EXHIBIT 99
PRESS RELEASE OF WEBSTER CITY FEDERAL BANCORP
May 4, 2004
FOR IMMEDIATE RELEASE
Contact: Phyllis A. Murphy, President
and Chief Executive Officer
Tel (515) 832-3071
WEBSTER CITY FEDERAL BANCORP
FIRST QUARTER 2004 EARNINGS NEWS
Webster City Federal Bancorp reported consolidated net earnings of $288,500 or
$.08 per share for the quarter ended March 31, 2004 compared to $305,600 or $.08
per share for the quarter ended March 31, 2003.
Total assets of the Company for the quarter ended March 31, 2004 were
$105,318,000 compared to $105,636,000 for the same period ended March 31, 2003.
Interest income decreased by $155,000 for the three months ended March 31, 2004
compared to the same period ending March 31, 2003. The decrease in interest
income was due to a decrease in the average balance of interest earning assets
and decrease in interest income as a result of the lower market rates.
Interest expense also decreased by $106,700 for the three months ended March 31,
2004. This decrease was partially due to the average cost of deposits decreasing
by 52 basis points and a decrease in average deposits outstanding of $210,000.
Interest expense on FHLB advances also decreased for the quarter ended March 31,
2004 by $12,100. The decrease
was due to the refinance of an advance at a lower rate.
The asset quality of the Company remains strong, with reserves allocated in an
amount the Company believes to be adequate to absorb probable losses.
Stockholder's equity increased by $108,300 to 22.8 million at March 31, 2004
from the prior quarter.
Webster City Federal Bancorp is the holding company for Webster City Federal
Savings Bank and Security Title & Abstract, Inc. The Company's stock trades
under the Nasdaq symbol of WCFB
Safe Harbor Statement
- ---------------------
This news release and other releases and reports issued by the Company,
including reports to the Securities and Exchange Commission, may contain
Oforward-looking statementsO. The Company intends such forward-looking
statements to be covered by the safe harbor provisions for forward-looking
statements contained in the Private Securities Reform Act of 1995, and is
including this statement for purposes of these safe harbor provisions.
Webster City Federal Bancorp and Subsidiaries
Consolidated Balance Sheets
March 31, December 31,
2004 2003
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Assets (Unaudited)
- ------
Cash and cash equivalents $ 5,189,693 $ 3,430,915
Time deposits in other financial institutions 13,659,000 12,273,000
Securities available-for-sale 11,737,868 13,627,119
Securities held-to-maturity (market value 3,354,944 3,478,632
of $3,461,490 and $3,566,728, as of March 31, 2004 and
Decemeber 31, 2003, respectively.
Loans receivable, net 68,554,821 69,028,234
Real estate owned 73,809 -
Federal Home Loan Bank (FHLB) stock, at cost 555,400 555,400
Bankers' Bank stock, at cost 147,500 147,500
Office property and equipment, net 678,290 692,976
Deferred taxes on income 297,104 339,000
Accrued interest receivable 488,496 498,603
Prepaid expenses and other assets 580,578 681,154
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Total assets $ 105,317,503 $ 104,752,533
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Liabilities and Stockholders' Equity
- ------------------------------------
Deposits $ 71,099,090 $ 70,855,734
Federal Home Loan Bank advances 9,700,000 9,700,000
Advance payments by borrowers for
taxes and insurance 162,764 314,758
Accrued interest payable 275,634 30,295
Current income taxes payable 194,030 76,611
Accrued expenses and other liabilities 1,119,576 1,117,061
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Total liabilities $ 82,551,094 $ 82,094,459
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Stockholders' Equity
- --------------------
Serial preferred stock, $0.10 par value. - -
Authorized 10,000,000 shares; issued none
Common stock, $.10 par value. 20,000,000 shares authorized: $ 430,123 $ 430,123
4,301,228 issued and 3,772,372 outstanding at March 31, 2004
and at December 31, 2003
Additional paid-in capital 9,439,591 9,439,592
Retained earnings, substantially restricted 16,665,547 16,627,337
Unrealized gain on securities available-for-sale 112,526 42,400
Treasury stock, 528,856 shares as of March 31, 2004 (3,881,378) (3,881,378)
and December 31, 2003, respectively.
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Total stockholders' equity 22,766,409 22,658,074
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Total liabilities and stockholders' equity $ 105,317,503 $ 104,752,533
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See accompying notes to consolidated financial statements.
Webster City Federal Bancorp and Subsidiaries
Consolidated Statements of Operations
For the Three Months
Ended March 31,
-----------------------------
2004 2003
---------- ----------
(Unaudited)
Income
Interest income:
Loans receivable $1,131,761 $1,297,025
Mortgage-backed & related securities 37,049 35,786
Investment securities 133,153 106,296
Other interest-earning assets 104,751 122,608
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Total interest income 1,406,714 1,561,715
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Interest expense:
Deposits 396,467 490,710
Federal Home Loan Bank advances 112,613 124,988
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Total interest expense 509,080 615,698
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Net interest income 897,634 946,017
Provision for losses on loans -- --
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Net interest income after
provision for losses on loans 897,634 946,017
---------- ----------
Non-interest income:
Fees and service charges 46,476 51,773
Other 44,211 30,819
---------- ----------
Total non-interest income 90,687 82,592
---------- ----------
Expense
Non-interest expense:
Compensation, payroll taxes
and employee benefits 314,310 302,314
Office property and equipment 40,093 37,796
Data processing services 53,630 54,679
Federal insurance premiums 2,771 2,839
Other real estate expenses, net 4,173 509
Advertising 6,352 8,981
Other 113,829 126,448
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Total non-interest expense 535,158 533,566
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Earnings before taxes on income 453,163 495,043
Taxes on income 164,650 189,472
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Net earnings $ 288,513 $ 305,571
========== ==========
Earnings per share - basic $ 0.08 $ 0.080.08
========== ==========
Earnings per share - diluted $ 0.08 $ 0.080.08
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See accompanying notes to consolidated financial statements.