Exhibit 99.1
UNITY’S Accomplishments!
® Despite this challenging environment, Unity’s performance in
2009 included the following accomplishments:
2009 included the following accomplishments:
v Total assets increased 3.6 percent
v Total deposits increased 7.2 percent
v Further improvement in sales culture
v Continued improvements in infrastructure
v Excluding FDIC insurance increase,
expenses remained flat
expenses remained flat
How the Economy Affected UNITY
® Unity’s 2009 results were affected by:
v Other-than-temporary impairment charges
(“OTTI”) of $2.6 million in 2009
(“OTTI”) of $2.6 million in 2009
v Higher provision for loan losses
due to the economy
due to the economy
v Increase in past due accounts
v Increase in collection costs
v Increase in FDIC insurance
v Weak loan demand
UNITY’S Strategic Direction
® One sales process with common goals
® Relationship-based business model
® New lending footprint
® Improve net interest margin
® Stabilize credit quality
® Effective cost control
UNITY’S Branch Network
New Jersey
® Hunterdon County
v Clinton
v Flemington
v Whitehouse
® Middlesex County
v Colonia
v Edison
v Highland Park
v Middlesex
v South Plainfield
® Somerset County
v North Plainfield
® Union/Essex County
v Linden
v Scotch Plains
v Springfield
v Union
® Warren County
v Phillipsburg
v Washington (In Progress)
Pennsylvania
® Northampton County
v Forks Township
v William Penn
UNITY’S Recent and Future Highlights
® Brought items processing in-house - $175k
per year
per year
® ATM - a surcharge free network
® E-statements (“Go Green!”)
® Enhancements to electronic banking
® VISA gift cards
® Mobile banking
® Foreign currency exchange
® Online residential mortgage applications
UNITY’S Marketing Initiatives
Introduced Integrated Multimedia Campaign |
Landing Page 764 average daily hits |
Google AdWords 747 Clicks & 758,005 impressions in our geo-targeted areas |
Newspaper Ads Across footprint |
Web Ads NJ.com LehighValleyLive.com HAWK microsite |
99.9 The HAWK Radio |
Billboards |
Statistics |
121 New Checking Accounts Opened; 31.93% increase over previous 60 day period |
$2,643,869 increase in Initial Deposits; 56.76% increase over previous 60 day period |
UNITY’S Marketing Initiatives
UNITY’S New Marketing Initiative
For the 3 months ended 3/31/2010 | For the 12 months ended 12/31/2009 | ||
Unity | Unity | All FDIC-Insured Commercial Banks | |
Return on Average Assets | 0.34% | (0.12)% | 0.09% |
Return on Average Equity | 3.09% | (5.29)% | 0.85% |
Net Interest Margin | 3.57% | 3.22% | 3.50% |
Total Nonperforming Assets to Total Assets | 3.37% | 2.90% | 3.36% |
Net Charge-offs to Average Loans | 0.80% | 0.67% | 2.57% |
- More than one in four institutions (29.5 percent) reported negative net
income for the year.
Income Statement
(dollars in thousands)
(dollars in thousands)
Net Interest Margin
Prime Rate | 5.25% | 7.25% | 8.25% | 7.25% | 3.25% | 3.25% |
Total Asset Growth
(dollars in millions)
(dollars in millions)
Ø In 2009, Unity grew total assets
by 3.6% versus a decline of 3.8% for
all FDIC-Insured Commercial Banks.
by 3.6% versus a decline of 3.8% for
all FDIC-Insured Commercial Banks.
Total Loan Growth
(dollars in millions)
(dollars in millions)
Ø In 2009, Unity’s total loans
declined 4.2% versus a 5.0%
decline for all FDIC-Insured
Commercial Banks.
declined 4.2% versus a 5.0%
decline for all FDIC-Insured
Commercial Banks.
Nonperforming Loans by Category
(dollars in thousands)
(dollars in thousands)
12/31/2009 | 12/31/2008 | |||
Category | $ Value | # of Loans | $ Value | # of Loans |
SBA 7(a) | 6,559 | 75 | 4,228 | 49 |
SBA 504 | 5,575 | 2 | 4,600 | 3 |
Commercial | 7,397 | 21 | 5,247 | 8 |
Residential Mortgage | 5,578 | 13 | 1,808 | 7 |
Consumer | 387 | 6 | 237 | 8 |
Total | 25,496 | 117 | 16,120 | 75 |
Selected Ratios | 12/31/2009 | 12/31/2008 | ||
Net Charge-offs to Average Loans | 0.67% | 0.40% | ||
Nonperforming Loans to Total Loans | 3.88% | 2.35% | ||
Allowance for Loan Losses to Total Loans | 2.11% | 1.51% |
Total Deposit Growth
(dollars in millions)
(dollars in millions)
Ø In 2009, Unity grew total
deposits by 7.2% versus 3.1% for all
FDIC-Insured Commercial Banks.
deposits by 7.2% versus 3.1% for all
FDIC-Insured Commercial Banks.
Capital Ratios
Unity Bancorp, Inc.
FDIC-Insured Commercial Banks
Compelling Investment
Considerations
Considerations
® Deep discount to book
® Knowledgeable and experienced
management team
management team
® Attractive branch franchise
® Improving bank fundamentals
® Positioned for economic rebound
® Insider ownership
growing with you!
The previous slides contained data from the
following sources:
following sources:
® FDIC-Insured Commercial Banks:
v Obtained from FDIC.gov Quarterly Banking Profile