Print page |
E-mail page
| 
Download PDF
« Previous Release | Next Release »
MIDDLETOWN, N.J., Jul 25, 2008 (BUSINESS WIRE) -- Community Partners Bancorp (NASDAQ CM: CPBC) ("Community Partners" or the "Company"), the parent company of Two River Community Bank and The Town Bank, reported consolidated earnings and assets for the quarter and six months ended June 30, 2008.
Community Partners reported net income of $290,000 for the quarter ended June 30, 2008, or $0.04 per share for both basic and diluted earnings per share, compared to net income of $1,029,000 for the second quarter of 2007, or $0.15 for both basic and diluted earnings per share. Net income for the quarter ended June 30, 2008 decreased by approximately $739,000, or 71.8%, over the same prior year quarter. On a linked quarter basis, net income for the second quarter of 2008 decreased by approximately $425,000, or 59.4%, from the first quarter of 2008.
During the quarter ended June 30, 2008 the Company felt it prudent to record an additional provision of $588,000 for potential loan losses compared to $1,000 during the same prior year quarter and $85,000 during the linked quarter ended March 31, 2008.
For the six months ended June 30, 2008, net income amounted to $1,005,000 compared to $1,930,000 for the six months ended June 30, 2007. This represents a decrease of $925,000, or 47.9%, in net income. Basic and diluted earnings per share for the six months ended June 30, 2008 were $0.15 compared to basic and diluted earnings per share of $0.29 and $0.28, respectively, for the same prior year period. Results of operations were significantly lower during the first six months of 2008 compared to the same prior year period as a result of the above additional loan loss provisions and the investment in three new branch offices and an expanded operations center. The general slow-down of earning asset growth opportunities resulting from the weakening economic conditions was another factor causing the reduction in earnings.
Barry B. Davall, President & CEO, stated, "Although the Community Partners member banks have never originated subprime mortgages, we are not immune from the effect of the challenging financial environment as reflected in the reduction in 2008 earnings year to date." He further stated that the Company and its subsidiaries continue to have capital ratios that are within or above the range to be considered well capitalized.
At June 30, 2008, total assets amounted to $544.1 million, an increase of $19.0 million, or 3.6%, over December 31, 2007 assets of $525.1 million. The Company's loan portfolio, net of allowances for loan losses, amounted to $428.7 million at June 30, 2008, an increase of $16.4 million, or 4.0%, compared to $412.3 million at December 31, 2007. Total deposits amounted to $436.1 million at June 30, 2008, compared to $427.0 million at December 31, 2007, an increase of $9.1 million, or 2.1%.
Community Partners is the holding company for Two River Community Bank, which is headquartered in Middletown, New Jersey, and The Town Bank, which is headquartered in Westfield, New Jersey. Two River Community Bank currently operates eleven branches throughout Monmouth County and The Town Bank currently operates four branches in Union County.
The foregoing contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are not historical facts and include expressions about management's confidence and strategies and management's expectations about new and existing programs and products, relationships, opportunities, taxation, technology and market conditions. These statements may be identified by such forward-looking terminology as "expect," "look," "believe," "anticipate," "may," "will," or similar statements or variations of such terms. Actual results may differ materially from such forward-looking statements. Factors that may cause results to differ materially from such forward-looking statements include, but are not limited to, changes in interest rates or in national or local economic conditions in areas in which our operations are concentrated, increased competition, rapid growth, reliance on management and other key personnel and other such risks. Community Partners assumes no obligation for updating any such forward-looking statements at any time.
COMMUNITY PARTNERS BANCORP
CONSOLIDATED BALANCE SHEETS (Unaudited)
June 30, 2008 and December 31, 2007
(In thousands, except per share data)
December
June 30, 31,
2008 2007
--------- ---------
ASSETS
Cash and due from banks $ 11,689 $ 9,675
Federal funds sold - 338
--------- ---------
Cash and cash equivalents 11,689 10,013
Securities available-for-sale 55,655 55,545
Securities held-to-maturity (fair value of $7,162
and $7,492 at June 30, 2008 and December 31,
2007, respectively) 7,556 7,557
Loans 434,067 416,967
Allowance for loan losses (5,349) (4,675)
--------- ---------
Net loans 428,718 412,292
Bank-owned life insurance 4,026 3,951
Premises and equipment, net 5,901 5,090
Accrued interest receivable 2,099 2,291
Goodwill and other intangible assets, net of
accumulated amortization of $804 and $641 at June
30, 2008 and December 31, 2007, respectively 26,136 26,299
Other assets 2,294 2,063
--------- ---------
TOTAL ASSETS $544,074 $525,101
========= =========
LIABILITIES AND SHAREHOLDERS' EQUITY
LIABILITIES
Deposits:
Non-interest bearing $ 74,604 $ 72,688
Interest bearing 361,495 354,271
--------- ---------
Total deposits 436,099 426,959
Securities sold under agreements to repurchase 19,553 15,187
Short-term borrowings 5,346 -
Accrued interest payable 457 531
Long-term debt 7,500 7,500
Other liabilities 2,256 2,467
--------- ---------
Total liabilities 471,211 452,644
--------- ---------
SHAREHOLDERS' EQUITY
Preferred stock, no par value; 6,500,000 shares
authorized; no shares issued and outstanding - -
Common stock, no par value; 25,000,000 shares
authorized; 6,740,303 and 6,722,784 shares issued
and outstanding at June 30, 2008 and December 31,
2007, respectively 66,644 66,552
Retained earnings 6,425 5,805
Accumulated other comprehensive (loss) income (206) 100
--------- ---------
Total shareholders' equity 72,863 72,457
--------- ---------
TOTAL LIABILITIES and SHAREHOLDERS' EQUITY $544,074 $525,101
========= =========
COMMUNITY PARTNERS BANCORP
CONSOLIDATED STATEMENTS OF INCOME (Unaudited)
For the Three Months and Six Months Ended June 30, 2008 and 2007
Three Months Six Months
Ended Ended
June 30, June 30,
------------- ---------------
2008 2007 2008 2007
------ ------ ------- -------
(In thousands, except per
share data)
INTEREST INCOME:
Loans, including fees $6,832 $8,120 $14,066 $16,225
Investment securities 705 695 1,454 1,368
Federal funds sold 24 333 60 502
------ ------ ------- -------
Total Interest Income 7,561 9,148 15,580 18,095
------ ------ ------- -------
INTEREST EXPENSE:
Deposits 2,499 3,952 5,440 7,896
Securities sold under agreements to
repurchase 112 141 240 240
Borrowings 81 - 164 -
------ ------ ------- -------
Total Interest Expense 2,692 4,093 5,844 8,136
------ ------ ------- -------
Net Interest Income 4,869 5,055 9,736 9,959
PROVISION FOR LOAN LOSSES 589 1 674 57
------ ------ ------- -------
Net Interest Income after Provision for
Loan Losses 4,280 5,054 9,062 9,902
------ ------ ------- -------
NON-INTEREST INCOME:
Service fees on deposit accounts 155 147 333 290
Other loan customer service fees 48 94 79 185
Earnings from investment in life
insurance 37 31 75 62
Other income 145 166 276 301
------ ------ ------- -------
Total Non-Interest Income 385 438 763 838
------ ------ ------- -------
NON-INTEREST EXPENSES:
Salaries and employee benefits 2,272 1,993 4,446 3,925
Occupancy and equipment 760 631 1,578 1,305
Professional 210 180 416 359
Insurance 135 144 290 271
Advertising 61 104 117 209
Data processing 159 113 271 260
Outside services fees 151 112 265 219
Amortization of identifiable
intangibles 76 86 163 182
Other operating 425 401 747 843
------ ------ ------- -------
Total Non-Interest Expenses 4,249 3,764 8,293 7,573
------ ------ ------- -------
Income before Income Taxes 416 1,728 1,532 3,167
INCOME TAX EXPENSE 126 699 527 1,237
------ ------ ------- -------
Net Income $ 290 $1,029 $ 1,005 $ 1,930
====== ====== ======= =======
EARNINGS PER SHARE:
Basic $ 0.04 $0.15 $ 0.15 $ 0.29
Diluted $ 0.04 $0.15 $ 0.15 $ 0.28
Weighted average shares outstanding (in
thousands):
Basic 6,740 6,715 6,738 6,711
Diluted 6,870 6,876 6,872 6,881
SOURCE: Community Partners Bancorp
Community Partners Bancorp Barry B. Davall, 732-706-9009 President & CEO www.communitypartnersbancorp.com
Copyright Business Wire 2008
News Provided by COMTEX