EX-99 2 form8k131ex99.txt EXHIBIT 99.1 Exhibit 99.1 April 30, 2013 Quarterly Report First Quarter 2013 We are pleased to report for the quarter ended March 31, 2013, earnings for your company were up 5.6% over those of March 31, 2012. For the first quarter, we earned $1.71 million compared to $1.62 million for the same period in 2012. Earnings per share, on a fully diluted basis, increased from $0.60 to $0.63 which represents a 5.0% increase over the first quarter of 2012. The increase in earnings was largely driven by stable net interest income and higher secondary market loan volume. Total assets increased over the March 31, 2012 total by 4.4%, with loans increasing 2.4% over the same period. Deposits continue to increase as well, providing growth of 5.6% over the first quarter of 2012. The national and local economies continue to show gradual improvements. We see this improvement reflected in our markets through increased loan demand and increased financing of home purchases. At the date of this letter, we are experiencing significant volume in our loan pipeline. Our Lexington-Fayette County location is coming along nicely. Work is progressing as we prepare for occupancy, with an anticipated opening in early May. We have already hired several people to represent us there, with interviews continuing as we complete our staffing. Jim Elliott will assume the responsibilities of Market President as well as continue to direct our Wealth Management Department. We are pleased that Clark Nyberg has decided to remain in our Wealth Management Department as Senior Portfolio Manager. His knowledge and expertise in this area are very beneficial to us in our goal of expanding relationships. Your stock continues to show increased market value and closed the quarter at $23.03. The dividend declared in the first quarter represents an annual yield of 4.04%. Our goal, as always, is to provide an excellent return on investment to our shareholders, through the delivery of Premier Customer Service and by adding value to our customer and client relationships. As always, we appreciate your support. /s/Louis Prichard Louis Prichard President, CEO UNAUDITED
CONSOLIDATED BALANCE SHEET Percentage 3/31/2013 3/31/2012 Change Assets Cash & Due From Banks $ 15,352,080 $ 24,295,638 -36.8% Securities 223,003,978 190,152,902 17.3 Loans Held for Sale 134,400 598,489 -77.5 Loans 422,319,748 412,454,249 2.4 Reserve for Loan Losses 5,623,131 5,994,251 -6.2 Net Loans 416,696,617 406,459,998 2.5 Federal Funds Sold 161,000 361,000 -55.4 Other Assets 51,766,598 55,227,208 -6.3 Total Assets $ 707,114,673 $ 677,095,235 4.4% Liabilities & Stockholders' Equity Deposits Demand $ 147,899,394 $ 138,346,868 6.9% Savings & Interest Checking 256,343,639 225,251,552 13.8 Certificates of Deposit 190,110,146 199,251,250 -4.6 Total Deposits 594,353,179 562,849,670 5.6 Repurchase Agreements 6,983,598 3,239,865 115.6 Other Borrowed Funds 24,833,562 37,020,467 -32.9 Other Liabilities 7,146,923 4,548,972 57.1 Total Liabilities 633,317,262 607,658,974 4.2 Stockholders Equity 73,797,411 69,436,261 6.3 Total Liabilities & Stockholders Equity $ 707,114,673 $ 677,095,235 4.4%
CONSOLIDATED INCOME STATEMENT Three Months Ending Percentage 3/31/2013 3/31/2012 Change Interest Income $ 6,955,751 $ 7,162,373 -2.9% Interest Expense 821,683 1,052,677 -21.9 Net Interest Income 6,134,068 6,109,696 0.4 Loan Loss Provision 450,000 450,000 0.0 Net Interest Income After Provision 5,684,068 5,659,696 0.4 Other Income 2,602,252 2,496,148 4.3 Other Expenses 6,176,085 6,207,614 -0.5 Income Before Taxes 2,110,235 1,948,230 8.3 Income Taxes 401,220 330,204 21.5 Net Income $ 1,709,015 $ 1,618,026 5.6% Net Change in Unrealized Gain (loss) on Securities (1,251,863) (491,427) 154.7 Comprehensive Income $ 457,152 $ 1,126,599 -59.4% Selected Ratios Return on Average Assets 0.96% 0.96% Return on Average Equity 9.23 9.21 Earnings Per Share $ 0.63 $ 0.60 Earnings Per Share - assuming di 0.63 0.60 Cash Dividends Per Share 0.24 0.23 Book Value Per Share 27.08 25.52
Market Price High Low Close First Quarter 2013 $24.50 $18.50 $23.03 Fourth Quarter 2012 21.10 17.96 18.50