Santa Cruz County Bank Reports Unaudited Results for the First Quarter Ended March 31, 2012

SANTA CRUZ, Calif., April 17, 2012 /PRNewswire/ -- Santa Cruz County Bank, (SCZC.OB), a locally owned and operated full-service community bank headquartered in Santa Cruz County, today announced earnings for the first quarter ended March 31, 2012. For the three month period ended March 31, 2012, the bank reported a 26% increase in net income after tax to $573,485 compared to $453,538 for the same period ended March 31, 2011. Pretax income increased by $184,286, 25%, to $911,607 comparing March 31, 2012 to March 31, 2011.  For the same period, net interest income improved by $229 thousand, 8%, over the prior year to $3.2 million. 

David Heald, President and CEO commented; "Our strong year over year growth demonstrates the focus and commitment of our Board and Management team to enhance shareholder value and the community's support of our customer service, delivery systems and products. Our business strategy will continue to focus on the needs of the community we serve.  Once again we are honored to be recognized by the Findley Reports as a Super Premier Performing Bank for a second consecutive year."

Shareholders' equity for the period ended March 31, 2012 increased by $2.8 million, 12%, over the prior period ended March 31, 2011.   Basic earnings per share increased to $0.30 for the quarter ended March 31, 2012 as compared to $0.24 for the quarter ended March 31, 2011.

FIRST QUARTER: MARCH 31, 2012 COMPARED TO DECEMBER 31, 2011
Total deposits increased $7.1 million, 2% to $295.3 million
Gross loans increased $8.5 million, 4% to $199.8 million
Total assets increased $5.5 million, 2% to $325.7 million
Net income decreased $101 thousand, -15% to $573 thousand 

YEAR TO YEAR: MARCH 31, 2012 COMPARED TO MARCH 31, 2011
Total deposits increased $43.2 million, 17% to $295.3million
Gross loans increased $32.8 million, 20% to $199.8 million
Total assets increased $45.6 million, 16% to $325.7 million
Net income increased $120 thousand, 26% to $573 thousand
Non-interest bearing deposits represented 37% of total deposits as of March 31, 2012. 

FIRST QUARTER HIGHLIGHTS:
Santa Cruz County Bank was designated as a Super Premier Performing Bank by The Findley Reports for its 2011 performance.

Santa Cruz County Bank received a 4-Star "Excellent" rating from Bauer Financial Reports, Inc. for its fourth quarter 2011 performance.

Harvey Nickelson was appointed to the Santa Cruz County Bank Board of Directors to replace outgoing Director Steve John.

Loans grew by $8.5 million in the first quarter on $18.2 million in new production and $32.8 million year over year through the focused efforts of our Relationship Officers.

ABOUT SANTA CRUZ COUNTY BANK
Headquartered in Santa Cruz, Santa Cruz County Bank is a full service bank serving the banking needs of individuals and businesses throughout Santa Cruz County.  The Bank operates five full-service banking offices and two self-serve banking centers. The Bank's full-service banking offices are located in Aptos, Capitola, Santa Cruz, Scotts Valley and Watsonville. The Bank commenced operations on February 3, 2004 in Santa Cruz.

Santa Cruz County Bank's common stock is listed on the Over the Counter (OTC) Bulletin Board under the stock symbol SCZC. More information on the Bank may be obtained through its website: www.sccountybank.com or by calling 831.457.5000.

This release may contain forward-looking statements that are subject to risks and uncertainties. Such risks and uncertainties may include but are not necessarily limited to fluctuations in interest rates, inflation, government regulations and general economic conditions, and competition within the business areas in which the Bank is conducting its operations, including the real estate market in California and other factors beyond the Bank's control. Such risks and uncertainties could cause results for subsequent interim periods or for the entire year to differ materially from those indicated. Readers should not place undue reliance on the forward-looking statements, which reflect management's view only as of the date hereof. The Bank undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances. 

SOURCE Santa Cruz County Bank