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Porter Bancorp, Inc. Files Second Quarter 2010 10-Q

^{Published on 2010-08-16 13:20:22 - Market Wire}
 

LOUISVILLE, Ky.--([ BUSINESS WIRE ])--Porter Bancorp, Inc. (NASDAQ: PBIB), parent company of PBI Bank, announced today that it filed its 10-Q with the Securities and Exchange Commission for the second quarter ended June 30, 2010. The filing included an aother than temporary impairmenta™ (OTTI) charge of $465,000 for the second quarter ended June 30, 2010, that was not included in the Companya™s financial results previously reported on July23,2010. The addition of the OTTI charge for the quarter ended June 30, 2010, reduced non-interest income to $1,497,000 from the previously reported $1,962,000, increased the net loss to $1,131,000 from the previously reported $829,000, and increased the net loss available to common shareholders to $1,614,000, or $0.19 per fully diluted share, from the previously reported $1,310,000, or $0.15 per fully diluted share. The OTTI charge is reflected in the revised income statement included with this release for the three and six months ended June 30, 2010. For a more detailed review of the second quarter 2010 OTTI charge, please refer to Porter Bancorpa™s 10-Q for the quarter ending June 30, 2010, as filed with the Securities and Exchange Commission.

The Company determined that the OTTI charge should be included in its second quarter 2010 results after reviewing stock price trends in June, July and August following the release of its financial results on July 23, 2010. After the review, the Company determined that it could not objectively assert that its basis in these equity securities that have been in an unrealized loss position greater than 12 months was recoverable in the near term. As such, for the second quarter, the Company recorded an OTTI charge totaling $465,000 for equity securities held in its portfolio with an original cost of $1.6 million. The market prices of the stocks have been below the Companya™s initial investment for more than twelve months and after consideration of the issuersa™ financial conditions and the likelihood the market value would recover to the Companya™s cost basis in a reasonable period of time, the investments were written down to fair value.

About Porter Bancorp, Inc.

Porter Bancorp, Inc., a bank holding company headquartered in Louisville, Kentucky, had $1.8billion in assets as of June 30, 2010. Through Portera™s subsidiary PBI Bank, it operates 18 full service banking offices in Kentucky. Porter Bancorpa™s common stock is traded on the Nasdaq Global Market under the symbol aPBIB.a

Forward-Looking Statements

Statements in this press release relating to Porter Bancorpa™s plans, objectives, expectations or future performance are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on managementa™s current expectations. Porter Bancorpa™s actual results in future periods may differ materially from those currently expected due to various risks and uncertainties, including those discussed under aRisk Factorsa in the Companya™s Form 10-K and subsequent periodic reports filed with the Securities and Exchange Commission. The forward-looking statements in this press release are made as of the date of the release and Porter Bancorp does not assume any responsibility to update these statements.

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