Exhibit 99.1
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FOR IMMEDIATE RELEASE | | November 8, 2011 |
Parkvale Financial Corporation, Monroeville, PA
announces earnings for the first quarter of fiscal 2012
Parkvale Financial Corporation(NASDAQ: PVSA)reported net income for the quarter ended September 30, 2011 of $1.4 million compared to net income of $2.2 million for the quarter ended September 30, 2010.Income available to common shareholders, after the payment of dividends on preferred stock, was $963,000 or $0.17 per diluted common share for the quarter ended September 30, 2011 compared to $1.8 million or $0.33 per diluted common share for the quarter ended September 30, 2010. The decrease in net income for the September 30, 2011 quarter primarily reflects a $1.2 million reduction in gain on sale of assets and a $624,000 decrease in net interest income. These factors were partially offset by a $996,000 decrease in non-cash debt security impairment charges and a $219,000 decrease in non-interest expense. The decrease in net interest income was attributed to the reinvestment of funds into short-term lower yielding government and agency securities and an increase in cash balances at the Federal Reserve. The lower non-interest expense was due primarily to a $365,000 decrease in compensation expense and a $309,000 decrease in FDIC insurance premium expense as a result of the FDIC’s revised deposit insurance rates effective April 1, 2011, offset by $325,000 of costs related to the pending merger with F.N.B. Corporation.
Parkvale Financial Corporation is the parent of Parkvale Bank, which has 47 offices in the Tri-State area and assets of $1.8 billion at September 30, 2011.
(Condensed Consolidated Statements of Operations and selected financial data is attached.)
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| Contact: | | Robert J. McCarthy, Jr. | | | | Gilbert A. Riazzi |
| | President and CEO | | | | Chief Financial Officer |
| | (412) 373-4815 | | | | (412) 373-4804 |
| | | | | | Email: gil.riazzi@parkvale.com |
PARKVALE FINANCIAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollar amounts in thousands except per share data)
(Unaudited)
| | | | | | | | |
| | | Three months ended
September 30, | |
| | | 2011 | | | 2010 | |
Total interest income | | $ | 14,842 | | | $ | 16,839 | |
Total interest expense | | | 6,607 | | | | 7,980 | |
| | | | | | | | |
Net interest income | | | 8,235 | | | | 8,859 | |
Provision for loan losses | | | 1,122 | | | | 1,034 | |
| | | | | | | | |
Net interest income after provision for losses | | | 7,113 | | | | 7,825 | |
Net impairment (losses) recognized in earnings | | | — | | | | (996 | ) |
Other noninterest income | | | 2,603 | | | | 4,082 | |
Total noninterest expense | | | 7,831 | | | | 8,050 | |
| | | | | | | | |
Income before income taxes | | | 1,885 | | | | 2,861 | |
Income tax expense | | | 525 | | | | 638 | |
| | | | | | | | |
Net income | | | 1,360 | | | | 2,223 | |
Preferred stock dividend | | | 397 | | | | 397 | |
| | | | | | | | |
Income to common shareholders | | $ | 963 | | | $ | 1,826 | |
| | | | | | | | |
Net income per basic common share | | $ | 0.17 | | | $ | 0.33 | |
Net income per diluted common share | | $ | 0.17 | | | $ | 0.33 | |
Cash dividends declared per common share | | $ | 0.02 | | | $ | 0.02 | |
SELECTED FINANCIAL DATA
(Dollar amounts in thousands except per share data)
| | | | | | | | | | | | |
| | | Sept. 30,
2011 | | | June 30,
2011 | | | Sept. 30,
2010 | |
Total assets | | $ | 1,797,958 | | | $ | 1,806,556 | | | $ | 1,819,632 | |
Total deposits | | | 1,488,127 | | | | 1,484,924 | | | | 1,480,482 | |
Total loans, net of allowance | | | 965,032 | | | | 983,996 | | | | 1,014,608 | |
Loan loss allowance | | | 18,663 | | | | 18,626 | | | | 19,624 | |
Nonperforming loans and foreclosed real estate | | | 36,348 | | | | 31,246 | | | | 36,476 | |
Ratio to total assets | | | 2.02 | % | | | 1.73 | % | | | 2.00 | % |
Allowance for loan losses as a % of gross loans | | | 1.90 | % | | | 1.86 | % | | | 1.90 | % |
Total shareholders’ equity | | $ | 125,002 | | | $ | 124,214 | | | $ | 118,397 | |
OTHER SELECTED DATA
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| | | Three months ended
September 30, | |
| | | 2011 | | | 2010 | |
Average yield earned on all interest-earning assets | | | 3.55 | % | | | 3.95 | % |
Average rate paid on all interest-bearing liabilities | | | 1.58 | % | | | 1.86 | % |
Average interest rate spread | | | 1.97 | % | | | 2.09 | % |
Net yield on average interest-earning assets | | | 1.97 | % | | | 2.08 | % |
Return on average assets | | | 0.30 | % | | | 0.48 | % |
Return on average equity | | | 3.94 | % | | | 6.68 | % |
Other expenses to average assets | | | 1.69 | % | | | 1.74 | % |
