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Bank of Santa Clarita Reports Second Quarter 2010 Results with Continuing Strong Earnings and Credit Quality

^{Published on 2010-07-29 11:00:44 - Market Wire}
 

SANTA CLARITA, Calif.--([ BUSINESS WIRE ])--Bank of Santa Clarita (OTCBB: BSCA) today announced financial results for the second quarter of 2010.

"We are pleased to report our financial results for the second quarter of 2010"

Bank of Santa Clarita, the only commercial bank headquartered in the Santa Clarita Valley, reported that its earnings continue to improve, as net earnings for the second quarter of 2010 totaled $111,000 as compared to $90,000 for the second quarter of 2009. Net earnings for the six months ended June 30, 2010 have significantly improved, with the Bank reporting $271,000 as compared to $129,000 for the first six months of 2009. The Bank also reported increasing core earnings, with pre-tax earnings for the three- and six-month periods ending June 30, 2010 totaling $59,000 and $144,000, respectively, as compared to pre-tax losses of $106,000 and $198,000 for the respective periods of 2009.

The Bank has experienced a significant growth in deposits, with total deposits of $131 million at June 30, 2010 exceeding the $119 million at December 31, 2009 and the $105 million at June 30, 2009, by $12 million or 10%, and $26 million or 25%, respectively.

aWe are pleased to report our financial results for the second quarter of 2010,a said James D. Hicken, President and Chief Executive Officer. aWe continue to remain profitable during this difficult economic time and will continue to focus on maintaining the strong liquidity and credit quality that the Bank has experienced to date. Our loan portfolio is performing well as evidenced by a very low level of nonaccrual loans, totaling only $49,000 at June 30, 2010. In addition, the Bank continues to attract many new clients as a result of our positive financial performance and recent branch expansion.a

At June 30, 2010, shareholdersa™ equity was $20.2 million and the Banka™s total risk-based regulatory capital ratio was 15.86%, exceeding the awell-capitalizeda level of 10% prescribed under regulatory requirements. The Bank also continues to maintain substantial liquidity positions, retaining significant balances of liquidity on its balance sheet as well as available collateralized borrowings and other potential sources of liquidity.

Bank of Santa Clarita, founded in 2004, is the only independent, full service commercial bank headquartered in Santa Clarita and generally serves the needs of retail consumers, small to mid-sized businesses, professionals, entrepreneurs, and high-net worth individuals. The Bank provides local, experienced decision-making and the personalized service that growing businesses need on a daily basis. Bank clients have direct access to executive management and professional staff members to address their SBA and other credit requirements, and also technology-based services that include online bill-paying, remote capture depositing, check imaging and initiating online wire transfers, among other cash management facilities, which services enable its clients to effectively and efficiently manage their cash and credit needs.

Bank of Santa Clarita, Corporate Headquarters
27433 Tourney Road, Suite 150
Santa Clarita, California 91355
661-362-6004
[ www.bankofsantaclarita.com ]

FORWARD LOOKING STATEMENTS

Certain matters discussed in this release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to the Banka™s current expectations regarding deposit and loan growth, operating results and the strength of the local economy. These forward-looking statements are subject to certain risks and uncertainties that could cause the actual results, performance or achievements to differ materially from those expressed, suggested or implied by the forward-looking statements. These risks and uncertainties include, but are not limited to: the impact of changes in interest rates, a decline in economic conditions and increased competition among financial service providers as these factors may impact the Banka™s operating results, its ability to attract deposit and loan customers, the quality of the Banka™s earning assets and government regulation. The Bank does not undertake, and specifically disclaims, any obligation to update any forward-looking statements to reflect occurrences or unanticipated events or circumstances after the date of such statements.