Orrville, Ohio — National Bancshares Corporation, the holding company for First National Bank, reported net income of $507,000 for the quarter ended September 30, 2007. The third quarter 2007 earnings compares to $303,000 for the same period in 2006. Earnings per share for the third quarter of 2007 and 2006 were $0.23 and $0.14.
Net interest income for the quarter ended September 30, 2007, was $2,741,000, a decrease of 2.8% from $2,820,000 for the same period in 2006. Net interest income was impacted by both an increase in the yields on earning assets and an increase in the cost of funds. Noninterest income for the quarter ended September 30, 2007, increased 28.9% from $429,000 in 2006 to $553,000 in 2007. Noninterest expense for the third quarter of 2007 was $2,620,000, a decrease of 7.0% from $2,818,000 for the same period in 2006. The decrease in noninterest expense was due primarily to a reduction in salaries and employee benefits and marketing expenses.
Total assets decreased 1.7% to $303,055,000 as of September 30, 2007, from $308,358,000 at December 31, 2006. Securities available for sale was $82,782,000 as of September 30, 2007, compared to $86,000,000 at December 31, 2006. Loans, net of the allowance for loan losses increased $7.7 million or 4.2% to $192,158,000 as of September 30, 2007, compared to $184,481,000 at December 31, 2006. Deposits decreased 2.2% to $242,133,000 as of September 30, 2007, compared to $247,681,000 at December 31, 2006.
National Bancshares Corporation’s subsidiary, First National Bank, is headquartered in Orrville, Ohio with thirteen banking offices in Orrville, Massillon, Wooster, Apple Creek, Dalton, Kidron, Lodi, Mt. Eaton, Seville and Smithville.
Forward-Looking Statements — This press release contains forward-looking statements as referenced in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are subject to many risks and uncertainties. Actual results could differ materially from those indicated by the forward-looking statements. These include factors such as changes in the regulatory environment, changes in business conditions and inflation, risks associated with credit quality and other factors discussed in the Company’s filings with the U.S. Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2006. The Company assumes no obligation to update any forward-looking statement.
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