EX-99.1 2 c08673exv99w1.htm EXHIBIT 99.1 Exhibit 99.1
Exhibit 99.1
Madison Bancorp, Inc. Reports Results
for Quarter Ended September 30, 2010
For More Information Contact
Michael P. Gavin
(410) 529-7400
Madison Bancorp, Inc.
Madison Square FSB
Madison Bancorp, Inc., (the Company) (OTCBB: MDSN), the holding company for Madison Square Federal Savings Bank, reported a net loss of $17,000 for the three month period ended September 30, 2010 which represents the second quarter in its fiscal year, as compared to a net loss of $199,000 for the three months ended September 30, 2009.
The net loss for the six months ended September 30, 2010 was $17,000, as compared to a net loss of $613,000 for the six months ended September 30, 2009.
During the six months ended September 30, 2010, the Company benefited from increased net interest income. The increase in earnings was also impacted by the improvement in noninterest revenue during both periods as compared to comparable periods in 2009. Also, the Company recognized a $150,000 charge in credit losses during the six months ended September 30, 2009 on certain private label mortgage backed securities deemed by management to be “Other Than Temporary Impaired” (OTTI). These OTTI charges were not required in the six months ended September 30, 2010.
Total assets increased to $153.7 million at September 30, 2010 from $146.9 million at March 31, 2010. Total deposits increased to $143.7 million at September 30, 2010 from $137.0 million at March 31, 2010.
President and Chief Executive Officer Michael P. Gavin commented, “We are encouraged by operating results for the most recently completed quarter as compared to the previous year; however, we recognize there are still actions needed to return to profitability during this challenging time in the banking industry. We remain well capitalized and feel confident in operating during these difficult economic conditions.”
Madison Bancorp, Inc., the holding company for Madison Square Federal Savings Bank, closed its stock offering on Wednesday, October 6, 2010. Shares of Madison Bancorp common stock are trading on the OTC Electronic Bulletin Board.
A total of 608,116 shares of common stock were sold in the subscription and community offerings at the price of $10.00 per share.

 

 

 

This press release contains statements that are forward looking, as that term is defined by the Private Securities Litigation Reform Act of 1995 or the Securities and Exchange Commission in its rules, regulations and releases. The Company intends that such forward-looking statements be subject to the safe harbors created thereby. All forward-looking statements are based on current expectations regarding important risk factors, including but not limited to real estate values, market conditions, the impact of interest rates on financing, local and national economic factors and the matters described on Madison Bancorp’s Registration Statement on Form S-1, as amended, filed with the US Securities and Exchange Commission (the SEC), which the SEC declared effective on August 12, 2010. Accordingly, actual results may differ from those expressed in the forward-looking statements.

 

 

 

Madison Bancorp, Inc.
Consolidated Statements of Financial Condition
                 
    September 30,     March 31,  
    2010     2010  
    (Unaudited)     (Audited)  
 
                
Assets
                
Cash equivalents and time deposits
   $ 20,968,695     $ 14,311,947  
Investment securities, available for sale
     35,340,883       33,480,669  
Investment securities held-to-maturity
     1,566,273       2,283,707  
Loans receivable, net
     88,773,453       90,336,475  
Other real estate owned
     434,000       0  
Premises and equipment, net
     3,893,418       3,983,182  
Other assets
     2,673,568       2,493,514  
 
            
Total assets
   $ 153,650,290     $ 146,889,494  
 
            
 
                
Liabilities
                
Deposits
   $ 143,746,856     $ 136,965,267  
Other liabilities
     650,080       861,200  
 
            
Total liabilities
     144,396,936       137,826,467  
Total stockholders’ equity
     9,253,354       9,063,027  
 
            
Total liabilities & stockholders’ equity
   $ 153,650,290     $ 146,889,494  
 
            
Consolidated Statements of Operations
(Unaudited)
                                 
    Three Months Ended     Six Months Ended  
    September 30,     September 30,  
    2010     2009     2010     2009  
 
                                
Interest revenue
   $ 1,500,323     $ 1,696,971     $ 3,048,190     $ 3,193,587  
Interest expense
     581,262       766,883       1,184,109       1,648,047  
 
                        
Net interest income
     919,061       930,088       1,864,081       1,545,540  
Provision for loan losses
     60,315       70,000       111,674       110,000  
 
                        
Net interest income after provision for loan losses
     858,746       860,088       1,752,407       1,435,540  
Noninterest revenue
     112,356       (83,924 )     219,748       (25,257 )
Noninterest expense
     988,099       975,255       1,989,484       2,023,082  
 
                        
Income (loss) before tax expense
     (16,997 )     (199,091 )     (17,329 )     (612,799 )
Income tax expense
     0       0       0       0  
 
                        
Net income (loss) available to common shareholders
   $ (16,997 )   $ (199,091 )   $ (17,329 )   $ (612,799 )
 
                        
 
                                
Basic earnings (loss) per common share
     N/A       N/A       N/A       N/A  
 
                        
Diluted earnings (loss) per common share
     N/A       N/A       N/A       N/A