Exhibit 99.1
 | News Release Republic First Bancorp, Inc. July 24, 2012 |
REPUBLIC FIRST BANCORP, INC. REPORTS NET INCOME OF $1.0 MILLION FOR SECOND QUARTER 2012
Philadelphia, PA, July 24, 2012 (PR Newswire) – Republic First Bancorp, Inc. (NASDAQ: FRBK), the holding company for Republic Bank, today announced its financial results for the three month period ended June 30, 2012. The Company recorded net income of $1.0 million, or $0.04 per share, for the second quarter of 2012 compared to a net loss of $480,000, or $0.02 per share, for the second quarter of 2011.
“We are very pleased with the financial results of the second quarter,” said Harry D. Madonna, the Company’s Chairman and Chief Executive Officer. “The substantial improvement in asset quality over the past year enables us to focus on the actions necessary to achieve consistent and sustainable profitability for the bank.”
Highlights for the Period Ending June 30, 2012
| Ø | The Company recorded net income of $1.0 million, or $0.04 per share, for the quarter ended June 30, 2012 compared to a net loss of $480,000, or $0.02 per share, for the quarter ended June 30, 2011. |
| Ø | Asset quality has improved significantly year over year. Non-performing assets decreased by $35.0 million, or 67%, to $17.0 million as of June 30, 2012 compared to $52.0 million as of June 30, 2011. Non-performing assets as a percentage of total assets decreased to 1.81% as of June 30, 2012 compared to 5.78% as of June 30, 2011. |
| Ø | Core deposits increased by $72.6 million, or 10%, to $790.6 million as of June 30, 2012 compared to $718.1 million as of June 30, 2011 driven by the Company’s retail strategy focused on relationship banking and gathering low cost core deposits. |
| Ø | Total assets increased by $37.5 million to $938.4 million as of June 30, 2012 compared to $900.9 million as of June 30, 2011. |
| Ø | Capital levels remain strong with a Total Risk-Based Capital ratio of 12.87% and a Tier I Leverage Ratio of 8.99% at June 30, 2012. |
| Ø | Tangible book value per share as of June 30, 2012 was $2.59. |
| Ø | SBA lending continued to grow as an important component of the Company’s lending strategy. $12.7 million in new SBA loans were originated during the second quarter of 2012. Our team is now ranked as the #1 SBA lender in the New Jersey, #3 in Pennsylvania, and #23 nationally based on the dollar volume of loan originations. |
Income Statement
The Company reported net income of $1.0 million or $0.04 per share, for the three months ended June 30, 2012, compared to a net loss of $480,000, or $0.02 per share, for the three months ended June 30, 2011. Net income for the six month period ended June 30, 2012 was $2.3 million, or $0.09 per share, compared to a net loss of $3.0 million, or $0.12 per share, for the six months ended June 30, 2011.
Earnings continue to improve on a year to year basis as the loan loss provision and other credit costs decrease due to the substantial improvement in asset quality. The Company recorded a loan loss provision in the amount of $0.5 million during the quarter ended June 30, 2012 compared to a $1.5 million provision in the same period one year ago. For the six month period ended June 30, 2012, the Company recorded a negative provision in the amount of $0.3 million compared to a $5.1 million provision during the six months ended June 30, 2011.
The Company continues to lower its cost of funds as evidenced by a decrease of 10 basis points to 0.73% for the three months ended June 30, 2012, compared to 0.83% for the three months ended March 31, 2012. The net interest margin increased to 3.59% for the three month period ended June 30, 2012 compared to 3.35% for the three month period ended March 31, 2012.
Non-interest income increased to $2.5 million for the three months ended June 30, 2012 compared to $2.1 million for the three months ended June 30, 2011, primarily due to gains on sales of investment securities recognized in the current quarter.
Balance Sheet
The major components of the balance sheet are as follows (dollars in thousands):
Description | June 30, 2012 | June 30, 2011 | % Change | March 31, 2012 | % Change | |||||||||||||||
| Total assets | $ | 938,391 | $ | 900,892 | 4 | % | $ | 958,288 | (2 | %) | ||||||||||
| Total loans (net) | 595,528 | 624,280 | (5 | %) | 592,506 | 1 | % | |||||||||||||
| Total deposits | 841,314 | 783,102 | 7 | % | 857,374 | (2 | %) | |||||||||||||
| Total core deposits | 790,616 | 718,053 | 10 | % | 805,911 | (2 | %) | |||||||||||||
Total assets increased by $37.5 million, or 4%, as of June 30, 2012 when compared to June 30, 2011. The Company experienced strong growth in core deposits year over year as a result of the retail strategy which focuses on relationship banking. Core deposits grew by $72.6 million, or 10%, to $790.6 million as of June 30, 2012 compared to $718.1 million as of June 30, 2011.
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Core Deposits
Core deposits by type of account are as follows (dollars in thousands):
Description | June 30, 2012 | June 30, 2011 | % Change | March 31, 2012 | % Change | 2nd Qtr 2012 Cost of Funds | ||||||||||||||||||
| Demand noninterest-bearing | $ | 130,143 | $ | 113,641 | 15 | % | $ | 128,935 | 1 | % | 0.00 | % | ||||||||||||
| Demand interest-bearing | 144,754 | 97,149 | 49 | % | 103,385 | 40 | % | 0.59 | % | |||||||||||||||
| Money market and savings | 420,700 | 321,971 | 31 | % | 447,974 | (6 | %) | 0.63 | % | |||||||||||||||
| Certificates of deposit | 95,019 | 185,292 | (49 | %) | 125,617 | (24 | %) | 1.05 | % | |||||||||||||||
| Total core deposits | $ | 790,616 | $ | 718,053 | 10 | % | $ | 805,911 | (2 | %) | 0.58 | % | ||||||||||||
Core deposits increased to $790.6 million at June 30, 2012 compared to $718.1 million at June 30, 2011 as the Company continues to focus its effort on the gathering of low-cost core deposits. We experienced strong growth in the demand, savings and money market categories on a year to year basis. At the same time the Company reduced the overall deposit cost of funds to 0.62% for the three month period ending June 30, 2012 compared to 0.92% for the three month period ending June 30, 2011. The retail banking strategy has also enabled the Company to significantly reduce its dependence on wholesale funding sources in the brokered and public fund certificate of deposit market.
Lending
Loans by type are as follows (dollars in thousands):
Description | June 30, 2012 | % of Total | June 30, 2011 | % of Total | March 31, 2012 | % of Total | ||||||||||||||||||
| Commercial real estate | $ | 333,961 | 55 | % | $ | 388,081 | 61 | % | $ | 343,838 | 57 | % | ||||||||||||
| Construction and land development | 36,306 | 6 | % | 67,576 | 10 | % | 35,424 | 6 | % | |||||||||||||||
| Commercial and industrial | 102,382 | 17 | % | 81,783 | 13 | % | 96,586 | 16 | % | |||||||||||||||
| Owner occupied real estate | 112,338 | 19 | % | 81,799 | 13 | % | 107,804 | 18 | % | |||||||||||||||
| Consumer and other | 17,707 | 3 | % | 16,358 | 2 | % | 16,832 | 3 | % | |||||||||||||||
| Residential mortgage | 2,488 | 0 | % | 4,221 | 1 | % | 3,114 | 0 | % | |||||||||||||||
| Deferred costs (fees) | (269 | ) | (430 | ) | (336 | ) | ||||||||||||||||||
| Gross loans | $ | 604,913 | 100 | % | $ | 639,388 | 100 | % | $ | 603,262 | 100 | % | ||||||||||||
Gross loans decreased by $34.5 million to $604.9 million at June 30, 2012 compared to $639.4 million at June 30, 2011. This decrease was primarily driven by a bulk sale of non-performing loans and foreclosed properties during the fourth quarter of 2011 which substantially improved asset quality for the Company. Gross loans increased by $1.7 million on a linked quarter basis to $604.9 million as of June 30, 2012.
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Asset Quality
The Company’s non-performing asset balances and asset quality ratios are highlighted below (dollars in thousands):
| Quarter Ended | ||||||||||||
Ratio | June 30, 2012 | June 30, 2011 | March 31, 2012 | |||||||||
| Non-performing loans | $ | 10,892 | $ | 38,929 | $ | 10,722 | ||||||
| Other real estate owned | 6,135 | 13,109 | 6,135 | |||||||||
| Total non-performing assets | $ | 17,027 | $ | 52,038 | $ | 16,857 | ||||||
| Non-performing assets/total assets | 1.81 | % | 5.78 | % | 1.76 | % | ||||||
| Quarterly net loan charge-offs/average loans | 1.24 | % | 0.53 | % | 0.37 | % | ||||||
| Allowance for loan losses/gross loans | 1.55 | % | 2.36 | % | 1.78 | % | ||||||
| Allowance for loan losses/non-performing loans | 86 | % | 39 | % | 100 | % | ||||||
| Non-performing assets/capital and reserves | 22 | % | 51 | % | 22 | % | ||||||
Non-performing assets decreased by $35.0 million to $17.0 million, or 1.81% of total assets, at June 30, 2012, compared to $52.0 million, or 5.78% of total assets, as of June 30, 2011. The allowance for loan losses as a percentage of non-performing loans increased to 86% as of June 30, 2012, compared to 39% as of June 30, 2011. The ratio of non-performing loans to capital and reserves improved to 22% as of June 30, 2012 compared to 51% one year ago.
Capital
The Company’s capital regulatory ratios at June 30, 2012 were as follows:
| Republic First Bancorp, Inc. | Regulatory Guidelines “Well Capitalized” | |||||||
| Leverage Ratio | 8.99 | % | 5.00 | % | ||||
| Tier 1 Risk Based Capital | 11.62 | % | 6.00 | % | ||||
| Total Risk Based Capital | 12.87 | % | 10.00 | % | ||||
Total shareholders’ equity was $67.3 million at June 30, 2012 which represented a book value per share of $2.59, based on common shares outstanding of approximately 26.0 million.
The Company, along with its banking subsidiary, continue to maintain strong capital ratios and are considered well capitalized under the regulatory guidelines as established by federal banking agencies.
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About Republic Bank
Republic Bank, a subsidiary of Republic First Bancorp, Inc., is a full-service, state-chartered commercial bank, whose deposits are insured up to the applicable limits by the Federal Deposit Insurance Corporation (FDIC). The Bank provides diversified financial products through its thirteen offices located in Abington, Ardmore, Bala Cynwyd, Plymouth Meeting, Media and Philadelphia, Pennsylvania and Voorhees and Haddonfield, New Jersey. For more information about Republic Bank, visit myrepublicbank.com.
Forward Looking Statements
The Company may from time to time make written or oral “forward-looking statements”, including statements contained in this release and in the Company's filings with the Securities and Exchange Commission. The forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected in the forward-looking statements. For example, risks and uncertainties can arise with changes in: general economic conditions, including turmoil in the financial markets and related efforts of government agencies to stabilize the financial system; the adequacy of our allowance for loan losses and our methodology for determining such allowance; adverse changes in our loan portfolio and credit risk-related losses and expenses; concentrations within our loan portfolio, including our exposure to commercial real estate loans, and to our primary service area; changes in interest rates; business conditions in the financial services industry, including competitive pressure among financial services companies, new service and product offerings by competitors, price pressures and similar items; deposit flows; loan demand; the regulatory environment, including evolving banking industry standards, changes in legislation or regulation; impact of the Dodd-Frank Wall Street Reform and Consumer Protection Act; our securities portfolio and the valuation of our securities; accounting principles, policies and guidelines as well as estimates and assumptions used in the preparation of our financial statements; rapidly changing technology; litigation liabilities, including costs, expenses, settlements and judgments; and other economic, competitive, governmental, regulatory and technological factors affecting our operations, pricing, products and services. You should carefully review the risk factors described in the Form 10-K for the year ended December 31, 2011 and other documents the Company files from time to time with the Securities and Exchange Commission. The words “would be,” “could be,” “should be,” “probability,” “risk,” “target,” “objective,” “may,” “will,” “estimate,” “project,” “believe,” “intend,” “anticipate,” “plan,” “seek,” “expect” and similar expressions or variations on such expressions are intended to identify forward-looking statements. All such statements are made in good faith by the Company pursuant to the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. The Company does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company, except as may be required by applicable law or regulations.
Source:
Republic First Bancorp, Inc.
Contact:
Frank A. Cavallaro, CFO
(215) 735-4422
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| Republic First Bancorp, Inc. | ||||||||||||
| Consolidated Balance Sheets | ||||||||||||
| (Unaudited) | ||||||||||||
| June 30, | March 31, | June 30, | ||||||||||
| (dollars in thousands) | 2012 | 2012 | 2011 | |||||||||
| ASSETS | ||||||||||||
| Cash and due from banks | $ | 8,712 | $ | 8,627 | $ | 10,164 | ||||||
| Interest-bearing deposits and federal funds sold | 90,410 | 109,604 | 13,468 | |||||||||
| Total cash and cash equivalents | 99,122 | 118,231 | 23,632 | |||||||||
| Securities - Available for sale | 179,794 | 182,805 | 162,222 | |||||||||
| Securities - Held to maturity | 66 | 140 | 139 | |||||||||
| Restricted stock | 4,816 | 5,062 | 5,881 | |||||||||
| Total investment securities | 184,676 | 188,007 | 168,242 | |||||||||
| Loans held for sale | 975 | 1,875 | 5,827 | |||||||||
| Loans receivable | 604,913 | 603,262 | 639,388 | |||||||||
| Allowance for loan losses | (9,385 | ) | (10,756 | ) | (15,108 | ) | ||||||
| Net loans | 595,528 | 592,506 | 624,280 | |||||||||
| Premises and equipment | 22,772 | 23,131 | 24,342 | |||||||||
| Other real estate owned | 6,135 | 6,135 | 13,109 | |||||||||
| Other assets | 29,183 | 28,403 | 41,460 | |||||||||
| Total Assets | $ | 938,391 | $ | 958,288 | $ | 900,892 | ||||||
| LIABILITIES | ||||||||||||
| Non-interest bearing deposits | $ | 130,143 | $ | 128,935 | $ | 113,641 | ||||||
| Interest bearing deposits | 711,171 | 728,439 | 669,461 | |||||||||
| Total deposits | 841,314 | 857,374 | 783,102 | |||||||||
| Short-term borrowings | - | 4,516 | - | |||||||||
| Subordinated debt | 22,476 | 22,476 | 22,476 | |||||||||
| Other liabilities | 7,341 | 7,519 | 8,149 | |||||||||
| Total Liabilities | 871,131 | 891,885 | 813,727 | |||||||||
| SHAREHOLDERS' EQUITY | ||||||||||||
| Common stock - $0.01 par value | 265 | 265 | 265 | |||||||||
| Additional paid-in capital | 106,575 | 106,472 | 106,192 | |||||||||
| Accumulated deficit | (35,530 | ) | (36,537 | ) | (16,128 | ) | ||||||
| Treasury stock at cost | (3,099 | ) | (3,099 | ) | (3,099 | ) | ||||||
| Stock held by deferred compensation plan | (809 | ) | (809 | ) | (809 | ) | ||||||
| Accumulated other comprehensive income (loss) | (142 | ) | 111 | 744 | ||||||||
| Total Shareholders' Equity | 67,260 | 66,403 | 87,165 | |||||||||
| Total Liabilities and Shareholders' Equity | $ | 938,391 | $ | 958,288 | $ | 900,892 | ||||||
| Republic First Bancorp, Inc. | ||||||||||||||||||||
| Consolidated Statements of Operations | ||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||||
| June 30, | March 31, | June 30, | June 30, | June 30, | ||||||||||||||||
| (dollars in thousands, except per share amounts) | 2012 | 2012 | 2011 | 2012 | 2011 | |||||||||||||||
| INTEREST INCOME | ||||||||||||||||||||
| Interest and fees on loans | $ | 8,179 | $ | 8,090 | $ | 8,387 | $ | 16,269 | $ | 16,598 | ||||||||||
| Interest and dividends on investment securities | 1,386 | 1,385 | 1,236 | 2,771 | 2,345 | |||||||||||||||
| Interest on other interest earning assets | 84 | 101 | 34 | 185 | 48 | |||||||||||||||
| Total interest income | 9,649 | 9,576 | 9,657 | 19,225 | 18,991 | |||||||||||||||
| INTEREST EXPENSE | ||||||||||||||||||||
| Interest on deposits | 1,340 | 1,615 | 1,853 | 2,955 | 3,471 | |||||||||||||||
| Interest on borrowed funds | 284 | 285 | 278 | 569 | 574 | |||||||||||||||
| Total interest expense | 1,624 | 1,900 | 2,131 | 3,524 | 4,045 | |||||||||||||||
| Net interest income | 8,025 | 7,676 | 7,526 | 15,701 | 14,946 | |||||||||||||||
| Provision (credit) for loan losses | 500 | (750 | ) | 1,500 | (250 | ) | 5,050 | |||||||||||||
| Net interest income after provision for loan losses | 7,525 | 8,426 | 6,026 | 15,951 | 9,896 | |||||||||||||||
| NON-INTEREST INCOME | ||||||||||||||||||||
| Service fees on deposit accounts | 226 | 210 | 201 | 436 | 370 | |||||||||||||||
| Gain on sale of SBA loans | 1,110 | 1,086 | 1,657 | 2,196 | 2,354 | |||||||||||||||
| Gain on sale of investment securities | 774 | - | - | 774 | - | |||||||||||||||
| Other non-interest income | 389 | 350 | 218 | 739 | 479 | |||||||||||||||
| Total non-interest income | 2,499 | 1,646 | 2,076 | 4,145 | 3,203 | |||||||||||||||
| NON-INTEREST EXPENSE | ||||||||||||||||||||
| Salaries and employee benefits | 3,963 | 4,134 | 3,807 | 8,097 | 7,145 | |||||||||||||||
| Occupancy and equipment | 1,378 | 1,362 | 1,322 | 2,740 | 2,705 | |||||||||||||||
| Legal and professional fees | 1,196 | 1,182 | 1,033 | 2,378 | 1,762 | |||||||||||||||
| Foreclosed real estate | 104 | 98 | 65 | 202 | 1,424 | |||||||||||||||
| Regulatory assessments and related fees | 351 | 338 | 560 | 689 | 1,043 | |||||||||||||||
| Other operating expenses | 2,018 | 1,722 | 2,224 | 3,740 | 3,924 | |||||||||||||||
| Total non-interest expense | 9,010 | 8,836 | 9,011 | 17,846 | 18,003 | |||||||||||||||
| Income (loss) before provision (benefit) for income taxes | 1,014 | 1,236 | (909 | ) | 2,250 | (4,904 | ) | |||||||||||||
| Provision (benefit) for income taxes | 7 | (69 | ) | (429 | ) | (62 | ) | (1,916 | ) | |||||||||||
| Net income (loss) | $ | 1,007 | $ | 1,305 | $ | (480 | ) | $ | 2,312 | $ | (2,988 | ) | ||||||||
| Net Income (loss) per Common Share | ||||||||||||||||||||
| Basic | $ | 0.04 | $ | 0.05 | $ | (0.02 | ) | $ | 0.09 | $ | (0.12 | ) | ||||||||
| Diluted | $ | 0.04 | $ | 0.05 | $ | (0.02 | ) | $ | 0.09 | $ | (0.12 | ) | ||||||||
| Average Common Shares Outstanding | ||||||||||||||||||||
| Basic | 25,973 | 25,973 | 25,973 | 25,973 | 25,973 | |||||||||||||||
| Diluted | 25,973 | 25,973 | 25,973 | 25,973 | 25,973 | |||||||||||||||
| Republic First Bancorp, Inc. Average Balances and Net Interest Income | ||||||||||||||||||||||||||||||||||||
| (unaudited) | ||||||||||||||||||||||||||||||||||||
| For the three months ended | For the three months ended | For the three months ended | ||||||||||||||||||||||||||||||||||
| (dollars in thousands) | June 30, 2012 | March 31, 2012 | June 30, 2011 | |||||||||||||||||||||||||||||||||
| Interest | Interest | Interest | ||||||||||||||||||||||||||||||||||
| Average | Income/ | Yield/ | Average | Income/ | Yield/ | Average | Income/ | Yield/ | ||||||||||||||||||||||||||||
| Balance | Expense | Rate | Balance | Expense | Rate | Balance | Expense | Rate | ||||||||||||||||||||||||||||
| Interest-earning assets: | ||||||||||||||||||||||||||||||||||||
Federal funds sold and other interest-earning assets | $ | 119,275 | $ | 84 | 0.28 | % | $ | 162,103 | $ | 101 | 0.25 | % | $ | 51,808 | $ | 34 | 0.26 | % | ||||||||||||||||||
| Securities | 185,091 | 1,449 | 3.13 | % | 178,650 | 1,447 | 3.24 | % | 160,764 | 1,297 | 3.23 | % | ||||||||||||||||||||||||
| Loans receivable | 606,617 | 8,215 | 5.45 | % | 592,828 | 8,127 | 5.51 | % | 636,128 | 8,430 | 5.32 | % | ||||||||||||||||||||||||
| Total interest-earning assets | 910,983 | 9,748 | 4.30 | % | 933,581 | 9,675 | 4.17 | % | 848,700 | 9,761 | 4.61 | % | ||||||||||||||||||||||||
| Other assets | 56,084 | 55,168 | 71,967 | |||||||||||||||||||||||||||||||||
| Total assets | $ | 967,067 | $ | 988,749 | $ | 920,667 | ||||||||||||||||||||||||||||||
| Interest-bearing liabilities: | ||||||||||||||||||||||||||||||||||||
| Demand non interest-bearing | $ | 125,528 | $ | 144,855 | $ | 101,395 | ||||||||||||||||||||||||||||||
| Demand interest-bearing | 126,025 | 185 | 0.59 | % | 117,794 | 171 | 0.58 | % | 98,435 | 168 | 0.68 | % | ||||||||||||||||||||||||
| Money market & savings | 461,622 | 722 | 0.63 | % | 431,106 | 863 | 0.81 | % | 339,603 | 860 | 1.02 | % | ||||||||||||||||||||||||
| Time deposits | 157,013 | 433 | 1.11 | % | 199,523 | 581 | 1.17 | % | 264,070 | 825 | 1.25 | % | ||||||||||||||||||||||||
| Total deposits | 870,188 | 1,340 | 0.62 | % | 893,278 | 1,615 | 0.73 | % | 803,503 | 1,853 | 0.92 | % | ||||||||||||||||||||||||
| Total interest-bearing deposits | 744,660 | 1,340 | 0.72 | % | 748,423 | 1,615 | 0.87 | % | 702,108 | 1,853 | 1.06 | % | ||||||||||||||||||||||||
| Other borrowings | 22,526 | 284 | 5.07 | % | 22,575 | 285 | 5.08 | % | 22,478 | 278 | 4.96 | % | ||||||||||||||||||||||||
| Total interest-bearing liabilities | 767,186 | 1,624 | 0.85 | % | 770,998 | 1,900 | 0.99 | % | 724,586 | 2,131 | 1.18 | % | ||||||||||||||||||||||||
Total deposits and other borrowings | 892,714 | 1,624 | 0.73 | % | 915,853 | 1,900 | 0.83 | % | 825,981 | 2,131 | 1.03 | % | ||||||||||||||||||||||||
| Non interest-bearing liabilities | 7,506 | 7,518 | 7,683 | |||||||||||||||||||||||||||||||||
| Shareholders' equity | 66,847 | 65,378 | 87,003 | |||||||||||||||||||||||||||||||||
Total liabilities and shareholders' equity | $ | 967,067 | $ | 988,749 | $ | 920,667 | ||||||||||||||||||||||||||||||
| Net interest income | $ | 8,124 | $ | 7,775 | $ | 7,630 | ||||||||||||||||||||||||||||||
| Net interest spread | 3.45 | % | 3.18 | % | 3.43 | % | ||||||||||||||||||||||||||||||
| Net interest margin | 3.59 | % | 3.35 | % | 3.61 | % | ||||||||||||||||||||||||||||||
| Note: The above tables are presented on a tax equivalent basis. | ||||||||||||||||||||||||||||||||||||
| Republic First Bancorp, Inc. | ||||||||||||||||||||||||
| Summary of Allowance for Loan Losses and Other Related Data | ||||||||||||||||||||||||
| (unaudited) | ||||||||||||||||||||||||
| Year | ||||||||||||||||||||||||
| Three months ended | ended | Six months ended | ||||||||||||||||||||||
| June 30, | March 31, | June 30, | Dec 31 | June 30, | June 30, | |||||||||||||||||||
| (dollars in thousands) | 2012 | 2012 | 2011 | 2011 | 2012 | 2011 | ||||||||||||||||||
| Balance at beginning of period | $ | 10,756 | $ | 12,050 | $ | 14,450 | $ | 11,444 | $ | 12,050 | $ | 11,444 | ||||||||||||
Provisions (credits) charged to operating expense | 500 | (750 | ) | 1,500 | 15,966 | (250 | ) | 5,050 | ||||||||||||||||
| 11,256 | 11,300 | 15,950 | 27,410 | 11,800 | 16,494 | |||||||||||||||||||
| Recoveries on loans charged-off: | ||||||||||||||||||||||||
| Commercial | 105 | - | 2 | 69 | 105 | 11 | ||||||||||||||||||
| Consumer | 27 | 1 | 38 | 40 | 28 | 38 | ||||||||||||||||||
| Total recoveries | 132 | 1 | 40 | 109 | 133 | 49 | ||||||||||||||||||
| Loans charged-off: | ||||||||||||||||||||||||
| Commercial | (1,903 | ) | (544 | ) | (882 | ) | (15,428 | ) | (2,447 | ) | (1,404 | ) | ||||||||||||
| Consumer | (100 | ) | (1 | ) | - | (41 | ) | (101 | ) | (31 | ) | |||||||||||||
| Total charged-off | (2,003 | ) | (545 | ) | (882 | ) | (15,469 | ) | (2,548 | ) | (1,435 | ) | ||||||||||||
| Net charge-offs | (1,871 | ) | (544 | ) | (842 | ) | (15,360 | ) | (2,415 | ) | (1,386 | ) | ||||||||||||
| Balance at end of period | $ | 9,385 | $ | 10,756 | $ | 15,108 | $ | 12,050 | $ | 9,385 | $ | 15,108 | ||||||||||||
Net charge-offs as a percentage of average loans outstanding | 1.24 | % | 0.37 | % | 0.53 | % | 2.44 | % | 0.81 | % | 0.44 | % | ||||||||||||
Allowance for loan losses as a percentage of period-end loans | 1.55 | % | 1.78 | % | 2.36 | % | 2.04 | % | 1.55 | % | 2.36 | % | ||||||||||||
| Republic First Bancorp, Inc. | ||||||||||||||||||||
| Summary of Non-Performing Loans and Assets | ||||||||||||||||||||
| (unaudited) | ||||||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||||||
| (dollars in thousands) | 2012 | 2012 | 2011 | 2011 | 2011 | |||||||||||||||
| Non-accrual loans: | ||||||||||||||||||||
| Commercial real estate | $ | 10,090 | $ | 9,911 | $ | 9,667 | $ | 31,096 | $ | 36,642 | ||||||||||
| Consumer and other | 802 | 811 | 897 | 910 | 949 | |||||||||||||||
| Total non-accrual loans | 10,892 | 10,722 | 10,564 | 32,006 | 37,591 | |||||||||||||||
Loans past due 90 days or more and still accruing | - | - | 748 | - | 1,338 | |||||||||||||||
| Renegotiated loans | - | - | - | - | - | |||||||||||||||
| Total non-performing loans | 10,892 | 10,722 | 11,312 | 32,006 | 38,929 | |||||||||||||||
| Other real estate owned | 6,135 | 6,135 | 6,479 | 13,988 | 13,109 | |||||||||||||||
| Total non-performing assets | $ | 17,027 | $ | 16,857 | $ | 17,791 | $ | 45,994 | $ | 52,038 | ||||||||||
| Non-performing loans to total loans | 1.80 | % | 1.78 | % | 1.92 | % | 5.05 | % | 6.09 | % | ||||||||||
| Non-performing assets to total assets | 1.81 | % | 1.76 | % | 1.70 | % | 4.83 | % | 5.78 | % | ||||||||||
| Non-performing loan coverage | 86.16 | % | 100.32 | % | 106.52 | % | 38.68 | % | 38.81 | % | ||||||||||
Allowance for loan losses as a percentage of total period-end loans | 1.55 | % | 1.78 | % | 2.04 | % | 1.95 | % | 2.36 | % | ||||||||||
Non-performing assets/capital plus allowance for loan losses | 22.22 | % | 21.85 | % | 23.13 | % | 45.68 | % | 50.88 | % | ||||||||||