SOURCE: Heartland Bancshares, Inc.

Heartland Bancshares, Inc.

May 05, 2011 15:41 ET

Heartland Bancshares, Inc. Announces First Quarter Results

FRANKLIN, IN--(Marketwire - May 5, 2011) - Heartland Bancshares, Inc. IN (OTCBB: HRTB) announced that it recorded net loss of $78,000 for the quarter ended March 31, 2010. Heartland recorded net loss of $129,000 for the same period in 2010. The improvement was the result of lower provision for loan losses, higher noninterest income and lower noninterest expense.

Heartland recorded accretion of discount and mandatory dividends on preferred shares of $108,000 for the first quarter in 2011 and $107,000 for the first quarter 2010. The accretion and dividends on preferred shares are recorded as a reduction of net income available to common shareholders resulting in net loss available to common shareholders of $186,000 or $.13 per common and diluted share for the first quarter of 2011 compared to net loss available to common shareholders of $236,000 or $0.17 per common and diluted share for the first quarter of 2010.

Heartland's allowance for loan losses increased to $3,461,000 or 2.44% of loans at March 31, 2011. Provision expense was $925,000 while net charge-offs were $496,000 for the quarter. Non-performing assets and loans 90 days or more past due and still accruing total $8,056,000 or 3.51% of total assets at March 31, 2011 and include $4,253,000 of non-accrual loans, $656,000 of loans greater than 90 days past due and still accruing, and $3,147,000 of other real estate. Non-performing assets and loans 90 days or more past due and still accruing totaled $8,089,000 or 3.47% of total assets at December 31, 2010.

President Steve Bechman commented, "Although our goals and expectations were much higher, we are pleased to report improvements from the first quarter 2010 in provision expense, noninterest income and noninterest expense. We are also pleased that our nonperforming assets declined, although only slightly, during the quarter. We determined that it would be prudent to build our loan loss reserves based on certain loans within our current loan portfolio and the fact that the local economy and real estate markets have not shown material improvements."

Heartland Community Bank is the wholly owned subsidiary of Heartland Bancshares, Inc. and began banking operations December 17, 1997 in Johnson County, Indiana on the southern edge of the Indianapolis metro area.

                        HEARTLAND BANCSHARES, INC.
                       SELECTED BALANCE SHEET DATA
                   March 31, 2011 and December 31, 2010
                      (Dollar amounts in thousands)
                               (Unaudited)

                                             March 31,       December 31,
                                               2011              2010
                                           -----------       -----------

Total cash and cash equivalents            $    16,645       $    14,479
Securities available-for-sale                   57,216            57,375
Loans held for sale                                285             1,608
Gross loans                                    141,558           145,304
Allowance for loan losses                        3,461             3,032
Total assets                                   229,785           233,048
Total deposits                                 190,333           194,839
Total liabilities                              209,292           211,900
Shareholders' equity                            20,494            21,148
Book value per common share                $      9.61       $     10.08



                        HEARTLAND BANCSHARES, INC.
                     SELECTED INCOME STATEMENT DATA
                Three Months ended March 31, 2011 and 2010
           (Dollar amounts in thousands, except per share data)
                               (Unaudited)

                                               2011              2010
                                           -----------       -----------

Interest income                            $     2,607       $     2,809
Interest expense                                   384               568
Net interest income                              2,223             2,241
Provision for loan losses                          925             1,000
Noninterest income                                 766               721
Noninterest expense                              2,256             2,287
Income taxes                                      (114)             (196)
Net loss                                           (78)             (129)
Preferred stock dividend and accretion             108               107
Net loss available to common shareholders         (186)             (236)
Basic and diluted (loss) per common
 Share                                            (.13)             (.17)

Contact Information

  • Contact:
    Steve Bechman
    President

    Jeff Joyce
    CFO
    (317) 738-3915