Exhibit 99.1
Camden National Corporation Announces an 8.6% Increase in First Quarter 2005
Earnings Per Share Results
CAMDEN, Maine--(BUSINESS WIRE)--April 26, 2005--Robert W. Daigle,
President and Chief Executive Officer of Camden National Corporation
(the "Company") (AMEX: CAC), today announced first quarter 2005
earnings per diluted share of $0.63, up 8.6% from $0.58 per diluted
share for the first quarter of 2004. Net income after taxes for the
first quarter of 2005 was $4.8 million versus $4.5 million recorded
during the same period a year ago. For the three months ended March
31, 2005, the returns on average equity and average assets were 15.80%
and 1.30% compared to 14.98% and 1.33%, respectively, for the three
months ended March 31, 2004.
The Company's total assets at March 31, 2005 were $1.55 billion,
an increase of 13.9% over total assets of $1.36 billion at March 31,
2004. Net loans at March 31, 2005 were $1.09 billion, up 11.9% over
the $973.5 million in net loans at March 31, 2004. Total deposits of
$1.03 billion at March 31, 2005 were up 10.6% over the same period a
year ago.
"The positive momentum in both financial performance and business
activity is a direct result of improving economic conditions in our
major market areas, coupled with the beneficial effect of targeted
marketing initiatives at both of our affiliate banks," stated Daigle.
Net interest income of $13.0 million for the first quarter of 2005
was up $588.0 thousand, or 4.8%, compared to the same period a year
ago. Daigle noted that strong loan growth at both banks, combined with
a series of interest rate hikes by the Federal Reserve Bank and added
attention to relationship pricing by business development officers,
has been a primary contributor to this positive outcome.
Non-interest income amounted to $2.4 million for the quarter ended
March 31, 2005, down slightly from $2.5 million for the same quarter a
year ago. This was primarily the result of a decline in service charge
fees impacted by relationship pricing and a decrease in revenues from
fiduciary services at Acadia Trust, N.A.
Non-interest expense for the first quarter of 2005 was $7.9
million, a decrease of $145.0 thousand, or 1.8%, over the prior year.
The Company's efficiency ratio (non-interest expense/net interest
income and non-interest income) for the quarter ended March 31, 2005
was 51.27%, compared to 53.86% during the first quarter of 2004.
"While we must continue our efforts to reduce the Company's
reliance on the net interest margin, we were encouraged by our ability
to grow revenues, control funding costs and keep overhead expenses
below levels of a year ago," said Daigle.
The Company reported earlier that the Board of Directors approved
a dividend of $0.20 per share, payable on April 29, 2005 for
shareholders of record on April 15, 2005. At the end of the first
quarter of 2005, the price of Camden National Corporation stock closed
at $35.35 per share, an increase of $3.40, or 10.6%, above the closing
price at March 31, 2004.
"As we march forward in this 130th year of service, I am
encouraged by the enthusiasm within the workforce for our stated goal
of becoming a national model for sustainable community banking. I
believe my colleagues' commitment towards that end is reflected in the
positive results reported herein," Daigle noted in concluding his
remarks.
Camden National Corporation, headquartered in Camden, Maine, and
listed on the American Stock Exchange, the Russell 3000(R) Index and
the small-cap Russell 2000(R) Index under the symbol CAC, is the
holding company for a family of three financial services companies,
including: Camden National Bank (CNB), a full-service community bank
with 12 banking offices serving Midcoast, Kennebunk and Portland,
Maine, and online at www.camdennational.com, and recipient of the
Governor's Award for Business Excellence in 2002; UnitedKingfield Bank
(UKB), a full-service community bank with 15 offices serving central,
eastern and western Maine and online at www.unitedkingfield.com; and
Acadia Trust, N.A., offering investment management and fiduciary
services with offices in Portland and Bangor, Maine and online at
www.acadiatrust.com. In addition, Acadia Financial Consultants
operates as a division of CNB and UKB, to offer full-service brokerage
services.
This press release and the documents incorporated by reference
herein contain certain statements that may be considered
forward-looking statements under the Private Securities Litigation
Reform Act of 1995. Forward-looking statements can be identified by
the use of the words "believe," "expect," "anticipate," "intend,"
"estimate," "assume," "will," "should," and other expressions which
predict or indicate future events or trends and which do not relate to
historical matters. Forward-looking statements should not be relied
on, because they involve known and unknown risks, uncertainties and
other factors, some of which are beyond the control of the Company.
These risks, uncertainties and other factors may cause the actual
results, performance or achievements of the Company to be materially
different from the anticipated future results, performance or
achievements expressed or implied by the forward-looking statements.
Some of the factors that might cause these differences include the
following: changes in general, national or regional economic
conditions; changes in loan default and charge-off rates; reductions
in deposit levels necessitating increased borrowing to fund loans and
investments; changes in interest rates; changes in laws and
regulations; changes in the size and nature of the Company's
competition; and changes in the assumptions used in making such
forward-looking statements. Other factors could also cause these
differences. For more information about these factors please see our
Annual Report on Form 10-K on file with the SEC. All of these factors
should be carefully reviewed, and readers should not place undue
reliance on these forward-looking statements.
These forward-looking statements were based on information, plans
and estimates at the date of this press release, and the Company does
not promise to update any forward-looking statements to reflect
changes in underlying assumptions or factors, new information, future
events or other changes.
Camden National Corporation
(In thousands, except per share data)
March 31, March 31, December 31,
2005 2004 2004
------------ ------------ -------------
Balance Sheet Data
Assets $1,545,054 $1,356,661 $1,489,865
Loans 1,089,439 973,512 1,069,294
Allowance for Loan and Lease
Losses 13,670 14,502 13,641
Investments 360,401 293,694 323,998
Deposits 1,033,788 934,742 1,014,601
Borrowings 374,385 285,864 336,820
Shareholders' Equity 123,596 123,837 126,405
Tier 1 Leverage Capital Ratio 7.32% 7.86% 8.06%
Tier 1 Risk-based Capital Ratio 11.01% 11.93% 11.42%
Total Risk-based Capital Ratio 12.27% 13.19% 12.68%
Allowance for loan and lease
losses to total loans 1.25% 1.49% 1.28%
Non-performing loans to total
loans 0.83% 0.62% 0.60%
Return on Average Equity 15.80% 14.98% 15.97%
Three Months Ended
3/31/2005 3/31/2004
------------ ------------
Income Statement Data
Interest Income $20,153 $18,165
Interest Expense 7,193 5,793
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Net Interest Income 12,960 12,372
Provision for Loan and Lease
Losses 230 165
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Net Interest Income after
Provision for Loan and Lease
Losses 12,730 12,207
Non-interest Income 2,426 2,542
Non-interest Expense 7,888 8,033
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Income before Income Taxes 7,268 6,716
Income Taxes 2,427 2,196
------------ ------------
Net Income $4,841 $4,520
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Efficiency ratio 51.27% 53.86%
Per Share Data
Basic earnings per share $0.63 $0.58
Diluted earnings per share $0.63 $0.58
Weighted average shares
outstanding 7,636,549 7,749,446
CONTACT: Camden National Corporation
Suzanne Brightbill, 207-230-2120
Public Relations Officer
sbrightbill@camdennational.com