EXHIBIT 99
CAMCO FINANCIAL ANNOUNCES FIRST QUARTER 2004 EARNINGS
Friday April 23, 4:58 pm ET
CAMBRIDGE, Ohio--(BUSINESS WIRE)--April 23, 2004--(Nasdaq:CAFI - News) - Camco
Financial Corporation reported net earnings for the quarter ended March 31, 2004
of $1.03 million, compared to $2.45 million of net earnings reported for the
same quarter in 2003. Basic earnings per share for the first quarter of 2004
were $.14 compared to $.32 for the same quarter in 2003.
President and CEO Richard C. Baylor commented, "The $1.4 million difference in
our operating performance quarter over quarter is primarily attributable to a
$1.3 million after-tax decrease in gains on sale of loans and other decreases in
related mortgage banking revenue in the 2004 quarter."
Camco recently announced a quarterly dividend of $.145 which was payable April
16, 2004. This dividend represents an annualized yield of 3.50% on Camco's March
31st quarter-end market value.
Baylor continued, "Similar to many others in our industry, Camco's operations
over the last six months of rising home mortgage rates have reflected the
inevitable shift from heavy reliance on significant gains on sales of loans to
earnings based on net portfolio yields. We are pleased to see increased loan
production levels in the first quarter of 2004, particularly in higher yielding
commercial real estate loans; an area we have been growing over the last two
years. I am also pleased to report that our net interest margin is improving; we
have increased liquid assets so that we are positioned to take advantage of
rising interest rates and we are analyzing a number of strategic alternatives to
help us offset the loss of the nonrecurring revenue. One such alternative is our
previously announced acquisition of London Financial Corporation, a $60 million
bank holding company and its wholly owned subsidiary, The Citizens Bank of
London, headquartered in London, Ohio."
Mr. Baylor stated, "We are anticipating this acquisition to be completed by the
end of the third quarter 2004 and that it will be accretive to Camco's earnings
per share during the first full year of operations. The acquisition of London
represents an excellent strategic opportunity to expand our banking franchise in
the fast growing central Ohio market."
Mr. Baylor added, "We are in the process of introducing several new products or
features that will provide enhanced value and convenience to our deposit
customers. AdvantagePlatinum and AdvantagePlatinum Plus provide customers with
money saving discounts on travel, entertainment, service and much more.
AdvantagePlatinum Plus is an interest-bearing checking account that pays money
market rates and helps customers save money when they shop at their local
merchants. We are also in the process of unveiling AdvantageOverdraft, a new
service providing customers overdraft protection while generating additional fee
income for the company. In addition to new services, we have kept a close watch
on expenses and have reduced FTE in areas where we have become more productive
while not harming customer service."
Camco Financial Corporation, holding company for Advantage Bank, is a
multi-state thrift holding company headquartered in Cambridge, Ohio with assets
of $1.1 billion. Advantage Bank and its affiliates offer community banking,
mortgage banking and title services from 32 offices in 23 communities in Ohio,
Kentucky and West Virginia.
Additional information about Camco Financial may be found on Camco's web site:
www.camcofinancial.com.
The words or phrases "will likely result," "are expected to," "will continue,"
"is anticipated," "estimate," "project" or similar expressions are intended to
identify "forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995. Such statements are subject to certain
risks and uncertainties
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including changes in economic conditions in the Company's market area, changes
in policies by regulatory agencies, fluctuations in interest rates, demands for
loans in the Company's market area and competition, that could cause actual
results to differ materially from historical earnings and those presently
anticipated or projected. The Company wishes to caution readers not to place
undue reliance on any such forward-looking statements, which speak only as of
the date made. The Company does not undertake, and specifically disclaims any
obligation, to publicly release the result of any revisions that may be made to
any forward-looking statements to reflect events or circumstances after the date
of such statements or to reflect the occurrence of anticipated or unanticipated
events.
Financials Attached.
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Camco Financial Corporation
Condensed Consolidated Statements of Earnings
Periods Ended March 31, 2004 and 2003
(In thousands, except for per share data and shares outstanding)
3 Months 3 Months
Ended Ended
3/31/04 3/31/03
(Unaudited) (Unaudited)
------------ ------------
Total Interest Income $12,729 $14,693
Total Interest Expense 6,658 8,327
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Net Interest Income 6,071 6,366
Provision for Losses on Loans 255 420
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Net Interest Income After
Provision for Loan Losses 5,816 5,946
Other Income 1,536 3,455
General, Administrative,
and Other Expense 5,870 5,779
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Net Income - Before Income Tax 1,482 3,622
------------ ------------
Income Tax Expense 448 1,168
------------ ------------
Reported Net Earnings $1,034 $2,454
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Earnings Per Share Reported:
Basic $0.14 $0.32
Diluted $0.14 $0.32
Basic Weighted Number of
Shares Outstanding 7,345,340 7,674,434
Diluted Weighted Number of
Shares Outstanding 7,414,616 7,769,546
Selected Financial Ratios
Net Interest Margin 2.46% 2.47%
Reported:
Return on Average Equity 4.45% 10.07%
Return on Average Assets 0.40% 0.91%
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Camco Financial Corporation
Condensed Consolidated Statements of Financial Condition
(In thousands, except for per share data and shares outstanding)
Audited
3/31/04 12/31/03
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Assets
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Cash and Cash Equivalents $38,761 $53,711
Investments 129,574 113,758
Loans Held for Sale 8,908 5,457
Loans Receivable 817,252 805,266
Allowance for Loan Loss (5,460) (5,641)
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Loans Receivable, Net 811,792 799,625
Goodwill 2,953 2,953
Other Assets 65,035 63,647
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Total Assets $1,057,023 $1,039,151
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Liabilities
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Deposits $669,046 $671,274
Borrowed Funds 283,279 262,735
Other Liabilities 11,705 12,599
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Total Liabilities 964,030 946,608
Stockholders Equity 92,993 92,543
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Total Liabilities and
Stockholders' Equity $1,057,023 $1,039,151
============= ===========
Stockholders' Equity to
Total Assets 8.80% 8.91%
Total Shares Outstanding 7,352,151 7,332,423
Book Value Per Share $12.65 $12.62
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Contact:
Camco Financial Corporation, Cambridge
Richard C. Baylor, 740-435-2040
Mark A. Severson, 740-435-2055
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