Shore Community Bank Announces Fourth Quarter and Full Year 2007 Earnings

TOMS RIVER, N.J., Feb. 5  /PRNewswire-FirstCall/ -- Shore Community Bank (OTC:SHRC) (BULLETIN BOARD: SHRC)  today reported a net loss of $16,176 for the fourth quarter of 2007, compared to net income of $289,417 for the fourth quarter of 2006.  On a diluted basis, the net loss per share for the fourth quarter of 2007 was .01 cent compared to net income per share of 17 cents for the fourth quarter of 2006.

The Bank also reported net income of $429,552 for the year ended December 31, 2007, a 62.4 percent decrease from the $1,143,193 reported for the same period in 2006.  On a diluted basis, earnings per share for the year 2007 were 26 cents compared to 69 cents reported for 2006.

Theodore D. Bessler, President and Chief Executive Officer stated, "Our performance for 2007 is a direct reflection of the economic issues that are having an effect on the financial industry at large.  Even though the bank has no sub-prime mortgage issues, we must always continue to be diligent in our real estate lending and deposit pricing standards."

The Bank's total assets at December 31, 2007 were $201.6 million compared to $195.0 million at December 31, 2006, representing a 3.4 percent increase in total assets.  Total loans at December 31, 2007 stood at $157.3 million compared to $145.2 million at December 31, 2006, an increase of 8.3 percent. Total deposits grew 3.7 percent to $173.9 million at December 31, 2007 compared to $167.7 million at December 31, 2006.

Mr. Bessler stated, "Last fall the bank spent a great deal of time, energy, and finances in changing the bank's sales and credit culture, along with a new enhanced marketing budget for 2008. We will take advantage of opportunities that present themselves in the marketplace within Ocean County. We believe that with the changes made and increased media promotion, the bank will attract new relationships and retain our current customer base as we grow."

Shore Community Bank is traded on the OTCBB (Over the Counter Bulletin Board) under the symbol SHRC.

Shore Community Bank operates five banking offices, three located in Toms River, one in Ortley Beach, and one in Jackson, New Jersey.  The Bank was founded in 1997 by a group of local business leaders to return community-based banking to the Toms River, Ocean County, New Jersey area.

Information in this release relating to Shore Community Bank's future prospects which are forward-looking statements involve risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the following: (1) operating, legal and regulatory risks, such as continued levels of loan quality and origination volume, continued relationships with major customers and technological changes; (2) economic, political and competitive forces affecting our banking business, such as changes in economic conditions, especially in our market area, interest rate fluctuations, competitive product and pricing pressures within our market, personal and corporate bankruptcies, monetary policy and inflation; (3) our ability to grow internally or through acquisitions; and (4) the risk that management's analyses of these risks and forces could be incorrect and/or that the strategies developed to address them could be unsuccessful. Forward- looking statements may be identified by the use of words such as "expects," "believe," "will," "intends," "will be" or "would." Shore Community Bank assumes no obligation to update the forward-looking information in this announcement, except as required under applicable law. 

DATASOURCE: Shore Community Bank



CONTACT:  Robert English, EVP-CFO-COO of Shore Community Bank,

[phone]



Web site:  http://www.shorecommunitybank.com/ 

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