First National Corporation Reports Increased First Quarter Earnings

Apr 17, 2001, 01:00 ET from First National Corporation

    ORANGEBURG, S.C., April 17 /PRNewswire/ --
     First National Corporation (Amex:   FNC) the holding company for First
 National Bank, National Bank of York County, Florence County National Bank and
 CreditSouth Financial Services Corporation, reports increased earnings for the
 three-month period ended March 31, 2001, compared to the prior quarter and the
 comparable period in 2000.  Net income for the quarter was a record high
 $3,076,000, up 20.6% from $2,551,000 earned during the first quarter of 2000.
 Diluted earnings per share for the quarter were $0.44 compared to $0.36 for
 the same period in 2000.
     On an annualized basis, the quarterly results represent a return on
 average assets of 1.28% and a return on average equity of 14.44%.  Comparable
 ratios for the three-month period ended March 31, 2000, were 1.15% and 13.39%
 respectively.  Net interest income after provision for loan losses was
 $10,039,000 for the first quarter, up 6.2% from $9,453,000 in 2000's first
 quarter.  Noninterest income was $2,985,000, including a nominal $1,000 gain
 on securities sold.  This amount is a 12.9% increase from $2,643,000 in
 noninterest income for the comparable period a year ago.  Noninterest expense
 was $8,323,000 in this year's first quarter, representing no increase from
 noninterest expense incurred in the first quarter of 2000.
     Total assets at March 31, 2001 were $978,517,000, up 8.4% from
 $902,767,000 at March 31, 2000.  Gross loans less unearned discount increased
 13.3% to $735,588,000, and total deposits increased 8.2% to $795,139,000 from
 the March 31, 2000 totals.  Total shareholders' equity was $87,825,000 at
 March 31, 2001, an increase of 14.1% from the prior year's first quarter.  The
 current total equity amount represents a book value per share of $12.53 and an
 equity-to-assets ratio of 8.98%.  At the period end, FNC had 7,011,201 common
 shares outstanding, compared to 7,041,101 at March 31, 2000.  Average shares
 outstanding during the quarter were 7,019,232 compared to 7,041,101 during the
 first quarter of 2000.  FNC continues to methodically repurchase shares under
 a previously announced program.  Through March 31, 2001 the company had
 repurchased 29,900 shares and is authorized to repurchase up to 160,000
 shares.
     Asset quality, which compares favorably with local and national peers,
 remained strong during the period.  Nonperforming loans were $4,325,000 at
 quarter end or .59% of period end loans.  The allowance for loan losses at
 March 31, 2001 was $9,106,000 and represented 1.24% of loans net of unearned
 income, 2.1 times coverage of period end nonperforming loans and approximately
 18 times coverage of annualized charge-offs.  Net charge-offs in the first
 quarter were $123,000 or .07% annualized of average loans net of unearned
 income.  The provision for loan losses was $292,000 for the quarter.
     Each of First National Corporation's operating subsidiaries performed
 profitably during the first quarter.  First National Bank, headquartered in
 Orangeburg, SC, had net income of $2,796,000 for the quarter.  National Bank
 of York County, headquartered in Rock Hill, SC, had $248,000 net income.
 Florence County National Bank, headquartered in Florence, SC, produced $49,000
 in net income, and CreditSouth Financial Services Corporation, also
 headquartered in Florence, reported $12,000 net income for the quarter.
     C. John Hipp, III, President and Chief Executive Officer, stated, "We are
 pleased to report record earnings in the first quarter despite slowing
 economic conditions.  We remain focused on our core values of sound asset
 quality and profitable banking operations while keeping an eye on future
 growth.  We believe that our service-oriented, community banking approach is
 the right approach, and these earnings and our internal growth provide
 optimism going forward.  This year we are focusing even more on our customers
 and our employees, all of which should benefit our shareholders."  Mr. Hipp
 further stated, "We are pleased with the progress and momentum in each of our
 subsidiaries.  Our banks are all operating well, and we are encouraged that
 our consumer finance subsidiary, CreditSouth, is also showing improved
 profitability."
     First National Corporation is a multi-bank holding company whose principal
 subsidiaries are First National Bank, National Bank of York County, Florence
 County National Bank, and CreditSouth Financial Services Corporation.  Through
 these subsidiaries, First National Corporation operates 30 full-service
 financial centers in 11 South Carolina counties.  First National Corporation
 offers a full range of retail and commercial banking services, trust and
 investment services, mortgage lending services, and upscale finance company
 loans.  First National Corporation common stock is traded on the American
 Stock Exchange under the symbol "FNC."
 
     Statements contained in this press release, which are not historical
 facts, are forward-looking statements.  In addition, FNC through its senior
 management or directors may from time to time make forward-looking public
 statements concerning matters described herein.  Such forward-looking
 statements are necessarily estimates reflecting the best judgement of FNC's
 senior management or directors based upon current information and involve a
 number of risks and uncertainties.  Certain factors which could affect the
 accuracy of such forward looking statements are identified in the public
 filings made by FNC with the Securities and Exchange Commission, and forward-
 looking statements contained in this press release or in other public
 statements of FNC or its senior management or directors should be considered
 in light of those factors.  There can be no assurance that such factors or
 other factors will not affect the accuracy of such forward-looking statements.
 
 

SOURCE First National Corporation
    ORANGEBURG, S.C., April 17 /PRNewswire/ --
     First National Corporation (Amex:   FNC) the holding company for First
 National Bank, National Bank of York County, Florence County National Bank and
 CreditSouth Financial Services Corporation, reports increased earnings for the
 three-month period ended March 31, 2001, compared to the prior quarter and the
 comparable period in 2000.  Net income for the quarter was a record high
 $3,076,000, up 20.6% from $2,551,000 earned during the first quarter of 2000.
 Diluted earnings per share for the quarter were $0.44 compared to $0.36 for
 the same period in 2000.
     On an annualized basis, the quarterly results represent a return on
 average assets of 1.28% and a return on average equity of 14.44%.  Comparable
 ratios for the three-month period ended March 31, 2000, were 1.15% and 13.39%
 respectively.  Net interest income after provision for loan losses was
 $10,039,000 for the first quarter, up 6.2% from $9,453,000 in 2000's first
 quarter.  Noninterest income was $2,985,000, including a nominal $1,000 gain
 on securities sold.  This amount is a 12.9% increase from $2,643,000 in
 noninterest income for the comparable period a year ago.  Noninterest expense
 was $8,323,000 in this year's first quarter, representing no increase from
 noninterest expense incurred in the first quarter of 2000.
     Total assets at March 31, 2001 were $978,517,000, up 8.4% from
 $902,767,000 at March 31, 2000.  Gross loans less unearned discount increased
 13.3% to $735,588,000, and total deposits increased 8.2% to $795,139,000 from
 the March 31, 2000 totals.  Total shareholders' equity was $87,825,000 at
 March 31, 2001, an increase of 14.1% from the prior year's first quarter.  The
 current total equity amount represents a book value per share of $12.53 and an
 equity-to-assets ratio of 8.98%.  At the period end, FNC had 7,011,201 common
 shares outstanding, compared to 7,041,101 at March 31, 2000.  Average shares
 outstanding during the quarter were 7,019,232 compared to 7,041,101 during the
 first quarter of 2000.  FNC continues to methodically repurchase shares under
 a previously announced program.  Through March 31, 2001 the company had
 repurchased 29,900 shares and is authorized to repurchase up to 160,000
 shares.
     Asset quality, which compares favorably with local and national peers,
 remained strong during the period.  Nonperforming loans were $4,325,000 at
 quarter end or .59% of period end loans.  The allowance for loan losses at
 March 31, 2001 was $9,106,000 and represented 1.24% of loans net of unearned
 income, 2.1 times coverage of period end nonperforming loans and approximately
 18 times coverage of annualized charge-offs.  Net charge-offs in the first
 quarter were $123,000 or .07% annualized of average loans net of unearned
 income.  The provision for loan losses was $292,000 for the quarter.
     Each of First National Corporation's operating subsidiaries performed
 profitably during the first quarter.  First National Bank, headquartered in
 Orangeburg, SC, had net income of $2,796,000 for the quarter.  National Bank
 of York County, headquartered in Rock Hill, SC, had $248,000 net income.
 Florence County National Bank, headquartered in Florence, SC, produced $49,000
 in net income, and CreditSouth Financial Services Corporation, also
 headquartered in Florence, reported $12,000 net income for the quarter.
     C. John Hipp, III, President and Chief Executive Officer, stated, "We are
 pleased to report record earnings in the first quarter despite slowing
 economic conditions.  We remain focused on our core values of sound asset
 quality and profitable banking operations while keeping an eye on future
 growth.  We believe that our service-oriented, community banking approach is
 the right approach, and these earnings and our internal growth provide
 optimism going forward.  This year we are focusing even more on our customers
 and our employees, all of which should benefit our shareholders."  Mr. Hipp
 further stated, "We are pleased with the progress and momentum in each of our
 subsidiaries.  Our banks are all operating well, and we are encouraged that
 our consumer finance subsidiary, CreditSouth, is also showing improved
 profitability."
     First National Corporation is a multi-bank holding company whose principal
 subsidiaries are First National Bank, National Bank of York County, Florence
 County National Bank, and CreditSouth Financial Services Corporation.  Through
 these subsidiaries, First National Corporation operates 30 full-service
 financial centers in 11 South Carolina counties.  First National Corporation
 offers a full range of retail and commercial banking services, trust and
 investment services, mortgage lending services, and upscale finance company
 loans.  First National Corporation common stock is traded on the American
 Stock Exchange under the symbol "FNC."
 
     Statements contained in this press release, which are not historical
 facts, are forward-looking statements.  In addition, FNC through its senior
 management or directors may from time to time make forward-looking public
 statements concerning matters described herein.  Such forward-looking
 statements are necessarily estimates reflecting the best judgement of FNC's
 senior management or directors based upon current information and involve a
 number of risks and uncertainties.  Certain factors which could affect the
 accuracy of such forward looking statements are identified in the public
 filings made by FNC with the Securities and Exchange Commission, and forward-
 looking statements contained in this press release or in other public
 statements of FNC or its senior management or directors should be considered
 in light of those factors.  There can be no assurance that such factors or
 other factors will not affect the accuracy of such forward-looking statements.
 
 SOURCE  First National Corporation