Attached files
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| 8-K - FORM 8-K - F&M BANK CORP | l42597e8vk.htm |
Exhibit 99.1
F & M Bank Corp.—News and Financials
F & M BANK CORP. REPORTS 1ST QUARTER FINANCIAL RESULTS
TIMBERVILLE, VA—May 3, 2011—F & M Bank Corp. (OTCBB: FMBM), parent company of Farmers &
Merchants Bank, announces its financial results for the first quarter ended March 31, 2011 and its
recently declared first quarter dividend.
Net income for the first quarter 2011 totaled $686 thousand, compared to $756 thousand for the
same period in 2010. Other notable results for the quarter include:
| • | net interest income of approximately $4.56 million, compared to $4.40 million for the same period of 2010; | ||
| • | non-interest income of approximately $791 thousand compared to $729 thousand for the same period of 2010; | ||
| • | non-interest expense of approximately $3.27 million, compared to $3.14 million for the same period of 2010; | ||
| • | Loans held for investment increased $11.98 million, to $452.73 million from $440.75 in 2010; | ||
| • | Deposits grew $20.41 million, to $436.71 million from $416.30 million in 2010. |
Our non-performing loans totaled $15.0 million at March 31, 2011 versus $9.0 million at March
31, 2010, an increase of $6.0 million. Non-performing loans have improved during the first quarter
of 2011, decreasing approximately $800 thousand versus the December 31, 2010 total of $15.8
million. The first quarter 2011 increase compared to the first quarter of 2010 is primarily a
result of two large commercial loan relationships totaling approximately $6.7 million. One of these
relationships was brought fully current in late April 2011 and management believes the other will
be brought current or paid off during 2011. We are adequately collateralized on both of these
relationships and no losses are expected.
Our provision for loan losses totaled $1.1 million for the first quarter of 2011, compared to
$900 thousand for the same period in 2010. Our loan loss allowance increased to $6.1 million, or
1.35% of total loans held for investment at March 31, 2011, compared to $4.5 million, or 1.02% of
total loans held for investment at March 31, 2010.
Dean Withers, President and CEO, stated “The economy, while beginning to show signs
of recovery is still struggling in some sectors, considering these struggles and the elevated level
of non-performing loans, we continue to aggressively fund the Allowance for Loan Losses. Given the
major commitment we’ve made to fund the Allowance we are very pleased with our results for the
first quarter of 2011. On April 21, 2011, our Board of Directors declared a first quarter dividend
of $0.15 per share. The dividend will be paid on May 13, 2011, to shareholders of record as of May
3, 2011.”
Highlights of the company’s financial performance are included below.
F & M Bank Corp. is an independent, locally-owned, community bank holding company, offering a
full range of financial services, through its subsidiary bank, Farmers & Merchants Bank’s nine
banking offices in Rockingham, Shenandoah and Page Counties, Virginia. Additional information may
be found by contacting us on the internet at www.farmersandmerchants.biz or by calling: (540)
896-8941.
This press release may contain “forward-looking statements” as defined by federal securities
laws, which may involve significant risks and uncertainties. These statements address issues that
involve risks, uncertainties, estimates and assumptions made by management, and actual results
could differ materially from the results contemplated by these forward-looking statements. Factors
that could have a material adverse effect on our operations and future prospects include, but are
not limited to, changes in: interest rates, general economic conditions, legislative and regulatory
policies, and a variety of other matters. Other risk factors are detailed from time to time in our
Securities and Exchange Commission filings. Readers should consider these risks and uncertainties
in evaluating forward-looking statements and should not place undue reliance on such statements. We
undertake no obligation to update these statements following the date of this press release.
SOURCE: CONTACT: |
F & M Bank Corp. Neil Hayslett, EVP/CFO, Farmers & Merchants Bank 540-896-8941 or neilhayslett@farmersandmerchants.biz |
F & M Bank Corp. Financial Highlights
| Unaudited | ||||||||
| For Three Months | ||||||||
| Ended March 31 | ||||||||
| INCOME STATEMENT | 2011 | 2010 | ||||||
Interest and Dividend Income |
$ | 6,593,490 | $ | 6,806,578 | ||||
Interest Expense |
2,032,067 | 2,404,274 | ||||||
Net Interest Income |
4,561,423 | 4,402,304 | ||||||
Non-Interest Income |
791,105 | 729,278 | ||||||
Non-Interest Expense |
3,271,972 | 3,145,329 | ||||||
Provision for Loan Losses |
1,100,000 | 900,000 | ||||||
Income Before Income Taxes & Securities Transactions |
980,556 | 1,086,253 | ||||||
Securities Gains (Losses) |
29,950 | |||||||
Provision For Income Taxes |
294,798 | 357,213 | ||||||
Minority Interest (Loss) |
(193 | ) | 2,914 | |||||
Net Income |
$ | 685,951 | $ | 756,076 | ||||
Average Shares Outstanding |
2,326,848 | 2,295,643 | ||||||
Net Income Per Common Share |
.29 | .33 | ||||||
Dividends Declared |
.15 | .15 | ||||||
| Unaudited | Unaudited | |||||||
| March 31, | March 31, | |||||||
| BALANCE SHEET | 2011 | 2010 | ||||||
Cash and Due From Banks |
$ | 5,840,141 | $ | 5,027,054 | ||||
Interest Bearing Bank Deposits |
2,672,784 | 5,210,240 | ||||||
Federal Funds Sold |
17,520,000 | 7,467,000 | ||||||
Loans Held for Sale |
23,682,968 | 22,152,954 | ||||||
Loans Held for Investment |
452,731,149 | 440,749,776 | ||||||
Less Allowance for Loan Losses |
(6,094,634 | ) | (4,510,426 | ) | ||||
Net Loans Held for Investment |
446,636,515 | 436,239,350 | ||||||
Securities |
25,807,782 | 26,315,507 | ||||||
Other Assets |
29,135,207 | 28,361,617 | ||||||
Total Assets |
$ | 551,295,397 | $ | 530,773,722 | ||||
Deposits |
$ | 436,706,531 | $ | 416,296,541 | ||||
Short Term Debt |
5,147,615 | 4,519,626 | ||||||
Long Term Debt |
58,202,655 | 62,912,893 | ||||||
Other Liabilities |
6,239,119 | 7,138,302 | ||||||
Total Liabilities |
506,295,920 | 490,867,362 | ||||||
Stockholders’ Equity |
44,999,477 | 39,906,360 | ||||||
Total Liabilities and Stockholders’ Equity |
$ | 551,295,397 | $ | 530,773,722 | ||||
Book Value Per Common Share |
$ | 18.09 | $ | 17.38 | ||||