PLAINFIELD, Ind., Feb. 26, 2008 (PRIME NEWSWIRE) -- Lincoln Bancorp (Nasdaq:LNCB) (the "Company"), the holding company of Lincoln Bank (the "Bank"), announced today that net income for the fourth quarter and the year ended December 31, 2007 is being revised upward by $150,000, or $.03 per share. The adjustment was the result of information received recently indicating that low-income housing tax credits totaling $150,000 were generated by our limited partnership investment during 2007. These credits were thought to have expired in 2006. The effect of the adjustment increased net income for the fourth quarter of 2007 to $850,000, or $.17 per share for both basic and diluted earnings per share. This compared to net income for the fourth quarter in 2006 of $495,000, or $.10 for both basic and diluted earnings per share.
Net income for the year ended December 31, 2007 is being restated to $1,749,000 or $.35 for basic and $.34 for diluted earnings per share. This compares to net income in 2006 of $2,900,000 or $.58 for basic and $.56 for diluted earnings per share.
The book value of Lincoln Bancorp common stock was $18.63 per share at December 31, 2007 and 2006.
Lincoln Bancorp and Lincoln Bank are headquartered in Plainfield, Indiana with additional offices in Avon, Bargersville, Brownsburg, Crawfordsville, Frankfort, Franklin, Greenwood, Mooresville, Morgantown, Nashville and Trafalgar. The Bank also has 2 loan production offices located in Carmel and Greenwood, Indiana.
Statements contained in this press release that are not historical facts may constitute forward-looking statements (within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended) which involve significant risks and uncertainties. The Companies intend such forward-looking statements to be covered in the Private Securities Litigation Reform Act of 1995, and are including this statement for purposes of invoking these safe harbor provisions. The Companies' ability to predict results or the actual effect of future plans or strategies is inherently uncertain and involves a number of risks and uncertainties, some of which have been set forth in the Companies' most recent annual reports on Form 10-K, which disclosures are incorporated by reference herein. The fact that there are various risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements.
LINCOLN BANCORP
SELECTED CONSOLIDATED FINANCIAL DATA OF THE COMPANY
(Unaudited)
(Dollars in Thousands, Except Per Share Amounts)
Dec. 31 Dec. 31
2007 2006
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Balance Sheet Data:
Total assets $ 889,314 $ 883,543
Loans, net (including loans held for sale) 639,791 632,996
Cash and cash equivalents 13,115 18,409
Investment securities available for sale 150,406 151,237
Deposits 656,405 655,664
Securities sold under repurchase agreements 16,767 16,864
Borrowings 109,177 103,608
Stockholders' equity 98,986 99,300
Book value per common share $ 18.63 $ 18.63
Shares outstanding 5,312,981 5,329,687
Equity to assets 11.13% 11.24%
Non-performing assets to total assets 0.95% 0.31%
Non-performing loans to total loans 1.22% 0.38%
Allowance for loan losses to total loans 1.02% 0.96%
Three Months Ended Year Ended
December 31 December 31
2007 2006 2007 2006
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Operating Data:
Interest Income:
Loans $ 11,167 $ 11,020 $ 44,219 $ 41,955
Investment securities 2,098 2,004 8,691 8,193
Deposits with
financial
institutions and
federal funds sold 18 181 381 582
Dividend income 101 119 403 488
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Total interest income 13,384 13,324 53,694 51,218
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Interest Expense:
Deposits 6,573 6,650 27,039 23,638
Borrowings 1,223 1,313 4,869 5,369
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Total interest expense 7,796 7,963 31,908 29,007
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Net Interest Income 5,588 5,361 21,786 22,211
Provision for
loan losses 500 262 957 884
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Net Interest Income
After Provision for
Loan Losses 5,088 5,099 20,829 21,327
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Other Income:
Service charges on
deposit accounts 667 580 2,474 2,180
Net gains (losses) on
sales of loans
including unrealized
gains (losses) 263 217 (693) 518
Net realized and
unrealized gains
(losses) on sale of
available for sale
and trading
securities 14 10 (25) 14
Point of sale income 256 185 922 718
Loan servicing fees 96 79 346 336
Increase in cash
value of
life insurance 213 194 849 689
Other 233 235 1,150 974
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Total other income 1,742 1,500 5,023 5,429
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Other Expenses:
Salaries and
employee benefits 3,121 3,070 12,295 11,663
Net occupancy expenses 599 506 2,368 2,024
Equipment expenses 393 424 1,658 1,549
Data processing
expense 666 597 2,570 2,334
Professional fees 95 169 745 873
Advertising and
business development 243 344 1,122 940
Core deposit
intangible
amortization 121 137 521 607
Other 791 777 3,213 3,053
---------- ---------- ---------- ----------
Total other expenses 6,029 6,024 24,492 23,043
---------- ---------- ---------- ----------
Income before
income taxes 801 575 1,360 3,713
Income taxes (49) 80 (389) 813
---------- ---------- ---------- ----------
Net income $ 850 $ 495 $ 1,749 $ 2,900
========== ========== ========== ==========
Basic earnings
per share $ 0.17 $ 0.10 $ 0.35 $ 0.58
========== ========== ========== ==========
Diluted earnings
per share $ 0.17 $ 0.10 $ 0.34 $ 0.56
========== ========== ========== ==========
Other Data:
Interest rate spread 2.30% 2.13% 2.19% 2.28%
Net interest margin 2.74% 2.60% 2.65% 2.73%
Return on
average assets 0.38% 0.22% 0.20% 0.33%
Return on
average equity 3.43% 1.97% 1.76% 2.89%