FIRST MOUNTAIN BANCORP ANNOUNCES FOURTH QUARTER AND YEAREND 2008 RESULTS
BIG BEAR LAKE, Calif.— March 9, 2009
First Mountain Bancorp (OTCBB:FMBP) today reported quarterly consolidated net
income of $121,416, or earnings per basic share of $0.08, for the quarter ended December
31, 2008, compared to a net loss of $159,663, or a loss per basic share of $ 0.10, for the
fourth quarter of 2007. Consolidated net income for the year ended December 31, 2008,
was $199,421, or $ 0.13 per basic share, compared to $1,055,095, or $0.68 per basic
share, for the year ended December 31, 2007. The changes in earnings between the
respective quarters and years was mainly attributed to additions to the Company’s loan
loss reserves (Allowance for Loan Losses, or ALL), and a narrowing of the net interest
margin.
The Company added $324,000 to its ALL during the fourth quarter and added $1,562,000
to the ALL for all of 2008. At December 31, 2008, the allowance for loan losses totaled
$1,705,120 and represented 1.50% of outstanding loans, compared to a ratio of 1.16% at
December 31, 2007. The Bank had a total of $2.6 million in non-performing loans at
December 31, 2008, or 2.3% of outstanding loan balances, compared to $3.6 million in
non-performing loans, or 3.3% of its loan portfolio, at September 30, 2008.
The Company reported total consolidated assets of $144,073,931 at December 31, 2008,
compared to $152,999,304 at December 31, 2007; total outstanding loans of
$113,609,304 at year-end 2008, compared to the year-end 2007 balance of $116,570,178;
and total deposits of $126,439,886 and $135,650,066 at December 31, 2008 and
December 31, 2007, respectively. The Company attributes the decline in assets, loans
and deposits to the overall economic factors affecting the households and businesses in
its market areas.
Total consolidated capital was $16,817,828 at December 31, 2008, which represented a
total risk-based capital ratio of 14.5%. The Company continues to be “well capitalized,”
the highest designation under regulatory guidelines, and its risk-based capital level
significantly exceeded the regulatory requirements.
The recently enacted TARP Capital Purchase Program is a voluntary program established
only for healthy financial institutions. In order to receive TARP capital, institutions must
undergo an extensive review by their primary regulator and the U.S. Treasury
Department. The Company applied for and was approved to receive funds under the
program. However, because of the Company’s strong financial position, the Company’s
Board decided not to take the funds.
“The final quarter of 2008 continued to be a challenging time for financial institutions,
including the Company. However, while many financial institutions reported significant
losses for the quarter and for the year, we are happy to report that First Mountain
Bancorp and our subsidiary, First Mountain Bank, remain profitable, “well-capitalized,”
have no debt, no brokered deposits, minimum past due loans, a diversified loan portfolio,
manageable loan concentrations, and a conservative and successful business model. In
addition, the Company was very pleased with the results of its regulatory and other
external examinations throughout the year,” stated Jack Briner, Chief Executive Officer.
At December 31, 2008, the Company reported a book value per share of $10.78, on
1,560,262 shares outstanding.
First Mountain Bancorp is the parent holding company of First Mountain Bank, which is
headquartered in Big Bear Lake and has four offices serving the Big Bear and high desert
areas of Southern California. For further information contact Jack Briner, CEO or
Dennis Saunders, President/CFO at (909) 866-5861.
Tables follow
FIRST MOUNTAIN BANCORP
STATEMENT OF CONDITION - (Consolidated) (Unaudited)
December 31, 2008
December 31, 2007
Assets
Cash and due from banks
Fed funds
Investment securities
Gross loans
Less: Allowance for loan losses
Net loans
Bank premises and equipment
Other assets
$
Total Assets
5,118,558
6,918,536
10,977,870
113,609,304
(1,705,120)
111,904,184
2,331,732
6,823,051
$ 144,073,931
$
4,744,437
10,165,000
14,152,411
116,570,178
(1,347,235)
115,222,943
2,570,815
6,143,698
$ 152,999,304
$
$
Liabilities
Noninterest-bearing deposits
Interest-bearing deposits
Total deposits
Other liabilities
Total Liabilities
Stockholders' Equity
39,367,602
87,072,284
126,439,886
816,217
127,256,103
Common stock
Retained earnings
Accumulated other comprehensive income/(loss)
Total Stockholders' Equity
Total Liabilities and Stockholders' Equity
43,206,198
92,443,868
135,650,066
771,400
136,421,466
11,877,069
4,886,332
54,427
16,817,828
11,318,472
5,232,127
27,239
16,577,838
$ 144,073,931
$ 152,999,304
STATEMENT OF INCOME - (Consolidated) (Unaudited)
For the three months ended
12/31/08
12/31/07
Interest income
Interest expense
Net interest income before
provision for loan losses
Provision for loan losses
Net interest income
Other operating income
Operating expenses
Income (loss) before income taxes
Provision for income tax expense (benefit)
$ 2,116,779
477,072
Net Income (loss)
$
$
$
Earnings/(loss) per share - basic
Earnings/(loss) per share - dilutive
$ 2,593,896
745,229
1,639,707
324,000
1,315,707
268,694
1,548,385
36,016
(85,400)
121,416
0.08
0.08
For the year ended
12/31/08
12/31/07
$ 8,921,413
2,222,801
1,848,667
832,000
1,016,667
248,261
1,585,391
(320,463)
(160,800)
$
$
$
(159,663)
(0.10)
(0.10)
$ 10,591,173
2,956,654
6,698,612
1,562,000
5,136,612
1,063,157
6,189,348
10,421
(189,000)
$
$
$
199,421
0.13
0.13
7,634,519
938,000
6,696,519
1,132,131
6,243,555
1,585,095
530,000
$
$
$
1,055,095
0.68
0.66
For the three months ended
12/31/2008
12/31/2007
Performance Ratios:
Return on Average Assets
Return on Average Equity
For the year ended
12/31/2008
12/31/2007
0.34%
2.90%
-0.42%
-3.89%
0.14%
1.19%
0.69%
6.54%
Average yield on interest-earning assets
Average cost of interest-bearing liabilities
Net interest spread
6.447%
1.541%
4.907%
7.403%
2.220%
5.183%
6.632%
1.754%
4.878%
7.452%
2.177%
5.275%
Net interest margin
4.954%
5.233%
4.979%
5.371%
12/31/2008
Capital Ratios (Bank):
Total Risk-Based Capital Ratio
Tier 1 Risk-Based Capital Ratio
Tier 1 Leverage Ratio
12/31/2007
14.5%
13.2%
11.9%
13.4%
12.4%
10.9%
Asset Quality:
Number of non-performing loans
Total number of loans outstanding
Total number of foreclosed properties
7
472
2
1
496
-
Total non-performing loans (in dollars)
Total foreclosed properties (OREO)
Total non-performing assets
$ 2,561,296
$
216,000
$ 2,777,296
Ratio of non-performing assets to total loans and OREO:
In terms of number
In terms of dollars
$
$
$
1,924
1,924
1.48%
2.44%
0.20%
0.002%
Allowance for Loan Losses:
Total Balance
As a percent of non-performing assets
As a percent of total loans outstanding
$ 1,705,120
61.39%
1.50%
$ 1,347,235
70022.61%
1.16%
Stock Information:
Number of consecutive years of stock dividends
Shares outstanding - adjusted for stock dividend
Book value per share
8
1,560,262
$
10.78
7
1,560,262
$
10.63