Exhibit 99.92
Press Release
Available for Immediate Publication: October 25, 2010
First National Bank of Northern California Reports Third Quarter 2010 Earnings of $0.25 Per Diluted Share
Source:FNB Bancorp (CA) (Bulletin Board:FNBG)
South San Francisco, California
Website: www.fnbnorcal.com
Contacts:
Tom McGraw, Chief Executive Officer (650) 875-4864
Dave Curtis, Chief Financial Officer (650) 875-4862
FNB Bancorp (Bulletin Board: FNBG), parent company of First National Bank of Northern California (the “Bank”), today announced net earnings available to common shareholders for the third quarter of 2010 of $811,000 or $0.25 per diluted share, compared to net earnings available to common shareholders of $1,049,000 or $0.33 per diluted share for the third quarter of 2009. Dividend payments on the preferred shares outstanding were made as required by the Treasury Department’s Capital Purchase Program during the three quarters ended September 30 of 2010 and 2009. Our balance sheet is highly liquid and we continue to be “well capitalized” as defined by bank regulations. Total assets as of September 30, 2010 were $727,502,000 compared to $699,313,000 as of September 30, 2009. Our net loan totals decreased by $18 ,885,000 or 3.8% during the year to date through September 2010 and our deposits increased by $40,046,000 or 6.7% during the same time period. The Company’s liquidity position remains strong with $131,123,000 in available for sale securities and $69,731,000 in cash and due from banks as of September 30, 2010.
During the third quarter of 2010, as part of our continuing efforts to provide our customers a quality banking experience while we improve our operational efficiencies, the decision was made to consolidate our Colma branch into our Daly City and South San Francisco branches. This consolidation is expected to provide the Bank operational efficiencies while still providing high quality service to our customers.
“The consolidation of the Colma branch into our Daly City and South San Francisco branches is scheduled to occur on December 1, 2010. We look forward to continuing to provide for the banking needs of the Colma community through our full service Daly City and South San Francisco locations. We hope to transition all displaced Colma employees to other branch offices of the Bank,” stated Mr. McGraw.
“During the third quarter of 2010, the Bank enjoyed an increase in net interest margin and net interest income over 2009 levels. Credit resolution costs continued to move towards more normalized levels, which allowed us to lower our provision for loan losses during the third quarter of 2010 compared to the third quarter of 2009,” continued Mr. McGraw.
Financial Highlights: Third Quarter, 2010
Consolidated Statements of Earnings
(in ‘000s except earnings per share amounts)
Three months ended | Three months ended | Nine months ended | Nine months ended | |||||||||||||
September 30, 2010 | September 30, 2009 | September 30, 2010 | September 30, 2009 | |||||||||||||
Interest income | $ | 8,616 | $ | 9,283 | $ | 26,032 | $ | 26,837 | ||||||||
Interest expense | 1,338 | 2,293 | 4,368 | 6,974 | ||||||||||||
Net interest income | 7,278 | 6,990 | 21,664 | 19,863 | ||||||||||||
Provision for loan losses | (464 | ) | (796 | ) | (1,029 | ) | (3,696 | ) | ||||||||
Noninterest income | 1,335 | 1,672 | 3,437 | 4,266 | ||||||||||||
Noninterest expense | 6,698 | 6,427 | 20,449 | 20,605 | ||||||||||||
Income before income taxes | 1,451 | 1,439 | 3,623 | (172 | ) | |||||||||||
Income tax expenses (benefit) | 426 | 176 | 855 | (250 | ) | |||||||||||
Net earnings | 1,025 | 1,263 | 2,768 | 78 | ||||||||||||
Dividends and discount accretion on preferred stock | 214 | 214 | 640 | 419 | ||||||||||||
Net earnings (loss) available to common shareholders | $ | 811 | $ | 1,049 | $ | 2,128 | $ | (341 | ) | |||||||
Basic earnings per share | $ | 0.25 | $ | 0.33 | $ | 0.67 | $ | (0.11 | ) | |||||||
Diluted earnings per share | $ | 0.25 | $ | 0.33 | $ | 0.67 | $ | (0.11 | ) | |||||||
Average assets | $ | 732,141 | $ | 694,806 | $ | 729,185 | $ | 675,487 | ||||||||
Average equity | $ | 81,545 | $ | 78,525 | $ | 80,298 | $ | 76,834 | ||||||||
Return on average assets (annualized) | 0.44 | % | 0.60 | % | 0.39 | % | -0.07 | % | ||||||||
Return on average equity (annualized) | 3.98 | % | 5.34 | % | 3.53 | % | -0.59 | % | ||||||||
Efficiency ratio | 78 | % | 74 | % | 81 | % | 85 | % | ||||||||
Net interest margin (taxable equivalent) | 4.77 | % | 4.62 | % | 4.78 | % | 4.43 | % | ||||||||
Average shares outstanding | 3,182 | 3,182 | 3,191 | 3,182 | ||||||||||||
Average diluted shares outstanding | 3,192 | 3,182 | 3,200 | 3,182 |
Financial Highlights: Third Quarter, 2010
Consolidated Balance Sheets
(in ‘000s)
As of | As of | As of | As of | |||||||||||||
September 30, 2010 | December 31, 2009 | September 30, 2009 | December 31, 2008 | |||||||||||||
Assets: | ||||||||||||||||
Cash and cash equivalents | $ | 69,731 | $ | 62,853 | $ | 46,371 | $ | 14,865 | ||||||||
Securities available for sale | 131,123 | 97,188 | 94,264 | 99,221 | ||||||||||||
Loans, net | 475,464 | 494,349 | 506,537 | 497,984 | ||||||||||||
Premises, equipment and leasehold improvements | 11,801 | 11,784 | 12,040 | 13,030 | ||||||||||||
Other real estate owned | 6,608 | 7,320 | 9,425 | 3,557 | ||||||||||||
Goodwill | 1,841 | 1,841 | 1,841 | 1,841 | ||||||||||||
Other assets | 30,934 | 32,974 | 28,835 | 30,459 | ||||||||||||
Total assets | $ | 727,502 | $ | 708,309 | $ | 699,313 | $ | 660,957 | ||||||||
Liabilities and stockholders’ equity: | ||||||||||||||||
Deposits: | ||||||||||||||||
Demand and NOW | $ | 197,924 | $ | 177,883 | $ | 174,826 | $ | 179,688 | ||||||||
Savings and money market | 314,864 | 293,758 | 279,696 | 179,382 | ||||||||||||
Time | 126,222 | 127,323 | 130,645 | 141,840 | ||||||||||||
Total deposits | 639,010 | 598,964 | 585,167 | 500,910 | ||||||||||||
Federal Home Loan Bank advances | — | 25,000 | 30,000 | 86,100 | ||||||||||||
Accrued expenses and other liabilities | 6,405 | 5,480 | 5,218 | 5,798 | ||||||||||||
Total liabilities | 645,415 | 629,444 | 620,385 | 592,808 | ||||||||||||
Stockholders’ equity | 82,087 | 78,865 | 78,928 | 68,149 | ||||||||||||
Total liab. and stockholders’ equity | $ | 727,502 | $ | 708,309 | $ | 699,313 | $ | 660,957 | ||||||||
Other Financial Information | ||||||||||||||||
Allowance for loan losses | $ | 9,250 | $ | 9,829 | $ | 9,424 | $ | 7,075 | ||||||||
Nonperforming assets | $ | 23,906 | $ | 32,912 | $ | 32,164 | $ | 17,659 | ||||||||
Total gross loans | $ | 484,714 | $ | 504,178 | $ | 515,961 | $ | 505,059 |
“Our local economy is slowly recovering from the deepest recession we have experienced in the last 50 years. Unemployment rates remain high, commercial real estate valuations continue to be depressed, foreclosures still make up a significant amount of existing home sales, and we are working through a generally tight credit environment. We continue to manage our credit risks in an appropriate manner, trying to find solutions that make sense for the Bank as well as our customers. Management attention has been focused on risk management of existing portfolios and asset quality improvement during the first three quarters of 2010, and that will continue to be a focus as we move into the fourth quarter of 2010. During the third quarter of 2010, profitability levels were still not at historical levels; however, the Bank has th e capital and the liquidity to take advantage of any market opportunities that become available and to grow the Bank as the health of the economy improves. We want to lend and are actively seeking new loan and deposit customers who want a local community bank that knows and understands the local market and economy. We want our customers to know that we are committed to them and to the communities that we serve. We look forward to the opportunity to continue to provide for the banking needs of our customers, as we have done for the last 47 years,” stated Mr. McGraw.
Cautionary Statement: This release contains certain forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those stated herein. Management’s assumptions and projections are based on their anticipation of future events and actual performance may differ materially from those projected. Risks and uncertainties which could impact future financial performance include, among others, (a) competitive pressures in the banking industry; (b) changes in the interest rate environment; (c) general economic conditions, either nationally or regionally or locally, including fluctuations in real estate values; (d) changes in the regulatory environment; (e) changes in business conditions or the securities markets and inf lation; (f) possible shortages of gas and electricity at utility companies operating in the State of California, and (g) the effects of terrorism, including the events of September 11, 2001, and thereafter, and the conduct of war on terrorism by the United States and its allies. Therefore, the information set forth herein, together with other information contained in the periodic reports filed by FNB Bancorp with the Securities and Exchange Commission, should be carefully considered when evaluating its business prospects. FNB Bancorp undertakes no obligation to update any forward-looking statements contained in this release.