Progress Financial Corporation Announces the Disposition Of its Investment in Assisted Living Communities

Apr 04, 2001, 01:00 ET from Progress Financial Corporation

    BLUE BELL, Pa., April 4 /PRNewswire/ --
 Progress Financial Corporation (Nasdaq:   PFNC) (the "Company") today reported
 the disposition of its investment in NewSeasons Assisted Living Communities
 Series B and C preferred stock for total consideration of approximately
 $6.0 million.  The Company estimates it will record a pre-tax gain of
 approximately $740 thousand ($480 thousand after tax) during the first quarter
 of 2001 as a result of such sale.
     The Company also announced that it will record a pre-tax loss in the first
 quarter of 2001 of approximately $1.9 million ($1.2 million after tax) in its
 equity holdings of U. S. Interactive, Inc. (USIT) due to a permanent
 impairment of value.  USIT filed for protection under the bankruptcy court
 during the first quarter of 2001.  Progress acquired the stock of USIT through
 the exercise of warrants the Company received from its previous loan
 relationship with USIT.  During the first quarter of 2000, the Company
 acquired 48,377 shares of USIT at no cost through a cashless exercise of the
 warrants.  At the time of exercise, the warrants were carried at market value
 (approximately $1.9 million) in accordance with SFAS 133.  The market
 appreciation on the warrants was previously included in client warrant income
 during the first quarter of 2000.
     Progress Financial Corporation is a unitary thrift holding company
 headquartered in Blue Bell, Pennsylvania.  The business of the Company
 consists primarily of the operation of Progress Bank, which serves businesses
 and consumers through eighteen full service offices.  The Company also offers
 a diversified array of financial services including: equipment leasing through
 Progress Leasing Company, with offices in Blue Bell, Pennsylvania; financial
 planning services and investments through Progress Financial Resources, Inc.,
 headquartered in Philadelphia, Pennsylvania; and asset based lending through
 Progress Business Credit.  In addition, the Company also conducts commercial
 mortgage banking and brokerage services through Progress Realty Advisors, Inc.
 with locations in Blue Bell, Pennsylvania and Woodbridge, New Jersey.  The
 Company also receives fees for the construction and development of activities
 through Progress Development Corporation; venture capital activities managed
 by Progress Capital Management, Inc.; and financial and operational management
 consulting services for commercial clients through KMR Management, Inc.
 located in Willow Grove, Pennsylvania.  The Company's common stock is traded
 on the Nasdaq Stock Market, National Market under the Symbol "PFNC."
 
 

SOURCE Progress Financial Corporation
    BLUE BELL, Pa., April 4 /PRNewswire/ --
 Progress Financial Corporation (Nasdaq:   PFNC) (the "Company") today reported
 the disposition of its investment in NewSeasons Assisted Living Communities
 Series B and C preferred stock for total consideration of approximately
 $6.0 million.  The Company estimates it will record a pre-tax gain of
 approximately $740 thousand ($480 thousand after tax) during the first quarter
 of 2001 as a result of such sale.
     The Company also announced that it will record a pre-tax loss in the first
 quarter of 2001 of approximately $1.9 million ($1.2 million after tax) in its
 equity holdings of U. S. Interactive, Inc. (USIT) due to a permanent
 impairment of value.  USIT filed for protection under the bankruptcy court
 during the first quarter of 2001.  Progress acquired the stock of USIT through
 the exercise of warrants the Company received from its previous loan
 relationship with USIT.  During the first quarter of 2000, the Company
 acquired 48,377 shares of USIT at no cost through a cashless exercise of the
 warrants.  At the time of exercise, the warrants were carried at market value
 (approximately $1.9 million) in accordance with SFAS 133.  The market
 appreciation on the warrants was previously included in client warrant income
 during the first quarter of 2000.
     Progress Financial Corporation is a unitary thrift holding company
 headquartered in Blue Bell, Pennsylvania.  The business of the Company
 consists primarily of the operation of Progress Bank, which serves businesses
 and consumers through eighteen full service offices.  The Company also offers
 a diversified array of financial services including: equipment leasing through
 Progress Leasing Company, with offices in Blue Bell, Pennsylvania; financial
 planning services and investments through Progress Financial Resources, Inc.,
 headquartered in Philadelphia, Pennsylvania; and asset based lending through
 Progress Business Credit.  In addition, the Company also conducts commercial
 mortgage banking and brokerage services through Progress Realty Advisors, Inc.
 with locations in Blue Bell, Pennsylvania and Woodbridge, New Jersey.  The
 Company also receives fees for the construction and development of activities
 through Progress Development Corporation; venture capital activities managed
 by Progress Capital Management, Inc.; and financial and operational management
 consulting services for commercial clients through KMR Management, Inc.
 located in Willow Grove, Pennsylvania.  The Company's common stock is traded
 on the Nasdaq Stock Market, National Market under the Symbol "PFNC."
 
 SOURCE  Progress Financial Corporation