Century Bancorp (CNBKA) 8-K Century Bancorp, Inc. Announces Increased Earnings for Q1 2014, Up 10.2%; Asset Growth to Record Size of $3.5 BB; Regular Dividend Declared

Exhibit 99.1

NEWS RELEASE

FOR IMMEDIATE RELEASE

Contact:	William P. Hornby, CPA
	whornby@centurybank.com
Phone:	781-393-4630
Fax:	781-393-4071

CENTURY BANCORP, INC. ANNOUNCES INCREASED EARNINGS FOR Q1 2014, UP 10.2%; ASSET GROWTH TO RECORD SIZE OF $3.5 BB; REGULAR DIVIDEND DECLARED

Medford, MA, April 8, 2014—Century Bancorp, Inc. (NASDAQ:CNBKA) (www.centurybank.com) (“the Company”) today announced net income of $4,932,000 for the quarter ended March 31, 2014, or $0.89 per Class A share diluted, an increase of 10.2% compared to net income of $4,476,000, or $0.81 per Class A share diluted, for the same period a year ago. Total assets increased 2.0% from $3.4 billion at December 31, 2013 to $3.5 billion at March 31, 2014.

Net interest income totaled $16.5 million for the quarter ended March 31, 2014 compared to $14.5 million for the same period in 2013. The 13.5% increase in net interest income for the period is primarily due to an increase in average earning assets. The net interest margin increased from 2.25% on a fully taxable equivalent basis in 2013 to 2.27% on the same basis for 2014. This was primarily the result of a decrease in rates paid on deposits and borrowed funds. Also, interest expense increased slightly as a result of an increase in deposit balances and there was a 13.0% increase in the average balances of earning assets, combined with a similar increase in average deposits.

The provision for loan losses decreased by $150,000 from $750,000 for the quarter ended March 31, 2013 to $600,000 for the quarter ended March 31, 2014, primarily as a result of changes in the portfolio composition. There were no realized gains on sales of investments for the quarter ended March 31, 2014, as compared to $883,000 for the same period in 2013. The Company’s effective tax rate decreased from 6.0% in 2013 to 5.6% in 2014 primarily as a result of an increase in tax-exempt income.

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At March 31, 2014, total equity was $182.1 million compared to $176.5 million at December 31, 2013. The Company’s equity increased primarily as a result of earnings and a decrease in other comprehensive loss, net of taxes, offset somewhat by dividends paid. Other comprehensive loss, net of taxes, decreased as a result of a decrease in unrealized losses on securities available-for-sale and securities transferred from available-for-sale to held-to-maturity. During the third quarter of 2013, $987.0 million of securities available-for-sale with unrealized losses of $25.3 million were transferred to securities held-to-maturity. This was done in response to rising interest rates.

The Company’s leverage ratio stood at 6.57% at March 31, 2014, compared to 6.50% at December 31, 2013. The increase in the leverage ratio was due to an increase in stockholders’ equity, offset somewhat, by an increase in assets. Book value as of March 31, 2014 was $32.77 per share compared to $31.76 at December 31, 2013.

The Company’s allowance for loan losses was $21.3 million or 1.68% of loans outstanding at March 31, 2014, compared to $20.9 million or 1.66% of loans outstanding at December 31, 2013 and $19.8 million or 1.74% of loans outstanding at March 31, 2013. The increase in the allowance for loan losses was due to the composition of the loan portfolio as well as qualitative factors.Non-performing assets totaled $1.6 million at March 31, 2014, compared to $2.5 million at December 31, 2013 and $4.1 million at March 31, 2013.

The Company’s Board of Directors voted a regular quarterly dividend of 12.00 cents ($0.12) per share on the Company’s Class A common stock, and 6.00 cents ($0.06) per share on the Company’s Class B common stock. The dividends were declared payable May 15, 2014 to stockholders of record on May 1, 2014.

The Company, through its subsidiary bank, Century Bank and Trust Company, a state chartered full service commercial bank, operating twenty-six full-service branches in the Greater Boston area, offers a full range of Business, Personal and Institutional Services.

Century Bank and Trust Company is a member of the FDIC and is an Equal Housing Lender.

This press release contains certain “forward-looking statements” with respect to the financial condition, results of operations and business of the Company. Actual results may differ from those contemplated by these statements. The Company wishes to caution readers not to place undue reliance on any forward-looking statements. The Company disclaims any intent or obligation to update publicly any such forward-looking statements, whether in response to new information, future events or otherwise.

Century Bancorp, Inc. and Subsidiaries

Consolidated Comparative Statements of Condition (unaudited)

(in thousands)

	March 31, 2014		December 31, 2013
Assets
Cash and Due From Banks	$	80,087	$	59,956
Federal Funds Sold and Interest-bearing Deposits In Other Banks		83,306		34,722
Short-term Investments		4,625		4,617
Securities Available-For-Sale (AFS)		473,302		464,245
Securities Held-to-Maturity		1,478,450		1,487,884
Federal Home Loan Bank of Boston stock, at cost		18,872		18,072
Loans:
Commercial & Industrial		95,775		92,402
Construction & Land Development		25,928		33,058
Commercial Real Estate		708,550		713,327
Residential Real Estate		290,466		286,041
Consumer and Other		9,542		9,658
Home Equity		133,800		130,277
Total Loans		1,264,061		1,264,763
Less: Allowance for Loan Losses		21,259		20,941
Net Loans		1,242,802		1,243,822
Bank Premises and Equipment		23,450		23,400
Accrued Interest Receivable		6,338		6,539
Goodwill		2,714		2,714
Other Assets		86,101		85,183
Total Assets	$	3,500,047	$	3,431,154
Liabilities
Demand Deposits	$	489,679	$	475,862
Interest Bearing Deposits:
Savings and NOW Deposits		1,018,871		992,796
Money Market Accounts		874,264		864,957
Time Deposits		381,199		382,224
Total Interest Bearing Deposits		2,274,334		2,239,977
Total Deposits		2,764,013		2,715,839
Borrowed Funds:
Securities Sold Under Agreements to Repurchase		210,650		214,440
Other Borrowed Funds		272,644		255,144
Total Borrowed Funds		483,294		469,584
Other Liabilities		34,575		33,176
Subordinated Debentures		36,083		36,083
Total Liabilities		3,317,965		3,254,682
Total Stockholders’ Equity		182,082		176,472
Total Liabilities & Stockholders’ Equity	$	3,500,047	$	3,431,154

Century Bancorp, Inc. and Subsidiaries

Consolidated Comparative Statements of Income (unaudited)

For the Quarter ended March 31, 2014 and 2013

(in thousands)

	Quarter ended March 31,
	2014		2013
Interest Income:
Loans	$	12,449	$	11,881
Securities Held-to-Maturity		7,780		1,520
Securities Available-for-Sale		820		5,617
Federal Funds Sold and Interest-bearing Deposits In Other Banks		82		119
Total Interest Income		21,131		19,137
Interest Expense:
Savings and NOW Deposits		609		610
Money Market Accounts		639		532
Time Deposits		1,085		1,334
Securities Sold Under Agreements to Repurchase		101		90
Other Borrowed Funds and Subordinated Debentures		2,183		2,026
Total Interest Expense		4,617		4,592
Net Interest Income		16,514		14,545
Provision For Loan Losses		600		750
Net Interest Income After
Provision for Loan Losses		15,914		13,795
Other Operating Income
Service Charges on Deposit Accounts		2,034		1,942
Lockbox Fees		777		772
Net Gain on Sales of Investments		—		883
Net Gain on Sales of Loans		7		170
Other Income		652		667
Total Other Operating Income		3,470		4,434
Operating Expenses
Salaries and Employee Benefits		8,875		8,618
Occupancy		1,442		1,282
Equipment		572		582
FDIC Assessment		480		400
Other		2,790		2,583
Total Operating Expenses		14,159		13,465
Income Before Income Taxes		5,225		4,764
Income Tax Expense		293		288
Net Income	$	4,932	$	4,476

Century Bancorp, Inc. and Subsidiaries

Consolidated Year-to-Date Average Comparative Statements of Condition (unaudited)

(in thousands)

	March 31,			March 31,
	2014			2013
Assets
Cash and Due From Banks	$	65,827		$	57,871
Federal Funds Sold and Interest-Bearing Deposits in Other Banks		121,093			170,727
Securities Available-For-Sale (AFS)		494,242			1,419,589
Securities Held-to-Maturity (HTM)		1,492,839			268,199
Total Loans		1,265,049			1,126,752
Less: Allowance for Loan Losses		21,193			19,503
Net Loans		1,243,856			1,107,249
Unrealized (Loss)Gain on Securities AFS and HTM Transfers		(23,077	)		16,539
Bank Premises and Equipment		23,336			23,806
Accrued Interest Receivable		7,195			6,032
Goodwill		2,714			2,714
Other Assets		86,313			69,459
Total Assets	$	3,514,338		$	3,142,185
Liabilities
Demand Deposits	$	468,623		$	417,886
Interest Bearing Deposits:
Savings and NOW Deposits		1,072,313			988,678
Money Market Accounts		904,036			701,837
Time Deposits		376,793			394,669
Total Interest Bearing Deposits		2,353,142			2,085,184
Total Deposits		2,821,765			2,503,070
Borrowed Funds:
Securities Sold Under Agreements to Repurchase		226,927			208,306
Other Borrowed Funds		216,212			174,522
Total Borrowed Funds		443,139			382,828
Other Liabilities		33,610			40,045
Subordinated Debentures		36,083			36,083
Total Liabilities		3,334,597			2,962,026
Total Stockholders’ Equity		179,741			180,159
Total Liabilities & Stockholders’ Equity	$	3,514,338		$	3,142,185
Total Average Earning Assets - YTD	$	3,373,223		$	2,985,267

Century Bancorp, Inc. and Subsidiaries

Consolidated Selected Key Financial Information (unaudited)

(in thousands, except share data)

	March 31, 2014			March 31, 2013
Performance Measures:
Earnings per average Class A share, diluted, quarter	$	0.89		$	0.81
Return on average assets, year-to-date		0.57	%		0.58	%
Return on average stockholders’ equity, year-to-date		11.13	%		10.08	%
Net interest margin (taxable equivalent), quarter		2.27	%		2.25	%
Efficiency ratio, year-to-date		63.3	%		64.0	%
Book value per share	$	32.77		$	32.58
Tangible book value per share	$	32.28		$	32.09
Tangible capital / tangible assets		5.13	%		5.64	%
Common Share Data:
Average Class A shares outstanding, diluted, quarter		5,558,177			5,557,365
Shares outstanding Class A		3,582,479			3,569,679
Shares outstanding Class B		1,974,180			1,986,880
Total shares outstanding at period end		5,556,659			5,556,559
Asset Quality and Other Data:
Allowance for loan losses / loans		1.68	%		1.74	%
Nonaccrual loans	$	1,560		$	4,144
Nonperforming assets	$	1,560		$	4,144
Loans 90 days past due and still accruing	$	—		$	—
Accruing troubled debt restructures	$	5,811		$	3,023
Net charge-offs, year-to-date	$	282		$	188
Leverage ratio		6.57	%		6.83	%
Tier 1 risk weighted capital ratio		13.84	%		14.30	%
Total risk weighted capital ratio		15.09	%		15.55	%
Total risk weighted assets	$	1,672,745		$	1,493,339