SOURCE: 1st Enterprise Bank

1st Enterprise Bank

September 01, 2011 14:14 ET

1st Enterprise Bank Enters the U.S. Treasury's Small Business Lending Fund Program

LOS ANGELES, CA--(Marketwire - Sep 1, 2011) - 1st Enterprise Bank ("the Bank") (OTCBB: FENB), a full-service commercial bank serving the Southern California business community, today announced that it received a capital investment of $16.4 million in the Bank's preferred stock from the U.S. Treasury Department's Small Business Lending Fund ("the SBLF"). The SBLF was created by the U.S. Treasury to promote small business lending by providing capital to qualified commercial banks.

Simultaneously with the investment from the SBLF, the Bank redeemed all 10,620 shares of preferred stock that was previously issued to the U.S. Treasury under the Capital Purchase Program ("CPP"). The net result of issuing preferred stock under the SBLF and redeeming the preferred stock under CPP was an increase in the Bank's Tier 1 capital of approximately $5.8 million.

"We expect this additional capital will support our on-going commitment to providing credit to the business communities which we serve," said John C. Black, CEO. "Due to our success in growing our loan portfolio over the past several years we have qualified for highly favorable terms under the SBLF, as demonstrated by an initial dividend rate of 1%. This program will provide significant benefits to our customers, shareholders and the Southern California small business market over the coming years."

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

Forward-Looking Statement:
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.

Contact Information

  • Contact:
    John C. Black