EX-99.1 3 exhibit99-1.txt EXHIBIT 99 ---------- Sussex Bancorp 399 Route 23 Franklin, NJ 07416 Contact: Candace Leatham Executive Vice President /Treasurer (973) 827-2914 SUSSEX BANCORP ANNOUNCES INCREASED 2003 EARNINGS - - - FRANKLIN, NEW JERSEY - January 22, 2004- Sussex Bancorp (AMEX:"SBB") today announced net income $1,441,000 for the year ended December 31, 2003, or $0.80 per basic share compared to net income of $1,156,000, or $0.66 per basic share, for the prior year. 2003 highlights include: o Net income growth of 24.7% o Earnings per share increased 21.2% o Non-interest income increased by $811,000 For the year ended December 31, 2003, the Company earned net income of $1,441,000 an increase of approximately 24.7 percent over net income of $1,156,000 for the same period last year. Basic and diluted earnings per share for the year ended December 31, 2003 were $0.80 and $0.78 respectively, compared to $0.66 and $0.64 respectively, in the year ago period, as adjusted for 5% stock dividend declared in October 2003. The Company's total interest income decreased to $10,771,000 for the year ended December 31, 2003 from $10,860,000 for the same period last year, reflecting lower yields on the investment portfolio. For the year ended December 31, 2003, the Company's non-interest income increased by $811,000 or 24.6%, to $4.1 million from $3.3 million for the same period last year. The increase in non-interest income reflects the contribution of Tri-State Insurance Agency, Inc. which produced $2.1 million in commission revenue for the year ended December 31, 2003 compared to $1.7 million for the same period last year. The Company's interest expense decreased to $2,860,000 for the year ended December 31, 2003 from $3,536,000 for the same period last year, reflecting reduced market rates of interest. The Company's total non-interest expense increased by $1.0 million, reflecting increases associated with the Company's growth. The loan loss provision for the year ended December 31, 2003 increased to $405,000 from $300,000 for the same period last year. At December 31, 2003 the Company had total loans $134.4 million, compared to total loans of $113.5 million at December 31, 2002. At December 31, 2003 the Company had total assets of $240.6 million, compared to total assets of $226.0 million at December 31, 2002. In addition, the Company had total deposits of $207.7 million, compared to total deposits of $189.9 million at December 31, 2002. Sussex Bancorp is the holding company for the Sussex Bank, which operates through its main office in Franklin, New Jersey and branch offices in Andover, Augusta, Newton, Montague, Sparta, Vernon and Wantage, New Jersey and for Tri-State Insurance Agency, Inc, a full service insurance agency located in Augusta, New Jersey. Page 5 of 7 SUSSEX BANCORP CONSOLIDATED STATEMENTS OF INCOME For the Year Ended December 31, (In thousands, except share and per share data) 2003 2002 ---- ---- Interest income $ 10,771 $ 10,860 Interest expense 2,860 3,536 ---------- ---------- Net interest income 7,911 7,324 Provision for loan losses 405 300 ---------- ---------- Net interest income after provision for loan losses 7,506 7,024 Non-interest income 4,103 3,292 Non-interest expense 9,663 8,634 ---------- ---------- Income before tax expense 1,946 1,682 Tax expense 505 526 ---------- ---------- Net income $ 1,441 $ 1,156 ========== ========== Basic earnings per share (as adjusted for 5% stock dividend) $ 0.80 $ 0.66 Diluted earnings per share 0.78 0.64 Shares outstanding: Basic 1,790,142 1,748,102 Diluted 1,859,409 1,820,724 Page 6 of 7 SUSSEX BANCORP CONSOLIDATED BALANCE SHEETS Balances as of December 31, (In thousands) 2003 2002 ---- ---- Cash and due from banks $ 11,301 $ 9,186 Federal funds sold 4,195 16,910 ---------- --------- Cash and cash equivalents 15,496 26,096 Interest bearing time deposits with other banks 3,500 3,600 Securities available for sale, at fair value 76,545 72,720 Federal Home Loan Bank stock, at cost 760 750 Loans 134,374 113,455 Allowance for loan losses (1,734) (1,386) ---------- --------- Net loans 132,640 112,069 Accrued interest receivable 1,241 1,144 Premises and equipment, net 4,650 4,634 Goodwill, net 2,124 1,932 Other assets 3,661 2,959 ---------- --------- Total assets $ 240,617 $ 225,904 ========== ========= Deposits 207,657 189,858 Borrowings 11,000 15,000 Other liabilities 2,056 2,366 Mandatory redeemable capital debentures 5,000 5,000 ---------- --------- Total liabilities 225,713 212,224 Total shareholders' equity 14,904 13,680 ---------- --------- Total liabilities and shareholders' equity $ 240,617 $ 225,904 ========== ========= Page 7 of 7