Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - PIONEER BANKSHARES INC/VA | d8k.htm |
Exhibit 99.1
PIONEER BANKSHARES, INC.
ANNOUNCES 2010 EARNINGS
FOR IMMEDIATE RELEASE:
For Inquiries Contact: Thomas R. Rosazza, President/CEO (540) 778-2294
Stanley, VA, February 28, 2011 — Pioneer Bankshares, Inc., (OTC Bulletin Board: PNBI.OB) parent company of Pioneer Bank, reported net earnings of $1.9 million for the year ending December 31, 2010, as compared to $1.2 million for 2009. This represents an increase of approximately 51%. Total earnings per share as of December 31, 2010 were $1.80 compared to $1.20 for the prior year.
According to Company records, net income for 2010 is the highest in the history of the institution. The increase in earnings of approximately $631,000 during 2010 is primarily the result of management’s proactive approach related to deposit and loan pricing in the current economic environment and assertive actions relating to problem loan identification and oversight.
The Company had asset growth of approximately $8.3 million during 2010, with approximately $6.1 million being attributed to increased loan volume. Investments in securities available for sale decreased by approximately $1.8 million for the period ending December 31, 2010, as compared to total securities available for sale at December 31, 2009. Investments in interest bearing deposits increased by $3.9 million for the period ending December 31, 2010, while investments in Federal Funds Sold increased by approximately $1.1 million for the same period compared to balances as of December 31, 2009. The Company’s deposit portfolio increased by approximately $3.9 million during 2010, as compared to total deposits as of December 31, 2009. The Company’s total capital was $19.4 million as of December 31, 2010 and remains above the established regulatory guidelines to be considered a well capitalized institution. The capital to asset ratio as of December 31, 2010 was 11.53% as compared to 11.20% as of December 31, 2009.
The Company’s book value as of December 31, 2010 was $18.73 per share, as compared to a book value of $17.40 per share as of December 31, 2009. This represents an increase of 7.64%. Shareholder dividend payments for 2010 totaled $0.58 per share compared to $0.57 per share for the prior year. This represents a 1.75% increase for the company’s shareholders.
Management acknowledges that prevailing economic conditions may have the potential to adversely impact the Company’s operational results, including future earnings, liquidity, and capital resources. Management continually monitors economic factors in an effort to promptly identify specific trends that could have a direct material effect on the Company.
Pioneer Bankshares, Inc. is a one-bank holding company headquartered in Page County, Virginia. It owns and operates Pioneer Bank with six banking locations. The Company’s main branch and corporate office is located in Stanley, Virginia, with other branch locations in Shenandoah, Luray, Harrisonburg, Stanardsville, and Charlottesville, Virginia.
Additional financial information for the period ending December 31, 2010 is included below.
PIONEER BANKSHARES, INC.
CONSOLIDATED BALANCE SHEETS
(In Thousands of Dollars)
| December 31, 2010 |
December 31, 2009 |
|||||||
| ASSETS |
||||||||
| Cash and due from banks |
$ | 4,373 | $ | 5,252 | ||||
| Interest bearing deposits in banks |
10,634 | 6,724 | ||||||
| Federal funds sold |
2,550 | 1,500 | ||||||
| Securities available for sale, at fair value |
11,168 | 12,999 | ||||||
| Restricted securities |
947 | 788 | ||||||
| Loans receivable, net of allowance for loan losses of $2,342 and $1,945 respectively |
130,786 | 124,660 | ||||||
| Premises and equipment, net |
3,359 | 3,582 | ||||||
| Accrued interest receivable |
681 | 644 | ||||||
| Other real estate owned |
244 | 352 | ||||||
| Other assets |
3,416 | 3,402 | ||||||
| Total Assets |
$ | 168,158 | $ | 159,903 | ||||
| LIABILITIES |
||||||||
| Deposits |
||||||||
| Noninterest bearing demand |
$ | 25,739 | $ | 27,316 | ||||
| Interest bearing |
||||||||
| Demand |
23,104 | 17,381 | ||||||
| Savings |
15,746 | 15,802 | ||||||
| Time deposits over $100,000 |
27,545 | 21,934 | ||||||
| Other time deposits |
43,825 | 49,581 | ||||||
| Total Deposits |
135,959 | 132,014 | ||||||
| Accrued expenses and other liabilities |
1,804 | 1,473 | ||||||
| Borrowings |
11,000 | 8,500 | ||||||
| Total Liabilities |
148,763 | 141,987 | ||||||
| STOCKHOLDERS’ EQUITY |
||||||||
| Common stock; $.50 par value, authorized 5,000,000, 1,035,274 and 1,029,466 shares outstanding, respectively |
518 | 515 | ||||||
| Retained earnings |
18,649 | 17,300 | ||||||
| Accumulated other comprehensive loss, net |
228 | 101 | ||||||
| Total Stockholders’ Equity |
19,395 | 17,916 | ||||||
| Total Liabilities and Stockholders’ Equity |
$ | 168,158 | $ | 159,903 | ||||
PIONEER BANKSHARES, INC.
CONSOLIDATED STATEMENTS OF INCOME
(In Thousands of Dollars, except share and per share data)
(UNAUDITED)
| December 31, | ||||||||
| 2010 | 2009 | |||||||
| Interest and Dividend Income: |
||||||||
| Loans including fees |
$ | 8,846 | $ | 8,738 | ||||
| Interest on securities - taxable |
187 | 379 | ||||||
| Interest on securities - nontaxable |
138 | 106 | ||||||
| Interest on deposits and federal funds sold |
150 | 187 | ||||||
| Dividends |
56 | 58 | ||||||
| Total Interest and Dividend Income |
9,377 | 9,468 | ||||||
| Interest Expense: |
||||||||
| Deposits |
1,656 | 2,577 | ||||||
| Borrowings |
108 | 223 | ||||||
| Total Interest Expense |
1,764 | 2,800 | ||||||
| Net Interest Income |
7,613 | 6,668 | ||||||
| Provision for loan losses |
806 | 1,260 | ||||||
| Net interest income after provision for loan losses |
6,807 | 5,408 | ||||||
| Noninterest Income: |
||||||||
| Service charges and fees |
872 | 974 | ||||||
| Other income |
322 | 172 | ||||||
| Gain (Loss) on security transactions |
(43 | ) | 95 | |||||
| Total Noninterest Income |
1,151 | 1,241 | ||||||
| Noninterest Expense: |
||||||||
| Salaries and benefits |
2,517 | 2,107 | ||||||
| Occupancy expenses |
368 | 332 | ||||||
| Equipment expenses |
431 | 562 | ||||||
| Other expenses |
1,899 | 1,868 | ||||||
| Total Noninterest Expenses |
5,215 | 4,869 | ||||||
| Income before Income Taxes |
2,743 | 1,780 | ||||||
| Income Tax Expense |
884 | 552 | ||||||
| Net Income |
$ | 1,859 | $ | 1,228 | ||||
| Per Share Data |
||||||||
| Net income, basic and diluted |
$ | 1.80 | $ | 1.20 | ||||
| Dividends |
$ | 0.58 | $ | 0.57 | ||||
| Weighted Average Shares Outstanding, Basic and Diluted |
1,031,160 | 1,022,931 | ||||||