Print page |
E-mail page
| 
Download PDF
« Previous Release | Next Release »
MIDDLETOWN, N.J., Dec 31, 2008 (BUSINESS WIRE) --
Community Partners Bancorp (NasdaqCM: CPBC) announced today that it has received preliminary approval to participate in the U.S. Treasury Department's Capital Purchase Program. This program is a voluntary initiative designed primarily for the nation's healthier financial institutions.
"The additional capital will enhance our ability to meet the borrowing needs of our customers in Monmouth and Union Counties, where we are a leading source of community bank lending," said Barry B. Davall, President and Chief Executive Officer. "Community Partners is pleased to have this opportunity to participate in the Treasury Department's effort to provide additional lending capacity to support economic activity."
Under the Capital Purchase Program, Community Partners plans to sell the U.S. Treasury $9 million in fixed rate cumulative perpetual preferred stock, along with warrants to purchase approximately $1.35 million in common stock. The transaction is expected to close in January 2009.
Community Partners' total risk-based capital ratio of 11.57% at September 30, 2008 exceeds the 10% threshold for a well-capitalized financial institution. With the inclusion of $9 million in capital from the U.S. Treasury, Community Partners' total risk-based capital ratio would increase to 13.48%, on a pro forma basis, at September 30, 2008.
Community Partners Bancorp 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. More information about the company is available at www.communitypartnersbancorp.com.
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, except as required by law.
SOURCE: Community Partners Bancorp
Community Partners Bancorp
Kirk Petersen, 973-820-1326 (cell)
Media Relations
kirk@kirkpetersen.net
Copyright Business Wire 2008
News Provided by COMTEX