For Immediate Release For more information, contact:
- --------------------- Lane Ward, Vice Chairman, President and CEO
Date: July 30, 1996 at (713) 342-5571
EXHIBIT 99
FORT BEND HOLDING CORP.'S
FIRST QUARTER FISCAL 1997 EARNINGS RELEASE
Fort Bend Holding Corp. ("FBHC"), parent corporation of Fort Bend
Federal Savings and Loan Association of Rosenberg, today announced net earnings
of $406,000 or $0.48 primary earnings per share, for the first fiscal quarter
ended June 30, 1996. This compared to net earnings of $403,000, or $0.46
primary earnings per share, for the same quarter in fiscal 1996. Fully diluted
earnings per common share for the quarter ended June 30, 1996 was $0.40.
The Board of Directors has also announced that FBHC will pay a cash
dividend of $0.07 per share for the quarter ended June 30, 1996. The dividend
will be payable on September 4, 1996 to shareholders of record on August 14,
1996. This is FBHC's eleventh consecutive quarterly cash dividend.
FBHC's net interest income after provision for loan losses was
$1,620,000 for the quarter ended June 30, 1996 compared to $1,591,000 for the
quarter ended June 30, 1995. Net interest income increased reflecting an
increase in average interest-earning assets to $233 million from $221 million
for the three months ended June 30, 1996 and 1995, respectively.
Total noninterest income increased $155,000 for the quarter ended June
30, 1996 compared to the quarter ended June 30, 1995. This reflects an increase
of $39,000 in service charges, $29,000 in loan servicing income and $96,000 in
other income.
Assets of FBHC were $254,739,000 as of June 30, 1996, compared to
$244,169,000 at March 31, 1996. This is an increase of 4.3% which is primarily
attributable to growth in the loan portfolio and short-term investments. The
loan growth of $7.8 million was primarily funded by principal repayments of
mortgage-backed securities and short-term borrowings.
Stockholders' equity was $18,008,000 at June 30, 1996 compared to
$17,572,000 at March 31, 1996. This represents an increase of 2.5%.
Equity-to-assets and risk-based capital ratios were 7.1% and 18.5% respectively
as of June 30, 1996.
Non-performing assets as a percentage of total assets as of June 30,
1996, were 1.21% compared to 1.29% as of March 31, 1996.
The previously announced acquisition of FirstBanc Savings Association of
Missouri City, Texas ("FirstBanc") is in process. The FirstBanc Shareholders
approved the acquisition in July 1996 and applications have been filed with the
regulatory authorities. The acquisition is anticipated to close in September
1996.
FBHC serves Fort Bend, Harris, Wharton and Waller Counties in Southeast
Texas through its subsidiary, Fort Bend Federal Savings and Loan headquartered
in Fort Bend County. The subsidiary operates a retail franchise of 5 full
service offices in 5 cities. Fort Bend Federal's market area is located in the
largest metropolitan area of Texas and the eighth largest in the United States.
The Corporation's stock is traded on the Nasdaq National Market under the symbol
"FBHC".
# # #
FORT BEND HOLDING CORP.
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL CONDITION
(UNAUDITED)
ASSETS JUNE 30, 1996 MARCH 31, 1996
Cash and due from banks $ 4,346,835 $ 3,451,880
Short-term investments 7,050,826 13,541,782
Certificates of deposit 200,000 200,000
----------- -------------
TOTAL CASH AND CASH EQUIVALENTS 11,597,661 17,193,662
Investment securities available for sale, at market value 2,704,557 2,684,607
Investment securities held to maturity (estimated market
value of $20,014,093 and $9,064,153 at June 30, 1996 and
March 31, 1996, respectively) 20,219,065 9,233,505
Mortgage-backed securities available for sale, at market value 745,448 873,502
Mortgage-backed securities held to maturity (estimated market
value of $106,062,855 and $110,676,779 at June 30, 1996 and
March 31, 1996, respectively) 107,130,125 110,489,617
Loans receivable, net 100,645,671 92,861,594
Loans held for sale 863,165 922,422
Accrued interest receivable 1,548,875 1,466,272
Real estate, net 148,092 155,372
Federal Home Loan Bank stock, at cost 1,481,400 1,460,200
Premises and equipment, net 3,850,387 3,635,046
Mortgage servicing rights, net 1,915,365 1,235,714
Prepaid expenses and other assets 1,501,523 1,538,171
Deferred income taxes 387,501 418,949
----------- -------------
TOTAL ASSETS $ 254,738,835 $ 244,168,633
=========== =============
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Deposits $ 204,874,581 $ 203,913,715
8% Convertible Subordinated Debentures 12,100,000 12,100,000
Other borrowings 10,307,782 4,363,688
Advances from borrowers for taxes and insurance 7,444,782 4,224,796
Accounts payable, accrued expenses and other liabilities 2,003,224 1,994,063
----------- -------------
TOTAL LIABILITIES 236,730,369 226,596,262
----------- -------------
Stockholders' Equity:
Serial preferred stock, $.01 par value - 500,000 shares authorized,
none outstanding
Common Stock $.01 par value, 2,000,000 shares authorized
907,372 shares issued and 819,198 shares outstanding at
June 30, 1996 and 905,572 shares issued and 817,398
shares outstanding at March 31, 1996 9,073 9,055
Additional paid-in capital 8,580,932 8,514,562
Unearned employee stock ownership plan shares (351,000) (394,875)
Deferred compensation (119,219) (98,668)
Net unrealized depreciation on available for sale securities, net of tax (23,778) (21,786)
Retained earnings (substantially restricted) 11,368,959 11,020,584
Treasury stock, at cost - 88,174 shares at June 30, 1996 and
March 31, 1996 (1,456,501) (1,456,501)
------------ ------------
TOTAL STOCKHOLDERS' EQUITY 18,008,466 17,572,371
------------ ------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 254,738,835 $ 244,168,633
============ ============
FORT BEND HOLDING CORP.
CONDENSED CONSOLIDATED STATEMENT OF INCOME
(UNAUDITED)
THREE MONTHS ENDED
JUNE 30, 1996 JUNE 30, 1995
INTEREST INCOME:
Loans $ 2,130,689 $ 1,733,892
Short-term investments 187,395 77,895
Investments securities 147,996 250,298
Mortgage-backed securities 1,829,259 1,942,729
---------------- ---------------
TOTAL INTEREST INCOME 4,295,339 4,004,814
---------------- ---------------
INTEREST EXPENSE:
Deposits 2,320,151 2,249,436
Borrowings 330,050 136,912
--------------- ---------------
TOTAL INTEREST EXPENSE 2,650,201 2,386,348
--------------- ---------------
NET INTEREST INCOME BEFORE PROVISION FOR LOAN LOSSES 1,645,138 1,618,466
PROVISIONS FOR LOAN LOSSES 25,000 27,053
--------------- --------------
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES 1,620,138 1,591,413
--------------- --------------
NONINTEREST INCOME:
Gain on sale of loans 49,949 59,205
Service charges 113,418 74,632
Loan servicing income 169,631 140,799
Other income 279,138 182,656
--------------- -------------
TOTAL NONINTEREST INCOME 612,136 457,292
--------------- -------------
NONINTEREST EXPENSES:
Compensation and benefits 831,871 764,772
Office occupancy and equipment 187,020 164,898
Federal insurance premiums 124,282 113,291
Amortization of mortgage servicing rights 64,250 60,000
Insurance and surety bond expense 33,616 26,069
Other 376,516 293,720
--------------- ------------
TOTAL NONINTEREST EXPENSES 1,617,555 1,422,750
--------------- ------------
INCOME BEFORE INCOME TAX 614,719 625,955
INCOME TAX PROVISION 209,000 222,900
--------------- -------------
NET INCOME $ 405,719 $ 403,055
=============== =============
PRIMARY EARNINGS PER COMMON SHARE $ 0.48 $ 0.46
============== =============
FULLY DILUTED EARNINGS PER COMMON SHARE $ 0.40 $ 0.46
============== =============
DIVIDENDS PER COMMON SHARE $ 0.07 $ 0.07
============== =============