First M&F Corp. First Quarter 2001 Earnings Rebound

Apr 17, 2001, 01:00 ET from First M&F Corporation

    KOSCIUSKO, Miss., April 17 /PRNewswire/ --
 First M&F Corp.'s (Nasdaq: FMFC) net income for the quarter ended March 31,
 2001 was $1,940,030, or $.42 basic and diluted per share, compared to
 $1,230,838, or $.27 per share for the fourth quarter of 2000 and $1,517,406,
 or $.33 per share for the third quarter of 2000.
     The increase in quarterly earnings was primarily attributable to wider net
 interest margins as deposit costs decreased faster than loans in the recent
 falling rate environment.  The first quarter of 2001 also saw continued growth
 in insurance agency revenues and in deposit account related revenues.
     Earnings for the first quarter of 2000 were $2,228,650, or $.48 per share.
 The decrease in comparative earnings per share was primarily attributable to
 decreased net interest margins as increases in deposit costs in the second
 half of 2000 outpaced the increase in loan yields for the same period.  This
 compression in interest margins was a large contributor to the reduced
 earnings in the third and fourth quarters of 2000.  First M&F Corp. will
 continue to strive for solid revenue growth while maintaining control over
 expenditures and exercising good judgement when making credit decisions.
     "The first quarter results were encouraging, because they showed that our
 efforts to improve earnings and restructure the balance sheet have begun to
 take effect," said Hugh S. Potts, Jr., Chairman and CEO.  Potts added, "We are
 looking forward to building a solid earnings and capital base for our
 shareholders this year.  In spite of economic uncertainty, our mission of
 making Mississippi communities grow is unchanged."
     First M&F Corp., with $1.024 billion in assets and $98.847 million of
 equity capital, is positioned to proceed with its mission of Making
 Mississippi Better through the delivery of excellence in financial services to
 19 Mississippi communities.
 
 
                             First M&F Corporation
                         Supplemental Earnings Schedule
                              First Quarter, 2001
 
       Quarter Ended March 31                           2001           2000
     Net income                                    $1,940,030     $2,228,650
     Average shares outstanding                     4,614,784      4,666,711
     EPS (basic & fully diluted)                         0.42           0.48
     Cash EPS (fully diluted)                            0.49           0.55
       Year Ended March 31
     Net income                                    $1,940,030     $2,228,650
     Average shares outstanding                     4,614,784      4,666,711
     EPS (basic & fully diluted)                         0.42           0.48
     Cash EPS (fully diluted)                            0.49           0.55
 
                                                           Year-to-Date
                                                     03/31/01       03/31/00
     Return on assets                                   0.77%          0.88%
     Return on equity                                   7.90%          9.81%
 
     (Amounts in thousands)
     Total assets                                   1,023,501      1,023,386
     Total equity                                      98,847         90,166
     Total loans                                      641,380        618,662
     Total deposits                                   813,922        807,094
 
     Average assets                                 1,008,488      1,013,918
     Average equity                                    98,240         90,835
     Average loans                                    634,523        614,529
     Average deposits                                 800,504        793,705
 
                           Historical Earnings Trends
 
                                                  Net Income            EPS
                                               (in thousands)      (diluted)
                                     1Q 2001           1,940          0.42
                                     4Q 2000           1,231          0.27
                                     3Q 2000           1,517          0.33
                                     2Q 2000           2,102          0.45
                                     1Q 2000           2,229          0.48
                                     4Q 1999           1,887          0.45
                                     3Q 1999           2,103          0.56
                                     2Q 1999           2,094          0.57
                                     1Q 1999           2,082          0.57
 
 

SOURCE First M&F Corporation
    KOSCIUSKO, Miss., April 17 /PRNewswire/ --
 First M&F Corp.'s (Nasdaq: FMFC) net income for the quarter ended March 31,
 2001 was $1,940,030, or $.42 basic and diluted per share, compared to
 $1,230,838, or $.27 per share for the fourth quarter of 2000 and $1,517,406,
 or $.33 per share for the third quarter of 2000.
     The increase in quarterly earnings was primarily attributable to wider net
 interest margins as deposit costs decreased faster than loans in the recent
 falling rate environment.  The first quarter of 2001 also saw continued growth
 in insurance agency revenues and in deposit account related revenues.
     Earnings for the first quarter of 2000 were $2,228,650, or $.48 per share.
 The decrease in comparative earnings per share was primarily attributable to
 decreased net interest margins as increases in deposit costs in the second
 half of 2000 outpaced the increase in loan yields for the same period.  This
 compression in interest margins was a large contributor to the reduced
 earnings in the third and fourth quarters of 2000.  First M&F Corp. will
 continue to strive for solid revenue growth while maintaining control over
 expenditures and exercising good judgement when making credit decisions.
     "The first quarter results were encouraging, because they showed that our
 efforts to improve earnings and restructure the balance sheet have begun to
 take effect," said Hugh S. Potts, Jr., Chairman and CEO.  Potts added, "We are
 looking forward to building a solid earnings and capital base for our
 shareholders this year.  In spite of economic uncertainty, our mission of
 making Mississippi communities grow is unchanged."
     First M&F Corp., with $1.024 billion in assets and $98.847 million of
 equity capital, is positioned to proceed with its mission of Making
 Mississippi Better through the delivery of excellence in financial services to
 19 Mississippi communities.
 
 
                             First M&F Corporation
                         Supplemental Earnings Schedule
                              First Quarter, 2001
 
       Quarter Ended March 31                           2001           2000
     Net income                                    $1,940,030     $2,228,650
     Average shares outstanding                     4,614,784      4,666,711
     EPS (basic & fully diluted)                         0.42           0.48
     Cash EPS (fully diluted)                            0.49           0.55
       Year Ended March 31
     Net income                                    $1,940,030     $2,228,650
     Average shares outstanding                     4,614,784      4,666,711
     EPS (basic & fully diluted)                         0.42           0.48
     Cash EPS (fully diluted)                            0.49           0.55
 
                                                           Year-to-Date
                                                     03/31/01       03/31/00
     Return on assets                                   0.77%          0.88%
     Return on equity                                   7.90%          9.81%
 
     (Amounts in thousands)
     Total assets                                   1,023,501      1,023,386
     Total equity                                      98,847         90,166
     Total loans                                      641,380        618,662
     Total deposits                                   813,922        807,094
 
     Average assets                                 1,008,488      1,013,918
     Average equity                                    98,240         90,835
     Average loans                                    634,523        614,529
     Average deposits                                 800,504        793,705
 
                           Historical Earnings Trends
 
                                                  Net Income            EPS
                                               (in thousands)      (diluted)
                                     1Q 2001           1,940          0.42
                                     4Q 2000           1,231          0.27
                                     3Q 2000           1,517          0.33
                                     2Q 2000           2,102          0.45
                                     1Q 2000           2,229          0.48
                                     4Q 1999           1,887          0.45
                                     3Q 1999           2,103          0.56
                                     2Q 1999           2,094          0.57
                                     1Q 1999           2,082          0.57
 
 SOURCE  First M&F Corporation