Exhibit 99.1
PFS Bancorp, Inc.
Second and Bridgeway Streets
Aurora, Indiana 47001
October 27, 2005
FOR IMMEDIATE RELEASE:
CONTACT:
Stuart M. Suggs, Corp. Treasurer, COO, & CFO
PFS Bancorp, Inc.
(812) 926-0631
PFS Bancorp, Inc. Reports Net Earnings For the Quarter and Nine Months Ended
September 30, 2005.
Aurora, Indiana - PFS Bancorp, Inc. (Nasdaq National Market: PBNC), parent
company of Peoples Federal Savings Bank, reported net earnings for the third
quarter ended September 30, 2005 of $249,000, or diluted earnings per share of
$.17, an increase of $19,000, or 8.3%, from the $230,000 in net earnings, or
$.16 of diluted earnings per share recorded for the third quarter ended
September 30, 2004. Book value, or stockholders' equity totaled $14.06 per
share at September 30, 2005.
The increase in net earnings for the quarter resulted primarily from a $57,000,
or 7.5%, decrease in general, administrative and other expense, which was
partially offset by a $24,000, or 2.3%, decrease in net interest income, a
$3,000, or 2.3%, decrease in other income and an $11,000, or 6.9%, increase in
income taxes.
For the nine months ended September 30, 2005, PFS Bancorp, Inc. reported net
earnings of $706,000, or diluted earnings per share of $.49, an increase of
$38,000, or 5.7%, as compared to the $668,000, or diluted earnings per share
of $.47, in earnings reported for the nine months ended September 30, 2004.
The increase in net earnings for the nine months ended September 30, 2005 was
primarily due to a $50,000, or 1.7%, increase in net interest income and a
$53,000, or 14.2%, increase in other income which were partially offset by a
$47,000, or 2.1%, increase in general, administrative and other expense and
an $18,000, or 3.9%, increase in income taxes.
At September 30, 2005, PFS Bancorp, Inc. reported total assets of $130.9
million, an increase of $1.1 million, or .9%, compared to total assets at
December 31, 2004. The increase in assets was comprised primarily of a $6.3
million, or 5.5%, increase in loans receivable which was partially funded by
an increase in deposits of $2.4 million, or 2.8%, to $89.4 million at
September 30, 2005.
On May 4, 2005, Peoples Community Bancorp, Inc. of West Chester, Ohio announced
an Agreement and Plan of Merger with PFS Bancorp, Inc. Under the terms of the
agreement, Peoples Community Bancorp, Inc. will pay $23.00 in cash for each of
the outstanding common shares of PFS Bancorp, Inc. The stockholders of PFS
Bancorp, Inc. approved the merger on October 14, 2005. The merger is expected
to be consummated in the fourth quarter of 2005.
PFS Bancorp, Inc. is the unitary thrift holding company for Peoples Federal
Savings Bank which conducts business from its main office and two branch
offices in southeastern Indiana.
PFS Bancorp, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(In thousands)
September 30, December 31,
ASSETS 2005 2004
Cash and cash equivalents $ 3,778 $ 7,484
Investment securities 3,037 5,157
Loans receivable 120,976 114,673
Other assets 3,108 2,440
_______ _______
Total assets $130,899 $129,754
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LIABILITIES AND SHAREHOLDERS' EQUITY
Deposits $89,356 $86,939
Advances from the FHLB 19,500 17,500
Note payable - 3,500
Other liabilities 1,322 1,286
_______ _______
Total liabilities 110,178 109,225
Shareholders' equity 20,721 20,529
_______ _______
Total liabilities and shareholders' equity $130,899 $129,754
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PFS Bancorp, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
(In thousands, except share data)
Nine months ended Three months ended
September 30, September 30,
2005 2004 2005 2004
(Unaudited) (Unaudited)
Total interest income $5,017 $4,195 $1,710 $1,453
Total interest expense 1,952 1,180 696 415
_____ _____ _____ _____
Net interest income 3,065 3,015 1,014 1,038
Provision for losses on loans 72 72 24 24
_____ _____ _____ _____
Net interest income after
provision for losses on loans 2,993 2,943 990 1,014
Other income 427 374 129 132
General, administrative and other
expense 2,235 2,188 700 757
_____ _____ _____ _____
Earnings before income Taxes 1,185 1,129 419 389
Income taxes 479 461 170 159
_____ _____ _____ _____
NET EARNINGS $ 706 $ 668 $ 249 $ 230
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EARNINGS PER SHARE
Basic $.51 $.48 $.18 $.16
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Diluted $.49 $.47 $.17 $.16
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