Exhibit 99.1
| Contact: | James H. Foglesong | |
| Phone: | (219) 873-2608 or | |
| | Mark E. Secor | |
| Phone: | (219) 873-2611 | |
| Fax: | (219) 874-9280 | |
| Date: | January 23, 2008 | |
| Horizon Bancorp Announces Record Earnings for 2008 |
Michigan City, Indiana (NASDAQ GM: HBNC) – Horizon Bancorp today announced its unaudited financial results for the fourth quarter and year ended December 31, 2008. Net income for 2008 was $8.972 million or $2.75 per fully diluted share compared to $8.140 million or $2.51 per fully diluted share for 2007. This represents a 10.2% increase in annual earnings. Net income for the fourth quarter of 2008 was $2.122 million or $.64 per fully diluted share. This compares to $2.010 million or $.62 per fully diluted share for the same quarter of the prior year and $1.373 million or $.41 per fully diluted share for the third quarter of 2008.
Craig M. Dwight, Horizon’s Chief Executive Officer stated, “We are pleased to report our ninth consecutive year of record earnings. Given the multiple challenges confronting the banking industry, including higher unemployment, increasing loan defaults, overall deterioration in the national and local economies and complexity and frequency of change in accounting rules, we are extremely proud of the effort put forth by the entire Company to exceed last year’s performance.”
Net interest income for the quarter and year ended December 31, 2008 was $9.7 million and $37.4 million, respectively. This represents an increase of $818 thousand or 9.2% for the quarter and $4.5 million or 13.8% for the year when compared to the same prior year periods. The increases are due to an improvement in the net interest margin by 35 basis points to 3.38% for the year and 36 basis points to 3.57% for the quarter. This reduced funding costs by an amount that exceeded the decline in yields on earning assets. Horizon’s cost of funds has dropped approximately 108 basis points since the fourth quarter of 2007 while the yield on earning assets declined approximately 72 basis points. Horizon reduced rates on NOW and money market accounts in line with short-term rate decreases put in place by the Federal Open Market Committee. In addition, a large amount of Certificates of Deposit (CDs) matured during the first half of 2008 and were renewed at lower rates. Additionally, at December 31, 2008, all mortgage warehouse loans ($123 million) and certain home equity and commercial loans (totaling approximately $136 million) reached contractual rate floors. This improved the net interest margin as funding costs continued to decline.
Horizon assesses the adequacy of its Allowance for Loan and Lease Losses (ALLL) by regularly reviewing the performance of all of its loan portfolios. As a result of its most recent review, a provision for loan losses of $2.2 million was taken for the fourth quarter of 2008. This compares to a provision of $3.1 million for the third quarter of 2008 and $1.9 million for the fourth quarter of 2007. For the year, the provision of $7.6 million is more than double the prior year. This increase is primarily due to the deterioration of loan quality in all segments of the portfolio except the mortgage warehouse area.
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Pg. 2 Cont. Horizon Announces Record Earnings 2008
At December 31, 2008, Horizon’s non-performing loans of approximately $7.9 million or .89% of total loans represents an increase from the end of the third quarter when non-performing loans totaled $6.6 million or .77% of total loans and an increase from the prior year-end totals of $2.9 million or .33% of total loans. Horizon’s non-performing loan statistics, while having increased from the prior year, still compare favorably to National1 and State of Indiana2 bank averages for the same ratio as of September 30, 2008 of 1.99% and 1.87 %, respectively. As a result of the deterioration in the loan portfolio, Horizon has adjusted the historical ratios used to determine the ALLL to reflect these recent trends. Also, loans with specific reserves increased from the prior year-end. In addition to problem loans, Horizon has $2.9 million of other real estate owned which represents an increase from September 30, 2008 and December 31, 2007 of $1.5 million and $2.6 million respectively. Management feels that the total ALLL of $11.410 million or 1.29% of total loans is adequate to absorb probable incurred losses contained in the loan portfolio.
Non-interest income increased $1.56 million or 12.7% from 2007, however, was fairly level with the prior quarter and the same quarter of the prior year. The increase from the prior year resulted from the following: (a) NSF fees increased due to a price increase implemented during the first quarter of 2008, (b) wire transfer fees increased due to increased volume and a price change to mortgage warehouse customers, (c) fiduciary fees increased as additional income was generated by the ESOP management line of business, (d) gain on sale of loans increased and (e) proceeds from a death benefit received on a bank owned life insurance policy amounting to $538 thousand. The increase from gain on sale of loans resulted from (i) Horizon’s transfer of loans from the loan portfolio to held for sale and subsequent sale of these loans generating a gain of approximately $194 thousand and (ii) Horizon’s adoption of Securities and Exchange Commission Staff Accounting Bulletin 109 (which requires treating commitments to make and sell mortgage loans as a derivative) which created an additional $231 thousand gain. These increases were offset by a decline in the gain from brokering non-conforming mortgages.
Non-interest expense increased $1.6 million or 5.2% from 2007. The increase was driven primarily by two factors: (a) loan expense increased from the prior year due to higher collection expense and less deferred costs on new loans and (b) increased FDIC insurance costs as the one time credits granted in 2006 were fully utilized during the first quarter of 2008. Salaries and benefits decreased due to the staff reduction, which occurred during the third quarter of 2007.
Income tax expense was impacted in 2008 by $163 thousand of income tax refunds related to amended returns filed for prior years. Also, increased tax exempt income, including the life insurance death benefit, caused a decrease in the effective tax rate.
On December 31, 2008, Horizon’s total assets were $1.306 billion, compared to $1.259 billion on December 31, 2007.
Federal funds sold decreased as Horizon’s deposit totals were abnormally high at year-end 2007 due to deposits made by local municipalities near the end of the year.
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____________________________
1 National peer group: Consists of all insured commercial banks having assets between $1 Billion and $3 Billion as
reported by the Uniform Bank Performance Report as of September 30, 2008
2 Indiana peer group: Consists of 22 publicly traded banks all head quartered in the State of Indiana as reported by the
Uniform Bank Performance Reports as of September 30, 2008.
Pg. 3 Cont. Horizon Announces Record Earnings 2008
Investment securities increased by approximately $77 million as investment securities were purchased during the fourth quarter to leverage the additional capital raised through the U.S. Department of Treasury’s Capital Purchase Program which is part of the Economic Emergency Stabilization Act approved by Congress during the fourth quarter of 2008. The intent is to purchase a total of approximately $125 million of investment securities, until the new capital can be leveraged with loans. Horizon believes this increase will make the additional capital revenue neutral to common shareholders.
Gross loans for 2008 decreased $7 million since December 31, 2007. Mortgage warehouse loans increased late in the fourth quarter of 2008 due to increased refinance activity which is expected to continue through the first quarter of 2009. Real estate loans declined during the year as approximately $37 million of loans were transferred to held for sale and were subsequently sold during the first quarter to reduce Horizon’s reliance on non-core funding and improve Horizon Bank’s capital ratios. In addition, Horizon sold a high percentage of its 2008 residential mortgage loan production, which contributed to the reduction in the mortgage loan portfolio. Installment loans declined due to a lower volume of automobile loans. Commercial loans showed modest growth as efforts were concentrated on maintaining existing relationships and closely monitoring the portfolio for any challenges to asset quality.
Total deposits have declined $52 million since December 31, 2007. The decrease came in high cost, short-term consumer certificates of deposit (CDs). The decrease in deposits was funded by an increase in borrowed funds and additional capital. Brokered CDs were approximately $50 million at both December 31, 2008 and 2007. The increase in wholesale funding is in part caused by several large regional banks pricing certificates of deposit well above wholesale funding rates. Horizon has maintained its deposit pricing discipline and has not “chased” the large bank pricing strategies.
Stockholders' equity totaled $103.4 million at December 31, 2008 compared to $70.6 million at December 31, 2007. In December of 2008 Horizon received an investment of $25 million through participation in the U.S. Department of Treasury’s (Treasury) Capital Purchase Program. Under the program, the Treasury acquired 25,000 Series A shares of Horizon’s Fixed Rate Cumulative Perpetual Preferred Stock that will pay a 5% per annum dividend for the first five years of the investment (which will total $1,250,000 a year) and 9% per annum thereafter (which will total $2,250,000 a year) unless Horizon redeems the shares. The preferred shares qualify as Tier I capital and are callable by Horizon after three years. As part of its investment, the Treasury also received a warrant to purchase 212,104 shares of common stock of Horizon, with an exercise price of $17.68 per share. The warrant is expected to give the Treasury the opportunity to benefit from an increase in the common stock price of the company. At December 31, 2008, the ratio of stockholders' equity to total assets was 7.91% compared to 5.61% at December 31, 2007. Tangible equity to tangible assets was 7.37% at December 31, 2008 compared to 5.02% at December 31, 2007. Book value per common share at December 31, 2008 increased to $24.46 compared to $21.72 at December 31, 2007.
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Pg. 4 cont. Horizon Announces Record Earnings 2008
Other items
Horizon has received regulatory approval to open a second branch in Elkhart, Indiana. The new branch will be located on the south side of Elkhart and is expected to open in April of 2009. Horizon has acquired land in Munster, Indiana for a full service branch. This branch is expected to open mid-year.
Horizon Bancorp is a locally owned, independent, commercial bank holding company serving Northern Indiana and Southwest Michigan. Horizon also offers mortgage-banking services throughout the Midwest. Horizon Bancorp may be reached on the World Wide Web at www.accesshorizon.com. Its common stock is traded on the NASDAQ Global Market under the symbol HBNC.
Statements in this press release which express “belief,” “intention,” “expectation,” and similar expressions, identify forward-looking statements. Such forward-looking statements are based on the beliefs of the Company’s management, as well as assumptions made by, and information currently available to, such management. Such statements are inherently uncertain and there can be no assurance that the underlying assumptions will prove to be accurate. Actual results could differ materially from those contemplated by the forward-looking statements. Any forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
| | Contact: | Horizon Bancorp |
| | | James H. Foglesong |
| | | (219) 873-2608 or |
| | | Mark E. Secor |
| | | (219) 873-2611 |
| | (Unaudited – dollars in thousands except share and per share data and ratios) |
| | | Three Months Ended: | | | Year Ended: | |
| | | Dec. 31, | | | Sept. 30, | | | Dec. 31, | | | Dec. 31, | | | Dec. 31, | |
| | | 2008 | | | 2008 | | | 2007 | | | 2008 | | | 2007 | |
| | | | | | | | | | | | | | | | |
| End of period balances: | | | | | | | | | | | | | | | |
| Total assets | | $ | 1,306,857 | | | $ | 1,188,631 | | | $ | 1,258,874 | | | $ | 1,306,857 | | | $ | 1,258,874 | |
| Short term investments | | | 2,679 | | | | 1,186 | | | | 35,563 | | | | 2,679 | | | | 35,563 | |
| Investment securities | | | 303,268 | | | | 230,837 | | | | 234,675 | | | | 303,268 | | | | 234,675 | |
| Commercial loans | | | 310,842 | | | | 304,997 | | | | 307,535 | | | | 310,842 | | | | 307,535 | |
| Mortgage warehouse loans | | | 123,287 | | | | 101,992 | | | | 78,225 | | | | 123,287 | | | | 78,225 | |
| Real estate loans | | | 167,766 | | | | 168,058 | | | | 216,019 | | | | 167,766 | | | | 216,019 | |
| Installment loans | | | 280,072 | | | | 282,900 | | | | 287,073 | | | | 280,072 | | | | 287,073 | |
| Earning assets | | | 1,206,493 | | | | 1,107,428 | | | | 1,180,128 | | | | 1,206,493 | | | | 1,107,428 | |
| Non-interest bearing deposit accounts | | | 83,642 | | | | 86,093 | | | | 81,097 | | | | 83,642 | | | | 81,949 | |
| Interest bearing transaction accounts | | | 428,931 | | | | 334,121 | | | | 360,476 | | | | 428,931 | | | | 468,624 | |
| Time deposits | | | 328,596 | | | | 329,208 | | | | 449,091 | | | | 328,596 | | | | 449,091 | |
| Borrowings | | | 324,383 | | | | 328,442 | | | | 258,852 | | | | 324,383 | | | | 258,852 | |
| Long-term borrowings | | | 27,837 | | | | 27,837 | | | | 27,837 | | | | 27,837 | | | | 27,837 | |
| Stockholders’ equity | | | 103,350 | | | | 75,072 | | | | 70,645 | | | | 103,350 | | | | 70,645 | |
| | | | | | | | | | | | | | | | | | | | | |
| Average balances : | | | | | | | | | | | | | | | | | | | | |
| Total assets | | $ | 1,196,513 | | | $ | 1,179,045 | | | $ | 1,182,921 | | | $ | 1,202,727 | | | $ | 1,180,400 | |
| Short term investments | | | 6,687 | | | | 3,682 | | | | 8,204 | | | | 22,534 | | | | 5,455 | |
| Investment securities | | | 240,390 | | | | 239,304 | | | | 226,672 | | | | 241,953 | | | | 227,000 | |
| Commercial loans | | | 309,465 | | | | 301,810 | | | | 304,456 | | | | 305,126 | | | | 291,656 | |
| Mortgage warehouse loans | | | 74,175 | | | | 85,230 | | | | 53,599 | | | | 77,091 | | | | 70,279 | |
| Real estate loans | | | 167,049 | | | | 167,793 | | | | 217,731 | | | | 175,645 | | | | 222,428 | |
| Installment loans | | | 281,708 | | | | 283,669 | | | | 281,337 | | | | 283,098 | | | | 255,228 | |
| Earning assets | | | 1,102,302 | | | | 1,101,002 | | | | 1,118,737 | | | | 1,125,390 | | | | 1,102,286 | |
| Non-interest bearing deposit accounts | | | 79,567 | | | | 80,762 | | | | 77,245 | | | | 77,600 | | | | 78,654 | |
| Interest bearing transaction accounts | | | 354,478 | | | | 340,012 | | | | 338,749 | | | | 361,191 | | | | 352,587 | |
| Time deposits | | | 339,769 | | | | 351,888 | | | | 391,817 | | | | 372,677 | | | | 402,287 | |
| Borrowings | | | 294,574 | | | | 296,280 | | | | 283,104 | | | | 280,451 | | | | 282,339 | |
| Subordinated debentures | | | 27,837 | | | | 27,837 | | | | 27,837 | | | | 27,837 | | | | 27,837 | |
| Stockholders’ equity | | | 79,605 | | | | 76,027 | | | | 70,151 | | | | 76,491 | | | | 66,224 | |
| | | | | | | | | | | | | | | | | | | | | |
| Per share data: | | | | | | | | | | | | | | | | | | | | |
| Basic earnings per share | | $ | 0.64 | | | $ | 0.42 | | | $ | 0.63 | | | $ | 2.78 | | | $ | 2.54 | |
| Diluted earnings per share | | | 0.64 | | | | 0.41 | | | | 0.62 | | | | 2.74 | | | | 2.51 | |
| Cash dividends declared per common share | | | 0.17 | | | | 0.17 | | | | 0.15 | | | | 0.66 | | | | 0.56 | |
| Book value per common share | | | 24.46 | | | | 23.39 | | | | 21.72 | | | | 24.46 | | | | 21.72 | |
| Market value - high | | | 24.52 | | | | 25.87 | | | | 26.40 | | | | 25.87 | | | | 28.10 | |
| Market value - low | | | 12.00 | | | | 16.36 | | | | 24.40 | | | | 12.00 | | | | 24.40 | |
| Basic average common shares outstanding | | | 3,209,482 | | | | 3,209,482 | | | | 3,204,203 | | | | 3,208,658 | | | | 3,177,272 | |
| Diluted average common shares outstanding | | | 3,246,664 | | | | 3,255,409 | | | | 3,247,331 | | | | 3,246,351 | | | | 3,217,050 | |
| | | | | | | | | | | | | | | | | | | | | |
| Key ratios: | | | | | | | | | | | | | | | | | | | | |
| Return on average assets | | | 0.71 | % | | | 0.45 | % | | | 0.68 | % | | | 0.75 | % | | | 0.69 | % |
| Return on average equity | | | 10.66 | | | | 7.01 | | | | 11.46 | | | | 11.73 | | | | 12.29 | |
| Net interest margin | | | 3.57 | | | | 3.45 | | | | 3.21 | | | | 3.38 | | | | 3.03 | |
| Loan loss reserve to loans | | | 1.29 | | | | 1.22 | | | | 1.10 | | | | 1.29 | | | | 1.10 | |
| Non-performing loans to loans | | | 0.89 | | | | 0.77 | | | | 0.33 | | | | 0.89 | | | | 0.33 | |
| Average equity to average assets | | | 6.65 | | | | 6.45 | | | | 5.93 | | | | 6.35 | | | | 5.61 | |
| Bank only capital ratios: | | | | | | | | | | | | | | | | | | | | |
| Tier 1 capital to average assets | | | 9.46 | % | | | 7.65 | % | | | 7.29 | % | | | 9.46 | % | | | 7.29 | % |
| Tier 1 capital to risk weighted assets | | | 11.83 | | | | 10.04 | | | | 9.49 | | | | 11.83 | | | | 9.49 | |
| Total capital to risk weighted assets | | | 13.04 | | | | 11.22 | | | | 10.56 | | | | 13.04 | | | | 10.56 | |
| | Allocation of the Allowance for Loan and Lease Losses |
| | | | Dec. 31, 2008 | | | Dec. 31, 2007 | |
| | Commercial | | $ | 3,202 | | | $ | 2,656 | |
| | Real estate | | | 973 | | | | 779 | |
| | Mortgage warehousing | | | 1,354 | | | | 1,309 | |
| | Installment | | | 5,881 | | | | 5,047 | |
| | Unallocated | | | -0- | | | | -0- | |
| | Total | | $ | 11,410 | | | $ | 9,791 | |
| | | | | | | | | | |
| | | Three months ended Dec. 31, 2008 | | | Three months ended Sept. 30, 2008 | | | Three months ended Dec. 31, 2007 | | | Year ended Dec. 31, 2008 | | | Year ended Dec. 31, 2007 | |
| Commercial | | $ | (5 | ) | | $ | 1,276 | | | $ | (5 | ) | | $ | 1,343 | | | $ | (48 | ) |
| Real estate | | | 26 | | | | (50 | ) | | | 36 | | | | 301 | | | | 36 | |
| Mortgage warehousing | | | -0- | | | | -0- | | | | -0- | | | | -0- | | | | -0- | |
| Installment | | | 1,257 | | | | 1,198 | | | | 929 | | | | 4,305 | | | | 2,027 | |
| Total | | $ | 1,278 | | | $ | 2,424 | | | $ | 960 | | | $ | 5,949 | | | $ | 2,015 | |
| | Horizon Bancorp and Subsidiaries |
| | Condensed Consolidated Balance Sheets |
| | (Dollar Amounts in Thousands) |
| | | December 31, 2008 (Unaudited) | | | December 31, 2007 | |
| Assets | | | | | | |
| Cash and due from banks | | $ | 36,000 | | | $ | 19,714 | |
| Interest-bearing demand deposits | | | 1 | | | | 1 | |
| Federal funds sold | | | - | | | | 35,314 | |
Cash and cash equivalents | | | 36,001 | | | | 55,029 | |
| Interest-bearing deposits | | | 2,679 | | | | 249 | |
| Investment securities, available for sale | | | 301,638 | | | | 234,675 | |
| Investment securities, held to maturity | | | 1,630 | | | | - | |
| Loans held for sale | | | 5,955 | | | | 8,413 | |
| Loans, net of allowance for loan losses of $11,410 and $9,791 | | | 870,557 | | | | 879,061 | |
| Premises and equipment | | | 28,280 | | | | 24,607 | |
| Federal Reserve and Federal Home Loan Bank stock | | | 12,625 | | | | 12,625 | |
| Goodwill | | | 5,787 | | | | 5,787 | |
| Other intangible assets | | | 1,751 | | | | 2,068 | |
| Interest receivable | | | 5,708 | | | | 5,897 | |
| Cash value life insurance | | | 22,451 | | | | 22,384 | |
| Deferred tax asset | | | 2,887 | | | | 2,187 | |
| Other assets | | | 8,908 | | | | 5,892 | |
| Total assets | | $ | 1,306,857 | | | $ | 1,258,874 | |
| Liabilities | | | | | | | | |
| Deposits | | | | | | | | |
| Noninterest bearing | | $ | 83,642 | | | $ | 84,097 | |
| Interest bearing | | | 757,527 | | | | 809,567 | |
| Total deposits | | | 841,169 | | | | 893,664 | |
| Borrowings | | | 324,383 | | | | 258,852 | |
| Subordinated debentures | | | 27,837 | | | | 27,837 | |
| Interest payable | | | 1,910 | | | | 2,700 | |
| Other liabilities | | | 8,208 | | | | 5,437 | |
| Total liabilities | | | 1,203,507 | | | | 1,188,229 | |
| Commitments and Contingent Liabilities | | | | | | | | |
| Stockholders’ Equity | | | | | | | | |
| Preferred stock, no par value | | | | | | | | |
| Authorized, 1,000,000 shares | | | | | | | | |
| Issued, 25,000 and –0- shares | | | 24,405 | | | | - | |
| Common stock, $.2222 stated value | | | | | | | | |
| Authorized, 22,500,000 shares | | | | | | | | |
| Issued, 5,011,656 and 4,998,106 shares | | | 1,114 | | | | 1,114 | |
| Additional paid-in capital | | | 26,551 | | | | 25,638 | |
| Retained earnings | | | 67,804 | | | | 60,982 | |
| Accumulated other comprehensive income (loss) | | | 628 | | | | 63 | |
| Less treasury stock, at cost, 1,759,424 shares | | | (17,152 | ) | | | (17,152 | ) |
| Total stockholders’ equity | | | 103,350 | | | | 70,645 | |
| Total liabilities and stockholders’ equity | | $ | 1,306,857 | | | $ | 1,258,874 | |
| | Horizon Bancorp and Subsidiaries |
| | Condensed Consolidated Statements of Income |
| | (Dollar Amounts in Thousands, Except Per Share Data) |
| | | Three Months Ended December 31 | | | Year Ended December 31 | |
| | | 2008 (Unaudited) | | | 2007 | | | 2008 (Unaudited) | | | 2007 | |
| Interest Income | | | | | | | | | | | | |
| Loans receivable | | $ | 14,038 | | | $ | 16,530 | | | $ | 57,801 | | | $ | 63,618 | |
| Investment securities | | | | | | | | | | | | | | | | |
| Taxable | | | 2,177 | | | | 2,372 | | | | 9,111 | | | | 8,389 | |
| Tax exempt | | | 833 | | | | 479 | | | | 3,323 | | | | 3,061 | |
| Total interest income | | | 17,048 | | | | 19,381 | | | | 70,235 | | | | 75,068 | |
| Interest Expense | | | | | | | | | | | | | | | | |
| Deposits | | | 3,984 | | | | 6,765 | | | | 19,536 | | | | 28,442 | |
| Borrowed funds | | | 2,990 | | | | 3,231 | | | | 11,772 | | | | 11,505 | |
| Subordinated debentures | | | 385 | | | | 513 | | | | 1,577 | | | | 2,313 | |
| Total interest expense | | | 7,359 | | | | 10,510 | | | | 32,885 | | | | 42,260 | |
| Net Interest Income | | | 9,689 | | | | 8,871 | | | | 37,350 | | | | 32,808 | |
| Provision for loan losses | | | 2,163 | | | | 1,928 | | | | 7,568 | | | | 3,068 | |
| Net Interest Income after Provision for Loan Losses | | | 7,526 | | | | 6,943 | | | | 29,782 | | | | 29,740 | |
| Other Income | | | | | | | | | | | | | | | | |
| Service charges on deposit accounts | | | 910 | | | | 954 | | | | 3,885 | | | | 3,469 | |
| Wire transfer fees | | | 146 | | | | 91 | | | | 528 | | | | 357 | |
| Fiduciary activities | | | 896 | | | | 956 | | | | 3,713 | | | | 3,556 | |
| Gain on sale of loans | | | 857 | | | | 758 | | | | 2,979 | | | | 2,566 | |
| Increase in cash surrender value of Bank owned life insurance | | | 219 | | | | 224 | | | | 920 | | | | 920 | |
| Death benefit officer life insurance | | | — | | | | — | | | | 538 | | | | — | |
| Gain (loss) on sale of securities | | | — | | | | 2 | | | | (15 | ) | | | 2 | |
| Other income | | | 341 | | | | 303 | | | | 1,283 | | | | 1,401 | |
| Total other income | | | 3,369 | | | | 3,288 | | | | 13,831 | | | | 12,271 | |
| Other Expenses | | | | | | | | | | | | | | | | |
| Salaries and employee benefits | | | 4,051 | | | | 4,007 | | | | 16,749 | | | | 17,154 | |
| Net occupancy expenses | | | 656 | | | | 641 | | | | 2,600 | | | | 2,418 | |
| Data processing and equipment expenses | | | 866 | | | | 603 | | | | 2,611 | | | | 2,516 | |
| Professional fees | | | 330 | | | | 214 | | | | 1,133 | | | | 1,169 | |
| Outside services and consultants | | | 326 | | | | 292 | | | | 1,147 | | | | 1,022 | |
| Loan expense | | | 552 | | | | 597 | | | | 2,223 | | | | 1,402 | |
| Other expenses | | | 1,449 | | | | 1,218 | | | | 6,316 | | | | 5,463 | |
| Total other expenses | | | 8,230 | | | | 7,572 | | | | 32,779 | | | | 31,144 | |
| Income Before Income Tax | | | 2,665 | | | | 2,659 | | | | 10,834 | | | | 10,867 | |
| Income tax expense | | | 543 | | | | 649 | | | | 1,862 | | | | 2,727 | |
| Net Income | | $ | 2,122 | | | $ | 2,010 | | | $ | 8,972 | | | $ | 8,140 | |
| Basic Earnings Per Share | | $ | .64 | | | $ | .63 | | | $ | 2.78 | | | $ | 2.54 | |
| Diluted Earnings Per Share | | $ | .64 | | | $ | .62 | | | $ | 2.75 | | | $ | 2.51 | |
