Metro Bancorp (METR) 8-K Results of Operations and Financial Condition

Pennsylvania Commerce Bancorp, Inc.
Selected Consolidated Financial Data
(Unaudited)
	At or for the
	Three Months Ended
	March 31,
							%
(in  thousands,  except  per  share  amounts)	2008			2007			Change
Income Statement Data:
Net interest income	$	18,583		$	13,228			40	%
Provision for loan losses		975			480			103
Noninterest income		5,993			5,170			16
Total revenues		24,576			18,398			34
Noninterest operating expenses		18,901			16,490			15
Net income		3,206			1,112			188
Per Common Share Data:
Net  income:  Basic	$	0.50		$	0.18			178	%
Net  income:  Diluted		0.49			0.17			188
Book Value	$	17.26		$	16.76			3	%
Weighted average shares outstanding:
Basic		6,327			6,167
Diluted		6,495			6,408
Balance Sheet Data:
Total assets	$	1,957,843		$	1,898,572			3	%
Loans (net)		1,203,231			1,046,445			15
Allowance for loan losses		11,627			9,992			16
Investment securities		555,604			681,719			(18	)
Total deposits		1,580,099			1,560,361			1
Core deposits		1,545,575			1,542,432			0
Stockholders' equity		110,336			104,940			5
Capital:
Stockholders' equity to total assets		5.64	%		5.53	%
Leverage ratio		7.59			7.28
Risk based capital ratios:
Tier 1		9.99			9.98
Total Capital		10.77			10.72
Performance Ratios:
Cost of funds		2.11	%		3.41	%
Deposit cost of funds		1.43			2.74
Net interest margin		4.07			3.04
Return on average assets		0.66			0.24
Return on average total stockholders' equity		11.39			4.39
Asset Quality:
Net charge-offs to average loans outstanding		0.01	%		0.02	%
Nonperforming  assets  to  total  period-end  assets		0.22			0.20
Allowance  for  loan  losses  to  total  period-end  loans		0.96			0.95
Allowance  for  loan  losses  to  nonperforming  loans		309			280
Nonperforming  assets  to  capital and reserves		4	%		3	%

Pennsylvania Commerce Bancorp, Inc. and Subsidiaries Average Balances and Net Interest Income
(unaudited)
	Quarter ending,
	March 2008				December 2007				March 2007
	Average		Average		Average		Average		Average		Average
	Balance	Interest	Rate		Balance	Interest	Rate		Balance	Interest	Rate
(dollars in thousands)
Earning Assets
Investment securities
Taxable	$      616,294	$    7,927	5.14	%	$    704,586	$    9,419	5.35	%	$    704,722	$    9,379	5.32	%
Tax-exempt	1,621	25	6.17		1,621	25	6.17		1,619	25	6.18
Total securities	617,915	7,952	5.15		706,207	9,444	5.35		706,341	9,404	5.32
Federal funds sold	0	0	0.00		0	0	0.00		0	0	0.00
Loans receivable
Mortgage and construction	579,577	9,992	6.83		551,255	10,088	7.19		477,667	8,475	7.10
Commercial loans and lines of credit	332,486	5,865	6.98		314,229	6,006	7.48		312,797	6,267	8.01
Consumer	226,889	3,717	6.59		219,970	3,764	6.79		194,354	3,247	6.78
Tax-exempt	56,742	985	6.94		52,612	897	6.82		36,686	610	6.65
Total loans receivable	1,195,694	20,559	6.83		1,138,066	20,755	7.17		1,021,504	18,599	7.30
Total earning assets	$   1,813,609	$  28,511	6.26	%	$ 1,844,273	$  30,199	6.47	%	$ 1,727,845	$  28,003	6.49	%
Sources of Funds
Interest-bearing deposits
Regular savings	$      349,976	$    1,200	1.38	%	$    366,190	$    1,876	2.03	%	$    377,735	$    2,491	2.67	%
Interest checking and money market	706,625	3,360	1.91		769,826	5,657	2.92		700,697	6,851	3.97
Time deposits	166,221	1,650	3.99		160,271	1,662	4.11		200,642	2,101	4.25
Public funds time	22,920	237	4.16		14,167	173	4.84		19,611	236	4.88
Total interest-bearing deposits	1,245,742	6,447	2.08		1,310,454	9,368	2.84		1,298,685	11,679	3.65
Short-term borrowings	230,749	1,911	3.28		210,947	2,475	4.59		165,250	2,219	5.37
Other borrowed money	50,000	555	4.39		50,000	561	4.39		0	0	0.00
Junior subordinated debt	29,400	661	8.99		29,400	661	8.99		29,400	661	9.00
Total interest-bearing liabilities	1,555,891	9,574	2.46		1,600,801	13,065	3.23		1,493,335	14,559	3.94
Noninterest-bearing funds (net)	257,718				243,472				234,510
Total sources to fund earning assets	$   1,813,609	$    9,574	2.11		$ 1,844,273	$  13,065	2.80		$ 1,727,845	$  14,559	3.41
Net interest income and margin
on a tax-equivalent basis		$  18,937	4.15	%		$  17,134	3.67	%		$  13,444	3.08	%
Tax-exempt adjustment		354				314				216
Net interest income and margin		$  18,583	4.07	%		$  16,820	3.60	%		$  13,228	3.04	%
Other Balances:
Cash and due from banks	$        46,913				$      52,086				$      48,377
Other assets	89,927				90,652				89,736
Total assets	1,950,449				1,987,011				1,865,958
Demand deposits (noninterest-bearing)	270,345				266,407				262,022
Other liabilities	11,041				8,918				7,902
Stockholders' equity	113,172				110,885				102,699

Pennsylvania Commerce Bancorp, Inc. and Subsidiaries
Summary of Allowance for Loan Losses and Other Related Data
(unaudited)
	3/31/2008			3/31/2007			Year-ended
(dollar amounts in thousands)	Three Months Ended						12/31/2007
Balance at beginning of period	$	10,742		$	9,685		$	9,685
Provisions charged to operating expense		975			480			1,762
		11,717			10,165			11,447
Recoveries on loans charged-off:
Commercial		124			1			11
Consumer		6			5			53
Real estate		0			8			8
Total recoveries		130			14			72
Loans charged-off:
Commercial		(165	)		(176	)		(634	)
Consumer		(38	)		(9	)		(69	)
Real estate		(17	)		(2	)		(74	)
Total charged-off		(220	)		(187	)		(777	)
Net charge-offs		(90	)		(173	)		(705	)
Balance at end of period	$	11,627		$	9,992		$	10,742
Net charge-offs as a percentage of
average loans outstanding		0.01	%		0.02	%		0.07	%
Allowance for loan losses as a percentage of
period-end loans		0.96	%		0.95	%		0.93	%

Pennsylvania Commerce Bancorp, Inc. and Subsidiaries
Summary of Non-Performing Loans and Assets
(unaudited)
				March 31,	December 31,	September 30,	June 30,	March 31,
				2008	2007	2007	2007	2007
Nonaccrual loans:
	Commercial			$         1,158	$               534	$                997	$            1,362	$             945
	Consumer			120	57	57	54	19
	Real Estate:
		Construction		284	385	529	520	394
		Mortgage		2,183	1,959	1,767	1,784	2,207
			Total nonaccrual loans	3,745	2,935	3,350	3,720	3,565
Loans past due 90 days or more
	and still accruing			15	0	0	0	0
Renegotiated loans				0	0	0	0	0
	Total non-performing loans			3,760	2,935	3,350	3,720	3,565
Foreclosed real estate				588	489	390	300	300
Total non-performing assets				$         4,348	$            3,424	$             3,740	$            4,020	$          3,865
Non-performing loans to total loans				0.31%	0.25%	0.30%	0.34%	0.34%
Non-performing assets to total assets				0.22%	0.17%	0.19%	0.21%	0.20%
Non-performing loan coverage				309%	366%	319%	278%	280%
Allowance for loan losses as a percentage
	of total period-end loans			0.96%	0.93%	0.96%	0.96%	0.95%
Non-performing assets / capital reserves				4%	3%	3%	3%	3%