EX-99.1 3 e17598ex99_1.txt PRESS RELEASE Exhibit 99.1 Astoria Financial Corporation Announces First Quarter EPS of $0.71 Quarterly Cash Dividend of $0.25 Per Common Share Declared LAKE SUCCESS, N.Y., April 22 /PRNewswire-FirstCall/ -- Astoria Financial Corporation (NYSE: AF) ("Astoria"), the holding company for Astoria Federal Savings and Loan Association ("Astoria Federal"), today reported net income of $53.4 million, or $0.71 diluted earnings per common share, for the quarter ended March 31, 2004, compared to net income of $56.4 million, or $0.69 diluted earnings per common share, for the 2003 first quarter. For the 2004 first quarter, returns on average equity, average tangible equity and average assets were 15.05%, 17.31% and 0.95%, respectively, compared to 14.58%, 16.56% and 1.01%, respectively, for the comparable 2003 period. First Quarter 2004 Highlights: * Diluted EPS: $0.71, increased $0.08, or 13%, from linked quarter * Net interest margin: 2.14%, increased 40 basis points, or 23%, from linked quarter * Return on average assets: 0.95 %, up 13% from linked quarter * Return on average equity: 15.05 %, up 11% from linked quarter * Return on average tangible equity: 17.31%, up 11% from linked quarter * Total deposits increased $322.1 million, or 12% annualized * Multifamily/Commercial Real Estate ("CRE") loan portfolios increased $99.1 million, or 13% annualized, and represent 25% of total loans * Non-performing assets to total assets declined to 0.12% * Repurchased 1.0 million common shares Commenting on the first quarter results, George L. Engelke, Jr., Chairman, President and Chief Executive Officer of Astoria, noted, "The expansion of the net interest margin year over year, and, in particular, the forty basis point improvement from the previous quarter, reflects reduced premium amortization expense and significantly lower borrowing costs during the quarter." Board Declares Quarterly Cash Dividend of $0.25 Per Share The Board of Directors of the Company, at their April 21, 2004 meeting, declared a quarterly cash dividend of $0.25 per common share. The dividend is payable on June 1, 2004 to shareholders of record as of May 17, 2004. This is the thirty-sixth consecutive quarterly cash dividend declared by the Company. Ninth Stock Repurchase Program Continues During the first quarter, Astoria repurchased 1.0 million shares of its common stock at an average cost of $39.03 per share. To date, under the ninth program that commenced November 2002, Astoria has repurchased 8.5 million shares of the 10 million shares authorized. First Quarter 2004 Earnings Summary - Net Interest Margin Improvement Net interest income for the quarter ended March 31, 2004 totaled $114.5 million, an increase of 21% from $94.6 million in the 2003 fourth quarter and 5% from $109.0 million a year ago. Astoria's net interest margin for the quarter ended March 31, 2004 increased forty basis points, on a linked quarter basis, to 2.14%, and five basis points from a year ago. The increases in the net interest margin were due to a decline in the cost of liabilities as higher cost borrowings were repriced at lower rates and a decline in premium amortization due to reduced refinance activity. With mortgage refinancing activity dramatically subsiding and lower MBS repayments in the 2004 first quarter, the net premium amortization on mortgage loans and MBS declined 67% to $8.3 million for the 2004 first quarter from $25.0 million for the year ago first quarter. Importantly, MBS net premium amortization declined 79% from the year ago first quarter to just $2.9 million in the 2004 first quarter. Linked quarter declines were also significant; for details on net premium amortization expense, please see the following chart: MBS and Mortgage Loan Net Premium Amortization Trends Year Over Year Linked Quarter (Dollars in millions) 1Q03 4Q03 1Q04 $Change %Change $Change %Change MBS $13.7 $12.7 $2.9 $ (10.8) (79%) $(9.8) (77%) Mortgage Loans $11.3 $6.7 $5.4 $(5.9) (52%) $(1.3) (19%) Total $25.0 $19.4 $8.3 $(16.7) (67%) $(11.1) (57%) The decline in the cost of liabilities was due primarily to the 2004 first quarter maturity of $2.8 billion of medium-term borrowings, with a weighted average rate of 4.97%, of which $2.4 billion were extended for a weighted average term of 3.3 years with a weighted average rate of 2.71%, $245 million were repaid and the remainder were refinanced with short-term borrowings. Over the past fifteen months $4.5 billion of medium-term borrowings, with a weighted average rate of 5.37%, matured and $4.1 billion of those borrowings were extended for a weighted average term of 3.2 years with a weighted average rate of 2.64%, providing protection against future interest rate increases. Also impacting the margin, multifamily and CRE prepayment penalty income declined 46% on a linked quarter basis to $2.5 million due to reduced refinance activity. The table below highlights the trend in multifamily/CRE prepayment penalty income over the past nine quarters: Multifamily and CRE Loan Prepayment Penalty Income (Dollars in millions) 1Q02 2Q02 3Q02 4Q02 1Q03 2Q03 3Q03 4Q03 1Q04 $0.9 $0.9 $1.4 $1.7 $2.1 $3.5 $5.8 $4.6 $2.5 Non-interest income for the quarter ended March 31, 2004 totaled $22.1 million compared to $25.9 million for the comparable 2003 quarter. The decrease is primarily due to a $1.5 million decrease in mortgage banking income, net, as described below, and a $1.1 million decrease in customer service fees, from $14.8 million for the 2003 first quarter to $13.7 million for the 2004 first quarter, primarily due to a decrease in debit card interchange fees caused by a reduction in the fee structure on signature-based debit card transactions. The components of mortgage banking income, net, which is included in non-interest income, are detailed below: (Dollars in millions) 1Q04 1Q03 Loan servicing fees $1.5 $2.3 Amortization of MSR* (2.0) (3.8) MSR* valuation adjustments (1.3) (0.9) Net gain on sale of loans 0.7 2.8 Mortgage banking income, net $(1.1) $0.4 *Mortgage servicing rights ("MSR") Net gain on sales of securities totaled $2.4 million for the 2004 first quarter compared to $2.1 million for the year ago first quarter. The gains were recognized during the quarter to offset anticipated mortgage servicing valuation adjustments calculated at quarter end totaling $1.3 million and $0.9 million, respectively. General and administrative expense ("G&A") for the quarter ended March 31, 2004 totaled $57.0 million compared to $52.0 million for the comparable 2003 period. The increase is primarily due to increased compensation and benefit expense and occupancy, equipment and systems expense, due to, among other things, facilities and systems enhancements over the past year. Balance Sheet Summary Key balance sheet highlights, including the cumulative effect of the Company's balance sheet repositioning since December 31, 1999, follow: (Dollars in millions) 12/31/99 12/31/00 12/31/01 12/31/02 Assets $22,700 $22,341 $22,672 $21,702 Loans $10,286 $11,422 $12,167 $12,059 MBS $9,287 $7,875 $7,074 $7,380 Deposits $9,555 $10,072 $10,904 $11,067 Core Deposits (1) $4,625 $4,922 $5,743 $5,914 Checking $878 $1,005 $1,200 $1,383 Borrowings $11,528 $10,324 $9,826 $8,825 Change (Dollars in millions) 12/31/03 3/31/04 12/31/99 - 3/31/04 Assets $22,462 $22,651 -- Loans $12,687 $12,737 + 24% MBS $8,244 $8,169 - 12% Deposits $11,187 $11,509 + 20% Core Deposits (1) $5,685 $5,628 + 22% Checking $1,493 $1,505 + 71% Borrowings $9,632 $9,395 - 19% (1) Excludes time deposits Mortgage loan originations and purchases for the quarter ended March 31, 2004 totaled $867.3 million compared to $1.5 billion for the 2003 first quarter. Included in the first quarter 2004 mortgage loan production were one-to-four family loans totaling $617.3 million, predominantly 3/1 and 5/1 adjustable rate loans. The decrease in loan production was due to reduced mortgage loan refinance activity in the 2004 first quarter. Mortgage loan prepayments for the quarter ended March 31, 2004 totaled $648.2 million compared to $1.3 billion for the 2003 first quarter. For the quarter ended March 31, 2004, multifamily and CRE loan originations increased to $240.0 million compared to $235.3 million a year ago. The multifamily and CRE loan portfolios grew during the first quarter at an annualized rate of 13% to $3.2 billion, or 25% of total loans at March 31, 2004. The average loan-to-value ratio of the multifamily and CRE loan portfolio continues to be less than 65%, based on current principal balance and original appraised value, and the average loan balance is less than $1 million. Commenting on the multifamily and CRE loan volume, Mr. Engelke noted, "During the first quarter, we witnessed irrational pricing of multifamily loan products by several local competitors which resulted in lower than anticipated loan production. We will continue to remain focused on producing quality multifamily and CRE loans but will maintain our rational pricing discipline." The Company's strong multifamily and CRE lending capabilities are reflected in the growth of these portfolios since 1999: (Dollars in millions) 12/31/99 12/31/00 12/31/01 12/31/02 Multifamily/CRE Loans $1,014 $1,282 $1,693 $2,345 % of Total Loans 10% 11% 14% 20% Change (Dollars in millions) 12/31/03 3/31/04 12/31/99 - 3/31/04 Multifamily/CRE Loans $3,111 $3,210 +217% % of Total Loans 25% 25% +150% At March 31, 2004, non-performing loans declined to $24.6 million, or 0.11%, of total assets from from $39.0 million, or 0.17% of total assets a year ago, and from $29.7 million, or 0.13% of total assets, at December 31, 2003. Net charge-offs for the 2004 first quarter totaled just $155,000, or an annualized rate of less than one basis point of the average total loans outstanding. The ratio of the allowance for loan losses to non-performing loans at March 31, 2004 increased to 337%. Mortgage-backed securities ("MBS") totaled $8.2 billion at March 31, 2004, a decrease of $648.1 million from the year ago quarter end. Of the total, $2.5 billion, equal to 11% of assets, were categorized as available-for-sale. A detailed profile of the premium/discount associated with our fixed rate CMO/REMIC MBS portfolio at March 31, 2004 follows: Unamortized Premium/ Collateral Weighted (Dollars in millions) Book Value (Discount) MBS Coupon Coupon Avg Life Premium CMO/ REMIC MBS $2,274 $ 22.7 5.01% 6.06% 2.0 yrs Discount/Par CMO/ REMIC MBS $5,725 $(18.0) 4.14% 5.85% 2.8 yrs Total $7,999 $4.7 4.39% 5.91% 2.5 yrs Deposits for the quarter ended March 31, 2004 increased $322.1 million, or 12% on an annualized basis, to $11.5 billion from $11.2 billion at December 31, 2003. The increase in deposits was primarily due to an increase of $378.8 million in CD accounts to $5.9 billion from $5.5 billion at December 31, 2003. This increase reflects the success of a marketing campaign in the first quarter focused on attracting long-term deposits to enable us to reduce borrowings. Specifically, $1.2 billion of CDs, with an average rate of 2.33% and an average original maturity of 14 months matured and $1.5 billion of CDs were issued or repriced at an average rate of 2.51% and an average maturity of 22 months. "We expect to continue our strategy of lengthening the maturity of our CD deposits in the current interest rate environment," Mr. Engelke noted. Checking account balances totaled $1.5 billion, or 27% of core deposits at March 31, 2004. Additionally, our small business banking initiatives continue to result in solid growth in our business deposits which, at March 31, 2004, totaled $253.2 million, up 27% on an annualized basis. Borrowings declined $237.2 million from the previous quarter and totaled $9.4 billion at March 31, 2004. Stockholders' equity was $1.4 billion, or 6.36% of total assets at March 31, 2004. Astoria Federal continues to maintain capital ratios in excess of regulatory requirements with core, tangible and risk-based capital ratios of 7.19%, 7.19% and 14.98%, respectively, at March 31, 2004. Future Outlook Commenting on the outlook for 2004, Mr. Engelke stated, "We are well positioned to continue to project solid growth in earnings and related returns as a result of the actions taken in 2003 and the first quarter of 2004 to significantly reduce the cost of our liabilities and lengthen the terms of both borrowings and CDs. In addition, with significantly reduced refinance activity and a projected continuation of a relatively steep Treasury yield curve, even in a slightly higher interest rate environment we anticipate solid growth in both our loan portfolio and deposits." Astoria Financial Corporation, the holding company for Astoria Federal Savings and Loan Association with assets of $22.7 billion, is the third largest thrift institution headquartered in New York and sixth largest in the United States. Astoria Federal embraces its philosophy of Putting people first by providing its 700,000 customers and the local communities it serves with quality financial products and services through 86 convenient banking office locations and multiple delivery channels, including its enhanced website, www.astoriafederal.com. Astoria commands the third largest deposit market share in the attractive Long Island market, which includes Brooklyn, Queens, Nassau and Suffolk counties with a population exceeding that of 39 individual states. Astoria originates mortgage loans through its banking offices and loan production offices in New York, an extensive broker network in nineteen states, primarily the East Coast, and through correspondent relationships in forty-four states. Forward Looking Statements This document contains a number of forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements may be identified by the use of such words as "anticipate," "believe," "could," "estimate," "expect," "intend," "outlook," "plan," "potential," "predict," "project," "should," "will," "would" and similar terms and phrases, including references to assumptions. Forward-looking statements are based on various assumptions and analyses made by us in light of our management's experience and its perception of historical trends, current conditions and expected future developments, as well as other factors we believe are appropriate under the circumstances. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors (many of which are beyond our control) that could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. These factors include, without limitation, the following: the timing and occurrence or non-occurrence of events may be subject to circumstances beyond our control; there may be increases in competitive pressure among financial institutions or from non-financial institutions; changes in the interest rate environment may reduce interest margins; changes in deposit flows, loan demand or real estate values may adversely affect our business; changes in accounting principles, policies or guidelines may cause our financial condition to be perceived differently; general economic conditions, either nationally or locally in some or all of the areas in which we do business, or conditions in the securities markets or the banking industry may be less favorable than we currently anticipate; legislative or regulatory changes may adversely affect our business; applicable technological changes may be more difficult or expensive than we anticipate; success or consummation of new business initiatives may be more difficult or expensive than we anticipate; or litigation or matters before regulatory agencies, whether currently existing or commencing in the future, may delay the occurrence or non-occurrence of events longer than we anticipate. We assume no obligation to update any forward-looking statements to reflect events or circumstances after the date of this document. Earnings Conference Call April 23, 2004 at 9:30 a.m. (ET) The Company, as previously announced, indicated that Mr. Engelke will host an earnings conference call Friday morning, April 23 at 9:30 a.m. (ET). The toll-free dial-in number is (800) 967-7140. A replay will be available on April 23, 2004 from 1:00 p.m. (ET) through April 30, 2004, 11:59 p.m. (ET). The replay number is (888) 203-1112, passcode: 745977. The conference call will also be simultaneously webcast on the Company's website www.astoriafederal.com and archived for one year. ASTORIA FINANCIAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (In Thousands, Except Share Data) At At March 31, December 31, 2004 2003 ASSETS Cash and due from banks $126,028 $173,828 Federal funds sold and repurchase agreements 404,250 65,926 Mortgage-backed securities available-for-sale 2,507,378 2,498,315 Other securities available-for-sale 141,454 156,677 Mortgage-backed securities held-to-maturity (fair value of $5,739,944 and $5,761,666, respectively) 5,661,134 5,745,706 Other securities held-to-maturity (fair value of $44,159 and $47,451, respectively) 43,358 47,021 Federal Home Loan Bank of New York stock, at cost 168,700 213,450 Loans held-for-sale, net 31,142 23,023 Loans receivable: Mortgage loans, net 12,281,479 12,248,772 Consumer and other loans, net 455,467 438,215 12,736,946 12,686,987 Allowance for loan losses (82,966) (83,121) Total loans receivable, net 12,653,980 12,603,866 Mortgage servicing rights, net 15,327 17,952 Accrued interest receivable 78,344 77,956 Premises and equipment, net 158,844 160,089 Goodwill 185,151 185,151 Bank owned life insurance 370,510 370,310 Other assets 105,062 122,324 TOTAL ASSETS $22,650,662 $22,461,594 LIABILITIES AND STOCKHOLDERS' EQUITY Liabilities: Deposits $11,508,680 $11,186,594 Reverse repurchase agreements 7,085,000 7,235,000 Federal Home Loan Bank of New York advances 1,829,000 1,924,000 Other borrowings, net 480,797 473,037 Mortgage escrow funds 148,992 108,635 Accrued expenses and other liabilities 156,502 137,797 TOTAL LIABILITIES 21,208,971 21,065,063 Stockholders' equity: Preferred stock, $1.00 par value; 5,000,000 shares authorized: Series A (1,225,000 shares authorized and - 0 - shares issued and outstanding) - - Series B (2,000,000 shares authorized and - 0 - shares issued and outstanding) - - Common stock, $.01 par value; (200,000,000 shares authorized; 110,996,592 shares issued; and 78,231,048 and 78,670,254 shares outstanding, respectively) 1,110 1,110 Additional paid-in capital 804,822 798,583 Retained earnings 1,512,563 1,481,546 Treasury stock (32,765,544 and 32,326,338 shares, at cost, respectively) (837,169) (811,993) Accumulated other comprehensive loss (13,830) (46,489) Unallocated common stock held by ESOP (4,695,440 and 4,760,054 shares, respectively) (25,805) (26,226) TOTAL STOCKHOLDERS' EQUITY 1,441,691 1,396,531 TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $22,650,662 $22,461,594 ASTORIA FINANCIAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (In Thousands, Except Share Data) For the Three Months Ended March 31, 2004 2003 Interest income: Mortgage loans: One-to-four family $111,350 $126,929 Multi-family, commercial real estate and construction 53,631 46,216 Consumer and other loans 4,890 4,772 Mortgage-backed securities 86,873 94,048 Other securities 4,196 9,849 Federal funds sold and repurchase agreements 154 752 Total interest income 261,094 282,566 Interest expense: Deposits 54,230 58,241 Borrowed funds 92,351 115,317 Total interest expense 146,581 173,558 Net interest income 114,513 109,008 Provision for loan losses - - Net interest income after provision for loan losses 114,513 109,008 Non-interest income: Customer service fees 13,749 14,833 Other loan fees 1,262 1,826 Net gain on sales of securities 2,372 2,136 Mortgage banking income, net (1,118) 436 Income from bank owned life insurance 4,450 5,199 Other 1,424 1,465 Total non-interest income 22,139 25,895 Non-interest expense: General and administrative: Compensation and benefits 31,464 28,764 Occupancy, equipment and systems 16,717 14,615 Federal deposit insurance premiums 449 492 Advertising 1,709 1,498 Other 6,704 6,597 Total non-interest expense 57,043 51,966 Income before income tax expense 79,609 82,937 Income tax expense 26,196 26,540 Net income 53,413 56,397 Preferred dividends declared - (1,500) Net income available to common shareholders $53,413 $54,897 Basic earnings per common share $0.72 $0.69 Diluted earnings per common share $0.71 $0.69 Basic weighted average common shares 73,916,449 79,041,158 Diluted weighted average common and common equivalent shares 75,343,051 79,781,388 ASTORIA FINANCIAL CORPORATION AND SUBSIDIARIES SELECTED FINANCIAL RATIOS AND OTHER DATA At or For the Three Months Ended March 31, 2004 2003 Selected Returns and Financial Ratios (annualized) Return on average stockholders' equity 15.05 % 14.58 % Return on average tangible stockholders' equity (1) 17.31 16.56 Return on average assets 0.95 1.01 General and administrative expense to average assets 1.02 0.93 Efficiency ratio (2) 41.74 38.52 Net interest rate spread (3) 2.05 2.02 Net interest margin (4) 2.14 2.09 Asset Quality Data (dollars in thousands) Non-performing loans/total loans 0.19 % 0.33 % Non-performing loans/total assets 0.11 0.17 Non-performing assets/total assets 0.12 0.18 Allowance for loan losses/non- performing loans 337.27 213.73 Allowance for loan losses/non- accrual loans 342.79 218.64 Allowance for loan losses/total loans 0.65 0.70 Net charge-offs to average loans outstanding (annualized) 0.00 0.00 Non-performing assets $26,470 $39,980 Non-performing loans 24,599 39,047 Loans 90 days past maturity but still accruing interest 396 878 Non-accrual loans 24,203 38,169 Net charge-offs 155 92 Capital Ratios (Astoria Federal) Tangible 7.19 % 7.25 % Core 7.19 7.25 Risk-based 14.98 15.71 Other Data Cash dividends paid per common share $0.25 $0.20 Dividend payout ratio 35.21 % 28.99 % Stockholders' equity (in thousands) $1,441,691 $1,544,596 Common stockholders' equity (in thousands) 1,441,691 1,494,596 Book value per common share (5) 19.61 19.18 Tangible book value per common share (6) 17.09 16.80 Average equity/average assets 6.33 % 6.93 % Mortgage loans serviced for others (in thousands) $1,821,561 $2,479,592 Full time equivalent employees 1,951 1,975 (1) Average tangible stockholders' equity represents average stockholders' equity less average goodwill. (2) The efficiency ratio represents general and administrative expense divided by the sum of net interest income plus non-interest income. (3) Net interest rate spread represents the difference between the average yield on average interest-earning assets and the average cost of average interest-bearing liabilities. (4) Net interest margin represents net interest income divided by average interest-earning assets. (5) Book value per common share represents common stockholders' equity divided by outstanding common shares, excluding unallocated Employee Stock Ownership Plan, or ESOP, shares. (6) Tangible book value per common share represents common stockholders' equity less goodwill divided by outstanding common shares, excluding unallocated ESOP shares. ASTORIA FINANCIAL CORPORATION AND SUBSIDIARIES AVERAGE BALANCE SHEETS (Dollars in Thousands) For the Three Months Ended March 31, 2004 Average Average Yield/ Balance Interest Cost (Annualized) Assets: Interest-earning assets: Mortgage loans (1): One-to-four family $9,041,043 $111,350 4.93 % Multi-family, commercial real estate and construction 3,253,227 53,631 6.59 Consumer and other loans (1) 450,098 4,890 4.35 Total loans 12,744,368 169,871 5.33 Mortgage-backed securities (2) 8,158,911 86,873 4.26 Other securities (2) (3) 433,921 4,196 3.87 Federal funds sold and repurchase agreements 64,895 154 0.95 Total interest-earning assets 21,402,095 261,094 4.88 Goodwill 185,151 Other non-interest-earning assets 854,561 Total assets $22,441,807 Liabilities and stockholders' equity: Interest-bearing liabilities: Savings $2,960,199 2,945 0.40 Money market 1,188,176 1,608 0.54 NOW and demand deposit 1,466,733 221 0.06 Certificates of deposit 5,644,019 49,456 3.51 Total deposits 11,259,127 54,230 1.93 Borrowed funds 9,472,213 92,351 3.90 Total interest-bearing liabilities 20,731,340 146,581 2.83 Non-interest-bearing liabilities 290,865 Total liabilities 21,022,205 Stockholders' equity 1,419,602 Total liabilities and stockholders' equity $22,441,807 Net interest income/net interest rate spread $114,513 2.05 % Net interest-earning assets/net interest margin $670,755 2.14 % Ratio of interest-earning assets to interest-bearing liabilities 1.03x For the Three Months Ended March 31, 2003 Average Average Yield/ Balance Interest Cost (Annualized) Assets: Interest-earning assets: Mortgage loans (1): One-to-four family $9,073,408 $126,929 5.60 % Multi-family, commercial real estate and construction 2,438,692 46,216 7.58 Consumer and other loans (1) 390,502 4,772 4.89 Total loans 11,902,602 177,917 5.98 Mortgage-backed securities (2) 8,137,721 94,048 4.62 Other securities (2) (3) 613,094 9,849 6.43 Federal funds sold and repurchase agreements 254,406 752 1.18 Total interest-earning assets 20,907,823 282,566 5.41 Goodwill 185,151 Other non-interest-earning assets 1,227,555 Total assets $22,320,529 Liabilities and stockholders' equity: Interest-bearing liabilities: Savings $2,836,124 3,489 0.49 Money market 1,570,874 3,476 0.89 NOW and demand deposit 1,385,620 490 0.14 Certificates of deposit 5,331,200 50,786 3.81 Total deposits 11,123,818 58,241 2.09 Borrowed funds 9,363,466 115,317 4.93 Total interest-bearing liabilities 20,487,284 173,558 3.39 Non-interest-bearing liabilities 286,177 Total liabilities 20,773,461 Stockholders' equity 1,547,068 Total liabilities and stockholders' equity $22,320,529 Net interest income/net interest rate spread $109,008 2.02 % Net interest-earning assets/net interest margin $420,539 2.09 % Ratio of interest-earning assets to interest-bearing liabilities 1.02x (1) Mortgage and consumer and other loans include non-performing loans and exclude the allowance for loan losses. (2) Securities available-for-sale are reported at average amortized cost. (3) Other securities include Federal Home Loan Bank of New York stock. SOURCE Astoria Financial Corporation -0- 04/22/2004 /CONTACT: Peter J. Cunningham, First Vice President, Investor Relations, Astoria Financial Corporation, +1-516-327-7877, ir@astoriafederal.com / /Company News On-Call: http://www.prnewswire.com/comp/104529.html / /Web site: http://www.ir.astoriafederal.com http://www.astoriafederal.com / (AF) CO: Astoria Financial Corporation ST: New York IN: FIN SU: ERN CCA