CONTACTS:
FINANCIAL/INVESTORS
Frank Pekny (City National) 310-888-6700
Ian Campbell (Abernathy MacGregor Group) 213-630-6550
MEDIA
Kim George (City National) 310-888-6665
Chris Orlando (Stoorza Communications) 619-236-1332
FOR IMMEDIATE RELEASE
CITY NATIONAL CORP. ISSUES SUPPLEMENTAL INFORMATION REGARDING RECORD QUARTER AND
ALLOWANCE FOR CREDIT LOSSES
LOS ANGELES--(BUSINESS WIRE)--July 13, 2000--City National Corp. (NYSE:CYN),
parent company of wholly owned City National Bank, which today reported record
net income of $33.4 million for the second quarter of 2000, a 28 percent
increase over the year-earlier quarter, and net income of $64.5 million for the
first half of 2000, a 24 percent increase over the year-earlier six months,
issued supplemental information regarding the allowance for credit losses.
These record net income results, which were driven primarily by growth in loan
volume and increases in net interest and noninterest income, include a $4.0
million provision for credit losses. To supplement information previously
released, the table below summarizes activity in the allowance for credit losses
for the three-month periods ended June 30, 2000 and 1999, in addition to the six
months released earlier today.
Allowance for Credit Losses
For three months ended For six months ended
June 30, June 30,
---------------------- --------------------
2000 1999 2000 1999
Beginning balance $140,450 $138,710 $134,077 $135,339
Additions from acquisitions - - 9,927 -
Provision for credit losses 4,000 - 4,000 -
Charge-offs (8,854) (1,521) (14,413) (2,619)
Recoveries 4,888 2,996 6,893 7,465
Net (charge-offs) recoveries (3,966) 1,475 (7,520) 4,846
Ending balance $140,484 $140,185 $140,484 $140,185
The company said that its allowance for credit losses to total loans was 2.21
percent at June 30, 2000, compared with 2.97 percent at June 30, 1999.
ABOUT CITY NATIONAL
City National is a publicly owned corporation with $8.7 billion in total assets
whose stock is traded on the New York Stock Exchange under the symbol "CYN." The
corporation's wholly owned subsidiary, City National Bank, is the premier
independent business and private bank headquartered in California. City National
Bank, which provides banking, trust, and investment services, has 49 California
offices located throughout Los Angeles, Orange, Riverside, San Bernardino, San
Diego, San Francisco, San Mateo and Ventura counties, and a loan production
office in Sacramento.
For more information about the corporation, its Fax-On-Demand Information
Service is at 800/873.5293, and the corporation's Web page is at
http://www.cnb.com.
This news release contains forward-looking statements about the corporation
for which the corporation claims the protection of the safe harbor contained
in the Private Securities Litigation Reform Act of 1995. Forward-looking
statements include information concerning the corporation's possible or
assumed future financial condition, and its results of operations and
business. Forward-looking statements are subject to risks and uncertainties.
A number of factors, some of which are beyond the corporation's ability to
control or predict, could cause actual results to differ materially from
those contemplated by such forward-looking statements. These factors include
(1) an economic slowdown in California, (2) changes in interest rates, (3)
significant changes in banking laws or regulations, (4) increased competition
in the corporation's market, and (5) higher than expected credit losses. For
a more complete discussion of these risks and uncertainties, see the
corporation's quarterly report on Form 10-Q for the quarter-ended March 31,
2000 and particularly the section of Management's Discussion and Analysis
therein entitled "Cautionary Statement for Purposes of the 'Safe Harbor'
Provisions of the Private Securities Litigation Reform Act of 1995."