-----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, FfrEPfkf8DAqV/n7c+5kBxjCyA2ev0dc4kNTtntUIPCp+H9fy+dZ1CV4q+rtL1FH W25wg9Z07aw06knyN22eHA== 0000894671-04-000049.txt : 20040415 0000894671-04-000049.hdr.sgml : 20040415 20040415172324 ACCESSION NUMBER: 0000894671-04-000049 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20040331 ITEM INFORMATION: ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20040415 FILER: COMPANY DATA: COMPANY CONFORMED NAME: OHIO VALLEY BANC CORP CENTRAL INDEX KEY: 0000894671 STANDARD INDUSTRIAL CLASSIFICATION: STATE COMMERCIAL BANKS [6022] IRS NUMBER: 311359191 STATE OF INCORPORATION: OH FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-20914 FILM NUMBER: 04736618 BUSINESS ADDRESS: STREET 1: 420 THIRD AVE CITY: GALLIPOLIS STATE: OH ZIP: 45631 BUSINESS PHONE: 6144462631 8-K 1 sec8k033104earningsrelease.txt MARCH 31, 2004 EARNINGS RELEASE 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 April 15, 2004 (April 14, 2004) Date of Report (Date of earliest event reported) OHIO VALLEY BANC CORP (Exact name of registrant as specified in its charter) Ohio (State or other jurisdiction of incorporation) 0-20914 31-1359191 (Commission file number) (IRS Employer Identification Number) 420 Third Avenue, Gallipolis, Ohio 45631 (Address of principal executive offices) (Zip code) Registrant's telephone number, including area code: (740) 446-2631 Not Applicable (Former name or former address, if changed since last report.) Exhibit Index at Page 4. Item 7. Financial Statements and Exhibits - ----------------------------------------- (a) Not applicable (b) Not applicable (c) Exhibits: The following exhibit is included pursuant to Item 12. Results of Operations and Financial Condition: 99.1 Press Release dated April 14, 2004 of Ohio Valley Banc Corp. Item 12. Results of Operations and Financial Condition - ------------------------------------------------------ On April 14, 2004, Ohio Valley Banc Corp. issued a news release announcing its earnings for the first quarter period ending March 31, 2004. The information contained in the news release, which is attached as Exhibit 99.1 to this Form 8-K, is incorporated herein by this reference. The information in this Current Report on Form 8-K, including Exhibit 99.1 included herewith, is being furnished and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934 (the "Exchange Act") or otherwise subject to the liability of that section, nor shall such information be deemed to be incorporated by reference in any registration statement or other document filed under the Securities Act of 1933 or the Exchange Act, except as otherwise expressly stated in such filing. Page 2 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. OHIO VALLEY BANC CORP. Date: April 15, 2004 By /s/ Jeffrey E. Smith ------------------------------- Jeffrey E. Smith, President and Chief Executive Officer Page 3 EXHIBIT INDEX Exhibit Number Description 99.1 Press release of Ohio Valley Banc Corp dated April 14, 2004, announcing the company's earnings for the first quarter period ending March 31, 2004. EX-99 2 sec8k033104earningsrelpt2.txt April 14, 2004 - For immediate release Contact: Scott Shockey, CFO or Bryna Butler, Corporate Communications 1-800-468-6682 or (740) 446-2631 OVBC Increases Earnings and Dividends ------------------------------------- GALLIPOLIS, Ohio-- Ohio Valley Banc Corp. [Nasdaq:OVBC] President and CEO Jeffrey E. Smith announced that the Board of Directors approved an increase in quarterly cash dividends of 5.5 percent. Cash dividends will increase to $.19 per share from $.18 per share payable May 10, 2004 to shareholders of record April 26, 2004. The announcement was made at the Company's Annual Shareholders' Meeting held today at the Morris & Dorothy Haskins Ariel Theatre in Gallipolis, Ohio. Also during the meeting, Steven B. Chapman, Robert H. Eastman and Jeffrey E. Smith were re-elected to the Board of Directors to each serve a three year term ending in 2007. Just prior to the meeting, Ohio Valley Banc Corp. reported consolidated net earnings for the quarter ended March 31, 2004 of $1,566,000 representing a 7.3 percent increase over the $1,460,000 for the same time period a year ago. Net income per share increased 7.1 percent for the first quarter at $.45 per share compared to $.42 per share in the first quarter of 2003. Management was pleased to continue earnings growth into 2004. The growth in earnings was the result of a significant improvement in asset quality. The Company's ratio of nonperforming loans to total loans stood at .53 percent at March 31, 2004, as compared to 1.70 percent at March 31, 2003. With the decline in nonperforming loans, the Company's net charge-offs for the first quarter of 2004 are down $1,064,000 from the same time period last year. This decline in nonperforming loans and net charge-offs allowed management to reduce provision for loan losses. For the three months ended March 31, 2004, provision for loan losses decreased $617,000 from the three months ended March 31, 2003. "As a result of the efforts of our collectors, lenders and attorneys to reduce nonperforming loans, the Company's balance sheet is much stronger than a year ago, stated Smith. The allowance for loan losses was 1.38 percent of total loans at March 31, 2004, as compared to 1.27 percent at March 31, 2003." Included in the $8 million allowance for loan losses are estimated specific and nonspecific allowance allocations for the increased volume of commercial loan activity. For the first quarter of 2004, net interest income of $6,923,000 essentially matched the net interest income for the same period last year due to the growth in earning assets being offset by declining interest rates. Comparing the first three months of 2004 to the same time period last year, total interest income declined $721,000 or 6.2 percent compared to a total interest expense decline of $728,000 or 15.5 percent. With continued low interest rates, the net interest margin decreased to 4.24 percent for the first quarter of 2004, as compared to 4.36 percent for the same period in 2003. The Company's growth in average earning assets for the first quarter of 2004 exceeds the prior year by $12,589,000 or 1.9 percent. Noninterest income totaled $1,306,000 for the first quarter of 2004 compared to $1,446,000 a year ago representing a 10 percent decrease. The decrease in noninterest income was related to a decline in the sales of secondary market real estate loans due to lower mortgage refinance volume and a shift to variable rate mortgage originations. Gain on sale of loans was down $190,000 from the prior year. Offsetting a portion of this decline was an increase in service charges on deposit accounts of $62,000 or 8.9 percent. Noninterest expense totaled $5,187,000 for the three months ending March 31, 2004, an increase of only $263,000 or 5.3 percent. Salary and employee benefits, the Company's largest noninterest expense, totaled $3,040,000 for the first quarter of 2004, up $243,000 from the prior year. The increase was due to annual merit increases and rising benefit costs. The remaining noninterest expenses are up only $20,000 collectively. Total assets increased $5,864,000 from year end 2003 to reach $713,191,000 at March 31, 2004. Driving asset growth for the first quarter of 2004 was loan growth of $10,835,000 which equals an annual growth rate of 7.6 percent as compared to the 2.5 percent growth rate for 2003. Commercial loans contributed to approximately half of the loan growth. Total deposits grew $22,577,000 from year end to fund loan growth and to reduce borrowed funds which are down $17,967,000. The growth in deposits was primarily in certificates of deposit originated from local and national markets. Smith also announced during the meeting the 29th Street Huntington SuperBank will move to the new Wal-Mart Supercenter on U.S. Route 60 in mid summer. Discussions were ongoing with Holzer Medical Center for a suitable location for a SuperBank on the Holzer Medical Center/Holzer Clinic campus. The SuperBank, which would be the 3rd in Gallia County, would bring convenience banking to 1,800 employees of Gallia County's largest industry, healthcare. He also announced news of a major renovation planned for the traditional bank in Jackson, Ohio. Ohio Valley Banc Corp. common stock is traded on The NASDAQ Stock Market under the symbol OVBC. The holding company owns three subsidiaries: Ohio Valley Bank, with 17 offices in Ohio and West Virginia; Loan Central, with five consumer finance company offices in Ohio, and Ohio Valley Financial Services, an insurance agency based in Jackson, Ohio. The company's Web site is www.ovbc.com. Forward-Looking Information --------------------------- Certain statements contained in this release which are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "believes," "anticipates," "expects," "intends," "targeted" and similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying those statements. Forward-looking statements involve risks and uncertainties. Actual results may differ materially from those predicted by the forward-looking statements because of various factors and possible events, including: (i) changes in political, economic or other factors such as inflation rates, recessionary or expansive trends, and taxes; (ii) competitive pressures; (iii) fluctuations in interest rates; (iv) the level of defaults and prepayment on loans; (v) unanticipated litigation, claims, or assessments; (vi) fluctuations in the cost of obtaining funds to make loans; and (vii) regulatory changes. Forward-looking statements speak only as of the date on which they are made and Ohio Valley undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made to reflect unanticipated events. OHIO VALLEY BANC CORP - Financial Highlights (Unaudited) Three months ended March 31, 2004 2003 ---------- ---------- PER SHARE DATA Earnings per share $0.45 $0.42 Dividend per share $0.18 $0.17 Book value per share $15.71 $14.77 Dividend payout ratio 40.22% 40.34% Weighted average shares outstanding 3,500,359 3,469,079 PERFORMANCE RATIOS Return on average equity 11.54% 11.67% Return on average assets 0.89% 0.86% Net interest margin 4.24% 4.36% Efficiency Ratio 62.46% 58.25% Average Earning Assets (in 000's) $664,606 $652,017 OHIO VALLEY BANC CORP - Consolidated Statements of Income (Unaudited) Three months ended (in $000's) March 31, 2004 2003 ---------- ---------- Interest income: Interest and fees on loans $ 9,959 $10,687 Interest and dividends on securities 932 925 Total interest income 10,891 11,612 Interest expense: Deposits 2,741 3,316 Borrowings 1,227 1,380 Total interest expense 3,968 4,696 Net interest income 6,923 6,916 Provision for loan losses 768 1,385 Noninterest income: Service charges on deposit accounts 759 697 Trust fees 52 52 Income from bank owned insurance 163 172 Gain on sale of loans 6 196 Other 326 329 Total noninterest income 1,306 1,446 Noninterest expense: Salaries and employee benefits 3,040 2,797 Occupancy expense 328 332 Furniture and equipment expense 283 237 Data processing expense 178 160 Other 1,358 1,398 Total noninterest expense 5,187 4,924 Income before income taxes 2,274 2,053 Income taxes 708 593 NET INCOME $1,566 $1,460 OHIO VALLEY BANC CORP - Consolidated Balance Sheets (Unaudited) (dollars in thousands except share and per share data) March 31, December 31, 2004 2003 ---------------- ---------------- ASSETS Cash and cash equivalents 15,600 17,753 Interest-bearing deposits in other banks 857 859 Securities available-for-sale 73,242 76,352 Securities held-to-maturity (estimated fair value: 2004 - $13,450 , 2003 - $13,547) 12,592 12,835 Total loans 584,539 573,704 Less: Allowance for loan losses (8,040) (7,593) Net loans 576,499 566,111 Premises and equipment, net 9,095 9,142 Accrued income receivable 3,046 2,700 Goodwill 1,267 1,267 Bank owned life insurance 13,358 13,222 Other assets 7,635 7,086 Total assets $713,191 $707,327 LIABILITIES Noninterest-bearing deposits $64,325 $62,235 Interest-bearing deposits 465,761 445,274 Total deposits 530,086 507,509 Securities sold under agreements to repurchase 24,085 24,018 Other borrowed funds 83,595 101,562 Subordinated debentures 13,500 13,500 Accrued liabilities 7,449 6,330 Total liabilities 658,715 652,919 SHAREHOLDERS' EQUITY Common stock ($1.00 stated value, 10,000,000 shares authorized; 2004 - 3,667,356 shares issued, 2003 - 3,658,212 shares issued) 3,667 3,658 Additional paid-in capital 31,216 30,962 Retained Earnings 24,279 23,343 Accumulated other comprehensive income 696 624 Treasury stock, at cost (2004 - 200,095 shares, 2003 - 159,611 shares) (5,382) (4,179) Total shareholders' equity 54,476 54,408 Total liabilities and shareholders' equity $713,191 $707,327 -----END PRIVACY-ENHANCED MESSAGE-----