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BANKERS FIRST ANNOUNCES 1991 EARNINGS OF $2.8 MILLION VS. LOSS IN 1990

BANKERS FIRST ANNOUNCES 1991 EARNINGS OF $2.8 MILLION VS. LOSS IN 1990
 AUGUSTA, Ga., Jan. 21 /PRNewswire/ -- Bankers First Corporation (NASDAQ-NMS: BNKF) announced earnings of $2.798 million, or $.64 per share, before extraordinary item, compared to a net loss of $18.271 million, or $4.21 per share, in 1990.
 Lower provision for loan losses, an increase in net interest margin, and lower operating expenses contributed to the improvement in operating results. Also, a loss of $11.5 million on the sale of Athens Federal Savings Bank was included in the company's 1990 results.
 In the fourth quarter, the company wrote down the carrying value of non-performing assets by $4.0 million and replenished reserves for loan losses with a provision of $4.5 million. As a result, Bankers First reported a fourth quarter loss of $1.528 million, or $.35 per share, compared to a $22.165 million loss, or $5.09 per share, for the same period in 1990.
 "Our 1991 results were a significant improvement from 1990," said H.M. Osteen Jr., chairman and chief executive officer. "However, as evidenced by our large provision for loan losses in the fourth quarter, we continue to be negatively impacted by a recessionary economy and a very weak real estate market."
 The company completed FDIC and OTS examinations of its banking units in the fourth quarter which also was a significant factor in determining reserve levels. Reserves for loan losses as a percentage of non-performing assets at Dec. 31, 1991, stood at 28.49 percent. While all of the above factors were considered in establishing the reserve levels, the company's systematic loan review methodology remains unchanged.
 Net interest income declined $4.9 million compared to 1990 principally due to lower levels of earning assets related to the sale of Athens Federal Savings Bank as of Aug. 31, 1991. The net interest spread improved to 2.83 percent in 1991 from 2.75 percent in 1990. Net interest margin followed the same trend at 2.65 percent in 1991 from 2.56 percent in 1990. The lower cost of funds on deposits and reductions of other borrowings in 1991 account for the improvement in net interest margin.
 Other operating revenues and expenses decreased from 1990 levels principally due to the sale of Athens Federal. Cost controls initiated in 1991 and 1990 also contributed to lower levels of operating expenses. The coverage of net interest income to other operating expense remained at 104 percent in 1991 and 1990.
 Non-performing assets stood at $35.6 million at the end of the fourth quarter compared to $35.2 million at the end of the third quarter, a 1.1 percent increase. Non-performing assets at year-end 1990 were $31.3 million.
 Bankers First Corporation is a financial services company principally serving the Augusta, Rossville (Chattanooga, Tenn.) and Savannah, Ga., markets with 25 banking offices and 27 automated teller machines. The company's common stock is traded on the NASDAQ National Market System using the symbol BNKF. The abbreviation found in most newspaper listings is "Bankers First."
 BANKERS FIRST CORPORATION AND SUBSIDIARIES
 Consolidated Statements of Financial Condition (Unaudited)
 ($ in thousands)
 At Dec. 31 1991 1990
 ASSETS
 Cash and amounts due from depository
 institutions $ 22,200 $ 33,171
 Interest bearing deposits 60,952 66,004
 Federal funds sold, at cost 75 75
 Investment securities, at amortized cost 32,083 49,391
 Federal Home Loan Bank stock, at cost 8,411 11,556
 Mortgage-backed securities, at amortized
 cost 164,267 229,065
 Loans receivable, net 546,829 971,757
 Premises and equipment, net 17,568 27,165
 Investment properties 14,655 15,075
 Repossessed assets 19,782 21,206
 Accrued interest receivable 8,068 14,582
 Cost in excess of net assets acquired 3,594 4,289
 Other assets 5,888 12,567
 Total $ 904,372 $1,455,903
 LIABILITIES AND STOCKHOLDERS' EQUITY
 Deposits $ 737,157 $1,182,187
 Retail repurchase agreements 14,441 13,492
 Advance payments by borrowers for taxes
 and insurance 1,450 2,441
 Other borrowings 74,568 181,224
 Other liabilities 12,937 14,675
 Total liabilities 840,553 1,394,019
 Stockholders' equity:
 Common stock, $.01 par value; authorized
 12,500,000 shares; issued and outstanding
 4,379,388 shares in 1991 and 4,356,653
 shares in 1990 44 43
 Serial preferred stock, $.01 par value;
 authorized 7,500,000 shares; none
 outstanding --- ---
 Additional paid-in capital 54,366 54,265
 Retained earnings (substantially
 restricted) 12,201 10,328
 Loans to and guarantees of indebtedness
 of Employee Stock Ownership Plan
 and others (2,792) (2,752)
 Total stockholders' equity 63,819 61,884
 Total $ 904,372 $1,455,903
 TANGIBLE BOOK VALUE PER SHARE $13.75 $13.22
 Consolidated Statements of Financial Operations (Unaudited)
 ($ in thousands, except per-share amounts)
 3 mos. ended 12/31/91 12/31/90
 Interest income:
 Interest on loans and mortgage-backed
 securities $ 17,826 $ 32,767
 Dividends on Federal Home Loan Bank stock 154 245
 Other interest income 1,315 1,978
 Total interest income 19,295 34,990
 Interest expense:
 Interest on deposits 12,030 21,417
 Interest on retail repurchase agreements 180 199
 Interest on Federal Home Loan Bank
 advances and other borrowings 1,798 4,279
 Total interest expense 14,008 25,949
 Net interest income 5,287 9,041
 Provision for loan losses 4,500 14,676
 Net interest income after provision
 for loan losses 787 (5,635)
 Other income:
 Loan servicing fees 192 156
 Loan fees & service charges 177 456
 Service charges on deposit accounts 1,167 1,520
 Gain on sale of loans and MBS's 569 183
 Real estate operations (320) (411)
 Other 25 194
 Other income 1,810 2,098
 Operating expense:
 Salaries and employee benefits 2,490 3,850
 Net occupancy expense 1,247 1,994
 Advertising and promotion 50 192
 FDIC insurance expense 430 607
 Amortization of costs in excess of net assets
 acquired 168 369
 Other 463 1,702
 Operating expense 4,848 8,714
 Write down of investment in thrift
 subsidiary --- 11,500
 Restructuring charge --- 700
 Net non-interest expense 3,038 18,816
 Income before income taxes (2,251) (24,451)
 Income tax expense (benefit) (723) (2,286)
 Net income (loss) before extraord. item (1,528) (22,165)
 Early extinguishment of debt net of income
 tax benefit of 319 --- ---
 Net income (loss) after extraord. item $ (1,528) $(22,165)
 Net income (loss) per share before extraord.
 item $ (.35) $ (5.09)
 Extraordinary item - debt extinguishment --- ---
 Net income (loss) per share after extraord.
 item $ (.35) $ (5.09)
 Wtd. avg. shares outstanding (000s) 4,372 4,354
 12 mos. ended 12/31/91 12/31/90
 Interest income:
 Interest on loans and mortgage-backed
 securities $104,909 $134,518
 Dividends on Federal Home Loan Bank stock 769 1,050
 Other interest income 7,704 8,184
 Total interest income 113,382 143,752
 Interest expense:
 Interest on deposits 70,495 89,174
 Interest on retail repurchase agreements 695 764
 Interest on Federal Home Loan Bank
 advances and other borrowings 11,929 18,647
 Total interest expense 83,119 108,585
 Net interest income 30,263 35,167
 Provision for loan losses 5,850 18,971
 Net interest income after provision
 for loan losses 24,413 16,196
 Other income:
 Loan servicing fees 739 578
 Loan fees & service charges 1,258 1,631
 Service charges on deposit accounts 5,568 5,893
 Gain on sale of loans and MBS's 1,959 1,103
 Real estate operations (1,524) (268)
 Other 468 2,490
 Other income 8,468 11,427
 Operating expense:
 Salaries and employee benefits 13,558 14,919
 Net occupancy expense 6,439 7,879
 Advertising and promotion 468 747
 FDIC insurance expense 2,303 2,433
 Amortization of costs in excess of net assets
 acquired 669 1,506
 Other 5,662 6,349
 Operating expense 29,099 33,833
 Write-down of investment in thrift
 subsidiary --- 11,500
 Restructuring charge --- 700
 Net non-interest expense 20,631 34,606
 Income before income taxes 3,782 (18,410)
 Income tax expense (benefit) 984 (139)
 Net income (loss) before extraord. item 2,798 (18,271)
 Early extinguishment of debt net of
 income tax benefit of 319 618 ---
 Net income (loss) after extraord. item $ 2,180 $(18,271)
 Net income (loss) per share before extraord.
 item 0.64 (4.21)
 Extraord. item - debt extinguishment 0.14 ---
 Net income (loss) per share after extraord.
 item $ .50 $ (4.21)
 Wtd. avg. shares outstanding (000s) 4,361 4,335
 Financial Highlights
 (Unaudited)
 ($ in thousands except per share amounts)
 3 mos. ended Dec. 31 1991 1990
 FOR THE PERIOD
 Net interest income $ 5,287 $ 9,041
 Provision for loan losses 4,500 14,676
 Non-interest income 1,810 2,098
 Non-interest expense 4,848 8,714
 Net income (1,528) (22,165)
 PER SHARE
 Net income bef. extraord. exp. $ (.35) $ (5.09)
 Extraord. item - debt
 extinguishment --- ---
 Net income (loss) after extraord.
 item (.35) (5.09)
 Dividends paid 0.07 0.07
 Tangible book value 13.75 13.22
 ASSET YIELDS/FUNDS COST
 Yield on earning assets 9.25 pct. 10.49 pct.
 Cost of funds 6.63 7.58
 Interest spread 2.63 2.91
 PERFORMANCE MEASURES
 Return on average assets (.66) pct. (6.08) pct.
 Return on average equity (9.28) (109.85)
 Net yield on average earning
 assets 2.58 2.77
 G & A expenses/average assets 2.02 2.29
 Non-performing assets/
 total assets 3.93 2.15
 AT PERIOD END
 Assets $ 904,372 $1,455,903
 Deposits 751,598 1,195,679
 Loans receivable and MBS's 711,096 1,200,822
 Earning assets 812,617 1,327,848
 Non-performing assets 35,578 31,300
 Tangible shareholder's equity 60,225 57,595
 Tangible equity/assets 6.69 pct. 3.96 pct.
 Shares outstanding (in 000s) 4,380 4,357
 AVERAGE BALANCES
 Assets $ 924,613 $1,458,268
 Deposits and repurchase
 agreements 763,526 1,179,252
 Loans receivable and MBS's 725,715 1,223,157
 Earning assets 833,222 1,322,500
 Shares outstanding (in 000s) 4,372 4,354
 12 mos. ended Dec. 31 1991 1990
 FOR THE PERIOD
 Net interest income $30,263 $35,167
 Provision for loan losses 5,850 18,971
 Non-interest income 8,468 11,427
 Non-interest expense 29,099 33,833
 Net income 2,180 (18,271)
 PER SHARE
 Net income bef. extraord. exp. $ 0.64 $ (4.21)
 Extraord. item - debt
 extinguishment (.14) ---
 Net income (loss) after extraord.
 item 0.50 (4.21)
 Dividends paid 0.07 0.28
 Tangible book value 13.75 13.22
 ASSET YIELDS/FUNDS COST
 Yield on earning assets 9.93 pct. 10.47 pct.
 Cost of funds 7.10 7.72
 Interest spread 2.83 2.75
 PERFORMANCE MEASURES
 Return on average assets 0.17 pct. (1.21) pct.
 Return on average equity 3.38 (22.31)
 Net yield on average earning
 assets 2.65 2.56
 G & A expenses/average assets 2.27 2.14
 Non-performing assets/
 total assets 3.93 2.15
 AT PERIOD END
 Assets $ 904,372 $1,455,903
 Deposits 751,598 1,195,679
 Loans receivable and MBS's 711,096 1,200,822
 Earning assets 812,617 1,327,848
 Non-performing assets 35,578 31,300
 Tangible shareholder's equity 60,225 57,595
 Tangible equity/assets 6.69 pct. 3.96 pct.
 Shares outstanding (in 000s) 4,380 4,357
 AVERAGE BALANCES
 Assets $1,254,551 $1,508,741
 Deposits and repurchase
 agreements 1,041,230 1,205,782
 Loans receivable and MBS's 1,016,234 1,263,233
 Earning assets 1,142,221 1,373,001
 Shares outstanding (in 000s) 4,361 4,335
 -0- 1/21/92
 /CONTACT: Glenn W. Peters, vice president and chief financial officer of Bankers First Corp., 404-823-3235/
 (BNKF) CO: Bankers First Corporation ST: Georgia IN: FIN SU: ERN


BN-BR -- AT006 -- 1775 01/21/92 11:30 EST
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Date:Jan 21, 1992
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