PEOPLES BANCORP INC. - P.O. BOX 738 - MARIETTA, OHIO - 45750
www.peoplesbancorp.com
NEWS RELEASE
FOR IMMEDIATE RELEASE Contact:John W. Conlon
- --------------------- Chief Financial Officer
January 24, 2006 (740) 373-3155
PEOPLES BANCORP INC. REPORTS INCREASED EARNINGS IN 2005
---------------------------------------------------------------------
Revises second quarter 2005 results to reflect pension settlement
MARIETTA, Ohio - Peoples Bancorp Inc. ("Peoples") (NASDAQ: PEBO)
announced today net income of $5,661,000, or $0.53 per diluted share, for the
quarter ended December 31, 2005, compared to $2,718,000, or $0.26 per diluted
share, reported in the fourth quarter of 2004, which included charges totaling
$2,090,000 after-tax (or $0.20 per diluted share) primarily related to security
losses. Return on equity ("ROE") improved to 12.50% for the fourth quarter of
2005, from 11.68% last quarter and 6.21% for 2004's fourth quarter. For the year
ended December 31, 2005, net income totaled $20,499,000, or $1.94 per diluted
share, versus $18,275,000, or $1.71 per diluted share, earned in 2004,
representing ROE of 11.52% and 10.60%, respectively. Peoples also increased its
dividends 8% to $0.78 in 2005, marking the 40th consecutive year of dividend
increases.
In December, Peoples determined that the yearly amount of lump sum
payments to participants from Peoples' defined benefit pension plan during 2005
exceeded the allowable threshold of annual service cost plus interest and,
accordingly, settlement charges of $578,000 ($421,000 after taxes, or $0.04 per
diluted share) should have been reflected in the results for the second quarter
of 2005. Although Peoples deems the impact of the settlement charge on its
financial statements to be immaterial, it has revised second quarter results and
reduced net income per share by $0.04.
"Despite the extra pension costs related to larger than normal lump sum
benefit payments, we are pleased with overall results in 2005," commented Mark
F. Bradley, President and CEO. "In the fourth quarter, we achieved success in
several areas, including loan growth, enhanced ROE, net interest margin
improvement, and improved operating cost control."
Net interest income improved 6% to $13,528,000 in the fourth quarter of
2005, from $12,734,000 a year ago, as average earning assets increased more than
average interest-bearing liabilities. Compared to 2004's fourth quarter, average
earning assets were up $52 million to $1.65 billion in the fourth quarter of
2005, as a direct result of a $74 million increase in average loan balances.
Average interest-bearing liabilities grew $48 million during the same period.
Fourth quarter 2005 net interest margin was 3.39%, compared to 3.29% for the
fourth quarter a year ago. Compared to the third quarter of 2005, net interest
income was up 3% while net interest margin improved seven basis points. For the
year ended December 31, 2005, net interest income was $52,306,000 and net
interest margin was 3.32%, compared to $51,870,000 and 3.39%, respectively, in
2004.
"We are also pleased with the improvement in net interest income and
margin in the fourth quarter," said Jack Conlon, Chief Financial Officer. "The
series of rate increases in 2005 have resulted in some asset yield improvement.
However, the current slope of the yield curve and the maturity of certain
interest-bearing liabilities that will result in higher funding costs on the
replacement borrowings starting near the end of January 2006, along with
competitive loan and deposit pricing, will suppress further improvements in net
interest margin."
In the fourth quarter of 2005, Peoples reported net gains of $349,000
on sales of securities and assets, $122,000 of expense related to accelerated
vesting of stock options, and $100,000 of additional marketing expense from a
contribution to Peoples Bancorp Foundation, Inc., an independent non-profit
entity formed in 2004 to make charitable distributions to organizations in
Peoples' primary market areas.
Non-interest income, excluding gains and losses on security and asset
transactions, totaled $7,014,000 for fourth quarter of 2005, compared to
$7,049,000 for 2004's fourth quarter. For the year ended December 31, 2005,
non-interest income was $28,470,000 versus $25,367,000 in 2004, with higher
insurance commissions accounting for nearly all of this annual increase.
Deposit account service charges were the largest source of Peoples'
non-interest revenue, totaling $2,522,000 in the fourth quarter and $9,801,000
for the year ended December 31, 2005, compared to $2,414,000 and $9,636,000 for
the same periods in 2004. Fourth quarter 2005 insurance and investment
commissions were $2,057,000 versus $2,153,000 a year ago, due primarily to lower
life insurance and fixed annuity sales. For the year, insurance and investment
commissions were $9,243,000 in 2005, up from $6,152,000 in 2004, with a full
year of revenues from the agency acquisitions completed in mid-2004 accounting
for this improvement. Electronic banking revenues, driven by ATM and debit card
revenues, remained strong in the fourth quarter, increasing 11% from the prior
year quarter, and grew 17% for the year, mainly due to higher debit card
activity and additional cards issued.
In the fourth quarter of 2005, total non-interest expense was down 2%
from last year's fourth quarter, totaling $12.6 million versus $12.8 million.
Salaries and benefits remain Peoples' largest operating expense, totaling $6.1
million and $6.7 million for the fourth quarters of 2005 and 2004, respectively.
Lower fourth quarter compensation expense occurred due to decreased medical
insurance costs of $306,000 compared to fourth quarter 2004, lower sales
commissions/incentives of $135,000, and decreased base salary costs of $79,000.
The decreases were partially offset by the previously mentioned $122,000 of
non-cash compensation expense in fourth quarter of 2005 related to accelerated
stock option vesting, as reported on Form 8-K filed December 29, 2005.
Occupancy and equipment costs were up 15% in the fourth quarter of 2005
from the prior year quarter, largely attributable to higher utility, maintenance
and lease costs. Peoples' bankcard costs declined in 2005 even though ATM and
debit card activity showed modest growth. The decrease was a direct result of a
reduction in various transaction-based charges due to a new processing contract
with the existing provider of Peoples' ATM and debit card services. For the year
ended December 31, 2005, total non-interest expense was up 9% to $51.3 million,
with a full year's impact of costs attributable to the insurance agencies
acquired in mid-2004 driving much of this increase.
"Overall, we are pleased with operating cost control," stated Bradley.
"Despite incurring additional pension costs, we otherwise had a good fourth
quarter and full year 2005, especially in areas such as medical insurance costs
and total base salary costs."
At December 31, 2005, portfolio loans totaled $1.07 billion, up 5% from
the prior year-end balance of $1.02 billion, with $11.3 million of growth in the
fourth quarter. Peoples experienced solid growth in commercial and commercial
real estate loans throughout the year, while consumer loan balances, excluding
overdrafts, increased in each of the final three quarters of 2005. As part of
its mortgage-banking activities, Peoples was servicing $144.3 million of
fixed-rate real estate loans at December 31, 2005, that were previously sold
into the secondary market, compared to $106.4 million at December 31, 2004, a
36% increase.
Nonperforming loans were $6.5 million, or 0.61% of total loans, at
December 31, 2005, up from $5.9 million, or 0.56%, at September 30, 2005, due to
a modest increase in nonaccrual loans. Even with a modest increase in
nonperforming loans, total nonperforming assets declined $1.3 million during the
fourth quarter of 2005 to $6.8 million, or 0+% of total assets, compared to
$7.7 million, or 0.43% at the end of the third quarter of 2005. This improvement
is primarily attributable to Peoples selling $2.0 million of other real estate
owned during the quarter, generating a net gain of $46,000. Net charge-offs were
$550,000 in the fourth quarter of 2005 compared to $577,000 a year ago and
$505,000 in the third quarter of 2005. Commercial and real estate loans
comprised the largest portion of fourth quarter 2005 net charge-offs, while net
charge-offs relating to the Overdraft Privilege program comprised nearly half of
fourth quarter 2004 net charge-offs. For the year, net charge-offs were down 12%
in 2005 compared to 2004, due to higher recoveries.
The allowance for loan losses was $14.7 million, or 1.37% of total
loans, at December 31, 2005, compared to $14.8 million, or 1.44% of total loans,
at year-end 2004. As a percentage of nonperforming loans, the allowance for loan
losses was 225.2% at year-end 2005, virtually unchanged compared to December 31,
2004. Fourth quarter provision for loan losses was $562,000 in 2005, compared to
$531,000 a year ago. For the year ended December 31, 2005, provision for loan
losses was down 20% to $2,028,000 versus $2,546,000 in 2004. The lower provision
in 2005 was based on management's quarterly evaluation and is directionally
consistent with Peoples' recent loss experience net of recoveries of previously
charged-off loans.
"Loan quality continues to be strong," commented Bradley. "Net
charge-offs and loan delinquencies are reasonable. Fourth quarter and full year
2005 loan loss provision basically matched net charge-offs, and we expect that
trend to continue into early 2006."
At December 31, 2005, total deposits were $1.09 billion, up $19.9
million from $1.07 billion at year-end 2004. Interest-bearing deposits grew
$10.1 million to $926.6 million, while non-interest-bearing deposits grew $9.8
million since December 31, 2004, totaling $162.7 million at December 31, 2005.
"It was a good quarter for us," summarized Bradley. "We are pleased
with our results and the manner in which we have managed the challenging
interest rate environment. Our integrated financial services offering provides
the opportunity to continue to build future shareholder value for our investors.
"
Peoples Bancorp Inc., a diversified financial products and services
company with $1.9 billion in assets, makes available a complete line of banking,
investment, insurance, and trust solutions through 49 locations and 34 ATMs in
Ohio, West Virginia and Kentucky. Peoples' financial service units include
Peoples Bank, Peoples Financial Advisors (a division of Peoples Bank) and
Peoples Insurance Agency, Inc. Peoples' common shares are traded on the NASDAQ
National Market under the symbol "PEBO", and Peoples is a member of the Russell
3000 index of US publicly traded companies. Learn more about Peoples at
www.peoplesbancorp.com.
Conference Call to Discuss Earnings:
- ------------------------------------
Peoples will conduct a facilitated conference call to discuss fourth
quarter and 2005 results of operations today at 11:00 a.m. eastern time, with
members of Peoples' executive management participating. Analysts, media and
individual investors are invited to participate in the conference call by
calling (877) 407-8033. A simultaneous Webcast of the conference call audio will
be available online via the Investor Relations section of Peoples' website,
www.peoplesbancorp.com. Participants are encouraged to call or sign in at least
15 minutes prior to the scheduled conference call time to ensure participation
or download and install the necessary software. A replay of the call will be
available on Peoples' website in the "Investor Relations" section for one year.
Safe Harbor Statement:
- ----------------------
This press release may contain certain forward-looking statements with
respect to Peoples' financial condition, results of operations, plans,
objectives, future performance and business. Except for the historical and
present factual information contained in this press release, the matters
discussed in this press release, and other statements identified by words such
as "feel," "expect," "believe," "plan," "will," "would," "should," "could" and
similar expressions are forward-looking statements within the meaning of Section
27A of the Securities Act of 1933, as amended, and Rule 175 promulgated
thereunder, and Section 21E of the Securities Exchange Act of 1934, as amended,
and Rule 3b-6 promulgated thereunder. These forward-looking statements are
subject to risks and uncertainties that may cause actual results to differ
materially. Factors that might cause such a difference include, but are not
limited to: (1) competitive pressures among depository institutions which may
increase significantly; (2) changes in the interest rate environment which may
adversely impact interest margins; (3) prepayment speeds, loan originations and
sale volumes, charge-offs and loan loss provisions may be less favorable than
expected; (4) general economic conditions may be less favorable than expected;
(5) political developments, wars or other hostilities may disrupt or increase
volatility in securities markets or other economic conditions; (6) legislative
or regulatory changes or actions may adversely affect Peoples' business; (7)
changes and trends in the securities markets; (8) a delayed or incomplete
resolution of regulatory issues that could arise; (9) the impact of reputational
risk created by these developments on such matters as business generation and
retention, funding and liquidity; (10) the costs and effects of regulatory and
legal developments, including the outcome of regulatory or other governmental
inquiries and legal proceedings and results of regulatory examinations; (11) the
integration of acquired businesses may not be successful or the integration may
take longer to accomplish than expected; (12) the expected synergies from
acquisitions may make it difficult to maintain relationships with clients,
associates and suppliers; and (13) other risk factors relating to the banking
industry or Peoples as detailed from time to time in Peoples' reports filed with
the Securities and Exchange Commission ("SEC"). Peoples does not commit to any
obligation to release revisions to these forward-looking statements or reflect
events or circumstances after the date of this release, except as required by
applicable law. Copies of documents filed with the SEC are available free of
charge at the SEC's website at http://www.sec.gov and/or from Peoples' website.
PEOPLES BANCORP INC. (NASDAQ: PEBO)
Financial Highlights (Unaudited)
---------------------------------- ---------------------------------
Three Months Ended Year Ended
December 31, December 31,
(in $000's, except per share data) 2005 2004 2005 2004
---------------------------------- ---------------------------------
PER SHARE DATA
Net income per share:
Basic $ 0.54 $ 0.26 $ 1.96 $ 1.74
Diluted $ 0.53 $ 0.26 $ 1.94 $ 1.71
Cash dividends declared per share $ 0.20 $ 0.18 $ 0.78 $ 0.72
Book value per share $ 17.40 $ 16.81 $ 17.40 $ 16.81
Tangible book value per share (a) $ 10.82 $ 10.00 $ 10.82 $ 10.00
Closing stock price at end of period $ 28.53 $ 27.43 $ 28.53 $ 27.43
Dividend payout as a percentage of net income 37.34% 69.50% 40.01% 41.66%
Actual shares outstanding (net of treasury shares) 10,518,980 10,435,102 10,518,980 10,435,102
Weighted average shares outstanding:
Basic 10,501,679 10,430,408 10,444,854 10,529,332
Diluted 10,631,310 10,595,211 10,581,019 10,710,114
PERFORMANCE RATIOS (b)
Return on average equity 12.50% 6.21% 11.52% 10.60%
Return on average assets 1.21% 0.60% 1.12% 1.04%
Non-interest leverage ratio (c) 58.58% 57.89% 58.49% 55.93%
Efficiency ratio (d) 57.09% 60.33% 59.05% 57.18%
Net interest margin (fully tax equivalent) 3.39% 3.29% 3.32% 3.39%
Net loan charge-offs as a percentage of average loans 0.20% 0.23% 0.20% 0.25%
PROVISION FOR LOAN LOSSES
Provision for Overdraft Privilege losses $ 212 $ 186 $ 599 $ 866
Provision for other loan losses $ 350 $ 345 $ 1,429 $ 1,680
---------------- ---------------- ---------------- ---------------
Total provision for loan losses $ 562 $ 531 $ 2,028 $ 2,546
NET CHARGE-OFFS
Gross charge-offs $ 1,103 $ 866 $ 4,193 $ 3,787
Recoveries $ 553 $ 289 $ 2,125 $ 1,426
---------------- ---------------- ---------------- ---------------
Net charge-offs $ 550 $ 577 $ 2,068 $ 2,361
Overdrafts $ 199 $ 232 $ 639 $ 822
Commercial 143 57 590 474
Real estate 113 183 604 491
Consumer 97 107 261 455
Credit card (2) (2) (26) 119
---------------- ---------------- ---------------- ---------------
Total net charge-offs $ 550 $ 577 $ 2,068 $ 2,361
---------------- ---------------- ---------------- ---------------
<FN>
(a) Excludes the balance sheet impact of intangible assets acquired through the
application of purchase accounting for acquisitions.
(b) Ratios are presented on an annualized basis.
(c) Non-interest income (less securities and asset disposal gains/losses) as a
percentage of non-interest expense (less intangible amortization).
(d) Non-interest expense (less intangible amortization) as a percentage of
fully tax equivalent net interest income plus non-interest income (less
securities and asset disposal gains/losses).
</FN>
PEOPLES BANCORP INC. CONSOLIDATED AVERAGE BALANCES
--------------------------------------------------- ------------------------------
Three Months Ended Year Ended
December 31, September 30, December 31, December 31,
(in $000's) 2005 2005 2004 2005 2004
--------------------------------------------------- ------------------------------
Average gross loans $ 1,066,308 $ 1,044,668 $ 992,632 $ 1,040,029 $ 942,761
Average investment securities 599,373 606,497 618,977 600,756 640,091
Average earning assets 1,653,586 1,639,189 1,601,388 1,628,598 1,579,692
Average intangible assets 69,594 70,215 67,023 70,120 59,619
Average total assets 1,853,395 1,841,775 1,791,585 1,828,685 1,760,535
Average non-interest-bearing deposits 162,312 158,028 153,253 158,693 144,564
Average interest-bearing deposits:
Savings 136,287 140,133 164,320 144,700 171,705
Interest-bearing demand deposits 299,761 308,782 269,634 297,652 262,206
Time deposits 496,316 490,213 456,664 494,590 454,793
---------------- --------------- ---------------- -------------- ---------------
Total average interest-bearing deposits 932,364 939,128 890,618 936,942 888,704
Average short-term borrowings 170,696 148,142 66,229 128,313 87,051
Average long-term borrowings 393,116 398,622 491,499 410,544 454,899
Average stockholders' equity $ 179,741 $ 180,376 $ 174,157 $ 177,940 $ 172,399
--------------------------------------------------- ------------------------------
PEOPLES BANCORP INC. CONSOLIDATED STATEMENTS OF INCOME
---------------------------------- ----------------------------------
Three Months Ended Year Ended
December 31, December 31,
(in $000's) 2005 2004 2005 2004
------------------------------- ----------------------------------
Interest income $ 25,380 $ 22,449 $ 95,775 $ 87,030
Interest expense 11,852 9,715 43,469 35,160
---------------- ---------------- ---------------- ----------------
Net interest income 13,528 12,734 52,306 51,870
Provision for loan losses 562 531 2,028 2,546
---------------- ---------------- ---------------- ----------------
Net interest income after provision for loan losses 12,966 12,203 50,278 49,324
Net gain (loss) on securities transactions 303 (3,070) 539 (3,040)
Net gain (loss) on asset disposals 46 (141) 158 (119)
Non-interest income:
Service charges on deposits 2,522 2,414 9,801 9,636
Insurance and investment commissions 2,057 2,153 9,243 6,152
Fiduciary revenues 900 897 3,366 3,471
Electronic banking revenues 703 636 2,790 2,390
Business owned life insurance 426 483 1,740 1,899
Mortgage banking income 170 222 826 931
Other non-interest income 236 244 704 888
---------------- ---------------- ---------------- ----------------
Total non-interest income 7,014 7,049 28,470 25,367
Non-interest expense:
Salaries and benefits 6,061 6,678 26,591 24,574
Occupancy and equipment 1,469 1,274 5,311 5,134
Amortization of intangible assets 646 657 2,669 2,219
Professional fees 607 711 2,276 2,030
Franchise taxes 539 372 1,793 1,458
Data processing and software 513 505 1,924 1,849
Marketing 466 303 1,554 1,128
Bankcard costs 317 355 1,188 1,461
Other non-interest expense 2,001 1,978 8,036 7,345
---------------- ---------------- ---------------- ----------------
Total non-interest expense 12,619 12,833 51,342 47,198
---------------- ---------------- ---------------- ----------------
Income before income taxes 7,710 3,208 28,103 24,334
Income tax expense 2,049 490 7,604 6,059
---------------- ---------------- ---------------- ----------------
Net income $ 5,661 $ 2,718 $ 20,499 $ 18,275
---------------- ---------------- ---------------- ----------------
Fully tax equivalent net interest income $ 13,959 $ 13,135 $ 53,954 $ 53,500
PEOPLES BANCORP INC. SELECTED FINANCIAL INFORMATION
---------------- ---------------- ----------------
(in $000's, end of period) December 31, September 30, December 31,
LOAN PORTFOLIO 2005 2005 2004
---------------- ---------------- ----------------
Commercial, mortgage $ 504,923 $ 493,954 $ 450,270
Commercial, other 136,331 135,568 126,473
Real estate, construction 50,745 45,299 35,423
Real estate, mortgage 316,081 322,975 349,965
Consumer 63,796 62,760 60,927
---------------- ---------------- ----------------
Total loans $ 1,071,876 $ 1,060,556 $ 1,023,058
ASSET QUALITY
Allowance for loan losses as a percent of total loans 1.37% 1.39% 1.44%
Allowance for loan losses as a percent of
nonperforming loans (a) 225.2% 248.1% 225.6%
Nonperforming loans as a percent of total loans (a) 0.61% 0.56% 0.64%
Nonperforming assets as a percent of total assets 0.37% 0.44% 0.43%
Nonperforming assets as a percent of total loans and
other real estate owned 0.64% 0.77% 0.75%
Nonperforming assets (in $000's, end of period):
Loans 90 days or more past due $ 251 $ 137 $ 285
Renegotiated loans $ - $ - $ 1,128
Nonaccrual loans $ 6,284 $ 5,791 $ 5,130
Other real estate owned $ 308 $ 2,259 $ 1,163
---------------- ---------------- ----------------
Total nonperforming assets $ 6,843 $ 8,187 $ 7,706
REGULATORY CAPITAL (b)
Tier 1 risk-based capital 11.60% 11.34% 10.95%
Total risk-based capital ratio (Tier 1 and Tier 2) 12.91% 12.65% 12.30%
Leverage ratio 8.10% 7.92% 7.55%
Tier 1 capital $ 144,994 $ 140,295 $ 129,194
Total capital (Tier 1 and Tier 2) $ 161,356 $ 156,612 $ 145,135
Total risk-weighted assets $ 1,250,105 $ 1,237,658 $ 1,179,830
SUPPLEMENTAL DATA
Trust assets under management $ 658,708 $ 655,991 $ 645,509
Employees (full-time equivalent) 531 537 537
Full service offices 41 41 41
Supermarket offices 4 4 4
ATMs 34 34 33
Announced treasury share plans: (c)
Total shares authorized for plan 525,000 525,000 625,000
Shares purchased - - 10,813
Average price $ - $ - $ 27.71
---------------- ---------------- ----------------
<FN>
(a) Nonperforming loans include loans 90 days past due and accruing,
renegotiated loans and nonaccrual loans.
(b) December 31, 2005, data based on preliminary analysis and is subject to
revision.
(c) 2005 data reflects 2005 Stock Repurchase Program of 525,000 shares. 2004
data reflects 2004 Stock Repurchase Program of 425,000 shares announced
December 17, 2003 and 200,000 shares announced August 13, 2004. Reflects
treasury shares purchased and average price paid for the three-month period
ended on the date indicated.
</FN>
PEOPLES BANCORP INC. CONSOLIDATED BALANCE SHEETS
------------------ ------------------
(in $000's) December 31, December 31,
2005 2004
------------------ ------------------
ASSETS
Cash and cash equivalents $ 39,648 $ 31,449
Available-for-sale investment securities, at estimated fair value
(amortized cost of $591,022 at December 31, 2005 and $594,457
at December 31, 2004) 589,313 602,364
Loans held for sale 1,103 612
Loans, net of unearned interest 1,071,876 1,023,058
Allowance for loan losses (14,720) (14,760)
------------------ ------------------
Net loans 1,057,156 1,008,298
Bank premises and equipment, net of accumulated depreciation 23,486 22,640
Business owned life insurance 46,993 45,253
Goodwill 59,767 59,096
Other intangible assets 9,513 12,022
Other real estate owned 308 1,163
Other assets 27,990 26,189
------------------ ------------------
TOTAL ASSETS $ 1,855,277 $ 1,809,086
------------------ ------------------
LIABILITIES
Non-interest-bearing deposits $ 162,729 $ 152,979
Interest-bearing deposits 926,557 916,442
------------------ ------------------
Total deposits 1,089,286 1,069,421
Federal funds purchased, securities sold under repurchase agreements,
and other short-term borrowings 173,696 51,895
Long-term borrowings 362,466 464,864
Junior subordinated notes held by subsidiary trusts 29,350 29,263
Accrued expenses and other liabilities 17,402 18,225
------------------ ------------------
TOTAL LIABILITIES 1,672,200 1,633,668
STOCKHOLDERS' EQUITY
Common stock, no par value (24,000,000 shares authorized, 10,869,655 shares
issued at December 31, 2005, and
10,850,641 shares issued at December 31, 2004) 162,231 162,284
Retained earnings 30,740 18,442
Accumulated comprehensive (loss) income, net of deferred income taxes (1,116) 4,958
Treasury stock, at cost (350,675 shares at December 31, 2005,
and 415,539 shares at December 31, 2004) (8,778) (10,266)
------------------ ------------------
TOTAL STOCKHOLDERS' EQUITY 183,077 175,418
------------------ ------------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 1,855,277 $ 1,809,086
------------------ ------------------
The following are the revised Consolidated Statements of Income reflecting the
pension settlement charges in the second quarter of 2005.
--------------------------------- -------------------------------- --------------------------------
For the Three Months Ended For the Six Months Ended For the Nine Months Ended
June 30, 2005 June 30, 2005 September 30, 2005
--------------------------------- -------------------------------- --------------------------------
Previously Previously Previously
(in $000's) Reported Corrected Reported Corrected Reported Corrected
--------------- --------------- --------------- -------------- --------------- ---------------
Net income $ 5,299 $ 4,878 $ 9,991 $ 9,570 $ 15,259 $ 14,838
Earnings per share:
Basic $ 0.51 $ 0.47 $ 0.96 $ 0.92 $ 1.46 $ 1.42
Diluted $ 0.50 $ 0.46 $ 0.95 $ 0.91 $ 1.44 $ 1.40
--------------------------------- -------------------------------- --------------------------------
END OF RELEASE