1st Colonial Bancorp Announces Increases in Assets (Up 14.1%), Loans (Up 16.6%) and Deposits (Up 14.3%)

  
    
  
  
    
      Gerry Banmiller, the President and Chief Executive Officer of 1st 
      Colonial Bancorp, Inc. (OTCBB:FCOB), holding company of 1st 
      Colonial National Bank, today announced that the company had grown to 
      $225.6 million in assets at September 30, 2008, an increase of 
      $27.9 million from September 30, 2007, including a $20.0 million 
      increase in loans to $141.3 million. He also announced that deposits 
      were $194.0 million, an increase of $24.2 million or 14.3% from 
      September 30, 2007. Said Banmiller: “Our 
      growth in 2008, in face of recessionary pressures and other economic 
      challenges, is a positive commentary on the strength of our sound 
      community banking model.”
    
    
      The company also reported its results of operations for the nine and 
      three month periods ended September 30, 2008. For the nine months, net 
      income was $653,000, an increase of 9.6% or $57,000 from the comparable 
      period in 2007. Additionally, diluted earnings per share increased to 
      $0.23 for the nine-months ended September 30, 2008 from $0.20 for the 
      nine-months ended September 30, 2007. Net interest income increased 
      19.5% or $763,000 for the nine month period ended September 30, 2008 
      over 2007’s results. Other income increased 
      $273,000 or 62.8% to $708,000 for the nine month period ended September 
      30, 2008. Death benefits received from bank owned life insurance 
      accounted for $232,000 of that increase and gains on investment 
      securities sold accounted for $31,000. Non-interest expense also 
      increased $657,000 or 19.7% from the comparable period in 2007. Salaries 
      and benefits accounted for $289,000 of the increase largely because of 
      an increase in staff to accommodate our growth; occupancy and equipment 
      expense increased by $115,000 due to our new administrative 
      headquarters; FDIC and OCC assessments increased by $109,000 due to an 
      increase in assessment rates and our growth; postage and delivery 
      increased by $29,000; and professional fees increased by $31,000.
    
    
      1st Colonial’s 
      provision for loan losses increased by $573,000 to $705,000 for the nine 
      months ended September 30, 2008 compared to the $132,000 provision for 
      the nine months ended September 30, 2007. This increase was prompted by 
      overall economic conditions causing impairment in the value of real 
      estate collateral, and some slowing of contractual payments on certain 
      real estate secured loans.
    
    
      1st Colonial also reported that its net income 
      for the three months ended September 30, 2008 decreased 39.8% or $94,000 
      to $142,000, as the $595,000 increase in the loan loss reserve provision 
      to $622,000 was only partially offset by the $232,000 in death benefit 
      proceeds, an increased tax benefit of $227,000 and gains on investment 
      securities sold of $28,000. Additionally, diluted earnings per share 
      decreased from $0.08 for the quarter ended September 30, 2007 to $0.05 
      for the quarter ended September 30, 2008. The earnings per share numbers 
      stated herein for all periods have been adjusted to reflect the 5% stock 
      dividends paid on April 15, 2008 and April 16, 2007.
    
    
      Highlights as of September 30, 2008 and September 30, 2007, and 
      comparing the nine and three months ended September 30, 2008 and the 
      nine and three months ended September 30, 2007, respectively (all 
      unaudited), include the following (dollars in thousands, except per 
      share data):
    
    
      
        
        
        
           
        
        
        
        
           
        
        
        
        
           
        
        
        
        
           
        
        
        
      
      
        
        
        
        
        
          At
        
        
        
        
          At
        
        
        
        
          $ increase/
        
        
        
        
          % increase/
        
      
      
        
        
        
        
        
          September 30, 2008
        
        
        
        
          September 30, 2007
        
        
        
        
          (decrease)
        
        
        
        
          (decrease)
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Total assets
        
        
        
        
          $
        
        
          225,608
        
        
        
        
        
        
          $
        
        
          197,663
        
        
        
        
        
        
          $
        
        
          27,945
        
        
        
        
        
        
          14.1
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Total loans
        
        
        
        
        
        
          141,329
        
        
        
        
        
        
        
        
          121,259
        
        
        
        
        
        
        
        
          20,070
        
        
        
        
        
        
          16.6
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Total deposits
        
        
        
        
        
        
          194,004
        
        
        
        
        
        
        
        
          169,801
        
        
        
        
        
        
        
        
          24,203
        
        
        
        
        
        
          14.3
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Shareholders' equity
        
        
        
        
        
        
          21,744
        
        
        
        
        
        
        
        
          21,273
        
        
        
        
        
        
        
        
          471
        
        
        
        
        
        
          2.2
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
        
        
        
        
          For the nine months ended
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
          $ increase/
        
        
        
        
          % increase/
        
      
      
        
        
        
        
        
          September 30, 2008
        
        
        
        
          September 30, 2007
        
        
        
        
          (decrease)
        
        
        
        
          (decrease)
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Net interest income
        
        
        
        
          $
        
        
          4,668
        
        
        
        
        
        
          $
        
        
          3,905
        
        
        
        
        
        
          $
        
        
          763
        
        
        
        
        
        
          19.5
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Provision for loan losses
        
        
        
        
        
        
          705
        
        
        
        
        
        
        
        
          132
        
        
        
        
        
        
        
        
          573
        
        
        
        
        
        
          434.1
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Other income
        
        
        
        
        
        
          708
        
        
        
        
        
        
        
        
          435
        
        
        
        
        
        
        
        
          273
        
        
        
        
        
        
          62.8
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Non-interest expense
        
        
        
        
        
        
          3,994
        
        
        
        
        
        
        
        
          3,337
        
        
        
        
        
        
        
        
          657
        
        
        
        
        
        
          19.7
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Tax benefit (expense)
        
        
        
        
        
        
          (24
        
        
          )
        
        
        
        
        
        
          (275
        
        
          )
        
        
        
        
        
        
          (251
        
        
          )
        
        
        
        
          91.3
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Net income
        
        
        
        
        
        
          653
        
        
        
        
        
        
        
        
          596
        
        
        
        
        
        
        
        
          57
        
        
        
        
        
        
          9.6
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Earnings per share, diluted
        
        
        
        
          $
        
        
          0.23
        
        
        
        
        
        
          $
        
        
          0.20
        
        
        
        
        
        
          $
        
        
          0.03
        
        
        
        
        
        
          15.0
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
        
        
        
        
          For the three months ended
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
          $ increase/
        
        
        
        
          % increase/
        
      
      
        
        
        
        
        
          September 30, 2008
        
        
        
        
          September 30, 2007
        
        
        
        
          (decrease)
        
        
        
        
          (decrease)
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Net interest income
        
        
        
        
          $
        
        
          1,615
        
        
        
        
        
        
          $
        
        
          1,367
        
        
        
        
        
        
          $
        
        
          248
        
        
        
        
        
        
          18.1
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Provision for loan losses
        
        
        
        
        
        
          622
        
        
        
        
        
        
        
        
          27
        
        
        
        
        
        
        
        
          595
        
        
        
        
        
        
          2,203.7
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Other income
        
        
        
        
        
        
          415
        
        
        
        
        
        
        
        
          143
        
        
        
        
        
        
        
        
          272
        
        
        
        
        
        
          190.2
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Non-interest expense
        
        
        
        
        
        
          1,386
        
        
        
        
        
        
        
        
          1,140
        
        
        
        
        
        
        
        
          246
        
        
        
        
        
        
          21.6
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Tax benefit (expense)
        
        
        
        
        
        
          120
        
        
        
        
        
        
        
        
          (107
        
        
          )
        
        
        
        
        
        
          227
        
        
        
        
        
        
          212.1
        
        
          %
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Net income
        
        
        
        
        
        
          142
        
        
        
        
        
        
        
        
          236
        
        
        
        
        
        
        
        
          (94
        
        
          )
        
        
        
        
          (39.8
        
        
          %)
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
      
        
          Earnings per share, diluted
        
        
        
        
          $
        
        
          0.05
        
        
        
        
        
        
          $
        
        
          0.08
        
        
        
        
        
        
          $
        
        
          (0.03
        
        
          )
        
        
        
        
          (37.5
        
        
          %)
        
      
      
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
           
        
      
    
    
      1st Colonial National Bank, the subsidiary of 1st 
      Colonial Bancorp, provides a range of business and consumer financial 
      services, placing emphasis on customer service, access to decision 
      makers and quick turnaround on credit applications. Headquartered in 
      Collingswood, New Jersey, the Bank also has branches in the New Jersey 
      communities of Westville and Cinnaminson. To learn more, call (856) 
      858-8402 or visit www.1stcolonial.com.
    
    
      This Release contains forward-looking statements that are not historical 
      facts and include statements about management’s 
      strategies and expectations about our business. There are risks and 
      uncertainties that may cause our actual results and performance to be 
      materially different from results indicated by these forward-looking 
      statements. Factors that might cause a difference include economic 
      conditions; changes in interest rates, deposit flows, loan demand, and 
      real estate values; competition; changes in accounting principles, 
      policies or guidelines; changes in laws or regulation; new technology 
      and other factors affecting our operations, pricing, products and 
      services.