FRESNO, CA--(Marketwire - February 1, 2011) - The Board of Directors of Central Valley
Community Bancorp (Company) (
NASDAQ:
CVCY), the parent company of Central
Valley Community Bank (Bank), reported today unaudited consolidated net
income of $3,279,000, and diluted earnings per common share of $0.31 for
the year ended December 31, 2010, compared to $2,588,000 and $0.28 per
diluted common share for the year ended December 31, 2009. Net income
increased 26.70% primarily driven by lower provision for credit losses,
partially offset by decreases in net interest income and non-interest
income, and an increase in non-interest expenses in 2010 compared to 2009.
During 2010, the Company's total assets increased 1.58%, total liabilities
increased 0.88% and shareholders' equity increased 6.76%. Return on
average equity (ROE) for the year ended December 31, 2010 was 3.41%,
compared to 3.10% for the year ended December 31, 2009. The increase in
this ratio reflects an increase in net income partially offset by an
increase in capital due to increases in other comprehensive income and
retained earnings, and the issuance of common and preferred stock. Return
on average assets (ROA) was 0.43% for the year ended December 31, 2010,
compared to 0.34% for the year ended December 31, 2009. The ROA increase
is due to an increase in net income partially offset by an increase in
average assets.
During the year ended December 31, 2010, the Company recorded a provision
for credit losses of $3,800,000, compared to $10,514,000 for the year ended
December 31, 2009. During the year ended December 31, 2010, the Company
recorded $2,986,000 in net loan charge-offs, compared to $7,537,000 for the
year ended December 31, 2009. The Company also recorded OREO related
expenses of $1,071,000 during 2010 compared to $479,000 for the year ended
December 31, 2009.
At December 31, 2010, the allowance for credit losses stood at $11,014,000,
compared to $10,200,000 at December 31, 2009, a net increase of $814,000.
The allowance for credit losses as a percentage of total loans was 2.55% at
December 31, 2010, and 2.22% at December 31, 2009. The Company believes
the allowance for credit losses is adequate to provide for probable losses
inherent within the loan portfolio at December 31, 2010.
Total non-performing assets were $19,984,000, or 2.57% of total assets, as
of December 31, 2010 compared to $21,838,000 or 2.85% of total assets as of
December 31, 2009. Total non-performing assets as of September 30, 2010
were $22,119,000 or 2.89% of total assets.
The following provides a reconciliation of the change in non-accrual loans
for 2010.
Additions Transfer
to to Returns
Balances Non- Foreclosed to Balances
(Dollars in December accrual Net Pay Collateral Accrual Charge December
thousands) 31, 2009 Loans Downs - OREO Status Offs 31, 2010
-------- -------- ------- ------- ------- ------- --------
Non-accrual
loans:
Commercial
and
industrial $ 3,169 $ 1,450 $(1,402) - $ (223) $(1,507) $ 1,487
Real
estate 3,183 5,724 (1,954) (1,812) (126) (243) 4,772
Real
estate
construction
and land
development 7,690 51 (238) (1,655) (214) - 5,634
Consumer 349 177 - - - (526) -
Equity
loans
and
lines of
credit - 509 (21) - - - 488
Restructured
loans
(non-accruing):
Commercial
and
industrial 28 900 (59) - - - 869
Real
estate 2,326 1,834 (1,042) 3,118
Real
estate
construction
and land
development 2,214 1,250 (519) - - (752) 2,193
-------- -------- ------- ------- ------- ------- --------
Total
non-
accrual $ 18,959 $ 11,895 $(5,235) $(3,467) $ (563) $(3,028) $ 18,561
======== ======== ======= ======= ======= ======= ========
The following provides a summary of the change in the OREO balance for the
year ended December 31, 2010:
Year Ended
(Dollars in thousands) December 31, 2010
-------------------
Balance, December 31, 2009 $ 2,832
Additions 3,467
Dispositions (4,450)
Write-downs (591)
Gain on disposition 176
Loss on disposition (109)
-------------------
Balance, December 31, 2010 $ 1,325
===================
The Company's net interest margin (fully tax equivalent basis) was 4.95%
for the year ended December 31, 2010, compared to 5.31% for the year ended
December 31, 2009. The 2010 net interest margin decrease in the
period-to-period comparison resulted primarily from a decrease in the yield
on the Company's investment portfolio partially offset by a decrease in the
Company's cost of funds. For the year ended December 31, 2010, the
effective yield on total earning assets decreased 71 basis points to 5.59%
compared to 6.30% for the year ended December 31, 2009, while the cost of
total interest-bearing liabilities decreased 45 basis points to 0.85%
compared to 1.30% for the year ended December 31, 2009. The average
balance of investment securities, including deposits in other banks and
Federal funds sold, increased 16.21% while the effective yield on average
investment securities decreased to 4.40% for the year ended December 31,
2010 compared to 6.21% for the year ended December 31, 2009. Average
loans, which generally yield higher rates than investment securities,
decreased 5.62% and the effective yield on average loans decreased to 6.25%
from 6.37% over the same periods. The decrease in yield in the Company's
investment securities during 2010 resulted primarily from the purchase of
lower yielding investment securities along with higher average balances in
interest bearing deposits in other banks. The cost of total deposits
decreased 35 basis points to 0.58% for the year ended December 31, 2010
compared to 0.93% for the year ended December 31, 2009. Net interest
income for the year ended December 31, 2010 was $31,730,000, compared to
$34,107,000 for the year ended December 31, 2009, a decrease of $2,377,000
or 6.97%. Foregone interest on non-accrual and restructured loans
adversely impacted the net interest margin by 0.18% for the year ended
December 31, 2010, compared to 0.13% for the year ended December 31, 2009.
Net interest income decreased as a result of these yield changes combined
with an increase in interest-bearing liabilities partially offset by a
slight increase in average earning assets.
Total average assets for the year ended December 31, 2010 were
$758,852,000, compared to $752,509,000 for the year ended December 31,
2009, an increase of $6,343,000 or 0.84%. Total average loans were
$455,340,000 for 2010, compared to $482,458,000 for 2009, representing a
decrease of $27,118,000 or 5.62%. Total average investments increased to
$231,761,000 for the year ended December 31, 2010 from $199,425,000 for the
year ended December 31, 2009, representing an increase of $32,336,000 or
16.21%, primarily due to an increase in deposits in other banks and Federal
funds sold. Total average deposits increased $3,903,000 or 0.62% to
$636,166,000 for the year ended December 31, 2010, compared to $632,263,000
for the year ended December 31, 2009. Average interest-bearing deposits
increased $4,105,000, or 0.86% and average non-interest bearing demand
deposits decreased $202,000 or 0.13% for the year ended December 31, 2010
compared to the year ended December 31, 2009. The Company's ratio of
average non-interest bearing deposits to total deposits was 24.04% for the
year ended December 31, 2010 compared to 24.22% for the year ended December
31, 2009.
Non-interest income for the year ended December 31, 2010 decreased
$2,129,000, or 36.39% to $3,721,000, compared to $5,850,000 for the year
ended December 31, 2009, mainly due to an increase in
Other-Than-Temporary-Impairment (OTTI) charges of $1,587,000, a decrease in
net realized gains on sales and calls of investment securities of $657,000
and a decrease in customers service charges of $284,000.
Non-interest expense for the year ended December 31, 2010 increased
$1,210,000, or 4.40% to $28,741,000 compared to $27,531,000 for the year
ended December 31, 2009, primarily due to increases in OREO expenses of
$592,000, legal fees of $165,000, and salaries and employee benefits of
$945,000, partially offset by decreases in regulatory assessments of
$413,000 and data processing expenses of $119,000. The 2009 period
included a $353,000 FDIC one-time special assessment in addition to the
recurring regulatory assessments.
The Company recorded an income tax benefit of $369,000 for the year ended
December 31, 2010, compared to $676,000 for the year ended December 31,
2009. The effective tax rate for 2010 was (12.68%) compared to (35.36%)
for the year ended December 31, 2009.
Quarter Ended December 31, 2010
For the quarter ended December 31, 2010, the Company reported unaudited
consolidated net income of $619,000 and diluted earnings per common share
of $0.06, compared to $486,000 and $0.05 per diluted share, for the quarter
ended December 31, 2009, and $864,000 and $0.08 per diluted share, for the
quarter ended September 30, 2010. The increase in net income during the
fourth quarter of 2010 compared to the quarter ended December 31, 2009 is
primarily due to decreases in the provision for credit losses partially
offset by decreases in net interest income and non-interest income, and
increases in salary expenses and OREO expenses. During the fourth quarter
of 2010, the Company recorded an OTTI charge to earnings of $887,000
related to Private Label Residential Mortgage Backed Securities (PLRMBS).
Annualized return on average equity for the fourth quarter of 2010 was
2.53%, compared to 2.24% for the same period of 2009. This increase is
reflective of an increase in net income partially offset by an increase in
capital. Annualized return on average assets was 0.32% for the fourth
quarter of 2010 compared to 0.26% for the quarter ended December 31, 2009.
This increase is due to an increase in net income partially offset by an
increase in average assets.
In comparing the fourth quarter of 2010 to the fourth quarter of 2009,
average total loans decreased $20,588,000, or 4.41%. During the fourth
quarter of 2010, the Company recorded a $900,000 provision for credit
losses, compared to $2,864,000 for the quarter ended December 31, 2009.
During the fourth quarter of 2010, the Company recorded $992,000 in net
loan charge-offs compared to $2,691,000 for the quarter ended December 31,
2009. The net charge-off ratio, which reflects annualized net charge-offs
to average loans, was 0.89% for the quarter ended December 31, 2010
compared to 2.31% for the quarter ended December 31, 2009.
The following provides a reconciliation of the change in non-accrual loans
for the quarter ended December 31, 2010.
Additions Transfer
to to Returns
Balances Non- Net Foreclosed to Balances
(Dollars in September accrual Pay Collateral Accrual Charge December
thousands) 30, 2010 Loans Downs - OREO Status Offs 31, 2010
-------- -------- ------- -------- -------- ------- --------
Non-accrual
Loans
Commercial
and
industrial $ 1,457 $ 339 $ (301) $ - $ - $ (8) $ 1,487
Real Estate 3,532 1,289 (49) - - - 4,772
Real estate
construction
and land
development 5,735 - (101) - - - 5,634
Consumer 322 163 - - - (485) -
Equity loans
and lines
of credit 494 - (6) - - - 488
Restructured
loans
(non-
accruing) - - - - -
Commercial
and
industrial 900 - (31) - - - 869
Real
Estate 3,149 - (31) - - - 3,118
Real
estate
construction
and land
development 3,253 - (308) - - (752) 2,193
-------- -------- ------- -------- -------- ------- --------
Total
non-
accrual $ 18,842 $ 1,791 $ (827) $ - $ - $(1,245) $ 18,561
======== ======== ======= ======== ======== ======= ========
The following provides a summary of the change in the OREO balance for the
quarter ended December 31, 2010:
Three Months
Ended
(Dollars in thousands) December 31, 2010
-----------------
Balance, September 30, 2010 $ 3,277
Additions -
Dispositions (1,895)
Write-downs (138)
Gain on disposition 176
Loss on disposition (95)
-----------------
Balance, December 31, 2010 $ 1,325
=================
Average total deposits for the fourth quarter of 2010 increased $12,765,000
or 2.00% to $652,001,000 compared to $639,236,000 for the same period of
2009.
The Company's net interest margin (fully tax equivalent basis) decreased 42
basis points to 4.67% for the three months ended December 31, 2010, from
5.09% for the three months ended December 31, 2009. Net interest income,
before provision for credit losses, decreased $579,000 or 7.04% to
$7,641,000 for the fourth quarter of 2010, compared to $8,220,000 for the
quarter ended December 31, 2009. Foregone interest on non-accrual and
restructured loans adversely impacted the net interest margin by 0.20% for
the quarter ended December 31, 2010, compared to 0.17% for the quarter
ended December 31, 2009. During the fourth quarter of 2010, the Company
reversed $217,000 of interest income to correct an immaterial error in
accounting for solar lease tax credits, which negatively impacted the net
interest margin by 0.13% for the quarter. The remaining decreases in net
interest margin and in net interest income are primarily due to a decrease
in the yield and average balance of interest-earning assets, partially
offset by a decrease in the rate on average interest-bearing liabilities.
Over the same periods, the cost of total deposits decreased 27 basis points
to 0.49% compared to 0.76% in 2009.
Non-interest income decreased $756,000 or 68.54% to $347,000 for the fourth
quarter of 2010 compared to $1,103,000 for the quarter ended December 31,
2009, driven primarily by an OTTI charge of $887,000, a decrease in
customer service charges of $193,000, partially offset by a recovery on
disposition of OREO of $176,000. Non-interest expense increased $370,000
or 5.59% for the same periods mainly due to an increase in salaries
expenses.
"While profitable for each quarter in 2010 and ending the year with
increased earnings over 2009, the fourth quarter had some unplanned expense
items that reduced our net income. The fourth quarter was affected by an
OTTI charge to income and correction of a lease accounting issue.
Non-performing assets, including OREO, improved during the fourth quarter
and in the year over year comparison. Non-interest expense also increased
for the fourth quarter with the opening and staffing of our new branch
office in Modesto, taking advantage of another bank exiting the market,"
stated Daniel J. Doyle, President and CEO for Central Valley Community
Bancorp and Central Valley Community Bank.
"The overall economy is still a challenge for many of our clients located
throughout California's San Joaquin Valley, which does affect our company.
Coupled with the uncertainty in the length of this economic cycle, we have
continued to build reserves and increase capital. We are encouraged that
certain business sectors such as agriculture are holding up well and real
estate values seem to be stabilizing. Additionally, we are thankful that
our loyal customers have seen the benefit of our 31 years of financial
advocacy and have chosen to not only remain with our bank but also provide
new business referrals, which is greatly valued. In spite of ongoing
economic challenges, we have continued to grow our bank, increasing
earnings and reducing problem assets compared to the previous year,"
concluded Doyle.
Central Valley Community Bancorp trades on the NASDAQ stock exchange under
the symbol CVCY. Central Valley Community Bank, headquartered in Fresno,
California, was founded in 1979 and is the sole subsidiary of Central
Valley Community Bancorp. Central Valley Community Bank currently operates
17 full service offices in Clovis, Fresno, Kerman, Lodi, Madera, Oakhurst,
Prather, Merced, Sacramento, Stockton, Tracy, and Modesto, California.
Additionally, the Bank operates Commercial Real Estate Lending, SBA Lending
and Agribusiness Lending Departments. Investment services are provided by
Investment Centers of America and insurance services are offered through
Central Valley Community Insurance Services LLC. Members of Central Valley
Community Bancorp's and the Bank's Board of Directors are: Daniel N.
Cunningham (Chairman), Sidney B. Cox, Edwin S. Darden, Jr., Daniel J.
Doyle, Steven D. McDonald, Louis McMurray, Wanda L. Rogers (Director
Emeritus), William S. Smittcamp, and Joseph B. Weirick.
More information about Central Valley Community Bancorp and Central Valley
Community Bank can be found at
www.cvcb.com.
Forward-looking Statements -- Certain matters discussed in this press
release constitute forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. All statements contained
herein that are not historical facts, such as statements regarding the
Company's current business strategy and the Company's plans for future
development and operations, are based upon current expectations. These
statements are forward-looking in nature and involve a number of risks and
uncertainties. Such risks and uncertainties include, but are not limited
to (1) significant increases in competitive pressure in the banking
industry; (2) the impact of changes in interest rates, a decline in
economic conditions at the international, national or local level on the
Company's results of operations, the Company's ability to continue its
internal growth at historical rates, the Company's ability to maintain its
net interest margin, and the quality of the Company's earning assets; (3)
changes in the regulatory environment; (4) fluctuations in the real estate
market; (5) changes in business conditions and inflation; (6) changes in
securities markets; and (7) the other risks set forth in the Company's
reports filed with the Securities and Exchange Commission, including its
Annual Report on Form 10-K for the year ended December 31, 2009.
Therefore, the information set forth in such forward-looking statements
should be carefully considered when evaluating the business prospects of
the Company.
CENTRAL VALLEY COMMUNITY BANCORP
CONSOLIDATED BALANCE SHEETS
(Unaudited)
December 31, December 31,
(In thousands, except share amounts) 2010 2009
------------- ------------
ASSETS
Cash and due from banks $ 11,357 $ 13,857
Interest-earning deposits in other banks 89,042 34,544
Federal funds sold 600 279
------------- ------------
Total cash and cash equivalents 100,999 48,680
Available-for-sale investment securities
(Amortized cost of $189,682 at December 31,
2010 and $199,744 at December 31, 2009) 191,325 197,319
Loans, less allowance for credit losses of
$11,014 at December 31, 2010 and $10,200 at
December 31, 2009 420,583 449,007
Bank premises and equipment, net 5,843 6,525
Other real estate owned 1,325 2,832
Bank owned life insurance 11,390 10,998
Federal Home Loan Bank stock 3,050 3,140
Goodwill 23,577 23,577
Core deposit intangibles 1,198 1,612
Accrued interest receivable and other assets 18,304 21,798
------------- ------------
Total assets $ 777,594 $ 765,488
============= ============
LIABILITIES AND SHAREHOLDERS' EQUITY
Deposits:
Non-interest bearing $ 173,867 $ 159,630
Interest bearing 476,628 480,537
------------- ------------
Total deposits 650,495 640,167
Short-term borrowings 10,000 5,000
Long-term debt 4,000 14,000
Junior subordinated deferrable interest
debentures 5,155 5,155
Accrued interest payable and other liabilities 10,552 9,943
------------- ------------
Total liabilities 680,202 674,265
------------- ------------
Commitments and contingencies
Shareholders' equity:
Preferred stock, no par value, $1,000 per
share liquidation preference; 10,000,000
shares authorized;
Series A, no par value, 7,000 shares
issued and outstanding 6,864 6,819
Series B, no par value, issued and
outstanding none at December 31, 2010
and 1,359 at December 31, 2009 - 1,317
Common stock, no par value; 80,000,000
authorized; issued and outstanding 9,109,154
at December 31, 2010 and 8,949,754 at
December 31, 2009 38,428 37,611
Non-voting common stock, 1,000,000 authorized;
issued and outstanding 258,862 at December
31, 2010 and none at December 31, 2009 1,317 -
Retained earnings 49,816 46,931
Accumulated other comprehensive income (loss),
net of tax 967 (1,455)
------------- ------------
Total shareholders' equity 97,392 91,223
------------- ------------
Total liabilities and shareholders'
equity $ 777,594 $ 765,488
============= ============
CENTRAL VALLEY COMMUNITY BANCORP
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
For the Years
Ended December 31,
------------------------
(In thousands, except earnings per share amounts) 2010 2009
----------- -----------
INTEREST INCOME:
Interest and fees on loans $ 27,390 $ 29,920
Interest on Federal funds sold 2 48
Interest and dividends on investment
securities:
Taxable 5,582 7,709
Exempt from Federal income taxes 3,039 3,057
----------- -----------
Total interest income 36,013 40,734
----------- -----------
INTEREST EXPENSE:
Interest on deposits 3,713 5,867
Interest on junior subordinated deferrable
interest debentures 102 129
Other 468 631
----------- -----------
Total interest expense 4,283 6,627
----------- -----------
Net interest income before provision
for credit losses 31,730 34,107
PROVISION FOR CREDIT LOSSES 3,800 10,514
----------- -----------
Net interest income after provision
for credit losses 27,930 23,593
----------- -----------
NON-INTEREST INCOME:
Service charges 3,225 3,509
Appreciation in cash surrender value of bank
owned life insurance 392 391
Loan placement fees 300 231
Gain on disposal of other real estate owned 176 -
Net realized (loss) gains on sales and calls
of investment securities (191) 466
Total impairment on investment securities (3,346) -
Increase in fair value recognized in other
comprehensive income 1,759 -
----------- -----------
Net impairment loss recognized in
earnings (1,587) -
Federal Home Loan Bank dividends 11 7
Other income 1,395 1,246
----------- -----------
Total non-interest income 3,721 5,850
----------- -----------
NON-INTEREST EXPENSES:
Salaries and employee benefits 14,871 13,926
Occupancy and equipment 3,867 3,812
Regulatory assessments 1,191 1,604
Data processing expense 1,197 1,316
Advertising 669 722
Audit and accounting fees 496 503
Legal fees 495 330
Other real estate owned 1,071 479
Amortization of core deposit intangibles 414 414
Loss on sale of assets 10 55
Other expense 4,460 4,370
----------- -----------
Total non-interest expenses 28,741 27,531
----------- -----------
Income before benefit from income
taxes 2,910 1,912
BENEFIT FROM INCOME TAXES (369) (676)
----------- -----------
Net income $ 3,279 $ 2,588
=========== ===========
Net income $ 3,279 $ 2,588
Preferred stock dividends and accretion 395 365
----------- -----------
Net income available to common
shareholders $ 2,884 $ 2,223
=========== ===========
Net income per common share:
Basic earnings per common share $ 0.31 $ 0.29
=========== ===========
Weighted average common shares used in basic
computation 9,209,858 7,685,789
=========== ===========
Diluted earnings per common share $ 0.31 $ 0.28
=========== ===========
Weighted average common shares used in
diluted computation 9,290,671 7,803,764
=========== ===========
CENTRAL VALLEY COMMUNITY BANCORP
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31,
For the three 2010 2010 2010 2010 2009
months ended --------- --------- --------- --------- --------
(In thousands,
except share and
per share amounts)
Net interest income $ 7,641 $ 8,173 $ 7,930 $ 7,986 $ 8,220
Provision for credit
losses 900 1,300 1,000 600 2,864
--------- --------- --------- --------- --------
Net interest income
after provision
for credit losses 6,741 6,873 6,930 7,386 5,356
Total non-interest
income 347 1,293 747 1,334 1,103
Total non-interest
expense 6,986 7,409 7,142 7,204 6,616
(Benefit from)
provision for
income taxes (517) (107) 31 224 (643)
--------- --------- --------- --------- ---------
Net income $ 619 $ 864 $ 504 $ 1,292 $ 486
========= ========= ========= ========= =========
Net income available
to common
shareholders $ 520 $ 766 $ 405 $ 1,193 $ 416
========= ========= ========= ========= =========
Basic earnings per
common share $ 0.06 $ 0.08 $ 0.04 $ 0.13 $ 0.05
========= ========= ========= ========= =========
Weighted average
common shares used
in basic
computation 9,368,016 9,363,908 9,131,753 8,969,687 7,782,841
========= ========= ========= ========= =========
Diluted earnings
per common share $ 0.06 $ 0.08 $ 0.04 $ 0.13 $ 0.05
========= ========= ========= ========= =========
Weighted average
common shares used
in diluted
computation 9,429,226 9,432,301 9,210,838 9,082,070 7,900,679
========= ========= ========= ========= =========
CENTRAL VALLEY COMMUNITY BANCORP
SELECTED RATIOS
(Unaudited)
Dec. 31, Sep. 30, Jun. 30, Mar. 31, Dec. 31,
As of and for the 2010 2010 2010 2010 2009
three months ended --------- --------- --------- --------- ---------
(Dollars in
thousands, except
per share amounts)
Allowance for credit
losses to total
loans 2.55% 2.42% 2.45% 2.34% 2.22%
Nonperforming assets
to total assets 2.57% 2.89% 2.45% 2.72% 2.85%
Total nonperforming
assets $ 19,984 $ 22,119 $ 18,496 $ 20,646 $ 21,838
Net loan charge offs $ 992 $ 1,662 $ 127 $ 205 $ 2,691
Net charge offs to
average loans
(annualized) 0.89% 1.43% 0.11% 0.18% 2.31%
Book value per share $ 9.66 $ 9.78 $ 9.46 $ 9.47 $ 9.28
Tangible book value
per share $ 7.02 $ 7.13 $ 6.80 $ 6.71 $ 6.47
Tangible common
equity $ 65,753 $ 66,763 $ 63,628 $ 60,928 $ 57,898
Interest and
dividends on
investment
securities exempt
from Federal income
taxes $ 762 $ 761 $ 759 $ 757 $ 765
Net interest margin
(calculated on a
fully tax
equivalent basis)
(1) 4.67% 5.10% 5.06% 4.98% 5.09%
Return on average
assets (2) 0.32% 0.46% 0.27% 0.68% 0.26%
Return on average
equity (2) 2.53% 3.53% 2.11% 5.53% 2.24%
Tier 1 leverage -
Bancorp 9.48% 10.07% 9.94% 9.61% 9.30%
Tier 1 leverage -
Bank 9.32% 9.93% 9.80% 9.44% 9.20%
Tier 1 risk-based
capital - Bancorp 14.16% 13.75% 12.96% 12.91% 12.28%
Tier 1 risk-based
capital - Bank 13.92% 13.55% 12.77% 12.68% 12.12%
Total risk-based
capital - Bancorp 15.42% 15.03% 14.24% 14.17% 13.54%
Total risk based
capital - Bank 15.19% 14.82% 14.05% 13.94% 13.38%
(1) Net Interest Margin is computed by dividing annualized quarterly net
interest income by quarterly average interest-bearing assets.
(2) Computed by annualizing quarterly net income.
CENTRAL VALLEY COMMUNITY BANCORP
AVERAGE BALANCES AND RATES
(Unaudited)
For the For the
Three Months Ended Twelve Months Ended
AVERAGE AMOUNTS December 31, December 31,
-------------------- --------------------
(Dollars in thousands) 2010 2009 2010 2009
--------- --------- --------- ---------
Federal funds sold $ 704 $ 30,497 $ 713 $ 17,627
Interest-bearing deposits in
other banks 72,651 7,892 42,047 3,008
Investments 184,432 181,060 189,001 178,790
Loans (1) 427,094 454,296 437,959 469,341
Federal Home Loan Bank stock 3,050 3,140 3,084 3,140
--------- --------- --------- ---------
Earning assets 687,931 676,885 672,804 671,906
Allowance for credit losses (11,295) (10,323) (10,922) (8,608)
Non-accrual loans 19,280 12,666 17,381 13,117
Other real estate owned 2,623 3,079 2,972 2,553
Other non-earning assets 78,029 74,197 76,617 73,541
--------- --------- --------- ---------
Total assets $ 776,568 $ 756,504 $ 758,852 $ 752,509
========= ========= ========= =========
Interest bearing deposits $ 485,133 $ 484,734 $ 483,220 $ 479,115
Other borrowings 19,155 24,155 19,634 29,987
--------- --------- --------- ---------
Total interest-bearing
liabilities 504,288 508,889 502,854 509,102
Non-interest bearing demand
deposits 166,868 154,502 152,946 153,148
Non-interest bearing
liabilities 7,455 6,322 6,878 6,859
--------- --------- --------- ---------
Total liabilities 678,611 669,713 662,678 669,109
--------- --------- --------- ---------
Total equity 97,957 86,791 96,174 83,400
--------- --------- --------- ---------
Total liabilities and equity $ 776,568 $ 756,504 $ 758,852 $ 752,509
========= ========= ========= =========
AVERAGE RATES
--------- --------- --------- ---------
Federal funds sold 0.25% 0.25% 0.28% 0.27%
Interest-earning deposits in
other banks 0.26% 0.25% 0.26% 0.27%
Investments 5.08% 6.13% 5.33% 6.90%
Loans 6.11% 6.29% 6.25% 6.37%
Earning assets 5.22% 5.91% 5.59% 6.30%
Interest-bearing deposits 0.65% 1.00% 0.77% 1.22%
Other borrowings 2.75% 2.86% 2.90% 2.53%
Total interest-bearing
liabilities 0.73% 1.08% 0.85% 1.30%
Net interest margin (calculated
on a fully tax
equivalent basis) (2) 4.67% 5.09% 4.95% 5.31%
(1) Average loans do not include non-accrual loans.
(2) Calculated on a fully tax equivalent basis, which includes Federal tax
benefits relating to income earned on municipal bonds totaling $393 and
$394 for the quarters ended December 31, 2010 and 2009, respectively,
and $1,566 and $1,575 for the years ended December 31, 2010 and 2009,
respectively.