-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, QZjlwp0FcU2cOvXDWb9JPX9WT8e62pVR0Gg5uAvYxVb70kDClz/9MINK9VAcM12s lvtCeExJxiaAhR4HYTI2Tw== 0000796534-06-000031.txt : 20060421 0000796534-06-000031.hdr.sgml : 20060421 20060421123302 ACCESSION NUMBER: 0000796534-06-000031 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20060331 ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20060421 DATE AS OF CHANGE: 20060421 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NATIONAL BANKSHARES INC CENTRAL INDEX KEY: 0000796534 STANDARD INDUSTRIAL CLASSIFICATION: NATIONAL COMMERCIAL BANKS [6021] IRS NUMBER: 541375874 STATE OF INCORPORATION: VA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-15204 FILM NUMBER: 06771842 BUSINESS ADDRESS: STREET 1: PO BOX 90002 CITY: BLACKSBURG STATE: VA ZIP: 24062-9002 BUSINESS PHONE: 5405522011 MAIL ADDRESS: STREET 1: 100 SOUTH MAIN STREET STREET 2: PO BOX 90002 CITY: BLACKSBURG STATE: VA ZIP: 24062-9002 8-K 1 form8k.txt 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: April 20, 2006 Commission File Number: 0-15204 National Bankshares, Inc. - -------------------------------------------------------------------------------- (Exact name of Registrant as specified in its charter) Virginia 54-1375874 - ------------------------------- ------------------------------------ (State or other jurisdiction of (I.R.S. Employer Identification No.) incorporation or organization) 101 Hubbard Street Blacksburg, VA 24060 - ----------------------------- (Address of principal executive offices) Registrant's telephone number, including area code (540) 951-6300 -------------- Page 1 of 2 Pages ITEM 2.02. RESULTS OF OPERATIONS, FINANCIAL STATEMENTS AND EXHIBITS On April 20, 2006, National Bankshares, Inc. issued a press release announcing its financial results for the first quarter ended March 31, 2006. A copy of the press release is attached as Exhibit 99.1. ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS (a) Exhibits 99.1 National Bankshares, Inc. Press Release dated April 20, 2006. SIGNATURE Pursuant to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. NATIONAL BANKSHARES, INC. Date: April 21, 2006 By: /s/ JAMES G. RAKES -------------------- ------------------------------------- James G. Rakes Chairman President and CEO Page 2 of 2 Pages EX-99 2 ex99.txt 1ST QUARTER 2006 PRESS RELEASE FOR IMMEDIATE RELEASE CONTACTS: James G. Rakes, President & CEO (540) 951-6236 J. Robert Buchanan, Treasurer (276) 979-0341 NATIONAL BANKSHARES, INC. ANNOUNCES FIRST QUARTER EARNINGS BLACKSBURG, VA, APRIL 20, 2006: National Bankshares, Inc. (Nasdaq Capital Market: NKSH) today announced first quarter net income of just over $3 million, or basic net income of $0.43 per share (adjusted to reflect a 2-for-1 stock split which was effective on March 31). This is a slight increase over the $2.99 million earned in the first quarter of 2005. At March 31, National Bankshares, Inc, the parent company of the National Bank of Blacksburg, Bank of Tazewell County and National Bankshares Financial Services had total assets of nearly $848 million, up by 3.80% over the total on March 31, 2005. In making the earnings announcement, Chairman, President & CEO James G. Rakes said, "We continue to experience the effects of compression of the net interest margin, as regular interest rate increases by the Federal Reserve Bank have continued longer than some had predicted. Pressure on the interest margin has impacted earnings. However, we are pleased with the quality of the loan portfolio and with solid asset growth. With the recently announced consolidation of our two bank subsidiaries into National Bank, we are also taking steps to streamline operations and position our Company for a positive future." National Bankshares, Inc. is a financial holding company headquartered in Blacksburg, Virginia. It now has two community bank subsidiaries, The National Bank of Blacksburg and Bank of Tazewell County, with its main office in Tazewell, Virginia. Together, the banks operate from 26 locations throughout Southwest Virginia. The company has a non-bank subsidiary, National Bankshares Financial Services, Inc., which does business as National Bankshares Investment Services and National Bankshares Insurance Services. Additional information about the company is available on its web site at www.nationalbankshares.com. (unaudited tables follow)
National Bankshares, Inc. And Subsidiaries (000's), except ratios and percent data Three months ending March 31, 2006 March 31, 2005 Change Selected Consolidated Data : - --------------------------------------------------------------------------------------------------------------------- Interest income $11,583 $11,035 4.97% Interest expense 4,238 3,043 39.27% Net interest income 7,345 7,992 -8.10% Provision for loan losses 17 190 -91.05% Trust income 380 408 -6.86% Other noninterest income 1,679 1,360 23.46% Salary and benefits 2,911 2,862 1.71% Occupancy expense 533 479 11.27% Amortization of intangibles 284 266 6.77% Other noninterest expense 1,771 2,082 -14.94% Income taxes -885 -888 -0.34% Net income $3,003 $2,993 0.33% Basic net income per share $0.43 $0.43 $0.00 - --------------------------------------------------------------------------------------------------------------------- Daily averages: - --------------------------------------------------------------------------------------------------------------------- Gross loans $491,410 $484,551 1.42% Loans,net 485,031 477,992 1.47% Total securities 272,644 256,117 6.45% Total deposits 741,941 707,254 4.90% Other borrowings 146 204 -28.43% Stockholders' equity 93,417 88,109 6.02% Cash and due from 17,149 14,082 21.78% Interest-earning assets 777,400 753,895 3.12% Interest-bearing liabilities 630,151 592,287 6.39% Intangible assets 16,988 17,121 -0.78% Total assets 839,478 802,861 4.56% - --------------------------------------------------------------------------------------------------------------------- Financial ratios: Note (1) - --------------------------------------------------------------------------------------------------------------------- Return on average assets 1.45% 1.51% -0.06 Return on average equity 13.04% 13.78% -0.74 Net interest margin 4.22% 4.71% -0.49 Efficiency ratio --- --- --- Average equity to average assets 11.13% 10.97% 0.15 - --------------------------------------------------------------------------------------------------------------------- Note (1) Ratio change measured in bp Allowance for loan losses: - --------------------------------------------------------------------------------------------------------------------- Beginning balance $5,449 $5,729 -4.89% Provision for losses 17 190 -91.05% Charge-offs -87 -253 -65.61% Recoveries 39 46 -15.22% Acquisition of CNB --- --- --- Ending balance $5,418 $5,712 -5.15% - --------------------------------------------------------------------------------------------------------------------- Year to Date March 31, 2006 March 31, 2005 Change Selected Consolidated Data : - --------------------------------------------------------------------------------------------------------------------- Interest income $11,583 $11,035 4.97% Interest expense 4,238 3,043 39.27% Net interest income 7,345 7,992 -8.10% Provision for loan losses 17 190 -91.05% Trust income 380 408 -6.86% Other noninterest income 1,679 1,360 23.46% Salary and benefits 2,911 2,862 1.71% Occupancy expense 533 479 11.27% Amortization of intangibles 284 266 6.77% Other noninterest expense 1,771 2,082 -14.94% Income taxes -885 -888 -0.34% Net income $3,003 $2,993 0.33% Basic net income per share $0.43 $0.43 $0.00 Fully diluted net income per share --- --- --- Dividends per share --- --- --- Dividend payout ratio --- --- --- Book value per share $13.44 12.61 $0.83 - --------------------------------------------------------------------------------------------------------------------- Balance sheet at period-end: - --------------------------------------------------------------------------------------------------------------------- Gross loans $490,757 $495,355 -0.93% Loans, net $484,391 $488,735 -0.89% Total securities 275,828 262,204 5.20% Cash and due From 18,270 14,043 30.10% Total deposits 749,222 723,873 3.50% Other borrowings 83 431 -80.74% Stockholders' equity 94,260 88,793 6.16% Intangible assets 16,829 17,964 -6.32% Total assets 847,956 816,988 3.79% - --------------------------------------------------------------------------------------------------------------------- Daily averages: - --------------------------------------------------------------------------------------------------------------------- Gross loans $491,410 $484,551 1.42% Loans,net 485,029 477,992 1.47% Total securities 272,644 256,117 6.45% Total deposits 741,941 707,254 4.90% Other borrowings 146 204 -28.43% Stockholders' equity 93,419 88,109 6.03% Cash and due from 17,149 14,082 21.78% Interest-earning assets 777,400 753,895 3.12% Interest-bearing liabilities 630,151 592,287 6.39% Intangible assets 16,988 17,121 -0.78% Total assets 839,478 802,861 4.56% - --------------------------------------------------------------------------------------------------------------------- Financial ratios: Note (1) - --------------------------------------------------------------------------------------------------------------------- Return on average assets 1.45% 1.51% -0.06 Return on average equity 13.04% 13.78% -0.74 Net interest margin 4.22% 4.71% -0.49 Efficiency ratio 54.17% 54.12% 0.05 Average equity to average assets 11.13% 10.97% 0.15 - --------------------------------------------------------------------------------------------------------------------- Note (1) Ratio change measured in bp Allowance for loan losses: - --------------------------------------------------------------------------------------------------------------------- Beginning balance $5,449 $5,729 -4.89% Provision for losses 17 190 -91.05% Charge-offs -87 -253 -65.61% Recoveries 39 46 -15.22% Acquisition of CNB --- --- -100.00% Ending balance $5,418 $5,712 -5.15% - --------------------------------------------------------------------------------------------------------------------- Nonperforming assets: - --------------------------------------------------------------------------------------------------------------------- Nonaccrual loans $92 $347 -73.49% Restructured loans --- --- --- Total nonperforming loans Note (2) 92 347 -73.49% Other real estate owned 390 715 -45.45% Total nonperforming assets $482 $1,062 -54.61% - --------------------------------------------------------------------------------------------------------------------- Asset quality ratios: Note (3) - --------------------------------------------------------------------------------------------------------------------- Nonperforming loans to total loans 0.02% 0.07% -0.05 Allowance for loan losses to total loans 1.11% 1.16% -0.05 Allowance for loan losses to nonperforming loans 5889.13% 1646.11% 4243.02 - --------------------------------------------------------------------------------------------------------------------- Note (2) Loans 90 days past due or more not included Note (3) Ratio change measured in bp
-----END PRIVACY-ENHANCED MESSAGE-----