Printer Friendly

FIRST AMERICAN REPORTS RECORD EARNINGS

 FIRST AMERICAN REPORTS RECORD EARNINGS
 CANTON, Ohio, July 20 /PRNewswire/ -- First American BanCorp


(NASDAQ: FASB), holding company for First American Savings Bank, FSB today reported the highest level of earnings since becoming a public company in 1987.
 Earnings were $6.9 million or $3.12 per share for its fiscal year ending June 30, 1992, an increase of 63 percent from a year ago. Comparative earnings during the prior year were $4.2 million or $1.91 per share.
 For the quarter ended June 30, 1992, earnings were $3.7 million or $1.67 per share, as compared to $1.3 million or $.57 per share for the same quarter last year.
 Commenting on the fiscal year results, Mark D. Grossi, president and chief executive officer of First American, said, "Needless to say, we are extremely pleased with the bank's performance. Although the results were affected by an IRS tax settlement, core earnings at $5.3 million were by far the best in the company's 105 year history and represent a 32 percent increase over last year's core earnings of $4 million."
 According to Grossi, core earnings is used by the industry to measure a bank's earnings strength and its inherent ability to generate recurring sources of income. Consequently, when computing core earnings, results are adjusted to eliminate non-recurring items. For fiscal 1992, these consisted of a $2.5 million tax settlement; gains on loan and investment sales; severance costs from an optional separation program; and expenses associated with a merger the company announced earlier this year.
 "Primarily," Grossi said, "the improved core results were due to our focus on cost reduction opportunities and the reduced interest rate environment, which had a favorable impact on the bank's net interest margin."
 Grossi noted that overall, high asset quality and low ratio of non-performing loans continue to characterize First American's performance profile. At fiscal year-end, the company's non-performing asset ratio was .69 percent, compared to national and state averages of 4.5 percent and 1.9 percent, respectively.
 In March, First American announced that it had agreed to merge with Charter One, the Cleveland-based holding company for The First Federal Savings Bank. A special shareholders meeting to seek approval of the merger will be held Aug. 19, with regulatory approval expected later this summer. Upon completion, which is likely to occur in October, the merger would result in First Federal becoming the largest thrift in Ohio, with assets of $4.3 billion.
 First American's loan originations during the fiscal year increased 5 percent to $91.3 million compared to $86.7 million for the prior year. Deposits increased nearly 3 percent to $645 million, up from $626 million a year ago.
 The company's ratio of stockholders' equity to total assets at fiscal year-end rose to 6.02 percent from 4.89 percent the previous year, reflecting the accumulation of its core earnings combined with lower asset levels. Assets at June 30, 1992 were $701 million, down from $721 million at June 30, 1991.
 First American has 13 retail banking offices serving Canton, Massillon, Alliance, Salem and the surrounding communities in northeast Ohio, plus regional loan production offices servicing the Akron, Cleveland, Dayton and Salem markets.
 First American BanCorp, Canton, Ohio
 SUMMARY OF CONSOLIDATED FINANCIAL HIGHLIGHTS
 (Unaudited)
 (Dollars in thousands, except per share data)
 Three Months Ended
 June 30
 INCOME STATEMENT HIGHLIGHTS 1992 1991
 Interest income on loans and investments $13,517 $15,980
 Interest expense on savings deposits
 and borrowed funds 8,530 10,961
 Net interest income 4,987 5,019
 Provision for losses on loans (90) (90)
 Net interest income after loan loss
 provision 4,897 4,929
 Gains on Sales of Investments 0 1,766
 Other Non-Interest Income 676 695
 Total 5,573 7,390
 Goodwill Amortization and Write-off (280) (2,783)
 Other non-interest expense (3,348) (3,030)
 Earnings before federal income taxes 1,945 1,577
 Federal income taxes 1,754 (312)
 Net earnings $3,699 $1,265
 Earnings per share $1.67 $.57
 Twelve Months Ended
 June 30
 1992 1991
 Interest income on loans and investments $58,671 $65,879
 Interest expense on savings deposits
 and borrowed funds 39,126 47,229
 Net interest income 19,545 18,650
 Provision for losses on loans (360) (480)
 Net interest income after loan loss
 provision 19,185 18,170
 Gains on Sales of Investments (150) 2,085
 Other Non-Interest Income 2,591 2,493
 Total 21,626 22,748
 Goodwill Amortization and Write-off (1,118) (3,685)
 Other non-interest expense (13,664) (12,548)
 Earnings before federal income taxes 6,844 6,515
 Federal income taxes 29 (2,309)
 Net earnings $6,873 $4,206
 Earnings per share $3.12 $1.91
 BALANCE SHEET HIGHLIGHTS 6/30/92 3/31/92 6/30/91
 Total assets $701,088 $703,922 $720,692
 Deposits $644,931 $650,026 $626,249
 Stockholders' equity $ 42,185 $ 38,486 $ 35,277
 Common Shares Outstanding 2,209,000 2,209,000 2,200,000
 Stockholders' equity per share $19.10 $17.42 $16.03
 Ratio of Stockholders' Equity
 to Total Assets (pct) 6.02 5.47 4.89
 -0- 7/20/92
 /CONTACT: Mark D. Grossi, president and CEO of First American Savings Bank, FSB, 216-454-FASB/
 (FASB) CO: First American Savings Bank, FSB ST: Ohio IN: FIN SU: ERN


BM -- CL020 -- 0876 07/20/92 15:53 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jul 20, 1992
Words:895
Previous Article:BRISTOL-MYERS SQUIBB REPORTS RESULTS
Next Article:NATIONAL CITY TRUST COMPANY ELECTS GARY L. GALBREATH PRESIDENT
Topics:


Related Articles
AMERICAN HERITAGE LIFE INVESTMENT CORPORATION REPORTS RECORD FIRST QUARTER EARNINGS FROM OPERATIONS
AMERICAN HERITAGE LIFE REPORTS RECORD FIRST QUARTER EARNINGS; DIRECTORS VOTE 3-FOR-2 STOCK SPLIT AND 7 PERCENT CASH DIVIDEND INCREASE
RECORD FIRST QUARTER EARNINGS FROM OPERATIONS AND A 10% CASH DIVIDEND INCREASE REPORTED
AMERICAN HERITAGE LIFE INVESTMENT CORPORATION ANNOUNCES RECORD FIRST QUARTER EARNINGS FROM OPERATIONS AND A 5.6% CASH DIVIDEND INCREASE REPORTED
AMERICAN FINANCIAL GROUP ANNOUNCES SECOND QUARTER RESULTS
First American Bank Reports Results for the Fourth Quarter and Year End of 1997
First National Corporation Increases Quarterly Cash Dividend By 18.2%
American River Holdings Announces Second Quarter and YTD 2001 Financial Results.
American River Holdings Announces First Quarter Results.
American River Holdings Announces a 9% Increase in Earnings.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters