SOURCE: First Bancorp of Indiana, Inc.

First Bancorp of Indiana, Inc.

January 21, 2011 16:30 ET

First Bancorp of Indiana, Inc. Announces Financial Results

EVANSVILLE, IN--(Marketwire - January 21, 2011) - First Bancorp of Indiana, Inc., (OTCBB: FBPI), the holding company for First Federal Savings Bank, reported earnings of $380,000 for the quarter ended December 31, 2010, compared to net income of $350,000 in the same quarter last year. The quarter-over-quarter increase was attributed to greater noninterest revenues and a lesser need to provide for loan loss allowances. The Company recognized earnings of $462,000 through the first six months of fiscal 2011, down from the $855,000 for the same period in fiscal 2010. The lower comparative year-to-date earnings were due in large part to impairment charges recorded on certain investment securities that reduced net income approximately $330,000. These charges, which totaled $545,000 on a pre-tax basis and are presented as a reduction of noninterest income, do not represent realized losses and the eventual recovery of the total investment is possible. The impairment charges had no material effect on stockholders' equity as the year-to-date change was attributed to unrealized market value losses on securities available for sale and the 15.5 cents per share dividends that First Bancorp has paid in each of the past eleven quarters. Furthermore, First Federal's tier one capital ratio has strengthened from 9.0% to approximately 9.4% over the past twelve months. This ratio and the bank's other capital measurements continue to comfortably exceed all regulatory standards for "well-capitalized" financial institutions.

Certain information in this press release may constitute forward-looking information that involves risks and uncertainties that could cause actual results to differ materially from those estimated. Persons are cautioned that such forward-looking statements are not guarantees of future performance and are subject to various factors that could cause actual results to differ materially from those estimated. Undue reliance should not be placed on such forward-looking statements.

                   First Bancorp of Indiana, Inc.
                  Consolidated Financial Highlights
                            (in thousands)

                         12/31/2010    6/30/2010
                        ============ ============
Selected Balance Sheet
 Data:                   (unaudited)
Total assets                 341,690      343,753
Investment securities        117,244      107,138
Loans receivable, net        158,521      170,722
Deposit accounts             210,994      211,645
Borrowings                    93,155       95,155
Stockholders' equity          32,181       32,828




                              Three months              Six months
                            ended December 31,        ended December 31,
                            2010         2009         2010         2009
Operating Results:      ============ ============ ============ ============
                         (unaudited)  (unaudited)  (unaudited)  (unaudited)

Interest income                3,606        4,463        7,495        9,126
Interest expense               1,579        1,982        3,244        4,129
                        ------------ ------------ ------------ ------------
Net interest income            2,027        2,481        4,251        4,997
Provision for loan
 losses                          100          400          250          700
                        ------------ ------------ ------------ ------------
Net interest income
 after provision               1,927        2,081        4,001        4,297
Noninterest income               843          604        1,109        1,262
Noninterest expense            2,289        2,293        4,663        4,526
                        ------------ ------------ ------------ ------------

Income before income
 taxes and cumulative
 effect of a change in
 accounting principle            481          392          447        1,033
Income taxes                     101           42          -15          178
                        ------------ ------------ ------------ ------------

Net income                       380          350          462          855
                        ============ ============ ============ ============

Contact Information

  • CONTACT:
    Michael H. Head
    President and CEO
    First Bancorp of Indiana
    812-492-8100