EX-99 3 ex99-1.txt EXHIBIT 99.1 Exhibit 99.1 FOR IMMEDIATE RELEASE JULY 17, 2003 ROYAL BANK OF PENNSYLVANIA'S PARENT COMPANY DECLARES ITS 33RD CONSECUTIVE QUARTERLY CASH DIVIDEND AND REPORTS 2ND QUARTER EARNINGS (Narberth, PA) - July 16, 2003 - Royal Bank of Pennsylvania, Inc. reports that consolidated earnings for its holding company, Royal Bancshares of Pennsylvania, Inc., (NASDAQ-RBPAA) for the quarter ended June 30, 2003, were $4.0 million as compared to $3.9 million for the same three month period ended June 30, 2002, a 2% increase. Consolidated basic earnings per share for the three-months ended June 30, 2003 and 2002, were $0.34 and $0.33. Consolidated total assets increased 10% to $1.2 billion at June 30, 2003, as compared to $1.1 billion at December 31, 2002. Investment securities increased to $494 million at June 30, 2003, as compared to $449 million at December 31, 2002, an increase of 10%. Total deposits at June 30, 2003 increased 2% to $839 million, as compared to $821 million at December 31, 2002. Total consolidated capital rose to $131 million for the period ending June 30, 2003, as compared to $121 million for the same period ended December 31, 2002, an 8% increase. On July 16, 2003 the Board of Directors of Royal Bancshares of Pennsylvania, Inc. declared its 33rd consecutive quarterly cash dividend. This dividend will be twenty-three and seventy-five hundredths cents ($.2375) per share for holders of Class A common stock and twenty-seven and thirty-one hundredths cents ($.2731) per share for holders of Class B common stock of Royal Bancshares of Pennsylvania, Inc. The record date is August 1, 2003, and the payment date is August 15, 2003. Royal Bancshares Chairman Daniel M. Tabas said, "Considering the sluggish economy and interest rates being at record low levels, I am pleased with the operating results of Royal Bancshares." Royal Bank of Pennsylvania, headquartered in Narberth, Pennsylvania, operates 16 full-service branch offices throughout southeastern Pennsylvania and southern New Jersey, including a new state-of-the-art branch in Turnersville, New Jersey (operating under the name "Royal Bank of America"). The bank offers a wide variety of products and services, including commercial real estate loans, business loans, residential mortgages and Internet Banking available at www.royalbankpa.com. The foregoing material may contain forward-looking statements. We caution that such statements may be subject to a number of uncertainties, and actual results could differ materially; therefore, readers should not place undue reliance on any forward-looking statements. Royal Bancshares does not undertake, and specifically disclaims, any obligation to publicly release the results of any revisions that may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements. Daniel M. Tabas, Chairman Joseph P. Campbell, President and CEO Royal Bancshares of Pennsylvania, Inc Parent of Royal Bank of Pennsylvania 610-668-4700 www.royalbankpa.com ROYAL BANCSHARES OF PENNSYLVANIA CONDENSED INCOME STATEMENT (Unaudited)
Three Months Six Months Ended June 30, Ended June 30, (in thousands, except for earnings per share) 2003 2002 2003 2002 ---- ---- ---- ---- Interest Income $17,753 $18,833 $36,185 $37,976 Interest Expense 7,630 9,228 15,658 18,445 ------- ------- ------- ------- Net Interest Income 10,123 9,605 20,527 19,531 Provision for Loan Losses 167 50 317 250 ------- ------- ------- ------- Net Interest Income after Provision 9,956 9,555 20,210 19,281 Non Interest Income 605 534 1,229 1,201 Non Interest Expense 4,682 4,661 9,226 9,078 ------- ------- ------- ------- Income before Taxes 5,879 5,428 12,213 11,404 Income Taxes 1,899 1,531 3,833 3,292 ------- ------- ------- ------- Net Income 3,980 3,897 8,380 8,112 Earnings per share -basic .34 .33 .71 .69 SELECTED RATIOS: Return on Average Assets 1.4% 1.5% 1.5% 1.6% Return on Average Equity 12.5% 13.8% 13.4% 14.7% Average Equity to Assets 11.0% 11.1% 11.0% 11.2% Book Value Per Share $11.02 $9.61
CONDENSED BALANCE SHEET
(in thousands) June 30, 2003 December 31, 2002 (unaudited) Cash and Cash Equivalents $133,987 $40,571 Investment Securities 494,002 448,930 Loans Held for Sale 8,358 8,119 Loans (net) 526,598 556,145 Bank Premises (net) 7,844 8,002 Accrued Interest receivable 15,003 13,778 Other Assets 10,037 12,939 ---------- ---------- Total Assets $1,195,829 $1,088,484 ---------- ---------- Deposits $839,197 $820,840 Borrowings 207,500 127,500 Other Liabilities 17,428 20,821 Minority Interest 730 726 Shareholder's Equity 130,974 121,330 ---------- ---------- Total Liabilities and Shareholders Equity $1,195,829 $1,088,484 ---------- ----------