CLARKSTON, Mich., May 11, 2010 (GLOBE NEWSWIRE) -- Clarkston Financial Corporation (OTCBB:CKFC), the holding company for Clarkston State Bank, today reported operating results for the first quarter and 12 months ended December 31, 2009.
Total revenues for Q1-2010 -- net interest income plus noninterest income -- were $1,148,000, compared with total revenues of $1,472,000 for Q1-2009. For the 12 months ended December 31, 2009, total revenues were $4,446,000, versus $7,286,000 for 2008. Net interest income was lower, year-over-year, from the systematic reduction of the balance sheet, as the Bank continues to work through asset-quality problems. Nonetheless, net interest margin improved for both reporting periods.
The net loss for the first quarter of 2010 was $267,000, or ($0.12) per diluted share, compared to net income of $84,000, or $0.06 per diluted share, for the year earlier period. For 2009, the net loss was $4,409,000, or ($3.02) per diluted share, substantially improved from the net loss of $9,214,000, or ($7.11) per diluted share, for 2008.
J. Grant Smith, CEO, said, "Despite the weakness of Michigan's economy, we are seeing signs of improvement in our markets. We remain focused on our turnaround plan and remain committed to our key goals. We are continuing to work through remaining asset-quality issues within our loan portfolio. We are also making great strides toward returning to profitability. Most notably we have received commitments from members of our board of directors and several outside investors to fully recapitalize the Bank. We are currently seeking regulatory and shareholder approval and expect to have these in place in the third quarter."
Clarkston State Bank opened in January 1999 and operates four branches in Clarkston, Waterford, and Independence Township, Michigan.
Safe Harbor. This news release contains comments or information that constitute forward-looking statements within the context of the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve significant risks and uncertainties. Actual results may differ materially from the results discussed in the forward-looking statements. Factors that may cause such a difference include: changes in interest rates and interest-rate relationships; demand for products and services; the degree of competition by traditional and non-traditional competitors; changes in banking regulations; changes in tax laws; changes in prices, levies, and assessments; the impact of technological advances; governmental and regulatory policy changes; the outcomes of contingencies; trends in customer behavior and their ability to repay loans; and changes in the national and local economy. The Corporation assumes no responsibility to update forward-looking statements.
| CLARKSTON FINANCIAL CORPORATION | |||
| Historical Balance Sheet Data | |||
| 000's omitted | |||
| Unaudited | |||
| Mar 2010 | Dec 2009 | Dec 2008 | |
| Total Assets | $109,974 | $110,169 | $130,458 |
| Total Portfolio Loans | 87,051 | 90,504 | 107,004 |
| Loan Loss Reserve | (3,666) | (3,700) | (4,414) |
| Non-accrual Loans | 5,395 | 6,630 | 3,170 |
| Loans 90 days + Still Accruing | -- | -- | 554 |
| Total Non-performing Loans | 5,395 | 6,630 | 3,724 |
| Repossessed Assets | 2,548 | 1,975 | 714 |
| Total Securities | 11,973 | 12,747 | 16,252 |
| Premises/Furniture & Fixtures | 4,821 | 4,864 | 5,038 |
| Noninterest-bearing Deposits | 20,240 | 19,097 | 20,567 |
| Interest bearing Deposits | 83,601 | 84,235 | 97,710 |
| Total Deposits | 103,841 | 103,332 | 118,277 |
| CD's>$100K | 16,111 | 18,786 | 21,836 |
| Advances from FHLB | 2,000 | 4,250 | 5,200 |
| Common Equity | (1,690) | (1,944) | 2,277 |
| Common Shares Outstanding at End of Period | 2,252 | 1,461 | 1,461 |
| CLARKSTON FINANCIAL CORPORATION | |||||
| Historical Income Statement Data | |||||
| 000's omitted | |||||
| Unaudited | Unaudited | ||||
|
Three Months Ended |
Three Months Ended |
Three Months Ended |
Twelve Months Ended |
Twelve Months Ended |
|
| Mar 2010 | Dec 2009 | Mar 2009 | Dec 2009 | Dec 2008 | |
| Total Interest Income | $1,402 | $1,442 | $1,664 | $6,183 | $8,702 |
| Interest Expense | 501 | 539 | 827 | 2,658 | 4,389 |
| Net Interest Income | 901 | 903 | 837 | 3,525 | 4,313 |
| Provision for Loan Losses | 50 | 2,820 | -- | 3,380 | 8,210 |
| Security Gains/(Losses) | 33 | (1) | 74 | 140 | 30 |
| Gain on loan sales | -- | -- | -- | -- | 131 |
| Service fees on loan and deposit accounts | 158 | 184 | 184 | 742 | 749 |
| Other Income | 56 | (246) | 377 | 39 | 2,063 |
| Total Other Income | 247 | (63) | 635 | 921 | 2,973 |
| Salary & Benefit Expense | 507 | 491 | 625 | 2,227 | 2,868 |
| Occupancy Expense | 139 | 125 | 174 | 647 | 783 |
| Other Expense | 719 | 820 | 589 | 2,614 | 2,433 |
| Total Other Expense | 1,365 | 1,436 | 1,388 | 5,488 | 6,084 |
| EBIT | (267) | (3,416) | 84 | (4,422) | (7,008) |
| Tax | -- | (13) | -- | (13) | 1,918 |
| Minority Interest | -- | -- | -- | -- | (288) |
| Net Income | ($267) | ($3,403) | $84 | ($4,409) | ($9,214) |
| Reported EPS (diluted) | ($0.12) | ($2.33) | $0.06 | ($3.02) | ($7.11) |
| Dividends Per Share | -- | -- | -- | -- | -- |
| Selected Financial Ratios: | |||||
| Total Risk Based Capital - CFC | -0.71% | -0.90% | 3.38% | -0.90% | 3.38% |
| Tier 1 Leverage - CFC | -1.68% | -1.85% | 1.76% | -1.85% | 1.76% |
| Total Risk Based Capital - CSB | 3.89% | 3.32% | 7.07% | 3.32% | 7.07% |
| Tier 1 Leverage - CSB | 2.20% | 1.72% | 4.75% | 1.72% | 4.75% |
| Return on Average Assets | -0.95% | -11.90% | 0.26% | -3.60% | -5.43% |
| Return on Average Equity | -184.16% | -685.23% | 6.40% | -182.80% | -86.63% |
| Net Interest Margin | 3.53% | 3.35% | 2.87% | 3.24% | 3.00% |
| Average Assets | 112,482 | 114,347 | 131,231 | 122,635 | 169,375 |
| Net charge-offs ($) | 83 | 3,957 | 733 | 4,095 | 6,016 |
| Gross charge-offs ($) | 122 | 4,108 | 769 | 4,437 | 6,539 |