EXHIBIT 99
Codorus Valley Bancorp, Inc. Press Release
dated July 21, 2004
PRESS RELEASE -- CODORUS VALLEY BANCORP, INC.
CASH DIVIDEND DECLARATION
AND FINANCIAL HIGHLIGHTS
On July 13, 2004, the board of directors of Codorus Valley Bancorp, Inc.
(Nasdaq: CVLY) declared a regular quarterly cash dividend of $.125 (12.5 cents)
per share, payable on or before August 10, 2004, to shareholders of record July
27, 2004.
Codorus Valley Bancorp, Inc. earned $1,730,000 or $0.57 per diluted share for
the first six months of 2004, compared to $1,574,000 or $0.53 per diluted share
for the same period in 2003. The $156,000 or 10 percent increase in net income
was the result of increases in net interest income and noninterest income. The
$343,000 or 5 percent increase in net interest income was attributable to lower
funding costs (rate driven) and income from a larger volume of loans. The
$122,000 or 6 percent increase in noninterest income, including gains from the
sale of mortgages, was attributable to increases in fees on deposits and
commissions earned from the sale of mutual fund, annuity and insurance products.
While noninterest income increased overall, an important component, gains from
the sale of mortgages decreased $307,000 due primarily to rising market interest
rates, which largely curtailed mortgage refinancing. Gains from the periodic
sale of investment securities were $7,000 in the current six month period
compared to $266,000 in 2003. Noninterest expense was flat in the current period
due in part to the positive impact of realigning staff and operational
efficiencies instituted in the prior year.
Total assets were approximately $392 million on June 30, 2004, an increase of
$26 million or 7 percent above June 30, 2003. Asset growth occurred primarily in
business and consumer loans, which were funded primarily by core deposits.
Additional financial information is provided in the financial highlights section
of this news release.
Codorus Valley Bancorp, Inc. is a financial services holding company
headquartered at Codorus Valley Corporate Center, 105 Leader Heights Road, York,
PA. Codorus Valley operates primarily through its financial services subsidiary,
PeoplesBank, A Codorus Valley Company. PeoplesBank provides a full range of
business and consumer banking services through eleven financial centers
throughout York County. It also offers mortgage banking, investment, insurance,
trust and real estate settlement services. Additional information is available
on the bank's website -- www.peoplesbanknet.com.
Management of Codorus Valley Bancorp, Inc. has made forward-looking statements
in this Press Release. These forward-looking statements are subject to risks and
uncertainties. Forward-looking statements include information concerning
possible or assumed future results of operations of the corporation and its
subsidiaries. When words such as "believes," "expects," "anticipates" or similar
expressions occur in this Press Release, management is making forward-looking
statements. Note that many factors could affect the future financial results of
the corporation and its subsidiaries, both individually and collectively, and
could cause those results to differ materially from those expressed in the
forward-looking statements contained in this Press Release.
Questions or comments regarding this Press Release should be directed to
Larry J. Miller, President & CEO, Codorus Valley Bancorp, Inc. by telephone
at 717-747-1500 or 800-646-1970; or by e-mail at lmiller@peoplesbanknet.com.
July 21, 2004
York, Pennsylvania
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CODORUS VALLEY BANCORP, INC.
Financial Highlights
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
(in thousands of dollars, except per share data)
Three months ended Six months ended
June 30, June 30,
2004 2003 2004 2003
------ ------ ------ ------
Net interest income $3,309 $3,162 $6,595 $6,252
Provision for loan losses 125 187 175 224
Noninterest income 968 787 1,983 1,554
Gain on sale of securities 0 99 7 266
Gain on sale of mortgages 80 245 175 482
Noninterest expense 3,144 3,178 6,251 6,251
Federal income tax 277 215 604 505
------ ------ ------ ------
Net income $ 811 $ 713 $1,730 $1,574
====== ====== ====== ======
Net income per share (diluted) $ 0.27 $ 0.24 $ 0.57 $ 0.53
Cash dividends per share $0.119 $0.109 $0.238 $0.218
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED)
(in thousands of dollars, except per share data)
June 30,
2004 2003
----------- -----------
Cash & short term investments $ 16,980 $ 27,283
Investment securities 72,291 70,589
Loans 277,556 244,852
Allowance for loan losses (1,717) (1,539)
Other assets 26,394 24,565
----------- -----------
Total assets $ 391,504 $ 365,750
=========== ===========
Deposits $ 330,643 $ 308,429
Borrowed funds 23,999 19,880
Other liabilities 2,632 4,222
Stockholders' equity 34,230 33,219
----------- -----------
Total liabilities & stockholders' equity $ 391,504 $ 365,750
=========== ===========
Shares outstanding 2,980,960 2,973,179
Book value per share $ 11.48 $ 11.17
Market value per share $ 18.52 $ 14.95
Return on average assets (ytd) 0.91% 0.90%
Return on average equity (ytd) 10.05% 9.56%
Capital leverage ratio 8.85% 9.01%
Nonperforming assets ratio 0.91% 2.18%
Note: Shares outstanding and per share amounts were adjusted for stock
dividends.
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