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FPB Financial Corp.: FPB Financial Corp., Inc. Announces It Has Received $3.24 Million as an Approved Participant in the U.S. T

^{Published on 2009-01-26 10:46:50, Last Modified on 2009-01-26 10:47:27 - Market Wire}
 

HAMMOND, LA--(Marketwire - January 26, 2009) - FPB Financial Corp., Inc. (the "Company") (PINKSHEETS: [ FPBF ]), the parent company of Florida Parishes Bank (the "Bank"), announced today that it has received $3.24 million as a participant in the U.S. Treasury Department's Capital Purchase Program. The Company issued 3,240 shares of Series A Preferred Stock and 162 shares of Series B Preferred stock.

Ronnie Fugarino, President and Chief Executive Officer of Florida Parishes Bank, characterized the Company's participation in the program by saying, "We are pleased that our financial strength qualified our Company to participate in the program. We view this as a vote of confidence by the U.S. Treasury in our Company, our management and our employees. Florida Parishes Bank has been an active, community-based lender for 87 years. This additional capital money will enable us to provide even greater support for the economic development of the communities we serve."

Mr. Fugarino stated, "This addition to the Bank's current $12 million of capital will allow Florida Parishes Bank to build on our strong local lending programs. FPB over the past three years has increased net lending to individuals and businesses by $47.7 million, and our mortgage loan department has originated $79.7 million of residential loans. We now have increased capacity and desire to lend to credit worthy customers and applicants."

Before receiving the funds under the Capital Purchase Program, Florida Parishes Bank was well-capitalized as measured by all regulatory guidelines. On December 31, 2008, the Company's Tier 1 Leverage Capital Ratio was 6.96% and its Total Risk-Based Capital Ratio was 11.38%. The addition of new capital through the Treasury's CPP will increase the Company's Tier 1 Leverage Capital Ratio to approximately 8.65% and Total Risk-Based Capital Ratio to approximately 13.70%. The Series A and Series B Preferred stock issued by the Company will pay a quarterly dividend to the U.S. Treasury.