CCFNB Bancorp (CCFN) 8-K CCFNB Bancorp, Inc. Reports First Quarter 2013 Earnings

Press Release – For Immediate Release

May 7, 2013

CCFNB Bancorp, Inc. Reports First Quarter 2013 Earnings

Bloomsburg, PA – CCFNB Bancorp, Inc. (OTC: CCFN), parent company of First Columbia Bank & Trust Co., has released its unaudited financial statements for the first quarter of 2013.

Net income, as reported under U.S. Generally Accepted Accounting Principles, for the three months ended March 31, 2013 was $1,697,000 compared to $1,818,000 for the same period in 2012. Earnings per share for the three months ended March 31, 2013 and 2012 were $0.78 and $0.82, respectively. Annualized return on average assets and return on average equity were 1.11% and 9.04% for the three months ended March 31, 2013 as compared to 1.17% and 10.10% for the same period of 2012.

The net interest margin, tax effected, on interest earning assets was 3.39% as of March 31, 2013 as compared to 3.47% as of March 31, 2012.

Total assets increased $8.8 million to $616.5 million at March 31, 2013 from $607.7 million at December 31, 2012. Since the end of 2012, investment securities increased $15.3 million while net loans decreased 1.0% or $3.6 million. Total deposits increased $7.0 million while short term borrowings increased $526 thousand since the end of 2012.

When compared to December 31, 2012, stockholders’ equity, excluding accumulated other comprehensive income, has increased $815 thousand to $73.3 million as of March 31, 2013. The current level of stockholders’ equity equated to a book value per share of $34.49 at March 31, 2013 as compared with $34.10 as of December 31, 2012. For the three months ended March 31, 2013 cash dividends of $.33 per share were paid to stockholders as compared to $.31 for the same 2012 period. CCFNB Bancorp, Inc. remains well capitalized, with an equity-to assets ratio of 12.2 % as of March 31, 2013 and 12.3% at December 31, 2012.

Note: This press release may contain forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results and trends could differ materially from those set forth in such statements due to various factors. These factors include operating, legal and regulatory risks; changing economic and competitive conditions and other risks and uncertainties.

CCFNB Bancorp, Inc.

Consolidated Balance Sheets

(In Thousands)	March 31			December 31,
	2013			2012
ASSETS
Cash and due from banks	$	17,200		$	10,391
Interest-bearing deposits in other banks		9,076			10,146
Federal funds sold		541			2,054
Total cash and cash equivalents		26,817			22,591
Investment securities, available for sale, at fair value		185,705			170,444
Restricted securities, at cost		3,525			3,355
Loans held for sale		3,259			10,824
Loans, net of unearned income		360,290			363,941
Less: Allowance for loan losses		6,164			6,186
Loans, net		354,126			357,755
Premises and equipment, net		11,797			11,935
Accrued interest receivable		1,694			1,592
Cash surrender value of bank-owned life insurance		15,122			14,975
Investment in limited partnerships		1,360			1,413
Intangible Assets:
Core deposit		1,111			1,203
Goodwill		7,937			7,937
Prepaid FDIC assessment		793			864
Other assets		3,283			2,833
TOTAL ASSETS	$	616,529		$	607,721
LIABILITIES
Interest-bearing deposits	$	389,905		$	382,133
Noninterest-bearing deposits		80,085			80,895
Total deposits		469,990			463,028
Short-term borrowings		64,552			64,026
Long-term borrowings		4,111			4,112
Accrued interest payable		302			333
Other liabilities		2,348			1,686
TOTAL LIABILITIES		541,303			533,185
STOCKHOLDERS' EQUITY
Common stock, par value $1.25 per share; authorized
15,000,000 shares, issued  2,319,262 shares in 2013
and 2,315,646 shares in 2012		2,899			2,894
Surplus		29,060			28,931
Retained earnings		45,690			44,713
Accumulated other comprehensive income		1,921			2,046
Treasury stock, at cost; 137,900 shares in 2013 and 129,900 shares in 2012		(4,344	)		(4,048	)
TOTAL STOCKHOLDERS' EQUITY		75,226			74,536
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$	616,529		$	607,721

CCFNB Bancorp, Inc.

Consolidated Statements of Income

(Unaudited)

	For the Three Months Ended
(In Thousands, Except Per Share Data)	March 31,
	2013		2012
INTEREST AND DIVIDEND INCOME
Interest and fees on loans:
Taxable	$	4,080	$	4,240
Tax-exempt		263		282
Interest and dividends on investment securities:
Taxable		629		1,056
Tax-exempt		191		167
Dividend and other interest income		20		15
Federal funds sold		-		-
Deposits in other banks		14		18
TOTAL INTEREST AND DIVIDEND INCOME		5,197		5,778
INTEREST EXPENSE
Deposits		602		888
Short-term borrowings		46		79
Long-term borrowings		29		40
TOTAL INTEREST EXPENSE		677		1,007
NET INTEREST INCOME		4,520		4,771
PROVISION FOR LOAN LOSSES		30		30
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES		4,490		4,741
NON-INTEREST INCOME
Service charges and fees		339		368
Gain on sale of loans		443		373
Earnings on bank-owned life insurance		122		126
Brokerage		118		98
Trust		150		149
Interchange fees		255		252
Other		226		228
TOTAL NON-INTEREST INCOME		1,653		1,594
NON-INTEREST EXPENSE
Salaries		1,650		1,606
Employee benefits		548		545
Occupancy		278		262
Furniture and equipment		281		278
State shares tax		166		160
Professional fees		168		163
Director's fees		68		63
FDIC assessments		79		80
Telecommunications		64		64
Amortization of core deposit intangible		92		109
Automated teller machine and interchange		129		185
Other		374		396
TOTAL NON-INTEREST EXPENSE		3,897		3,911
INCOME BEFORE INCOME TAX PROVISION		2,246		2,424
INCOME TAX PROVISION		549		606
NET INCOME	$	1,697	$	1,818
EARNINGS PER SHARE	$	0.78	$	0.82
CASH DIVIDENDS PER SHARE	$	0.33	$	0.31
WEIGHTED AVERAGE SHARES OUTSTANDING		2,184,833		2,206,959

	Quarter Ended
(Dollars in Thousands, Except Per Share Data)	3/31/2013			12/31/2012			9/30/2012			6/30/2012			3/31/2012
Operating Highlights
Net income	$	1,697		$	1,692		$	1,764		$	1,879		$	1,818
Net interest income		4,520			4,674			4,836			4,894			4,771
Provision for loan losses		30			470			305			30			30
Non-interest income		1,653			1,902			1,778			1,702			1,594
Non-interest expense		3,897			3,887			3,972			4,052			3,911
Financial Condition Data:
Total assets	$	616,529		$	607,721		$	644,093		$	613,819		$	631,223
Loans, net		354,126			357,755			351,323			348,820			338,497
Intangibles		9,048			9,140			9,249			9,358			9,467
Total deposits
Noninterest-bearing	$	80,085		$	80,895		$	83,017		$	77,963		$	81,828
Savings		82,572			78,833			74,492			75,296			76,120
NOW		77,021			75,666			74,442			78,079			79,987
Money Market		48,849			43,840			50,417			47,296			46,090
Time Deposits		181,463			183,794			207,292			200,534			199,151
Total interest-bearing deposits		389,905			382,133			406,643			401,205			401,348
Core deposits*		288,527			279,234			282,368			278,634			284,025
Selected Ratios
Net interest margin(YTD)		3.39	%		3.49	%		3.52	%		3.55	%		3.47	%
Annualized return on average assets		1.11	%		1.15	%		1.17	%		1.20	%		1.17	%
Annualized return on average equity		9.04	%		9.71	%		9.96	%		10.19	%		10.10	%
Capital Ratios
Total risk-based capital ratio		20.68	%		19.75	%		19.86	%		19.63	%		18.81	%
Tier 1 capital ratio		19.39	%		18.48	%		18.61	%		18.37	%		17.53	%
Leverage ratio		10.69	%		10.36	%		10.15	%		10.20	%		9.89	%
Asset Quality Ratios
Non-performing assets	$	3,815		$	4,074		$	4,213		$	4,583		$	5,298
Allowance for loan losses		6,164			6,186			5,694			5,429			5,419
Allowance for loan losses to total loans		1.70	%		1.65	%		1.58	%		1.52	%		1.56	%
Allowance for loan losses to non-performing loans		161.58	%		151.81	%		132.82	%		118.47	%		104.20	%
Per Share Data
Earnings per share	$	0.78		$	0.77		$	0.80		$	0.86		$	0.82
Dividend declared per share		0.33			0.33			0.33			0.33			0.31
Book value		34.49			34.10			33.87			33.31			32.75
Common stock price:
Bid	$	36.85		$	36.60		$	35.70		$	35.05		$	35.40
Ask		36.90			37.00			39.00			35.40			35.65
Weighted average common shares		2,184,833			2,196,285			2,197,306			2,201,890			2,206,959

* Core deposits are defined as total deposits less time deposits