Community Investors Bancorp, Inc. Reports Net Earnings for the Six Months and Three Months Ended December 31, 2010

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Feb 10, 2011, 03:11 ET

BUCYRUS, Ohio, Feb. 10, 2011 /PRNewswire/ -- Community Investors Bancorp, Inc., (Pink Sheets: CIBN) parent company of First Federal Community Bank of Bucyrus, reported net earnings of $287,000, or $.33 per basic share, for the six months ended December 31, 2010, representing a decrease of $69,000, or 11.7%, compared to the net earnings of $356,000, or $.40 per basic share, reported for the six months ended December 31, 2009. The decrease in 2010 earnings reflects a $37,000, or 1.6%, decrease in net interest income, an increase of $43,000 or 25.1% in provision for loan loss and an increase of 20.8% or $385,000 in general, administrative and other expense. This was partially offset by an increase other income of $371,000 or 113.8%. The increase in both other income and general, administrative and other expense reflects our new secondary mortgage market initiative. The provision for loan losses continues to reflect the economic difficulties of some of our loan customers due to high unemployment in the local workforce as well as difficult business conditions. Through the efforts, teamwork and cooperation of our employees, we reduced personnel expense by $47,000 as well as other general, administrative and other expense of $43,000.

Community Investors Bancorp, Inc. reported total assets at December 31, 2010, of $125.4 million (decrease of $1.8 million or 1.4% from 2009) including gross loans of $95.0 million (decrease of $8.6 million or 8.3% from 2009). Continuing weak loan demand in our markets has allowed us to restructure our balance sheet. We repaid $2.2 million advances to the FHLB, while we maintain a strong deposit base. The result is that total liabilities were $112.3 million (decrease of $2.3 million or 2.0% from 2009), including total deposits of $98.3 million (decrease of $.3 million or 0.3%). Total stockholders' equity grew from $12.9 million at June 30, 2010 to $13.1 million and raised our capital as a percentage of assets from 10.37% to 10.45%.

We continue to build our capital through continued steady earnings and liquidity through diligent management of our balance sheet. We continue to prepare for the repurchase of our preferred shares held by the US Treasury, without impairing capital levels. This repurchase would allow us to improve our annual earnings by $142,000 or $.16 per common share.


Community Investors Bancorp, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(In thousands)
UNAUDITED
	December 31,	June 30,
ASSETS	2010	2010
Cash and cash equivalents	15,081	8,089
Available-for-sale securities	7,713	7,747
Loans held for sale	514	1,151
Loans, net of allowance for loan losses of $1,625 and $1,540 at
December 31, and June 30, 2010, respectively	93,384	98,186
Premises and equipment	4,113	4,178
FHLB stock	2,237	2,237
Foreclosed assets held for sale	650	585
Interest receivable	667	689
Prepaid federal income taxes	-	507
Prepaid FDIC insurance premiums	544	644
Other assets	460	488
Total assets	$125,363	$124,501

LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities
Deposits	$ 98,299	$ 94,778
Advances from the Federal Home Loan Bank	13,265	16,226
Interest payable	78	77
Other liabilities	598	494
Preferred dividend payable	18	18
Total liabilities	112,258	111,593

Shareholders' equity
Preferred stock	2,687	2,665
Common stock, par $.01, issued 1,525,297 shares	15	15
Additional paid-in capital	5,229	5,229
Retained earnings	11,997	11,732
Accumulated other comprehensive loss	(28)	62
Treasury stock, at cost - Common 642,686 shares	(6,795)	(6,795)
Total shareholders' equity	13,105	12,908
Total liabilities and shareholders' equity	$125,363	$124,501


Community Investors Bancorp, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
(In thousands, except share data)
UNAUDITED
	Six months ended		Three months ended
	December 31,		December 31,
	2010	2009	2010	2009
Total interest income	$3,119	$3,542	$1,545	$1,749
Total interest expense	828	1,214	407	580
Net interest income	2,291	2,328	1,138	1,169
Provision for losses on loans	214	171	139	105
Net interest income after provision
for losses on loans	2,077	2,157	999	1,064
Other income (losses)	697	326	372	173
General, administrative and other expense	2,232	1,847	1,071	953
Earnings (loss) before income taxes	542	636	300	284
Federal income taxes expense (benefit)	184	209	102	91

NET EARNINGS (LOSS)	358	427	198	193
Preferred dividends	71	71	36	36
NET EARNINGS (LOSS) AVAILABLE
TO COMMON SHARES	$ 287	$ 356	$ 162	$ 157

EARNINGS (LOSS) PER COMMON SHARE	$ .33	$ .40	$ .18	$ .18