New Commerce Bancorp (NCBS) 8-K New Commerce Bancorp Reports Third Quarter Results

Exhibit 99.1

FOR IMMEDIATE RELEASE                                                         CONTACT:     Frank W. Wingate
November 3, 2003                                                                                                         President and
                                                                                                                                        Chief Executive Officer
                                                                                                                                        (864) 297-6333

NEW COMMERCE BANCORP REPORTS THIRD QUARTER RESULTS

GREENVILLE, SC – New Commerce BanCorp (OTC Bulletin Board: NCBS.OB), parent company of New Commerce Bank, reported third quarter 2003 net income of $28,248, or $0.03 per share, compared to net income of $21,342, or $0.02 per share, for the same period in 2002.

For the nine-month period ended September 30, 2003, net income was $46,882, or $0.05 per share, compared to net income of $32,273, or $0.03 per share, for the nine-month period ended September 30, 2002.

Assets totaled $75.6 million at September 30, 2003 and represented a $15.9 million increase from September 30, 2002. The loan portfolio increased $17.8 million to $53.2 million from September 30, 2002 and represented 70% of total assets. Non-performing loans as of the end of the quarter totaled $171,400, or 0.32% of gross loans. Total deposits were $62.6 million at September 30, 2003, a $17.0 million increase from the third quarter of 2002.

New Commerce Bank has two offices serving individual and business clients in the Golden Strip area of Greenville County. The main office is located on East Butler Road at I-385 and the Five Forks office is located on Woodruff Road at Batesville Road in Simpsonville.

Certain statements in this news release contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to future growth and expectations, and are thus prospective. Such forward-looking statements are subject to risks, uncertainties, and other factors, such as a downturn in the economy, greater than expected non interest expenses or excessive loan losses which could cause actual results to differ materially from future results expressed or implied by such forward-looking statements.

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NEW COMMERCE BANCORP AND SUBSIDIARY
CONSOLIDATED FINANCIAL HIGHLIGHTS
(Dollars in thousands, except per share data)
(Unaudited)

STATEMENT OF OPERATIONS DATA:

	Three Months Ended
	September 30,				Percent
	2003		2002		Change
Net interest income	$	584	$	505		16	%
Provision for loan losses		61		38		61	%
Noninterest income		150		153		(2	%)
Noninterest expense		629		582		8	%
Income before income tax expense		44		38
Income tax expense		16		16
Net income		28		22
Basic and diluted earnings per share	$	0.03	$	0.02
Weighted average shares outstanding:
Basic		1,000,000		1,000,000
Diluted		1,018,587		1,019,013

	Nine Months Ended
	September 30,				Percent
	2003		2002		Change
Net interest income	$	1,627	$	1,453		12	%
Provision for loan losses		174		68		156	%
Noninterest income		457		271		69	%
Noninterest expense		1,836		1,602		15	%
Income before income tax expense		74		54
Income tax expense		28		21
Net income		46		32
Basic and diluted earnings per share	$	0.05	$	0.03
Weighted average shares outstanding:
Basic		1,000,000		1,000,000
Diluted		1,018,133		1,013,228

BALANCE SHEET DATA:

	September 30,				Percent
	2003		2002		Change
Total assets	$	75,604	$	59,725		27	%
Total earning assets		68,838		53,951		28	%
Gross loans		53,152		35,347		50	%
Allowance for loan losses		664		450		48	%
Investment securities		12,311		15,634		(21	%)
Total deposits		62,580		45,569		37	%
Total interest-bearing deposits		50,974		37,883		35	%
Other borrowings		3,750		5,000		(25	%)
Total liabilities		66,961		50,818		32	%
Shareholders' equity		8,643		8,908		(3	%)
Book value per share	$	8.64	$	8.91		(3	%)

SELECTED RATIOS:

	September 30,
	2003			2002
Net interest margin		3.63	%		4.15	%
Allowance for loan losses as
a percentage of gross loans		1.25	%		1.27	%
Gross loans to deposits		84.93	%		77.57	%
Non-performing loans to gross loans		0.32	%		0.00	%
Net charge-offs (recoveries) to
average loans		0.01	%		0.07	%
Capital ratios (Bank only):
Tier 1 capital (to risk-weighted assets)		11.28	%		15.55	%
Total capital (to risk-weighted assets)		12.33	%		16.54	%
Leverage ratio (to average assets)		10.23	%		13.31	%