First Federal Bancorp Reports Fourth Quarter Results

First Federal Bancorp Reports Fourth Quarter Results 


ZANESVILLE, Ohio, Nov. 1  /PRNewswire-FirstCall/ -- J. William Plummer,
President, and Chief Executive Officer of First Federal Bancorp, Inc.
(NASDAQ:FFBZ) today reported results for the three months and fiscal year ended
September 30, 2004.

Net income for the fourth quarter 2004 was $0.3 million or $0.10 per diluted
share compared to $0.5 million or $0.15 per diluted share for the same period
last year.  This was principally due to an increase in the provision for loan
losses, reflecting the 11% growth in loans since September 30, 2003 and
repossessed assets due to the weak economy.

J. William Plummer, President and Chief Executive Officer, commented, "During
the three months ended September 30, 2004 loans outstanding increased for the
seventh consecutive quarter compared to the prior year, and we continue to
benefit from a solid balance sheet.  The growth in commercial and small
business loans combined with the increase in deposits during fiscal year 2004
is expected to contribute positively to performance in future periods."

Fourth Quarter Results

Net interest income rose to $2.1 million for the fourth quarter of 2004 from
$2.0 million for the same period last year.  Solid growth in automobile and
home equity loans was partially offset by a modest decline in non- residential
and variable rate mortgage loans.  For the three months ended September 30,
2004, asset yields declined at a faster rate than deposit yields compared to a
year ago.  This resulted in a net interest margin of 3.30% for the fourth
quarter 2004 versus 3.52% for the same period a year ago.

Non-interest income was $0.5 million for the fourth quarter 2004 and 2003.

Non-interest expense was $1.8 million for the fourth quarter 2004 and 2003. 
Lower marketing expenses for the three months ended September 30, 2004 were
offset by higher professional fees related to the pending merger agreement with
Park National Corporation.

Fiscal Year 2004 Results

Net interest income increased to $8.5 million for the twelve months ended
September 30, 2004 from $8.4 million for the same period last year.  Net
interest margin declined to 3.41% from 3.68% a year ago.  Non-interest income
was $1.8 million for fiscal year 2004 and 2003.  Non-interest expense declined
slightly to $7.0 million for fiscal year 2004 compared to $7.1 million for the
same period last year.  Net income was $1.7 million or $0.49 per diluted share
for fiscal year 2004 compared to $1.8 million or $0.54 for fiscal year 2003.

Balance Sheet

Total assets were $258.4 million at September 30, 2004 compared to $234.5
million on the same date in 2003, an increase of 10%.  Net loans receivable
rose 11.0% to $228.1 million at September 30, 2004 from $205.5 million on the
same date last year.  This improvement was principally due to solid growth in
non-residential loans, variable rate mortgages, home equity loans, and
automobile loans, while commercial loans remained stable compared to a year
ago.

Total deposits rose 7.4% to $176.5 million at September 30, 2004 from $164.4
million on the same date last year.  Most of the increase occurred in jumbo
certificates of deposit, which are $100,000 or more per account, from national
sources which enabled the bank to attract deposit funds at lower rates for
longer-terms.

Total shareholders' equity increased 7% to $23.6 million at September 30, 2004
from $22.1 million on the same date last year.  Shareholders' equity rose to
$6.98 per diluted share at year-end 2004 compared to $6.59 on September 30,
2003.

Asset Quality

Non-performing assets were 0.41% of total assets at September 30, 2004 compared
with 0.22% on the same date last year particularly due to the increase in net
loans outstanding and change in loan mix year-over-year.  The loan loss reserve
represented 0.86% of net loans outstanding at September 30, 2004 versus 0.73%
on the same date a year ago.

Special Meeting of Shareholders

A special meeting of the shareholders of First Federal Bancorp, Inc. has been
scheduled for November 8, 2004 at 10:00 a.m. Eastern Standard Time, to consider
and vote upon the adoption of the Agreement and Plan of Merger by and among
Park National Corporation and First Federal Bancorp, Inc.

About First Federal Bancorp, Inc.

First Federal Bancorp, Inc. is the parent company of First Federal Savings Bank
of Eastern Ohio, whose primary markets include Coshocton, Guernsey, Licking,
Morgan, Muskingum, Perry, and Tuscarawas counties.  Additional information is
available by contacting Connie Ayres LaPlante, Treasurer, First Federal
Bancorp, Inc., at [phone].

Statements made in this press release that are not historical facts are
forward-looking statements as defined in the Private Securities Litigation
Reform Act of 1995.  Such forward-looking statements are subject to risks and
uncertainties, which could cause actual results to differ materially from
estimated results.  Such risks and uncertainties are detailed in the Company's
filings with the Securities and Exchange Commission.  All forward-looking
statements made in this press release are based on information presently
available to management.  The Company assumes no obligation to update any
forward-looking statements.

                       FIRST FEDERAL BANCORP, INC.
                           FINANCIAL HIGHLIGHTS

                 (In Thousands, except per share amounts)

                           Three Months Ended       Twelve Months Ended
                              September 30,            September 30,
                           2004         2003         2004         2003
  Selected Operations Data:
  Total Interest Income   $3,409       $3,347      $13,500      $13,915
  Total Interest Expense   1,280        1,298        5,006        5,509

  Net Interest Income     $2,129       $2,049       $8,494       $8,406
  Provision For Loan
    Losses                   244           15          767          270

  Net Interest Income After
    Provision for Loan
    Losses                $1,885       $2,034       $7,727       $8,136
  Noninterest Income         454          515        1,843        1,793
  Noninterest Expense      1,774        1,759        6,996        7,146

  Income Before Income Tax  $565         $790       $2,574       $2,783
  Provision For Income Tax   220          273          914          960

  Net Income                $345         $517       $1,660       $1,823

  Earnings Per Share:
    Basic                  $0.10        $0.16        $0.51        $0.56
    Diluted                $0.10        $0.15        $0.49        $0.54

  Weighted Average Common
   and Common Equivalent
   Shares:
    Basic              3,291,686    3,235,319    3,276,471    3,236,642
    Diluted            3,424,215    3,337,336    3,384,532    3,349,713


                       FIRST FEDERAL BANCORP, INC.
                           FINANCIAL HIGHLIGHTS
                 (In Thousands, except per share amounts)

                                          At September 30,  At September 30,
                                                      2004             2003
  Selected Financial Condition Data:
  Assets                                          $258,395         $234,528
  Loans Receivable - Net                          $228,107         $205,476
  Mortgage-Backed Securities                          $207             $303
  Investment Securities                             $7,096           $8,168
  FHLB Stock                                        $4,981           $4,783
  Deposits                                        $176,482         $164,447
  Total Equity                                     $23,633          $22,078
  Total Equity Per Share                             $6.98            $6.59

                     At or for the Three Months  At or for the Twelve Months
                           Ended September 30,       Ended September 30,
                           2004         2003         2004         2003

  Selected Financial Ratios And Other Data:

  Performance Ratios (Annualized):
    Return on Average
      Assets                .54%         .89%         .67%         .80%
    Return on Average
      Equity               5.95%        9.44%        7.32%        8.44%
    Interest Rate Spread:
      Average During
        Period             3.33%        3.57%        3.45%        3.74%
    Net Interest Margin    3.30%        3.52%        3.41%        3.68%
    Noninterest Expense to
      Average Assets       2.75%        3.03%        2.81%        3.13%

  Quality Ratios:

    Nonperforming Assets to
      Total Assets at
      End of Period         .41%         .22%         .41%         .22%
    Efficiency Ratio      61.04%       67.62%       62.53%       65.57%
    Loan Loss Allowance
      to Net Loans at
      End of Period        0.86%        0.73%        0.86%        0.73%

  Capital Ratios:

    Total Equity to Total
      Assets at End of
      Period               9.15%        9.41%        9.15%        9.41%
    Average Interest-
      earning Assets to
      Average Interest-
      bearing
      Liabilities        107.18%      107.09%      107.16%      106.70%


DATASOURCE: First Federal Bancorp, Inc.



CONTACT:  Connie Ayres LaPlante, Treasurer of First Federal Bancorp,

Inc., [phone]

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