Columbia Bancorp First Quarter Net Income Increases 18% Reaching $1.5 Million or $.19 Per Share.Business Editors THE DALLES dalles pl.n. The rapids of a river that runs between the steep precipices of a gorge or narrow valley. [French, pl. of dalle, gutter, from Old French, from Old Norse dæla.] , Ore.--(BUSINESS WIRE)--April 25, 2001 Columbia Columbia, cities, United States Columbia (kəlŭm`bēə). 1 City (1990 pop. 75,883), Howard co., central Md., between Washington, D.C., and Baltimore. Bancorp (Nasdaq:CBBO) today reported first quarter net income of $1.5 million, or $.19 per 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. share, an increase of 18% as compared to $1.3 million, or $.16 per diluted share, in the first quarter of 2000. Cash earnings in the first quarter -- earnings before the amortization of goodwill -- were $.20 per diluted share compared to $.18 per diluted share in the like quarter a year ago. "It was a very solid start to 2001," said Terry Cochran, 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. . "We are pleased with the 18% growth in earnings during a quarter of tighter economic conditions -- and very pleased with the other accomplishments and initiatives of the first quarter." Cochran noted that Columbia's loans, deposits and assets grew to record levels, the company announced a stock repurchase Stock repurchase A firm's repurchase of outstanding shares of its common stock. program, and declared an $.08 per share quarterly dividend. In February February: see month. , Cochran announced his retirement and the appointment of current COO (Cell Of Origin) See mobile positioning. , Roger Christensen Christensen may refer to:
"Strong loan growth was instrumental in our 12% increase in net interest income after provision for loan losses," Cochran added. "Year-over-year, we increased the size of our loan portfolio to $318.6 million at the end of March compared to $266.5 million a year ago." Columbia's net interest income after the provision for loan losses increased to $5.0 million compared to $4.5 million in the first quarter a year ago despite a decrease in the margin. "Some margin compression was expected," said Cochran, noting that the company is slightly asset sensitive, and price competition on both loans and deposits contributed to the net interest margin decrease. Non-interest income for the first quarter was up 46% as compared to the same period a year ago. The decrease in interest rates and subsequent acceleration in mortgage loan activity resulted in a 95% increase in fees generated from mortgage lending services. Increases in fees from deposit product service charges, increased 26% compared to the like period a year ago, and revenues from the Bank's Bankcard bank·card n. A card issued by a bank authorizing the holder to receive bank services and often functioning as a debit card. and Financial Services 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. Department were up 21% and 12%, respectively. Non-interest, or operating, expense totaled $4.6 million during the quarter, up from $3.8 million in the like quarter a year ago, but down from the $4.8 million during the fourth quarter of 2000. "The ramp up Ramp Up To increase a company's operations in anticipation of increased demand. Notes: A company might 'ramp up' operations if they just signed a contract creating substantially more demand for their product. See also: Demand, Economies of Scale in mortgage operations combined with the continued overall growth in staffing throughout our growing company contributed to the growth in noninterest expense," noted Cochran. Columbia's efficiency ratio for the quarter slipped to 63.5% as compared to 60.7% in the year ago quarter. On a cash basis, excluding the goodwill amortization cost, the efficiency ratio was 61.4% compared to 59.9% a year ago. "As our new branches continue to gain market share, we believe our corporate efficiency will improve," said Cochran. "During the quarter, we introduced check safekeeping Safekeeping The storage of assets or other items of value in a protected area. Notes: Individuals may use self-directed methods of safekeeping or the services of a bank or brokerage firm. and imaged statements as options to our deposit customers. A win-win win-win adj. Of or being a situation in which the outcome benefits each of two often opposing groups: a win-win proposition for the buyer and the seller. , we have overwhelmingly received positive feed back from our customers while improving internal efficiency. We also just celebrated the first anniversary of our Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the banking product -- Columbia River Columbia River River, southwestern Canada and northwestern U.S. Rising in the Canadian Rockies, it flows through Washington state, entering the Pacific Ocean at Astoria, Ore.; it has a total length of 1,240 mi (2,000 km). BankNet (accessed through the Bank's web site: www.columbiariverbank.com). We feel these initiatives allow us to offer big bank convenience coupled with community bank service," Cochran noted. During the first quarter, total assets increased 3%, or $14.3 million, over total assets at December December: see month. 31, 2000 -- an annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. rate of nearly 14%. Compared to a year ago, total assets increased 11%, or $43.9 million, primarily due to the 16% growth in loans. Deposit growth exceeded 11% growth during the same period. In the first quarter loans and deposits both grew 4%, or on an annualized basis 14% and 18%. Despite the growth of loans, asset quality remained high with non-performing assets totaling $1.0 million, or 0.23% of total assets, down from the $1.3 million, or 0.31% of total assets, at December 31, 2000. Allowance for loan losses totaled $4.8 million, or 1.49% of total loans outstanding. Columbia's cash basis return on average assets was 1.60% and cash basis return on average equity was 15.85%, both improvements over the 1.54% cash basis return on average assets and 15.21% cash basis return on average equity for the first quarter of 2000. As a result of earnings growth, stockholders' equity Stockholders' Equity The portion of the balance sheet that includes capital received from investors in exchange for stock (paid-in capital), donated capital, and retained earnings. This is equal to total assets minus liabilities, preferred stock and intangible assets. increased 12%, to $42.6 million, from $37.9 million a year ago. Tangible book value at March 31, 2001 was $4.32 per share compared to $4.15 per share at December 31, 2000, and $3.67 per share at March 31, 2000. Christensen, who will become Columbia's Chief Executive Officer in May, stated, "Despite some softening softening /sof·ten·ing/ (sof´en-ing) malacia. softening a change of consistency, with loss of firmness or hardness. in the state and national economies, our first quarter results reflect our strength in the markets we serve including the Mid-Columbia, Central Oregon Central Oregon is a geographical region lying near the center of the U.S. state of Oregon. It is commonly considered to include Deschutes, Jefferson, and Crook counties. Primary cities in Central Oregon are La Pine, Sunriver, Bend, Redmond, Madras, and Prineville. , Yamhill The code name for the 64-bit extensions to 32-bit Intel CPUs (x86). See Intel 64. County and Northeastern Oregon Oregon, city, United States Oregon, city (1990 pop. 18,334), Lucas co., NW Ohio, a suburb adjacent to Toledo, on Lake Erie; inc. 1958. It is a port with railroad-owned and -operated docks. The city has industries producing oil, chemicals, and metal products. . We are well positioned to execute our strategic plan for 2001, which includes achievement of a cash basis return on average equity of over 17%, earnings per share of $0.82, and asset growth of 14%." Columbia Bancorp is the holding company for Columbia River Bank, which operates 13 branches located in The Dalles, Hood River The Hood River is a tributary of the Columbia River in northwestern Oregon in the United States. Approximately 25 mi (40 km) long from its mouth to its farthest headwaters on the East Fork, the river descends from wilderness areas in the Cascade Range on Mount Hood and flows , Bend, Madras Madras. 1 State and former province, India: see Tamil Nadu. 2 City, India: see Chennai. , Redmond Redmond, city (1990 pop. 35,800), King co., W Wash., a suburb of Seattle, on Lake Sammamish; inc. 1912. Its economy centers around computer software (Microsoft Corp. , Pendleton Pendleton, city (1990 pop. 15,126), seat of Umatilla co., NE Oreg., on the Umatilla River, in the foothills of the Blue Mts.; founded 1869 on the old Oregon Trail, inc. 1889. Hermiston, McMinnville McMinnville, city (1990 pop. 17,894), seat of Yamhill co., NW Oreg.; inc. 1876. It is a trade and processing center in the fertile Willamette valley. Foods, textiles, and building materials are produced, and there are wineries. Linfield College is in McMinnville. and Newberg, Oregon Newberg is a city in Yamhill County, Oregon, United States. A tradition holds that this town was named by its first postmaster, Sebastian Brutscher, for his former hometown of Neuberg in Germany. One of the current streets, Brutscher Street, is named after him. , and in Goldendale and White Salmon, Washington White Salmon is a census-designated place (CDP) in Klickitat County, Washington, United States. The population was 2,193 at the 2000 census. History White Salmon was officially incorporated on June 3, 1907. . In addition to its community banking services, Columbia River Bank also provides mortgage lending services through its Columbia River Bank Mortgage Group, and brokerage services through its affiliation with PrimeVest Financial Services, Inc. and LaSalle Lasalle (ləsăl`) or Ville Lasalle (vēl), city (1991 pop. 73,804), S Que., Canada, SW of Montreal on the St. Lawrence River at the head of the Lachine Rapids. It is a suburb of Montreal. St. Securities. In addition, Columbia Bancorp's news releases, 10-Qs and 10-Ks for the last twelve months are available on the Web site at www.columbiabancorp.com, or via Fax-on-Demand. Call 800/683-0074 to request documents. 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. with respect to the financial condition, results of operations and the business of Columbia are subject to certain risks and uncertainties that could cause actual results to differ materially from those set forth in such statements. These include, without limitation: Columbia's ability to manage new and acquired branches; the impact of competition on revenues and margins; and other risks and uncertainties, including statements relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the year 2000, as may be detailed from time to time in Columbia's public announcements and filings with the SEC. Forward-looking statements can be identified by the use of forward-looking for·ward-look·ing adj. Concerned with or making provision for the future: forward-looking educators; a forward-looking corporate plan. Adj. 1. terminology, such as "may", "will", "should", "expect", "anticipate", "estimate", "continue", "plans", "intends", or other similar terminology. Columbia does not intend to publicly release any revisions to these forward-looking statements to reflect events or 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 after the date of the Report, other than in its periodic filings with the SEC, or to reflect the occurrence of unanticipated events.
FINANCIAL HIGHLIGHTS
(unaudited)($ in thousands,
except per share data)
Quarter Ended
Mar. 31, Dec. 31, Mar. 31,
2001 2000 2000
INCOME STATEMENT
----------------
Interest Income $8,539 $8,956 $7,525
Interest Expense $3,262 $3,267 $2,631
Provision For
Loan Losses $ 250 $ 380 $ 399
------ ------ ------
Net Interest Income
After Provision
for Loan Loss $5,026 $5,310 $4,495
Non-Interest Income $2,017 $1,976 $1,378
Non-Interest Expense $4,633 $4,818 $3,806
Provision for
Income Taxes $ 898 $ 889 $ 791
------ ------ ------
Net Income $1,512 $1,579 $1,276
====== ====== ======
Earnings Per Share
Basic $ 0.19 $ 0.20 $ 0.16
Diluted $ 0.19 $ 0.20 $ 0.16
Cumulative Dividend
Per Share $ 0.08 $ 0.08 $ 0.07
Cash Earnings
Per Share (2)
Basic $ 0.21 $ 0.22 $ 0.18
Diluted $ 0.20 $ 0.21 $ 0.18
Weighted Average
Shares Outstanding
Basic 8,034 8,024 8,013
Diluted 8,166 8,084 8,066
Efficiency Ratio (Non-
Interest Expense/Revenue)
Excludes amortization
of costs in excess of
net assets
acquired (Goodwill) 61.37% 60.80% 58.17%
Includes amortization
of costs in excess of
net assets acquired
(Goodwill) 63.53% 62.85% 60.68%
Mar. 31, Dec. 31, Mar. 31,
2001 2000 2000
BALANCE SHEET
-------------
Total Assets $431,187 $416,859 $387,297
Securities Available
For Sale $ 31,622 $ 39,388 $ 40,854
Securities Held
To Maturity $ 19,638 $ 19,518 $ 19,490
Loans Receivable Held
For Sale $ 13,724 $ 5,318 $ 3,784
Loans Receivable, Net $304,923 $294,563 $262,723
Costs In Excess of Net
Assets Acquired $ 7,861 $ 8,018 $ 8,489
Deposits $361,898 $346,427 $325,677
Borrowings $ 23,012 $ 26,369 $ 21,197
Equity $ 42,596 $ 41,326 $ 37,889
Book Value Per
Share (3) $ 5.30 $ 5.15 $ 4.73
Tangible Book Value
Per Share (3) $ 4.32 $ 4.15 $ 3.67
(1) Certain amounts in the prior periods' financial statements
have been reclassified to conform to the current period's
presentation. These reclassifications have affected certain
ratios for the prior periods. The effect of such
reclassifications is immaterial.
(2) Earnings per share excluding Goodwill.
(3) Calculation is based on 8,043,695 shares outstanding at the
end of the period.
ADDITIONAL FINANCIAL INFORMATION
(unaudited)($ in thousands)
Quarter Ended
--------------------------------------
NON-PERFORMING ASSETS: Mar. 31, Dec. 31, Mar. 31,
2001 2000 2000
--------------------------------------
Delinquent Loans on
Non-Accrual Status $ 998 $ 1,163 $ 843
Delinquent Loans on
Accrual Status $ 6 $ 7 $ --
Restructured Loans $ -- $ 116 $ 194
-------- ------- -------
Total Non-performing Loans $ 1,004 $ 1,286 $ 1,037
REO $ -- $ -- $ --
======== ======= =======
Total Non-performing Assets $ 1,004 $ 1,286 $ 1,037
======== ======= =======
Total Non-performing
Assets/Total Assets 0.23% 0.31% 0.27%
Quarter Ended
--------------------------------------
CHANGE IN THE ALLOWANCE Mar. 31, Dec. 31, Mar. 31,
FOR LOAN LOSSES: 2001 2000 2000
--------------------------------------
Balance at Beginning
of Period $ 4,578 $ 4,397 $ 3,298
Provision for Loan Losses $ 250 $ 380 $ 399
Recoveries $ 17 $ 3 $ 3
Charge Offs $ (26) $ (202) $ (11)
-------- ------- -------
Balance at End of Period $ 4,819 $ 4,578 $ 3,689
======== ======= =======
Loan Loss Allowance/Gross
Loans 1.49% 1.50% 1.37%
Loan Loss
Allowance/Non-performing Loans 479.90% 355.95% 355.78%
Quarter Ended
--------------------------------------
OPERATING PERFORMANCE: Mar. 31, Dec. 31, Mar. 31,
2001 2000 2000
--------------------------------------
Average Interest-Earning
Assets $377,922 $356,806 $ 332,075
Average-Non-Interest Earning
Assets $ 40,441 $ 41,616 $ 40,585
-------- ------- -------
Total Average Assets $418,363 $398,422 $ 372,660
======== ======= =======
Average Interest-Bearing
Liabilities $293,095 $277,320 $ 260,950
Average Non-Interest-Bearing
Liabilities $ 83,161 $ 82,040 $ 74,030
-------- ------- -------
Total Average Liabilities $376,256 $359,360 $ 334,980
Average Equity $ 42,107 $ 39,062 $ 37,680
-------- ------- -------
Total Average Liabilities
and Equity $418,363 $398,422 $ 372,660
======== ======= =======
--------------------------------------
RATIOS: Mar. 31, Dec. 31, Mar. 31,
2001 2000 2000
--------------------------------------
Interest Rate Yield on
Interest-Earning Assets 9.16% 9.48% 9.21%
Interest Rate Expense on
Interest-Bearing Liabilities 4.45% 4.42% 4.03%
Interest Rate Spread 4.71% 5.06% 5.18%
Net Interest Margin 5.71% 6.05% 6.04%
Return on Average Assets 1.45% 1.41% 1.37%
Cash Basis Return on
Average Assets 1.60% 1.57% 1.54%
Return on Average Equity 14.36% 14.40% 13.54%
Cash Basis Return on
Average Equity 15.85% 16.01% 15.21%
Average Equity/Average Assets 10.06% 9.80% 10.11%
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