EXHIBIT 99.1
Sussex Bancorp Issues Correction to Second Quarter Results for 2014
FRANKLIN, N.J., Aug. 8, 2014 (GLOBE NEWSWIRE) -- Sussex Bancorp (the "Company") (Nasdaq:SBBX), the holding company for Sussex Bank (the "Bank") today issued a correction to its previously released second quarter earnings announcement, which corrects errors contained in its net interest income disclosure. For completeness, the Company has included all previously announced financial performance and financial condition disclosure and related tables with this press release.
Financial Performance
Net Income. For the quarter ended June 30, 2014, the Company reported net income of $607 thousand, or $0.13 per basic and diluted share, as compared to net income of $134 thousand, or $0.04 per basic and diluted share, for the same period last year. The increase in net income for the quarter ended June 30, 2014 was largely due to a decrease in credit quality costs of $683 thousand or 48.3%, and increases in net interest income of $367 thousand and gain on securities transactions of $65 thousand.
For the six months ended June 30, 2014, the Company reported net income of $1.3 million, or $0.28 per basic and diluted share, as compared to net income of $232 thousand, or $0.07 per basic and diluted share, for the same period last year. The increase in net income for the six months ended June 30, 2014 was largely due to a decrease in credit quality costs of $1.7 million or 55.6%, and an increase in net interest income of $830 thousand, which were partially offset by a decrease in gain on securities transactions of $305 thousand.
Net Interest Income. Net interest income on a fully tax equivalent basis increased $369 thousand, or 8.8%, to $4.6 million for the second quarter of 2014 as compared to $4.2 million for same period in 2013. The increase in net interest income was largely due to a $34.4 million, or 7.0%, increase in average interest earning assets, principally loans receivable, which increased $56.5 million, or 15.5%, and was partially offset by a decrease in the average balance on the securities portfolio of $27.3 million, or 22.1%. The aforementioned increase also benefited from a 6 basis point increase in the net interest margin to 3.50% for the second quarter of 2014 as compared to the same period last year. The increase in the net interest margin was mostly due to an increase in the average rate paid on interest earning assets, which increased 5 basis points to 4.13% for the second quarter of 2014 from 4.08% for the same period in 2013.
Net interest income on a fully tax equivalent basis increased $830 thousand, or 10.1%, to $9.0 million for the first six months of 2014 as compared to $8.2 million for same period in 2013. The increase in net interest income was largely due to a $27.4 million, or 5.6%, increase in average interest earning assets, principally loans receivable, which increased $54.9 million, or 15.4%, and was partially offset by a decrease in the average balance on the securities portfolio of $28.8 million, or 22.6%. The aforementioned increase also benefited from a 14 basis point increase in the net interest margin to 3.51% for the first six months of 2014 as compared to the same period last year. The increase in the net interest margin was mostly due to an increase in the average rate paid on interest earning assets, which increased 11 basis points to 4.15% for the first six months of 2014 from 4.04% for the same period in 2013.
Provision for Loan Losses. Provision for loan losses decreased $300 thousand, or 42.9%, to $400 thousand for the second quarter of 2014, as compared to $700 thousand for the same period in 2013.
Provision for loan losses decreased $989 thousand, or 53.7%, to $853 thousand for the first six months of 2014, as compared to $1.8 million for the same period in 2013.
Non-interest Income. The Company reported an increase in non-interest income of $95 thousand, or 7.0%, to $1.5 million for the second quarter of 2014 as compared to the same period last year. The increase in non-interest income was largely due to an increase in gains on securities transactions of $65 thousand and increases in insurance commissions and fees of $49 thousand, or 7.6%, which were partially offset by a decrease in investment brokerage fees of $17 thousand, or 31.5%.
The Company reported a decrease in non-interest income of $199 thousand, or 6.1%, to $3.0 million for the first six months of 2014 as compared to the same period last year. The decrease in non-interest income was largely due to a decrease in gains on securities transactions of $305 thousand, which was partially offset by increases in insurance commissions and fees of $180 thousand, or 12.1%.
Non-interest Expense. The Company's non-interest expenses increased $48 thousand, or 1.0%, to $4.7 million for the second quarter of 2014 as compared to the same period last year. The increase for the second quarter of 2014 as compared to the same period in 2013 was largely due to increases in salaries and employee benefits expense of $120 thousand, director fees of $118 thousand and data processing fees of $94 thousand, which were partially offset by a decrease in expenses and write-downs related to foreclosed real estate of $436 thousand. The increase in director fees was principally related to a deferred compensation plan that is tied to the performance of the Company's stock. The increase in data processing fees was principally due to de-conversion charges related to a planned technology upgrade scheduled for the third quarter of 2014.
The Company's non-interest expenses decreased $62 thousand, or 0.7%, to $9.2 million for the first six months of 2014 as compared to the same period last year. The decrease for the first six months of 2014 as compared to the same period in 2013 was largely due to a decrease in expenses and write-downs related to foreclosed real estate of $747 thousand, which was partly offset by increases in salaries and employee benefits expense of $303 thousand, data processing fees of $145 thousand and occupancy of $109 thousand. The increase in data processing fees was principally due to de-conversion charges related to a planned technology upgrade scheduled for the third quarter of 2014.
Financial Condition
At June 30, 2014, the Company's total assets were $557.2 million, an increase of $23.3 million, or 4.4%, as compared to total assets of $533.9 million at December 31, 2013. The increase in total assets was largely driven by net growth in total loans of $35.9 million, or 9.2%, which was partially offset by declines in the securities portfolio of $9.4 million, or 9.7% and cash and cash equivalents of $2.1 million, or 16.1%.
The Company saw strong loan growth as total loans receivable, net of unearned income, increased $35.9 million, or 9.2%, to $428.3 million at June 30, 2014, as compared to $392.4 million at December 31, 2013. The increase in loans was primarily in the commercial real estate portfolio, which increased $32.0 million, or 12.3%, to $292.6 million at June 30, 2014, as compared to $260.7 million at December 31, 2013 and in the commercial and industrial portfolio, which increased $3.9 million, or 25.4%, to $19.1 million at June 30, 2014, as compared to $15.2 million at December 31, 2013.
The Company's total deposits increased $14.0 million, or 3.3%, to $444.3 million at June 30, 2014, from $430.3 million at December 31, 2013. The increase in deposits was due to an increase in non-interest bearing deposits of $9.5 million, or 16.4%, and interest bearing deposits of $4.5 million, or 1.2%, for June 30, 2014, as compared to December 31, 2013.
At June 30, 2014, the Company's total stockholders' equity was $49.7 million, an increase of $3.3 million when compared to December 31, 2013. The increase was largely due to net income for the six months ended June 30, 2014 and an improvement in accumulated other comprehensive income relating to a reduction in the net unrealized losses on available for sale securities. At June 30, 2014, the leverage, Tier I risk-based capital and total risk-based capital ratios for the Bank were 10.31%, 13.60% and 14.85%, respectively, all in excess of the ratios required to be deemed "well-capitalized."
Asset and Credit Quality
The Company continued to improve its asset credit quality as total problem assets and non-performing assets ("NPAs") continued to decline. Overall problem assets (foreclosed real estate, criticized assets and classified assets) are down 13.4% from December 31, 2013, and the ratio of NPAs to total assets improved to 2.63% at June 30, 2014 from 3.10% at December 31, 2013. Non-accrual loans to total loans fell to 2.38% at June 30, 2014, which is the lowest level this ratio has been since 2007.
NPAs, which include non-accrual loans, loans 90 days past due and still accruing, troubled debt restructured loans currently performing in accordance with renegotiated terms and foreclosed real estate, decreased $1.9 million, or 11.5%, to $14.7 million at June 30, 2014, as compared to $16.6 million at December 31, 2013. Non-accrual loans decreased $1.7 million, or 14.2%, to $10.2 million at June 30, 2014, as compared to $11.9 million at December 31, 2013. The top five non-accrual loan relationships total $6.4 million, or 61.1%, of total non-accrual loans and 43.9% of total NPAs at June 30, 2014. The remaining non-accrual loans have an average loan balance of $111 thousand. Loans past due 30 to 89 days decreased $698 thousand, or 19.0%, to $3.0 million at June 30, 2014, as compared to $3.7 million at December 31, 2013.
The Company continues to actively market its foreclosed real estate properties, which decreased $72 thousand to $2.9 million at June 30, 2014, as compared to $2.9 million at December 31, 2013. The decrease was primarily due to the sale of foreclosed real estate properties for $683 thousand and write downs of $110 thousand, which were partially offset by additions of $715 thousand in new foreclosed real estate properties during 2014. At June 30, 2014, the Company's foreclosed real estate properties had an average value of approximately $317 thousand per property.
The allowance for loan losses increased $433 thousand, or 8.0%, to $5.9 million, or 1.37% of total loans, at June 30, 2014, compared to $5.4 million, or 1.38% of total loans, at December 31, 2013. The Company recorded $853 thousand in provision for loan losses, which was partly offset by $420 thousand in net charge-offs for 2014. The allowance for loan losses as a percentage of non-accrual loans increased to 57.4% at June 30, 2014 from 45.6% at December 31, 2013.
About Sussex Bancorp
Sussex Bancorp is the holding company for Sussex Bank, which operates through its regional offices and corporate centers in Wantage and Rockaway, New Jersey and through its nine branch offices located in Andover, Augusta, Franklin, Newton, Montague, Sparta, Vernon and Wantage, New Jersey, Port Jervis, New York; a loan production office in Rochelle Park, New Jersey and for the Tri-State Insurance Agency, Inc., a full service insurance agency with locations in Augusta and Rochelle Park, New Jersey. For additional information, please visit the Company's website at www.sussexbank.com.
Forward-Looking Statements
This press release contains statements that are forward looking and are made pursuant to the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995 (the "Reform Act"). Such statements may be identified by the use of words such as "expect," "estimate," "assume," "believe," "anticipate," "will," "forecast," "plan," "project," or similar words. Such statements are based on the Company's current expectations and are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. Factors that may cause actual results to differ materially from those contemplated by such forward-looking statements include, among others, changes to interest rates, the ability to control costs and expenses, general economic conditions, the success of the Company's efforts to diversify its revenue base by developing additional sources of non-interest income while continuing to manage its existing fee based business, risks associated with the quality of the Company's assets and the ability of its borrowers to comply with repayment terms. Further information about these and other relevant risks and uncertainties may be found in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2013, and in subsequent filings with the Securities and Exchange Commission. The Company undertakes no obligation to publicly release the results of any revisions to those forward looking statements that may be made to reflect events or circumstances after this date or to reflect the occurrence of unanticipated events.
| SUSSEX BANCORP | ||||||||||
| SUMMARY FINANCIAL HIGHLIGHTS | ||||||||||
| (In Thousands, Except Percentages and Per Share Data) | ||||||||||
| (Unaudited) | ||||||||||
| 6/30/2014 VS. | ||||||||||
| 6/30/2014 | 12/31/2013 | 6/30/2013 | 6/30/2013 | 12/31/2013 | ||||||
| BALANCE SHEET HIGHLIGHTS - Period End Balances | ||||||||||
| Total securities | $ 87,338 | $ 96,750 | $ 110,436 | (20.9)% | (9.7)% | |||||
| Total loans | 428,339 | 392,402 | 376,183 | 13.9% | 9.2% | |||||
| Allowance for loan losses | (5,854) | (5,421) | (5,647) | 3.7% | 8.0% | |||||
| Total assets | 557,173 | 533,911 | 526,757 | 5.8% | 4.4% | |||||
| Total deposits | 444,346 | 430,297 | 429,282 | 3.5% | 3.3% | |||||
| Total borrowings and junior subordinated debt | 58,887 | 53,887 | 56,387 | 4.4% | 9.3% | |||||
| Total shareholders' equity | 49,681 | 46,425 | 38,225 | 30.0% | 7.0% | |||||
| FINANCIAL DATA - QUARTER ENDED: | ||||||||||
| Net interest income (tax equivalent) (a) | $ 4,574 | $ 4,430 | $ 4,205 | 8.8% | 3.3% | |||||
| Provision for loan losses | 400 | 403 | 700 | (42.9)% | (0.7)% | |||||
| Total other income | 1,458 | 1,411 | 1,363 | 7.0% | 3.3% | |||||
| Total other expenses | 4,737 | 4,527 | 4,689 | 1.0% | 4.6% | |||||
| Income before provision for income taxes (tax equivalent) | 895 | 911 | 179 | 400.0% | (1.8)% | |||||
| Provision for income taxes | 159 | 162 | (82) | (293.9)% | (1.9)% | |||||
| Taxable equivalent adjustment (a) | 129 | 129 | 127 | 1.6% | -- % | |||||
| Net income | $ 607 | $ 620 | $ 134 | 353.0% | (2.1)% | |||||
| Net income per common share - Basic | $ 0.13 | $ 0.14 | $ 0.04 | 225.0% | (7.1)% | |||||
| Net income per common share - Diluted | $ 0.13 | $ 0.14 | $ 0.04 | 225.0% | (7.1)% | |||||
| Return on average assets | 0.44% | 0.46% | 0.10% | 326.3% | (5.3)% | |||||
| Return on average equity | 4.95% | 5.33% | 1.35% | 267.9% | (7.1)% | |||||
| Net interest margin (tax equivalent) | 3.50% | 3.46% | 3.44% | 1.7% | 1.2% | |||||
| FINANCIAL DATA - YEAR TO DATE: | ||||||||||
| Net interest income (tax equivalent) (a) | $ 9,009 | $ 8,179 | 10.1% | |||||||
| Provision for loan losses | 853 | 1,842 | (53.7)% | |||||||
| Total other income | 3,049 | 3,248 | (6.1)% | |||||||
| Total other expenses | 9,205 | 9,267 | (0.7)% | |||||||
| Income before provision for income taxes (tax equivalent) | 2,000 | 318 | 528.9% | |||||||
| Provision for income taxes | 457 | (172) | (365.7)% | |||||||
| Taxable equivalent adjustment (a) | 258 | 258 | -- % | |||||||
| Net income | $ 1,285 | $ 232 | 453.9% | |||||||
| Net income per common share - Basic | $ 0.28 | $ 0.07 | 300.0% | |||||||
| Net income per common share - Diluted | $ 0.28 | $ 0.07 | 300.0% | |||||||
| Return on average assets | 0.47% | 0.09% | 429.6% | |||||||
| Return on average equity | 5.34% | 1.16% | 361.6% | |||||||
| Net interest margin (tax equivalent) | 3.51% | 3.37% | 4.2% | |||||||
| SHARE INFORMATION: | ||||||||||
| Book value per common share | $ 10.65 | $ 10.03 | $ 11.14 | (4.4)% | 6.2% | |||||
| Outstanding shares- period ending | 4,664,856 | 4,629,113 | 3,430,813 | 36.0% | 0.8% | |||||
| Average diluted shares outstanding (year to date) | 4,569,105 | 3,816,904 | 3,319,538 | 37.6% | 19.7% | |||||
| CAPITAL RATIOS: | ||||||||||
| Total equity to total assets | 8.92% | 8.70% | 7.26% | 22.9% | 2.5% | |||||
| Leverage ratio (b) | 10.31% | 10.38% | 9.12% | 13.0% | (0.7)% | |||||
| Tier 1 risk-based capital ratio (b) | 13.60% | 14.21% | 12.13% | 12.1% | (4.3)% | |||||
| Total risk-based capital ratio (b) | 14.85% | 15.47% | 13.38% | 11.0% | (4.0)% | |||||
| ASSET QUALITY: | ||||||||||
| Non-accrual loans | $ 10,200 | $ 11,892 | $ 14,394 | (29.1)% | (14.2)% | |||||
| Loans 90 days past due and still accruing | -- | 123 | -- | -- % | (100.0)% | |||||
| Troubled debt restructured loans ("TDRs") (c) | 1,611 | 1,628 | 614 | 162.4% | (1.0)% | |||||
| Foreclosed real estate | 2,854 | 2,926 | 3,392 | (15.9)% | (2.5)% | |||||
| Non-performing assets ("NPAs") | $ 14,665 | $ 16,569 | $ 18,400 | (20.3)% | (11.5)% | |||||
| Foreclosed real estate, criticized and classified assets | $ 23,523 | $ 27,148 | $ 26,133 | (10.0)% | (13.4)% | |||||
| Loans past due 30 to 89 days | $ 2,979 | $ 3,677 | $ 1,711 | 74.1% | (19.0)% | |||||
| Charge-offs, net (quarterly) | $ (17) | $ 637 | $ 358 | (104.7)% | (102.7)% | |||||
| Charge-offs, net as a % of average loans (annualized) | (0.02)% | 0.65% | 0.39% | (104.1)% | (102.5)% | |||||
| Non-accrual loans to total loans | 2.38% | 3.03% | 3.83% | (37.8)% | (21.4)% | |||||
| NPAs to total assets | 2.63% | 3.10% | 3.49% | (24.6)% | (15.2)% | |||||
| NPAs excluding TDR loans (c) to total assets | 2.34% | 2.80% | 3.38% | (30.6)% | (16.3)% | |||||
| Non-accrual loans to total assets | 1.83% | 2.23% | 2.73% | (33.0)% | (17.8)% | |||||
| Allowance for loan losses as a % of non-accrual loans | 57.39% | 45.59% | 39.23% | 46.3% | 25.9% | |||||
| Allowance for loan losses to total loans | 1.37% | 1.38% | 1.50% | (9.0)% | (1.1)% | |||||
| (a) Full taxable equivalent basis, using a 39% effective tax rate and adjusted for TEFRA (Tax and Equity Fiscal Responsibility Act) interest expense disallowance | ||||||||||
| (b) Sussex Bank capital ratios | ||||||||||
| (c) Troubled debt restructured loans currently performing in accordance with renegotiated terms | ||||||||||
| SUSSEX BANCORP | ||
| CONSOLIDATED BALANCE SHEETS | ||
| (Dollars In Thousands) | ||
| ASSETS | June 30, 2014 | December 31, 2013 |
| (Unaudited) | ||
| Cash and due from banks | $ 7,985 | $ 5,521 |
| Interest-bearing deposits with other banks | 3,126 | 7,725 |
| Cash and cash equivalents | 11,111 | 13,246 |
| Interest bearing time deposits with other banks | 100 | 100 |
| Securities available for sale, at fair value | 81,283 | 90,676 |
| Securities held to maturity | 6,055 | 6,074 |
| Federal Home Loan Bank Stock, at cost | 2,960 | 2,705 |
| Loans receivable, net of unearned income | 428,339 | 392,402 |
| Less: allowance for loan losses | 5,854 | 5,421 |
| Net loans receivable | 422,485 | 386,981 |
| Foreclosed real estate | 2,854 | 2,926 |
| Premises and equipment, net | 7,698 | 6,892 |
| Accrued interest receivable | 1,698 | 1,642 |
| Goodwill | 2,820 | 2,820 |
| Bank-owned life insurance | 12,054 | 11,889 |
| Other assets | 6,055 | 7,960 |
| Total Assets | $ 557,173 | $ 533,911 |
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||
| Liabilities: | ||
| Deposits: | ||
| Non-interest bearing | $ 67,743 | $ 58,210 |
| Interest bearing | 376,603 | 372,087 |
| Total Deposits | 444,346 | 430,297 |
| Borrowings | 46,000 | 41,000 |
| Accrued interest payable and other liabilities | 4,259 | 3,302 |
| Junior subordinated debentures | 12,887 | 12,887 |
| Total Liabilities | 507,492 | 487,486 |
| Total Stockholders' Equity | 49,681 | 46,425 |
| Total Liabilities and Stockholders' Equity | $ 557,173 | $ 533,911 |
| SUSSEX BANCORP | ||||
| CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | ||||
| (Dollars In Thousands Except Per Share Data) | ||||
| (Unaudited) | ||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||
| 2014 | 2013 | 2014 | 2013 | |
| INTEREST INCOME | ||||
| Loans receivable, including fees | $ 4,800 | $ 4,485 | $ 9,423 | $ 8,761 |
| Securities: | ||||
| Taxable | 214 | 126 | 431 | 280 |
| Tax-exempt | 255 | 246 | 509 | 508 |
| Interest bearing deposits | 4 | 2 | 7 | 7 |
| Total Interest Income | 5,273 | 4,859 | 10,370 | 9,556 |
| INTEREST EXPENSE | ||||
| Deposits | 415 | 453 | 805 | 991 |
| Borrowings | 361 | 273 | 709 | 535 |
| Junior subordinated debentures | 52 | 55 | 105 | 109 |
| Total Interest Expense | 828 | 781 | 1,619 | 1,635 |
| Net Interest Income | 4,445 | 4,078 | 8,751 | 7,921 |
| PROVISION FOR LOAN LOSSES | 400 | 700 | 853 | 1,842 |
| Net Interest Income after Provision for Loan Losses | 4,045 | 3,378 | 7,898 | 6,079 |
| OTHER INCOME | ||||
| Service fees on deposit accounts | 265 | 271 | 529 | 557 |
| ATM and debit card fees | 185 | 178 | 352 | 338 |
| Bank owned life insurance | 83 | 90 | 166 | 182 |
| Insurance commissions and fees | 696 | 647 | 1,669 | 1,489 |
| Investment brokerage fees | 37 | 54 | 68 | 99 |
| Gain on securities transactions | 94 | 29 | 94 | 399 |
| Other | 98 | 94 | 171 | 184 |
| Total Other Income | 1,458 | 1,363 | 3,049 | 3,248 |
| OTHER EXPENSES | ||||
| Salaries and employee benefits | 2,441 | 2,321 | 4,859 | 4,556 |
| Occupancy, net | 397 | 347 | 850 | 741 |
| Furniture and equipment | 112 | 145 | 276 | 297 |
| Advertising and promotion | 78 | 95 | 122 | 135 |
| Professional fees | 211 | 198 | 364 | 383 |
| Director fees | 105 | (13) | 242 | 193 |
| FDIC assessment | 175 | 178 | 351 | 347 |
| Insurance | 72 | 63 | 148 | 139 |
| Stationary and supplies | 52 | 51 | 107 | 100 |
| Loan collection costs | 169 | 116 | 246 | 214 |
| Data processing | 432 | 338 | 812 | 667 |
| Expenses and write-downs related to foreclosed real estate | 161 | 597 | 261 | 1,008 |
| Amortization of intangible assets | -- | -- | -- | 1 |
| Other | 332 | 253 | 567 | 486 |
| Total Other Expenses | 4,737 | 4,689 | 9,205 | 9,267 |
| Income before Income Taxes | 766 | 52 | 1,742 | 60 |
| INCOME TAX EXPENSE (BENEFIT) | 159 | (82) | 457 | (172) |
| Net Income | $ 607 | $ 134 | $ 1,285 | $ 232 |
| OTHER COMPREHENSIVE INCOME (LOSS): | ||||
| Unrealized gains (losses) on available for sale securities arising during the period | $ 1,636 | $ (3,113) | $ 3,353 | $ (3,757) |
| Reclassification adjustment for net gain on securities transactions included in net income | (94) | (29) | (94) | (399) |
| Income tax (expense) benefit related to items of other comprehensive income (loss) | (617) | 1,258 | (1,304) | 1,663 |
| Other comprehensive income (loss), net of income taxes | 925 | (1,884) | 1,955 | (2,493) |
| Comprehensive income (loss) | $ 1,532 | $ (1,750) | $ 3,240 | $ (2,261) |
| EARNINGS PER SHARE | ||||
| Basic | $ 0.13 | $ 0.04 | $ 0.28 | $ 0.07 |
| Diluted | $ 0.13 | $ 0.04 | $ 0.28 | $ 0.07 |
| SUSSEX BANCORP | ||||||
| COMPARATIVE AVERAGE BALANCES AND AVERAGE INTEREST RATES | ||||||
| (Dollars In Thousands) | ||||||
| (Unaudited) | ||||||
| Three Months Ended June 30, | ||||||
| 2014 | 2013 | |||||
| Average | Average | Average | Average | |||
| Balance | Interest | Rate (2) | Balance | Interest | Rate (2) | |
| Earning Assets: | ||||||
| Securities: | ||||||
| Tax exempt (3) | $ 33,764 | $ 384 | 4.56% | $ 29,579 | $ 373 | 5.06% |
| Taxable | 62,775 | 214 | 1.37% | 94,286 | 126 | 0.54% |
| Total securities | 96,539 | 598 | 2.48% | 123,865 | 499 | 1.62% |
| Total loans receivable (1) (4) | 420,506 | 4,800 | 4.58% | 363,996 | 4,485 | 4.94% |
| Other interest-earning assets | 7,368 | 4 | 0.22% | 2,122 | 2 | 0.38% |
| Total earning assets | 524,413 | 5,402 | 4.13% | 489,983 | 4,986 | 4.08% |
| Non-interest earning assets | 37,675 | 39,409 | ||||
| Allowance for loan losses | (5,653) | (5,777) | ||||
| Total Assets | $ 556,435 | $ 523,615 | ||||
| Sources of Funds: | ||||||
| Interest bearing deposits: | ||||||
| NOW | $ 115,065 | $ 43 | 0.15% | $ 108,523 | $ 35 | 0.13% |
| Money market | 11,146 | 4 | 0.14% | 13,950 | 6 | 0.17% |
| Savings | 144,942 | 74 | 0.20% | 155,156 | 83 | 0.21% |
| Time | 108,133 | 294 | 1.09% | 98,482 | 329 | 1.34% |
| Total interest bearing deposits | 379,286 | 415 | 0.44% | 376,111 | 453 | 0.48% |
| Borrowed funds | 49,244 | 361 | 2.94% | 34,549 | 273 | 3.17% |
| Junior subordinated debentures | 12,887 | 52 | 1.62% | 12,887 | 55 | 1.71% |
| Total interest bearing liabilities | 441,417 | 828 | 0.75% | 423,547 | 781 | 0.74% |
| Non-interest bearing liabilities: | ||||||
| Demand deposits | 63,239 | 58,411 | ||||
| Other liabilities | 2,713 | 1,806 | ||||
| Total non-interest bearing liabilities | 65,952 | 60,217 | ||||
| Stockholders' equity | 49,066 | 39,851 | ||||
| Total Liabilities and Stockholders' Equity | $ 556,435 | $ 523,615 | ||||
| Net Interest Income and Margin (5) | 4,574 | 3.50% | 4,205 | 3.44% | ||
| Tax-equivalent basis adjustment | (129) | (127) | ||||
| Net Interest Income | $ 4,445 | $ 4,078 | ||||
| (1) Includes loan fee income | ||||||
| (2) Average rates on securities are calculated on amortized costs | ||||||
| (3) Full taxable equivalent basis, using a 39% effective tax rate and adjusted for TEFRA (Tax and Equity Fiscal Responsibility Act) interest expense disallowance | ||||||
| (4) Loans outstanding include non-accrual loans | ||||||
| (5) Represents the difference between interest earned and interest paid, divided by average total interest-earning assets | ||||||
| SUSSEX BANCORP | ||||||
| COMPARATIVE AVERAGE BALANCES AND AVERAGE INTEREST RATES | ||||||
| (Dollars In Thousands) | ||||||
| (Unaudited) | ||||||
| Six Months Ended June 30, | ||||||
| 2014 | 2013 | |||||
| Average | Average | Average | Average | |||
| Balance | Interest | Rate (2) | Balance | Interest | Rate (2) | |
| Earning Assets: | ||||||
| Securities: | ||||||
| Tax exempt (3) | $ 33,747 | $ 767 | 4.58% | $ 30,881 | $ 766 | 5.00% |
| Taxable | 65,119 | 431 | 1.33% | 96,824 | 280 | 0.58% |
| Total securities | 98,866 | 1,198 | 2.44% | 127,705 | 1,046 | 1.65% |
| Total loans receivable (1) (4) | 411,681 | 9,423 | 4.62% | 356,778 | 8,761 | 4.95% |
| Other interest-earning assets | 6,399 | 7 | 0.22% | 5,033 | 7 | 0.28% |
| Total earning assets | 516,946 | 10,628 | 4.15% | 489,516 | 9,814 | 4.04% |
| Non-interest earning assets | 36,647 | 39,932 | ||||
| Allowance for loan losses | (5,651) | (5,541) | ||||
| Total Assets | $ 547,942 | $ 523,907 | ||||
| Sources of Funds: | ||||||
| Interest bearing deposits: | ||||||
| NOW | $ 115,361 | $ 82 | 0.14% | $ 110,410 | $ 71 | 0.13% |
| Money market | 11,855 | 8 | 0.14% | 14,424 | 15 | 0.21% |
| Savings | 145,509 | 149 | 0.21% | 156,524 | 194 | 0.25% |
| Time | 103,557 | 566 | 1.10% | 100,967 | 711 | 1.42% |
| Total interest bearing deposits | 376,282 | 805 | 0.43% | 382,325 | 991 | 0.52% |
| Borrowed funds | 47,741 | 709 | 2.99% | 30,597 | 535 | 3.53% |
| Junior subordinated debentures | 12,887 | 105 | 1.64% | 12,887 | 109 | 1.71% |
| Total interest bearing liabilities | 436,910 | 1,619 | 0.75% | 425,809 | 1,635 | 0.77% |
| Non-interest bearing liabilities: | ||||||
| Demand deposits | 60,405 | 54,158 | ||||
| Other liabilities | 2,458 | 3,796 | ||||
| Total non-interest bearing liabilities | 62,863 | 57,954 | ||||
| Stockholders' equity | 48,169 | 40,144 | ||||
| Total Liabilities and Stockholders' Equity | $ 547,942 | $ 523,907 | ||||
| Net Interest Income and Margin (5) | 9,009 | 3.51% | 8,179 | 3.37% | ||
| Tax-equivalent basis adjustment | (258) | (258) | ||||
| Net Interest Income | $ 8,751 | $ 7,921 | ||||
| (1) Includes loan fee income | ||||||
| (2) Average rates on securities are calculated on amortized costs | ||||||
| (3) Full taxable equivalent basis, using a 39% effective tax rate and adjusted for TEFRA (Tax and Equity Fiscal Responsibility Act) interest expense disallowance | ||||||
| (4) Loans outstanding include non-accrual loans | ||||||
| (5) Represents the difference between interest earned and interest paid, divided by average total interest-earning assets | ||||||
CONTACT: Anthony Labozzetta, President/CEO
Steven Fusco, SEVP/CFO
844-256-7328