Cupertino National Bancorp announces income improvement and continued strong loan growth.CUPERTINO Cu·per·ti·no A city of western California west of San Jose. It has an electronics industry. Population: 50,000. , Calif.--(BUSINESS WIRE)--Oct. 11, 1995--Cupertino National Bancorp ("CUNB") parent company of Cupertino National Bank & Trust ("CNB CNB Czech National Bank CNB Centro Nacional de Biotecnologia CNB City National Bank CNB Citizens National Bank CNB Croatian National Bank CNB Chloronitrobenzene CNB Corresponsales No Bancarios (Spanish, Colombia) "), announced net income for the third quarter of 1995 of $404,000 or $.24 per share, a decrease from reported net income of $441,000 or $.27 per share in the third quarter of 1994. However, third quarter 1995 net income represents a substantial improvement over first and second quarter 1995 operating results which were $106,000 and ($654,000) respectively. For the nine months ended Sept. 30, 1995 the year-to-date Year-to-date (YTD) The period beginning at the start of the calendar year up to the current date. net loss was ($144,000) or ($.08) per share, compared to net income of $1,136,000 or $.70 per share for the similar period in 1994. The 1995 year-to-date loss included $1,020,000 in charges (net of tax) related to litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. settlement recorded in the second quarter of 1995 and $275,000 in charges (net of tax) related to the closing of the mortgage division and the termination The point where a line, channel or circuit ends. See SCSI termination and hybrid. of merger discussion with South Valley National Bank in the first quarter of 1995. Without these charges, year to date net income would have been $1,155,000. Don Allen Don Allen was an American college and professional football player. A fullback, he played college football at the University of Texas, and played professionally in the American Football League for the Denver Broncos in 1960. , 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 CUNB said, "We are very pleased with the improved profitability in the third quarter of 1995; the return to shareholders must continue to improve and be our primary focus." Non-performing assets continue to decline with totals as of Sept. 30, 1995 dropping to $2.9 million, from $3.6 million at June June: see month. 30, 1995 and $4.5 million at Sept. 30, 1994. Allen Al·len , Edgar 1892-1943. American anatomist who is noted for his studies of hormones and for the discovery (1923) of estrogen. noted, "The bank's provision for credit losses was reduced to $75,000 in the third quarter of 1995, from $450,000 in the comparable 1994 third quarter due to the improvement in portfolio credit quality." Allen continued, "In reflecting continued improvement in the local economy, our portfolio credit quality continues to improve." The reserve for loan loss represented 1.69% of total loans and 85.6% of non-performing assets at Sept. 30, 1995, compared to 1.70% and 68.3% respectively at June 30, 1995, and 1.66% and 50.67%, respectively at Sept. 30, 1994. The bank's Trust division continues to reflect strong growth, increasing the level of fiduciary fiduciary (fĭd  `shēĕ'rē), in law, a person who is obliged to discharge faithfully a responsibility of trust toward another. assets under management Assets Under Management (AUM) is a term used by financial services companies in the mutual fund and money management or investment management business to gauge how much money they are managing. to a total of
$228 million at Sept. 30, 1995, up from $193 million at June 30, 1995,
and $156 million one year ago.Allen commented, "This outstanding quarterly increase continues to validate To prove something to be sound or logical. Also to certify conformance to a standard. Contrast with "verify," which means to prove something to be correct. For example, data entry validity checking determines whether the data make sense (numbers fall within a range, numeric data the bank's decision to invest more resources in its trust business unit. We expect to see continued improvement in the Trust division, particularly when our new downtown Downtown (called a "city centre" in British English) is a term used in North America when referring to a city's core, usually both in a geographical and commercial / community sense. Palo Alto Palo Alto, city, California Palo Alto (păl`ō ăl`tō), city (1990 pop. 55,900), Santa Clara co., W Calif.; inc. 1894. Although primarily residential, Palo Alto has aerospace, electronics, and advanced research industries. office opens in early 1996." CNB, as of Sept. 30, 1995, substantially exceeds the Bank Regulatory reg·u·late tr.v. reg·u·lat·ed, reg·u·lat·ing, reg·u·lates 1. To control or direct according to rule, principle, or law. 2. Capital guidelines guidelines, n.pl a set of standards, criteria, or specifications to be used or followed in the performance of certain tasks. required to be designated as a "well capitalized Capitalized Recorded in asset accounts and then depreciated or amortized, as is appropriate for expenditures for items with useful lives longer than one year. " financial institution, with its Tier 1 leverage ratio of 7.42% Tier 1 risk based capital ratio of 9.52% and total risk based capital ratio of 12.14%. Allen indicated, "Being well capitalized allows the bank to take advantage of growth opportunities currently available in our market area." Cupertino National Bank and its operating divisions, Commercial Lending, Consumer Lending Consumer lending or consumer loans refers to any type of loan product that is not a mortgage; such as a car, boat, manufactured home, home equity loan, home equity line of credit, signature loan, signature line of credit, recreational vehicle, or Certificate of Deposit loans. , Venture Lending, SBA SBA abbr. Small Business Administration Noun 1. SBA - an independent agency of the United States government that protects the interests of small businesses and ensures that they receive a fair share of government Lending, and Trust Services, serve the Santa Clara Valley
The Santa Clara Valley is a valley just south of the San Francisco Bay in Northern California in the United States. through its regional offices in Cupertino, San Jose San Jose, city, United States San Jose (sănəzā`, săn hōzā`), city (1990 pop. 782,248), seat of Santa Clara co., W central Calif.; founded 1777, inc. 1850. and Palo Alto. These locations are in the heart of "Silicon Valley" and the San Francisco Bay Area “Bay Area” redirects here. For other uses, see Bay Area (disambiguation). The San Francisco Bay Area, colloquially known as the Bay Area or The Bay . -0-
Cupertino National Bancorp
Sept. 30, 1995 -- Financial Summary
($ in 000s except share data)
Selected Financial Sept. 30, Jun 30, Mar 31, Dec. 31, Sept. 30,
Condition Data: 1995 1995 1995 1994 1994
Holding Company
Cash and Due
From Banks $12,634 $12,730 $18,416 $9,326 $13,757
Investments -
Interest earning 70,187 78,308 60,836 70,906 60,053
Loans
Commercial 81,027 79,100 82,194 81,695 77,085
Real Estate
Construction and Land 20,664 21,825 21,855 18,117 18,640
Real Estate Term 18,310 18,349 15,292 13,133 13,198
Consumer and Other 30,213 26,150 23,113 21,059 20,485
Deferred Loan Fees,
Net (708) (600) (743) (847) (890)
------- ------- ------- ------- -------
Total 149,506 144,824 141,711 133,157 128,518
Allowance for
Credit Losses (2,522) (2,454) (2,359) (2,918) (2,286)
------- ------- ------- ------- -------
Loans, Net 146,984 142,370 139,352 130,239 126,232
Loans Available
for Sale 0 0 5,805 5,383 8,670
------- ------- ------- ------- -------
Total Loans, Net 146,984 142,370 145,157 135,622 134,902
Other Assets 10,069 10,171 8,852 7,290 7,606
------- ------- ------- ------- -------
Total Assets $239,874 $243,579 $233,261 $223,144 $216,318
------- ------- ------- ------- -------
Deposits
Demand, Non-interest
Bearing $54,245 $61,086 $52,767 $53,880 $51,708
NOW 9,193 9,230 7,629 8,331 7,087
MMDA 95,687 84,360 76,143 73,623 69,457
Savings 5,976 4,630 5,897 5,951 8,049
Time Certificates
Less Than $100 18,926 36,581 25,105 19,417 6,982
Time Certificates
More Than $100 23,678 19,264 20,959 25,520 23,152
------- -------- -------- ------- -------
Total Deposits 207,705 215,151 188,500 186,722 166,435
Other S/T Borrowings 11,053 8,654 25,220 17,256 31,152
L/T Subordinated Debt 2,475 0 0 0 0
Other Liabilities 449 2,152 1,186 1,129 859
Stockholder's Equity 18,192 17,622 18,355 18,037 17,872
------- ------- ------- ------- --------
Total Liabilities and
S/H Equity $239,874 $243,579 $233,261 $223,144 $216,318
Average Quarterly
Assets
Holding Company $231,055 $230,265 $223,093 $214,889 $206,467
Bank $230,911 $230,109 $222,901 $214,785 $206,367
Stockholder's Equity
Holding Company $18,192 $17,622 $18,355 $18,037 $17,872
Bank - Regulatory $17,131 $16,702 $16,897 $16,786 $16,567
Bank - GAAP $17,140 $16,732 $16,962 $16,851 $16,624
Non-Performing Assets
Non-Accrual Loans $2,539 $2,426 $2,742 $3,244 $3,162
Loans 90 Days P/D
& Accruing 405 1,165 256 1,371 762
OREO 0 0 0 375 587
------- ------- ------- ------- -------
Total Non-Performing
Assets $2,944 $3,592 $2,999 $4,990 $4,511
------- ------- ------- ------- -------
Classified Assets
Substandard Loans $7,828 $7,870 $11,039 $10,927 $10,274
Doubtful Loans $846 825 947 1,781 1,439
OREO 0 0 0 375 587
------- ------- ------- ------- -------
Total Classified Loans $8,674 $8,695 $11,986 $13,083 $12,301
Cupertino National Bancorp
Sept. 30, 1995 -- Financial Summary
($ in 000s except share data)
Selected Statement Sept. 30, Jun 30, Mar 31, Dec. 31, Sept. 30, of Financial 1995 1995 1995 1994 1994 Condition Ratios: Loan to Deposit Ratio (Excl. Loans for Sale) 70.77% 66.17% 73.93% 69.75% 76.84% Ratio of Allowance for Credit Losses to: Loans, Net 1.69% 1.70% 1.60% 2.11% 1.66% Total Non-Performing Assets 85.65% 68.33% 78.67% 58.47% 50.67% Total Classified Assets 29.07% 28.22% 19.68% 22.30% 18.58% Total Classified Assets to S/H Equity pls LLR 41.88% 43.31% 57.86% 62.43% 61.02% Earning Assets to Total Assets 91.58% 91.61% 89.32% 93.86% 91.18% Earnings Assets to Interest-Bearing Liabilities 133.54% 137.13% 129.45% 139.54% 135.21% Capital Ratios Holding Company: Tier 1 Leverage 7.87% 7.65% 8.23% 8.39% 8.66% Tier 1 Risk Based Capital 10.10% 9.63% 10.11% 10.83% 10.71% Total Risk Based Capital 12.72% 10.88% 11.36% 12.08% 11.96% Capital Ratios Bank (Regulatory): Tier 1 Leverage 7.42% 7.26% 7.58% 7.82% 8.03% Tier 1 Risk Based Capital 9.52% 9.13% 9.31% 10.09% 10.01% Total Risk Based Capital 12.14% 10.38% 10.56% 11.34% 11.19% Risk Adjusted Assets Holding Company $180,158 $183,000 $181,474 $166,592 $166,889 Bank $180,014 $182,837 $181,417 $166,288 $166,691 Book Value Per Share (Adj. for Stock Div.) $11.15 $11.02 $11.57 $11.58 $11.59 Total Shares Outstanding 1,631,667 1,599,289 1,586,748 1,557,008 1,541,887 CUPERTINO NATIONAL BANCORP SEPTEMBER 30, 1995 -- FINANCIAL SUMMARY ($ in 000s, except share data) SELECTED STATEMENT OF OPERATIONS DATA AND RATIOS: (Earnings per share data adjusted for stock dividends)
Third Second First Fourth Third
Quarter Quarter Quarter Quarter Quarter
QUARTERLY DATA(a): 1995 1995 1995 1994 1994 Interest Income $5,098 $5,067 $4,763 $4,469 $4,126 Interest Expense 1,828 1,913 1,732 1,463 1,202 Net Interest Income Before Loss Provision 3,270 3,154 3,031 3,006 2,924 Provision for Credit Losses 75 85 431 785 450 Net Interest Income After Provision for Loss 3,195 3,069 2,600 2,221 2,474 Other Income 451 407 493 908 701 Other Expenses(c) 2,982 4,600 2,927 2,775 2,508 Net Income Before Income Taxes 664 (1,124) 166 354 667 Income Tax Expense (Benefit) 260 (470) 60 128 226
Net Income $404 $(654) $106 $226 $441
===================================================
Earnings Per Share(b) $0.24 ($0.39) $0.06 $0.14 $0.27 Weighted Average Common & Equivalent Shares O/S 1,716,300 1,687,100 1,661,400 1,639,300 1,633,300 Return on Quarterly Average Assets 0.70% -1.14% 0.19% 0.42% 0.85% Return on Quarterly Average Equity 9.00% -14.26% 2.31% 4.98% 10.00% Net Interest Margin - Average Earning Assets 6.15% 5.94% 5.82% 5.02% 6.17% Operating Expense Ratio 5.16% 7.99% 5.25% 5.17% 4.86% Efficiency Ratio 80.14% 129.18% 83.06% 70.90% 69.19% (a) Operating Ratios are Annualized (b) EPS is Adjusted for Stock Dividends (c) Includes litigation settlement and related legal expenses of $1.7 million in the second quarter of 1995 and $0.25 million in the fourth quarter of 1994 FOR THE NINE MONTHS ENDED SEPTEMBER 30: 1995 1994 Interest Income $14,927 $10,891 Interest Expense 5,474 2,816 Net Interest Income Before Provision for Credit Losses 9,453 8,075 Provision for Credit Losses 591 635 Net Interest Income After Provision for Credit Losses 8,862 7,240 Other Income 1,353 2,172 Other Expenses(b) 10,509 7,670 Net Income Before Income Taxes (294) 1,742 Income Tax (Benefit) Expense (150) 606 Net Income ($144) $1,136 Earnings Per Share(a) ($0.08) $0.70 Weighted Average Common & Equivalent Shares Outstanding 1,702,400 1,620,000 Return on Average Assets -0.08% 0.82% Return on Average Equity -1.06% 9.03% Net Interest Margin - Average Earning Assets 6.03% 6.02% Operating Expense Ratio 6.20% 5.53% Efficiency Ratio 97.25% 74.85%
(a) EPS is Adjusted for Stock Dividends
(b) Includes litigation settlement and related legal expenses of
$1.7 million in the second quarter of 1995
CONTACT: Cupertino National Bancorp Steven Ste´ven n. 1. Voice; speech; language. Ye have as merry a steven As any angel hath that is in heaven. - Chaucer. 2. An outcry; a loud call; a clamor. To set steven to make an appointment. C. Smith, 408/725-2346 |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion