Michigan Heritage Bancorp Reports 18% Increases In Total Operating Income and Loan Growth

Apr 18, 2001, 01:00 ET from Michigan Heritage Bancorp, Inc.

    FARMINGTON HILLS, Mich., April 18 /PRNewswire/ -- Michigan Heritage
 Bancorp, Inc. (OTC Bulletin Board:   MHBC), the holding company for Michigan
 Heritage Bank, today announced 2001 first quarter earnings of $130,000 or
 $0.09 per share.  Earnings for the same quarter last year were also $130,000
 or $0.09 per share.
     Richard Zamojski, Chairman and CEO of Michigan Heritage, stated that, "The
 $130,000 first quarter earnings this year resulted from an increase of
 $184,000 or 18% in total operating income due to increases in net interest
 income, gains on securities sold, and gains on loans sold from the bank's new
 mortgage division which compensated for additional operating expenses due
 mostly to additional salaries.  Total gross loans were $98,613,000 at the end
 of the first quarter of 2001 compared to $83,717,000 at the end of the first
 quarter in 2000, an increase of $14,896,000 or 18%.  Total assets went up to
 $117,457,000, an increase of $10,471,000 or 10% over the end of the first
 quarter of 2000.  Deposits were $100,054,000 at the end of the first quarter
 in 2001, a $5,667,000 or 6% increase from the end of this quarter last year.
 The bank also acquired for the first time $4,000,000 in Federal Home Loan Bank
 borrowings which typically have lower rates than deposits with similar terms.
     Zamojski continued, "At the beginning of this year, the bank added a new
 mortgage division with a team of mortgage professionals and most recently has
 formed a new leasing company, MHB Leasing, Inc., a wholly-owned subsidiary of
 the bank.  In addition, a rapid courier service to retrieve deposits has been
 implemented and formalized sales training for all bank staff has recently been
 completed.  We believe with these initiatives in combination with our
 professional management team and strategically placed facility locations, we
 are prepared to meet the challenges and opportunities that exist in our
 marketplace today and well into our future."
     Michigan Heritage Bank is a state chartered, full-service, commercial
 bank, a member of both the Federal Reserve System and the Federal Home Loan
 Bank and its deposits are FDIC insured.
     NOTE:  This press release contains "forward-looking statements" within the
 meaning of the federal securities law regarding proposed developments and
 operations of the Company.  These statements represent the Company's
 expectations or beliefs concerning future events.  Statements containing
 expressions such as "believes", "anticipates" or "expects" are intended to
 identify such forward-looking statements.  All forward-looking statements
 involve risks and uncertainties.  Although the Company believes its
 expectations are based upon reasonable assumptions within the bounds of its
 knowledge of its business and operations, there can be no assurance that
 actual results will not materially differ from expected results.  The Company
 cautions that these and similar statements are further qualified by important
 factors that could cause actual results to differ materially from those in the
 forward-looking statements, including regional and national economic
 conditions, substantial changes in levels of market interest rates, credit and
 other risks of lending and investment activities and competitive and
 regulatory factors.  The Company does not undertake and specifically disclaims
 any obligation to update any forward-looking statements to reflect occurrences
 or unanticipated events of circumstances after the date of such statements.
 
 

SOURCE Michigan Heritage Bancorp, Inc.
    FARMINGTON HILLS, Mich., April 18 /PRNewswire/ -- Michigan Heritage
 Bancorp, Inc. (OTC Bulletin Board:   MHBC), the holding company for Michigan
 Heritage Bank, today announced 2001 first quarter earnings of $130,000 or
 $0.09 per share.  Earnings for the same quarter last year were also $130,000
 or $0.09 per share.
     Richard Zamojski, Chairman and CEO of Michigan Heritage, stated that, "The
 $130,000 first quarter earnings this year resulted from an increase of
 $184,000 or 18% in total operating income due to increases in net interest
 income, gains on securities sold, and gains on loans sold from the bank's new
 mortgage division which compensated for additional operating expenses due
 mostly to additional salaries.  Total gross loans were $98,613,000 at the end
 of the first quarter of 2001 compared to $83,717,000 at the end of the first
 quarter in 2000, an increase of $14,896,000 or 18%.  Total assets went up to
 $117,457,000, an increase of $10,471,000 or 10% over the end of the first
 quarter of 2000.  Deposits were $100,054,000 at the end of the first quarter
 in 2001, a $5,667,000 or 6% increase from the end of this quarter last year.
 The bank also acquired for the first time $4,000,000 in Federal Home Loan Bank
 borrowings which typically have lower rates than deposits with similar terms.
     Zamojski continued, "At the beginning of this year, the bank added a new
 mortgage division with a team of mortgage professionals and most recently has
 formed a new leasing company, MHB Leasing, Inc., a wholly-owned subsidiary of
 the bank.  In addition, a rapid courier service to retrieve deposits has been
 implemented and formalized sales training for all bank staff has recently been
 completed.  We believe with these initiatives in combination with our
 professional management team and strategically placed facility locations, we
 are prepared to meet the challenges and opportunities that exist in our
 marketplace today and well into our future."
     Michigan Heritage Bank is a state chartered, full-service, commercial
 bank, a member of both the Federal Reserve System and the Federal Home Loan
 Bank and its deposits are FDIC insured.
     NOTE:  This press release contains "forward-looking statements" within the
 meaning of the federal securities law regarding proposed developments and
 operations of the Company.  These statements represent the Company's
 expectations or beliefs concerning future events.  Statements containing
 expressions such as "believes", "anticipates" or "expects" are intended to
 identify such forward-looking statements.  All forward-looking statements
 involve risks and uncertainties.  Although the Company believes its
 expectations are based upon reasonable assumptions within the bounds of its
 knowledge of its business and operations, there can be no assurance that
 actual results will not materially differ from expected results.  The Company
 cautions that these and similar statements are further qualified by important
 factors that could cause actual results to differ materially from those in the
 forward-looking statements, including regional and national economic
 conditions, substantial changes in levels of market interest rates, credit and
 other risks of lending and investment activities and competitive and
 regulatory factors.  The Company does not undertake and specifically disclaims
 any obligation to update any forward-looking statements to reflect occurrences
 or unanticipated events of circumstances after the date of such statements.
 
 SOURCE  Michigan Heritage Bancorp, Inc.