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First Northern Community Bancorp Posts
Record Earnings in 2003
Fourth Quarter Report
First Northern Community Bancorp (FNRN), holding company for First
Northern Bank, today announced record earnings for year-end 2003. Net
income as of December 31, 2003 was $6,111,000 up 6.87% from the
$5,718,000 reported in 2002. The annual diluted earnings per share of
$1.65 was up 9.27%, compared to $1.51 per share earned in 2002. Return
on Average Assets was 1.18%, compared to 1.25% at the end of 2002.
Annualized Return on Beginning Core Equity was 15.25%, up from 14.79%
reported one year ago.
Total assets at December 31, 2003 were $558.7 million, an increase of
$63.5 million, or 12.82%, over year-end 2002. Total deposits ended the
year at $498.8 million, up $56.6 million or 12.80% from 2002, and net
loans increased $24.1 million or 6.79% to $379.1 million.
Owen "John" Onsum, President and Chief Executive Officer stated, "We
are pleased to report another record earnings year for the Company. We
attribute our success during this period of low interest rates and
economic uncertainty to our ability to attract new deposits while
maintaining our favorable deposit mix, a continued growth in loans,
and an increase in market share. The year was definitely not without
its challenges. The agricultural economy continued to suffer from the
lack of pricing power and increased expenses, resulting in additional
allocations to loan loss reserves to reflect the increased risk
associated with this type of lending; a tremendous amount of resources
were committed to managing the cross-currents associated with the
mortgage refinance phenomenon and interest rate volatility; and just
when it was felt the interest rates couldn’t get any lower, the Fed
dropped them again, putting an even greater squeeze on our margins.”
Net income for the three months ending December 31, 2003 was $1.4
million, compared to the $1.5 million earned in the same period in
2002. Diluted earnings per share for the quarter was $.37, compared to
$.40 per share earned in 2002.
At their regular meeting on January 22, 2004, the Board of Directors
of First Northern Community Bancorp declared a 6% stock dividend,
payable March 31, 2004 to shareholders of record as of February 27,
2004. All income per share amounts have been adjusted to give
retroactive effect to the stock dividend. This dividend represents the
39th consecutive year the Company has paid a stock dividend.
First Northern Bank, an independent community bank headquartered in
Solano County since 1910, serves Solano, Yolo and parts of Sacramento,
Placer and El Dorado Counties. First Northern currently has 10
branches located in Dixon, Davis, West Sacramento, Fairfield,
Vacaville, Winters, Woodland, Suisun City and Sacramento. The Bank has
real estate lending offices in Davis, Woodland, Vacaville, Roseville
and El Dorado Hills, and has an SBA Loan Office and full service Trust
Department in Sacramento. First Northern also offers non-FDIC insured
Investment and Brokerage Services at each branch location. The Bank
can be found on the Web at www.thatsmybank.com.
Forward-Looking Statements
This press release may include certain "forward-looking statements"
about First Northern Community Bancorp (the "Company"). These
forward-looking statements are based on management's current
expectations and are subject to certain risks, uncertainties and
changes in circumstances. Actual results may differ materially from
these expectations due to changes in global political, economic,
business, competitive, market and regulatory factors. More detailed
information about these risk factors is contained in the Company's
most recent reports filed with the Securities and Exchange Commission
on Forms 10-K, 10-Q and 8-K, each as it may be amended from time to
time, which identify important risk factors that could cause actual
results to differ materially from those contained in the
forward-looking statements. The financial information contained in
this release should be read in conjunction with the consolidated
financial statements and notes thereto included in the Company's most
recent reports on Form 10-K and Form 10-Q. The Company undertakes no
obligation to update these forward-looking statements to reflect
events or circumstances arising after the date on which they are made.
For further information regarding the Company, please read the
Company's reports filed with the SEC and available at www.sec.gov. |
