EX-99.1 2 pvfcapital8kjan26-09ex99.txt [PVF CAPITAL CORP. LOGO APPEARS HERE] PRESS ANNOUNCEMENT Date: January 23, 2009 Contact: Edward B. Debevec (440) 248-7171 PVF Capital Corp. announces quarterly earnings. PVF Capital Corp., the parent company of Park View Federal Savings Bank, announced a loss of $2,722,000, or $0.35 basic earnings per share and diluted earnings per share for the quarter ended December 31, 2008 as compared to earnings of $732,000, or $0.09 basic earnings per share and diluted earnings per share for the prior year comparable period. For the six-month period ended December 31, 2008, the Company reported a loss of $3,623,000, or $0.47 basic earnings per share and diluted earnings per share, as compared to earnings of $1,343,000, or $0.17 basic earnings per share and diluted earnings per share, for the prior year period. Chairman John R. Male commented that, "Park View Federal continues to be well-capitalized in every respect. Deposit flows are strong as the Bank continues to attract new depositors. Notwithstanding the weak economy and the decline in home values, Park View remains committed to financing the needs of families right here in northeast Ohio and filling the roll of community banker that is so vitally needed in these challenging times." Looking ahead Mr. Male added that, "Our home lending activity is picking up dramatically and although we expect 2009 to present many challenges, we are optimistic about the opportunities that lie ahead." The decline in earnings for the current three- and six-month periods was primarily attributable to a decrease in net interest income that resulted from an increase in nonperforming loans and an increase in the provision for loan losses in order to reflect current economic conditions. In addition, non-interest income for the current three-month period was impacted positively by gains on the sale of securities and for the current six-month period negatively by the impairment of the FHLMC and FNMA preferred stock. Lastly, the increase in non-interest expense for the three- and six-month periods was primarily the result of increases in a one-time severance accrual and other employee costs; an increase in the cost of FDIC insurance due to higher assessment rates charged on deposits; and, real estate owned expenses attributable to the maintenance and disposition of properties acquired through foreclosure. As of December 31, 2008, PVF Capital Corp. reported assets of $903.1 million, an increase of $35.7 million, or 4.1%, from the prior fiscal year ended June 30, 2008. Total stockholders' equity of PVF Capital Corp. was $66.0 million at December 31, 2008. Visit our web site at www.pvfsb.com. This press release contains statements that are forward-looking, as that term is defined by the Private Securities Litigation 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 expectation regarding important risk factors including, but not limited to, real estate values and the impact of interest rates on financing. Accordingly, actual results may differ from those expressed in the forward-looking statements, and the making of such statements should not be regarded as a representation by the Company or any other person that results expressed therein will be achieved. PVF Capital Corp.'s common stock trades on the NASDAQ Capital Market under the symbol PVFC.
PVF CAPITAL CORP. 30000 Aurora Road Solon, OH 44139 440-248-7171 SUMMARY OF FINANCIAL HIGHLIGHTS CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) (Dollars in thousands) DECEMBER 31, JUNE 30, 2008 2008 ----------- ----------- ASSETS ------ Cash and cash equivalents $ 33,340 $ 17,804 Investment securities 10,049 9,470 Loans receivable 722,056 714,492 Loans receivable held for sale 4,283 7,831 Mortgage-backed securities 57,441 55,151 Other assets 75,892 62,654 -------- -------- Total Assets $903,061 $867,402 ======== ======== LIABILITIES ----------- Deposits $696,450 $659,386 Borrowed money 106,375 114,950 Other liabilities 34,282 23,991 -------- -------- Total Liabilities 837,107 798,327 -------- -------- Total Stockholders' Equity 65,954 69,075 -------- -------- Total Liabilities and Stockholders' Equity $903,061 $867,402 ======== ======== CONSOLIDATED STATEMENT OF OPERATIONS (UNAUDITED) THREE MONTHS ENDED SIX MONTHS ENDED (Dollars in thousands except per share data) DECEMBER 31, DECEMBER 31, --------------------- ------------------------ 2008 2007 2008 2007 Loans $10,928 $13,184 $22,341 $27,112 Mortgage-backed securities 687 314 1,388 632 Investments 348 969 725 2,015 ------- ------- ------- ------- Interest income 11,963 14,467 24,454 29,759 Deposits 6,250 7,411 12,192 14,727 Borrowings 1,260 1,790 2,505 3,909 ------- ------- ------- ------- Interest expense 7,510 9,201 14,697 18,636 Net interest income 4,453 5,266 9,757 11,123 Provision for loan losses 3,641 82 4,332 675 ------- ------- ------- ------- Net interest income after provision for loan losses 812 5,184 5,425 10,448 Mortgage-banking activities 420 326 878 726 Impairment of securities (102) 0 (1,841) 0 Gain on sale of securities 666 0 666 0 Other, net 196 508 435 906 ------- ------- ------- ------- Total noninterest income 1,180 834 138 1,632 Compensation and benefits 3,016 2,630 5,574 5,594 Office occupancy and equipment 699 813 1,406 1,615 Federal deposit insurance premium 191 19 332 39 Real estate owned expense 538 152 727 352 Other 1,571 1,411 2,912 2,711 ------- ------- ------- ------- Total noninterest expense 6,015 5,025 10,951 10,311 ------- ------- ------- ------- Income before federal income tax provision (4,023) 993 (5,388) 1,769 Federal income tax provision (1,301) 261 (1,765) 426 ------- ------- ------- ------- Net income ($2,722) $ 732 ($3,623) $ 1,343 ======= ======= ======= ======== BASIC EARNINGS PER SHARE ($0.35) $ 0.09 ($0.47) $ 0.17 ======= ======= ======= ======== DILUTED EARNINGS PER SHARE ($0.35) $ 0.09 ($0.47) $ 0.17 ======= ======= ======= ========