UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): July 25, 2013
Southern National Bancorp of Virginia, Inc.
(Exact name of registrant as specified in its charter)
Virginia |
001-33037 |
20-1417448 |
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(State or other jurisdiction of incorporation) |
(Commission File Number) | (IRS Employer Identification No.) |
6830 Old Dominion Drive McLean, Virginia |
22101 |
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(Address of principal executive offices) | (Zip Code) |
Registrant's telephone number, including area code: (703) 893-7400
________________________________________________________________________________
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): |
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[ ] | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |
[ ] | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |
[ ] | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |
[ ] | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02. Results of Operations and Financial Condition.
On July 25, 2013, Southern National Bancorp of Virginia, Inc. ("Southern National") issued a press release announcing its financial results for the three and six months ended June 30, 2013. A copy of the press release is filed as Exhibit 99.1 to this Current Report on Form 8-K and incorporated herein by reference.
Item 8.01. Other Events.
On July 25, 2013, Southern National issued a press release announcing the declaration of a dividend payable to shareholders of record as of August 12, 2013. A copy of the press release is filed as Exhibit 99.1 to this Current Report on Form 8-K and incorporated herein by reference.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits
99.1 Press Release dated July 25, 2013
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Southern National Bancorp of Virginia, Inc. |
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Date: July 26, 2013 | By: | /s/ WILLIAM H. LAGOS William H. Lagos Senior Vice President and Chief Financial Officer |
EXHIBIT 99.1
MCLEAN, Va., July 25, 2013 (GLOBE NEWSWIRE) -- Southern National Bancorp of Virginia Inc. (Nasdaq:SONA), the holding company for Sonabank, announced today that net income for the quarter ended June 30, 2013 was $1.6 million and $3.1 million for the first half of 2013. That compares to $2.2 million and $4.1 million for the three and six months ended June 30, 2012. The second quarter of 2012 benefitted from a bargain purchase gain in conjunction with the HarVest acquisition which was partially offset by a writedown of other real estate owned ("OREO").
The Board of Directors declared a dividend of $.07 per share payable August 23, 2013 to shareholders of record on August 12, 2013. This was Southern National's seventh consecutive quarterly dividend and the fifth consecutive increase.
Overview
U.S. Treasury yields hit a cyclical low at the beginning of May 2013 with the 10 year U.S. Treasury yield hitting 1.6%. Since then it has risen over a percentage point to over 2.6%. That is a huge increase. It has resulted in a diminution in the fierce competition for refinancing loans which we wrote about last quarter, perhaps as a sense of reality began to pervade the market. Even so, we had payoffs of large loans of approximately $8.3 million during the quarter. However, that was offset this quarter by very strong loan closings of $36.0 million most of which closed near quarter-end.
Net Interest Income
Net interest income was $7.4 million in the quarter ended June 30, 2013 down from $7.8 million during the same period last year. The accretion of the discount on Greater Atlantic Bank's loans contributed $361 thousand to second quarter 2013 net interest income compared to $705 thousand during the second quarter of 2012. The accretion of the discount on HarVest's loans contributed $440 thousand in the second quarter of 2013 compared to $172 thousand during the second quarter of 2012. The cost of funds decreased from 1.16% for the quarter ended June 30, 2012, to 0.84% for the second quarter of 2013. Sonabank's net interest margin was 4.57% in the second quarter of 2013 compared to 5.07% during the comparable quarter last year and 4.94% during the first quarter of 2013.
Net interest income was $15.1 million during the six months ended June 30, 2013, compared to $15.5 million during the comparable period in the prior year. Approximately $805 thousand of the 2012 net interest income resulted from the recovery of discount recognized in purchase accounting during the first quarter of 2012 for two impaired loans acquired in the Greater Atlantic Bank acquisition following the receipt of payment from the borrowers. The total accretion of the discount on the Greater Atlantic Bank loan portfolio, including the aforementioned $805 thousand, amounted to $2.2 million in the first six months of 2012, compared to $808 thousand in the first half of 2013. The cost of funds decreased from 1.19% for the six months ended June 30, 2012, to 0.89% for the six months ended June 30, 2013. Sonabank's net interest margin was 4.76% in the first six months of 2013 compared to 5.32% during the same period last year.
Noninterest Income
During the second quarter of 2013 Sonabank had noninterest income of $448 thousand compared to noninterest income of $3.9 million during the second quarter of 2012. The decrease resulted primarily from the bargain purchase gain of $3.5 million from the HarVest transaction in the second quarter of 2012. In addition, there was an other than temporary impairment ("OTTI") of $235 thousand in one trust preferred security during the second quarter of 2012 compared to no OTTI charges during the second quarter of 2013. Income from bank owned life insurance ("BOLI") contributed $148 thousand during the second quarter of 2013 compared to $347 thousand the prior year quarter. The second quarter of 2012 was affected by a death benefit.
Noninterest income decreased from $4.9 million in the first six months of 2012 to $984 thousand in the first six months of 2013. The drivers of the decrease from the first half of 2012 were largely the same as the quarter except that during the first quarter of 2012 the bank sold the guaranteed portions of SBA loans and realized a $657 thousand gain.
Noninterest Expense
Noninterest expenses were $4.8 million and $9.7 million during the second quarter and the first half of 2013, respectively, compared to $7.2 million and $11.7 million during the same periods in 2012. Noninterest expenses for the second quarter of 2012 included the recognition of impairment in the values of five OREO properties in the Charlottesville market and one in the Culpeper market in the amount of $2.2 million. Also affecting the second quarter of 2012 were merger expenses relating to the HarVest transaction totaling $349 thousand, and other noninterest expenses related to the HarVest branches were $245 thousand. Occupancy and furniture and equipment expenses were $1.8 million during the first six months of 2013, compared to $1.6 million during 2012. Of this increase, $310 thousand resulted from operating five additional branches, four from the HarVest acquisition and one denovo. In addition, salaries and benefits expense has increased $627 thousand during the six months ended June 30, 2013, compared to 2012 due to the HarVest acquisition and other additional personnel. Full-time equivalent employees have increased from 137 at June 30, 2012, to 144 at June 30, 2013. Audit and accounting fees have decreased from $569 thousand during the six months ended June 30, 2012 to $251 thousand during the first six months of 2013. These fees were abnormally high in 2012 because of the restatement of 2010 and 2009 financial statements.
Loan Portfolio
The composition of Sonabank's loan portfolio consisted of the following at June 30, 2013 and December 31, 2012:
Covered | Non-covered | Total | Covered | Non-covered | Total | |
Loans (1) | Loans | Loans | Loans (1) | Loans | Loans | |
June 30, 2013 | December 31, 2012 | |||||
Loans secured by real estate: | ||||||
Commercial real estate - owner-occupied | $ 3,662 | $ 93,837 | $ 97,499 | $ 4,143 | $ 93,288 | $ 97,431 |
Commercial real estate - non-owner-occupied | 6,028 | 140,929 | 146,957 | 10,246 | 130,152 | 140,398 |
Secured by farmland | 103 | 517 | 620 | -- | 1,479 | 1,479 |
Construction and land loans | 52 | 31,076 | 31,128 | 1,261 | 44,946 | 46,207 |
Residential 1-4 family | 19,067 | 62,544 | 81,611 | 21,005 | 61,319 | 82,324 |
Multi- family residential | 598 | 21,924 | 22,522 | 614 | 18,774 | 19,388 |
Home equity lines of credit | 28,954 | 7,776 | 36,730 | 31,292 | 9,178 | 40,470 |
Total real estate loans | 58,464 | 358,603 | 417,067 | 68,561 | 359,136 | 427,697 |
Commercial loans | 1,261 | 105,752 | 107,013 | 2,672 | 99,081 | 101,753 |
Consumer loans | 87 | 1,338 | 1,425 | 88 | 1,623 | 1,711 |
Gross loans | 59,812 | 465,693 | 525,505 | 71,321 | 459,840 | 531,161 |
Less deferred fees on loans | 7 | (1,228) | (1,221) | 7 | (1,017) | (1,010) |
Loans, net of deferred fees | $ 59,819 | $ 464,465 | $ 524,284 | $ 71,328 | $ 458,823 | $ 530,151 |
(1) Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. |
Loans, net of deferred fees, decreased $5.9 million from $530.2 million at the end of 2012 to $524.3 million at June 30, 2013, but increased $14.3 million from March 31, 2013. We had payoffs of large loans of approximately $8.3 million and $3.5 million in foreclosures during the quarter. However, that was offset this quarter by very strong loan closings of $36.0 million most of which closed near quarter-end.
Loan Loss Provision/Asset Quality
Non-covered OREO as of June 30, 2013 was $12.1 million compared to $13.2 million as of the end of the previous year. During the three months ended June 30, 2013 we had two foreclosures in the non-covered portfolio in the amount of $1.3 million and OREO sales of $617 thousand. For the six months ended June 30, 2013 we had four foreclosures in the non-covered portfolio totaling $1.6 million and OREO sales of $2.6 million. In the covered portfolio we had one foreclosure during the three months ended June 30, 2013 in the amount of $2.2 million and during the six months had two foreclosures totaling $4.0 million. In the second quarter of 2013, we sold the property foreclosed on in the first quarter of 2013 for $1.9 million which resulted in a small gain.
Non-covered nonaccrual loans were $4.6 million (excluding $1.6 million of loans fully covered by SBA guarantees) at June 30, 2013 compared to $5.0 million (excluding $2.6 million of loans fully covered by SBA guarantees) at the end of last year. The ratio of non-covered non-performing assets (excluding the SBA guaranteed loans) to non-covered assets decreased from 2.80% at the end of 2012 to 2.60% at June 30, 2013. The portions of these SBA loans that were unguaranteed were charged off.
Southern National Bancorp of Virginia's allowance for loan losses as a percentage of non-covered loans at June 30, 2013 was 1.55%, compared to 1.52% at the end of 2012. Management believes the allowance is adequate at this time but monitors trends in past due and non-performing loans to determine whether the allowance should be increased.
Securities Portfolio
Investment securities, available for sale and held to maturity, were $85.4 million at June 30, 2013 and $86.4 million at December 31, 2012.
Investment activity during the first six months of 2013 was concentrated on municipal bonds (as it was in the fourth quarter of 2012) and to a lesser extent on callable agencies. The yields available on FNMA and FHLMC mortgage pass through securities where we have historically invested excess cash have been adversely affected by the Federal Reserve Board's third round of quantitative easing and its purchases of $40 billion a month in mortgage-backed securities. The yields on higher quality, bank qualified municipal bonds have been significantly higher on a taxable equivalent basis although they do entail some extension risk. We went into the strategy of investing in municipals with an overall asset sensitive balance sheet and are monitoring it to ensure we do not get outside our risk tolerance level. Through the end of the second quarter of 2013, we had assembled a portfolio of $13.0 million with a taxable equivalent yield of 3.02% and ratings as follows:
Rating | Amount | |
Service | Rating | (in thousands) |
Moody's | Aaa | $ 505 |
Moody's | Aa2 | 3,208 |
Moody's | Aa3 | 724 |
Standard & Poor's | AAA | 2,682 |
Standard & Poor's | AA | 3,690 |
Standard & Poor's | AA- | 2,237 |
$ 13,046 |
As of June 30, 2013 we owned pooled trust preferred securities as follows:
Previously | |||||||||||
% of Current | Recognized | ||||||||||
Defaults and | Cumulative | ||||||||||
Ratings | Estimated | Deferrals to | Other | ||||||||
Tranche | When Purchased | Current Ratings | Fair | Total | Comprehensive | ||||||
Security | Level | Moody's | Fitch | Moody's | Fitch | Par Value | Book Value | Value | Collateral | Loss (1) | |
(in thousands) | |||||||||||
ALESCO VII A1B | Senior | Aaa | AAA | Baa3 | BB | $ 6,777 | $ 6,124 | $ 4,097 | 24% | $ 281 | |
MMCF III B | Senior Sub | A3 | A- | Ba1 | CC | 421 | 413 | 255 | 30% | 8 | |
7,198 | 6,537 | 4,352 | $ 289 | ||||||||
Cumulative Other | Cumulative | ||||||||||
Comprehensive | OTTI Related to | ||||||||||
Other Than Temporarily Impaired: | Loss (2) | Credit Loss (2) | |||||||||
TPREF FUNDING II | Mezzanine | A1 | A- | Caa3 | C | 1,500 | 515 | 520 | 44% | $ 626 | $ 359 |
TRAP 2007-XII C1 | Mezzanine | A3 | A | C | C | 2,132 | 56 | 140 | 39% | 783 | 1,293 |
TRAP 2007-XIII D | Mezzanine | NR | A- | NR | C | 2,039 | -- | 103 | 29% | 7 | 2,032 |
MMC FUNDING XVIII | Mezzanine | A3 | A- | Ca | C | 1,081 | 27 | 254 | 30% | 363 | 691 |
ALESCO V C1 | Mezzanine | A2 | A | C | C | 2,150 | 475 | 548 | 23% | 1,014 | 661 |
ALESCO XV C1 | Mezzanine | A3 | A- | C | C | 3,210 | 30 | 152 | 35% | 621 | 2,559 |
ALESCO XVI C | Mezzanine | A3 | A- | C | C | 2,136 | 119 | 576 | 16% | 837 | 1,180 |
14,248 | 1,222 | 2,293 | $ 4,251 | $ 8,775 | |||||||
Total | $ 21,446 | $ 7,759 | $ 6,645 | ||||||||
(1) Pre-tax, and represents unrealized losses at date of transfer from available-for-sale to held-to-maturity, net of accretion | |||||||||||
(2) Pre-tax |
Each of these securities has been evaluated for potential impairment under Accounting Standards Codification Topic 325. In performing a detailed cash flow analysis of each security, Sonabank works with independent third parties to identify the most reflective estimate of the cash flow estimated to be collected. If this estimate results in a present value of expected cash flows that is less than the amortized cost basis of a security (that is, credit loss exists), an OTTI is considered to have occurred. If there is no credit loss, any impairment is considered temporary.
The analyses resulted in no OTTI charges related to credit on the trust preferred securities during the second quarter of 2013, compared to OTTI charges related to credit on the trust preferred securities totaling $235 thousand for three months ended June 30, 2012. During the six months ended June 30, 2013 there were OTTI charges totaling $3 thousand, compared to $237 thousand during the same period last year.
Deposits
Total deposits were $545.6 million at June 30, 2013 compared to $551.0 million at December 31, 2012. Certificates of deposit increased $14.0 million during the six months. There was a decrease in money market accounts of $16.8 million during the six months ended June 30, 2013. Noninterest-bearing deposits were $45.3 million at June 30, 2013 and $49.6 million at December 31, 2012. Noninterest-bearing deposits were historically high at December 31, 2012, primarily because of large balances held by title companies.
Stockholders' Equity
Total stockholders' equity increased from $103.2 million at December 31, 2012 to $104.9 million at June 30, 2013 as a result of the retention of earnings. Our Tier 1 Risk Based Capital Ratios were 18.84% and 18.73% for Southern National Bancorp of Virginia, Inc. and Sonabank, respectively, as of June 30, 2013.
Southern National Bancorp of Virginia, Inc. is a bank holding company with assets of $706.7 million at June 30, 2013. Sonabank provides a range of financial services to individuals and small and medium sized businesses. Sonabank has fifteen branches in Virginia, located in Fairfax County (Reston, McLean and Fairfax), in Charlottesville, Warrenton (2), Middleburg, Leesburg (2), South Riding, Front Royal, New Market, Haymarket, Richmond and Clifton Forge, and five branches in Maryland, in Rockville, Shady Grove, Germantown, Frederick and Bethesda. In the first quarter of 2013, the former HarVest Bank branch in Bethesda was relocated to a far superior location on Wisconsin Avenue.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that relate to future events or the future performance of Southern National Bancorp of Virginia, Inc. Forward-looking statements are not guarantees of performance or results. These forward-looking statements are based on the current beliefs and expectations of the respective management of Southern National Bancorp of Virginia, Inc. and Sonabank and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond their respective control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. Actual results may differ materially from the anticipated results discussed or implied in these forward-looking statements because of numerous possible uncertainties. Words like "may," "plan," "contemplate," "anticipate," "believe," "intend," "continue," "expect," "project," "predict," "estimate," "could," "should," "would," "will," and similar expressions, should be considered as identifying forward-looking statements, although other phrasing may be used. Such forward-looking statements involve risks and uncertainties and may not be realized due to a variety of factors. Additional factors that could cause actual results to differ materially from those expressed in the forward-looking statements are discussed in the reports (such as Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q) filed by Southern National Bancorp of Virginia, Inc. You should consider such factors and not place undue reliance on such forward-looking statements. No obligation is undertaken by Southern National Bancorp of Virginia, Inc. to update such forward-looking statements to reflect events or circumstances occurring after the issuance of this press release.
Southern National Bancorp of Virginia, Inc. | ||||
McLean, Virginia | ||||
Condensed Consolidated Balance Sheets | ||||
(Unaudited) | ||||
(in thousands) | ||||
June 30, | December 31, | |||
2013 | 2012 | |||
Assets | ||||
Cash and cash equivalents | $ 28,545 | $ 39,200 | ||
Investment securities-available for sale | 2,034 | 2,391 | ||
Investment securities-held to maturity | 83,354 | 84,051 | ||
Stock in Federal Reserve Bank and Federal Home Loan Bank | 5,240 | 6,212 | ||
Loans receivable, net of unearned income | 524,284 | 530,151 | ||
Allowance for loan losses | (7,296) | (7,066) | ||
Net loans | 516,988 | 523,085 | ||
Intangible assets | 10,195 | 10,440 | ||
Bank premises and equipment, net | 6,286 | 6,552 | ||
Bank-owned life insurance | 18,079 | 17,782 | ||
FDIC indemnification asset | 6,308 | 6,735 | ||
Other assets | 29,695 | 27,364 | ||
Total assets | $ 706,724 | $ 723,812 | ||
Liabilities and stockholders' equity | ||||
Demand deposits | $ 67,347 | $ 72,418 | ||
Money market accounts | 146,461 | 163,233 | ||
Savings accounts | 12,148 | 9,618 | ||
Time deposits | 319,682 | 305,708 | ||
Securities sold under agreements to repurchase and other short-term borrowings | 20,530 | 33,411 | ||
Federal Home Loan Bank advances | 30,250 | 30,250 | ||
Other liabilities | 5,370 | 5,998 | ||
Total liabilities | 601,788 | 620,636 | ||
Stockholders' equity | 104,936 | 103,176 | ||
Total liabilities and stockholders' equity | $ 706,724 | $ 723,812 | ||
Condensed Consolidated Statements of Income | ||||
(Unaudited) | ||||
(in thousands) | ||||
For the Quarters Ended | For the Six Months Ended | |||
June 30, | June 30, | |||
2013 | 2012 | 2013 | 2012 | |
Interest and dividend income | $ 8,549 | $ 9,361 | $ 17,572 | $ 18,435 |
Interest expense | 1,175 | 1,528 | 2,428 | 2,962 |
Net interest income | 7,374 | 7,833 | 15,144 | 15,473 |
Provision for loan losses | 725 | 1,325 | 1,818 | 2,775 |
Net interest income after provision for loan losses | 6,649 | 6,508 | 13,326 | 12,698 |
Account maintenance and deposit service fees | 203 | 206 | 396 | 402 |
Income from bank-owned life insurance | 148 | 347 | 297 | 500 |
Bargain purchase gain on acquisition | -- | 3,484 | -- | 3,484 |
Gain on sale of loans | -- | -- | -- | 657 |
Net impairment losses recognized in earnings | -- | (235) | (3) | (237) |
Net gain (loss) on sale of available for sale securities | -- | (13) | 142 | (13) |
Gain on other assets | 13 | -- | 13 | 14 |
Other | 84 | 81 | 139 | 121 |
Noninterest income | 448 | 3,870 | 984 | 4,928 |
Employee compensation and benefits | 2,176 | 1,970 | 4,422 | 3,795 |
Occupancy expenses | 923 | 848 | 1,839 | 1,586 |
FDIC assessment | 225 | 142 | 458 | 271 |
Change in FDIC indemnification asset | 107 | 253 | 237 | 239 |
Loss on other real estate owned, net | 62 | 2,201 | 118 | 2,386 |
Other expenses | 1,305 | 1,749 | 2,675 | 3,384 |
Noninterest expense | 4,798 | 7,163 | 9,749 | 11,661 |
Income before income taxes | 2,299 | 3,215 | 4,561 | 5,965 |
Income tax expense | 744 | 1,000 | 1,480 | 1,907 |
Net income | $ 1,555 | $ 2,215 | $ 3,081 | $ 4,058 |
Financial Highlights | ||||
(Unaudited) | ||||
(Dollars in thousands except per share data) | ||||
For the Quarters Ended | For the Six Months Ended | |||
June 30, | June 30, | |||
2013 | 2012 | 2013 | 2012 | |
Per Share Data : | ||||
Earnings per share - Basic | $ 0.13 | $ 0.19 | $ 0.27 | $ 0.35 |
Earnings per share - Diluted | $ 0.13 | $ 0.19 | $ 0.27 | $ 0.35 |
Book value per share | $ 9.05 | $ 8.89 | ||
Tangible book value per share | $ 8.17 | $ 7.95 | ||
Weighted average shares outstanding - Basic | 11,590,212 | 11,590,212 | 11,590,212 | 11,590,212 |
Weighted average shares outstanding - Diluted | 11,634,525 | 11,594,033 | 11,623,422 | 11,592,747 |
Shares outstanding at end of period | 11,590,212 | 11,590,212 | ||
Selected Performance Ratios and Other Data: | ||||
Return on average assets | 0.88% | 1.30% | 0.88% | 1.26% |
Return on average equity | 5.95% | 8.76% | 5.96% | 8.08% |
Yield on earning assets | 5.30% | 6.07% | 5.52% | 6.33% |
Yield on earning assets excluding discount accretion on loans acquired in GAB and HarVest acquisitions | 4.80% | 5.50% | 5.01% | 5.59% |
Cost of funds | 0.84% | 1.16% | 0.89% | 1.19% |
Cost of funds including non-interest bearing deposits | 0.78% | 1.07% | 0.82% | 1.10% |
Net interest margin | 4.57% | 5.07% | 4.76% | 5.32% |
Net interest margin excluding discount accretion on loans acquired in GAB and HarVest acquisitions | 4.07% | 4.51% | 4.25% | 4.57% |
Efficiency ratio (1) | 60.65% | 59.99% | 60.28% | 56.90% |
Net charge-offs (recoveries) to average loans | 0.13% | 0.28% | 0.31% | 0.46% |
Amortization of intangibles | $ 123 | $ 228 | $ 246 | $ 458 |
As of | ||||
June 30, | December 31, | |||
2013 | 2012 | |||
Stockholders' equity to total assets | 14.85% | 14.25% | ||
Tier 1 risk-based captial ratio | 18.84% | 18.33% | ||
Intangible assets: | ||||
Goodwill | $ 9,160 | $ 9,160 | ||
Core deposit intangible | 1,035 | 1,280 | ||
Total | $ 10,195 | $ 10,440 | ||
Non-covered loans and other real estate owned (2): | ||||
Nonaccrual loans (3) | $ 6,275 | $ 7,628 | ||
Loans past due 90 days and accruing interest | -- | -- | ||
Other real estate owned | 12,119 | 13,200 | ||
Total nonperforming assets | $ 18,394 | $ 20,828 | ||
Allowance for loan losses to total non-covered loans | 1.55% | 1.52% | ||
Nonperforming assets excluding SBA guaranteed loans to total non-covered assets | 2.60% | 2.80% | ||
(1) Excludes gains and write-downs on OREO, gains on sale of loans, gains/losses on sale of securities and impairment losses recognized in earnings. | ||||
(2) Applies only to non-covered Sonabank loans and other real estate owned. | ||||
(3) Nonaccrual loans include SBA guaranteed amounts totaling $1.6 million and $2.6 million at June 30, 2013 and December 31, 2012, respectively. |
CONTACT: R. Roderick Porter, President Phone: 202-464-1130 ext. 2406 Fax: 202-464-1134 Southern National Bancorp of Virginia Inc. NASDAQ Symbol SONA Website: www.sonabank.com