SOURCE: Trinity Bank

March 04, 2009 11:54 ET

Not All Banks Are in Trouble... Trinity Bank 2008 Profits Up 34%

FORT WORTH, TX--(Marketwire - March 4, 2009) - Trinity Bank, N.A. (OTCBB: TYBT) today announced continued profits from their financial and operating results for the fourth quarter and for the twelve months ended December 31, 2008.

Results of Operations

Trinity Bank, N.A. reported Net Income After Taxes for the fourth quarter of $370,411, or $.32 per diluted common share, compared to $304,622, or $.26 per diluted common share for the fourth quarter of 2007, an increase of 21.6%.

For the year 2008, Net Income After Taxes amounted to $1,393,163, or $1.19 per diluted common share, compared to $1,036,698, or $.90 per diluted common share for 2007, an increase of 34.4%.

Jeffrey M. Harp, President, stated, "Operating results for the fourth quarter of 2008 represents our 17th consecutive quarter of increased profit. We feel very fortunate to have achieved these results in a challenging economic environment. On an annual basis, our income is increasing faster than our expenses, and we have had no loan losses or non-performing loans since inception in May 2003. This performance reflects positively on the strength of our local market, the quality of our customer base, and the efforts of the Board, the management, and the staff of Trinity Bank."

Average for Quarter Ending

(in 000's)                12-31-08      12-31-07       %
                          --------      --------     -----

Loans                     $ 65,398      $ 50,053     30.7 %
Deposits                  $114,310      $106,124      7.7 %

Actual for Quarter Ending

Net Interest Income       $    978      $    942      3.8 %
Non-Interest Income       $     64      $     67     (4.5)%
Non-Interest Expense      $    537      $    530      1.3 %
Loan Loss Provision       $     45      $     45      0.0 %

Pre Tax Income            $    460      $    434      6.0 %

Income Tax                $     90      $    129    (30.2)%

Net Income                $    370      $    305     21.6 %

Average for Year Ending

(in 000's)                12-31-08      12-31-07       %
                          --------      --------     -----

Loans                     $ 59,415      $ 47,511     25.1 %
Deposits                  $110,641      $ 93,388     18.5 %

Actual for Year Ending

Net Interest Income       $  3,726      $  3,472      7.3 %
Non-Interest Income       $    382      $    320     19.4 %
Non-Interest Expense      $  2,163      $  2,059      5.1 %
Loan Loss Provision       $    180      $    180        -
Pre Tax Income            $  1,765      $  1,553     13.7 %

Income Tax                $    372      $    516    (27.9)%

Net Income                $  1,393      $  1,037     34.4 %

Trinity Bank, N.A. is a commercial bank that began operations May 28, 2003 with the largest initial capital ever raised by a Tarrant County bank. For a full financial statement, visit Trinity Bank's website: www.trinitybk.com click on "About Us" and then click on "Investor Information." Financial information in regulatory reporting format is also available at www.fdic.gov.

This Press Release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 regarding future financial conditions, results of operations and the Bank's business operations. Such forward-looking statements involve risks, uncertainties and assumptions, including, but not limited to, monetary policy and general economic conditions in Texas and the greater Dallas-Fort Worth metropolitan area, the risks of changes in interest rates on the level and composition of deposits, loan demand and the values of loan collateral, securities and interest rate protection agreements, the actions of competitors and customers, the success of the Bank in implementing its strategic plan, the failure of the assumptions underlying the reserves for loan losses and the estimations of values of collateral and various financial assets and liabilities, that the costs of technological changes are more difficult or expensive than anticipated, the effects of regulatory restrictions imposed on banks generally, any changes in fiscal, monetary or regulatory policies and other uncertainties as discussed in the Bank's Registration Statement on Form SB-1 filed with the Office of the Comptroller of the Currency. Should one or more of these risks or uncertainties materialize, or should these underlying assumptions prove incorrect, actual outcomes may vary materially from outcomes expected or anticipated by the Bank. A forward-looking statement may include a statement of the assumptions or bases underlying the forward-looking statement. The Bank believes it has chosen these assumptions or bases in good faith and that they are reasonable. However, the Bank cautions you that assumptions or bases almost always vary from actual results, and the differences between assumptions or bases and actual results can be material. The Bank undertakes no obligation to publicly update or otherwise revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless the securities laws require the Bank to do so.

                            TRINITY BANK N.A.
                               (Unaudited)
              (Dollars in thousands, except per share data)



                            Quarter Ended           Twelve Months Ended
                          December 31      %         December 31       %
EARNINGS SUMMARY         2008     2007   Change     2008     2007   Change

Interest income          1,456    1,745   -16.6%    5,931    6,547    -9.4%
Interest expense           478      803   -40.5%    2,205    3,075   -28.3%
Net Interest Income        978      942     3.8%    3,726    3,472     7.3%

Provision for Loan
 Losses                     45       45     0.0%      180      180     0.0%

Service charges on
 deposits                   24       28   -14.3%       95      106   -10.4%
Net gain on securities
 available for sale          0        0     0.0%       45        0     0.0%
Other income                40       39     2.6%      242      214    13.1%
Total Non Interest
 Income                     64       67    -4.5%      382      320    19.4%

Salaries and benefits
 expense                   342      324     5.6%    1,212    1,107     9.5%
Occupancy and
 equipment expense          87       91    -4.4%      346      352    -1.7%
Other expense              108      115    -6.1%      605      600     0.8%
Total Non Interest
 Expense                   537      530     1.3%    2,163    2,059     5.1%

Earnings before
 income taxes              460      434     6.0%    1,765    1,553    13.7%
Provision for income
 taxes                      90      129   -30.2%      372      516   -27.9%
Net Earnings               370      305    21.6%    1,393    1,037    34.4%

Basic earnings per
 share                    0.33     0.28    17.9%     1.26     0.94    34.0%
Basic weighted
 average shares
 outstanding             1,109    1,109             1,109    1,109


Diluted earnings per
 share                    0.32     0.26    23.1%     1.19     0.90    32.2%
Diluted weighted
 average shares
 outstanding             1,166    1,157             1,166    1,156



                         Average for Quarter     Average for Twelve Months
                      Ending December 31    %    Ending December 31    %
BALANCE SHEET SUMMARY    2008     2007   Change     2008     2007   Change

Total loans           $ 65,398 $ 50,053    30.7% $ 59,415 $ 47,511    25.1%
Total short term
 investments            22,898   27,011   -15.2%   22,570   23,546    -4.1%
Total investment
 securities             39,329   36,569     7.5%   38,501   31,444    22.4%

Earning assets         127,625  113,633    12.3%  120,486  102,501    17.5%

Total assets           133,175  119,646    11.3%  125,846  108,154    16.4%

Noninterest bearing
 deposits               24,012   23,620     1.7%   21,651   20,937     3.4%
Interest bearing
 deposits               90,298   82,504     9.4%   88,990   72,452    22.8%

Total deposits         114,310  106,124     7.7%  110,641   93,389    18.5%

Fed Funds Purchased
 and Repurchase
 Agreements              4,934      849   481.2%    1,795    2,612   -31.3%

Shareholders' equity    13,531   12,078    12.0%   12,980   11,629    11.6%



                            TRINITY BANK N.A.
                               (Unaudited)
              (Dollars in thousands, except per share data)

                                     Average for Quarter Ending
                          Dec 31,   Sept. 30, June 30,   March 31,  Dec 31,
BALANCE SHEET SUMMARY       2008      2008       2008      2008      2007

Total loans               $ 65,398 $   64,946 $ 57,309 $    49,878 $ 50,053
Total short term
 investments                22,898     17,627   23,073      26,740   27,011
Total investment
 securities                 39,329     37,060   36,588      41,033   36,569

Earning assets             127,625    119,633  116,970     117,651  113,633

Total assets               133,175    124,795  122,227     123,192  119,646

Noninterest bearing
 deposits                   24,012     21,199   20,553      20,814   23,620
Interest bearing deposits   90,298     89,387   87,699      88,562   82,504

Total deposits             114,310    110,586  108,252     109,376  106,124

Fed Funds Purchased and
 Repurchase Agreements       4,934        798      620         806      849

Shareholders' equity        13,531     13,073   12,821      12,491   12,078



                                          Quarter Ended
HISTORICAL EARNINGS       Dec 31,   Sept. 30, June 30,   March 31,  Dec 31,
 SUMMARY                    2008      2008      2008      2008       2007

Interest income              1,456      1,464    1,430       1,581    1,745
Interest expense               478        526      521         680      803
Net Interest Income            978        938      909         901      942

Provision for Loan Losses       45         45       45          45       45

Service charges on
 deposits                       24         23       24          25       28
Other income                    40         64       82          98       39
Total Non Interest Income       64         87      106         123       67

Salaries and benefits
 expense                       342        301      283         285      324
Occupancy and equipment
 expense                        87         86       87          87       91
Other expense                  108        152      169         176      115
Total Non Interest
 Expense                       537        539      539         548      530

Earnings before income
 taxes                         460        441      431         431      434
Provision for income
 taxes                          90         84       91         106      129
Net Earnings                   370        357      340         325      305




                            TRINITY BANK N.A.
                               (Unaudited)
              (Dollars in thousands, except per share data)

                                         Ending Balance
HISTORICAL BALANCE     Dec 31,    Sept. 30,  June 30,  March 31,   Dec 31,
 SHEET                   2008       2008      2008       2008       2007

Total loans            $ 66,715  $  65,595  $ 62,061  $   51,866  $ 50,545
Total short term
 investments             20,502     23,291    15,415      27,818    25,654
Total investment
 securities              44,980     34,523    39,803      37,740    43,561

Total earning assets    132,197    123,409   117,279     117,424   119,760

Allowance for loan
 losses                     906        861       816         771       726
Premises and equipment    1,719      1,680     1,541       1,588     1,630
Other Assets              5,347      3,754     4,657       4,491     4,572

Total assets            138,357    127,982   122,661     122,732   125,236

Noninterest bearing
 deposits                28,665     21,769    20,506      20,820    24,423
Interest bearing
 deposits                87,552     91,448    88,270      87,874    87,352

Total deposits          116,217    113,217   108,776     108,694   111,775

Fed Funds Purchased
 and Repurchase
 Agreements               7,771        934       621         714       820
Other Liabilities           441        483       401         585       379

Total liabilities       124,429    114,634   109,798     109,993   112,974

Shareholders' equity     13,928     13,348    12,863      12,739    12,262


                                       Quarter Ending
                       Dec 31,    Sept. 30,  June 30,  March 31,   Dec 31,
NONPERFORMING ASSETS     2008       2008      2008       2008       2007

Nonaccrual loans       $      0  $       0  $      0  $        0  $      0
Restructured loans     $      0  $       0  $      0  $        0  $      0
Other real estate &
 foreclosed assets     $      0  $       0  $      0  $        0  $      0
Accruing loans past
 due 90 days or more   $      0  $       0  $      0  $        0  $      0
Total nonperforming
 assets                $      0  $       0  $      0  $        0  $      0

Accruing loans past
 due 30-89 days        $      0  $     152  $      5  $        0  $      0

Total nonperforming
 assets as a
 percentage of loans
 and foreclosed assets     0.00%      0.00%     0.00%       0.00%     0.00%




                            TRINITY BANK N.A.
                               (Unaudited)
              (Dollars in thousands, except per share data)

                                         Quarter Ending
ALLOWANCE FOR            Dec 31,   Sept. 30,  June 30,  March 31,   Dec 31,
 LOAN LOSSES              2008       2008       2008       2008      2007

Balance at beginning
 of period             $    861  $     816  $    771  $      726  $    681
Loans charged off             0          0         0           0         0
Loan recoveries               0          0         0           0         0
Net (charge-offs)
 recoveries                   0          0         0           0         0
Provision for loan
 losses                      45         45        45          45        45
Balance at end of
 period                $    906  $     861  $    816  $      771  $    726

Allowance for loan
 losses as a percentage
 of total loans            1.36%      1.31%     1.31%       1.49%     1.44%
Allowance for loan
 losses as a percentage
 of nonperforming loans     N/A        N/A       N/A         N/A       N/A
Net charge-offs
 (recoveries) as a
 percentage of average
 loans                      N/A        N/A       N/A         N/A       N/A
Provision for loan
 losses as a percentage
 of average loans          0.07%      0.07%     0.08%       0.08%     0.09%



 Quarter Ending
                         Dec 31,   Sept. 30,  June 30,  March 31,   Dec 31,
SELECTED RATIOS           2008       2008       2008       2008      2007

Return on average
 assets (annualized)       1.11%      1.14%     1.11%       1.06%     1.02%

Return on average
 equity (annualized)      10.94%     10.92%    10.61%      10.41%    10.10%

Average shareholders'
 equity to average
 assets                   10.16%     10.48%    10.49%      10.14%    10.09%

Yield on earning
 assets (tax
 equivalent)               5.20%      5.21%     5.17%       5.58%     6.30%

Cost of interest
 bearing funds             2.43%      2.33%     2.37%       3.04%     3.85%

Net interest margin
 (tax equivalent)          3.37%      3.45%     3.39%       3.26%     3.44%

Efficiency ratio (tax
 equivalent)              45.98%     48.13%    49.27%      50.70%    52.53%

End of period book
 value per common
 share                    12.56      12.04     11.60       11.49     11.06

End of period common
 shares outstanding       1,109      1,109     1,109       1,109     1,109



                            TRINITY BANK N.A.
                               (Unaudited)
              (Dollars in thousands, except per share data)

                                   12 Months Ending
                  December 31, 2008               December 31, 2007
                                      Tax                            Tax
                                     Equiva-                        Equiva-
YIELD       Average                   lent   Average                 lent
 ANALYSIS   Balance   Interest Yield  Yield  Balance  Interest Yield Yield

Interest
 Earning
 Assets:
Short term
 investment   22,570       787 3.49%  3.49%   23,546     1,231 5.23%  5.23%
Investment
 securities   15,627       634 4.06%  4.06%   29,319     1,327 4.53%  4.53%
Tax Free
 securities   22,874       739 3.23%  4.66%    2,125        78 3.67%  5.29%
Loans         59,360     3,771 6.35%  6.35%   47,511     3,911 8.23%  8.23%

Total Interest
 Earning
 Assets      120,431     5,931 4.92%  5.20%  102,501     6,547 6.39%  6.42%

Noninterest
 Earning
 Assets:
Cash and
 due from
 banks         3,641                           3,751
Other
 assets        2,589                           2,531
Allowance
 for loan
 losses         (815)                           (630)

Total
 Noninterest
 Earning
 Assets        5,415                           5,652

Total
 Assets     $125,846                        $108,153

Interest
 Bearing
 Liabilities:
Transaction
 and Money
 Market
 accounts     63,529     1,259 1.98%  1.98%   51,740     2,002 3.87%  3.87%
Certificates
 and other
 time
 deposits     25,461       925 3.63%  3.63%   20,713       960 4.63%  4.63%
Other
 borrowings    1,795        21 1.17%  1.17%    2,612       113 4.33%  4.33%

Total
 Interest
 Bearing
 Liabilities  90,785     2,205 2.43%  2.43%   75,065     3,075 4.10%  4.10%

Noninterest
 Bearing
 Liabilities
Demand
 deposits     21,651                          20,937
Other
 liabilities     429                             522
Shareholders'
 Equity       12,981                          11,629

Total
 Liabilities
 and
 Shareholders
 Equity     $125,846                        $108,153

Net Interest
 Income and
 Spread                  3,726 2.50%  2.77%              3,472 2.29%  2.32%

Net Interest
 Margin                        3.09%  3.37%                    3.39%  3.42%



                            TRINITY BANK N.A.
                               (Unaudited)
              (Dollars in thousands, except per share data)

                                      Dec 31              Dec 31
                                       2008        %       2007        %
LOAN PORTFOLIO

Commercial and industrial             36,280     54.38%   30,179     59.71%
Real estate:
Commercial                            10,883     16.31%    6,975     13.80%
Residential                            9,886     14.82%    6,509     12.88%
Construction and development           5,993      8.98%    4,788      9.47%
Consumer                               3,673      5.51%    2,094      4.14%

Total loans (gross)                   66,715    100.00%   50,545    100.00%

Unearned discounts                         0      0.00%        0      0.00%

Total loans (net)                     66,715    100.00%   50,545    100.00%


                                      Dec 31              Dec 31
                                       2008                2007
REGULATORY CAPITAL DATA
Tier 1 Capital                      $ 13,658            $ 12,259
Total Capital (Tier 1 + Tier 2)     $ 14,564            $ 12,985
Total Risk-Adjusted Assets          $ 69,395            $ 65,729
Tier 1 Ratio                           16.09%              18.65%
Total Capital Ratio                    17.16%              19.76%
Tier 1 Leverage Ratio                  10.26%              10.25%

OTHER DATA
Full Time Equivalent
Employees (FTE's)                         14                  15

Stock Price Range
(For the Twelve Months Ended):
High                                $  20.00            $  20.00
Low                                 $  20.00            $  18.00
Close                               $  20.00            $  20.00

Contact Information

  • For information contact:
    Richard Burt
    Executive Vice President
    Trinity Bank
    817-763-9966