Pacific Continental Corporation Reports Strong First Quarter Results

First Quarter Revenue Up 12% Tops Off First Quarter of Achievement



Apr 17, 2001, 01:00 ET from Pacific Continental Corporation

    EUGENE, Ore., April 17 /PRNewswire/ --
 Pacific Continental Corporation (Nasdaq:   PCBK), the bank holding company for
 Pacific Continental Bank and the SBA's Lender of the Year for 2000, today
 reported consolidated results for the first quarter ended March 31, 2001.
     Net income for the current quarter was $1.4 million up, 9% from earnings
 in 2000 of $1.3 million.  Earnings per diluted share were $0.31 for the
 quarter, up 11% over the $0.28 reported for the prior year quarter.  Return on
 assets and return on equity for the quarter was 1.96% and
 18.33%, respectively, compared to 1.90% and 19.03% for the same period last
 year.  Average outstanding shares declined from 4,576,082 in 2000 to
 4,535,916 in 2001 as a result of the company's previously announced stock
 repurchase program.
     Operating revenue, which consists of net interest income plus noninterest
 revenue, was $5.6 million for the current quarter, up 12% over the
 $5.0 million reported for the first quarter 2000.  Net interest income was up
 due to loan growth and improved margins during the last half of the current
 quarter.  Noninterest income was up $426 thousand or 51% over last year.
 Higher mortgage revenues, increased service charges, and merchant bankcard
 processing fees drove noninterest income growth.   Total assets at
 March 31, 2001 of Pacific Continental Corporation were $296.3 million, an
 increase of 5% from total assets of $284.8 million at March 31, 2000.
     Pacific Continental Corporation president, J. Bruce Riddle stated, "We are
 pleased with our ability to drive double digit operating revenue growth during
 the first quarter.  This was a fitting achievement to a quarter of significant
 accomplishments.  Last year's facility and technology investments helped us
 deliver strong revenue growth during the quarter.  Our focus on improving the
 level of nonperforming assets and the overall credit quality of the loan
 portfolio has shown the positive results we expected.  This improvement
 supported our current earnings, and we believe it is a positive for the
 future."
     "While we hear much about the economic environment, it is good to know our
 seasoned management team has the experience to draw upon in unsettled times
 and the knowledge to stay focused on the right things to support our
 customers.  When we do this successfully, we clearly are The Right Bank for
 our customers" said Riddle.
     "I can't remember a quarter where we had so much great news to talk about"
 commented Riddle.  "Our employees are really on top of what we are trying to
 accomplish as a bank, an employer, and a member of the community, and it
 shows," he concluded.
 
     First Quarter Highlights:
     -- Operating revenue up 12% over prior year.
     -- Recognized as SBA Lender of the Year for the third consecutive year.
     -- Funded the first education loan under a unique new Federal loan
        program.
     -- Named one of the Top 100 businesses to work for by the Oregon Business
        Magazine.
     -- Susan Otcenas, Assistant Vice President & Loan Officer awarded
        SBA Financial Services Advocate of the Year award.
     -- Financial Profile remains strong with ROA and ROE of 1.96% and
        18.33%, respectively.
 
     About Pacific Continental Bank
     Pacific Continental Bank is the operating subsidiary of
 Pacific Continental Corporation with ten banking offices in western Oregon.
 The bank provides personalized services, including online and electronic
 banking, to meet the deposit and lending needs of individuals, communities and
 emerging businesses.  With nearly $300 million in assets, Pacific Continental
 has been recognized by the Small Business Administration as Lender of the Year
 in Oregon and southwest Washington each year since 1997.  More information on
 Pacific Continental and its banking services can be found on its website:
 www.therightbank.com
 
     Safe Harbor
     This release contains "forward-looking statements" within the meaning of
 the Private Securities Litigation Reform Act of 1995 ("PSLRA"). Such
 forward-looking statements are subject to risks and uncertainties that may
 cause actual results to differ materially from those projected, including but
 not limited to the following:  general economic conditions; business
 conditions in the banking industry; the regulatory environment; new
 legislation; vendor quality and efficiency; employee retention factors;
 rapidly changing technology and evolving banking industry standards;
 competitive factors, including increased competition among financial
 institutions; fluctuating interest rate environments, and similar matters.
 Readers are cautioned not to place undue reliance on the forward-looking
 statements.  Pacific Continental Corporation undertakes no obligation to
 publicly revise or update the forward-looking statements to reflect events or
 circumstances that arise after the date of this release.  Readers should also
 carefully review the risk factors described in its Annual Report on Form 10K
 and the most recent Form 10-Q and other documents filed from time to time with
 the Securities Exchange Commission.  This statement is included for the
 express purpose of invoking PSLRA's safe harbor provisions.
 
 
      Consolidated Statements of Income
      For the Quarters Ended
      (Amounts in $ Thousands, except per share data)
 
                                                 31-Mar-01      31-Mar-00
     Interest income                              $6,466         $6,209
     Interest expense                             $2,089         $2,032
       Net interest income                        $4,377         $4,177
     Provision for loan losses                      $245           $150
     Noninterest income                           $1,256           $830
     Noninterest expense                          $3,099         $2,728
       Income before taxes                        $2,289         $2,129
     Taxes                                          $866           $823
       Net income                                 $1,423         $1,306
 
     Net income per share
       Basic                                       $0.31          $0.29
       Fully diluted                               $0.31          $0.28
 
     Outstanding shares,
      end of period                            4,536,369      4,536,679
     Outstanding shares,
      quarter average (basic)                  4,535,916      4,576,082
     Outstanding shares,
      quarter average (diluted)                4,549,522      4,607,153
 
 
      Pacific Continental Corporation
      Financial Data and Ratios
      (Amounts in $ Thousands, except for per share data)
 
                                                  For Quarters Ended
     Balance Sheet                             31-Mar-01      31-Mar-00
       Loans at period end                      $230,935       $218,693
       Allowance for loan losses
        at period end                             $2,395         $1,944
       Assets at period end                     $296,291       $284,778
       Deposits at period end                   $243,099       $234,630
       Stockholders' equity at period end        $32,215        $27,550
       Assets, average                          $294,528       $275,751
       Stockholders' equity, average             $31,482        $27,593
 
     Financial Performance
       Return on average assets                    1.96%          1.90%
       Return on average equity                   18.33%         19.03%
       Net interest margin                         6.66%          6.75%
       Efficiency ratio                           55.01%         54.61%
       Net income per share
         Basic                                     $0.31          $0.29
         Fully diluted                             $0.31          $0.28
 
     Loan Quality
       Net loan charge offs (recoveries)            ($1)           $649
 
       Non-accrual loans                            $796           $737
       90-day past due                              $527         $1,831
       Foreclosed property                            $0           $525
         Total nonperforming assets               $1,323         $3,093
       Government guarantees on non-accrual
        and 90-day past due                         $323         $1,462
 
       Nonperforming assets, net of
        government guarantees                     $1,000         $1,631
 
     Loan Quality Ratios
       Non-accrual loans
        to total loans                             0.34%          0.34%
       Nonperforming assets
        to total assets                            0.45%          1.09%
       Allowance for loan losses
        to nonperforming assets                  239.59%        119.19%
       Net loan charge offs
        to average loans                           0.00%          0.30%
       Allowance for loan losses
        to total loans                             1.04%          0.89%
 
     Loan Portfolio Data
       Commercial real estate loans             $155,445       $147,982
       Commercial loans                          $58,382        $61,736
       Consumer loans                            $13,838         $9,970
       Loans held for sale                        $3,270         $3,033
         Total loans                            $230,935       $222,721
 
     Total loans guaranteed
      by the government                          $11,255        $17,109
 
 

SOURCE Pacific Continental Corporation
    EUGENE, Ore., April 17 /PRNewswire/ --
 Pacific Continental Corporation (Nasdaq:   PCBK), the bank holding company for
 Pacific Continental Bank and the SBA's Lender of the Year for 2000, today
 reported consolidated results for the first quarter ended March 31, 2001.
     Net income for the current quarter was $1.4 million up, 9% from earnings
 in 2000 of $1.3 million.  Earnings per diluted share were $0.31 for the
 quarter, up 11% over the $0.28 reported for the prior year quarter.  Return on
 assets and return on equity for the quarter was 1.96% and
 18.33%, respectively, compared to 1.90% and 19.03% for the same period last
 year.  Average outstanding shares declined from 4,576,082 in 2000 to
 4,535,916 in 2001 as a result of the company's previously announced stock
 repurchase program.
     Operating revenue, which consists of net interest income plus noninterest
 revenue, was $5.6 million for the current quarter, up 12% over the
 $5.0 million reported for the first quarter 2000.  Net interest income was up
 due to loan growth and improved margins during the last half of the current
 quarter.  Noninterest income was up $426 thousand or 51% over last year.
 Higher mortgage revenues, increased service charges, and merchant bankcard
 processing fees drove noninterest income growth.   Total assets at
 March 31, 2001 of Pacific Continental Corporation were $296.3 million, an
 increase of 5% from total assets of $284.8 million at March 31, 2000.
     Pacific Continental Corporation president, J. Bruce Riddle stated, "We are
 pleased with our ability to drive double digit operating revenue growth during
 the first quarter.  This was a fitting achievement to a quarter of significant
 accomplishments.  Last year's facility and technology investments helped us
 deliver strong revenue growth during the quarter.  Our focus on improving the
 level of nonperforming assets and the overall credit quality of the loan
 portfolio has shown the positive results we expected.  This improvement
 supported our current earnings, and we believe it is a positive for the
 future."
     "While we hear much about the economic environment, it is good to know our
 seasoned management team has the experience to draw upon in unsettled times
 and the knowledge to stay focused on the right things to support our
 customers.  When we do this successfully, we clearly are The Right Bank for
 our customers" said Riddle.
     "I can't remember a quarter where we had so much great news to talk about"
 commented Riddle.  "Our employees are really on top of what we are trying to
 accomplish as a bank, an employer, and a member of the community, and it
 shows," he concluded.
 
     First Quarter Highlights:
     -- Operating revenue up 12% over prior year.
     -- Recognized as SBA Lender of the Year for the third consecutive year.
     -- Funded the first education loan under a unique new Federal loan
        program.
     -- Named one of the Top 100 businesses to work for by the Oregon Business
        Magazine.
     -- Susan Otcenas, Assistant Vice President & Loan Officer awarded
        SBA Financial Services Advocate of the Year award.
     -- Financial Profile remains strong with ROA and ROE of 1.96% and
        18.33%, respectively.
 
     About Pacific Continental Bank
     Pacific Continental Bank is the operating subsidiary of
 Pacific Continental Corporation with ten banking offices in western Oregon.
 The bank provides personalized services, including online and electronic
 banking, to meet the deposit and lending needs of individuals, communities and
 emerging businesses.  With nearly $300 million in assets, Pacific Continental
 has been recognized by the Small Business Administration as Lender of the Year
 in Oregon and southwest Washington each year since 1997.  More information on
 Pacific Continental and its banking services can be found on its website:
 www.therightbank.com
 
     Safe Harbor
     This release contains "forward-looking statements" within the meaning of
 the Private Securities Litigation Reform Act of 1995 ("PSLRA"). Such
 forward-looking statements are subject to risks and uncertainties that may
 cause actual results to differ materially from those projected, including but
 not limited to the following:  general economic conditions; business
 conditions in the banking industry; the regulatory environment; new
 legislation; vendor quality and efficiency; employee retention factors;
 rapidly changing technology and evolving banking industry standards;
 competitive factors, including increased competition among financial
 institutions; fluctuating interest rate environments, and similar matters.
 Readers are cautioned not to place undue reliance on the forward-looking
 statements.  Pacific Continental Corporation undertakes no obligation to
 publicly revise or update the forward-looking statements to reflect events or
 circumstances that arise after the date of this release.  Readers should also
 carefully review the risk factors described in its Annual Report on Form 10K
 and the most recent Form 10-Q and other documents filed from time to time with
 the Securities Exchange Commission.  This statement is included for the
 express purpose of invoking PSLRA's safe harbor provisions.
 
 
      Consolidated Statements of Income
      For the Quarters Ended
      (Amounts in $ Thousands, except per share data)
 
                                                 31-Mar-01      31-Mar-00
     Interest income                              $6,466         $6,209
     Interest expense                             $2,089         $2,032
       Net interest income                        $4,377         $4,177
     Provision for loan losses                      $245           $150
     Noninterest income                           $1,256           $830
     Noninterest expense                          $3,099         $2,728
       Income before taxes                        $2,289         $2,129
     Taxes                                          $866           $823
       Net income                                 $1,423         $1,306
 
     Net income per share
       Basic                                       $0.31          $0.29
       Fully diluted                               $0.31          $0.28
 
     Outstanding shares,
      end of period                            4,536,369      4,536,679
     Outstanding shares,
      quarter average (basic)                  4,535,916      4,576,082
     Outstanding shares,
      quarter average (diluted)                4,549,522      4,607,153
 
 
      Pacific Continental Corporation
      Financial Data and Ratios
      (Amounts in $ Thousands, except for per share data)
 
                                                  For Quarters Ended
     Balance Sheet                             31-Mar-01      31-Mar-00
       Loans at period end                      $230,935       $218,693
       Allowance for loan losses
        at period end                             $2,395         $1,944
       Assets at period end                     $296,291       $284,778
       Deposits at period end                   $243,099       $234,630
       Stockholders' equity at period end        $32,215        $27,550
       Assets, average                          $294,528       $275,751
       Stockholders' equity, average             $31,482        $27,593
 
     Financial Performance
       Return on average assets                    1.96%          1.90%
       Return on average equity                   18.33%         19.03%
       Net interest margin                         6.66%          6.75%
       Efficiency ratio                           55.01%         54.61%
       Net income per share
         Basic                                     $0.31          $0.29
         Fully diluted                             $0.31          $0.28
 
     Loan Quality
       Net loan charge offs (recoveries)            ($1)           $649
 
       Non-accrual loans                            $796           $737
       90-day past due                              $527         $1,831
       Foreclosed property                            $0           $525
         Total nonperforming assets               $1,323         $3,093
       Government guarantees on non-accrual
        and 90-day past due                         $323         $1,462
 
       Nonperforming assets, net of
        government guarantees                     $1,000         $1,631
 
     Loan Quality Ratios
       Non-accrual loans
        to total loans                             0.34%          0.34%
       Nonperforming assets
        to total assets                            0.45%          1.09%
       Allowance for loan losses
        to nonperforming assets                  239.59%        119.19%
       Net loan charge offs
        to average loans                           0.00%          0.30%
       Allowance for loan losses
        to total loans                             1.04%          0.89%
 
     Loan Portfolio Data
       Commercial real estate loans             $155,445       $147,982
       Commercial loans                          $58,382        $61,736
       Consumer loans                            $13,838         $9,970
       Loans held for sale                        $3,270         $3,033
         Total loans                            $230,935       $222,721
 
     Total loans guaranteed
      by the government                          $11,255        $17,109
 
 SOURCE  Pacific Continental Corporation