First Trust Bank Reports Second Quarter Results

Jul 29, 2010, 12:00 ET from First Trust Bank

CHARLOTTE, N.C., July 29 /PRNewswire-FirstCall/ -- First Trust Bank (OTC Bulletin Board: NCFT) reported results for the second quarter of 2010 today.  The Bank reported a net loss of $1.5 million, or $0.32 per diluted share, for the quarter ended June 30, 2010 compared to net income of $865 thousand, or $0.18 per diluted share, for the second quarter of 2009.  

Assets at June 30, 2010 were $458 million compared to $456 million at December 31, 2009.  Loans were $314 million at quarter-end compared to $326 million at year-end, 2009.  This decline is the result of a reduction in outstanding loans in conjunction with a decline in loan demand during the first half of 2010.    

The net loss for the second quarter is primarily the result of a $4.1 million provision to the allowance for loan losses compared to a provision of $648 thousand during the second quarter of 2009. The allowance for loan losses totaled 3.21% at June 30, 2010 compared to 1.60% at June 30, 2009. Our pre-tax, pre-provision for loan loss income stream, primarily net interest income, remains approximately $2.4 million per quarter.  The net interest margin increased 35 basis points from 3.35% for the same period in 2009 to 3.70% for the second quarter of 2010.

"Although the second quarter loss is a reflection of the current economic cycle and our determination to quickly identify and resolve potential credit issues in a timely manner, our operation remains strong and our capital levels remain above well-capitalized under all regulatory guidelines.  As we navigate through these economic challenges, we remain focused on our long-term strategy of operating in a safe and sound manner," said Jim Bolt, President and CEO.

First Trust Bank specializes in serving the banking needs of small businesses and professionals in the Charlotte, Mooresville, Davidson, Cornelius, Huntersville, Monroe and Concord markets.  The Bank operates three banking offices in the Charlotte, North Carolina area with locations at 1420 East Third Street and 2245 Rexford Road, Charlotte, NC and 108 Gateway Boulevard in Mooresville, NC.

For additional information, please contact Jean Galloway or Jim Bolt at 704-377-3936 (fax 704-377-8869) or by e-mail at http://www.firsttrustnc.com.  

Information in this press release may contain forward looking statements that might involve risks and uncertainties that could cause actual results to differ materially.  These risks and uncertainties include without limitation, the effects of future economic conditions, governmental fiscal and monetary policies, legislative and regulatory changes, and changes in interest rates.

SELECTED FINANCIAL DATA

FIRST TRUST BANK

 (dollars in thousands, except per share)

June 30,

December 31,

2010

2009

SELECTED BALANCE SHEET DATA

(Unaudited)

(Audited)

Total loans

$        314,321

$        325,999

Allowance for loan losses

(10,103)

(7,302)

Investment securities

94,521

103,758

Total assets

458,483

455,810

Deposits

373,475

366,951

Borrowed funds

34,713

38,642

Shareholders' equity

45,907

46,020

Shares Outstanding at period end

4,775,898

4,775,898

Asset Quality

Allowance for loan losses to total loans

3.21%

2.24%

Nonperforming loans to total loans

8.73%

2.02%

Nonperforming assets to total assets

7.02%

1.62%

SELECTED INCOME AND EXPENSE DATA

June 30,

June 30,

%

2010

2009

Change

For the quarter ended

(Unaudited)

(Unaudited)

Net interest income

$            4,112

$            3,730

10.24%

Provision for loan losses

4,131

648

537.50%

Other income

152

280

-45.71%

Other expenses

1,867

1,998

-6.56%

Income tax expense (benefit)

(205)

499

-141.08%

Net income (loss)

$          (1,529)

$               865

-276.76%

Net interest margin

3.70%

3.35%

Per Share Data

Net income (loss) per share-basic

$            (0.32)

$              0.18

Net income (loss) per share-diluted

$            (0.32)

$              0.18

June 30,

June 30,

%

2010

2009

Change

For the year to date ended

(Unaudited)

(Unaudited)

Net interest income

$            8,430

$            6,976

20.84%

Provision for loan losses

6,126

1,228

398.86%

Other income

311

452

-31.19%

Other expenses

3,680

3,838

-4.12%

Income tax expense (benefit)

(64)

859

-107.45%

Net income (loss)

$          (1,001)

$            1,503

-166.60%

Net interest margin

3.86%

3.15%

Per Share Data

Net income (loss) per share-basic

$            (0.21)

$              0.33

Net income (loss) per share-diluted

$            (0.21)

$              0.32

SOURCE First Trust Bank



RELATED LINKS

http://www.firsttrustnc.com