321 | 121,659 | 129,579 | 171,910 | 171,758 | |||||||||||||||
Accrued interest, taxes & other liabilities |
3,042 | 2,851 | 4,231 | 2,904 | 3,093 | |||||||||||||||
Total liabilities |
408,173 | 433,307 | 437,394 | 488,751 | 501,547 | |||||||||||||||
STOCKHOLDERS EQUITY |
||||||||||||||||||||
Common stock no par value
5,000,000 shares authorized |
43,036 | 43,002 | 42,974 | 42,945 | 42,913 | |||||||||||||||
Retained earnings |
(27,042 | ) | (27,257 | ) | (24,920 | ) | (22,140 | ) | (21,657 | ) | ||||||||||
Accumulated other comprehensive income (loss) |
61 | 327 | (159 | ) | (562 | ) | (724 | ) | ||||||||||||
Total stockholders equity |
16,055 | 16,072 | 17,895 | 20,243 | 20,532 | |||||||||||||||
TOTAL LIABILITIES & STOCKHOLDERS EQUITY |
$ | 424,228 | $ | 449,379 | $ | 455,289 | $ | 508,994 | $ | 522,079 | ||||||||||
Common stock shares issued & outstanding |
2,272,065 | 2,289,912 | 2,276,441 | 2,267,135 | 2,205,419 | |||||||||||||||
Asset Quality Ratios: |
||||||||||||||||||||
Non-Performing Loans as a % of Total Loans |
6.61 | % | 6.35 | % | 6.46 | % | 6.06 | % | 5.45 | % | ||||||||||
Allowance for Loan Losses as a % of Non-Performing Loans |
72.62 | % | 82.32 | % | 71.93 | % | 67.73 | % | 65.01 | % | ||||||||||
Accruing Loans Past Due 90 Days More to Total Loans |
0.06 | % | 0.00 | % | 0.73 | % | 0.17 | % | 0.13 | % | ||||||||||
Non-Performing Assets as a % of Total Assets |
4.10 | % | 4.10 | % | 4.41 | % | 4.07 | % | 3.77 | % | ||||||||||
Quarterly Average Balances: |
||||||||||||||||||||
Total Loans |
203,277 | 224,170 | 232,237 | 240,828 | 254,810 | |||||||||||||||
Total Earning Assets |
270,867 | 290,127 | 255,044 | 294,175 | 311,418 | |||||||||||||||
Total Shareholders Equity |
16,713 | 18,260 | 19,870 | 20,750 | 20,281 | |||||||||||||||
Total Assets |
432,033 | 457,986 | 477,761 | 513,830 | 530,250 | |||||||||||||||
Diluted Shares Outstanding |
2,291,629 | 2,277,406 | 2,276,441 | 2,249,917 | 2,226,745 |
Fentura Financial Inc.
Consolidated Income Statements
(Dollars in thousands, except per share data)
UNAUDITED
Consolidated Income Statements
(Dollars in thousands, except per share data)
UNAUDITED
Three Months ended | Twelve months ended | |||||||||||||||||||||||||||
Dec 31 | Sep 30 | Jun 30 | Mar 31 | Dec 31 | Dec 31 | Dec 31 | ||||||||||||||||||||||
(prior periods restated with out DSB and WMCB) | 2010 | 2010 | 2010 | 2010 | 2009 | 2010 | 2009 | |||||||||||||||||||||
Interest income: |
||||||||||||||||||||||||||||
Interest & fees on loans |
$ | 3,291 | $ | 3,453 | $ | 3,538 | $ | 3,592 | $ | 3,801 | $ | 13,874 | $ | 16,239 | ||||||||||||||
Interest & dividends on securities: |
||||||||||||||||||||||||||||
Taxable |
213 | 224 | 219 | 225 | 246 | 881 | 1,173 | |||||||||||||||||||||
Tax-exempt |
45 | 46 | 92 | 112 | 113 | 295 | 474 | |||||||||||||||||||||
Interest on federal funds sold |
8 | 9 | 7 | 3 | 2 | 27 | 3 | |||||||||||||||||||||
Total interest income |
3,557 | 3,732 | 3,856 | 3,932 | 4,162 | 15,077 | 17,889 | |||||||||||||||||||||
Interest expense: |
||||||||||||||||||||||||||||
Deposits |
856 | 985 | 1,057 | 1,134 | 1,303 | 4,032 | 6,230 | |||||||||||||||||||||
Borrowings |
132 | 135 | 127 | 126 | 129 | 520 | 695 | |||||||||||||||||||||
Total interest expense |
988 | 1,120 | 1,184 | 1,260 | 1,432 | 4,552 | 6,925 | |||||||||||||||||||||
Net interest income |
2,569 | 2,612 | 2,672 | 2,672 | 2,730 | 10,525 | 10,964 | |||||||||||||||||||||
Provision for loan losses |
700 | 2,650 | 2,449 | 1,135 | 2,409 | 6,934 | 11,040 | |||||||||||||||||||||
Net interest income after provision for loan losses |
1,869 | (38 | ) | 223 | 1,537 | 321 | 3,591 | (76 | ) | |||||||||||||||||||
Non-interest income: |
||||||||||||||||||||||||||||
Service charges on deposit accounts |
320 | 341 | 359 | 425 | 472 | 1,445 | 1,726 | |||||||||||||||||||||
Gain on sale of mortgage loans |
283 | 214 | 123 | 81 | 140 | 701 | 744 | |||||||||||||||||||||
Trust & investment services income |
260 | 192 | 194 | 269 | 178 | 915 | 919 | |||||||||||||||||||||
Gain (Loss) on sale of securities |
(23 | ) | | 71 | | | 48 | | ||||||||||||||||||||
Other than temporary impairment loss |
| (307 | ) | | | (79 | ) | (307 | ) | (288 | ) | |||||||||||||||||
Income (Loss) on Equity Investment |
| | | | | | (1,360 | ) | ||||||||||||||||||||
Other income and fees |
541 | 498 | 589 | 340 | 419 | 1,968 | 289 | |||||||||||||||||||||
Total non-interest income |
1,381 | 938 | 1,336 | 1,115 | 1,130 | 4,770 | 2,030 | |||||||||||||||||||||
Non-interest expense: |
||||||||||||||||||||||||||||
Salaries & employee benefits |
1,600 | 1,573 | 1,595 | 1,619 | 1,480 | 6,387 | 6,650 | |||||||||||||||||||||
Occupancy |
284 | 309 | 311 | 321 | 306 | 1,225 | 1,326 | |||||||||||||||||||||
Furniture and equipment |
297 | 340 | 322 | 306 | 340 | 1,265 | 1,339 | |||||||||||||||||||||
Loan and collection |
338 | 296 | 272 | 373 | 981 | 1,279 | 2,559 | |||||||||||||||||||||
Advertising and promotional |
12 | 22 | 41 | 26 | 16 | 101 | 121 | |||||||||||||||||||||
Loss on Equity Impairment |
| | | | 9 | | 200 | |||||||||||||||||||||
Other operating expenses |
774 | 765 | 837 | 633 | 767 | 3,009 | 1,857 | |||||||||||||||||||||
Total non-interest expense |
3,305 | 3,305 | 3,378 | 3,278 | 3,899 | 13,266 | 14,052 | |||||||||||||||||||||
Income (loss) from continuing operations before
income tax |
(55 | ) | (2,405 | ) | (1,819 | ) | (626 | ) | (2,448 | ) | (4,905 | ) | (12,098 | ) | ||||||||||||||
Federal income taxes (benefit) |
106 | (235 | ) | 421 | (314 | ) | (3,658 | ) | (22 | ) | 221 | |||||||||||||||||
Net income (loss) from continuing operations |
(161 | ) | (2,170 | ) | (2,240 | ) | (312 | ) | 1,210 | (4,883 | ) | (12,319 | ) | |||||||||||||||
Net Income (loss) from discontinued operations,
net of tax |
375 | (165 | ) | (541 | ) | (171 | ) | (320 | ) | (502 | ) | (4,661 | ) | |||||||||||||||
Net Income (loss) |
$ | 214 | $ | (2,335 | ) | $ | (2,781 | ) | $ | (483 | ) | $ | 890 | $ | (5,385 | ) | $ | (16,980 | ) | |||||||||
Net Income (Loss) per share from continuing
operations: |
||||||||||||||||||||||||||||
Basic and diluted earnings |
$ | (0.07 | ) | $ | (0.95 | ) | $ | (0.99 | ) | $ | (0.14 | ) | $ | 0.54 | $ | (2.15 | ) | $ | (5.59 | ) | ||||||||
Net Income (Loss) per share from discontinued
operations: |
||||||||||||||||||||||||||||
Basic and diluted earnings |
$ | 0.16 | $ | (0.07 | ) | $ | (0.23 | ) | $ | (0.08 | ) | $ | (0.14 | ) | $ | (0.22 | ) | (2.11 | ) | |||||||||
Net Income (Loss) per share: |
||||||||||||||||||||||||||||
Basic and diluted earnings |
$ | 0.09 | $ | (1.02 | ) | $ | (1.22 | ) | $ | (0.22 | ) | $ | 0.40 | $ | (2.37 | ) | $ | (7.70 | ) | |||||||||
Performance Ratios: |
||||||||||||||||||||||||||||
Return on Average Assets |
0.05 | % | -0.51 | % | -0.58 | % | -0.09 | % | 0.17 | % | -1.15 | % | -3.02 | % | ||||||||||||||
Return on Average Equity |
1.28 | % | -12.79 | % | -14.00 | % | -2.33 | % | 4.39 | % | -28.52 | % | -61.18 | % | ||||||||||||||
Net Interest Margin (FTE) |
3.66 | % | 3.62 | % | 3.76 | % | 3.78 | % | 3.57 | % | 3.72 | % | 3.50 | % | ||||||||||||||
Book Value Per Share |
$ | 6.95 | $ | 7.02 | $ | 7.86 | $ | 8.93 | $ | 9.13 | $ | 6.95 | $ | 9.13 | ||||||||||||||
Net Charge-offs |
2,095 | 2,095 | 1,908 | 178 | 7,278 | 5,496 | 9,779 | |||||||||||||||||||||
Ratio of Net charge-offs to Gross Loans |
1.01 | % | 0.96 | % | 0.84 | % | 0.08 | % | 3.01 | % | 2.53 | % | 4.04 | % | ||||||||||||||
Average QTD/YTD Shares Outstanding |
2,291,628.50 | 2,277,406.14 | 2,268,791.19 | 2,249,916.95 | 2,226,715.47 | 2,272,064.96 | 2,205,419.46 |