Exhibit 99.1
Atlantic Coast Federal Corporation Declares Quarterly Dividend of $0.11 Per Common Share
WAYCROSS, Ga.--(BUSINESS WIRE)--Atlantic Coast Federal Corporation (NASDAQ: ACFC), the holding company for Atlantic Coast Bank, today announced that its Board of Directors has declared a quarterly cash dividend of $0.11 per share versus $0.12 per share last quarter. The dividend will be paid on October 27, 2008, to all stockholders of record as of October 10, 2008.
Atlantic Coast Federal, MHC, which holds 8,728,500 shares or approximately 65% of the Company's total outstanding stock, will waive receipt of the dividend on its shares.
Consistent with the Company's previously announced dividend policy and capital management strategy, Atlantic Coast Federal Corporation strives to achieve an attractive dividend yield compared with its peers, and couples that effort with an active stock repurchase program to improve market liquidity for stockholders. At the new rate, the Company's indicated annual dividend rate currently represents a yield of approximately 6.2%. The Company also believes the decision to reduce the cash dividend is prudent considering the prevailing operating and economic environment.
Atlantic Coast Federal Corporation is the holding company for Atlantic Coast Bank, a federally chartered and insured stock savings association that was organized in 1939 as a credit union to serve the employees of the Atlantic Coast Line Railroad. Today, Atlantic Coast Bank is a community-oriented financial institution serving southeastern Georgia and northeastern Florida through 14 offices, including a focus on the Jacksonville metropolitan area.
Atlantic Coast Federal Corporation completed its initial public stock offering in October 2004. Investors may obtain additional information about Atlantic Coast Federal Corporation on the Internet at www.AtlanticCoastBank.net, under the Investor Information section.
CONTACT:
Corporate Communications, Inc.
Patrick J. Watson, 615-254-3376
