EX-99.90 2 ex99_90.htm EXHIBIT 99.90 Unassociated Document
 
Exhibit 99.90
 
Press Release
Available for Immediate Publication: July 30, 2010
 
First National Bank of Northern California Reports Second Quarter 2010 Earnings of $0.16 Per Diluted Share
 
Source:FNB Bancorp (CA) (Bulletin Board:FNBG)
South San Francisco, California
Website: www.fnbnorcal.com
 
Contacts:
Tom McGraw, Chief Executive Officer (650) 875-4864
Dave Curtis, Chief Financial Officer (650) 875-4862
 

 
FNB Bancorp (Bulletin Board: FNBG), parent company of First National Bank of Northern California (the “Bank”), today announced net earnings available to common shareholders for the second quarter of 2010 of $525,000 or $0.16 per diluted share, compared to a net operating loss of $(185,000) or $(0.06) per diluted share for the second quarter of 2009. Dividend payments on the preferred shares outstanding were made as required by the Treasury Department’s Capital Purchase Program during the first and second quarters of 2010 and 2009. Our balance sheet is strong and we continue to be “well capitalized” as defined by bank regulations. Total assets as of June 30, 2010 were $721,811,000 compared to $661,828,000 as of June 30, 2009. Our net loan totals declined by $5,212,000 or 1.1% during the second quarter of 2010 and our deposits declined $3,420,000 or 0.5% during the same time period. The Company’s liquidity position remains strong with $125,976,000 in available for sale securities and $60,876,000 in cash and due from banks as of June 30, 2010.
 
During the second quarter of 2010, as part of our continuing efforts to provide our customers a quality banking experience while we improve our operational efficiencies, the decision was made to consolidate our Eureka Square branch into our Linda Mar branch in Pacifica, CA. A new remote capture ATM will be installed in the Eureka Square Shopping Center in order to continue to serve our customers that work and live in the surrounding neighborhoods.
 
“The consolidation of the Eureka Square branch into our Linda Mar branch in Pacifica, CA. on June 25, 2010 went smoothly. We look forward to continuing to provide for the banking needs of the Pacifica community through our full service Linda Mar branch and our ATM at Eureka Square. I am proud to say that all the employees who worked at the Eureka Square office have been provided other positions within the Bank. There were no layoffs of personnel as a result of this consolidation,” stated Mr. McGraw.
 
“During the second quarter of 2010, the Bank enjoyed an increase in net interest margin and net interest income as compared to the first quarter of 2010. Credit resolution costs stabilized, which allowed us to lower our provision for loan losses during the second quarter of 2010,” continued Mr. McGraw.
 
 
 

 
 
“The credit problems brought about by a national recession, declining real estate values, increased foreclosures, and generally tight credit are still evident. We continue to manage our credit risks in a safe, yet proactive manner. Management attention was focused on riskmanagement and asset quality improvement during the first and second quarters of 2010, and that will continue to be our focus as we move into the third quarter of 2010. During the second quarter of 2010, profitability levels were still not at historical levels; however, the Bank is well positioned to take advantage of any market opportunities that become available and to grow as the health of the economy improves. We want to lend and are actively seeking new loan and deposit customers who want a local community bank that knows and understands them. We want our customers to know that we are committed to them, both on a personal and on a community level. We look forward to provide for the banking needs of our customers, as we have been doing so for the last 47 years,” stated Mr. McGraw.
 
Financial Highlights: Second Quarter, 2010
 
Consolidated Statements of Earnings
(in 000s except earnings per share amounts)
 
   
Three months ended
   
Three months ended
   
Six months ended
   
Six months ended
 
   
June 30, 2010
   
June 30, 2009
   
June 30, 2010
   
June 30, 2009
 
                         
Interest income
  $ 8,756     $ 8,643     $ 17,416     $ 17,554  
Interest expense
    1,330       2,362       3,030       4,681  
Net interest income
    7,426       6,281       14,386       12,873  
Provision for loan losses
    (315 )     (760 )     (565 )     (2,900 )
Noninterest income
    1,026       1,245       2,126       2,594  
Noninterest expense
    7,237       6,758       13,775       14,178  
Income before income taxes
    900       8       2,172       (1,611 )
Provision for income taxes
    (161 )     (4 )     (429 )     426  
Net earnings (loss)
    739       4       1,743       (1,185 )
Dividends and discount accretion on preferred stock
    214       189       426       205  
Net earnings (loss) available to common shareholders
  $ 525     $ (185 )   $ 1,317     $ (1,390 )
Basic earnings per share
  $ 0.16     $ (0.06 )   $ 0.41     $ (0.44 )
Diluted earnings per share
  $ 0.16     $ (0.06 )   $ 0.41     $ (0.44 )
                                 
Average assets
  $ 693,481     $ 673,061     $ 693,060     $ 665,671  
Average equity
  $ 79,903     $ 78,825     $ 79,663     $ 75,977  
Return on average assets
    0.30 %     -0.11 %     0.38 %     -0.42 %
Return on average equity
    2.63 %     -0.94 %     3.31 %     -3.66 %
Efficiency ratio
    86 %     90 %     83 %     92 %
Net interest margin (taxable equivalent)
    4.89 %     4.21 %     4.79 %     4.37 %
Average shares outstanding
    3,182       3,182       3,182       3,182  
Average diluted shares outstanding
    3,192       3,182       3,197       3,182  
 
 
 

 
 
Financial Highlights: Second Quarter, 2010
 
Consolidated Balance Sheets
(in 000s)

   
As of
June 30, 2010
   
As of
December 31, 2009
   
As of
June 30, 2009
   
As of
December 31, 2008
 
Assets:
                       
Cash and cash equivalents
  $ 60,876     $ 62,853     $ 36,696     $ 14,865  
Securities available for sale
    125,976       97,188       89,556       99,221  
Loans, net
    480,652       494,349       487,312       497,984  
Premises, equipment and leasehold improvements
    11,762       11,784       12,381       13,030  
Other real estate owned
    8,677       7,320       5,492       3,557  
Goodwill
    1,841       1,841       1,841       1,841  
Other assets
    32,027       32,974       28,550       30,459  
Total assets
  $ 721,811     $ 708,309     $ 661,828     $ 660,957  
                                 
Liabilities and stockholders’ equity:
                               
Deposits:
                               
Demand and NOW
  $ 186,384     $ 177,883     $ 170,734     $ 179,688  
Savings and money market
    313,613       293,758       233,951       179,382  
Time
    120,169       127,323       133,793       141,840  
Total deposits
    620,166       598,964       538,478       500,910  
Federal Home Loan Bank advances
    15,000       25,000       40,000       86,100  
Accrued expenses and other liabilities
    5,977       5,480       5,511       5,798  
Total liabilities
    641,143       629,444       583,989       592,808  
Stockholders’ equity
    80,668       78,865       77,839       68,149  
Total liabilities and stockholders’ equity
  $ 721,811     $ 708,309     $ 661,828     $ 660,957  
                                 
Other Financial Information
                               
                                 
Allowance for loan losses
  $ 9,076     $ 9,829     $ 9,095     $ 7,075  
Nonperforming assets
  $ 22,775     $ 32,912     $ 32,385     $ 17,659  
Total gross loans
  $ 489,728     $ 504,178     $ 496,407     $ 505,059  
 
Cautionary Statement: This release contains certain forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those stated herein. Management’s assumptions and projections are based on their anticipation of future events and actual performance may differ materially from those projected. Risks and uncertainties which could impact future financial performance include, among others, (a) competitive pressures in the banking industry; (b) changes in the interest rate environment; (c) general economic conditions, either nationally or regionally or locally, including fluctuations in real estate values; (d) changes in the regulatory environment; (e) changes in business conditions or the securities markets and inflation; (f) possible shortages of gas and electricity at utility companies operating in the State of California, and (g) the effects of terrorism, including the events of September 11, 2001, and thereafter, and the conduct of war on terrorism by the United States and its allies. Therefore, the information set forth herein, together with other information contained in the periodic reports filed by FNB Bancorp with the Securities and Exchange Commission, should be carefully considered when evaluating its business prospects. FNB Bancorp undertakes no obligation to update any forward-looking statements contained in this release.