EX-99.1 CHARTER 2 ex99_1.htm EXHIBIT 99.1 PRESS RELEASE Exhibit 99.1 Press Release
Exhibit 99.1

FOR IMMEDIATE RELEASE


TIB FINANCIAL CORP. REPORTS RECORD INCREASES IN NET INCOME AND EPS AND STRONG GROWTH OF LOANS AND DEPOSITS

NAPLES, Fla. April 24 - TIB Financial Corp. (Nasdaq: TIBB), parent of TIB Bank, a leading community bank serving the greater Naples-Fort Myers area, South Miami-Dade County and the Florida Keys, today reported first quarter net income and earnings per share from continuing operations of $2.36 million and $0.40 per diluted share compared to $1.35 million and $0.23 in the prior year, reflecting increases of 75% and 74% respectively. Comparisons made herein are presented on a continuing operations basis and do not include discontinued operations during 2005.

Book value per common share outstanding as of March 31, 2006 was $13.66 per share. Tangible book value per common share as of March 31, 2006 was $13.46 per share.

TIB Financial also reported total assets of $1.19 billion as of March 31, 2006, representing 10% organic balance sheet growth since December 31, 2005 and 26% growth from $939.3 million as of March 31, 2005. Total loans increased 30% to $935.4 million at March 31, 2006, compared with $717.2 million a year ago, while total deposits increased to $1.03 billion as of March 31, 2006, compared to $799.3 million as of March 31, 2005, a 29% increase.

“What had been characterized as sustainable growth patterns in previous earnings releases has exceeded our expectations in the first three months of 2006. A 74% increase in earnings per diluted share to $0.40 in the first quarter of ‘06 over the first quarter of ‘05 is strong indication that TIB’s strategic expansion plan is gathering momentum. As TIB’s quality customer service standards are applied in some of our country’s most dynamic growth markets, market share shift continues to accelerate,” said Edward V. Lett, the Company’s CEO and President. “Quarter after quarter the TIB team of officers and employees continues to impress upon the market how quality community banking can enhance their banking experience.

“TIB continues to emerge as a high-performing community bank as we execute with consistency our community bank strategy.” Lett continues, “ We believe our dynamic marketplace and our business model represent an attractive choice for investors seeking both growth and value, at a time when intense competition, a flat yield curve and asset quality concerns curtail opportunities to achieve above-average returns elsewhere in the banking industry.”

The increase in net income from continuing operations for the first quarter of 2006 over the same period a year ago resulted primarily from a 33% increase in net interest income, from $8.61 million a year ago to $11.48 million in the current quarter. The tax equivalent net interest margin of 4.45% for the three months ended March 31, 2006, expanded in comparison with the 4.40% and 4.37% net interest margins reported during the first and fourth quarters of 2005, respectively.

Non-interest income, which includes service charges, real estate fees and other operating income, totaled $1.45 million for the first quarter of 2006, representing a 3% decrease from the first quarter of 2005. This decrease is primarily attributable to a lower volume of residential real estate closings in the Monroe and Collier county markets resulting in lower fees on mortgage loans sold. Additionally, continued increases in the usage of electronic and online banking products are resulting in lower fees per account but are offset partially by increased transaction volumes. TIB continues to encourage the sale and usage of these products to increase efficiency of banking operations.

The Company’s management of growth and expansion balanced with continued emphasis on cost containment resulted in non-interest expense for the first quarter of 2006 of $8.57 million, an increase of 15% compared to $7.48 million for the first quarter of 2005. This increase supports our investment in the people, systems and facilities, which contribute to the momentum of our 28% increase in total revenue for the same periods. The increase in non-interest expense is primarily attributable to a 20% increase in employee salaries and benefits and a 17% increase in net occupancy expense related to the Company’s growth and expansion in the southwest Florida market. The realization of improving economies of scale is apparent as our operating costs increase at a slower rate than the overall growth rate of the Company.

Two major factors contributed to TIB Financial Corp.’s higher effective income tax rate of 38% for the quarter ended March 31, 2006, as compared to 34% for the first quarter of 2005. The primary factor is the higher overall level of pre-tax income from continuing operations resulting in a higher statutory tax rate. In addition, the lower proportion of tax free interest income to pre-tax income results in the provision for income taxes approaching statutory rates.

Credit quality remained solid during the first quarter of 2006. As of March 31, 2006, the allowance for loan losses totaled $7.84 million, or 0.84% of total loans and 571% of non-performing loans. These figures compare with 0.91% and 1,673%, respectively, as of March 31, 2005. Annualized net charge-offs represented 0.11% of average loans for the quarter ended March 31, 2006, and 0.17% for the quarter ended March 31, 2005.

During the first quarter of 2006, the Board of Directors of TIB Financial Corp. declared a quarterly cash dividend of $0.1175 per share on its common stock. The cash dividend was paid on April 10, 2006, to all TIB Financial Corp. common shareholders of record as of March 31, 2006. This dividend, when annualized, represents $0.47 per share.

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About TIB Financial Corp.
Headquartered in Naples, Florida, TIB Financial Corp. is a growth-oriented financial services company with approximately $1.2 billion in total assets and 16 full-service banking offices throughout the Florida Keys, Homestead, Naples, Bonita Springs and Fort Myers. The Company’s stock is traded on The Nasdaq Stock Market under the symbol TIBB.

TIB Financial Corp., through its wholly-owned subsidiary, TIB Bank, serves the personal and commercial banking needs of local residents and businesses in their market areas. The Bank’s experienced bankers are local community leaders, who focus on a relationship-based approach built around anticipating specific customer needs, providing sound advice and making timely decisions. To learn more about TIB Bank, visit www.tibbank.com.

Copies of recent news releases, SEC filings, price quotes, stock charts and other valuable information may be found on TIB’s investor relations site at www.tibfinancialcorp.com. For more information, contact Edward V. Lett, Chief Executive Officer and President, or David P. Johnson, Executive Vice President and Chief Financial Officer, at (239)263-3344.

# # # # #

Except for historical information contained herein, the statements made in this press release constitute “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such statements involve certain risks and uncertainties, including statements regarding the Company’s strategic direction, prospects and future results. Certain factors, including those outside the Company’s control, may cause actual results to differ materially from those in the “forward-looking” statements, including economic and other conditions in the markets in which the Company operates; risks associated with acquisitions, competition, seasonality and the other risks discussed in our filings with the Securities and Exchange Commission, which discussions are incorporated in this press release by reference.

SUPPLEMENTAL FINANCIAL DATA FOLLOWS

2
TIB Financial Corp. and Subsidiaries
Unaudited Consolidated Statements of Income

                                 
 
  
For the Quarter Ended 
(in thousands, except per share data)
 
 
March 31,
2006
 
 
December 31,
2005
 
 
September 30,
2005
 
 
June 30,
2005
 
 
March 31,
2005
  
                                 
Interest and dividend income
  
$
18,879
  
$
17,360
  
$
15,503
  
$
14,225
  
$
12,346
  
Interest expense
    
7,397
    
6,574
    
5,409
    
4,589
    
3,732
  
Net interest income
    
11,482
    
10,786
    
10,094
    
9,636
    
8,614
  
                                 
Provision for loan losses
    
554
    
649
    
448
    
730
    
586
  
                                 
Non-interest income:
                                
Service charges on deposit accounts
    
556
    
584
    
601
    
567
    
608
  
Investment securities gains, net
    
-
    
-
    
1
    
-
    
-
  
Fees on mortgage loans sold
   
425
    
345
    
461
    
582
    
492
  
Other income
    
469
    
460
    
491
    
668
    
398
  
Total non-interest income
    
1,450
    
1,389
    
1,554
    
1,817
    
1,498
  
                                 
Non-interest expense:
                                
Salaries & employee benefits
    
4,948
    
4,725
    
4,529
    
4,335
    
4,135
  
Net occupancy expense
    
1,482
    
1,507
    
1,380
    
1,344
    
1,271
  
Other expense
    
2,143
    
2,349
    
2,282
    
1,929
    
2,070
  
Total non-interest expense
    
8,573
    
8,581
    
8,191
    
7,608
    
7,476
  
                                 
Income before income tax expense
    
3,805
    
2,945
    
3,009
    
3,115
    
2,050
  
                                 
Income tax expense
    
1,442
    
1,047
    
1,060
    
1,118
    
702
  
                                 
Income from continuing operations
    
2,363
    
1,898
    
1,949
    
1,997
    
1,348
  
Income from discontinued operations, net of tax
    
-
    
4,141
    
105
    
187
    
199
  
                                 
NET INCOME
  
$
2,363
  
$
6,039
  
$
2,054
  
$
2,184
  
$
1,547
  
                                 
BASIC EARNINGS PER SHARE:
                                
Continuing operations
  
$
0.41
  
$
0.33
  
$
0.34
  
$
0.35
  
$
0.24
  
Discontinued operations
    
-
    
0.72
    
0.02
    
0.03
    
0.03
  
Basic earnings per share
  
$
0.41
  
$
1.05
  
$
0.36
  
$
0.38
  
$
0.27
  
                                 
DILUTED EARNINGS PER SHARE:
                                
Continuing operations
  
$
0.40
  
$
0.32
  
$
0.33
  
$
0.34
  
$
0.23
  
Discontinued operations
    
-
    
0.70
    
0.02
    
0.03
    
0.03
  
Diluted earnings per share
  
$
0.40
  
$
1.02
  
$
0.35
  
$
0.37
  
$
0.26
  
                                 
                                 


3
     Selected Financial Data (Dollars in thousands)
 
 
      
Selected Ratios and Statistics
  
As Of or For the Quarter Ended
  
   
March 31,
2006
  
December 31,
2005
  
September 30,
2005
  
June 30,
2005
  
March 31,
2005
  
Real estate mortgage loans:
                      
Commercial
  
$
467,011
  
$
451,969
  
$
428,314
  
$
411,504
  
$
393,362
  
Residential
    
76,809
    
76,003
    
73,474
    
75,540
    
70,490
  
Farmland
    
7,005
    
4,660
    
3,991
    
4,550
    
4,825
  
Construction and vacant land
    
155,939
    
125,207
    
106,015
    
85,134
    
67,552
  
Commercial and agricultural loans
    
81,871
    
80,055
    
74,202
    
62,864
    
57,647
  
Indirect auto dealer loans
    
120,648
    
118,018
    
113,639
    
108,178
    
98,633
  
Home equity loans
    
17,034
    
17,232
    
17,220
    
16,056
    
14,637
  
Other consumer loans
    
9,124
    
9,228
    
9,428
    
10,022
    
10,075
  
Total loans
  
$
935,441
  
$
882,372
  
$
826,283
  
$
773,848
  
$
717,221
  
                                 
Gross loans
  
$
937,092
  
$
884,024
  
$
828,081
  
$
775,759
  
$
719,285
  
                                 
Net loan charge-offs
  
$
257
  
$
256
  
$
308
  
$
258
  
$
288
  
Allowance for loan losses
  
$
7,843
  
$
7,546
  
$
7,153
  
$
7,013
  
$
6,541
  
Allowance for loan losses/total loans
    
0.84
%
  
0.86
%
  
0.87
%
  
0.91
%
  
0.91
%
Non-performing loans
  
$
1,374
  
$
956
  
$
532
  
$
482
  
$
391
  
Allowance for loan losses/non-performing loans
    
570.82
%
  
789.33
%
  
1,344.55
%
  
1,454.98
%
  
1,672.89
%
Non performing loans/gross loans
    
0.15
%
  
0.11
%
  
0.06
%
  
0.06
%
  
0.05
%
Annualized net charge-offs/average loans
    
0.11
%
  
0.12
%
  
0.15
%
  
0.14
%
  
0.17
%
                                 
Total interest-earning assets
  
$
1,102,274
  
$
1,000,072
  
$
984,994
  
$
941,373
  
$
863,495
  
Other real estate owned
  
$
-
  
$
190
  
$
190
  
$
190
  
$
190
  
Intangibles, net of accumulated amortization
  
$
1,028
  
$
1,100
  
$
1,172
  
$
1,247
  
$
1,320
  
                                 
Interest bearing deposits:
                                
NOW accounts
  
$
140,669
  
$
104,641
  
$
88,570
  
$
85,479
  
$
89,055
  
Money market
    
182,951
    
167,072
    
164,007
    
179,815
    
169,391
  
Savings deposits
    
48,649
    
47,091
    
47,638
    
49,884
    
48,783
  
Time deposits
    
451,717
    
431,804
    
446,309
    
341,703
    
307,040
  
Non-interest bearing deposits
    
209,040
    
169,816
    
166,821
    
213,328
    
185,012
  
Total deposits
  
$
1,033,026
  
$
920,424
  
$
913,345
  
$
870,209
  
$
799,281
  
                                 
Tax equivalent net interest margin
    
4.45
%
  
4.37
%
  
4.37
%
  
4.40
%
  
4.40
%
Return on average assets *
    
0.85
%
  
2.28
%
  
0.82
%
  
0.91
%
  
0.72
%
Return on average equity*
    
12.18
%
  
32.90
%
  
11.45
%
  
12.62
%
  
9.20
%
Non-interest expense/tax equivalent net interest income and non-interest income
    
65.86
%
  
70.01
%
  
69.84
%
  
65.98
%
  
73.34
%
                                 
Average diluted shares
    
5,919,517
    
5,929,496
    
5,914,540
    
5,885,595
    
5,866,099
  
End of quarter shares outstanding
    
5,834,038
    
5,792,598
    
5,761,746
    
5,712,264
    
5,706,939
  
                                 
Total equity
  
$
79,677
  
$
77,524
  
$
72,011
  
$
70,740
  
$
68,279
  
                                 
Total assets
  
$
1,186,838
  
$
1,075,611
  
$
1,053,894
  
$
1,012,885
  
$
939,326
  
                                 
_______
* Calculation includes discontinued operations when applicable
 
 

4
Quarterly average balances and yields (Dollars in thousands)
       
 
Quarter Ended
March 31, 2006 
Quarter Ended
March 31, 2005
 
    
Average Balances 
    
Interest**
    
Yield**
    
Average Balances
    
Interest**
    
Yield**
  
                                       
Loans
  
$
913,725
  
$
17,329
    
7.69
%
$
686,418
  
$
11,312
    
6.68
%
Investments
    
109,310
    
1,299
    
4.82
%
  
77,702
    
875
    
4.57
%
Interest bearing deposits
    
396
    
4
    
4.10
%
  
633
    
4
    
2.56
%
Federal Home Loan Bank stock
    
2,640
    
36
    
5.53
%
  
2,555
    
27
    
4.29
%
Fed funds sold
    
27,128
    
296
    
4.43
%
  
34,348
    
209
    
2.47
%
Total interest earning assets
    
1,053,199
    
18,964
    
7.30
%
  
801,656
    
12,427
    
6.29
%
Non-interest earning assets
    
76,764
                
73,775
              
Total assets
  
$
1,129,963
              
$
875,431
              
                                       
Interest bearing liabilities:
                                      
NOW
  
$
134,403
  
$
735
    
2.22
%
$
91,727
  
$
178
    
0.79
%
Money market
    
167,499
    
1,262
    
3.06
%
  
158,655
    
633
    
1.62
%
Savings
    
49,282
    
75
    
0.62
%
  
46,537
    
52
    
0.45
%
Time
    
443,195
    
4,552
    
4.17
%
  
284,232
    
2,238
    
3.19
%
Total interest-bearing deposits
    
794,379
    
6,624
    
3.38
%
  
581,151
    
3,101
    
2.16
%
                                       
Short-term borrowings and FHLB advances
    
38,421
    
366
    
3.86
%
  
39,814
    
248
    
2.53
%
Long-term borrowings
    
17,000
    
407
    
9.71
%
  
17,208
    
383
    
9.03
%
Total interest bearing liabilities
    
849,800
    
7,397
    
3.53
%
  
638,173
    
3,732
    
2.37
%
Non-interest bearing deposits
    
182,878
                
158,525
              
Other liabilities
    
18,590
                
10,555
              
Shareholders’ equity
    
78,695
                
68,178
              
Total liabilities and shareholders’ equity
  
$
1,129,963
              
$
875,431
              
                                       
Net interest income and spread
        
$
11,567
    
3.77
%
      
$
8,695
    
3.92
%
                                       
Net interest margin
                
4.45
%
              
4.40
%
                                       
                                       
_________
** Presented on a fully tax equivalent basis.


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