SOURCE: Trinity Bank

February 25, 2008 19:05 ET

Trinity Bank Achieves Significant Milestones in Fourth Full Year of Operation

FORT WORTH, TX--(Marketwire - February 25, 2008) - Trinity Bank, N.A. (OTCBB: TYBT) today announced financial results for the fourth quarter and the twelve months ending December 31, 2007.

Results of Operations

Trinity Bank, N.A. announced Net Income After Taxes of $304,622 or $.26 per diluted common share for the fourth quarter of 2007, compared to $199,767 or $.17 per diluted common share for the fourth of 2006.

For the year 2007, Net Income After Taxes amounted to $1,036,699 or $.90 per diluted common share, compared to $887,691, or $.76 per diluted common share for the year 2006.

Jeffrey M. Harp, President, stated, "Operating results for the fourth quarter of 2007 represents our thirteenth consecutive quarter of increased pre-tax profit. In our fourth full year of operation, we were able to achieve several significant milestones.

1. For the fourth quarter of 2007 (annualized), Trinity Bank earned for the
   first time in excess of 1% Return on Assets and 10% Return on Equity.
2. Trinity Bank averaged over $100,000,000 in Total Assets for the first
   time in 2007.
3. Trinity Bank's annual Net Income After Taxes exceeded $1,000,000 for the
   first time in 2007.

"In spite of the competitive environment and the recent slowdown in the national economy, Trinity Bank continues to produce results by remaining focused on growth, profitability, and quality."

Average for Quarter Ending

(in 000's)                      12-31-07   12-31-06     %
                                --------   --------   -----

Loans                           $ 50,053   $ 38,992   28.4%
Deposits                        $106,124   $ 72,743   45.9%

Actual for Quarter Ending

Net Interest Income             $    942   $    723   30.3%
Non-Interest Income                   67         60   11.7%
Non-Interest Expense                 530        461   14.9%
Loan Loss Provision                   45         39   15.4%

Pre Tax Income                  $    434   $    283   53.4%
Income Tax                      $    129   $     83   55.4%
Net Income                      $    305   $    200   52.5%

Trinity Bank, N.A. is a commercial bank that began operations May 28, 2003. For a full financial statement, visit Trinity Bank's website: www.trinitybk.com. 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 to loan losses and the estimations of values of collateral and various financial assets and liabilities, that the cost 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 hold 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 obligations 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     2007      2006     Change     2007      2006    Change

Interest income     1,745     1,442      21.0%    6,547     4,788     36.7%
Interest
 expense              803       719      11.7%    3,075     2,138     43.8%
Net Interest
 Income               942       723      30.3%    3,472     2,650     31.0%

Provision for
 Loan Losses           45        39      15.4%      180       132     36.4%

Service charges
 on deposits           28        17      64.7%      106        75     41.3%
Other income           39        43      -9.3%      214       172     24.4%
Total Non
 Interest
 Income                67        60      11.7%      320       247     29.6%

Salaries and
 benefits
 expense              324       286      13.3%    1,107       999     10.8%
Occupancy and
 equipment
 expense               91        83       9.6%      352       312     12.8%
Other expense         115        92      25.0%      600       483     24.2%
Total Non
 Interest
 Expense              530       461      15.0%    2,059     1,794     14.8%

Earnings before
 income taxes         434       283      53.4%    1,553       971     59.9%
Provision for
 income taxes         129        83      55.4%      516        83    521.7%
Net Earnings          305       200      52.5%    1,037       888     16.8%

Basic earnings
 per share           0.28      0.18      55.6%     0.94      0.80     17.5%
Basic weighted
 average shares
 outstanding        1,109     1,109               1,109     1,109

Diluted
 earnings per
 share               0.26      0.17      52.9%     0.90      0.76     18.4%
Diluted
 weighted
 average shares
 outstanding        1,157     1,161               1,156     1,166



                    Average for Quarter         Average for Twelve Months
BALANCE SHEET   Ending December 31,         %  Ending December 31,       %
 SUMMARY             2007      2006    Change      2007      2006   Change

Total loans     $  50,053  $ 38,992      28.4% $ 47,511  $ 35,823     32.6%
Total short
 term
 investments       27,011    18,654      44.8%   23,546    16,915     39.2%
Total
 investment
 securities        36,569    33,807       8.2%   31,444    25,847     21.7%

Earning assets    113,633    91,453      24.3%  102,501    78,585     30.4%

Total assets      119,646    96,189      24.4%  108,154    83,247     29.9%

Noninterest
 bearing
 deposits          23,620    17,344      36.2%   20,937    16,036     30.6%
Interest
 bearing
 deposits          82,504    55,399      48.9%   72,452    50,525     43.4%

Total deposits    106,124    72,743      45.9%   93,389    66,561     40.3%

Shareholders'
 equity            12,078    10,996       9.8%   11,629    10,603      9.7%



                            Average for Quarter Ending
BALANCE SHEET     Dec. 31  Sept. 30,  June 30, March 31,   Dec 31,
 SUMMARY             2007      2007      2007      2007      2006

Total loans     $  50,053  $ 50,328  $ 46,530  $ 42,976  $ 38,992
Total short
 term
 investments       27,011    22,927    24,676    19,493    18,654
Total
 investment
 securities        36,569    30,778    26,955    31,151    33,807

Earning assets    113,633   104,033    98,161    93,620    91,453

Total assets      119,646   109,844   103,889    99,017    96,189

Noninterest
 bearing
 deposits          23,620    21,396    20,411    18,258    17,344
Interest
 bearing
 deposits          82,504    75,546    69,933    61,561    55,399

Total deposits    106,124    96,942    90,344    79,819    72,743

Repurchase
 Agreements           849       663     1,519     7,511    12,084

Shareholders'
 equity            12,078    11,725    11,486    11,215    10,996


                                   Quarter Ended
HISTORICAL        Dec. 31  Sept. 30,  June 30, March 31,   Dec 31,
 EARNINGS SUMMARY    2007      2007      2007      2007      2006

Interest income     1,745     1,721     1,602     1,479     1,442
Interest
 expense              803       804       752       716       719
Net Interest
 Income               942       917       850       763       723

Provision for
 Loan Losses           45        45        45        45        39

Service charges
 on deposits           28        25        28        24        17
Other income           39        51        52        73        43
Total Non
 Interest
 Income                67        76        80        97        60

Salaries and
 benefits
 expense              324       278       248       257       286
Occupancy and
 equipment
 expense               91        91        87        83        83
Other expense         115       161       178       147        92
Total Non
 Interest
 Expense              530       530       513       487       461

Earnings before
 income taxes         434       418       372       328       283
Provision for
 income taxes         129       147       128       111        83
Net Earnings          305       271       244       217       200



                                 Ending Balance
HISTORICAL        Dec. 31  Sept. 30,  June 30, March 31,   Dec 31,
 BALANCE SHEET       2007      2007      2007      2007      2006


Total loans     $  50,545  $ 50,936  $ 48,392  $ 46,189  $ 42,465
Total short
 term
 investments       25,654    24,235    24,256    18,417    18,598
Total
 investment
 securities        43,561    31,685    27,907    32,817    29,750

Total earning
 assets           119,760   106,856   100,555    97,423    90,813

Allowance for
 loan losses          726       681       636       591       546
Premises and
 equipment          1,630     1,677     1,723     1,767     1,804
Other Assets        4,572     5,126     4,780     3,776     4,393

Total assets      125,236   112,978   106,422   102,375    96,464

Noninterest
 bearing
 deposits          24,423    22,487    19,963    19,028    18,239
Interest
 bearing
 deposits          87,352    77,319    73,738    63,807    57,072

Total deposits    111,775    99,806    93,701    82,835    75,311

Repurchase
 Agreements           820       732       756     7,595     7,594
Other
 Liabilities          379       494       388       543       414

Total
 liabilities      112,974   101,032    94,845    90,973    83,319

Shareholders'
 equity            12,262    11,946    11,577    11,402    11,144



                                  Quarter Ending
NONPERFORMING      Dec. 31 Sept. 30,  June 30, March 31,   Dec 31,
 ASSETS               2007     2007      2007      2007      2006

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


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




                                   Quarter Ending
ALLOWANCE FOR     Dec. 31  Sept. 30,  June 30, March 31,   Dec 31,
 LOAN LOSSES         2007      2007      2007      2007      2006

Balance at
 beginning of
 period         $     681  $    636  $    591  $    546  $    507
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        39
Balance at end
 of period      $     726  $    681  $    636  $    591  $    546

Allowance for
 loan losses
 as a percentage
 of total loans      1.44%     1.34%     1.31%     1.22%     1.29%
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               0.09%     0.08%     0.09%     0.09%     0.10%



                                    Quarter Ending
                   Dec. 31  Sept. 30,  June 30, March 31,   Dec 31,
SELECTED RATIOS       2007      2007      2007      2007      2006

Return on
 average assets
 (annualized)        1.02%     0.99%     0.94%     0.88%     0.83%

Return on
 average equity
 (annualized)       10.10%     9.25%     8.50%     7.74%     7.28%

Average
 shareholders'
 equity to
 average assets     10.09%    10.67%    11.06%    11.33%    11.43%

Yield on
 earning assets      6.42%     6.62%     6.53%     6.32%     6.31%

Cost of
 interest
 bearing funds       4.10%     4.22%     4.21%     4.15%     4.27%

Net interest
 margin (tax
 equivalent)         3.42%     3.53%     3.46%     3.26%     3.16%

Efficiency
 ratio              52.53%    53.37%    55.16%    56.63%    58.87%

End of period
 book value per
 common share       11.06     10.77     10.44     10.28     10.05

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



                                     Twelve Months Ending
                      December 31, 2007              December 31, 2006

                  Average                       Average
YIELD ANALYSIS    Balance  Interest     Yield   Balance  Interest    Yield

Interest
 Earning
 Assets:
Short term
 investment        23,546     1,231      5.23%   16,915       872     5.16%
Investment
 securities        31,444     1,405      4.58%   25,847     1,101     4.26%
Loans              47,511     3,908      8.23%   35,822     2,815     7.86%

Total Interest
 Earning Assets   102,501     6,544      6.42%   78,584     4,788     6.09%

Noninterest
 Earning
 Assets:
Cash and due
 from banks         3,751                         2,859
Other assets        2,657                         2,276
Allowance for
 loan losses         (630)                         (473)

Total
 Noninterest
 Earning Assets     5,778                         4,662

Total Assets    $ 108,177                      $ 83,246

Interest
 Bearing
 Liabilities:
Transaction and
 Money Market
 accounts          51,740     2,002      3.87%   36,093     1,261     3.49%
Savings
 deposits               0         0      0.00%        0         0     0.00%
Certificates
 and other time
 deposits          20,713       960      4.64%   14,807       613     4.14%
Other
 borrowings         2,612       113      4.33%    5,870       264     4.50%

Total Interest
 Bearing
 Liabilities       75,065     3,075      4.10%   56,770     2,138     3.77%

Noninterest
 Bearing
 Liabilities
Demand deposits    20,937                        15,661
Other
 liabilities          546                           213
Shareholders'
 Equity            11,629                        10,602

Total
 Liabilities
 and
 Shareholders
 Equity         $ 108,177                      $ 83,246

Net Interest
 Income and
 Spread                       3,469      2.32%              2,650     2.33%

Net Interest
 Margin
 (includes
 non-interest                            3.42%                        3.37%
 bearing
 accounts)


                  Dec. 31             Dec. 31
                     2007          %     2006          %
LOAN PORTFOLIO

Commercial and
 industrial        30,179     59.71%   23,688     55.78%
Real estate:
  Commercial        6,975     13.80%    7,281     17.15%
  Residential       6,509     12.88%    7,042     16.58%
  Construction
   and
   development      4,788      9.47%    2,686      6.33%
Consumer            2,094      4.14%    1,768      4.16%

Total loans
 (gross)           50,545    100.00%   42,465    100.00%

Unearned
 discounts              0      0.00%        0      0.00%

Total loans
 (net)             50,545    100.00%   42,465    100.00%


                  Dec. 31             Dec. 31
                     2007                2006
REGULATORY
 CAPITAL DATA
Tier 1 Capital  $  12,259            $ 11,222
Total Capital
 (Tier 1 + Tier
 2)             $  12,985            $ 11,768
Total
 Risk-Adjusted
 Assets         $  65,729            $ 53,117
Tier 1 Ratio        18.65%              21.13%
Total Capital
 Ratio              19.76%              22.15%
Tier 1 Leverage
 Ratio              10.25%              11.67%

OTHER DATA
Full Time
 Equivalent
 Employees
 (FTE's)               15                  13

Stock Price
 Range
 (For the
 Quarter
 Ended):
  High          $   20.00            $  20.00
  Low           $   18.00            $  15.25
  Close         $   20.00            $  20.00






Trinity Bank, N.A.
Actual vs Projection
Year ending 12/31/07

INTEREST RATES & MARGINS


EARNING ASSETS                            Average      Income        Yield

INVESTMENTS
Due From Financial Institutions          23,545,599   1,230,532     5.2262%
Agency securities                        31,444,821   1,405,350     4.5791%
   TOTAL INVESTMENTS                     54,990,420   2,635,882     4.8562%

LOANS
Commercial loans                         26,467,448   2,259,313     8.5362%
Real estate loans                        19,242,227   1,505,347     7.8231%
Consumer loans                            1,767,525     143,462     8.1165%
   GROSS LOANS                           47,477,200   3,908,122     8.2316%

   TOTAL EARNING ASSETS                 102,467,620   6,544,004     6.4201%

LIABILITIES                               Average      Expense       Cost

DEPOSITS
Transaction and money market             51,739,658   2,001,802     3.8690%
CD's                                     20,713,040     960,314     4.6363%
Repurchase Agreements                     2,611,998     113,037     4.3276%
   TOTAL INTEREST-BEARING                75,064,696   3,075,153     4.0967%

Demand Deposits                          20,936,775           0     0.0000%

COST TO FUND EARNING ASSETS             102,467,620   3,075,153     3.0011%

   Yield on Earning Assets                                          6.4201%
   Cost of Interest Bearing Deposits                                4.0967%
SPREAD                                                              2.3235%

   Yield on Earning Assets                                          6.4201%
   Cost of Funds                                                    3.0011%
MARGIN                                                              3.4190%




Trinity Bank, N.A.
Actual vs Projection
Year ending 12/31/07

INTEREST RATES & MARGINS


EARNING ASSETS                            Average       Income       Yield

INVESTMENTS
Due From Financial Institutions          23,545,599   1,230,533     5.2262%
Municipal                                 2,125,431      78,356     5.3121%
Agency securities                        29,063,145   1,315,181     4.5253%
Corporate Bonds                             256,245      11,813     4.6100%
Federal funds sold                        4,864,194     252,189     5.1846%
FRB Stock                                   327,561      19,958     6.0929%
   TOTAL INVESTMENTS                     60,182,175   2,908,030     4.8894%

LOANS
Commercial loans                         26,467,448   2,259,313     8.5362%
Real estate loans                        19,242,227   1,505,347     7.8231%
Consumer loans                            1,767,525     143,462     8.1165%
   GROSS LOANS                           47,477,200   3,908,122     8.2316%

   TOTAL EARNING ASSETS                 107,659,375   6,816,152     6.3633%

LIABILITIES                               Average      Expense        Cost

DEPOSITS
Transaction                              10,889,899     316,119     2.9029%
Money market                             40,849,759   1,685,683     4.1265%
CD's < $100,000                           4,537,002     213,580     4.7075%
CD's > $100,000                          16,176,038     746,734     4.6163%
Repurchase Agreements                     2,611,998     113,037     4.3276%
   TOTAL INTEREST-BEARING                75,064,696   3,075,153     4.0967%

Demand Deposits                          20,936,774           0     0.0000%

COST TO FUND EARNING ASSETS             107,659,375   3,075,153     2.8564%

   Yield on Earning Assets                                          6.3633%
   Cost of Interest Bearing Deposits                                4.0967%
SPREAD                                                              2.2666%

   Yield on Earning Assets                                          6.3633%
   Cost of Funds                                                    2.8564%
MARGIN                                                              3.5069%


Contact Information

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