Main Street Trust Achieves Solid Operating Earnings for First Quarter 2001

Apr 23, 2001, 01:00 ET from Main Street Trust, Inc.

    CHAMPAIGN, Ill., April 23 /PRNewswire Interactive Press Release/ -- Main
 Street Trust, Inc. (OTC Bulletin Board:   MSTI) recorded excellent earnings for
 first quarter 2001.  Unaudited consolidated diluted operating net income for
 the quarter ended March 31, 2001 totaled $3.883 million or $0.36 per share,
 compared to $3.859 million or $0.36 per share for the same period in 2000.
 Earnings from operations in the first quarter of 2001 excluded a $0.02 or
 $0.215 million charge for non-recurring restructuring expenses relating to the
 2000 merger, while earnings from operations in the first quarter of 2000
 excluded a $0.27 or $2.865 million charge for merger related expenses.
 
                              Financial Highlights
 
     The following delineates applicable financial measurements:
 
     * Operating Income Per Share
       Diluted operating income per share was $0.36 for first quarter 2001
       -- Compared to $0.36 per share for first quarter 2000
       -- Compared to $0.34 per share for fourth quarter 2000, a 5.9% increase
 
     * Operating Income
       Operating income was $3.883 million for first quarter 2001
       -- Compared to $3.859 million for first quarter 2000, an .6% increase
       -- Compared to $3.656 million for fourth quarter 2000, a 6.2% increase
 
     * Total Net Income Per Share After Non-Recurring Items
       Total net income per share after non-recurring items was $0.34 for first
       quarter 2001
       -- Compared to $0.09 per share for first quarter 2000, a 277.8% increase
       -- Compared to $0.33 per share for fourth quarter 2000, a 3.0% increase
 
     * Total Net Income After Non-Recurring Items
       Total net income after non-recurring items was $3.668 million for first
       quarter 2001
       -- Compared to $0.994 million for first quarter 2000, a 269.0% increase
       -- Compared to $3.534 million for fourth quarter 2000, a 3.8% increase
 
     * Operating Return on Assets
       Operating return on assets was 1.44% for first quarter 2001
       -- Compared to 1.49% for first quarter 2000
       -- Compared to 1.37% for fourth quarter 2000
 
     * Operating Return on Equity
       Operating return on equity was 12.39% for first quarter 2001
       -- Compared to 13.29% for first quarter 2000
       -- Compared to 11.82% for fourth quarter 2000
 
     * Net Interest Margin
       Net interest margin was 3.64% for first quarter 2001
       -- Compared to 3.70% for first quarter 2000
       -- Compared to 3.68% for fourth quarter 2000
 
     * Operating Efficiency Ratio
       Operating efficiency ratio (excluding non-recurring items) was 55.61%
       for first quarter 2001
       -- Compared to 57.15% for first quarter 2000
       -- Compared to 56.8% for fourth quarter 2000
 
     * Non-Performing Loans
       Non-performing loans were $1.674 million as of March 31, 2001, or .25%
       of loans
       -- Compared to $0.602 million or .10% of loans as of March 31, 2000
 
     * Book Value Per Share
       Book value per share as of March 31, 2001 was $12.31
       -- Compared to $11.02 per share as of March 31, 2000
 
     * Total Assets
       Total assets were $1.096 billion as of March 31, 2001
       -- Compared to $1.032 billion as of March 31, 2000
 
     * Total Assets Under Management
       Total assets under management were $1.138 billion as of March 31, 2001
       -- Compared to $1.154 billion as of March 31, 2000
 
     Overview
     Van A. Dukeman, President and CEO of MSTI stated, "In spite of a slowing
 economy, MSTI was able to maintain stable earnings and solid asset quality.
 One of the true tests of the strength of a banking institution is its ability
 to withstand difficulties during periods of economic instability.  The first
 quarter of 2001 continued to indicate that MSTI is well positioned for the
 economic environment that the company is currently experiencing.  MSTI
 continues to function efficiently and maintains its strong relationships with
 the excellent customer base in our market area.
     Management and the Board continue to focus on strategies to grow revenue
 and profitable client relationships.  The company has a continued emphasis on
 growing excellent long-term commercial banking relationships, as well as core
 asset management and deposit relationships.  In addition, FirsTech, our retail
 payment processing subsidiary, continues to enjoy growth in its electronic
 data services.  It is our goal to grow earnings at a rate in excess of 10% per
 annum; however, we will not sacrifice long-term financial strength to achieve
 short-term goals."
 
     Cash Dividend Paid
     MSTI paid an $0.11 per share cash dividend on April 20, 2001 to
 shareholders of record on April 9, 2001.  President Dukeman indicated that,
 "This represents an approximate 10% increase in cash dividends for MSTI
 shareholders."
 
     Main Street Trust Stock
     Main Street Trust stock trades on the Over-the-Counter Bulletin Board
 under the symbol "MSTI".  The last trade price of MSTI stock was $18.33 per
 share at April 16, 2001.  This represents a 9.4% increase since December 31,
 2000.  The stock pricing may be obtained using the symbol "MSTI" on any
 quotation service or through a broker.
 
     Annual Meeting
     The Main Street Trust, Inc. Annual Shareholders' Meeting will be held at
 7:00 pm on Monday, May 14, 2001 at The Forum at Carle, 611 W. Park Street,
 Urbana, IL.
 
     Main Street indicates that this release may contain forward looking
 statements.  Forward looking statements are identifiable by the inclusion of
 such qualifications as expects, intends, believes, may, likely or similar
 statements or variations of such terms which express views concerning trends
 and the future.  These forward looking statements are not historical facts and
 instead are expressions about management's confidence and strategies, and
 management's expectations about new and existing programs and products,
 relationships, opportunities, technology and market conditions.  Actual events
 and results may differ significantly from those described in such forward
 looking statements, due to changes in the general economic or market
 conditions, government regulation, competition or other factors.  For
 additional information about these factors, please review Main Street Trust's
 filings with the Securities and Exchange Commission.
 
 
                         UNAUDITED FINANCIAL HIGHLIGHTS
                (dollars in thousands, except for per share data)
 
 
     AT MARCH 31,                               2001         2000    % CHANGE
 
     Total Assets                           $1,095,960   $1,032,133     6.2%
     Investment Securities                     278,056      311,488   (10.7%)
     Loans                                     669,840      609,070    10.0%
     Reserve for Loan Losses                     9,023        9,049    (0.3%)
     Deposits                                  844,458      795,991     6.1%
     Shareholders' Equity                      128,655      116,615    10.3%
     Shareholders' Equity to Total Assets       11.74%       11.30%     3.9%
     Book Value Per Share                       $12.31       $11.02    11.7%
     Reserve for Loan Losses to Loans            1.35%        1.49%    (9.4%)
     Non-Performing Loans                       $1,674         $602   178.1%
     Reserve as a Percentage of Non-
      Performing Loans                         539.01%    1,503.16%   (64.1%)
     Loan to Deposit Ratio                      79.32%       76.52%     3.7%
 
     THREE MONTHS ENDED MARCH 31,               2001          2000   % CHANGE
 
     Interest Income                           $19,121      $17,874     7.0%
     Interest Expense                            9,579        8,540    12.2%
     Net Interest Income                        $9,542       $9,334     2.2%
     Provision for Loan Losses                     235          136    72.8%
     Other Income                                4,087        4,439    (7.9%)
     Other Expense                               7,740        8,053    (3.9%)
     Income Tax Expense                          1,771        1,725     2.7%
     Operating Income                           $3,883       $3,859     0.6%
     Non-Recurring Expenses, Net of Tax            215        2,865   (92.5%)
     Net Income                                 $3,668         $994   269.0%
 
     Net Overhead Efficiency Ratio              55.61%       57.15%    (2.7%)
     Return on Average Assets from
      Operating Income                           1.44%        1.49%    (3.4%)
     Return on Average Equity from
      Operating Income                          12.39%       13.29%    (6.8%)
 
     PER SHARE DATA                               2001         2000  % CHANGE
 
     Operating Income                            $0.36        $0.36     0.0%
     Non-Recurring Expenses, Net of Tax         ($0.02)      ($0.27)  (92.6%)
     Net Income                                  $0.34        $0.09   277.8%
     Weighted Average Number of Common
      Stock and Dilutive Potential Common
         Shares Outstanding                 10,654,506   10,804,204    (1.4%)
 
 
     Unaudited Consolidated Balance Sheets
                                                           March 31,
                                                   2001              2000
                                      (dollars in thousands except share data)
     ASSETS
     Cash and due from banks                      $59,765          $46,020
     Fed funds sold and interest-
      earning deposits                             56,864           30,925
     Investment securities                        278,056          311,488
     Loans                                        669,840          609,070
       Allowance for loan losses                    9,023            9,049
     Net loans                                   $660,817         $600,021
     Premises and equipment                        20,679           21,917
     Other assets                                  19,779           21,762
       TOTAL ASSETS                            $1,095,960       $1,032,133
 
     LIABILITIES &  STOCKHOLDERS' EQUITY
     Deposits:
       Non-interest bearing                      $125,896         $135,057
       Interest bearing                           718,562          660,934
     Total deposits                              $844,458         $795,991
     Fed funds purchased, repurchase
       agreements, and notes payable               67,006           73,849
     FHLB advances and other borrowings            40,940           32,019
     Other liabilities                             14,901           13,659
        TOTAL LIABILITIES                        $967,305         $915,518
 
     SHAREHOLDERS' EQUITY                         128,655          116,615
 
     TOTAL LIABILITIES AND SHAREHOLDERS'
        EQUITY                                 $1,095,960       $1,032,133
 
     Per Share Data:
     Book value per common share                   $12.31           $11.02
 
     Shares outstanding                        10,449,206       10,581,083
 
 
 
     Unaudited Consolidated Statements of Income
                                                     Three Months Ended
                                                         March 31,
                                                     2001        2000
                                      (dollars in thousands except share data)
 
     INTEREST INCOME                              $19,121         $17,874
     INTEREST  EXPENSE                              9,579           8,540
       NET INTEREST INCOME                         $9,542          $9,334
     Provision for loan losses                        235             136
       NET INT. INCOME AFTER PROVISION             $9,307          $9,198
 
     OTHER INCOME                                   4,087           4,439
 
     OTHER EXPENSE                                  7,740           8,053
 
     Operating income before income tax            $5,654          $5,584
     Income tax expense                             1,771           1,725
     OPERATING INCOME                              $3,883          $3,859
     Non-recurring expenses, net of tax               215           2,865
     NET INCOME                                    $3,668            $994
 
     Per Share Data:
     Operating income                               $0.36           $0.36
     Non-recurring expenses, net of tax            ($0.02)         ($0.27)
     Net income                                     $0.34           $0.09
     Weighted average number of common
      stock and dilutive potential common
      shares outstanding                       10,654,506      10,804,204
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X20960372
 
 

SOURCE Main Street Trust, Inc.
    CHAMPAIGN, Ill., April 23 /PRNewswire Interactive Press Release/ -- Main
 Street Trust, Inc. (OTC Bulletin Board:   MSTI) recorded excellent earnings for
 first quarter 2001.  Unaudited consolidated diluted operating net income for
 the quarter ended March 31, 2001 totaled $3.883 million or $0.36 per share,
 compared to $3.859 million or $0.36 per share for the same period in 2000.
 Earnings from operations in the first quarter of 2001 excluded a $0.02 or
 $0.215 million charge for non-recurring restructuring expenses relating to the
 2000 merger, while earnings from operations in the first quarter of 2000
 excluded a $0.27 or $2.865 million charge for merger related expenses.
 
                              Financial Highlights
 
     The following delineates applicable financial measurements:
 
     * Operating Income Per Share
       Diluted operating income per share was $0.36 for first quarter 2001
       -- Compared to $0.36 per share for first quarter 2000
       -- Compared to $0.34 per share for fourth quarter 2000, a 5.9% increase
 
     * Operating Income
       Operating income was $3.883 million for first quarter 2001
       -- Compared to $3.859 million for first quarter 2000, an .6% increase
       -- Compared to $3.656 million for fourth quarter 2000, a 6.2% increase
 
     * Total Net Income Per Share After Non-Recurring Items
       Total net income per share after non-recurring items was $0.34 for first
       quarter 2001
       -- Compared to $0.09 per share for first quarter 2000, a 277.8% increase
       -- Compared to $0.33 per share for fourth quarter 2000, a 3.0% increase
 
     * Total Net Income After Non-Recurring Items
       Total net income after non-recurring items was $3.668 million for first
       quarter 2001
       -- Compared to $0.994 million for first quarter 2000, a 269.0% increase
       -- Compared to $3.534 million for fourth quarter 2000, a 3.8% increase
 
     * Operating Return on Assets
       Operating return on assets was 1.44% for first quarter 2001
       -- Compared to 1.49% for first quarter 2000
       -- Compared to 1.37% for fourth quarter 2000
 
     * Operating Return on Equity
       Operating return on equity was 12.39% for first quarter 2001
       -- Compared to 13.29% for first quarter 2000
       -- Compared to 11.82% for fourth quarter 2000
 
     * Net Interest Margin
       Net interest margin was 3.64% for first quarter 2001
       -- Compared to 3.70% for first quarter 2000
       -- Compared to 3.68% for fourth quarter 2000
 
     * Operating Efficiency Ratio
       Operating efficiency ratio (excluding non-recurring items) was 55.61%
       for first quarter 2001
       -- Compared to 57.15% for first quarter 2000
       -- Compared to 56.8% for fourth quarter 2000
 
     * Non-Performing Loans
       Non-performing loans were $1.674 million as of March 31, 2001, or .25%
       of loans
       -- Compared to $0.602 million or .10% of loans as of March 31, 2000
 
     * Book Value Per Share
       Book value per share as of March 31, 2001 was $12.31
       -- Compared to $11.02 per share as of March 31, 2000
 
     * Total Assets
       Total assets were $1.096 billion as of March 31, 2001
       -- Compared to $1.032 billion as of March 31, 2000
 
     * Total Assets Under Management
       Total assets under management were $1.138 billion as of March 31, 2001
       -- Compared to $1.154 billion as of March 31, 2000
 
     Overview
     Van A. Dukeman, President and CEO of MSTI stated, "In spite of a slowing
 economy, MSTI was able to maintain stable earnings and solid asset quality.
 One of the true tests of the strength of a banking institution is its ability
 to withstand difficulties during periods of economic instability.  The first
 quarter of 2001 continued to indicate that MSTI is well positioned for the
 economic environment that the company is currently experiencing.  MSTI
 continues to function efficiently and maintains its strong relationships with
 the excellent customer base in our market area.
     Management and the Board continue to focus on strategies to grow revenue
 and profitable client relationships.  The company has a continued emphasis on
 growing excellent long-term commercial banking relationships, as well as core
 asset management and deposit relationships.  In addition, FirsTech, our retail
 payment processing subsidiary, continues to enjoy growth in its electronic
 data services.  It is our goal to grow earnings at a rate in excess of 10% per
 annum; however, we will not sacrifice long-term financial strength to achieve
 short-term goals."
 
     Cash Dividend Paid
     MSTI paid an $0.11 per share cash dividend on April 20, 2001 to
 shareholders of record on April 9, 2001.  President Dukeman indicated that,
 "This represents an approximate 10% increase in cash dividends for MSTI
 shareholders."
 
     Main Street Trust Stock
     Main Street Trust stock trades on the Over-the-Counter Bulletin Board
 under the symbol "MSTI".  The last trade price of MSTI stock was $18.33 per
 share at April 16, 2001.  This represents a 9.4% increase since December 31,
 2000.  The stock pricing may be obtained using the symbol "MSTI" on any
 quotation service or through a broker.
 
     Annual Meeting
     The Main Street Trust, Inc. Annual Shareholders' Meeting will be held at
 7:00 pm on Monday, May 14, 2001 at The Forum at Carle, 611 W. Park Street,
 Urbana, IL.
 
     Main Street indicates that this release may contain forward looking
 statements.  Forward looking statements are identifiable by the inclusion of
 such qualifications as expects, intends, believes, may, likely or similar
 statements or variations of such terms which express views concerning trends
 and the future.  These forward looking statements are not historical facts and
 instead are expressions about management's confidence and strategies, and
 management's expectations about new and existing programs and products,
 relationships, opportunities, technology and market conditions.  Actual events
 and results may differ significantly from those described in such forward
 looking statements, due to changes in the general economic or market
 conditions, government regulation, competition or other factors.  For
 additional information about these factors, please review Main Street Trust's
 filings with the Securities and Exchange Commission.
 
 
                         UNAUDITED FINANCIAL HIGHLIGHTS
                (dollars in thousands, except for per share data)
 
 
     AT MARCH 31,                               2001         2000    % CHANGE
 
     Total Assets                           $1,095,960   $1,032,133     6.2%
     Investment Securities                     278,056      311,488   (10.7%)
     Loans                                     669,840      609,070    10.0%
     Reserve for Loan Losses                     9,023        9,049    (0.3%)
     Deposits                                  844,458      795,991     6.1%
     Shareholders' Equity                      128,655      116,615    10.3%
     Shareholders' Equity to Total Assets       11.74%       11.30%     3.9%
     Book Value Per Share                       $12.31       $11.02    11.7%
     Reserve for Loan Losses to Loans            1.35%        1.49%    (9.4%)
     Non-Performing Loans                       $1,674         $602   178.1%
     Reserve as a Percentage of Non-
      Performing Loans                         539.01%    1,503.16%   (64.1%)
     Loan to Deposit Ratio                      79.32%       76.52%     3.7%
 
     THREE MONTHS ENDED MARCH 31,               2001          2000   % CHANGE
 
     Interest Income                           $19,121      $17,874     7.0%
     Interest Expense                            9,579        8,540    12.2%
     Net Interest Income                        $9,542       $9,334     2.2%
     Provision for Loan Losses                     235          136    72.8%
     Other Income                                4,087        4,439    (7.9%)
     Other Expense                               7,740        8,053    (3.9%)
     Income Tax Expense                          1,771        1,725     2.7%
     Operating Income                           $3,883       $3,859     0.6%
     Non-Recurring Expenses, Net of Tax            215        2,865   (92.5%)
     Net Income                                 $3,668         $994   269.0%
 
     Net Overhead Efficiency Ratio              55.61%       57.15%    (2.7%)
     Return on Average Assets from
      Operating Income                           1.44%        1.49%    (3.4%)
     Return on Average Equity from
      Operating Income                          12.39%       13.29%    (6.8%)
 
     PER SHARE DATA                               2001         2000  % CHANGE
 
     Operating Income                            $0.36        $0.36     0.0%
     Non-Recurring Expenses, Net of Tax         ($0.02)      ($0.27)  (92.6%)
     Net Income                                  $0.34        $0.09   277.8%
     Weighted Average Number of Common
      Stock and Dilutive Potential Common
         Shares Outstanding                 10,654,506   10,804,204    (1.4%)
 
 
     Unaudited Consolidated Balance Sheets
                                                           March 31,
                                                   2001              2000
                                      (dollars in thousands except share data)
     ASSETS
     Cash and due from banks                      $59,765          $46,020
     Fed funds sold and interest-
      earning deposits                             56,864           30,925
     Investment securities                        278,056          311,488
     Loans                                        669,840          609,070
       Allowance for loan losses                    9,023            9,049
     Net loans                                   $660,817         $600,021
     Premises and equipment                        20,679           21,917
     Other assets                                  19,779           21,762
       TOTAL ASSETS                            $1,095,960       $1,032,133
 
     LIABILITIES &  STOCKHOLDERS' EQUITY
     Deposits:
       Non-interest bearing                      $125,896         $135,057
       Interest bearing                           718,562          660,934
     Total deposits                              $844,458         $795,991
     Fed funds purchased, repurchase
       agreements, and notes payable               67,006           73,849
     FHLB advances and other borrowings            40,940           32,019
     Other liabilities                             14,901           13,659
        TOTAL LIABILITIES                        $967,305         $915,518
 
     SHAREHOLDERS' EQUITY                         128,655          116,615
 
     TOTAL LIABILITIES AND SHAREHOLDERS'
        EQUITY                                 $1,095,960       $1,032,133
 
     Per Share Data:
     Book value per common share                   $12.31           $11.02
 
     Shares outstanding                        10,449,206       10,581,083
 
 
 
     Unaudited Consolidated Statements of Income
                                                     Three Months Ended
                                                         March 31,
                                                     2001        2000
                                      (dollars in thousands except share data)
 
     INTEREST INCOME                              $19,121         $17,874
     INTEREST  EXPENSE                              9,579           8,540
       NET INTEREST INCOME                         $9,542          $9,334
     Provision for loan losses                        235             136
       NET INT. INCOME AFTER PROVISION             $9,307          $9,198
 
     OTHER INCOME                                   4,087           4,439
 
     OTHER EXPENSE                                  7,740           8,053
 
     Operating income before income tax            $5,654          $5,584
     Income tax expense                             1,771           1,725
     OPERATING INCOME                              $3,883          $3,859
     Non-recurring expenses, net of tax               215           2,865
     NET INCOME                                    $3,668            $994
 
     Per Share Data:
     Operating income                               $0.36           $0.36
     Non-recurring expenses, net of tax            ($0.02)         ($0.27)
     Net income                                     $0.34           $0.09
     Weighted average number of common
      stock and dilutive potential common
      shares outstanding                       10,654,506      10,804,204
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X20960372
 
 SOURCE  Main Street Trust, Inc.