Exhibit 99.1
(COMPANY LOGO OMITTED)
One First Financial Plaza, Terre Haute, IN 47807 o (812) 238-6000
FOR IMMEDIATE RELEASE For more information contact:
April 27, 2004 Michael A. Carty at (812) 238-6264
FIRST FINANCIAL CORPORATION REPORTS 1ST QUARTER EARNINGS
TERRE HAUTE, INDIANA - First Financial Corporation (NASDAQ: THFF) today
announced year-to-date net income of $10.7 million, or $.79 per share compared
to $7.0 million and $.52 per share for the same period in 2003, an increase of
51.9%.
The continued low interest rate environment lead to a decrease in net interest
income for the quarter of $1.0 million or 5.3% compared to the same period for
2003.
During the quarter, non-interest income increased by $4.5 million, or 55.7%,
over the same period in 2003. This increase includes proceeds of $4.1 million
from a life insurance policy.
Non interest expense increased $107 thousand during the quarter, a .7% increase
over the same period in 2003. This modest increase is a reflection of the
Corporation's commitment to control the expense of its operations.
Comparing the first quarter of 2004 to the same period in 2003, average loans
are up $18.7 million, or 1.3%. The Corporation achieved this increase even
though it sold $183.1 million of loans over the previous 12 months to reduce
exposure to rising interest rates and to produce fee income. Average deposits
were up $19.4 million, or 1.3%. These funds were used to reduce average bank
borrowings by $19.0 million. Average shareholders' equity increased $15.3
million, or 6.2%. The financial performance increased book value per share on
March 31, 2004 to $19.67, an 8.3% increase over the March 31, 2003 book value of
$18.17.
Statements in this press release that relate to future results and events
(including statements about future financial and operating performance) are
based on the Corporation's current expectations. Actual results in future
periods may differ materially from those currently expected or desired because
of a number of risks and uncertainties, including general economic and business
conditions; changes in interest rates; loss of deposits and loan demand to other
financial institutions; substantial changes in financial markets; changes in
real estate values and the real estate market; or regulatory changes. Additional
discussion of these and other factors affecting the Corporation's business and
prospects is contained in the Corporation's periodic filings with the Securities
and Exchange Commission.
First Financial Corporation is the holding company for First Financial Bank,
N.A., First State Bank, First Farmers State Bank, First Parke State Bank, The
Morris Plan Company of Terre Haute and Forrest Sherer, Inc. in Indiana, and
First Crawford State Bank, and First Community Bank N.A. in Illinois.
FIRST FINANCIAL CORPORATION
FOR THE QUARTER AND THE THREE MONTHS ENDING MARCH 31, 2004
(Dollar amounts in thousands except per share data)
03/31/04 03/31/03 Change % Change
YEAR & QUARTER TO DATE INFORMATION:
Net Income $10,685 $7,033 $3,652 51.93%
Earnings Per Average Share $0.79 $0.52 $0.27 51.92%
Return on Assets 1.90% 1.29% 0.61% 47.29%
Return on Equity 16.38% 11.45% 4.93% 43.06%
Net Interest Margin 3.78% 4.02% -0.24% -5.97%
Net Interest Income $17,933 $18,929 ($996) -5.26%
Non-Interest Income $12,577 $8,079 $4,498 55.68%
Non Interest Expense $15,532 $15,425 $107 0.69%
Loss Provision $1,923 $2,227 ($304) -13.65%
Net Charge Offs $1,765 $1,662 $103 6.20%
Efficiency Ratio 55.70% 53.98% 1.72% 3.19%
BALANCE SHEET:
Assets $2,198,863 $2,112,576 $86,287 4.08%
Deposits $1,432,495 $1,421,743 $10,752 0.76%
Loans $1,432,816 $1,395,305 $37,511 2.69%
Shareholders' Equity $266,133 $246,889 $19,244 7.79%
Book Value Per Share $19.67 $18.17 $1.50 8.26%
Average Assets 2,243,928 2,187,124 $56,804 2.60%