BLOOMINGTON, Ind., April 28, 2009 (GLOBE NEWSWIRE) -- Monroe Bancorp (the "Company") (Nasdaq:MROE), the independent Bloomington-based holding company for Monroe Bank (the "Bank"), reported net income of $1,107,000, or $0.178 per basic and diluted common share, for the quarter ended March 31, 2009. Net income for the quarter was 30.5 percent less than the $1,593,000 reported for the same period of 2008 and earnings per diluted share for the quarter was 30.5 percent less than the $0.256 reported a year earlier. The results for the first quarter of 2009 increased compared to the fourth quarter of 2008 net loss of ($209,000) or ($0.034) per diluted share.
The decline in net income between the first quarter of 2008 and the first quarter of 2009 resulted primarily from an increase in the provision for loan losses. Due to factors discussed in the Asset Quality section of this release, the provision for loan losses increased $1,720,000 or 195.5 percent to $2,600,000 for the first quarter of 2009 compared to $880,000 for the same period of 2008. The provision for loan losses decreased $1,550,000 or 37.3 percent compared to $4,150,000 for the fourth quarter of 2008.
"Economic conditions continue to put pressure on credit quality. Resolving problem assets is our highest priority," said Mark D. Bradford, President and Chief Executive Officer of Monroe Bancorp and Monroe Bank.
Return on average equity was 8.00 percent for the first quarter of 2009 compared to 11.62 percent for the first quarter of 2008 and (1.49) percent for the fourth quarter of 2008. Return on average assets was 0.54 percent for the first quarter, compared to 0.82 percent for the first quarter of 2008 and (0.10) percent for the fourth quarter of 2008.
Financial Performance
Net interest income before the provision for loan losses increased 1.1 percent to $5,942,000 for the three months ended March 31, 2009 compared to $5,876,000 for the same period in 2008. The tax-equivalent net interest margin for the quarter ended March 31, 2009 was 3.20 percent, compared to 3.23 percent for the quarter ended December 31, 2008 and 3.36 percent for first quarter of 2008. See the table titled "Reconciliation of GAAP Net Interest Margin to Non-GAAP Net Interest Margin on a Tax-Equivalent Basis" for a reconciliation of GAAP net interest margin to Non-GAAP net interest margin on a tax equivalent basis.
Noninterest income totaled $3,278,000 for the first quarter of 2009 compared to $2,364,000 for the same period of 2008. Excluding the effect of the Company's deferred compensation plan, noninterest income totaled $3,410,000 for the first quarter of 2009 compared to $2,556,000 for the same period of 2008. The 33.4 percent or $854,000 increase in noninterest income (excluding the effect of the Company's deferred compensation plan) is largely the result of a $1,028,000 gain on the sale of trading and available for sale investment securities compared to $140,000 in 2008. See the table titled "Reconciliation of GAAP Noninterest Income & Expense to Noninterest Income & Expense Without the Financial Impact of the Deferred Compensation Plan" for a reconciliation of GAAP noninterest income and expense to noninterest income and expense without the financial impact of the deferred compensation plan.
The Company recognized gains on the sale of loans of $290,000 for the first quarter of 2009 due to strong residential mortgage loan refinancing activity. The $290,000 realized from the sale of loans represents a 46.5 percent increase over the $198,000 that was recognized in the first quarter of 2008.
Noninterest expense totaled $5,239,000 for the first quarter of 2009 compared to $5,391,000 for the same period of 2008. Noninterest expense, excluding the effect of the Company's deferred compensation plan, was $5,353,000 for the first quarter of 2009, compared to $5,551,000 for the same period of 2008. The 3.6 percent decline in noninterest expense from the same period of 2008 reflects Management's efforts to reduce operating expense. Total compensation expense (total of salaries, incentive compensation and benefits) declined by $299,000 or 9.2 percent. Management's efforts to reduce total operating expense were hampered by increased FDIC expense which totaled $283,000 in the first quarter of 2009 compared to $48,000 for the same period of 2008, an increase of $235,000. Excluding the effect of the Company's deferred compensation plan and the increase in FDIC expense, noninterest expense decreased 7.9 percent in the first quarter of 2009 compared to the same period of 2008.
Asset Quality
Nonperforming assets and 90-day past due loans totaled $17,289,000 or 2.10 percent of total assets at March 31, 2009 compared to $18,780,000 (2.29 percent of total assets) at December 31, 2008 and $8,355,000 (1.08 percent of total assets) at March 31, 2008.
Net charge-offs for the first quarter of 2009 totaled $1,436,000 or 0.91 percent of total loans compared to $2,375,000 (1.50 percent of total loans) for the fourth quarter of 2008 and $261,000 (0.18 percent of total loans) for the first quarter of 2008.
The reserve for loan losses increased to $12,336,000 or 1.96 percent of total loans at March 31, 2009 compared to $11,172,000 or 1.76 percent of total loans at December 31, 2008 and $7,273,000 or 1.25 percent of total loans at March 31, 2008.
The Bank employs an internal system called the "Watch List" to bring attention to credits with varying degrees of concern over the prospects of complete repayment, including both principal and all interest. These concerns may be objectively based on the borrower's financial and payment performance or on subjective concerns that Bank management has with the markets and conditions that the borrower operates within. Loans on this list include:
-- Loans with well defined weaknesses where the prospects of complete repayment of principal and interest is remote and loans placed on non-accrual where specific reserves and charge-offs are applied as needed, and
-- Loans with potential weaknesses (whether borrower specific or due to market/economic considerations) that need to be resolved in order to avoid jeopardizing the complete repayment of principal and interest and the loan is subjected to additional scrutiny and assessment and internal documentation.
Loans on the Watch List tend to be more dependent on collateral if the borrower's repayment capacity is diminished and the bank devotes additional attention to revaluing the collateral as appropriate in assessing the probability of loss.
Over the periods noted below, the watch list consisted of the following:
3/31/2009 12/31/2008 3/31/2008
---------------------------------------------------------------------
Total Watch List ($) 79,073,000 59,172,000 25,528,000
---------------------------------------------------------------------
Number of Watch List
Customers 67 52 52
---------------------------------------------------------------------
Total Watch List $>30 Days
Past Due 22,370,000 14,751,000 10,874,000
---------------------------------------------------------------------
Total Watch List $ Secured
By Real Estate 72,006,000 55,507,000 22,338,000
---------------------------------------------------------------------
Total Watch List $ Secured
by Non R/E 6,878,000 3,268,000 2,891,000
---------------------------------------------------------------------
Total Watch List $
Unsecured 190,000 397,000 299,000
---------------------------------------------------------------------
As of March 31, 2009, 71.7 percent of the watch list exposure was less than thirty days past due, compared to 75.1 percent as of December 31, 2008 and 57.4 percent as of March 31, 2008. As of March 31, 2009, loans totaling $72,006,000 or 91.1 percent of the total watch list loans were secured by real estate with $52,501,000 or 72.9 percent less than thirty days past due and $13,278,000 (18.4 percent) on non-accrual.
The charts that follow provide details of watch list loans that are secured by real estate.
-------------------------------------------------------
Total Bank % on Total $
Owned Watch Watch Non- >30 Days
Balance List List Accrual Late
---------------------------------------------------------------------
Total Loans 630,842,000 79,073,000 12.5% 13,696,000 25,103,000
---------------------------------------------------------------------
Secured By
Real Estate
---------------------------------------------------------------------
1-4 Family
Owner
Occupied &
Rentals 137,205,000 5,351,000 3.9% 1,717,000 3,483,000
---------------------------------------------------------------------
CRE Owner
Occupied
and Presold
Residential
Construction 99,677,000 10,035,000 10.1% 686,000 686,000
---------------------------------------------------------------------
Development
CRE Loans
and
Commercial
Construction 76,376,000 35,512,000 46.5% 5,594,000 5,690,000
---------------------------------------------------------------------
Existing CRE
Loans and
Spec
Residential
Construc-
tion 211,382,000 21,108,000 10.0% 5,281,000 11,998,000
=====================================================================
Sub-total
Secured
by Real
Estate: 524,640,000 72,006,000 13.7% 13,278,000 21,857,000
---------------------------------------------------------------------
Other Secured
Loans
---------------------------------------------------------------------
Business
Assets 69,143,000 6,316,000 9.1% 373,000 2,571,000
---------------------------------------------------------------------
Consumer
Products 5,919,000 10,000 0.2% 7,000 77,000
---------------------------------------------------------------------
Financial
Assets 12,668,000 552,000 4.4% 8,000 535,000
=====================================================================
Sub-total
Secured
by Other
Secured
Loans: 87,730,000 6,878,000 7.8% 388,000 3,183,000
---------------------------------------------------------------------
Unsecured
Loans
---------------------------------------------------------------------
Unsecured
Loans 16,257,000 190,000 1.2% 30,000 64,000
---------------------------------------------------------------------
As shown in the chart above, the watch list and non-accrual loans are heavily concentrated in loans secured by real estate. The following charts provide additional insights into five real estate loan types that have particularly high occurrence rates of watch list loans.
Total Loans
Secured by
Real Estate
-------------------------------------------------------
Total Bank % on Total $
Owned Watch Watch Non- >30 Days
Balance List List Accrual Late
-------------------------------------------------------
RE-Construc-
tion - Spec
Home 1-4
Family Non
Owner
Occupied 15,466,000 8,892,000 57.5% 4,315,000 4,548,000
---------------------------------------------------------------------
RE-Land
Development
- Residential 35,298,000 28,132,000 79.7% 3,990,000 3,990,000
---------------------------------------------------------------------
RE-Residential
1-4 1st Non-
Owner
Occupied 35,649,000 4,319,000 12.1% 1,657,000 894,000
---------------------------------------------------------------------
RE-Residential
1-4 Jr Non-
Owner
Occupied 454,000 147,000 32.4% 60,000 128,000
---------------------------------------------------------------------
RE-Residential
Mobile Home
Parks 1st
Lien 199,000 199,000 100.0% -- --
=====================================================================
Sub Total
of These
Categories: 87,066,000 41,689,000 47.9% 10,022,000 9,560,000
---------------------------------------------------------------------
All Other
Secured by
Real Estate
Loans 437,574,000 30,317,000 6.9% 3,256,000 12,297,000
=====================================================================
Total: 524,640,000 72,006,000 13.7% 13,278,000 21,857,000
---------------------------------------------------------------------
Originated
out of
Bloomington
Offices
-------------------------------------------------------
Bank % on Total $
Owned Watch Watch Non- >30 Days
Balance List List Accrual Late
---------------------------------------------------------------------
RE-Construc-
tion- Spec
Home 1-4
Family Non-
Owner
Occupied 7,942,000 1,368,000 17.2% 139,000 372,000
---------------------------------------------------------------------
RE-Land
Development
- Residential 5,410,000 188,000 3.5% 16,000 16,000
---------------------------------------------------------------------
RE-Residential
1-4 1st Non-
Owner
Occupied 20,783,000 1,085,000 5.2% 154,000 310,000
---------------------------------------------------------------------
RE-Residential
1-4 Jr Non-
Owner
Occupied 266,000 79,000 29.7% 60,000 60,000
---------------------------------------------------------------------
RE-Residential
Mobile Home
Parks 1st
Lien 199,000 199,000 100.0% -- --
=====================================================================
Total: 34,600,000 2,919,000 8.4% 369,000 758,000
---------------------------------------------------------------------
Originated
out of
Indianapolis
Offices
-------------------------------------------------------
Total Bank % on Total $
Owned Watch Watch Non- >30 Days
Balance List List Accrual Late
---------------------------------------------------------------------
RE-Construc-
tion- Spec
Home 1-4
Family Non-
Owner
Occupied 7,524,000 7,524,000 100.0% 4,176,000 4,176,000
---------------------------------------------------------------------
RE-Land
Development
- Residential 29,887,000 27,944,000 93.5% 3,974,000 3,974,000
---------------------------------------------------------------------
RE-Residential
1-4 1st
Non-Owner
Occupied 10,358,000 3,234,000 31.2% 1,503,000 122,000
---------------------------------------------------------------------
RE-Residential
1-4 Jr Non-
Owner
Occupied 87,000 68,000 78.2% -- 68,000
=====================================================================
Total: 47,856,000 38,770,000 81.0% 9,653,000 8,340,000
---------------------------------------------------------------------
Originated
out of Other
Offices
-------------------------------------------------------
Bank % on Total $
Owned Watch Watch Non- >30 Days
Balance List List Accrual Late
---------------------------------------------------------------------
RE-Residential
1-4 1st Non-
Owner
Occupied 4,509,000 -- 0.0% -- 462,000
---------------------------------------------------------------------
RE-Residential
1-4 Jr Non-
Owner
Occupied 101,000 -- 0.0% -- --
=====================================================================
Total: 4,610,000 -- 0.0% -- 462,000
---------------------------------------------------------------------
The previous chart titled "Total Loans Secured by Real Estate" includes a large "All Other Secured by Real Estate Loans" category. The chart that follows provides a breakdown of the top five categories (out of 48 collateral type categories) and provides additional insights into the Bank's watch list and non-accruing loans.
Five Largest
Categories
in "All Other"
R/E Secured
-------------------------------------------------------
Total Bank % on Total $
Owned Watch Watch Non- >30 Days
Balance List List Accrual Late
---------------------------------------------------------------------
All Other
Secured by
Real Estate
Loans 437,375,000 30,317,000 6.9% 3,256,000 12,297,000
---------------------------------------------------------------------
RE-Multi
Family 1st
Mortgages 91,203,000 5,224,000 5.7% -- --
---------------------------------------------------------------------
RE-Res 1-4
1st Owner
Occupied 60,827,000 594,000 1.0% -- 2,039,000
---------------------------------------------------------------------
RE-Office
1st Non-
Owner
Occupied 33,887,000 7,686,000 22.7% 701,000 5,165,000
---------------------------------------------------------------------
RE-Retail
Strip 1st
Mortgages 29,444,000 2,528,000 8.6% 265,000 265,000
---------------------------------------------------------------------
RE-Office -
1st Owner
Occupied 29,183,000 1,323,000 4.5% 494,000 494,000
=====================================================================
Total: 244,544,000 17,355,000 42.5% 1,460,000 7,963,000
---------------------------------------------------------------------
"We have taken an aggressive approach to moving loans onto our watch list. While we are disappointed by the size of the list, we take some comfort from the fact that the vast majority of the loans are secured by real estate which should mitigate losses as we work to resolve these credits," said Mr. Bradford.
Financial Condition
Total assets grew 6.0 percent from March 31, 2008, reaching $823,702,000 on March 31, 2009. Loans, including loans held for sale, totaled $630,842,000 on March 31, 2009, an 8.4 percent increase from total loans on March 31, 2008, which were $581,956,000. Deposits increased 6.2 percent to $676,557,000 at March 31, 2009 compared to $637,230,000 a year earlier.
Other News
March saw the release of a new and improved online banking bill pay module which offers our customers several enhancements. These include electronic bill presentment, a number of bill payment enhancements, and expanded customer notification functionality.
The Company announced on April 27, 2009 several actions related to efforts to increase capital. The first action was to withdraw the Company's application to participate in the U. S. Treasury's Trouble Asset Relief Program (TARP). As the program evolved over the months since it was announced it became increasingly clear that participation in the program was not in the best interest of the Company or its shareholders. In place of the TARP, the Company announced it would raise capital by reducing its quarterly dividend from $0.13 per share to $0.01 per share and by issuing $10 million of subordinated debentures. These actions will help ensure that the Bank continues to be well-capitalized during the current economic downturn and allowing the Company to be in a stronger position for growth when the economy improves.
The subordinated debt securities referred to in this announcement have not been registered under the Securities Act of 1933, as amended (the "Securities Act"), and, unless so registered, may not be offered or sold in the United States absent registration or an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and other applicable securities laws. This announcement shall not constitute an offer to sell or the solicitation of an offer to buy any securities described herein, nor shall there be any sales of these securities in any state or jurisdiction in which the offer, solicitation or sale would be unlawful. This announcement is being issued pursuant to and in accordance with Rule 135 and Rule 135c under the Securities Act.
The Company will hold its Annual Meeting of Shareholders at 10 a.m., Thursday, April 30, 2009 at the Bloomington/Monroe County Convention Center in downtown Bloomington, Indiana.
About Monroe Bancorp
Monroe Bancorp, headquartered in Bloomington, Indiana, is an Indiana bank holding company with Monroe Bank as its wholly owned subsidiary. Monroe Bank was established in Bloomington in 1892, and offers a full range of financial, trust and investment services through its locations in Central and South Central Indiana. The Company's common stock is traded on the NASDAQ(r) Global Stock Market under the symbol MROE.
The Monroe Bancorp logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=4316
Additional financial information follows this press release. For further information, contact: Mark D. Bradford, President and Chief Executive Officer, (812) 331-3455.
Use of Non-GAAP Financial Information
To supplement the Company's consolidated condensed financial statements presented on a GAAP basis, the Company has used the following non-GAAP measures of reporting:
(1) The net interest margin is reported on a tax equivalent basis. The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a marginal income tax rate of 34 percent. Management believes that it is a standard practice in the banking industry to present net interest margin and net interest income on a fully tax equivalent basis. Therefore, management believes these measures provide useful information to investors by allowing them to make peer comparisons. A table entitled "Reconciliation of GAAP Net Interest Margin to Non-GAAP Net Interest Margin on a Tax-Equivalent Basis," included at the end of the financial summary below, reconciles the non-GAAP financial measure "net interest income (tax-equivalent)" with net interest income calculated and presented in accordance with GAAP. The table also reconciles the non-GAAP financial measure "net interest margin (tax-equivalent)" with net interest margin calculated and presented in accordance with GAAP.
(2) Noninterest income and noninterest expense are reported without the effect of income and expenses related to securities held in a rabbi trust for the deferred compensation plan. A table entitled "Reconciliation of GAAP Noninterest Income & Expense to Noninterest Income & Expense Without the Financial Impact of the Deferred Compensation Plan", included at the end of the financial summary below, details all the items included in noninterest income and expense associated with the deferred compensation plan / rabbi trust and reconciles the GAAP numbers to the non-GAAP numbers. The activity in the rabbi trust has no effect on the Company's net income, therefore, management believes a more accurate comparison of current and prior year noninterest income and noninterest expense can be made if items related to the rabbi trust are removed.
The Company believes these adjustments are appropriate to enhance an overall understanding of the Company's past financial performance and also its prospects for the future. These adjustments to the Company's GAAP results are made with the intent of providing both management and investors a more complete understanding of the underlying operational results and trends and the Company's marketplace performance. The presentation of this additional information is not meant to be considered in isolation or as a substitute for the numbers prepared in accordance with generally accepted accounting principles in the United States.
Forward-Looking Statements
This release contains forward-looking statements about the Company which we believe are within the meaning of the Private Securities Litigation Reform Act of 1995. This release contains certain forward-looking statements with respect to the financial condition, results of operations, plans, objectives, future performance and business of the Company. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include the words "believe," "expect," "anticipate," "intend," "plan," "estimate" or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could" or "may" or words of similar meaning. These forward-looking statements, by their nature, are subject to risks and uncertainties. There are a number of important factors that could cause future results to differ materially from historical performance and these forward-looking statements. Factors that might cause such a difference include, but are not limited to: (1) changes in competitive pressures among depository institutions; (2) changes in the interest rate environment; (3) changes in prepayment speeds, charge-offs and loan loss provisions; (4) changes in general economic conditions, either national or in the markets in which the Company does business; (5) legislative or regulatory changes adversely affecting the business of the Company; (6) changes in real estate values or the real estate markets; and (7) the Company's business development efforts in new markets in and around Hendricks and Hamilton Counties. Further information on other factors which could affect the financial results of the Company is included in the Company's filings with the Securities and Exchange Commission.
Monroe Bancorp (MROE)
Financial Summary
(dollar amounts in thousands except per share data)
-------------------------------------------------
Quarters Ended
-------------------------------------------------
Mar 2009 Dec 2008 Sep 2008 Jun 2008 Mar 2008
-------------------------------------------------
BALANCE SHEET*
---------------------------------------------------------------------
Cash and Interest-
Earning Deposits $ 28,038 $ 15,058 $ 33,675 $ 27,141 $ 30,559
---------------------------------------------------------------------
Federal Funds Sold 16,150 8,663 26,593 1,654 2,565
---------------------------------------------------------------------
Securities 108,087 121,530 99,795 106,591 121,074
---------------------------------------------------------------------
Total Loans 630,842 633,091 616,226 602,369 581,956
---------------------------------------------------------------------
Loans Held for
Sale 4,659 3,389 2,406 4,110 2,176
---------------------------------------------------------------------
Commercial &
Industrial 103,306 104,779 97,373 99,141 100,378
---------------------------------------------------------------------
Real Estate:
---------------------------------------------------------------------
Commercial &
Residential 392,414 398,896 368,363 355,393 333,725
---------------------------------------------------------------------
Construction &
Vacant Land 84,697 80,917 103,459 99,694 102,428
---------------------------------------------------------------------
Home Equity 29,781 28,976 27,305 25,783 25,534
---------------------------------------------------------------------
Installment Loans 15,985 16,134 17,320 18,248 17,715
---------------------------------------------------------------------
Reserve for Loan
Losses 12,336 11,172 9,397 7,748 7,273
---------------------------------------------------------------------
Bank Premises and
Equipment 20,605 20,750 20,836 20,534 20,173
---------------------------------------------------------------------
Federal Home Loan
Bank Stock 2,312 2,312 2,312 2,312 2,312
---------------------------------------------------------------------
Interest Receivable
and Other Assets 30,004 29,567 28,969 25,351 25,420
---------------------------------------------------------------------
Total Assets $ 823,702 $ 819,799 $ 819,009 $ 778,204 $ 776,786
---------------------------------------------------------------------
---------------------------------------------------------------------
Total Deposits $ 676,557 $ 665,179 $ 679,421 $ 623,871 $ 637,230
---------------------------------------------------------------------
Noninterest
Checking 78,676 84,317 88,264 79,548 76,716
---------------------------------------------------------------------
Interest Bearing
Checking & NOW 118,421 107,124 125,407 129,422 122,987
---------------------------------------------------------------------
Regular Savings 17,990 16,619 16,844 17,876 18,710
---------------------------------------------------------------------
Money Market
Savings 122,080 108,246 106,808 116,862 109,105
---------------------------------------------------------------------
CDs & CDARs Less
than $100,000 149,380 155,127 142,648 139,584 146,815
---------------------------------------------------------------------
CDARs Greater than
$100,000 &
Brokered CDs 70,612 67,949 23,101 13,101 10,034
---------------------------------------------------------------------
CDs Greater than
$100,000 119,298 125,741 175,906 127,163 152,473
---------------------------------------------------------------------
Other Time 101 56 443 315 390
---------------------------------------------------------------------
Total Borrowings 85,070 93,203 75,954 88,723 70,328
---------------------------------------------------------------------
Federal Funds
Purchased -- -- -- 12,810 5,256
---------------------------------------------------------------------
Securities Sold
Under Repurchase
Agreement 58,686 59,404 46,569 46,390 45,717
---------------------------------------------------------------------
FHLB Advances 17,511 25,523 20,186 21,249 9,262
---------------------------------------------------------------------
Loans Sold Under
Repurchase
Agreement &
Other Debt 625 28 951 26 1,845
---------------------------------------------------------------------
Subordinated
Debentures -
Trust Preferred 8,248 8,248 8,248 8,248 8,248
---------------------------------------------------------------------
Interest Payable
and Other
Liabilities 6,098 5,496 7,942 9,578 13,072
---------------------------------------------------------------------
Total Liabilities 767,725 763,878 763,317 722,172 720,630
---------------------------------------------------------------------
Shareholders'
Equity 55,977 55,921 55,692 56,032 56,156
---------------------------------------------------------------------
Total Liabilities
and
Shareholders'
Equity $ 823,702 $ 819,799 $ 819,009 $ 778,204 $ 776,786
---------------------------------------------------------------------
---------------------------------------------------------------------
Book Value Per
Share $ 9.00 $ 8.99 $ 8.95 $ 9.01 $ 9.03
---------------------------------------------------------------------
End of Period
Shares Issued and
Outstanding 6,227,550 6,227,550 6,227,550 6,227,550 6,227,550
---------------------------------------------------------------------
Less: Unearned ESOP
Shares 6,226 7,601 5,900 8,300 10,700
---------------------------------------------------------------------
End of Period
Shares Used to
Calculate Book
Value 6,221,324 6,219,949 6,221,650 6,219,250 6,216,850
---------------------------------------------------------------------
-------------------
Years Ended
-------------------
Dec 2008 Dec 2007
-------------------
BALANCE SHEET*
---------------------------------------------------------------------
Cash and Interest-Earning Deposits $ 15,058 $ 24,563
---------------------------------------------------------------------
Federal Funds Sold 8,663 1,077
---------------------------------------------------------------------
Securities 121,530 125,658
---------------------------------------------------------------------
Total Loans 633,091 584,831
---------------------------------------------------------------------
Loans Held for Sale 3,389 2,974
---------------------------------------------------------------------
Commercial & Industrial 104,779 104,611
---------------------------------------------------------------------
Real Estate:
---------------------------------------------------------------------
Commercial & Residential 398,896 332,664
---------------------------------------------------------------------
Construction & Vacant Land 80,917 101,011
---------------------------------------------------------------------
Home Equity 28,976 25,222
---------------------------------------------------------------------
Installment Loans 16,134 18,349
---------------------------------------------------------------------
Reserve for Loan Losses 11,172 6,654
---------------------------------------------------------------------
Bank Premises and Equipment 20,750 20,029
---------------------------------------------------------------------
Federal Home Loan Bank Stock 2,312 2,312
---------------------------------------------------------------------
Interest Receivable and Other Assets 29,567 26,264
---------------------------------------------------------------------
Total Assets $ 819,799 $ 778,080
---------------------------------------------------------------------
---------------------------------------------------------------------
Total Deposits $ 665,179 $ 619,717
---------------------------------------------------------------------
Noninterest Checking 84,317 81,542
---------------------------------------------------------------------
Interest Bearing Checking & NOW 107,124 131,295
---------------------------------------------------------------------
Regular Savings 16,619 17,712
---------------------------------------------------------------------
Money Market Savings 108,246 99,135
---------------------------------------------------------------------
CDs & CDARs Less than $100,000 155,127 150,422
---------------------------------------------------------------------
CDARs Greater than $100,000 & Brokered CDs 67,949 10,034
---------------------------------------------------------------------
CDs Greater than $100,000 125,741 128,602
---------------------------------------------------------------------
Other Time 56 975
---------------------------------------------------------------------
Total Borrowings 93,203 96,421
---------------------------------------------------------------------
Federal Funds Purchased -- 24,850
---------------------------------------------------------------------
Securities Sold Under Repurchase Agreement 59,404 43,195
---------------------------------------------------------------------
FHLB Advances 25,523 18,273
---------------------------------------------------------------------
Loans Sold Under Repurchase Agreement & Other
Debt 28 1,855
---------------------------------------------------------------------
Subordinated Debentures - Trust Preferred 8,248 8,248
---------------------------------------------------------------------
Interest Payable and Other Liabilities 5,496 7,490
---------------------------------------------------------------------
Total Liabilities 763,878 723,628
---------------------------------------------------------------------
Shareholders' Equity 55,921 54,452
---------------------------------------------------------------------
Total Liabilities and Shareholders' Equity $ 819,799 $ 778,080
---------------------------------------------------------------------
---------------------------------------------------------------------
Book Value Per Share $ 8.99 $ 8.76
---------------------------------------------------------------------
End of Period Shares Issued and Outstanding 6,227,550 6,227,550
---------------------------------------------------------------------
Less: Unearned ESOP Shares 7,601 13,100
---------------------------------------------------------------------
End of Period Shares Used to Calculate Book
Value 6,219,949 6,214,450
---------------------------------------------------------------------
* period end numbers
Monroe Bancorp (MROE)
Financial Summary
(dollar amounts in thousands except per share data)
------------------------------------------------
Quarters Ended
------------------------------------------------
INCOME STATEMENT Mar 2009 Dec 2008 Sep 2008 Jun 2008 Mar 2008
---------------------------------------------------------------------
Interest Income $ 9,378 $ 10,141 $ 10,472 $ 10,366 $ 11,483
---------------------------------------------------------------------
Interest Expense 3,436 4,152 4,492 4,610 5,607
---------------------------------------------------------------------
Net Interest Income 5,942 5,989 5,980 5,756 5,876
---------------------------------------------------------------------
Loan Loss Provision 2,600 4,150 2,800 1,050 880
---------------------------------------------------------------------
Total Noninterest
Income 3,278 2,096 2,549 3,024 2,364
---------------------------------------------------------------------
Service Charges on
Deposit Accounts 811 946 996 985 869
---------------------------------------------------------------------
Trust Fees 527 553 592 634 608
---------------------------------------------------------------------
Commission Income 171 201 208 246 219
---------------------------------------------------------------------
Gain on Sale of
Loans 290 141 189 175 198
---------------------------------------------------------------------
Realized Gains on
Trading and
Available for Sale
Securities 1,028 175 210 439 140
---------------------------------------------------------------------
Unrealized Gains
(Losses) on Trading
Securities
Associated with
Directors' Deferred
Comp Plan (117) (354) (222) (50) (217)
---------------------------------------------------------------------
BOLI Income 151 163 141 125 123
---------------------------------------------------------------------
Other Operating
Income 417 271 435 470 424
---------------------------------------------------------------------
Total Noninterest
Expense 5,239 4,901 5,069 5,371 5,391
---------------------------------------------------------------------
Salaries & Wages 2,069 2,160 2,175 2,204 2,204
---------------------------------------------------------------------
Commissions, Options
& Incentive
Compensation 305 337 339 417 379
---------------------------------------------------------------------
Employee Benefits 591 343 517 535 681
---------------------------------------------------------------------
Premises & Equipment 928 826 844 830 873
---------------------------------------------------------------------
Advertising 129 138 187 179 220
---------------------------------------------------------------------
Legal Fees 126 158 121 102 185
---------------------------------------------------------------------
FDIC expense 283 138 140 155 48
---------------------------------------------------------------------
Appreciation
(Depreciation) in
Directors' Deferred
Compensation Plan (103) (317) (203) (23) (164)
---------------------------------------------------------------------
Other Operating
Expenses 911 1,118 949 972 965
---------------------------------------------------------------------
Income Before Income
Tax 1,381 (966) 660 2,359 1,969
---------------------------------------------------------------------
Income Tax Expense
(Benefit) 274 (757) (75) 499 376
---------------------------------------------------------------------
Net Income After Tax
& Before
Extraordinary Items 1,107 (209) 735 1,860 1,593
---------------------------------------------------------------------
Extraordinary Items -- -- -- -- --
---------------------------------------------------------------------
Net Income $ 1,107 $ (209) $ 735 $ 1,860 $ 1,593
---------------------------------------------------------------------
---------------------------------------------------------------------
Basic Earnings Per
Share $ 0.178 $ (0.034) $ 0.118 $ 0.299 $ 0.256
---------------------------------------------------------------------
Diluted Earnings Per
Share $ 0.178 $ (0.034) $ 0.118 $ 0.299 $ 0.256
---------------------------------------------------------------------
------------------
Years Ended
------------------
INCOME STATEMENT Dec 2008 Dec 2007
---------------------------------------------------------------------
Interest Income $ 42,462 $ 48,474
---------------------------------------------------------------------
Interest Expense 18,861 25,435
---------------------------------------------------------------------
Net Interest Income 23,601 23,039
---------------------------------------------------------------------
Loan Loss Provision 8,880 2,035
---------------------------------------------------------------------
Total Noninterest Income 10,033 10,251
---------------------------------------------------------------------
Service Charges on Deposit Accounts 3,796 3,680
---------------------------------------------------------------------
Trust Fees 2,387 2,243
---------------------------------------------------------------------
Commission Income 874 910
---------------------------------------------------------------------
Gain on Sale of Loans 703 817
---------------------------------------------------------------------
Realized Gains on Trading and Available for Sale
Securities 964 49
---------------------------------------------------------------------
Unrealized Gains (Losses) on Trading Securities
Associated with Directors' Deferred Comp Plan (843) 17
---------------------------------------------------------------------
BOLI Income 552 489
---------------------------------------------------------------------
Other Operating Income 1,600 2,046
---------------------------------------------------------------------
Total Noninterest Expense 20,732 20,626
---------------------------------------------------------------------
Salaries & Wages 8,743 8,621
---------------------------------------------------------------------
Commissions, Options & Incentive Compensation 1,472 1,737
---------------------------------------------------------------------
Employee Benefits 2,076 1,774
---------------------------------------------------------------------
Premises & Equipment 3,373 3,100
---------------------------------------------------------------------
Advertising 724 667
---------------------------------------------------------------------
Legal Fees 566 566
---------------------------------------------------------------------
FDIC expense 481 67
---------------------------------------------------------------------
Appreciation (Depreciation) in Directors'
Deferred Compensation Plan (707) 267
---------------------------------------------------------------------
Other Operating Expenses 4,004 3,827
---------------------------------------------------------------------
Income Before Income Tax 4,022 10,629
---------------------------------------------------------------------
Income Tax Expense (Benefit) 43 2,823
---------------------------------------------------------------------
Net Income After Tax & Before Extraordinary Items 3,979 7,806
---------------------------------------------------------------------
Extraordinary Items -- --
---------------------------------------------------------------------
Net Income $ 3,979 $ 7,806
---------------------------------------------------------------------
---------------------------------------------------------------------
Basic Earnings Per Share $ 0.640 $ 1.240
---------------------------------------------------------------------
Diluted Earnings Per Share $ 0.639 $ 1.235
---------------------------------------------------------------------
Monroe Bancorp (MROE)
Financial Summary
(dollar amounts in thousands except per share data)
------------------------------------------------
Quarters Ended
------------------------------------------------
ASSET QUALITY Mar 2009 Dec 2008 Sep 2008 Jun 2008 Mar 2008
------------------------------------------------
Net Charge-Offs
(Recoveries) $ 1,436 $ 2,375 $ 1,151 $ 575 $ 261
------------------------------------------------
OREO Expenses 47 121 4 22 82
------------------------------------------------
Total Credit
Charges $ 1,483 $ 2,496 $ 1,155 $ 597 $ 343
------------------------------------------------
------------------------------------------------
Nonperforming Loans $ 13,696 $ 14,329 $ 14,000 $ 15,906 $ 6,944
------------------------------------------------
OREO 3,158 3,257 438 493 848
------------------------------------------------
Nonperforming
Assets 16,854 17,586 14,438 16,399 7,792
------------------------------------------------
90 Day Past Due Loans
Net of Nonperforming
Loans 435 1,194 127 73 563
------------------------------------------------
Nonperforming
Assets + 90 Day
Past Due $ 17,289 $ 18,780 $ 14,565 $ 16,472 $ 8,355
------------------------------------------------
RATIO ANALYSIS -
CREDIT QUALITY*
----------------------------------------------------------------------
NCO/Loans 0.91% 1.50% 0.75% 0.38% 0.18%
----------------------------------------------------------------------
Credit Charges/Loans
& OREO 0.94% 1.57% 0.75% 0.40% 0.24%
----------------------------------------------------------------------
Nonperforming Loans/
Loans 2.17% 2.26% 2.27% 2.64% 1.19%
----------------------------------------------------------------------
Nonperforming Assets/
Loans & OREO 2.66% 2.76% 2.34% 2.72% 1.34%
----------------------------------------------------------------------
Nonperforming Assets/
Assets 2.05% 2.15% 1.76% 2.11% 1.00%
----------------------------------------------------------------------
Nonperforming Assets
+ 90 Day PD/Assets 2.10% 2.29% 1.78% 2.12% 1.08%
----------------------------------------------------------------------
Reserve/Nonperforming
Loans 90.07% 77.97% 67.12% 48.71% 104.74%
----------------------------------------------------------------------
Reserve/Total Loans 1.96% 1.76% 1.52% 1.29% 1.25%
----------------------------------------------------------------------
Equity & Reserves/
Nonperforming Assets 405.32% 381.51% 450.82% 388.93% 814.03%
----------------------------------------------------------------------
OREO/Nonperforming
Assets 18.74% 18.52% 3.03% 3.01% 10.88%
----------------------------------------------------------------------
RATIO ANALYSIS -
CAPITAL ADEQUACY*
----------------------------------------------------------------------
Equity/Assets 6.80% 6.82% 6.80% 7.20% 7.23%
----------------------------------------------------------------------
Equity/Loans 8.87% 8.83% 9.04% 9.30% 9.65%
----------------------------------------------------------------------
RATIO ANALYSIS -
PROFITABILITY
----------------------------------------------------------------------
Return on Average
Assets 0.54% -0.10% 0.37% 0.96% 0.82%
----------------------------------------------------------------------
Return on Average
Equity 8.00% -1.49% 5.20% 13.26% 11.62%
----------------------------------------------------------------------
Net Interest Margin
(Tax-Equivalent)(1) 3.20% 3.23% 3.31% 3.31% 3.36%
----------------------------------------------------------------------
------------------
Years Ended
------------------
ASSET QUALITY Dec 2008 Dec 2007
---------------------------------------------------------------------
Net Charge-Offs (Recoveries) $ 4,362 $ 1,525
---------------------------------------------------------------------
OREO Expenses 229 67
---------------------------------------------------------------------
Total Credit Charges $ 4,591 $ 1,592
---------------------------------------------------------------------
---------------------------------------------------------------------
Nonperforming Loans $ 14,329 $ 6,938
---------------------------------------------------------------------
OREO 3,257 841
---------------------------------------------------------------------
Nonperforming Assets 17,586 7,779
---------------------------------------------------------------------
90 Day Past Due Loans Net of Nonperforming Loans 1,194 435
---------------------------------------------------------------------
Nonperforming Assets + 90 Day Past Due $ 18,780 $ 8,214
---------------------------------------------------------------------
RATIO ANALYSIS - CREDIT QUALITY*
----------------------------------------------------------------------
NCO/Loans 0.69% 0.26%
----------------------------------------------------------------------
Credit Charges/Loans & OREO 0.72% 0.27%
----------------------------------------------------------------------
Nonperforming Loans/Loans 2.26% 1.19%
----------------------------------------------------------------------
Nonperforming Assets/Loans & OREO 2.76% 1.33%
----------------------------------------------------------------------
Nonperforming Assets/Assets 2.15% 1.00%
----------------------------------------------------------------------
Nonperforming Assets + 90 Day PD/Assets 2.29% 1.06%
-----------------------------------------------------------------------
-----------------------------------------------------------------------
Reserve/Nonperforming Loans 77.97% 95.91%
----------------------------------------------------------------------
Reserve/Total Loans 1.76% 1.14%
----------------------------------------------------------------------
Equity & Reserves/Nonperforming Assets 381.51% 785.53%
----------------------------------------------------------------------
OREO/Nonperforming Assets 18.52% 10.81%
----------------------------------------------------------------------
RATIO ANALYSIS - CAPITAL ADEQUACY*
----------------------------------------------------------------------
Equity/Assets 6.82% 7.00%
----------------------------------------------------------------------
Equity/Loans 8.83% 9.31%
----------------------------------------------------------------------
RATIO ANALYSIS - PROFITABILITY
----------------------------------------------------------------------
Return on Average Assets 0.50% 1.04%
----------------------------------------------------------------------
Return on Average Equity 7.11% 14.79%
----------------------------------------------------------------------
Net Interest Margin (Tax-Equivalent)(1) 3.30% 3.37%
----------------------------------------------------------------------
* Based on period end numbers
(1) Interest income on tax-exempt securities has been adjusted to a
tax-equivalent basis using a marginal income tax rate of 34%.
Reclassification of amounts from prior periods were made to
conform to the September 2007 presentation.
Monroe Bancorp (MROE)
Reconciliation of GAAP Net Interest Margin to Non-GAAP Net Interest
Margin on a Tax-Equivalent Basis
(dollar amounts in thousands except per share data)
-------------------------------------------------
Quarters Ended
-------------------------------------------------
Mar 2009 Dec 2008 Sep 2008 Jun 2008 Mar 2008
-------------------------------------------------
Net Interest Income $ 5,942 $ 5,989 $ 5,980 $ 5,756 $ 5,876
----------------------------------------------------------------------
Tax Equivalent
Adjustment 131 167 166 189 195
----------------------------------------------------------------------
Net Interest Income
- Tax Equivalent $ 6,073 $ 6,156 $ 6,146 $ 5,945 $ 6,071
----------------------------------------------------------------------
----------------------------------------------------------------------
Average Earning
Assets $769,735 $759,173 $738,927 $723,441 $725,793
----------------------------------------------------------------------
----------------------------------------------------------------------
Net Interest Margin 3.13% 3.14% 3.22% 3.20% 3.26%
----------------------------------------------------------------------
----------------------------------------------------------------------
Net Interest Margin
- Tax Equivalent 3.20% 3.23% 3.31% 3.31% 3.36%
----------------------------------------------------------------------
-------------------
Years Ended
-------------------
Dec 2008 Dec 2007
----------------------------------------------------------------------
Net Interest Income $ 23,601 $ 23,039
----------------------------------------------------------------------
Tax Equivalent Adjustment 717 696
----------------------------------------------------------------------
Net Interest Income - Tax Equivalent $ 24,318 $ 23,735
----------------------------------------------------------------------
----------------------------------------------------------------------
Average Earning Assets $736,903 $703,675
----------------------------------------------------------------------
----------------------------------------------------------------------
Net Interest Margin 3.20% 3.27%
----------------------------------------------------------------------
----------------------------------------------------------------------
Net Interest Margin - Tax Equivalent 3.30% 3.37%
----------------------------------------------------------------------
-------------------------------------------------
Year-to-Date
-------------------------------------------------
Mar 2009 Dec 2008 Sep 2008 Jun 2008 Mar 2008
----------------------------------------------------------------------
Net Interest Income $ 5,942 $ 23,601 $ 17,611 $ 11,632 $ 5,876
----------------------------------------------------------------------
Tax Equivalent
Adjustment 131 717 550 383 195
----------------------------------------------------------------------
Net Interest Income
- Tax Equivalent $ 6,073 $ 24,318 $ 18,161 $ 12,015 $ 6,071
----------------------------------------------------------------------
----------------------------------------------------------------------
Average Earning
Assets $769,735 $736,903 $729,425 $724,617 $725,793
----------------------------------------------------------------------
----------------------------------------------------------------------
Net Interest Margin 3.13% 3.20% 3.23% 3.23% 3.26%
----------------------------------------------------------------------
----------------------------------------------------------------------
Net Interest Margin
- Tax Equivalent 3.20% 3.30% 3.33% 3.33% 3.36%
----------------------------------------------------------------------
Monroe Bancorp (MROE)
Financial Impact on Net Income of Deferred Compensation Plan
(dollar amounts in thousands except per share data)
------------------------------------------------
Quarters Ended
------------------------------------------------
Mar 2009 Dec 2008 Sep 2008 Jun 2008 Mar 2008
---------------------------------------------------------------------
Interest and Dividend
Income $ 18 $ 29 $ 22 $ 23 $ 32
---------------------------------------------------------------------
Realized and
Unrealized Gains
(Losses) (132) (355) (222) (48) (204)
---------------------------------------------------------------------
Other Income -- 12 -- 6 12
---------------------------------------------------------------------
Total Income From
Plan: (114) (314) (200) (19) (160)
---------------------------------------------------------------------
---------------------------------------------------------------------
Change in Deferred
Compensation
Liability (118) (317) (203) (23) (164)
---------------------------------------------------------------------
Trustee Fees 4 3 3 4 4
---------------------------------------------------------------------
Total Expense of
Plan: (114) (314) (200) (19) (160)
---------------------------------------------------------------------
---------------------------------------------------------------------
Net Impact of
Plan: $ -- $ -- $ -- $ -- $ --
---------------------------------------------------------------------
------------------
Years Ended
------------------
Dec 2008 Dec 2007
---------------------------------------------------------------------
Interest and Dividend Income $ 106 $ 117
---------------------------------------------------------------------
Realized and Unrealized Gains (Losses) (829) 66
---------------------------------------------------------------------
Other Income 30 99
---------------------------------------------------------------------
Total Income From Plan: (693) 282
---------------------------------------------------------------------
---------------------------------------------------------------------
Change in Deferred Compensation Liability (707) 267
---------------------------------------------------------------------
Trustee Fees 14 15
---------------------------------------------------------------------
Total Expense of Plan: (693) 282
---------------------------------------------------------------------
---------------------------------------------------------------------
Net Impact of Plan: $ -- $ --
---------------------------------------------------------------------
Reconciliation of GAAP Noninterest Income & Expense to Noninterest
Income & Expense Without the Financial Impact of the Deferred
Compensation Plan
(dollar amounts in thousands except per share data)
------------------------------------------------
Quarters Ended
------------------------------------------------
Mar 2009 Dec 2008 Sep 2008 Jun 2008 Mar 2008
---------------------------------------------------------------------
Total Noninterest
Income $ 3,278 $ 2,096 $ 2,549 $ 3,024 $ 2,364
---------------------------------------------------------------------
Income of Deferred
Comp Plan Incl. in
Noninterest Income (132) (343) (222) (42) (192)
---------------------------------------------------------------------
Adjusted
Noninterest
Income: 3,410 2,439 2,771 3,066 2,556
---------------------------------------------------------------------
---------------------------------------------------------------------
Total Noninterest
Expense 5,239 4,901 5,069 5,371 5,391
---------------------------------------------------------------------
Expense of Deferred
Compensation Plan (114) (314) (200) (19) (160)
---------------------------------------------------------------------
Adjusted
Noninterest
Expense: 5,353 5,215 5,269 5,390 5,551
---------------------------------------------------------------------
------------------
Years Ended
------------------
Dec 2008 Dec 2007
---------------------------------------------------------------------
Total Noninterest Income $ 10,033 $ 10,251
---------------------------------------------------------------------
Income of Deferred Comp Plan Incl. in
Noninterest Income (799) 165
---------------------------------------------------------------------
Adjusted Noninterest Income: 10,832 10,086
---------------------------------------------------------------------
---------------------------------------------------------------------
Total Noninterest Expense 20,732 20,626
---------------------------------------------------------------------
Expense of Deferred Compensation Plan (693) 282
---------------------------------------------------------------------
Adjusted Noninterest Expense: 21,425 20,344
---------------------------------------------------------------------
Year-to-Date
------------------------------------------------
Mar 2009 Dec 2008 Sep 2008 Jun 2008 Mar 2008
---------------------------------------------------------------------
Total Noninterest
Income $ 3,278 $10,033 $ 7,937 $ 5,388 $ 2,364
---------------------------------------------------------------------
Income of Deferred
Comp Plan Incl. in
Noninterest Income $ (132) $ (799) (456) (234) (192)
---------------------------------------------------------------------
Adjusted
Noninterest
Income: 3,410 10,832 8,393 5,622 2,556
---------------------------------------------------------------------
---------------------------------------------------------------------
Total Noninterest
Expense 5,239 20,732 15,830 10,762 5,391
---------------------------------------------------------------------
Expense of Deferred
Compensation Plan (114) (693) (380) (179) (160)
---------------------------------------------------------------------
Adjusted
Noninterest
Expense: 5,353 21,425 16,210 10,941 5,551
---------------------------------------------------------------------
Monroe Bancorp (MROE)
Select Average Balance Sheet Information
(dollar amounts in thousands except per share data)
------------------------------------------------
Quarters Ended
------------------------------------------------
Mar 2009 Dec 2008 Sep 2008 Jun 2008 Mar 2008
---------------------------------------------------------------------
Total Average Loans $632,878 $624,421 $609,184 $591,310 $582,255
---------------------------------------------------------------------
Average Commercial
& Industrial 103,046 101,347 97,911 99,546 98,603
---------------------------------------------------------------------
Average Real Estate: 513,886 506,315 493,567 473,521 465,625
---------------------------------------------------------------------
Average Commercial
& Residential 397,507 379,409 365,942 344,213 338,160
---------------------------------------------------------------------
Average
Construction &
Vacant Land 86,966 98,531 101,162 103,745 102,116
---------------------------------------------------------------------
Average Home Equity 29,413 28,375 26,463 25,563 25,349
---------------------------------------------------------------------
Average Installment
Loans 15,946 16,759 17,706 18,243 18,027
---------------------------------------------------------------------
Average Federal Funds
Sold 16,028 11,444 9,161 3,907 10,462
---------------------------------------------------------------------
Average Federal Home
Loan Bank Stock 2,312 2,312 2,312 2,312 2,312
---------------------------------------------------------------------
---------------------------------------------------------------------
Total Average
Deposits $678,377 $669,074 $652,031 $633,127 $643,686
---------------------------------------------------------------------
Average Noninterest
Checking 79,257 81,805 81,425 79,062 75,673
---------------------------------------------------------------------
Average Interest
Bearing Checking
& NOW 113,465 120,196 129,898 126,399 132,683
---------------------------------------------------------------------
Average Regular
Savings 17,132 16,658 17,733 18,153 17,937
---------------------------------------------------------------------
Average Money Market
Savings 118,577 104,398 110,292 111,797 104,415
---------------------------------------------------------------------
Average CDs Less
than $100,000 209,036 197,271 149,907 141,550 147,598
---------------------------------------------------------------------
Average CDs Greater
than $100,000 125,152 132,340 147,051 139,725 149,277
---------------------------------------------------------------------
Average Other Time 15,758 16,406 15,725 16,441 16,103
---------------------------------------------------------------------
Average Federal Funds
Purchased 974 321 2,892 5,906 3,511
---------------------------------------------------------------------
Average Securities
Sold Under
Repurchase Agreement 54,210 55,674 42,768 42,332 41,894
---------------------------------------------------------------------
Average FHLB Advances 19,364 19,486 21,215 18,005 16,050
---------------------------------------------------------------------
------------------
Years Ended
------------------
Dec 2008 Dec 2007
---------------------------------------------------------------------
Total Average Loans $601,875 $564,483
---------------------------------------------------------------------
Average Commercial & Industrial 99,353 99,884
---------------------------------------------------------------------
Average Real Estate: 484,841 446,144
---------------------------------------------------------------------
Average Commercial & Residential 357,018 316,578
---------------------------------------------------------------------
Average Construction & Vacant Land 101,380 104,088
---------------------------------------------------------------------
Average Home Equity 26,443 25,478
---------------------------------------------------------------------
Average Installment Loans 17,681 18,455
---------------------------------------------------------------------
Average Federal Funds Sold 8,754 11,102
---------------------------------------------------------------------
Average Federal Home Loan Bank Stock 2,312 2,312
---------------------------------------------------------------------
---------------------------------------------------------------------
Total Average Deposits $649,540 $611,907
---------------------------------------------------------------------
Average Noninterest Checking 79,503 77,725
---------------------------------------------------------------------
Average Interest Bearing Checking & NOW 127,282 129,887
---------------------------------------------------------------------
Average Regular Savings 17,618 17,940
---------------------------------------------------------------------
Average Money Market Savings 107,723 101,123
---------------------------------------------------------------------
Average CDs Less than $100,000 159,120 152,609
---------------------------------------------------------------------
Average CDs Greater than $100,000 142,126 118,124
---------------------------------------------------------------------
Average Other Time 16,168 14,499
---------------------------------------------------------------------
Average Federal Funds Purchased 3,149 2,085
---------------------------------------------------------------------
Average Securities Sold Under Repurchase Agreement 45,686 49,884
---------------------------------------------------------------------
Average FHLB Advances 18,698 19,120
---------------------------------------------------------------------