AmericasBank Corp. reports third quarter 2006 results.TOWSON Towson (tou`sən), uninc. city (1990 pop. 49,445), seat of Baltimore co., N Md., a residential and industrial suburb of Baltimore; settled c.1750. An important suburban business and government center, the city has varied manufactures. , Md. -- AmericasBank Corp. (Nasdaq:AMAB AMAB Arctic Marine Advisory Board (Canada) ), the parent company of AmericasBank, today announced financial results for the three months and nine months ended September September: see month. 30, 2006. The Company reported a net loss for the third quarter of 2006 of $(359,795) or $(0.14) per basic and diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. common share, as compared with a net loss of $(11,101) or $(0.01) per basic and diluted common share for the third quarter of 2005. For the nine months ended September 30, 2006, the company reported a net loss of $(564,518) or $(0.25) per basic and diluted common share, compared with a net loss of $(315,078) or $(0.33) per basic and diluted common share for the first nine months of last year. The loss for the three months ended September 30, 2006 is attributable primarily to a $470,000 provision for loan and lease losses, which was announced by the company last week. The provision boosts the allowance for loan and lease losses from $454,000 at June June: see month. 30, 2006 to $916,000 at September 30, 2006. The allowance for loans and leases as a percent of loans increased from 0.71% at June 30, 2006 to 1.15% at September 30, 2006. In the press release last week on the loan loss provision for the quarter ended September 30, 2006, Mark H. Anders Anders is a name in Scandinavian languages, the equivalent of the Greek Andreas ("manly") and the English Andrew. Anders is the German word for different. In Sweden, Anders has been one of the most common names for many centuries. , President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of the Company, stated, "Our provision for loan and lease losses in the third quarter should not be interpreted as a significant weakening weak·en tr. & intr.v. weak·ened, weak·en·ing, weak·ens To make or become weak or weaker. weak  en·er n. in the asset quality of the bank." The Company confirmed today that
its level of nonperforming assets Nonperforming assetAn asset that is not effectively producing income, such as an overdue loan. nonperforming asset An asset that produces no income. have remained essentially unchanged, and have declined as a percent of total assets over the last four quarters to 0.65% as of September 30, 2006. The Company's charge offs during the quarter ended September 30, 2006 were 0.01% of the average loans for the quarter. Total charge-offs at the Towson-based bank since the beginning of 2004 have amounted to approximately $11,000. Anders added, "We are very pleased with our loan growth during the third quarter." Since June 30, 2006, net loans increased 24.2%, bringing net loan growth in 2006 to 60.0%. Interest revenue from loans for the third quarter of 2006 increased by 25.9% over loan interest revenue in the second quarter of 2006. The growth in loan interest revenue during the period was offset by a 34.4% increase in interest costs as the Bank increased its liquidity to support its current level of loan originations The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. . As a result, for the three months ended September 30, 2006, net interest income increased 14.8% to $924,874 from $805,400 for the three months ended June 30, 2006. The net interest margin contracted to 4.12% for the quarter, down from 4.22% for the three months ended June 30, 2006. Noninterest revenues decreased 8.7% to $123,593 for the quarter ended September 30, 2006 from $135,369 for the previous quarter ended June 30, 2006, reflecting softness in the Bank's mortgage lending business. Noninterest expenses increased 4.5% between the second and third quarters of 2006, to $938,262 for the three months ended September 30, 2006 from $897,817 for the three months ended June 30, 2006. On a comparative basis to the three and nine months ended September 30, 2005, net interest income increased 91.5% and 93.7% during the three and nine months ended September 30, 2006, while non interest revenues contracted (27.6)% and (24.3)%, respectively. Noninterest expenses for the three and nine month periods increased 44.4% and 38.6%, respectively. Total assets at September 30, 2006 were $96.3 million, an increase of 35.1% or $25.0 million since September 30, 2005. Loans and leases, net of the allowance for loan losses, increased 70.8% to $78.4 million at September 30, 2006, compared with $45.9 million at September 30, 2005. Total deposits at September 30, 2006 were $80.1 million, up from $65.9 million at September 30, 2005. Stockholders equity amounted to $15.8 million at September 30, 2006, compared with $5.2 million at September 30, 2005. About AmericasBank Corp. AmericasBank Corp. is the parent company of AmericasBank, a Maryland-chartered commercial bank headquartered in Towson, Maryland “Towson” redirects here. For other uses, see Towson (disambiguation). Towson is an unincorporated community and a census-designated place in Baltimore County, Maryland, United States. The population was 51,793 at the 2000 census. . AmericasBank is dedicated to contributing to the growth and prosperity of the communities it serves, with a special focus on serving the needs of the business community and promoting home ownership. The statements in this press release that are not historical facts constitute "forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. " as defined by Federal Securities laws. Such statements, regarding AmericasBank Corp.'s anticipated future results of operations, are subject to risks and uncertainties that could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. Potential risks and uncertainties include, but are not limited to: the risk that AmericasBank Corp. may continue to incur To become subject to and liable for; to have liabilities imposed by act or operation of law. Expenses are incurred, for example, when the legal obligation to pay them arises. An individual incurs a liability when a money judgment is rendered against him or her by a court. losses; the possible loss of key personnel; the inability to successfully implement strategic initiatives; risk of changes in interest rates, deposit flows and loan demand; risks associated with AmericasBank's lending limit; risks associated with the lack of a credit facility; risk associated with having a large percentage of residential real estate loans secured by investment properties; risk of an industry concentration with respect to deposits; risk of credit losses; risks associated with residential mortgage lending, including acting as a correspondent lender; risk associated with a slowdown For articles with similar titles, see Slow Down (disambiguation). A slowdown is an industrial action in which employees perform their duties but seek to reduce productivity or efficiency in their performance of these duties. in the housing market or high interest rates; the allowance for loan and lease losses may not be sufficient; operational risks of the leasing companies to which AmericasBank has extended credit in connection with the lease portfolio; dependence on third party vendors; risk of insufficient capital; risk of possible future regulatory action as a result of past violations of the Real Estate Settlement Procedures Act The Real Estate Settlement Procedures Act, (known as "RESPA"), was an Act passed by the United States Congress in 1974. It is codified at Title 12, Chapter 27 of the United States Code, 12 U.S.C. 2601-2617. ; as well as changes in economic, competitive, governmental, regulatory, technological and other factors that may affect AmericasBank Corp. or AmericasBank specifically or the banking industry generally. Forward-looking statements speak only as of the date they are made. AmericasBank Corp. will not update forward-looking statements to reflect factual assumptions, circumstances CIRCUMSTANCES, evidence. The particulars which accompany a fact. 2. The facts proved are either possible or impossible, ordinary and probable, or extraordinary and improbable, recent or ancient; they may have happened near us, or afar off; they are public or or events that have changed after a forward-looking statement was made. For further information, please refer to the AmericasBank Corp.'s filings with the U.S. Securities and Exchange Commission and available at their web site www.sec.gov. SUPPLEMENTAL FINANCIAL DATA IS ATTACHED [TABLE OMITTED] [TABLE OMITTED] |
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