Financial Highlights: Fourth Quarter, 2009 Consolidated Statements of Earnings (in '000s except earnings per share amounts) Three months Three months Year Year ended ended ended ended December 31 December 31 December 31 December 31 2009 2008 2009 2008 ------------ ------------ ------------ ------------ Interest income $ 8,980 $ 9,612 $ 35,817 $ 39,427 Interest expense 2,037 2,619 9,011 11,507 ------------ ------------ ------------ ------------ Net interest income 6,943 6,993 26,806 27,920 Provision for loan losses (900) (1,455) (4,596) (3,045) Noninterest income 1,111 1,876 5,377 5,043 Noninterest expense 6,970 6,400 27,575 25,344 ------------ ------------ ------------ ------------ Interest before income taxes 184 1,014 12 4,574 Provision for income taxes 331 (75) 581 (611) ------------ ------------ ------------ ------------ Net earnings (loss) 515 939 593 3,963 Dividends and discount accretion on preferred stock 213 -- 632 -- Net earnings (loss) available to common ------------ ------------ ------------ ------------ shareholders $ 302 $ 939 $ (39) $ 3,963 ============ ============ ============ ============ Basic earnings per share $ 0.09 $ 0.29 $ (0.01) $ 1.23 Diluted earnings per share $ 0.09 $ 0.29 $ (0.01) $ 1.22 Average assets $ 708,546 $ 666,835 $ 683,829 $ 658,108 Average equity $ 78,946 $ 67,270 $ 77,367 $ 67,488 Return on average assets 0.17% 0.56% -0.02% 0.60% Return on average equity 1.53% 5.58% -0.20% 5.87% Efficiency ratio 87% 72% 86% 77% Net interest margin (taxable equivalent) 4.61% 4.69% 4.47% 4.75% Average shares outstanding 3,182 3,184 3,182 3,232 Average diluted shares outstanding 3,191 3,192 3,203 3,242 Financial Highlights: Fourth Quarter, 2009 Consolidated Balance Sheets (in '000s) As of As of December 31, December 31, 2009 2008 ------------ ------------ Assets: Cash and cash equivalents $ 62,853 $ 14,865 Securities available for sale 97,188 99,221 Loans, net 494,349 497,984 Premises, equipment and leasehold improvements 11,784 13,030 Other real estate owned 7,320 3,557 Goodwill 1,841 1,841 Other assets 32,974 30,459 ------------ ------------ Total assets $ 708,309 $ 660,957 ============ ============ Liabilities and stockholders' equity: Deposits: Demand and NOW $ 177,883 $ 179,688 Savings and money market 293,758 179,382 Time 127,323 141,840 ------------ ------------ Total deposits 598,964 500,910 Federal Home Loan Bank advances 25,000 86,100 Federal funds purchased -- -- Accrued expenses and other liabilities 5,480 5,798 ------------ ------------ Total liabilities 629,444 592,808 Stockholders' equity 78,865 68,149 ------------ ------------ Total liab. and stockholders' equity $ 708,309 $ 660,957 ============ ============ Other Financial Information Allowance for loan losses $ 9,829 $ 7,075 Nonperforming assets $ 32,912 $ 17,659 Total gross loans $ 504,178 $ 505,059"Management worked hard during 2009 to keep losses at the bank to a minimum. We continue to work with borrowers that may be having financial difficulties in order to attempt to find workable solutions to any problems that may exist. Management has instituted plans that we believe will reduce the OREO and nonperforming levels during 2010. Management is committed to reducing nonperforming assets as soon as possible without incurring unnecessary losses. We believe our decisions and proactive approach in dealing with troubled credits will add value to our shares as we attract new customers, grow our franchise, and hold operating costs to a minimum in 2010," stated Mr. McGraw. Cautionary Statement: This release contains certain forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those stated herein. Management's assumptions and projections are based on their anticipation of future events and actual performance may differ materially from those projected. Risks and uncertainties which could impact future financial performance include, among others, (a) competitive pressures in the banking industry; (b) changes in the interest rate environment; (c) general economic conditions, either nationally or regionally or locally, including fluctuations in real estate values; (d) changes in the regulatory environment; (e) changes in business conditions or the securities markets and inflation; (f) possible shortages of gas and electricity at utility companies operating in the State of California, and (g) the effects of terrorism, including the events of September 11, 2001, and thereafter, and the conduct of war on terrorism by the United States and its allies. Therefore, the information set forth herein, together with other information contained in the periodic reports filed by FNB Bancorp with the Securities and Exchange Commission, should be carefully considered when evaluating its business prospects. FNB Bancorp undertakes no obligation to update any forward-looking statements contained in this release.
Contact Information: Contacts: Tom McGraw Chief Executive Officer (650) 875-4864 Dave Curtis Chief Financial Officer (650) 875-4862 Website: www.fnbnorcal.com