Exhibit 99.1
Camden National Corporation Announces
Nine-Month Earnings Per Share Increase of 8.42%
CAMDEN, Maine--(BUSINESS WIRE)--Oct. 25, 2005--Robert W. Daigle,
President and Chief Executive Officer of Camden National Corporation
(the "Company") (AMEX: CAC), today announced net income per diluted
share of $2.06 for the first nine months of 2005 compared to $1.90 per
diluted share earned during the first nine months of 2004. Net income
for the nine-month period ended September 30, 2005 was $15.8 million,
an increase of 7.22% from the same period a year ago. These results
translated into a return on average equity of 16.89% and a return on
average assets of 1.35% for the nine months ended September 30, 2005,
compared to 16.23% and 1.43%, respectively, for the same nine-month
period in 2004.
"Camden National continues to perform admirably during times that
are punctuated by uneven economic conditions and an interest rate
environment that is relatively unfriendly towards the banking
industry," stated Daigle.
For the quarter ended September 30, 2005, earnings per diluted
share increased 5.88% to $0.72, compared to $0.68 per diluted share
during the third quarter of 2004. Net income for the recently
completed quarter was $5.5 million versus the $5.3 million earned
during the same period a year ago.
The Company's total assets at September 30, 2005 were $1.7
billion, an increase of 15.72% over total assets of $1.4 billion at
September 30, 2004. Net loans at September 30, 2005 were $1.2 billion,
up 11.52% over the $1.0 billion in net loans at September 30, 2004.
Total deposits of $1.1 billion at September 30, 2005 were up 13.68%
over the same period a year ago.
Net interest income of $14.2 million for the third quarter of 2005
was up $2.2 million, or 18.43%, compared to the same period a year ago
primarily due to an increase in earning assets. Daigle noted that
managing net interest income with a flattening yield curve has
resulted in an increase in the investment portfolio that not only is
providing current income, but will provide cash flow protection in the
event of a return to a more traditional slope in the curve.
Non-interest income amounted to $2.6 million for the quarter ended
September 30, 2005, down slightly from $2.7 million for the same
quarter a year ago. Non-interest expense for the third quarter of 2005
was $8.4 million, an increase of $605,000, or 7.77%, over the prior
year quarter. Although non-interest expense increased, the Company's
efficiency ratio (non-interest expense/net interest income and
non-interest income) for the quarter ended September 30, 2005 improved
to 49.78%, compared to 52.85% during the third quarter of 2004.
The Company reported earlier that the Board of Directors approved
a dividend of $0.20 per share, payable on October 31, 2005 for
shareholders of record on October 14, 2005.
Daigle concluded his remarks noting, "As we enter the fourth
quarter of 2005, we continue to produce quality financial results
without losing focus on the challenging business environment and our
goal of creating long-term sustainable growth."
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)
September 30, September 30, December 31,
2005 2004 2004
------------- ------------- -------------
Balance Sheet Data
Assets $1,655,611 $1,430,708 $1,489,865
Loans 1,163,524 1,043,294 1,069,294
Allowance for Loan Losses 13,828 13,651 13,641
Investments 388,623 290,389 323,998
Deposits 1,129,564 993,597 1,014,601
Borrowings 383,391 301,838 336,820
Shareholders' Equity 129,442 124,550 126,405
Tier 1 Leverage Capital
Ratio 7.50% 8.00% 8.06%
Tier 1 Risk-based Capital
Ratio 10.78% 11.41% 11.28%
Total Risk-based Capital
Ratio 12.04% 12.66% 12.54%
Allowance for loan and lease
losses to total loans 1.19% 1.31% 1.28%
Non-performing loans to
total loans 0.53% 0.76% 0.60%
Return on Average Equity 16.89% 16.23% 15.97%
Three Months Ended Year To Date
9/30/2005 9/30/2004 9/30/2005 9/30/2004
---------- ---------- ---------- ----------
Income Statement Data
Interest Income $23,425 $18,038 $65,190 $53,842
Interest Expense 9,214 6,039 24,613 17,654
---------- ---------- ---------- ----------
Net Interest Income 14,211 11,999 40,577 36,188
Provision for Loan and
Lease Losses 345 (850) 920 (685)
---------- ---------- ---------- ----------
Net Interest Income after
Provision for Loan and
Lease Losses 13,866 12,849 39,657 36,873
Non-interest Income 2,641 2,729 7,731 8,630
Non-interest Expense 8,389 7,784 24,134 23,547
---------- ---------- ---------- ----------
Income before Income Taxes 8,118 7,794 23,254 21,956
Income Taxes 2,626 2,538 7,465 7,230
---------- ---------- ---------- ----------
Net Income $5,492 $5,256 $15,789 $14,726
========== ========== ========== ==========
Efficiency ratio 49.78% 52.85% 49.96% 52.54%
Per Share Data
Net income per share $0.72 $0.68 $2.07 $1.91
Net income per diluted
share $0.72 $0.68 $2.06 $1.90
Weighted average shares
outstanding 7,591,939 7,656,939 7,616,815 7,701,805
CONTACT: Camden National Corporation
Suzanne Brightbill, 207-230-2120
Public Relations Officer
sbrightbill@camdennational.com