CFBX Community First Bankshares (MM)

Community First Bankshares Files Form 10-Q for Third Quarter FARGO, N.D., Nov. 13 /PRNewswire-FirstCall/ -- Community First Bankshares, Inc., announced today the filing of its Form 10-Q for the third quarter with the Securities and Exchange Commission. Certain financial information concerning the accounting treatment of the company's $120 million in Trust Preferred Securities and the interest payments on such securities has been revised from the company's earnings announcement on Oct. 16, 2003, in accordance with guidance from the Financial Accounting Standards Board (FASB). In May 2003, the FASB issued Statement No. 150 (FAS 150), "Accounting for Certain Financial Instruments with Characteristics of Both Liabilities and Equity," which establishes standards for how an issuer classifies and measures certain financial instruments with characteristics of both liabilities and equities. On Oct. 16, 2003, Community First announced its results of operations and financial condition for the third quarter in a press release and 8-K filing with the Securities and Exchange Commission. The company adopted FAS 150 on July 1, 2003, and the financial information released on Oct. 16 reflected the reclassification of the company's $120 million in Trust Preferred Securities as liabilities in the statement of financial condition and the payments on such securities as interest expense. However, on Nov. 5, 2003, the FASB announced that provisions related to certain mandatorily redeemable securities (including the company's Trust Preferred Securities) were delayed indefinitely. Based on this revised FASB guidance, the financial statements contained in the company's Form 10-Q do not include such securities in liabilities, and do not include the payments on such securities as interest expense. This change has no effect on the company's net income. However, the company's total liabilities, noninterest expense, interest expense and net interest margin have been revised from the earnings announcement on Oct. 16, 2003, in the Form 10-Q to reflect the change in accounting guidance. The company's accounting treatment for the Trust Preferred Securities and the payments on such securities in the Form 10-Q for the third quarter is consistent with the company's accounting treatment of such securities and payments in prior periods. Community First Bankshares, a $5.5 billion financial services company, provides a complete line of banking, investment, insurance, mortgage and trust products to individuals and businesses. The company's extensive offering of financial products and services is marketed through full-service offices in 136 communities in 12 states -- Arizona, California, Colorado, Iowa, Minnesota, Nebraska, New Mexico, North Dakota, South Dakota, Utah, Wisconsin and Wyoming. The company's services include an online banking system that offers electronic bill payment and discount brokerage capabilities, telephone banking and an extensive ATM network. Community First Bankshares stock is traded on The Nasdaq Stock Market(R) under the symbol CFBX. The latest investor and other corporate information is available at its Web site, http://www.communityfirst.com/ . This press release contains forward-looking statements under the Private Securities Litigation Reform Act of 1995 that are subject to certain risks and uncertainties that could cause actual results to differ materially from historical earnings and those presently anticipated or projected. The company wishes to caution readers not to place undue reliance on any such forward- looking statements, which speak only as of the date made. Factors that could cause actual results to differ from the results discussed in the forward- looking statements include, but are not limited to: risk of loans and investments, including dependence on local economic conditions; competition for the company's customers from other providers of financial services; possible adverse effects of changes in interest rates; execution and implementation of a series of previously announced strategic initiatives; balance sheet and capital ratio risks related to the share repurchase program; risks related to the company's acquisition and market extension strategy, including risks of adversely changing results of operations and factors affecting the company's ability to consummate further acquisitions or extend its markets; and other risks detailed in the company's filings with the Securities and Exchange Commission, all of which are difficult to predict and many of which are beyond the control of the company. DATASOURCE: Community First Bankshares, Inc. CONTACT: Jeff Wilhoit of Financial Relations Board, +1-312-640-6757, , or Mark A. Anderson of Community First Bankshares, Inc., +1-701-298-5600, Web site: http://www.communityfirst.com/

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