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Exhibit 99.2
Pacific Western National Bank
September 30, 2001
INDEX—Interim Financial Information
| Page | |
---|---|---|
Condensed Statements of Condition at September 30, 2001 and December 31, 2000 | F-2 | |
Condensed Statements of Income for the Nine Months Ended September 30, 2001 and 2000 | F-3 | |
Condensed Statements of Changes in Shareholders' Equity from January 1, 2000 through September 30, 2001 | F-4 | |
Condensed Statements of Cash Flows for the Nine Months Ended September 30, 2001 and 2000 | F-5 | |
Notes to Financial Statements | F-6 |
F-1
Pacific Western National Bank
Condensed Statements of Condition
(Unaudited—Dollar Amounts in Thousands)
| September 30, 2001 | December 31, 2000 | ||||||
---|---|---|---|---|---|---|---|---|
Cash and Due From Bank | $ | 12,016 | $ | 12,188 | ||||
Federal Funds Sold | 40,000 | 2,800 | ||||||
TOTAL CASH AND CASH EQUIVALENTS | 52,016 | 14,988 | ||||||
Investment Securities, net | 18,727 | 5,504 | ||||||
Loans | 185,100 | 165,835 | ||||||
Allowance for Loan Losses | (1,960 | ) | (1,791 | ) | ||||
NET LOANS | 183,140 | 164,044 | ||||||
Premises and Equipment, net | 3,290 | 2,720 | ||||||
Federal Reserve and Federal Home Loan Bank Stock, at Cost | 348 | 262 | ||||||
Accrued Interest and Other Assets | 2,935 | 2,693 | ||||||
$ | 260,456 | $ | 190,211 | |||||
Noninterest-Bearing Deposits | $ | 38,356 | $ | 33,456 | ||||
Interest-Bearing Deposits | 202,084 | 138,154 | ||||||
TOTAL DEPOSITS | 240,440 | 171,610 | ||||||
Accrued Interest and Other Liabilities | 1,087 | 939 | ||||||
TOTAL LIABILITIES | 241,527 | 172,549 | ||||||
Common Shares | 1,536 | 1,463 | ||||||
Paid-in Capital | 5,860 | 4,987 | ||||||
Retained Earnings | 11,472 | 11,208 | ||||||
Accumulated Other Comprehensive Income | 61 | 4 | ||||||
TOTAL SHAREHOLDERS' EQUITY | 18,929 | 17,662 | ||||||
$ | 260,456 | $ | 190,211 | |||||
The accompanying notes are an integral part of the financial statements.
F-2
Pacific Western National Bank
Condensed Statements of Income
(Unaudited—Dollar Amounts in Thousands, Except Per Share Data)
| For the Nine Months Ended September 30, | |||||||
---|---|---|---|---|---|---|---|---|
| 2001 | 2000 | ||||||
Interest Income | $ | 14,930 | $ | 12,660 | ||||
Interest Expense | 5,871 | 3,990 | ||||||
Net Interest Income | 9,059 | 8,670 | ||||||
Provision for Loan Losses | 930 | 720 | ||||||
Net Interest Income After Provision for Loan Losses | 8,129 | 7,950 | ||||||
Noninterest Income | 1,032 | 911 | ||||||
Noninterest Expense | 7,097 | 6,401 | ||||||
Income Before Taxes | 2,064 | 2,460 | ||||||
Income Taxes | 852 | 1,010 | ||||||
Net Income | $ | 1,212 | $ | 1,450 | ||||
Per Share Data: | ||||||||
Net Income—Basic | $ | 1.32 | $ | 1.57 | ||||
Net Income—Diluted | $ | 1.27 | $ | 1.54 |
The accompanying notes are an integral part of the financial statements.
F-3
Pacific Western National Bank
Condensed Statements of Changes in Shareholders' Equity
(Unaudited—Dollar Amounts in Thousands)
| Shares | Common Stock | Paid-In Capital | Comprehensive Income | Retained Earnings | Accumulated Other Comprehensive Income | |||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
January 1, 2000 | 835,698 | $ | 1,394 | $ | 4,191 | $ | 9,955 | $ | (3 | ) | |||||||||||
Five Percent Stock Dividend | 41,706 | 69 | 796 | (865 | ) | ||||||||||||||||
Cash Paid in Lieu of Fractional Shares | (2 | ) | |||||||||||||||||||
Comprehensive Income | |||||||||||||||||||||
Unrealized Gain on Securities Available for Sale, Net of Taxes | $ | 7 | 7 | ||||||||||||||||||
Net Income | 2,120 | 2,120 | |||||||||||||||||||
Comprehensive Income | $ | 2,127 | |||||||||||||||||||
December 31, 2000 | 877,404 | 1,463 | 4,987 | 11,208 | 4 | ||||||||||||||||
Five Percent Stock Dividend | 43,781 | 73 | 873 | (946 | ) | ||||||||||||||||
Cash Paid in Lieu of Fractional Shares | (2 | ) | |||||||||||||||||||
Comprehensive Income | |||||||||||||||||||||
Unrealized Gain on Securities Available for Sale, Net of Taxes | $ | 57 | 57 | ||||||||||||||||||
Net Income | 1,212 | 1,212 | |||||||||||||||||||
Comprehensive Income | $ | 1,269 | |||||||||||||||||||
September 30, 2001 | 921,185 | $ | 1,536 | $ | 5,860 | $ | 11,472 | $ | 61 | ||||||||||||
The accompanying notes are an integral part of the financial statements.
F-4
Pacific Western National Bank
Condensed Statements of Cash Flows
(Unaudited—Dollar Amounts in Thousands)
| For the Nine Months Ended September 30, | |||||||||
---|---|---|---|---|---|---|---|---|---|---|
| 2001 | 2000 | ||||||||
OPERATING ACTIVITIES | ||||||||||
Net Income | $ | 1,212 | $ | 1,450 | ||||||
Adjustments to Reconcile Net Loss to Net Cash Provided by Operating Activities: | ||||||||||
Depreciation and Amortization | 484 | 420 | ||||||||
Provision for Loan Losses | 930 | 720 | ||||||||
Other Items—Net | (94 | ) | (1,112 | ) | ||||||
NET CASH PROVIDED BY OPERATING ACTIVITIES | 2,532 | 1,478 | ||||||||
INVESTING ACTIVITIES | ||||||||||
Purchases of Investment Securities | (21,353 | ) | — | |||||||
Sale and Maturities of Investment Securities | 8,187 | 1,698 | ||||||||
Net Decrease (Increase) in Federal Reserve and Home Loan Bank Stock | (86 | ) | 326 | |||||||
Net Change in Loans | (20,026 | ) | (13,320 | ) | ||||||
Proceeds From Sale of Bank Premises and Equipment | — | 965 | ||||||||
Purchase of Premises and Equipment | (1,054 | ) | (826 | ) | ||||||
NET CASH USED BY INVESTING ACTIVITIES | (34,332 | ) | (11,157 | ) | ||||||
FINANCING ACTIVITIES | ||||||||||
Net Increase in Deposits | 68,830 | 29,817 | ||||||||
Net Change in Other Borrowings | — | (3,500 | ) | |||||||
Cash Paid in Lieu of Fractional Shares | (2 | ) | (2 | ) | ||||||
NET CASH PROVIDED BY FINANCING ACTIVITIES | 68,828 | 26,315 | ||||||||
INCREASE IN CASH AND CASH EQUIVALENTS | 37,028 | 16,636 | ||||||||
Cash and Cash Equivalents at Beginning of Period | 14,988 | 8,178 | ||||||||
CASH AND CASH EQUIVALENTS AT END OF PERIOD | $ | 52,016 | $ | 24,814 | ||||||
SUPPLEMENTAL CASH FLOW INFORMATION: | ||||||||||
Interest Paid | $ | 5,896 | $ | 4,148 | ||||||
Income Taxes Paid | $ | 1,072 | $ | 1,218 | ||||||
The accompanying notes are an integral part of the financial statements.
F-5
Pacific Western National Bank
Notes to Financial Statements
Note 1—Basis of Presentation and Management Representation
The accompanying financial information has been prepared in accordance with the Securities and Exchange Commission rules and regulations for quarterly reporting and therefore does not necessarily include all information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles.
Operating results for interim periods are not necessarily indicative of operating results for an entire fiscal year. In the opinion of management, the unaudited financial information for the nine-month period ended September 30, 2001 and 2000, reflects all adjustments, consisting only of normal recurring accruals and provisions, necessary for a fair presentation thereof.
Note 2—Earnings Per Share
Effective December 31, 1997, the Bank adopted Statement of Financial Accounting Standards No. 128,"Earnings per Share." Accordingly, basic earnings per share are computed by dividing income available to common shareholders by the weighted average number of common shares outstanding during each period. The computation of diluted earnings per share also considers the number of shares issuable upon the assumed exercise of outstanding common stock options.
F-6
Pacific Western National Bank September 30, 2001 INDEX—Interim Financial Information
Pacific Western National Bank Condensed Statements of Condition (Unaudited—Dollar Amounts in Thousands)
Pacific Western National Bank Condensed Statements of Income (Unaudited—Dollar Amounts in Thousands, Except Per Share Data)
Pacific Western National Bank Condensed Statements of Changes in Shareholders' Equity (Unaudited—Dollar Amounts in Thousands)
Pacific Western National Bank Condensed Statements of Cash Flows (Unaudited—Dollar Amounts in Thousands)
Pacific Western National Bank Notes to Financial Statements