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Bank of Santa Clarita Reports Third Quarter 2010 Results

^{Published on 2010-10-22 14:45:48 - Market Wire}
 

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

"Our reported financial results reflect another solid quarter despite a lackluster economy"

Bank of Santa Clarita, the only commercial bank headquartered in the Santa Clarita Valley, reported that its net earnings for the third quarter of 2010 totaled $194,000 as compared to $218,000 for the third quarter of 2009. Net earnings for the nine months ended September 30, 2010, continued to improve, with the Bank reporting $465,000 as compared to $348,000 for the first nine months of 2009. The Bank also reported increasing core earnings, with pre-tax earnings for the three months ending September 30, 2010 totaling $161,000, as compared to $69,000 for the third quarter of 2009. Similarly, core earnings for the nine months ended September 30, 2010 were $306,000, an improvement over the $128,000 pre-tax loss reported for the nine months ended September 30, 2009.

The Bank has experienced a strong growth in deposits, with deposits totaling $137 million at September 30, 2010, exceeding by $18 million or 15% the $119 million reported at December 31, 2009.

aOur reported financial results reflect another solid quarter despite a lackluster economy,a said James D. Hicken, President and Chief Executive Officer. aWe continue to focus our efforts on long-term strategies that will have a positive impact on both franchise and shareholder value. The Bank remains profitable, continues to reflect a strong capital position in excess of the well-capitalized regulatory guidelines, and maintains a well-performing loan portfolio. This position will allow the Bank to capitalize on opportunities as they may arise in the future.a

At September 30, 2010, shareholdersa™ equity totaled $20.3 million and the Banka™s total risk-based regulatory capital ratio was 16.05%, exceeding the awell-capitalizeda level of 10% which is prescribed in applicable capital regulations. The Bank also continues to maintain substantial liquidity positions, retaining significant balances of liquidity on its balance sheet as well as readily 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 the Santa Clarita Valley 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.

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.