Exhibit 99
[Logo Omitted]
James Monroe Bancorp, Inc.
3033 Wilson Blvd.
Arlington, VA 22201
PRESS RELEASE
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FOR IMMEDIATE RELEASE
JAMES MONROE BANCORP REPORTS 72% INCREASE IN NET INCOME...
ARLINGTON, VA, (BUSINESS WIRE)--October 17, 2005.--James Monroe Bancorp, Inc.
(Nasdaq Capital Market: JMBI - news) today announced financial results for the
third quarter and first nine months of 2005. Third-quarter net income was
$1,210,000 compared with $705,000 for the third-quarter of 2004 and $970,000 for
the second quarter of 2005. This represents a 72% increase over third quarter of
2004, and a 25% increase over the second quarter of 2005. For the nine-month
period, net income for 2005 was $2,948,000 compared with $2,145,000 for the
first nine-months of 2004, an increase of 37.4%. On a diluted basis, earnings
per share for the third-quarter of 2005 were $.26 per share compared with $.15
per share for the third-quarter of 2004, representing a 73% increase. The
Company earned $.63 per share for the first nine months of 2005 compared with
$.46 per share for the first nine months of last year, an increase of 36.2%. The
net interest margin improved over a year ago to 3.88%.
Total assets at September 30, 2005 were $505.7 million, an increase of $89.0
million or 21.4% over assets of $416.7 million at September 30, 2004 and a 12.2%
increase over 2004 year-end assets of $450.8 million. Deposits at the end of
September 2005 were $423.4 million, an increase of $52.8 million or 14.2% from a
year ago. Loans as of September 30 were $362.1 million, an increase of $131.9
million or 57.3% from the $230.1 million in loans at September 30, 2004. Loan
demand continues to be strong, with loans increasing $112.1 million over the
first nine months of 2005. Asset quality remains excellent, with no charge offs
for the quarter and a modest $37,000 for the nine month period. Non-performing
loans at September 30, 2005 were $343,000 or .09% of total loans.
James Monroe Bancorp's President and Chief Executive Officer, John R. Maxwell,
commented, "We are pleased with our growth in loans this year which increased
$112 million since the end of 2004. On October 3rd we completed our third trust
preferred offering. The $8 million in additional capital we raised at a fixed
rate will allow us to continue to support our asset growth in the near term."
David W. Pijor, James Monroe Bancorp's Chairman stated, "We are excited about
the continued growth of our Bank and the earnings for the first nine months
which are on track with our plans for 2005. In addition to the excellent growth
in loans we experienced this year, we are also pleased with the results achieved
by our decision to enhance our mortgage operations by the addition of personnel
we added last quarter from Community Bank of Northern Virginia mortgage
operations."
James Monroe Bank, a full-service community bank and a wholly owned subsidiary
of James Monroe Bancorp, opened for business on June 8, 1998, at 3033 Wilson
Boulevard in Arlington, Virginia. The Bank now has branches in Arlington,
Annandale, Leesburg, Fairfax City, Chantilly and Manassas. The Company's common
stock is traded on the Nasdaq Capital Market under the symbol JMBI.
Forward Looking Statements: This press release contains forward-looking
statements within the meaning of the Securities and Exchange Act of 1934, as
amended, including statements of goals, intentions, and expectations as to
future trends, plans, events or results of Company operations and policies and
regarding general economic conditions. These statements are based upon current
and anticipated economic conditions, including the effect changes in economic
conditions may have on overall loan quality, changes in net interest margin due
to changes in interest rates, possible loss of key personnel, need for
additional capital should James Monroe experience faster than anticipated
growth, factors which could affect James Monroe's ability to implement its
strategy, changes in regulations and governmental policies, and other conditions
which by their nature, are not susceptible to accurate forecast, and are subject
to significant uncertainty. Because of these uncertainties and the assumptions
on which this discussion and the forward-looking statements are based, actual
future operations and results in the future may differ materially from those
indicated herein. Readers are cautioned against placing undue reliance on any
such forward-looking statements. The Company's past results of operations do not
necessarily indicate future results.
NON-GAAP PRESENTATIONS
This press release refers to the efficiency ratio, which is computed by dividing
non-interest expense by the sum of net interest income on a tax equivalent basis
using a 34% rate and non-interest income. This is a financial measure is not
recognized under generally accepted accounting principles, but which we believe
provides investors with important information regarding our operational
efficiency. Comparison of our efficiency ratio with those of other companies may
not be possible because other companies may calculate the efficiency ratio
differently. The Company, in referring to its net income, is referring to income
under generally accepted accounting principles, or "GAAP".
James Monroe Bancorp's news releases are available on our website at
www.jamesmonroebank.com.
Contact: John R. Maxwell, President & CEO
Richard I. Linhart, Senior Executive Vice President & COO
Phone: (703) 707-8855
SOURCE: James Monroe Bancorp, Inc.
Condensed Balance Sheet
JAMES MONROE BANCORP, INC.
(Unaudited) (Unaudited)
SEPTEMBER 30, SEPTEMBER 30, %
(Dollars in thousands) 2005 2004 Change
---------------- ---------------- -----------
Assets
Cash and due from banks $ 16,675 $ 14,831 12.4%
Interest bearing deposits in banks 195 1,668 (88.3)%
Federal funds sold - 48,275 (100.0)%
Securities available for sale, at fair value 119,416 118,053 1.2%
Loans held for sale 3,389 549 517.3%
Loans, net of unearned income 362,049 230,104 57.3%
Allowance for loan losses (3,766) (2,577) 46.1%
---------------- ----------------
Loans, net 358,283 227,527 57.5%
Other assets 7,765 5,810 33.6%
---------------- ----------------
TOTAL ASSETS $ 505,723 $ 416,713 21.4%
================ ================
LIABILITIES AND STOCKHOLDERS' EQUITY
Deposits:
Noninterest bearing deposits $ 114,547 $ 102,054 12.2%
Interest bearing deposits 308,852 268,565 15.0%
---------------- ----------------
Total deposits 423,399 370,619 14.2%
Federal funds purchased 14,974 - n.m.
Federal Home Loan Bank advances 18,000 - n.m.
Trust preferred capital notes 9,279 9,279 0.0%
Other liabilities 1,421 643 121.0%
---------------- ----------------
Total liabilities 467,073 380,541 22.7%
Total stockholders' equity 38,650 36,172 6.9%
---------------- ----------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 505,723 $ 416,713 21.4%
================ ================
Financial Highlights
JAMES MONROE BANCORP, INC.
(Unaudited) (Unaudited)
THREE MONTHS ENDED SEPTEMBER 30, NINE MONTHS ENDED SEPTEMBER 30,
---------------------------------------- ----------------------------------------
(Dollars in thousands except share data) 2005 2004 % Change 2005 2004 % Change
-------------- -------------- --------- -------------- -------------- ---------
RESULTS OF OPERATIONS:
Total interest income $ 7,214 $ 4,426 63.0% $ 19,528 $ 12,129 61.0%
Total interest expense 2,508 1,237 102.7% 6,453 3,201 101.6%
Net interest income 4,706 3,189 47.6% 13,075 8,928 46.4%
Provision for loan losses 234 273 -14.3% 1,013 766 32.2%
Gain on sale of securities (5) - n.m. 13 54 -75.9%
Gain on sale of loans 280 77 263.6% 636 248 156.5%
Noninterest income - other 234 154 51.9% 595 519 14.6%
Noninterest expense 3,142 2,075 51.4% 8,824 5,713 54.5%
Income before taxes 1,839 1,072 71.5% 4,482 3,270 37.1%
Net income 1,210 705 71.6% 2,948 2,145 37.4%
PER SHARE DATA:
Earnings per share, basic $ 0.27 $ 0.16 69.9% $ 0.66 $ 0.48 38.1%
Earnings per share, diluted $ 0.26 $ 0.15 70.4% $ 0.63 $ 0.46 36.2%
Weighted average shares
outstanding - basic 4,451,945 4,437,527 0.3% 4,448,526 4,434,214 0.3%
- diluted 4,734,699 4,678,336 1.2% 4,704,989 4,672,530 0.7%
Book value per share (at period-end) $ 8.67 $ 8.15 6.4% $ 8.67 $ 8.15 6.4%
Shares outstanding (at period-end) 4,458,422 4,437,869 0.5% 4,458,422 4,437,869 0.5%
PERFORMANCE RATIOS (ANNUALIZED):
Return on average assets 0.96% 0.76% 0.82% 0.85%
Return on average equity 12.49% 7.89% 10.40% 8.14%
Net interest margin 3.88% 3.67% 3.80% 3.78%
Efficiency Ratio 60.25% 62.07% 61.62% 58.60%
OTHER RATIOS:
Allowance for loan losses to total loans 1.04% 1.12% 1.04% 1.12%
Equity to assets 7.64% 8.68% 7.64% 8.68%
Non-performing loans:
Amount $ 343 $ 401 $ 343 $ 401
Percent of total loans 0.09% 0.17% 0.09% 0.17%
Charged-off loans:
Net amount $ - $ - $ 37 $ 143
Percent of average loans 0.00% 0.00% 0.01% 0.07%
Risk-adjusted capital ratios:
Leverage ratio 9.7% 12.3% 9.7% 12.3%
Tier I 13.0% 17.4% 13.0% 17.4%
Total 14.0% 18.3% 14.0% 18.3%
AVERAGE BALANCES:
Assets $ 506,669 $ 366,990 38.1% $ 480,176 $ 335,206 43.2%
Earning assets 486,874 346,130 40.7% 459,771 315,455 45.7%
Loans 343,830 216,656 58.7% 308,467 197,572 56.1%
Deposits 444,050 321,436 38.1% 421,610 286,223 47.3%
Stockholders' equity 38,849 35,552 9.3% 37,882 35,178 7.7%