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FOR IMMEDIATE RELEASE
BERKSHIRE HILLS BANCORP, INC. ANNOUNCES 2003 EARNINGS GUIDANCE
PITTSFIELD, MA, JANUARY 24, 2003 - Berkshire Hills Bancorp, Inc. (the "Company")
(AMEX: BHL), the holding company for Berkshire Bank (the "Bank"), today
announced that it expects to meet and hopefully exceed net earnings of $1.40 per
diluted share for 2003. The Company also announced that it anticipates holding
an investor conference call in late February or early March to discuss 2003
progress, update investors on strategy detail and introduce its new Chief
Financial Officer.
The Company estimates that net interest income and non-interest income combined
will exceed $50 million for 2003. Additionally, the Company expects that its
2003 provision for loan losses will be materially lower than that recorded for
2002 based primarily on the lower risk profile of the loan portfolio and
expected reduced charge-off activity. The non-interest expense for 2003 is
anticipated to be somewhat in excess of $34 million. The Company's 2003
estimates assume the continuation of the current interest rate environment,
national and regional economic conditions and financial market conditions.
Explaining the decision to provide 2003 earnings guidance, Michael P. Daly,
President and Chief Executive Officer, stated, "We have historically not
provided earnings guidance but due to the number of extraordinary items that
occurred in the fourth quarter and the confusion in the market as to the impact
of such items on our core operations for the fourth quarter and 2003, we felt it
would be both helpful and appropriate to provide our stockholders with guidance
as to what we now expect for 2003."
Berkshire Hills Bancorp, Inc. is the holding company for Berkshire Bank.
Established in 1846, Berkshire Bank is one of Massachusetts' oldest and largest
independent banks and is the largest banking institution based in western
Massachusetts. The Bank is headquartered in Pittsfield, Massachusetts with 11
branch offices serving communities throughout Berkshire County. The Bank is
committed to continuing to operate as an independent bank, delivering
exceptional customer service and a broad array of competitively priced retail
and commercial products to customers.
This press release may contain certain forward-looking statements with
regard to the Company's prospective performance and strategies within
the meaning of Section 27A of the
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Securities Act of 1933, as amended, and Section 21E of the Securities Exchange
Act of 1934, as amended. The Company intends such forward-looking statements to
be covered by the safe harbor provisions for forward-looking statements
contained in the Private Securities Litigation Reform Act of 1995, and is
including this statement for purposes of said safe harbor provisions.
Forward-looking statements which are based on certain assumptions, and describe
future plans, strategies, and expectations of the Company, are generally
identified by use of the words "believe," "expect," "intend," "anticipate,"
"estimate," "project," or other similar expressions. The earnings estimates
contained herein are based on management's best estimates at this time and
current information. The Company's ability to predict results or the actual
effects of its plans and strategies are inherently uncertain. Accordingly,
actual results may differ materially from anticipated results. Factors that
could have a material adverse effect on the operations of the Company and its
subsidiaries include, but are not limited to, changes in market interest rates,
general economic conditions, legislation, and regulation; changes in the
monetary and fiscal policies of the U.S. Government; changes in the quality or
composition of the loan and investment portfolios; changes in deposit flows,
competition, and demand for financial services and loan, deposit, and investment
products in the Company's local markets; changes in local real estate values;
changes in accounting principles and guidelines; war or terrorist activities;
and other economic, competitive, governmental, regulatory, geopolitical, and
technological factors affecting the Company's operations, pricing, and services.
Specific factors that could case future results to vary from current management
expectations are detailed from time to time in the Company's SEC filings.
Readers are cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date of this release. Except as required
by applicable law or regulation, the Company undertakes no obligation to update
these forward-looking statements, to reflect events or circumstances that occur
after the date on which such statements were made.
MEDIA AND INVESTOR CONTACT:
MICHAEL P. DALY
413-236-3194