Pacific Alliance Bank Announces Fourth Quarter Profit and January Capital Increase
18 Febrero 2010 - 3:00PM
Business Wire
Pacific Alliance Bank (OTCBB: PFBN) celebrates its third year of
operation, reporting its first profitable quarter since its
inception on December 27, 2006.
The Bank also announces a $2
million increase in capital (200,000 shares at $10.00 per
share) in January 2010, as part of an ongoing Private
Placement Offering and in the context of the Bank’s Profit and
Capital Plan. This Plan supports the Bank’s continuing growth and
success, targeting a growth Tier 1 leverage capital ratio in excess
of 11.0%, significantly in excess of “well capitalized” banking
standards. The capital increase includes participation from the
Bank’s Board members.
We report our operating results for the 4th quarter ending
December 31, 2009, as follows:
- The Bank reports 4th Quarter
operating profit of $30,000, which was $1,089,000 better than the
same period 2008 result of net loss of $1,059,000. This 2009
achievement resulted from $338,000 in higher net interest income
and a zero loan loss provision for the quarter compared with
$768,000 for the same period a year ago.
- Total Assets increased by $9.4
million to $88.9 million, or 11.8% growth from $79.4 million at
December 31, 2008.
- Loans outstanding increased by
$8 million to $55 million, or 17.1% growth from $46.9 million at
December 31, 2008.
- Deposits outstanding increased
by $12.7 million to $74.4 million, or 20.6% growth from $61.6
million at December 31, 2008.
- The zero provision for loan
losses for the quarter resulted from successful remedial management
leading to a repayment in full of a $1 million non-performing
loan.
- As of December 31, 2009, three
SBA 7a loans and one conventional loan were on nonaccrual, with
total principal amount of $415,799 (75% SBA guaranteed) and
$766,774, respectively.
- As of December 31, 2009, the
Bank continued to be categorized as “well-capitalized” under the
regulatory guidelines, with Tier 1 Leverage Capital percentage of
11.29%, Tier 1 Risk-based Capital percentage of 17.54%, and Total
Risk-based Capital percentage of 18.79% (before the January 2010 $2
million capital increase).
- Had the $2 million of new
capital been received in December 31, 2009, the Bank’s Tier 1
Leverage Capital percentage would have been 13.36%, Tier 1
Risk-based Capital percentage of 20.06%, and Total Risk-based
Capital percentage of 21.29%.
- For the year ended December 31,
2009, the net loss was $1,977,000, or $1.19 per share, compared
with the net loss of $2,412,000, or $1.45 per share for December
31, 2008.
The Bank also announces the hiring of Mr. Cary Niu, EVP
Commercial Banking and Chief Lending Officer, who will lead the
Bank’s effort to develop C & I business relationships,
targeting an increase in core deposits and fee income and
complementing the Bank’s increasingly active SBA Lending
Department.
Notwithstanding turmoil in the credit markets and property
impairment valuations, Pacific Alliance Bank continues its mission
of delivering business value, serving small to mid-size businesses,
owners, and key employees who seek a personal bank ready to meet
their banking needs with customized services.
Pacific Alliance Bank is a full-service FDIC insured community
bank, headquartered at 8400 E. Valley Blvd., Rosemead, California
91770. For more information, contact Ms. Trish Lomeli-Sproles (626)
773-8897 or tsproles@pacificalliancebank.com and visit
http://www.pacificalliancebank.com.
This document may include forward-looking information, which is
subject to the "safe harbor" created by Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act and the Private Securities Litigation
Reform Act of 1995. When the Bank uses or incorporates by reference
in this document the words "anticipate," "estimate," "expect,"
"project," "intend," "commit," "believe" and similar expressions,
the Bank intends to identify forward-looking statements. Our actual
results may differ materially from those projected in any
forward-looking statements, as they will depend on many factors
about which we are unsure, including many factors which are beyond
our control.
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