Select Bancorp Reports Second Quarter 2010 Earnings

GREENVILLE, N.C., July 19 /PRNewswire/ --

• Net income for first half of 2010 is $407,000, more than double first half of 2009.
• Annual growth of 20% for assets, 32% for deposits, and 26% for loans.
• Declared a six-for-five stock split effected in the form of a 20% stock dividend in June.

For the quarter ended June 30, 2010, Select Bancorp ("Select"), the holding company for Select Bank & Trust Company, reported net income of $256,000, or earnings per share of $0.16, compared to net income of $84,000, or earnings per share of $0.05, for the same period in 2009.  For the six month period ended as of the same date, Select reported net income of $407,000 in 2010, or earnings per share of $0.21, compared to net income of $155,000 for the six month period ended June 30, 2009, or earnings per share of $0.08.

As of June 30, 2010, the Company reported total assets of $183.7 million, an increase of 20% over total assets of $152.8 million as of June 30, 2009.  Total deposits grew 32% to $143.7 million and total loans are up 26% to $135.2 million, over total deposits of $108.6 million and total loans of $107.2 million reported June 30, 2009.  

"We are pleased to report our twenty-first consecutive quarterly profit and strong year-over-year growth in assets, deposits and loans of 20%, 32%, and 26%, respectively," said Mark A. Holmes, president and CEO of Select.  "At the same time, the quality of our loan portfolio remains strong.  Non-accrual loans at June 30, 2010, stood at $193,000, or 0.14% of outstanding loans and our allowance for loan losses, the provision against potential loan losses, was $1.9 million or 1.44% of outstanding loans.  This speaks to our credit culture, the strength of the markets we serve, and our continued adherence to a common sense approach to banking.

In June, to share our success with our stockholders for their belief in Select, the Board of Directors declared a six-for-five stock split effected in the form of a 20% stock dividend for shareholders of record as of July 1, 2010.

In March, Select Bank introduced a new checking account that encourages "green" behaviors, such as e-statements, direct deposit, and online banking and bill pay.  EasyGreen Checking currently offers an annual percentage yield of 4.08% on account balances up to $25,000.  "EasyGreen Checking has been popular since the day it was introduced," Holmes said.  "As people continue to look for ways to save money, earn a good rate of interest, and go 'green' at the same time.  It's a win-win."

Select Bank & Trust is a community bank headquartered in Greenville, NC and currently serves Greenville/Pitt County through its headquarters office at 3600 Charles Boulevard and a second Greenville location at 3800 East Tenth Street; Northeastern North Carolina from an office at 104 Nance Court just off Halstead Boulevard in Elizabeth City.

The information as of and for the quarter ended June 30, 2010, as presented is unaudited. This news release contains forward-looking statements. Actual results may differ materially from those projected, for various reasons,  including our ability to manage growth, our limited operating history, substantial changes in financial markets, regulatory changes, changes in interest rates, loss of deposits and loan demand to other savings and financial institutions, and changes in real estate values and the real estate market.

www.selectbankandtrust.com

SOURCE Select Bancorp, Inc.