CHAMPAIGN, Ill., Jan. 27 /PRNewswire-FirstCall/ -- Main Street
Trust, Inc. (OTC:MSTI) (BULLETIN BOARD: MSTI) is pleased to report
record year-end earnings of $1.80 net income per diluted share,
compared to $1.54 earnings per share for 2004, an increase of
16.9%. Consolidated net income for the year ended December 31, 2005
totaled $18.308 million compared to $14.778 million for 2004, an
increase of 23.9%. Earnings of $0.44 per diluted share were
reported for fourth quarter 2005, compared to $0.37 earnings per
share for the same period in 2004, an increase of 18.9%.
Consolidated net income for the fourth quarter totaled $4.497
million compared to $3.562 million for the same period in 2004, an
increase of 26.2%. Van A. Dukeman, President and CEO, stated that,
"These record earnings reflect favorably on the efforts of our Main
Street Associates in executing our mission of building
relationships through Trust, Knowledge and Service. That execution
strategy in the fourth quarter included the successful integration
and conversion of the former Citizen's Savings Bank into the Main
Street family. Another milestone achieved this quarter was our core
bank surpassing $1.6 billion in total assets while assets under
management in our Wealth Management division topped $1.9 billion.
We will continue to build our brand in 2006 with the launch of
several initiatives highlighted by a new website and the
construction of two new banking centers by Main Street Bank &
Trust in Normal and Peoria over the coming months." Cash Dividend
Paid The Company distributed a $0.23 per share cash dividend on
January 27, 2006, payable to shareholders of record on January 13,
2006. This is the fourth quarterly cash dividend declared in 2005,
and represents a 5% increase in the quarterly dividend declared for
the same period in 2004. Franchise Main Street Trust, Inc. is a
diversified financial services company with $1.63 billion in assets
as of December 31, 2005, providing financial services at 23
locations in Downstate Illinois. Main Street Bank & Trust
offers online banking ( http://www.mainstreettrust.com/ ) and
surcharge free ATM access at over 80 locations throughout Illinois.
In addition, Main Street Wealth Management has $1.96 billion of
financial assets under management for individuals and institutions.
Main Street Trust, Inc. also owns a retail payment processing
subsidiary -- FirsTech, Inc., which processes over 25 million items
per year. SELECTED FINANCIAL HIGHLIGHTS (dollars in thousands,
except share data) Three Months Ended Dec. 30, Dec. 30, Sept. 30,
2005 2004 2005 EARNINGS & PER SHARE DATA Basic earnings per
share $0.44 $0.38 $0.50 Weighted average shares of common stock
outstanding 10,197,424 9,448,657 10,248,453 Diluted earnings per
share $0.44 $0.37 $0.50 Weighted average shares of common stock and
dilutive potential common shares outstanding 10,294,786 9,554,364
10,341,647 Market price per share at period end(1) $29.85 $29.00
$29.35 Price to book ratio(1) 210.66% 240.46% 208.16% Price to
earnings ratio(1,2) 16.40 18.59 16.68 Cash dividends paid per share
0.22 0.21 0.22 Cash dividends declared per share 0.23 0.22 0.22
Book value per share $14.17 $12.06 $14.10 Tangible book value per
share(3) $11.68 $12.06 $11.60 Ending number of common shares
outstanding 10,146,675 9,448,990 10,228,542 AVERAGE BALANCES Assets
$1,593,509 $1,239,921 $1,537,563 Investment securities 389,215
364,416 360,031 Gross loans(4) 1,025,537 751,631 1,020,809 Earning
assets 1,470,756 1,156,435 1,407,522 Deposits 1,243,489 992,181
1,187,693 Interest bearing liabilities 1,222,910 943,950 1,162,494
Common shareholders' equity 144,286 113,616 143,826 END OF PERIOD
FINANCIAL DATA Tax equivalized net interest income $13,057 $10,160
$13,770 Gross loans(4) 1,018,060 771,882 1,016,486 Allowance for
loan losses 13,472 9,650 13,688 Total assets under management
1,959,495 1,764,562 1,870,721 PERFORMANCE RATIOS Return on average
assets(5) 1.12% 1.14% 1.33% Return on average equity(5) 12.37%
12.47% 14.21% Net yield on average earning assets(5,6) 3.52% 3.50%
3.88% Interest spread(5,6) 3.05% 3.14% 3.43% Net overhead
efficiency ratio(6,7) 57.19% 60.55% 52.73% Non-interest revenues as
a % of total revenues(7,8) 28.96% 31.55% 29.89% Allowance for loan
losses to loans 1.32% 1.25% 1.35% Allowance as a percentage of non-
performing loans 449.07% 431.57% 298.28% Average loan to deposit
ratio 82.47% 75.76% 85.95% Dividend payout ratio(2) 48.90% 54.49%
50.00% ASSET QUALITY Net charge-offs $666 $423 $390 Non-performing
loans 3,000 2,236 4,589 Other non-performing assets 224 33 90
Twelve Months Ended Dec. 30, Dec. 30, 2005 2004 EARNINGS & PER
SHARE DATA Basic earnings per share $1.82 $1.56 Weighted average
shares of common stock outstanding 10,060,032 9,481,034 Diluted
earnings per share $1.80 $1.54 Weighted average shares of common
stock and dilutive potential common shares outstanding 10,157,409
9,594,148 Market price per share at period end(1) $29.85 $29.00
Price to book ratio(1) 210.66% 240.46% Price to earnings ratio(1,2)
16.40 18.59 Cash dividends paid per share 0.88 0.84 Cash dividends
declared per share $0.89 0.85 Book value per share $14.17 $12.06
Tangible book value per share(3) $11.68 $12.06 Ending number of
common shares outstanding 10,146,675 9,448,990 AVERAGE BALANCES
Assets $1,474,691 $1,209,267 Investment securities 366,127 373,278
Gross loans(4) 957,824 722,030 Earning assets 1,360,236 1,123,174
Deposits 1,147,426 958,611 Interest bearing liabilities 1,118,939
918,963 Common shareholders' equity 136,621 112,968 END OF PERIOD
FINANCIAL DATA Tax equivalized net interest income $50,344 $38,958
Gross loans(4) 1,018,060 771,882 Allowance for loan losses 13,472
9,650 Total assets under management 1,959,495 1,764,562 PERFORMANCE
RATIOS Return on average assets(5) 1.24% 1.22% Return on average
equity(5) 13.40% 13.08% Net yield on average earning assets(5,6)
3.70% 3.47% Interest spread(5,6) 3.26% 3.14% Net overhead
efficiency ratio(6,7) 55.71% 57.74% Non-interest revenues as a % of
total revenues(7,8) 29.84% 34.19% Allowance for loan losses to
loans 1.32% 1.25% Allowance as a percentage of non- performing
loans 449.07% 431.57% Average loan to deposit ratio 83.48% 75.32%
Dividend payout ratio(2) 48.90% 54.49% ASSET QUALITY Net
charge-offs $1,142 $1,236 Non-performing loans 3,000 2,236 Other
non-performing assets 224 33 (1) Closing price at end of period (5)
Annualized (2) Last 12-months earnings (6) On a fully tax-
equivalized basis (3) Net of goodwill and core-deposit (7) Does not
include intangibles securities gains/losses (4) Loans include
mortgage loans held (8) Net of interest expense for sale and
nonaccrual loans Special Note Concerning Forward-Looking Statements
This document (including information incorporated by reference) may
contain future oral and written statements of the Company and its
management within the meaning of the Private Securities Litigation
Reform Act of 1995 with respect to the financial condition, results
of operations, plans, objectives, future performance and business
of the Company. Forward-looking statements, which may be based upon
beliefs, expectations and assumptions of the Company's management
and on information currently available to management, are generally
identifiable by the use of words such as "believe," "expect,"
"anticipate," "plan," "intend," "estimate," "may," "will," "would,"
"could," "should" or other similar expressions. Additionally, all
statements in this document, including forward-looking statements,
speak only as of the date they are made, and the Company undertakes
no obligation to update any statement in light of new information
or future events. A number of factors, many of which are beyond the
ability of the Company to control or predict, could cause actual
results to differ materially from those in its forward-looking
statements. These factors include, among others, the following: (i)
the strength of the local and national economy; (ii) the economic
impact of any future terrorist threats or attacks; (iii) changes in
state and federal laws, regulations and governmental policies
concerning the Company's general business; (iv) changes in interest
rates and prepayment rates of the Company's assets; (v) increased
competition in the financial services sector and the inability to
attract new customers; (vi) changes in technology and the ability
to develop and maintain secure and reliable electronic systems;
(vii) the loss of key executives or employees; (viii) changes in
consumer spending; (ix) unexpected results of acquisitions; (x)
unexpected outcomes of existing or new litigation involving the
Company; and (xi) changes in accounting policies and practices.
These risks and uncertainties should be considered in evaluating
forward-looking statements and undue reliance should not be placed
on such statements. Additional information concerning the Company
and its business, including additional factors that could
materially affect the Company's financial results, is included in
the Company's filings with the Securities and Exchange Commission.
Condensed Consolidated Balance Sheets (Unaudited, in thousands)
December September December 31, 30, 31, 2005 2005 2004 ASSETS Cash
and cash equivalents $94,066 $112,845 $64,928 Investments in debt
and equity securities 444,623 334,576 358,726 Mortgage loans held
for sale 1,661 1,973 1,005 Loans, net of allowance for loan losses
1,002,927 1,000,825 761,227 Premises and equipment 23,047 22,364
17,087 Goodwill 20,736 20,832 - Core deposit intangibles 4,569
4,786 - Accrued interest receivable 8,461 9,157 6,570 Other assets
25,047 26,061 18,575 Total assets $1,625,137 $1,533,419 $1,228,118
LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities: Deposits
$1,275,972 $1,181,826 $974,577 Federal funds purchased, repurchase
agreements and notes payable 118,452 117,130 96,900 Federal Home
Loan Bank advances and other borrowings 67,386 71,482 29,882
Accrued interest payable 4,657 3,727 2,601 Other liabilities 14,901
15,025 10,183 Total liabilities $1,481,368 $1,389,190 $1,114,143
Total shareholders' equity 143,769 144,229 113,975 Total
liabilities and shareholders' equity $1,625,137 $1,533,419
$1,228,118 Consolidated Statements of Income (Unaudited, in
thousands) Quarter Ended: Twelve Months Ended: December December
December December 31, 31, 31, 31, 2005 2004 2005 2004 Interest
Income: Loans and fees on loans $17,027 $10,997 $60,988 $41,568
Investments in debt and equity securities Taxable 3,196 2,820
12,465 10,793 Tax-exempt 360 420 1,516 1,844 Federal funds sold and
interest bearing deposits 771 261 2,023 600 Total interest income
21,354 14,498 76,992 54,805 Interest expense: Deposits 6,718 3,783
21,589 13,972 Federal funds purchased, repurchase agreements and
notes payable 969 378 3,097 1,271 Federal Home Loan Bank advances
and other borrowings 808 407 2,793 1,609 Total interest expense
8,495 4,568 27,479 16,852 Net interest income 12,859 9,930 49,513
37,953 Provision for loan losses 450 110 1,530 1,100 Net interest
income after provision for loan losses 12,409 9,820 47,983 36,853
Non-interest income: Remittance processing 1,604 1,566 6,748 7,201
Trust and brokerage fees 1,794 1,661 7,599 6,492 Service charges on
deposit accounts 794 599 2,923 2,419 Securities transactions, net
(136) (6) (586) 133 Gain on sales of mortgage loans, net 160 220
886 997 Other 890 530 2,907 2,605 Total non-interest income 5,106
4,570 20,477 19,847 Non-interest expense: Salaries and employee
benefits 5,774 4,911 23,099 18,889 Occupancy 781 701 3,074 2,669
Equipment 637 626 2,592 2,512 Data processing 747 650 2,416 2,283
Office supplies 339 360 1,245 1,247 Amortization expense- core
deposit intangibles 218 - 653 - Service charges from correspondent
banks 124 129 513 781 Other 1,845 1,545 6,187 5,498 Total
non-interest expense 10,465 8,922 39,779 33,879 Income before
income taxes 7,050 5,468 28,681 22,821 Income taxes 2,553 1,906
10,373 8,043 Net income $4,497 $3,562 $18,308 $14,778 First Call
Analyst: FCMN Contact: DATASOURCE: Main Street Trust, Inc. CONTACT:
Van A. Dukeman, CFA, President and CEO of Main Street Trust, Inc.,
+1-217-351-6568, or Web site: http://www.bankillinois.com/
http://www.mainstreettrust.com/
Copyright