Commonwealth Bankshares, Inc., Norfolk, VA, Reports Flat Net Interest Income, April 26, 2001

Apr 26, 2001, 01:00 ET from Commonwealth Bankshares, Inc.

    NORFOLK, Va., April 26 /PRNewswire/ -- Commonwealth Bankshares, Inc.
 (Nasdaq: CWBS) today announced first quarter operating and financial results
 which included:
 
     an increase of 30.0% in interest income to $4.296 million and an
     increase of 53.8% in interest expenses to $2.717 million limiting net
     interest income under declining short-term rates to a gain of 2.7% to
     $1.579;
 
     an increase of 102.2% in the provision for loan losses to $91,000 over
     $45,000 in the first quarter of 2000;
 
     an increase of $313,000 in non-interest expenses, or 23.1% to $1.669
     million, attributable to the opening in July/August 2000 of two new
     branch offices (Cedar Road and ODU) and a third new branch office
     (Churchland) scheduled to open April 30, 2001, and;
 
     a decline of $153,000, or 52.2% to $140,000 in net income and a decline
     of 52.9% to $.07 per share diluted from $.16 per share diluted in 2000
     due primarily to the new branch offices as indicated above.
 
     Total shareholders' equity increased $575,000, or 4.6% to $13.172 million
 at March 31, 2001 from $12.597 million at March 31, 2000.  The book value per
 share was $7.79 at quarter end. Total assets at March 31, 2001 were $221.890
 million, up $49.7 million or 28.9% from $172.207 million at March 31, 2000;
 
     Commenting on these results, E. J. Woodard, Jr., CLBB, Chairman and Chief
      Executive Officer, said:
 
     "We are delighted with the strong growth in our loan portfolio. The
      decline in net income is attributable to the added expenses of opening
      three new branches, a 50% increase in the Bank Branch Network. We expect
      the major year to year increases in expenses from new branches to be
      absorbed by the third quarter and for earnings to improve in the second
      half of this year, particularly the fourth quarter."
 
     This press release includes forward-looking statements.  Investors are
 cautioned that all forward-looking statements involve risks and uncertainties.
 Certain risk factors could cause actual results to differ materially from
 those in the forward-looking statement.
 
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SOURCE Commonwealth Bankshares, Inc.
    NORFOLK, Va., April 26 /PRNewswire/ -- Commonwealth Bankshares, Inc.
 (Nasdaq: CWBS) today announced first quarter operating and financial results
 which included:
 
     an increase of 30.0% in interest income to $4.296 million and an
     increase of 53.8% in interest expenses to $2.717 million limiting net
     interest income under declining short-term rates to a gain of 2.7% to
     $1.579;
 
     an increase of 102.2% in the provision for loan losses to $91,000 over
     $45,000 in the first quarter of 2000;
 
     an increase of $313,000 in non-interest expenses, or 23.1% to $1.669
     million, attributable to the opening in July/August 2000 of two new
     branch offices (Cedar Road and ODU) and a third new branch office
     (Churchland) scheduled to open April 30, 2001, and;
 
     a decline of $153,000, or 52.2% to $140,000 in net income and a decline
     of 52.9% to $.07 per share diluted from $.16 per share diluted in 2000
     due primarily to the new branch offices as indicated above.
 
     Total shareholders' equity increased $575,000, or 4.6% to $13.172 million
 at March 31, 2001 from $12.597 million at March 31, 2000.  The book value per
 share was $7.79 at quarter end. Total assets at March 31, 2001 were $221.890
 million, up $49.7 million or 28.9% from $172.207 million at March 31, 2000;
 
     Commenting on these results, E. J. Woodard, Jr., CLBB, Chairman and Chief
      Executive Officer, said:
 
     "We are delighted with the strong growth in our loan portfolio. The
      decline in net income is attributable to the added expenses of opening
      three new branches, a 50% increase in the Bank Branch Network. We expect
      the major year to year increases in expenses from new branches to be
      absorbed by the third quarter and for earnings to improve in the second
      half of this year, particularly the fourth quarter."
 
     This press release includes forward-looking statements.  Investors are
 cautioned that all forward-looking statements involve risks and uncertainties.
 Certain risk factors could cause actual results to differ materially from
 those in the forward-looking statement.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X81711187
 
 SOURCE  Commonwealth Bankshares, Inc.