1st Enterprise Bank Maintains Strong Loan and Core Deposit Growth for the Quarter Ended June 30, 2008
July 21, 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 June 30, 2008. Net loans at June 30, 2008 were $88.2 million, an increase of $18.5 million, or 27%, compared to December 31, 2007. Total deposits of $178.3 million represented an increase over December 31, 2007 of $14.7 million, or 9%. Non-interest bearing demand deposits increased by $11.1 million, or 22%, and money market, NOW and savings deposits increased in total by $4.2 million, or 4%, over the December 31, 2007 totals. Total assets of $205.0 million at June quarter end were up $15.0 million, or 8%, from December 31, 2007. Shareholders’ equity was $25.5 million at June 30, 2008, up $0.2 million, or 1%, from December 31, 2007. The net loss for the three months ended June 30, 2008 was $17 thousand compared to a net loss of $486 thousand for the same period in 2007, an improvement of $469 thousand or 97%. The net loss for the six months ended June 30, 2008 was $236 thousand compared to a net loss of $910 thousand for the same period in 2007, an improvement of $674 thousand or 74%.
“We are very pleased with the results achieved during our second quarter, said John C. Black, CEO of 1st Enterprise Bank. Of greatest significance is the high quality of our balance sheet in terms of loan and investment quality, strong liquidity and a solid capital base. We have experienced no past due or delinquent loans over this period and the strength of our borrowers remains very high. Our investment portfolio is conservatively structured and balanced, with the majority of our investments centered in highly liquid Federal Funds Sold or US Government sponsored agency securities. Our deposit base remains very sound and essentially 100% “core relationship based” from local privately held businesses and their owners. Our operating loss for the quarter narrowed to nearly a break even level, after $366 thousand of non-cash expenses. As we continue to grow and add to our base of high quality commercial banking relationships we look forward to continued improvement in our operating performance.”
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