First Trust Bank Reports Second Quarter Results

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Jul 29, 2011, 10:00 ET

CHARLOTTE, N.C., July 29, 2011 /PRNewswire/ -- First Trust Bank (OTC: NCFT) reported results for the second quarter of 2011 today. The bank reported a net loss of $465 thousand or ($0.10) per diluted share for the quarter ended June 30, 2011 compared to a net loss of $1.53 million or ($0.32) per diluted share for the second quarter of 2010. Contributing to the net loss for the second quarter of 2011 was a $2.05 million provision to the allowance for loan losses. A $4.1 million provision was made during the second quarter of 2010. The bank earned $155 thousand or $0.03 per diluted share for the first six months of 2011 compared to a net loss of $1.0 million or ($0.21) per diluted share for the first six months of 2010.

Assets at June 30, 2011 were $468 million; an increase of $23 million or 5% over the $445 million reported at December 31, 2010. Loans were $254 million at the end of the second quarter of 2011 compared to $278 million at December 31, 2010.

As a percentage of gross loans outstanding, the allowance for loan losses was 3.66% at June 30, 2011 compared to 3.78% at December 31, 2010 and 3.21% at June 30, 2010. Non-performing assets at June 30, 2011 were 8.0% of total assets compared to 9.71% at December 31, 2010 and 1.5% at June 30, 2010. On a linked quarter basis, non-performing assets declined to 8.0% of total assets at June 30, 2011 compared to 10.1% at March 31, 2011. Other real estate owned (OREO) totaled $17.9 million at June 30, 2011 compared to $11.5 million at December 31, 2010. Our net interest margin was 3.43% for the second quarter of 2011 compared to 3.70% for the second quarter of 2010.

First Trust Bank is a commercial bank whose target market is small to medium sized businesses and professionals. The Bank operates three banking offices at 1420 East Third Street and 2245 Rexford Road, Charlotte, NC and 108 Gateway Boulevard, Mooresville, NC.

For additional information, please contact Jean Galloway or Jim Bolt at 704-377-3936 (fax 704-377-8869) or by e-mail at http://www.firsttrustnc.com.

Information in this press release may contain forward looking statements that might involve risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include without limitation, the effects of future economic conditions, governmental fiscal and monetary policies, legislative and regulatory changes, and changes in interest rates.

SELECTED FINANCIAL DATA
FIRST TRUST BANK
(dollars in thousands, except share and per share amounts)

		June 30,	December 31,
		2011	2010
			(Derived from
			audited financial
SELECTED BALANCE SHEET DATA		(Unaudited)	statements)
	Total loans	$ 254,433	$ 278,277
	Allowance for loan losses	(9,305)	(10,509)
	Investment securities	137,317	117,077
	Total assets	467,868	445,154

	Deposits	401,121	371,770
	Borrowed funds	17,535	26,125
	Shareholders' equity	43,463	41,789

Shares Outstanding at period end		4,775,898	4,775,898

Asset Quality
	Allowance for loan losses to total loans	3.66%	3.78%
	Nonperforming loans to total loans	7.70%	11.42%
	Nonperforming assets to total assets	8.00%	9.71%


SELECTED INCOME AND EXPENSE DATA		June 30,	June 30,	%
		2011	2010	Change
For the quarter ended		(Unaudited)	(Unaudited)
	Net interest income	$ 3,640	$ 4,112	-11.48%
	Provision for loan losses	2,050	4,131	-50.38%
	Other income	182	152	19.74%
	Other expenses	2,458	1,867	31.66%
	Income tax benefit	(221)	(205)	7.80%
	Net loss	$ (465)	$ (1,529)	-69.59%

Net interest margin		3.43%	3.70%

Per Share Data
	Net loss per share-basic	$ (0.10)	$ (0.32)
	Net loss per share-diluted	$ (0.10)	$ (0.32)


		June 30,	June 30,	%
		2011	2010	Change
For the year to date ended		(Unaudited)	(Unaudited)
	Net interest income	$ 7,348	$ 8,430	-12.84%
	Provision for loan losses	2,499	6,126	-59.21%
	Other income	324	311	4.18%
	Other expenses	5,018	3,680	36.36%
	Income tax expense (benefit)	-	(64)	-100.00%
	Net income (loss)	$ 155	$ (1,001)	-115.48%

Net interest margin		3.51%	3.86%

Per Share Data
	Net income (loss) per share-basic	$ 0.03	$ (0.21)
	Net income (loss) per share-diluted	$ 0.03	$ (0.21)