1st Enterprise Bank Maintains Strong Loan and
Core Deposit Growth for the Quarter Ended March 31, 2008
April 22, 2008, 6:00 am ET, LOS ANGELES, California
1st Enterprise Bank continued to experience strong growth in its loans and core deposits during the quarter ended March 31, 2008. Net loans at March 31, 2008 were $80.4 million, an increase of $55.7 million, or 226%, as compared to March 31, 2007. Total deposits of $160.8 million represented an increase over the prior year period of $55.1 million, or 52%. Non-interest bearing demand deposits increased by $10.3 million, or 26%, and money market accounts increased by $29.8 million, or 53%, over the prior year. Total assets of $188.7 million at quarter end were up $56.8 million, or 43%, from March 31, 2007. Shareholders’ equity was $26.7 million at March 31, 2008, up $1.5 million, or 6%, from March 31, 2007. The net loss for the period ended March 31, 2008 was $219 thousand, a decrease of $205 thousand, or 48%, from the net loss for the same period in 2007. The net loss reported for the first quarter of 2008 included an increase to our loan loss reserves and off balance sheet exposure reserves of $117 thousand and the recognition of stock option expense of $224 thousand.
“The Bank has been very successful in building a fortress type balance sheet that will serve us well in this period of economic uncertainty. We are very pleased with our strong asset growth which continues to be funded by our high quality core deposit base,” said John C. Black, CEO of 1st Enterprise Bank. “Our asset quality remains extremely high, and our liquidity remains very strong. As of March 31, 2008, we had no past due or non-performing loans in our loan portfolio, and our investments remain in either highly liquid Federal Funds Sold or U. S. Government sponsored Agency securities. We are also very pleased with the significant improvement in our operating performance during the first quarter, which has come as a direct result of our growth in average earning assets over the past twelve months. Our strong growth during the past year is attributable to the high quality of our staff and their dedication to serving entrepreneurial businesses and their owners throughout Southern California. We have also experienced a significant contribution to our growth through the opening of our Orange County Regional Office in September of last year.”
About 1st Enterprise Bank
Founded in 2006, 1st Enterprise Bank is a full-service commercial banking institution, whose highly experienced bankers personally serve Southern California entrepreneurial businesses, professional firms and nonprofit organizations, along with their owners and key managers. Headquartered in the Los Angeles financial district, with full-service regional banking offices in Irvine and Ontario, 1st Enterprise Bank offers a full range of credit and depository services, with special emphasis on superior customer service, sophisticated cash management services and direct access to bank decision makers. Customers work directly with a dedicated Relationship Manager, a seasoned professional who understands their unique challenges serving as a sounding board and an active participant in their client's success. For more information on 1st Enterprise Bank, please visit www.1stenterprisebank.com.
This news release contains statements that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations, estimates and projections about 1st Enterprise Bank's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including those described above and the following: 1st Enterprise Bank's timely implementation of new products and services, technological changes, changes in consumer spending and savings habits and other risks discussed from time to time in 1st Enterprise Bank’s reports and filings with banking regulatory agencies. In addition, such statements could be affected by general industry and market conditions and growth rates, and general domestic and international economic conditions. Such forward-looking statements speak only as of the date on which they are made, and 1st Enterprise Bank does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release.
John C. Black
Chief Executive Officer