HOOD RIVER, OR--(Marketwire - Mar 5, 2012) - CenterPointe Community Bank (PINKSHEETS: [ CENP ]), headquartered in Hood River, Oregon, announced 2011 fiscal year net income of $703,000 before tax benefit; and net income of $1,203,000 after recognizing a $500,000 tax benefit resulting from partial reversal of the Bank's deferred tax valuation allowance.

Financial Highlights - Fiscal Year Ending December 31, 2011:

Total Assets $80.2 million - up 12.8%
Gross Loans $57.4 million - up 7.0%
Total Deposits $68.0 million - up 6.6%
Net Interest Margin 5.22% - up 14 basis points
Excellent Asset Quality - no loan delinquencies; no non-accrual loans; no other real estate owned
Bank remains comfortably "Well Capitalized" - as measured by regulatory guidelines

In announcing the Bank's second annual profit, Mahlon Vigesaa, CenterPointe's President and Chief Executive Officer, said, "CenterPointe Community Bank enjoyed another successful year; even though the economy continues to progress slowly we were happy with the respectable growth achieved in both loans and deposits. CenterPointe has generated profits for seven consecutive quarters allowing us to recognize an additional deferred tax benefit that relates to the initial operating losses sustained during the Bank's formative years, 2007-2009. As a result, year-over-year earnings increased from $0.52 to $1.03 per share."

CenterPointe's Chief Financial Officer, Jim Fortner, added, "The Bank's balance sheet has stabilized and our deposit mix improved significantly; locally sourced core deposits increased nearly $9.0 million allowing for brokered and wholesale deposits to decrease by $4.7 million -- the net difference being the more modest overall deposit growth of 6.6%." Commenting on the Bank's asset quality, Britt Thomas, the Bank's Chief Credit Officer, indicated, "There continues to be consistent performance from the loan portfolio -- as credit quality remains solid our Allowance for Loan Losses at 1.26% of gross loans is reasonable and sufficient at this time."

Over the past year CenterPointe has increased its deposit market share within the Columbia River Gorge region and has implemented a "Buy Local, Bank Local" theme in its marketing strategy. Additionally, CenterPointe recently obtained regulatory approval for expanding its physical presence into the Bingen/White Salmon, Washington market located immediately across the Columbia River from Hood River, Oregon. CenterPointe intends to occupy the previous First Independent Bank branch location by initially providing ATM and night depository services beginning summer 2012.

ABOUT CENTERPOINTE COMMUNITY BANK
CenterPointe Community Bank (PINKSHEETS: [ CENP ]) is a State of Oregon chartered and FDIC insured community bank. Initially opened September 2007, the Bank is headquartered in Hood River, Oregon, with a second full service branch office located in The Dalles, Oregon. CenterPointe Community Bank is the only local community bank headquartered in the Columbia River Gorge region. Its designated service area encompasses Wasco and Hood River counties in Oregon, and Klickitat County in Washington.

Additional information about CenterPointe Community Bank, including its products, services, banking locations and financial information is available at [ www.centerpointebank.com ]


CENTERPOINTE COMMUNITY BANK FINANCIAL HIGHLIGHTS
(All amounts in 000's, except per share data)
(unaudited)

EARNINGS AND PER SHARE DATA

For the Three Months Ended	December 31,			December 31,						%
	2011			2010			Change			Change

Interest income	$	1,070		$	1,036		$	34		3.3	%
Interest expense		68			148			(80	)	-54.1	%
Net interest income		1,002			888			114		12.8	%
Provision for loan losses		-			-			-		nm
Non-interest income (1)		41			31			10		32.3	%
Non-interest expense		822			768			54		7.0	%
Pre-tax income		221			151			70		46.4	%
Income Tax Expense (Benefit)		(500	)		(300	)		(200	)	66.7	%
Net income (loss)	$	721		$	451		$	270		59.9	%

Basic and diluted earnings per share	$	0.63		$	0.40		$	0.23		57.5	%

Average shares outstanding - basic		1,149,242			1,137,036			12,206		1.1	%
Average shares outstanding - diluted		1,151,313			1,137,036			14,277		1.3	%

For the Twelve Months Ended	December 31,			December 31,						%
	2011			2010			Change			Change

Interest income	$	4,250		$	3,825		$	425		11.1	%
Interest expense		326			590			(264	)	-44.7	%
Net interest income		3,924			3,235			689		21.3	%
Provision for loan losses		140			163			(23	)	-14.1	%
Non-interest income (1)		111			166			(55	)	-33.1	%
Non-interest expense		3,192			2,947			245		8.3	%
Pre-tax income		703			291			412		141.6	%
Income Tax Expense (Benefit)		(500	)		(300	)		(200	)	66.7	%
Net income (loss)	$	1,203		$	591		$	612		103.6	%

Basic and diluted earnings per share	$	1.05		$	0.52		$	0.53		101.9	%

Average shares outstanding - basic		1,145,720			1,126,507			19,213		1.7	%
Average shares outstanding - diluted		1,149,704			1,126,507			23,197		2.1	%

(1) Includes net gain on sale of securities during 2010 of $10 for the three months ending 12/31/2010 and $83 for the twelve months ending 12/31/2010. There were no security sales during the twelve months ending 12/31/2011.


SELECTED FINANCIAL RATIOS
(annualized)
	December 31,		December 31,
For the Three Months Ended	2011		2010		Change

Net interest margin	4.89	%	5.07	%	(0.18	)
Return on average equity	38.63	%	28.45	%	10.18
Return on average assets	3.32	%	2.46	%	0.86
Efficiency ratio (1)	78.81	%	83.57	%	(4.76	)

	December 31,		December 31,
For the Twelve Months Ended	2011		2010		Change

Net interest margin	5.22	%	5.08	%	0.14
Return on average equity	17.08	%	9.87	%	7.21
Return on average assets	1.52	%	0.88	%	0.64
Efficiency ratio (1)	79.11	%	86.65	%	(7.54	)

Notes:
(1) Non-interest expense divided by net interest income plus non-interest income


CENTERPOINTE COMMUNITY BANK FINANCIAL HIGHLIGHTS
(All amounts in 000's, except per share data)
(unaudited)

BALANCE SHEET	December 31,			December 31,						%
	2011			2010			Change			Change

Cash and due from banks	$	2,063		$	2,643		$	(580	)	-21.9	%
Fed funds sold		410			5,530			(5,120	)	-92.6	%
Time deposits		2,477			2,494			(17	)	nm
Investment securites available-for-sale		15,255			5,488			9,767		178.0	%
Gross loans		57,466			53,704			3,762		7.0	%
Allowance for loan losses		(728	)		(636	)		(92	)	14.5	%
Loans, net of allowance for loan losses		56,738			53,068			3,670		6.9	%
Other assets		3,236			1,857			1,379		74.3	%
Total assets	$	80,179		$	71,080		$	9,099		12.8	%

Non-interest-bearing deposits	$	26,756		$	16,714		$	10,042		60.1	%
Interest-bearing deposits		41,283			47,094			(5,811	)	-12.3	%
Total deposits		68,039			63,808			4,231		6.6	%
Borrowings		4,000			-			4,000		nm
Other liabilities		134			618			(484	)	-78.3	%
Stockholders' equity		8,006			6,654			1,352		20.3	%
Total liabilities and stockholders' equity	$	80,179		$	71,080		$	9,099		12.8	%

Period end shares outstanding		1,153,600			1,139,464			14,136		1.2	%

Book and tangible book value per share	$	6.94		$	5.84		$	1.10		18.8	%

Contributing Sources

Market Wire

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CenterPointe Community Bank Reports 2011 Profit

CenterPointe Community Bank Reports 2011 Profit