Bancorp Connecticut, Inc., Reports 16.2% First Quarter Earnings Gain, Boosts Quarterly Cash Dividend By 5.6% And Announces 10% Share Buyback Program.

Apr 19, 2001, 01:00 ET from Bancorp Connecticut, Inc.

    SOUTHINGTON, Conn., April 19 /PRNewswire/ -- Bancorp Connecticut, Inc.,
 (Nasdaq:   BKCT) the parent company of SSB (Southington Savings Bank), reported
 today that first quarter net income amounted to $2,331,000 or $0.43 per
 diluted share, an increase of 16.2% on a per share basis compared to
 $2,028,000 or $0.37 per diluted share, recorded in the first quarter of 2000.
 A higher base of earning assets and a significant increase in noninterest
 sources of revenue were responsible for these operating results.
     In addition, the Company's Board of Directors voted to declare a quarterly
 cash dividend of $0.19 per share on its outstanding shares of common stock, an
 increase of 5.6% compared to the dividend paid during the first quarter of
 2001 and an increase of 11.8% compared to the dividend paid during the second
 quarter of 2000.  This is the fourteenth increase in the regularly scheduled
 cash dividend in the past five years.  It will be payable on May 15, 2001 to
 shareholders of record on May 1, 2001.
     "The Company and the Bank (SSB) had a good first quarter in spite of a
 slowing economy and sluggish commercial loan activity.  We are also looking
 forward to opening two new branch-banking facilities in Cheshire and
 Kensington early in the second quarter.  The increase in the quarterly cash
 dividend reflects the ongoing confidence we have in our banking company.
 Accordingly, our Board of Directors also voted to authorize a share buyback
 program of up to 10% of the Company's outstanding shares of common stock over
 the next year.  This is the fourth such program in the past five years,"
 according to R.D. Morton, President and Chief Executive Officer.   Purchases
 will be made from time to time in the open market and through private
 transactions.  The timing and amount of these transactions, to be funded
 through available corporate funds, will depend upon market conditions and
 corporate requirements.  Shares repurchased will be held in treasury for
 general corporate purposes including reissue to satisfy the exercise of
 outstanding stock options.  As of March 31, 2001, the Company had 5,145,744
 shares outstanding.
     At the end of the first quarter, nonperforming assets were $701,000, or
 0.11% of total assets, compared to $1,159,000, or 0.20% of total assets,
 reported on March 31, 2000.  Nonperforming loans totaled $618,000 at quarter-
 end compared to $908,000 a year ago.  Credit quality remains very strong while
 nonperforming assets and loans remain at an exceedingly low level.
     Net interest income, the difference between what the Bank earns on its
 loans and investments and what it pays on deposits and borrowed funds, was
 relatively constant for the quarter compared to the same period one year ago.
 Noninterest sources of revenue increased 59% for the quarter compared to the
 same period last year while noninterest expense rose 3.7% on a year-over-year
 basis.
 
     Bancorp Connecticut, Inc. owns SSB (Southington Savings Bank) which is a
 $624 million full-service, community-based financial institution that provides
 business, consumer and financial-related money-management services to the
 greater Southington and Wallingford areas and the surrounding region.  Its
 stock symbol is BKCT and it is listed in the Nasdaq National Market and found
 in the financial section of various newspapers under Bancorp Connecticut,
 BcpCT, BanConn, or BncpCT.
 
     Forward-Looking Statements
     This press release contains forward-looking statements that involve risks
 and uncertainties, as well as assumptions that, if they never materialize or
 prove incorrect, could cause the results of the Company and the Bank to differ
 materially from those expressed or implied by such forward-looking statements.
 All statements other than statements of historical fact are forward-looking
 statements, including any projections of earnings, revenues, or other
 financial items; any statements of the plans, strategies and objectives of
 management for future operations; any statements concerning proposed new
 products, services, or developments; any statements regarding future economic
 conditions or performance; statements of belief and any statement of
 assumptions underlying any of the foregoing.  The risks, uncertainties and
 assumptions referred to above include the general risks associated with the
 delivery of financial products and services, fluctuating investment returns,
 rapid technological changes, competition, as well as other risks that are
 described from time to time in the Company's filings with the Securities and
 Exchange Commission.  The Company assumes no obligations to update these
 forward-looking statements.
 
     Bancorp Connecticut, Inc.
     Financial Highlights (unaudited)
     March 31, 2001
 
     (dollars in thousands, except per share data)
 
                                             Three Months Ended
     INCOME STATEMENT                      03/31/2001  03/31/2000
 
     Net income                                $2,331      $2,028
     Net income per share:
        Basic                                    0.45        0.39
        Diluted                                  0.43        0.37
     Net interest income                        5,184       5,142
     Noninterest income                         1,321         831
     Noninterest expense                        3,073       2,964
     Provision for loan losses                    110         118
     Return on average assets                   1.49%       1.44%
     Return on average equity                  17.21%      19.53%
     Net interest spread (tax equivalent
      basis)                                    2.84%       3.18%
     Net interest margin (tax equivalent
      basis)                                    3.53%       3.81%
     Efficiency ratio (1)                      49.39%      50.89%
 
 
     STATEMENT OF CONDITION                03/31/2001  12/31/2000  03/31/2000
 
     Assets                                  $624,582    $634,021    $579,462
     Deposits                                 383,419     383,698     348,453
     Loans, gross                             315,916     324,535     321,189
     Funds borrowed                           177,116     180,550     180,850
     Shareholders' equity                      55,765      52,316      42,765
     Allowance for loan losses                  6,071       6,019       5,787
     Nonperforming loans                          618         621         908
     Foreclosed real estate and
      repossessed property, net                    83          89         251
     Nonperforming assets                         701         710       1,159
     Allowance/nonperforming loans            982.36%     969.24%     637.33%
     Nonperforming assets/total assets          0.11%       0.11%       0.20%
     Shareholders' equity/total assets          8.93%       8.25%       7.38%
     Book value per share                      $10.84      $10.11       $8.19
 
 
     (1) Total noninterest expense (excluding foreclosed real estate expense
     (recoveries), net) divided by the total of net interest income and
     noninterest income (excluding net securities gains).
 
 
 
                           Bancorp Connecticut, Inc.
                            STATEMENTS OF CONDITION
                             (dollars in thousands)
                                  (unaudited)
 
                                                           March 31,
                                                   2001                2000
     Assets
        Cash and due from banks                 $11,637               $10,700
        Federal funds sold                        2,500                 1,200
        Securities available-for-sale (at
         market value)                          265,950               227,156
        Trading account securities                -                       212
        Federal Home Loan Bank stock              7,117                 6,042
        Loans:
           Commercial                            71,436                63,160
           Commercial real estate                52,088                48,251
           Residential real estate              112,482               130,421
           Real estate construction               2,541                 2,455
           Consumer                              77,369                76,902
              Total loans                       315,916               321,189
           Less:  Deferred loan fees               (625)                 (734)
                      Allowance for loan
                       losses                    (6,071)               (5,787)
              Net loans                         309,220               314,668
        Accrued income receivable                 4,144                 3,798
        Deferred income taxes                     4,143                 8,634
        Premises and equipment, net               3,810                 3,823
        Foreclosed real estate and
         repossessed property, net                   83                   251
        Other assets                             15,978                 2,978
                 Total assets                  $624,582              $579,462
 
     Liabilities and Shareholders' Equity
     Liabilities:
        Deposits:
           Demand and NOW                       $95,215               $85,478
           Savings                               97,793               101,697
           Time                                 190,411               161,278
              Total deposits                    383,419               348,453
        Funds borrowed                          177,116               180,850
        Other liabilities                         8,282                 7,394
              Total liabilities                 568,817               536,697
     Shareholders' equity:
         Preferred stock                          -                     -
         Common stock                             5,903                 5,878
         Additional paid-in capital              18,909                18,808
         Retained earnings                       43,099                37,509
         Accumulated other comprehensive
          loss                                   (2,678)              (11,501)
         Treasury stock, at cost: 756,836
          shares in 2001
            and 655,836 shares in 2000           (9,468)               (7,929)
              Total shareholders' equity         55,765                42,765
                 Total liabilities and
                  shareholders' equity         $624,582              $579,462
 
 
 
                           Bancorp Connecticut, Inc.
                               STATEMENTS OF INCOME
                   (dollars in thousands, except per share data)
                                    (unaudited)
 
 
                                                        Three Months Ended
                                                             March 31,
                                                      2001              2000
     Interest income:
       Interest on loans, including fees             $6,573            $6,405
       Interest and dividends on
        investments                                   4,735             3,868
       Interest on trading account                    -                     6
       Interest on Federal funds sold                   106                76
       Other interest and dividends                     126                92
           Total interest income                     11,540            10,447
 
     Interest expense:
       Interest on deposits                           3,539             2,918
       Interest on borrowings                         2,817             2,387
           Total interest expense                     6,356             5,305
 
           Net interest income                        5,184             5,142
 
     Provision for loan losses                          110               118
 
           Net interest income after
               provision for loan losses              5,074             5,024
 
     Noninterest income:
       Net securities gains                             277               158
       Net trading account gains (losses)                63               (64)
       Other                                            981               737
                                                      1,321               831
 
     Noninterest expense:
       Salaries and employee benefits                 1,740             1,684
       Occupancy and equipment                          425               420
       Data processing                                  157               135
       Other                                            751               725
                                                      3,073             2,964
 
           Income before taxes                        3,322             2,891
 
     Provision for income taxes                         991               863
 
           Net income                                $2,331            $2,028
 
     Basic:
     Average shares                               5,171,341         5,225,218
     Net income per share                             $0.45             $0.39
 
     Diluted:
     Average shares                               5,435,848         5,474,829
     Net income per share                             $0.43             $0.37
 
     Cash dividend per share                         $0.180            $0.155
 
 
 

SOURCE Bancorp Connecticut, Inc.
    SOUTHINGTON, Conn., April 19 /PRNewswire/ -- Bancorp Connecticut, Inc.,
 (Nasdaq:   BKCT) the parent company of SSB (Southington Savings Bank), reported
 today that first quarter net income amounted to $2,331,000 or $0.43 per
 diluted share, an increase of 16.2% on a per share basis compared to
 $2,028,000 or $0.37 per diluted share, recorded in the first quarter of 2000.
 A higher base of earning assets and a significant increase in noninterest
 sources of revenue were responsible for these operating results.
     In addition, the Company's Board of Directors voted to declare a quarterly
 cash dividend of $0.19 per share on its outstanding shares of common stock, an
 increase of 5.6% compared to the dividend paid during the first quarter of
 2001 and an increase of 11.8% compared to the dividend paid during the second
 quarter of 2000.  This is the fourteenth increase in the regularly scheduled
 cash dividend in the past five years.  It will be payable on May 15, 2001 to
 shareholders of record on May 1, 2001.
     "The Company and the Bank (SSB) had a good first quarter in spite of a
 slowing economy and sluggish commercial loan activity.  We are also looking
 forward to opening two new branch-banking facilities in Cheshire and
 Kensington early in the second quarter.  The increase in the quarterly cash
 dividend reflects the ongoing confidence we have in our banking company.
 Accordingly, our Board of Directors also voted to authorize a share buyback
 program of up to 10% of the Company's outstanding shares of common stock over
 the next year.  This is the fourth such program in the past five years,"
 according to R.D. Morton, President and Chief Executive Officer.   Purchases
 will be made from time to time in the open market and through private
 transactions.  The timing and amount of these transactions, to be funded
 through available corporate funds, will depend upon market conditions and
 corporate requirements.  Shares repurchased will be held in treasury for
 general corporate purposes including reissue to satisfy the exercise of
 outstanding stock options.  As of March 31, 2001, the Company had 5,145,744
 shares outstanding.
     At the end of the first quarter, nonperforming assets were $701,000, or
 0.11% of total assets, compared to $1,159,000, or 0.20% of total assets,
 reported on March 31, 2000.  Nonperforming loans totaled $618,000 at quarter-
 end compared to $908,000 a year ago.  Credit quality remains very strong while
 nonperforming assets and loans remain at an exceedingly low level.
     Net interest income, the difference between what the Bank earns on its
 loans and investments and what it pays on deposits and borrowed funds, was
 relatively constant for the quarter compared to the same period one year ago.
 Noninterest sources of revenue increased 59% for the quarter compared to the
 same period last year while noninterest expense rose 3.7% on a year-over-year
 basis.
 
     Bancorp Connecticut, Inc. owns SSB (Southington Savings Bank) which is a
 $624 million full-service, community-based financial institution that provides
 business, consumer and financial-related money-management services to the
 greater Southington and Wallingford areas and the surrounding region.  Its
 stock symbol is BKCT and it is listed in the Nasdaq National Market and found
 in the financial section of various newspapers under Bancorp Connecticut,
 BcpCT, BanConn, or BncpCT.
 
     Forward-Looking Statements
     This press release contains forward-looking statements that involve risks
 and uncertainties, as well as assumptions that, if they never materialize or
 prove incorrect, could cause the results of the Company and the Bank to differ
 materially from those expressed or implied by such forward-looking statements.
 All statements other than statements of historical fact are forward-looking
 statements, including any projections of earnings, revenues, or other
 financial items; any statements of the plans, strategies and objectives of
 management for future operations; any statements concerning proposed new
 products, services, or developments; any statements regarding future economic
 conditions or performance; statements of belief and any statement of
 assumptions underlying any of the foregoing.  The risks, uncertainties and
 assumptions referred to above include the general risks associated with the
 delivery of financial products and services, fluctuating investment returns,
 rapid technological changes, competition, as well as other risks that are
 described from time to time in the Company's filings with the Securities and
 Exchange Commission.  The Company assumes no obligations to update these
 forward-looking statements.
 
     Bancorp Connecticut, Inc.
     Financial Highlights (unaudited)
     March 31, 2001
 
     (dollars in thousands, except per share data)
 
                                             Three Months Ended
     INCOME STATEMENT                      03/31/2001  03/31/2000
 
     Net income                                $2,331      $2,028
     Net income per share:
        Basic                                    0.45        0.39
        Diluted                                  0.43        0.37
     Net interest income                        5,184       5,142
     Noninterest income                         1,321         831
     Noninterest expense                        3,073       2,964
     Provision for loan losses                    110         118
     Return on average assets                   1.49%       1.44%
     Return on average equity                  17.21%      19.53%
     Net interest spread (tax equivalent
      basis)                                    2.84%       3.18%
     Net interest margin (tax equivalent
      basis)                                    3.53%       3.81%
     Efficiency ratio (1)                      49.39%      50.89%
 
 
     STATEMENT OF CONDITION                03/31/2001  12/31/2000  03/31/2000
 
     Assets                                  $624,582    $634,021    $579,462
     Deposits                                 383,419     383,698     348,453
     Loans, gross                             315,916     324,535     321,189
     Funds borrowed                           177,116     180,550     180,850
     Shareholders' equity                      55,765      52,316      42,765
     Allowance for loan losses                  6,071       6,019       5,787
     Nonperforming loans                          618         621         908
     Foreclosed real estate and
      repossessed property, net                    83          89         251
     Nonperforming assets                         701         710       1,159
     Allowance/nonperforming loans            982.36%     969.24%     637.33%
     Nonperforming assets/total assets          0.11%       0.11%       0.20%
     Shareholders' equity/total assets          8.93%       8.25%       7.38%
     Book value per share                      $10.84      $10.11       $8.19
 
 
     (1) Total noninterest expense (excluding foreclosed real estate expense
     (recoveries), net) divided by the total of net interest income and
     noninterest income (excluding net securities gains).
 
 
 
                           Bancorp Connecticut, Inc.
                            STATEMENTS OF CONDITION
                             (dollars in thousands)
                                  (unaudited)
 
                                                           March 31,
                                                   2001                2000
     Assets
        Cash and due from banks                 $11,637               $10,700
        Federal funds sold                        2,500                 1,200
        Securities available-for-sale (at
         market value)                          265,950               227,156
        Trading account securities                -                       212
        Federal Home Loan Bank stock              7,117                 6,042
        Loans:
           Commercial                            71,436                63,160
           Commercial real estate                52,088                48,251
           Residential real estate              112,482               130,421
           Real estate construction               2,541                 2,455
           Consumer                              77,369                76,902
              Total loans                       315,916               321,189
           Less:  Deferred loan fees               (625)                 (734)
                      Allowance for loan
                       losses                    (6,071)               (5,787)
              Net loans                         309,220               314,668
        Accrued income receivable                 4,144                 3,798
        Deferred income taxes                     4,143                 8,634
        Premises and equipment, net               3,810                 3,823
        Foreclosed real estate and
         repossessed property, net                   83                   251
        Other assets                             15,978                 2,978
                 Total assets                  $624,582              $579,462
 
     Liabilities and Shareholders' Equity
     Liabilities:
        Deposits:
           Demand and NOW                       $95,215               $85,478
           Savings                               97,793               101,697
           Time                                 190,411               161,278
              Total deposits                    383,419               348,453
        Funds borrowed                          177,116               180,850
        Other liabilities                         8,282                 7,394
              Total liabilities                 568,817               536,697
     Shareholders' equity:
         Preferred stock                          -                     -
         Common stock                             5,903                 5,878
         Additional paid-in capital              18,909                18,808
         Retained earnings                       43,099                37,509
         Accumulated other comprehensive
          loss                                   (2,678)              (11,501)
         Treasury stock, at cost: 756,836
          shares in 2001
            and 655,836 shares in 2000           (9,468)               (7,929)
              Total shareholders' equity         55,765                42,765
                 Total liabilities and
                  shareholders' equity         $624,582              $579,462
 
 
 
                           Bancorp Connecticut, Inc.
                               STATEMENTS OF INCOME
                   (dollars in thousands, except per share data)
                                    (unaudited)
 
 
                                                        Three Months Ended
                                                             March 31,
                                                      2001              2000
     Interest income:
       Interest on loans, including fees             $6,573            $6,405
       Interest and dividends on
        investments                                   4,735             3,868
       Interest on trading account                    -                     6
       Interest on Federal funds sold                   106                76
       Other interest and dividends                     126                92
           Total interest income                     11,540            10,447
 
     Interest expense:
       Interest on deposits                           3,539             2,918
       Interest on borrowings                         2,817             2,387
           Total interest expense                     6,356             5,305
 
           Net interest income                        5,184             5,142
 
     Provision for loan losses                          110               118
 
           Net interest income after
               provision for loan losses              5,074             5,024
 
     Noninterest income:
       Net securities gains                             277               158
       Net trading account gains (losses)                63               (64)
       Other                                            981               737
                                                      1,321               831
 
     Noninterest expense:
       Salaries and employee benefits                 1,740             1,684
       Occupancy and equipment                          425               420
       Data processing                                  157               135
       Other                                            751               725
                                                      3,073             2,964
 
           Income before taxes                        3,322             2,891
 
     Provision for income taxes                         991               863
 
           Net income                                $2,331            $2,028
 
     Basic:
     Average shares                               5,171,341         5,225,218
     Net income per share                             $0.45             $0.39
 
     Diluted:
     Average shares                               5,435,848         5,474,829
     Net income per share                             $0.43             $0.37
 
     Cash dividend per share                         $0.180            $0.155
 
 
 SOURCE  Bancorp Connecticut, Inc.