Exhibit 99
EXCHANGE NATIONAL BANCSHARES ANNOUNCES YEAR 2005 ANNUAL EARNINGS OF $2.36 PER
DILUTED SHARE
Jefferson City, MO
February 24, 2006
Exchange National Bancshares, Inc. of Jefferson City, MO (NASDAQ: EXJF)
announced today for the year ended December 31, 2005, Exchange National
Bancshares, Inc. earned $2.36 per diluted share, up 19.2% from diluted earnings
of $1.98 per share a year earlier. Net income for the year ended December 31,
2005 of $9,915,000 increased $1,610,000 when compared to the year ended 2004.
In commenting on earnings, James E. Smith, Chairman and CEO said, "We had a
strong year in 2005. On May 2, 2005, we completed the purchase of Bank 10 of
Belton, MO and that purchase enhanced our already strong balance sheet position
by providing $157 million in additional earning assets. Due to an increase in
our net interest margin and in the volume of earning assets, net interest income
increased $5,963,000 compared to the same period in 2004. The net interest
margin increased from 3.43% for 2004 to 3.50% for 2005." Mr. Smith added,
"Increases in net interest income were accompanied by additional increases in
noninterest income of $1,533,000, of which the majority of the increase is
attributed to the acquisition of Bank 10. The income growth was partially offset
by a $4,985,000 increase in noninterest expense, a $380,000 increase in the 2005
loan loss provision expense and a $520,000 increase in income tax expense."
For the year, return on average equity was 10.47% and the return on average
assets was 0.91% compared to 9.16% and 0.93%, respectively for 2004.
Comparing December 31, 2005 balances to December 31, 2004, total assets
increased 21.9% to $1,126,334,000. Loans net of allowance for loan losses grew
27.9% to $804,450,000, while investment securities increased 4.6% to
$179,692,000. Total deposits increased 21.3% to $881,455,000. Subordinated notes
increased 92.0% to $49,486,000. Proceeds from the increased debt were used to
finance the Bank 10 acquisition. During the same period, stockholders' equity
increased 5.4% to $96,733,000 or 8.6% of total assets.
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FINANCIAL SUMMARY
(unaudited)
December 31, 2005 December 31, 2004
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Balance sheet information:
Loans, net of allowance
for loan losses $ 804,450,102 $629,141,036
Debt and equity
securities 179,691,826 171,717,635
Total assets 1,126,333,577 923,874,270
Deposits 881,455,206 726,649,476
Stockholders' equity 96,732,865 91,770,783
Year Ended Year Ended
Dec. 31, 2005 Dec. 31, 2004
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Statement of income information:
Total interest income $57,340,034 $41,090,596
Total interest expense 23,673,590 13,386,911
Net interest income 33,666,444 27,703,685
Provision for loan
losses 1,321,612 942,000
Noninterest income 7,265,296 5,732,557
Noninterest expense 25,368,150 20,382,706
Income taxes 4,326,700 3,806,556
Net income 9,915,278 8,304,980
ABOUT EXCHANGE NATIONAL BANCSHARES
Exchange National Bancshares, Inc., a multi-bank holding company headquartered
in Jefferson City, Missouri, is the parent company of The Exchange National Bank
of Jefferson City with locations in California, Tipton and St. Robert; Citizens
Union State Bank & Trust of Clinton with locations in Springfield, Lee's Summit,
Branson, Windsor, Collins and Osceola; Bank 10 with locations in Belton, Drexel,
Harrisonville, Independence and Raymore; and Osage Valley Bank of Warsaw.
Statements made in this press release that suggest Exchange National Bancshares'
or management's intentions, hopes, beliefs, expectations, or predictions of the
future include "forward-looking statements" within the meaning of Section 21E of
the Securities and Exchange Act of 1934, as amended. It is important to note
that actual results could differ materially from those projected in such
forward-looking statements. Additional information concerning factors that could
cause actual results to differ materially from those projected in such
forward-looking statements is contained from time to time in the company's
quarterly and annual reports filed with the Securities and Exchange Commission.
Contact: Kathleen Bruegenhemke
Senior Vice President, Investor Relations
TEL: 573.761.6100 FAX: 573.761.6272
www.exchangebancshares.com
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