-- Net interest income increased 7% compared to both the third quarter of
2010 and the fourth quarter of 2009
-- Average earning assets grew 16% compared to the third quarter of 2010,
and 36% compared to the fourth quarter of 2009
-- Net interest margin (tax equivalent) of 2.52%, a decrease of 22 basis
points compared to the third quarter of 2010 and 68 basis points
compared to the fourth quarter of 2009
-- Nonperforming assets increased $28.6 million compared to the third
quarter of 2010 to $43.4 million, or 7.04% of total assets
-- Provision for loan losses increased $2.1 million to $8.2 million
compared to the third quarter of 2010 related to the effects of
extended economic weakness on the loan portfolio
-- Net charge-offs increased $7.0 million compared to the third quarter of
2010 to $9.0 million
-- Capital levels remain strong as tangible common equity as a percentage
of tangible assets decreased slightly to 28.75% from 29.06% in the
third quarter of 2010
-- Net loss of $4.5 million, or $0.16 per diluted share, compared to a net
loss of $3.7 million, or $0.23 per diluted share, in the third quarter
of 2010 and net income of $118,000, or $0.02 per diluted share, in the
fourth quarter of 2009
Full Year Highlights:
-- Successfully completed public offering generating $140.2 million in net
proceeds, positioning Park Sterling well to take advantage of
consolidation opportunities in the Carolinas and Virginia
-- Expanded management team and reconstituted board of directors
-- Implemented new operating strategy whereby Park Sterling seeks to reach
a consolidated asset size between $8 billion and $10 billion over the
next several years through acquisitions and organic growth
-- Refined loan loss allowance methodology resulting in more comprehensive
analysis of potential loan losses
-- Net loss of $7.9 million, or $0.58 per diluted share, compared to net
income of $577,000, or $0.12 per diluted share, for the year ended
December 31, 2009
"During the fourth quarter of 2010, we continued reviewing our loan
portfolio, with a particular emphasis on our higher risk (lower internal
grade) exposures in light of the continued economic downturn that persists
across North Carolina and shifting borrower behaviors," said Jim Cherry,
Chief Executive Officer. "This process intensified in the fourth quarter.
As a result of this extensive review, we prudently added $28.8 million to
our nonperforming loans, and charged off $9.0 million. This was a
purposeful exercise that positions us to better pursue our strategy of
acquiring regional and community banks in the Carolinas and Virginia as
well as growing organically. Out of the $42.1 million in nonperforming
loans, approximately $23.0 million continue to pay according to their
agreed upon terms. We believe that our actions were appropriate in the
face of the current economic environment. As we saw last quarter, the shift
in customer behavior and capacity, whereby borrowers who were once strong
with solid liquidity and equity are now becoming increasingly stressed, has
expanded as the downturn continues.
"Even with this increase in nonperforming loans and charge-offs in the
fourth quarter, we are executing on our growth strategy. We started 2011 by
bringing on Emory Ware, a banker with 25 years of experience operating in
South Carolina, as our South Carolina Market President to lead our
expansion into the Charleston, Greenville/Spartanburg, and Columbia, South
Carolina markets. We also continue to have an active pipeline of potential
partner banks in all three of our target markets, and are confident in our
ability to achieve our objectives."
Fourth Quarter 2010 Financial Highlights
Asset Quality
Nonperforming loans increased to $42.1 million, or 10.53% of total loans,
compared to $13.4 million, or 3.36% of total loans, as of September 30,
2010. Nonperforming assets totaled $43.4 million, or 7.04% of total
assets, up from $14.8 million, or 2.34% of total assets, as of September
30, 2010.
The provision for loan losses increased $2.1 million, to $8.2 million,
compared to the third quarter of 2010. The increase in the provision for
loan losses directly resulted from the effects of extended economic
weakness on the loan portfolio, which included an increase in both net
charge-offs and nonperforming loans. Net charge-offs increased to $9.0
million, or 8.97% of average loans on an annualized basis, compared to $2.0
million, or 1.98% of average loans (annualized) in the prior quarter. The
allowance for loan losses was $12.4 million, or 3.11% of total loans, a
decrease of $800,000 from $13.2 million, or 3.31% of total loans, at
September 30, 2010. The allowance represented 29.50% of nonperforming loans
(including restructured loans) at December 31, 2010, down from 98.46% at
September 30, 2010. The decrease in the allowance resulted primarily from
net charge-offs on previously identified impaired loans with specific
reserves.
Net Interest Income and Net Interest Margin
Compared to both the third quarter of 2010 and the fourth quarter of 2009,
net interest income increased 7% to $3.9 million from $3.6 million,
primarily due to an increased level of average earning assets. On a
sequential basis, average earning assets rose 16% which more than offset a
22 basis point decrease in the net interest margin (tax equivalent), to
2.52%. The increase in average earning assets was due to a $73.6 million
increase in taxable investment securities through utilization of net
proceeds from the common stock offering. The decrease in the net interest
margin primarily resulted from interest reversals on nonaccrual loans,
which accounted for 21 basis points of net interest margin. Compared to the
prior year period, average earning assets increased 36%, as taxable
investment securities increased $96.9 million, which more than offset a 68
basis point decrease in the net interest margin (tax equivalent). The
decrease in the net interest margin was due to the increase in investment
securities which were lower yielding assets. Interest reversals on
nonaccrual loans also impacted the net interest margin on a year-over-year
basis, which accounted for eight basis points of the net interest margin
decrease.
Non-Interest Income
Non-interest income increased $17,000 compared to the third quarter of 2010
and $29,000 compared to the fourth quarter of 2009. The growth in
non-interest income compared to both prior periods was primarily related to
a $14,000 gain on the disposition of assets.
Non-Interest Expense
Non-interest expense increased 19% compared to the third quarter of 2010,
and 71% compared to the fourth quarter of 2009. The increase in expenses
compared to both prior periods was primarily related to a $337,000 increase
in salaries and employee benefits related to the management expansion and
addition of new employees. Also included in non-interest expenses was
$165,000 of due diligence-related expenses as well as $328,000 of non-cash
stock option expense.
Balance Sheet and Capital
Total assets decreased $16.5 million, or 3%, compared to the third quarter
of 2010, primarily due to a decrease in fed funds sold resulting from the
release of $11.9 million of brokered CDs as well as a decrease in other
time deposits. Compared to the fourth quarter of 2009, total assets grew
$142.3 million, or 30%, resulting from increases in the investment
portfolio and fed funds sold due to the completion of the Bank's initial
public offering during the third quarter of 2010.
Compared to the third quarter of 2010, total loans increased $2.2 million,
or 1%, to $399.8 million, primarily due to modest growth in commercial real
estate and commercial and industrial loans, partially offset by decreases
in construction loans. Total loan balances increased $2.3 million, or 1%,
compared to the fourth quarter of 2009, as growth in commercial real estate
and commercial and industrial loans more than offset continued runoff in
higher risk construction and development loans. Construction and
development loans decreased 11% compared to the third quarter of 2010, and
24% compared to the fourth quarter of 2009.
Total deposits decreased $9.3 million, or 2%, compared to the third quarter
of 2010. This decrease in deposits was primarily due to the release of
$11.9 million of brokered CDs. Compared to the fourth quarter of 2009,
total deposits increased $15.2 million, or 4%, resulting from a $12.2
million increase in demand deposits, a $19.6 million increase in money
market deposits, and a $14.8 million increase in core CDs, partially offset
by the release of $29.2 million in brokered CDs. Core deposits as a
percentage of total deposits were 74%, compared to 72% in the third quarter
of 2010 and 66% in the fourth quarter of 2009.
Stockholders' equity decreased $6.7 million to $177.1 million compared to
$183.8 million at September 30, 2010, primarily resulting from the fourth
quarter 2010 net loss of $4.5 million. Stockholders' equity increased
$131.0 million compared to the fourth quarter of 2009 as a result of the
August 2010 common stock offering. Tangible common equity as a percentage
of tangible assets was 28.75%, a slight decrease from 29.06% at September
30, 2010, and an increase compared to 9.73% at December 31, 2009.
Conference Call
A conference call will be held at 8:30 a.m., ET this morning (1/19/11).
The conference call can be accessed by dialing (877) 317 6789 and
requesting the Park Sterling Bank earnings call. Listeners should dial in
10 minutes prior to the start of the call. The live webcast and
presentation slides will be available on www.parksterlingbank.com under
Investor Relations, "Investor Presentations."
A replay of the webcast will be available on www.parksterlingbank.com under
Investor Relations, "Investor Presentations" shortly following the call. A
replay of the conference call can be accessed one hour after the call
through February 9, 2011, by dialing (877) 344 7529, conference number
447401.
About Park Sterling Corporation
Park Sterling Corporation is the holding company for Park Sterling Bank,
headquartered in Charlotte, North Carolina. The Bank's primary focus is to
provide banking services to small and mid-sized businesses, owner-occupied
and income producing real estate owners, professionals and consumers doing
business or residing within its target markets. Park Sterling Bank is
committed to building a banking franchise across the Carolinas and Virginia
that is noted for sound risk management, superior client service and
exceptional client relationships. For more information, visit
www.parksterlingbank.com. Park Sterling's shares are traded on NASDAQ under
the symbol PSTB.
Non-GAAP Measures
Tangible assets, tangible common equity, tangible book value and related
ratios, as used throughout this release, are non-GAAP financial measures.
For additional information, see "Reconciliation of Non-GAAP Measures" in
the accompanying tables.
Cautionary Statement Regarding Forward-Looking Statements
This news release contains, and Park Sterling and its management may make,
certain statements that constitute "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. These
statements can be identified by the fact that they do not relate strictly
to historical or current facts and often use words such as "may," "plan,"
"contemplate," "anticipate," "believe," "intend," "continue," expect,"
"project," "predict," "estimate," "could," "should," "would," "will,"
"goal," "target" and similar expressions. The forward-looking statements
made represent Park Sterling's current expectations, plans or forecasts of
its future results and condition, including expectations regarding its new
business strategy of engaging in bank mergers and organic growth and
anticipated asset size, refinement of the loan loss allowance methodology,
recruiting of key leadership positions, decreases in construction and
development loans and other changes in loan mix, changes in deposit mix,
capital and liquidity levels, emerging regulatory expectations and
measures, net interest income, credit trends and conditions, including loan
losses, allowance, charge-offs, delinquency trends and nonperforming asset
levels, and other similar matters. These statements are not guarantees of
future results or performance and involve certain risks and uncertainties
that are based on our beliefs and assumptions and on the information
available to us at the time that these disclosures were prepared. Actual
outcomes and results may differ materially from those expressed in, or
implied by, any of these forward-looking statements.
You should not place undue reliance on any forward-looking statement and
should consider all of the following uncertainties and risks, as well as
those more fully discussed in any of Park Sterling's filings with the SEC
or FDIC; Park Sterling's inability to identify and successfully negotiate
and complete combinations with potential merger partners or to successfully
integrate such businesses into Park Sterling, including the company's
ability to realize the benefits and cost savings from and limit any
unexpected liabilities acquired as a result of any such business
combination; the effects of negative economic conditions, including stress
in the commercial real estate markets or delay or failure of recovery in
the residential real estate markets; changes in consumer and investor
confidence and the related impact on financial markets and institutions;
changes in interest rates; failure of assumptions underlying the
establishment of our allowance; deterioration in the credit quality of our
loan portfolios or in the value of the collateral securing those loans;
deterioration in the value of securities held in our investment securities
portfolio; legal and regulatory developments; increased competition from
both banks and nonbanks; changes in accounting standards, rules and
interpretations, inaccurate estimates or assumptions in accounting and the
impact on Park Sterling's financial statements; Park Sterling's ability to
attract new employees; and management's ability to effectively manage
credit risk, market risk, operational risk, legal risk, and regulatory and
compliance risk.
Forward-looking statements speak only as of the date they are made, and
Park Sterling undertakes no obligation to update any forward-looking
statement to reflect the impact of circumstances or events that arise after
the date the forward-looking statement was made.
PARK STERLING BANK
SELECTED RATIOS
($ in thousands, except per
share amounts)
December 31, September 30, June 30, March 31, December
2010 2010 2010 2010 31,
(Unaudited) (Unaudited) (Unaudited)(Unaudited) 2009 *
---------- ---------- --------- --------- ---------
ASSET QUALITY
Nonperforming
loans ** $ 42,109 $ 13,356 $ 8,805 $ 4,495 $ 3,888
Nonperforming
assets
(including OREO) 43,355 14,798 9,339 7,561 5,438
Past due 30-59
days - 6,599 343 5,643 594
Past due 60-89
days - 660 1,778 1,188 3,358
Past due 90 days
plus (and still
accruing) - - - 553 -
Nonperforming loans
to total loans 10.53% 3.36% 2.20% 1.14% 0.98%
Nonperforming
assets to total
assets 7.04% 2.34% 1.91% 1.59% 1.15%
Allowance to
total loans 3.11% 3.31% 2.25% 2.12% 1.86%
Allowance to
nonperforming
loans 29.50% 98.46% 101.92% 186.43% 190.38%
Allowance to
nonperforming
assets 28.66% 88.86% 96.09% 110.83% 136.12%
CAPITAL
Book value per
share $ 6.31 $ 6.55 $ 9.43 $ 9.38 $ 9.31
Tangible book
value per share $ 6.31 $ 6.55 $ 9.43 $ 9.38 $ 9.31
Common shares
outstanding 28,051,098 28,051,098 4,951,098 4,951,098 4,951,098
Tier 1 capital $ 178,039 $ 182,234 $ 44,262 $ 45,137 $ 44,877
Tier 2 capital 12,296 12,280 12,167 12,167 12,184
Total risk based
capital 190,339 194,514 56,429 57,304 57,061
Tier 1 ratio 41.85% 43.09% 10.59% 10.78% 10.66%
Total risk based
capital ratio 44.74% 45.99% 13.50% 13.69% 13.55%
Tier 1 leverage
ratio 32.04% 32.80% 9.26% 9.53% 9.40%
Tangible common
equity to
tangible assets 28.75% 29.06% 9.56% 9.77% 9.73%
LIQUIDITY
Net loans to
total deposits 94.99% 92.18% 94.81% 98.21% 99.37%
Liquidity ratio 50.48% 54.99% 19.56% 17.34% 15.81%
Equity to Total
Assets 28.75% 29.06% 9.56% 9.77% 9.73%
INCOME STATEMENT
(THREE MONTH RESULTS)
Return on Average
Assets -2.81% -2.64% 0.14% 0.13% 0.10%
Return on Average
Equity -9.75% -12.80% 1.48% 1.36% 1.01%
Net interest
margin (tax
equivalent) 2.52% 2.74% 3.34% 3.41% 3.20%
INCOME STATEMENT
(ANNUAL RESULTS)
Return on Average
Assets -1.46% n/a n/a n/a 0.13%
Return on Average
Equity -8.00% n/a n/a n/a 1.26%
Net interest
margin (tax
equivalent) 2.95% n/a n/a n/a 2.84%
* Derived from audited financial statements.
** Nonperforming Includes accruing restructured loans.
PARK STERLING BANK
CONDENSED BALANCE SHEETS
($ in thousands)
December 31, September 30, June 30, March 31, December
2010 2010 2010 2010 31,
(Unaudited) (Unaudited) (Unaudited)(Unaudited) 2009 *
---------- ---------- --------- --------- ---------
ASSETS
Cash and due from
banks $ 2,433 $ 11,591 $ 7,785 $ 9,872 $ 6,504
Interest earning
balances at banks 5,040 5,859 2,290 2,790 2,758
Federal funds sold 57,905 96,560 30,860 14,090 13,975
Investment
securities
available-for-sale 140,590 115,357 40,289 43,190 42,567
Loans 399,829 397,658 399,376 394,499 397,564
Allowance for loan
losses (12,424) (13,150) (8,974) (8,380) (7,402)
---------- ---------- --------- --------- ---------
Net loans 387,405 384,508 390,402 386,119 390,162
---------- ---------- --------- --------- ---------
Other real estate
owned 1,246 1,441 534 3,066 1,550
Other assets 21,489 17,314 16,201 15,923 16,339
---------- ---------- --------- --------- ---------
Total assets $ 616,108 $ 632,630 $ 488,361 $ 475,050 $ 473,855
========== ========== ========= ========= =========
LIABILITIES AND
STOCKHOLDERS' EQUITY
Deposits:
Demand noninterest-
bearing $ 36,333 $ 30,468 $ 27,316 $ 26,586 $ 24,085
Money market, NOW
and savings 71,666 72,639 62,568 55,811 52,308
Time deposits 299,821 314,042 321,899 310,769 316,240
---------- ---------- --------- --------- ---------
Total deposits 407,820 417,149 411,783 393,166 392,633
Short-term
borrowings 874 1,100 1,762 7,146 6,989
Long-term
borrowings 20,000 20,000 20,000 20,000 20,000
Subordinated debt 6,895 6,895 6,895 6,895 6,895
Accrued expenses and
other liabilities 3,418 3,639 1,231 1,423 1,243
---------- ---------- --------- --------- ---------
Total liabilities 439,007 448,783 441,671 428,630 427,760
Stockholders'
equity:
Common stock 130,438 130,438 23,023 23,023 23,023
Additional
paid-in
capital 57,102 56,778 23,687 23,600 23,496
Accumulated
deficit (9,501) (4,981) (1,313) (1,485) (1,642)
Accumulated other
comprehensive
income (938) 1,612 1,293 1,284 1,218
---------- ---------- --------- --------- ---------
Total
stockholders'
equity 177,101 183,847 46,690 46,421 46,095
---------- ---------- --------- --------- ---------
Total liabilities
and stockholders'
equity $ 616,108 $ 632,630 $ 488,361 $ 475,050 $ 473,855
========== ========== ========= ========= =========
Common shares
issued and
outstanding 28,051,098 28,051,098 4,951,098 4,951,098 4,951,098
* Derived from audited financial statements.
PARK STERLING BANK
CONDENSED INCOME STATEMENT
TWELVE MONTH RESULTS
($ in thousands, expect per share amounts)
December 31, December 31,
2010 2009 *
(Unaudited)
----------- -----------
Interest income
Loans, including fees $ 20,260 $ 19,710
Federal funds sold 107 41
Taxable investment securities 1,567 1,365
Tax-exempt investment securities 642 533
Interest on deposits at banks 66 19
----------- -----------
Total interest income 22,642 21,668
----------- -----------
Interest expense
Money market, NOW and savings deposits 408 353
Time deposits 5,869 7,968
Short-term borrowings 9 25
Long-term borrowings 563 565
Subordinated debt 758 379
----------- -----------
Total interest expense 7,607 9,290
----------- -----------
Net interest income 15,035 12,378
Provision for loan losses 17,005 3,272
----------- -----------
Net interest income (loss) after provision (1,970) 9,106
Total noninterest income 130 (293)
Noninterest expenses
Salaries and employee benefits 6,442 4,723
Occupancy and equipment 916 820
Advertising and promotion 287 236
Legal and professional fees 445 212
Deposit charges and FDIC insurance 728 965
Data processing and outside service fees 411 395
Directors fees 392 -
OREO expense and loss on sales 411 161
Other noninterest expense 1,025 485
----------- -----------
Total noninterest expenses 11,057 7,997
----------- -----------
Income (loss) before income taxes (12,897) 816
Income tax expense (benefit) (5,038) 239
----------- -----------
Net income (loss) $ (7,859) $ 577
=========== ===========
Earnings (loss) per share, fully diluted $ (0.58) $ 0.12
Weighted average diluted shares 13,558,221 4,951,098
* Derived from audited financial statements.
PARK STERLING BANK
CONDENSED INCOME STATEMENT
THREE MONTH RESULTS
($ in thousands, except per
share amounts)
December 31, September 30, June 30, March 31, December
2010 2010 2010 2010 31,
(Unaudited) (Unaudited)(Unaudited)(Unaudited) 2009 *
---------- ---------- --------- --------- ---------
Interest income
Loans, including
fees $ 4,984 $ 4,963 $ 5,170 $ 5,143 $ 5,148
Federal funds sold 46 42 10 9 15
Taxable investment
securities 587 370 286 324 319
Tax-exempt investment
securities 160 161 161 160 159
Interest on deposits
at banks 16 23 12 15 9
---------- ---------- --------- --------- ---------
Total interest
income 5,793 5,559 5,639 5,651 5,650
---------- ---------- --------- --------- ---------
Interest expense
Money market, NOW
and savings
deposits 132 104 89 83 89
Time deposits 1,435 1,490 1,459 1,485 1,594
Short-term
borrowings 1 1 3 4 6
Long-term
borrowings 140 144 141 138 143
Subordinated debt 188 190 190 190 189
---------- ---------- --------- --------- ---------
Total interest
expense 1,896 1,929 1,882 1,900 2,021
---------- ---------- --------- --------- ---------
Net interest income 3,897 3,630 3,757 3,751 3,629
Provision for loan
losses 8,237 6,143 1,094 1,531 1,418
---------- ---------- --------- --------- ---------
Net interest
income (loss)
after provision (4,340) (2,513) 2,663 2,220 2,211
Total noninterest
income 43 26 23 38 14
Noninterest expenses
Salaries and
employee benefits 2,114 1,777 1,299 1,252 1,165
Occupancy and
equipment 250 236 224 206 194
Advertising and
promotion 50 84 96 57 62
Legal and
professional fees 208 78 80 79 52
Deposit charges and
FDIC insurance 185 184 183 176 375
Data processing and
outside service fees 109 109 100 93 96
Directors fees 182 164 46 - -
OREO expense and
loss on sales 16 120 239 36 4
Other noninterest
expense 434 238 210 143 130
---------- ---------- --------- --------- ---------
Total noninterest
expenses 3,548 2,990 2,477 2,042 2,078
---------- ---------- --------- --------- ---------
Income (loss)
before income taxes (7,845) (5,477) 209 216 147
Income tax expense
(benefit) (3,324) (1,809) 36 59 29
---------- ---------- --------- --------- ---------
Net income (loss) $ (4,521) $ (3,668) $ 173 $ 157 $ 118
========== ========== ========= ========= =========
Earnings (loss) per
share, fully diluted $ (0.16) $ (0.23) $ 0.03 $ 0.03 $ 0.02
Weighted average
diluted shares 28,051,098 15,998,924 4,951,098 4,951,098 4,951,098
* Derived from audited financial statements.
PARK STERLING BANK
SUMMARY OF LOAN PORTFOLIO
($ in thousands)
December 31, September 30, June 30, March 31, December
2010 2010 2010 2010 31,
(Unaudited) (Unaudited) (Unaudited) (Unaudited) 2009 *
---------- ---------- ---------- ---------- --------
Secured by real
estate:
One to four
family
residential $ 44,889 $ 43,791 $ 45,126 $ 44,781 $ 42,782
Commercial real
estate 145,548 133,134 132,482 131,108 126,609
Construction
and development 96,896 109,138 115,075 117,855 127,811
Home equity
line of credit 56,968 58,115 54,982 52,744 52,026
---------- ---------- ---------- ---------- --------
Total real
estate loans 344,301 344,178 347,665 346,488 349,228
---------- ---------- ---------- ---------- --------
Commercial and
industrial 48,401 47,166 45,461 41,693 41,914
Loans to
individuals 7,246 6,412 6,350 6,410 6,535
---------- ---------- ---------- ---------- --------
Total other
loans 55,647 53,578 51,811 48,103 48,449
Deferred fees,
net (119) (98) (100) (92) (113)
---------- ---------- ---------- ---------- --------
Total loans $ 399,829 $ 397,658 $ 399,376 $ 394,499 $397,564
========== ========== ========== ========== ========
* Derived from audited financial statements.
PARK STERLING BANK
ALLOWANCE FOR LOAN LOSSES
THREE MONTH RESULTS
($ in thousands)
December 31, September 30, June 30, March 31, December
2010 2010 2010 2010 31,
(Unaudited) (Unaudited) (Unaudited) (Unaudited) 2009 *
---------- ---------- ---------- ---------- -------
Beginning of
period allowance $ 13,150 $ 8,974 $ 8,380 $ 7,402 $ 7,041
Provision for loan
losses 8,237 6,143 1,094 1,531 1,418
Loans charged-off 9,000 1,986 502 554 1,057
Recoveries of
loans charged-off 37 19 2 1 -
---------- ---------- ---------- ---------- -------
End of period
allowance 12,424 13,150 8,974 8,380 7,402
========== ========== ========== ========== =======
Net loans
charged-off $ 8,963 $ 1,967 $ 500 $ 553 $ 1,057
Annualized net
charge-offs 8.97% 1.98% 0.50% 0.56% 1.06%
PARK STERLING BANK
ALLOWANCE FOR LOAN LOSSES
TWELVE MONTH RESULTS
($ in thousands)
December 31, December 31,
2010 2009 *
(Unaudited)
---------- ----------
Beginning of
period allowance $ 7,402 $ 5,568
Provision for loan
losses 17,005 3,272
Loans charged-off 12,042 1,438
Recoveries of
loans charged-off 59 -
---------- ----------
End of period
allowance 12,424 7,402
========== ==========
Net loans
charged-off $ 11,983 $ 1,438
* Derived from audited financial statements.
PARK STERLING BANK
RECONCILIATION OF NON-GAAP MEASURES
($ in thousands)
December 31, September 30, June 30, March 31, December
2010 2010 2010 2010 31,
(Unaudited) (Unaudited) (Unaudited) (Unaudited) 2009 *
----------- ----------- ----------- ----------- ---------
Tangible assets
Total assets $ 616,108 $ 632,630 $ 488,361 $ 475,050 $ 473,855
Less: intangible
assets - - - - -
----------- ----------- ----------- ----------- ---------
Tangible assets $ 616,108 $ 632,630 $ 488,361 $ 475,050 $ 473,855
=========== =========== =========== =========== =========
Tangible common
equity
Total common
equity $ 177,101 $ 183,847 $ 46,690 $ 46,421 $ 46,095
Less: intangible
assets - - - - -
----------- ----------- ----------- ----------- ---------
Tangible common
equity $ 177,101 $ 183,847 $ 46,690 $ 46,421 $ 46,095
=========== =========== =========== =========== =========
Tangible book
value per share
Tangible common
equity $ 177,101 $ 183,847 $ 46,690 $ 46,421 $ 46,095
Divided by:
period end
outstanding
shares 28,051,098 28,051,098 4,951,098 4,951,098 4,951,098
----------- ----------- ----------- ----------- ---------
Tangible common
book value per
share $ 6.31 $ 6.55 $ 9.43 $ 9.38 $ 9.31
=========== =========== =========== =========== =========
* Derived from audited financial statements.
Contact Information: For additional information contact: David Gaines Chief Financial Officer (704) 716-2134 Investor Relations: Megan Malanga Nvestcom (954) 781-4393 Media: Charlotte Laurent-Ottomane Nvestcom (561) 395-4581