Market Newsdesk

July 28, 2021 9:03 am

MAG Silver Reports Second Quarter Juanicipio Underground Mine Production

VANCOUVER, British Columbia, July 28, 2021 (GLOBE NEWSWIRE) — MAG Silver Corp. (TSX / NYSE American: MAG) (“MAG” or “MAG Silver”) is pleased to report 2021 second quarter production of underground development material from the Juanicipio Project (56% / 44% joint venture between Fresnillo plc (“Fresnillo”) and MAG Silver). As reported to MAG by the project operator Fresnillo, 44,435 tonnes of development material were processed during the quarter ended June 30, 2021. Total Juanicipio production for the quarter based on provisional estimates before offtake agreement adjustments, totaled 434,885 silver ounces and 787 gold ounces (MAG’s attributable 44% interest: 191,349 ounces of silver and 346 ounces of gold). The associated lead and zinc production will be reported with MAG’s second quarter filings.

Mineralized development material from the Juanicipio Project is being processed through the nearby Fresnillo beneficiation plant (100% owned by Fresnillo) with the lead (silver rich) and zinc concentrates treated at market terms under off-take agreements with Met-Mex Peñoles, S.A. de C.V. in Torreón, Mexico. The revenue from this production, net of processing and treatment charges, is being used by the joint venture to offset initial project capital cash requirements.

“We are very pleased with the progress of the Juanicipio plant as we now enter the last stages of construction and would like to draw your attention to the regularly updated construction photos at www.magsilver.com where the impressive work done by Fresnillo can be viewed,” said George Paspalas, MAG Silver’s President and CEO. “The metallurgical results from the ongoing processing of mineralized development materials through the Fresnillo plant continue to de-risk the commissioning and ramp-up stage of the Juanicipio plant later this year, as well as providing a nice side-stream cash injection.”

Construction of the Juanicipio processing plant continues to make good progress, with the mechanical installation of the flotation cells and filters completed in the quarter ended June 30, 2021. According to the operator, Fresnillo, the plant remains on schedule to commence commissioning in Q4 2021. Mineralized development material will continue to be batch processed on commercial terms at a targeted rate of 16,000 tonnes per month at the Fresnillo plant until the Juanicipio plant is commissioned.

Qualified Person: Dr. Peter Megaw, Ph.D., C.P.G., has acted as the Qualified Person as defined in National Instrument 43-101 for this disclosure and supervised the preparation of the technical information in this release. Dr. Megaw has a Ph.D. in geology and more than 38 years of relevant experience focused on ore deposit exploration worldwide. He is a Certified Professional Geologist (CPG 10227) by the American Institute of Professional Geologists and an Arizona Registered Geologist (ARG 21613). Dr. Megaw is not independent as he is Chief Exploration Officer and a Shareholder of MAG.

About MAG Silver Corp. (

www.magsilver.com

)

MAG Silver Corp. (MAG: TSX / NYSE A) is a Canadian development and exploration company focused on becoming a top-tier primary silver mining company by exploring and advancing high-grade, district scale, silver-dominant projects in the Americas. Its principal focus and asset is the Juanicipio Project (44%), being developed in a Joint Venture partnership with Fresnillo Plc (56%), the Operator. Juanicipio is located in the Fresnillo Silver Trend in Mexico, the world’s premier silver mining camp, and the Joint Venture is currently developing an underground mine and constructing a 4,000 tonnes per day processing plant which is expected to commence commissioning in Q4 2021. Underground mine production of development material commenced in Q3 2020, and an expanded exploration program is in place targeting multiple highly prospective targets both at Juanicipio by the Joint Venture and by MAG at the Deer Trail 100% earn-in project in Utah.

Neither the Toronto Stock Exchange nor the NYSE American has reviewed or accepted responsibility for the accuracy or adequacy of this press release, which has been prepared by management.

This release includes certain statements that may be deemed to be “forward-looking statements” within the meaning of the US Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts are forward looking statements, including statements that address future mineral production, reserve potential, exploration drilling, exploitation activities and events or developments. Forward-looking statements are often, but not always, identified by the use of words such as “seek”, “anticipate”, “plan”, “continue”, “estimate”, “expect”, “may”, “will”, “project”, “predict”, “potential”, “targeting”, “intend”, “could”, “might”, “should”, “believe” and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Although MAG believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include, but are not limited to, changes in commodities prices, changes in mineral production performance, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions, political risk, currency risk and capital cost inflation. In addition, forward-looking statements are subject to various risks, including that data is incomplete and considerable additional work will be required to complete further evaluation, including but not limited to drilling, engineering and socio-economic studies and investment. The reader is referred to the Company’s filings with the SEC and Canadian securities regulators for disclosure regarding these and other risk factors. There is no certainty that any forward-looking statement will come to pass and investors should not place undue reliance upon forward-looking statements.

Please Note: Investors are urged to consider closely the disclosures in MAG’s annual and quarterly reports and other public filings, accessible through the Internet at

www.sedar.com

and

www.sec.gov
LEI: 254900LGL904N7F3EL14

For further information on behalf of MAG Silver Corp.

Contact Michael J. Curlook, VP Investor Relations and Communications

Phone: (604) 630-1399
Toll Free: (866) 630-1399
Website: www.magsilver.com
Email: [email protected]

July 28, 2021 9:03 am

Peapack-Gladstone Financial Corporation Reports Strong Second Quarter Results, Driven By Increased Wealth Management Fee Income, Strong Loan Growth And Margin Expansion

Bedminster, NJ, July 28, 2021 (GLOBE NEWSWIRE) — via NewMediaWire — Peapack-Gladstone Financial Corporation (NASDAQ Global Select Market: PGC) (the “Company”) announces its second quarter 2021 results.

This earnings release should be read in conjunction with the Company’s Q2 2021 Investor Update (and Supplemental Financial Information), a copy of which is available on our website at

www.pgbank.com

and
via a current report on Form 8-K on the website of the Securities and Exchange Commission at www.sec.gov.

For the six months ended June 30, 2021, the Company recorded total revenue of $101.14 million, net income of $27.60 million and diluted earnings per share (“EPS”) of $1.42 compared to $90.87 million, $9.62 million and $0.51, respectively, for the same six-month period ended June 30, 2020.

For the quarter ended June 30, 2021, the Company recorded total revenue of $51.52 million, net income of $14.42 million and diluted earnings per share (“EPS”) of $0.74, compared to $44.59 million, $8.24 million and $0.43, respectively, for the same three-month period ended June 30, 2020.

The quarter ended June 30, 2021 included increased noninterest income, principally wealth management income and income from capital markets activities (which includes mortgage banking income, loan level back-to-back swap income, SBA loan income, and corporate advisory fee income) when compared to the same quarter in 2020. The 2021 quarter also included a significantly reduced provision for loan losses when compared to the same quarter last year. The decreased provision in the June 2021 quarter was due to the environment in 2020 created by the COVID-19 pandemic, which led to increased qualitative loss factors when calculating the allowance for loan losses.

The June 2021 quarter included a $1.13 million gain on the sale of Paycheck Protection Program (“PPP”) loans; fee income of $722,000 relating to PPP loan referrals to a third party; and $153,000 of additional BOLI income related to receipt of life insurance proceeds. These positives were substantially offset by a $842,000 cost (included as a negative to noninterest income) related to the termination of two interest rate swaps, and $648,000 of accelerated expense related to the prepayment of $50.0 million of subordinated notes. Both actions will have a positive impact on earnings going forward.

As previously disclosed, on January 28, 2021, the Company authorized the repurchase of up to 948,735 shares, or approximately 5% of its outstanding shares. During the second quarter of 2021 the Company purchased 234,722 shares at an average price of $32.40 for a total cost of $7.60 million under this program. Since announced, the Company has purchased 392,755 shares at an average price of $30.51 for a total cost of $11.98 million under this program.

Douglas L. Kennedy, President and CEO, said, “Our capital is strong and we believe that purchasing the Company’s stock is an opportunity for us to effectively manage our excess capital, while taking advantage of the Company’s valuation relative to peers.”

Mr. Kennedy also said, “During 2021 the Company participated in the 2021 round of the PPP, which provided much needed funding to qualifying small businesses and organizations. During the six months of 2021 we assisted with over $181 million of PPP loans – $57 million processed and funded by the Bank, and another $124 million referred directly to a third party for processing and funding. During the second quarter, the Company sold the $57 million of loans to the same third party to create additional capacity to process our strong loan pipeline.”

EXECUTIVE SUMMARY:

The following tables summarize specified financial measures for the periods shown.

June 2021 Year Compared to Prior Year

	Six Months Ended			Six Months Ended
	June 30,			June 30,			Increase/
(Dollars in millions, except per share data)	2021			2020			(Decrease)
Net interest income	$	65.64		$	63.72		$	1.92			3	%
Wealth management fee income (A)		25.17			19.95			5.22			26
Capital markets activity (B)		5.03			3.85			1.18			31
Other income (C)		5.30			3.35			1.95			58
Total other income		35.50			27.15			8.35			31
Operating expenses (D)		62.28			57.25			5.03			9
Pretax income before provision for loan losses		38.86			33.62			5.24			16
Provision for loan and lease losses (E)		1.13			24.90			(23.77	)		(95	)
Pretax income		37.73			8.72			29.01			333
Income tax expense/(benefit) (F)		10.13			(0.90	)		11.03		N/A
Net income	$	27.60		$	9.62		$	17.98			187	%
Diluted EPS	$	1.42		$	0.51		$	0.91			178	%

Total Revenue (G)	$	101.14		$	90.87		$	10.27			11	%

Return on average assets annualized		0.93	%		0.35	%		0.58
Return on average equity annualized		10.45	%		3.80	%		6.65

The June 2021 six months included wealth management fee income and expense related to the December lift outs of teams from Lucas Capital Management (“Lucas”) and Noyes Capital Management (“Noyes”) – approximately $1.2 million of wealth management fee income and approximately $700,000 of operating expenses were recorded in 2021 from these teams.
Capital markets activity includes loan level back-to-back swap activities, the SBA lending and sale program, corporate advisory activities and mortgage banking activities. There were no fees related to loan level back-to-back swap activities in the six months ended June 30, 2021, compared to $1.6 million in the same 2020 period. The three months ended March 31, 2021 included $1.1 million of corporate advisory fee income related to a large investment banking advisory event which closed in that quarter.
Included a cost of $842,000 related to the termination of interest rate swaps; $1.4 million gain on loans held at lower of cost or fair value; $722,000 of fee income related to the referral of PPP loans to a third party; and $455,000 of additional BOLI income related to receipt of life insurance proceeds.
The 2021 six months included $1.5 million of severance expense related to certain corporate restructuring within several areas of the Bank and $648,000 of expense related to the redemption of subordinated debt.
The 2020 year included a provision for loan and lease losses of $24.9 million, primarily due to the environment at that time created by the COVID-19 pandemic.
The 2020 year included a $3.2 million tax benefit related to the carryback of tax NOLs to prior years when the Federal tax rate was 14% higher.
Total revenue equals net interest income plus total other income.

June 2021 Quarter Compared to Prior Year Quarter

	Three Months Ended			Three Months Ended
	June 30,			June 30,			Increase/
(Dollars in millions, except per share data)	2021			2020			(Decrease)
Net interest income	$	33.85		$	31.97		$	1.88		6	%
Wealth management fee income (A)		13.03			10.00			3.03		30
Capital markets activity (B)		1.46			1.08			0.38		35
Other income (C)		3.18			1.54			1.64		106
Total other income		17.67			12.62			5.05		40
Operating expenses (D)		30.68			29.01			1.67		6
Pretax income before provision for loan losses		20.84			15.58			5.26		34
Provision for loan and lease losses (E)		0.90			4.90			(4.00	)	(82	)
Pretax income		19.94			10.68			9.26		87
Income tax expense		5.52			2.44			3.08		126
Net income	$	14.42		$	8.24		$	6.18		75	%
Diluted EPS	$	0.74		$	0.43		$	0.31		72	%

Total Revenue (F)	$	51.52		$	44.59		$	6.93		16	%

Return on average assets annualized		0.97	%		0.56	%		0.41
Return on average equity annualized		10.86	%		6.56	%		4.30

The June 2021 quarter included a full quarter of wealth management fee income and expense related to the December lift outs of teams from Lucas and Noyes – approximately $625,000 of wealth management fee income and approximately $350,000 of operating expenses were recorded in the 2021 quarter.
Capital markets activity includes loan level back-to-back swap activities, the SBA lending and sale program, corporate advisory activities, and mortgage banking activities.
The quarter ended June 30, 2021 included a cost of $842,000 related to the termination of certain interest rate swaps; a $1.1 million gain on the sale of PPP loans; $722,000 of fee income related to the referral of PPP loans to a third party; and $153,000 of additional BOLI income related to receipt of life insurance proceeds.
The June 2021 quarter includes $648,000 of expense related to the redemption of subordinated debt.
The June 2020 quarter included a provision for loan and lease losses of $4.9 million, primarily due to the environment at that time created by the COVID-19 pandemic.
Total revenue equals net interest income plus total other income.

June 2021 Quarter Compared to Linked Quarter

	Three Months Ended			Three Months Ended
	June 30,			March 31,			Increase/
(Dollars in millions, except per share data)	2021			2021			(Decrease)
Net interest income	$	33.85		$	31.79		$	2.06		6	%
Wealth management fee income		13.03			12.13			0.90		7
Capital markets activity (A)		1.46			3.57			(2.11	)	(59	)
Other income (B)		3.18			2.12			1.06		50
Total other income		17.67			17.82			(0.15	)	(1	)
Operating expenses (C)		30.68			31.59			(0.91	)	(3	)
Pretax income before provision for loan losses		20.84			18.02			2.82		16
Provision for loan and lease losses		0.90			0.23			0.67		291
Pretax income		19.94			17.79			2.15		12
Income tax expense		5.52			4.61			0.91		20
Net income	$	14.42		$	13.18		$	1.24		9	%
Diluted EPS	$	0.74		$	0.67		$	0.07		10	%

Total Revenue (D)	$	51.52		$	49.61		$	1.91		4	%

Return on average assets annualized		0.97	%		0.89	%		0.08
Return on average equity annualized		10.86	%		10.03	%		0.83

Capital markets activity includes loan level back-to-back swap activities, the SBA lending and sale program, corporate advisory and mortgage banking activities. The three months ended March 31, 2021 included $1.1 million of corporate advisory fee income related to a large investment banking advisory event which closed in that quarter.
The quarter ended June 30, 2021 included a cost of $842,000 related to the termination of interest rate swaps; $1.1 million gain on the sale of PPP loans; and $722,000 of fee income related to the referral of PPP loans to a third party; and $153,000 of additional BOLI income related to receipt of life insurance proceeds.
The June 2021 quarter includes $648,000 of expense related to the redemption of subordinated debt. The quarter ended March 31, 2021 included $1.5 million of severance expense related to certain corporate restructuring within several areas of the Bank.
Total revenue equals net interest income plus total other income.

The Company’s near-term priorities include:

Grow and expand our three primary drivers of profitability: Wealth Management, Commercial Banking and Capital Markets businesses.
Maintain loan and deposit pricing discipline to protect and grow our Net Interest Margin.
Continue to execute on our stock repurchase program.
Generate fee income at 35% – 45% of total bank revenue.
Drive ROA to greater than 1% and return on average tangible common equity to greater than 14%.

Highlights of the Company’s quarterly accomplishments follow:

Peapack Private Wealth Management:

AUM/AUA in our Peapack Private Wealth Management Division grew to $9.8 billion at June 30, 2021 (from $8.8 billion at December 31, 2020 and $7.5 billion at December 31, 2019).
Wealth Management Fee Income increased to $13 million for Q2 2021 (compared to $10 million for Q2 2020).
On July 1, 2021, closed on the acquisition of Princeton Portfolio Strategies Group (“PPSG”), a registered investment advisor headquartered in Princeton NJ with approximately $520 million of AUM/AUA.

Commercial Banking and Balance Sheet Management:

During Q2 2021, loans, excluding PPP loans, grew by $293 million (7% growth linked quarter: 28% annualized).
Core deposits (which includes demand, savings and money market) totaled 88% of total deposits at June 30, 2021. The total cost of interest-bearing deposits improved to 0.34% for Q2 2021 compared to 0.40% for Q1 2021. Noninterest bearing DDA (included in core deposits) totaled 20% of total deposits.
Net interest margin improved by 10 basis points in Q2 2021 from Q1 2021.
$50 million of 6% subordinated debt (set to reprice to 5% on July 1, 2021) was fully redeemed on June 30, 2021.
$40 million of interest rate swaps with an all-in cost of approximately 1.50% were terminated.
Sold $57 million of PPP loans recognizing a gain of $1.1 million.
Received $722,000 of fee income in Q2 2021 for the referral of PPP loans to a third party for origination. (The sale and referral of PPP loans created additional capacity for the Company to process its strong loan pipeline).

Credit and Capital Management:

During Q2, non-performing assets declined $6 million; classified loans declined $15 million; and loans subject to special mention declined $17 million. NPAs stood at just 0.10% of assets at June 30, 2021.
Continued to execute on the previously approved stock repurchase program – during Q2 repurchased 234,722 shares at an average price of $32.40 for a total cost of $7.6 million. (Year-to-date through June 30, 2021, the Company has repurchased 392,755 shares).
Tangible book value per share increased to $26.30 at June 30, 2021, despite the stock repurchase activity at prices above tangible book value.

SUPPLEMENTAL QUARTERLY DETAILS

:

Wealth Management Business

In the June 2021 quarter, the Bank’s wealth management business generated $13.03 million in fee income, compared to $10.00 million for the June 2020 quarter, and $12.13 million for the March 2021 quarter.

The market value of the Company’s AUM/AUA increased to $9.8 billion at June 30, 2021 from $8.8 billion at December 31, 2020, and $7.2 billion at June 30, 2020 due to new business as well as positive market action.

In the quarter ended June 30, 2021 the Company announced the acquisition of PPSG, a registered investment advisor headquartered in Princeton, New Jersey. Upon joining the Company on July 1, 2021, PPSG had approximately $520 million of AUM/AUA.

John P. Babcock, President of the Peapack Private Wealth Management division, said, “2021 showed continued strong new business, new client acquisition and client retention. We ended 2020 with a very strong Q4 and this continued into 2021 with gross inflows of over $240 million for Q2 2021.” Babcock went on to note, “We continue to look to grow our wealth business organically and through selective acquisitions. And, we continue to make significant progress on our infrastructure consolidation including launching our new trading platform and a new CRM system, as well as adding more resources to our financial planning team.”

Loans / Commercial Banking

Total loans of $4.58 billion at June 30, 2021 (including PPP loans of $84 million) increased $144 million from $4.44 billion (including PPP loans of $233 million) at March 31, 2021. Excluding the decline in PPP loans during the June quarter, loans grew $293 million, or 7% on a linked quarter basis (28% annualized). During the quarter, multifamily loans grew $241 million and C&I loans grew $47 million.

Total C&I loans (including the PPP loans) at June 30, 2021 were $1.88 billion or 41% of the total loan portfolio. While C&I origination levels have been strong throughout 2021, paydown and payoff activity has also been robust, including paydowns of several large lines of credit, as well as the Company’s workout and asset recovery efforts, including the workout and recovery of several nonaccrual and/or classified credits in 2021.

Mr. Kennedy noted, “Our commercial loan pipelines are strong going into the third quarter, standing at approximately $250 million with likelihood of closing during the third quarter of 2021.”

Mr. Kennedy also noted, “As I have mentioned in the past, our Corporate Advisory business, which gives us the capability to engage in high level strategic debt, capital and valuation analysis, enables us to provide a unique boutique level of service, giving us a competitive advantage over many of our peers. Our Corporate Advisory pipelines are also strong. Notwithstanding the sale and forgiveness of PPP loans and significant payoff activity, we believe that we will achieve high single digit loan growth, which was the upper end of our guidance provided in the beginning of 2021.”

Funding / Liquidity / Interest Rate Risk Management

The Company actively manages its deposit base to reduce reliance on wholesale sourced deposits, volatility, and/or operational risk. Total deposits at June 30, 2021 were $4.90 billion. While total deposits did not increase significantly over the last year, the mix changed favorably, as noninterest bearing demand deposits increased $48 million and interest-bearing demand increased $174 million, while brokered deposits declined $45 million, and higher costing CDs declined $187 million, when comparing June 30, 2021 to June 30, 2020.

Mr. Kennedy noted, “88% of our deposits are demand, savings, or money market, and, our noninterest bearing deposits comprise 20% of our total deposits; both metrics reinforce the ‘core’ nature of our deposit base.”

At June 30, 2021, the Company’s balance sheet liquidity (investments, interest-earning deposits and cash) totaled $1.1 billion (or 18% of assets). The Company has approximately $1.7 billion of secured funding available from the Federal Home Loan Bank and $1.0 billion of secured funding available from the Federal Reserve Discount Window. The available funding from the Federal Home Loan Bank and the Federal Reserve is secured by the Company’s loan and investment portfolios.

Mr. Kennedy noted, “As a commercial bank, a large portion of our loans reprice when the Fed changes rates. The 150-basis point reduction in target Fed Funds near the end of the first quarter of 2020 reduced the Company’s yield earned on assets. However, we were able to strategically reprice our deposits over time to offset much of that decline. Further, when interest rates rise, we expect that our net interest income will improve. Our current modeling indicates that 68% of our loan portfolio reprices within 2 years – 44% would reprice within 90 days, another 12% within 3 to 12 months and another 12% repricing within year two.”

Net Interest Income (NII)/Net Interest Margin (NIM)

	Six Months Ended				Six Months Ended
	June 30, 2021				June 30, 2020
	NII			NIM	NII			NIM

NII/NIM excluding the below	$	63,001		2.51%	$	61,403		2.54%
Prepayment premiums received on loan paydowns		1,205		0.05%		901		0.04%
Effect of maintaining excess interest earning cash		(300	)	-0.18%		(563	)	-0.15%
Effect of PPP loans		1,732		-0.06%		1,977		-0.02%
NII/NIM as reported	$	65,638		2.32%	$	63,718		2.41%

	Three Months Ended				Three Months Ended				Three Months Ended
	June 30, 2021				March 31, 2021				June 30, 2020
	NII			NIM	NII			NIM	NII			NIM

NII/NIM excluding the below	$	32,446		2.56%	$	30,565		2.49%	$	29,881		2.45%
Prepayment premiums received on loan paydowns		501		0.04%		704		0.05%		376		0.03%
Effect of maintaining excess interest earning cash		(115	)	-0.15%		(195	)	-0.21%		(263	)	-0.19%
Effect of PPP loans		1,013		-0.07%		719		-0.05%		1,977		-0.02%
NII/NIM as reported	$	33,845		2.38%	$	31,793		2.28%	$	31,971		2.27%

As shown above, the Company’s reported NIM increased 10 basis points compared to the linked quarter. The Bank strategically lowered its cost of deposits and used much of its excess liquidity to grow loans, both of which benefitted NIM.

Future net interest income and net interest margin should benefit from the following:

Full realization of the second quarter loan growth, as well as robust loan pipelines.
Continued downward repricing of maturing CDs.
Redemption of $50 million of subordinated debt during the June quarter.
Termination of $40 million notional interest rate swaps during the June quarter.

Income from Capital Markets Activities

	Three Months Ended		Three Months Ended		Three Months Ended
	June 30,		March 31,		June 30,
(Dollars in thousands, except per share data)	2021		2021		2020
Gain on loans held for sale at fair value (Mortgage banking)	$	409	$	1,025	$	550
Fee income related to loan level, back-to-back swaps		—		—		202
Gain on sale of SBA loans		932		1,449		258
Corporate advisory fee income		121		1,098		65
Total capital markets activity	$	1,462	$	3,572	$	1,075

Noninterest income from Capital Markets activities (SBA lending and sale program, mortgage banking activity, corporate advisory activity and loan level back-to-back swap activities) totaled $1.46 million for the June 2021 quarter compared to $3.57 million for the March 2021 quarter and $1.08 million for the June 2020 quarter. The June 2021 and March 2021 quarter results were driven by $932,000 and $1.45 million gain on sale of SBA loans, respectively. The March 2021 quarter reflected increased mortgage banking activity due to greater refinance activity in the low rate environment. During the March 2021 quarter, the Company recorded $1.1 million of corporate advisory fee income related to a large investment banking advisory event which closed in that quarter. These transactions tend to be larger and take longer to complete. As noted previously, the pipeline of such business is fairly robust. The June 2021 and March 2021 quarters included no income from loan level, back-to-back swap activities, as there has been, and will continue to be, minimal activity for such in the current environment. The June 2020 quarter included $202,000 of such income.

Other Noninterest Income (other than Wealth Management fee income and Income from Capital Markets Activities)

The June 2021 quarter included approximately $153,000 and the March 2021 quarter included approximately $302,000 of Bank Owned Life Insurance income due to receipt of life insurance proceeds. Such proceeds were nontaxable. The June 2021 quarter included $1.13 million gain on the sale of PPP loans, while the March 2021 quarter included a $282,000 gain on sale of $8 million of loans that had payment issues and were classified as held for sale as of December 31, 2020. The Company also received $722,000 of fee income related to referral of PPP loans to a third party. Partially offsetting the above items in the June 2021 quarter, the Company recorded a one-time $842,000 cost on the termination of $40 million notional interest rate swaps with an all-in cost of 1.50%.

Operating Expenses

The Company’s total operating expenses were $30.68 million for the quarter ended June 30, 2021, compared to $31.59 million for the March 2021 quarter and $29.01 million for the June 2020 quarter. The June 2021 quarter included $648,000 of expense related to the redemption of subordinated debt. The March 2021 quarter included $1.5 million of severance expense related to certain corporate restructuring within several areas of the Bank. The June and March 2021 quarter included a full quarter’s worth of expense related to Lucas and Noyes (approximately $350,000 in each quarter).

Mr. Kennedy noted, “While we continue to manage expenses closely and prudently, we will invest in digital enhancements to improve the client experience and grow and expand our core wealth management and commercial banking businesses, including lift-outs, strategic hires, and wealth M&A.”

Income Taxes

The effective tax rate for the three months ended June 30, 2021 was 27.69%, as compared to 25.94% for the March 2021 quarter and 22.85% for the quarter ended June 30, 2020. The March 31, 2021 quarter benefitted from life insurance proceeds that were not taxable and from the vesting of restricted stock at prices higher than grant prices. The effective tax rate for the June 2020 quarter was impacted by reduced taxable income due to the environment created by the Pandemic.

The effective tax rate for the six months of 2021 was 26.87% compared to a net tax benefit recorded for the first six months of 2020. During the first quarter of 2020, the Company recorded a $3.34 million tax benefit, principally due to a $3.2 million Federal income tax benefit that resulted from a tax NOL carryback. The Company had a $23 million operating loss for tax purposes in 2018 (when the Federal tax rate was 21%) resulting from accelerated tax depreciation. Under the CARES Act, the Company was allowed to carry this NOL back to a period when the Federal tax rate was 35%, generating a permanent tax benefit.

Asset Quality / Provision for Loan and Lease Losses

For further details, see the Q2 2021 Investor Update (and Supplemental Financial Information).

Nonperforming assets at June 30, 2021 (which does not include troubled debt restructured loans that are performing in accordance with their terms) were $6.0 million, or 0.10% of total assets, down from $11.8 million, or 0.20% of total assets, at March 31, 2021 and down significantly from $26.7 million, or 0.43% of total assets, at June 30, 2020.

For the quarter ended June 30, 2021, the Company’s provision for loan and lease losses was $900,000 compared to $225,000 for the March 2021 quarter and $4.90 million for the June 2020 quarter. The decreased provision for loan and lease losses in the 2021 quarters when compared to the 2020 quarters reflects the reduced qualitative loss factors related to the unemployment rate and amount of loan deferrals and other economic qualitative factors due to the COVID-19 pandemic when calculating the allowance for loan losses. Loan deferrals entered into during the COVID-19 pandemic have come down significantly from the prior year (declined from $914 million at June 30, 2020 to $37 million at June 30, 2021). The Company’s provision for loan and lease losses (and its allowance for loan and lease losses) also reflects, among other things, the Company’s assessment of asset quality metrics, net charge-offs/recoveries, and the composition of the loan portfolio.

At June 30, 2021, the allowance for loan and lease losses was $63.51 million (1.39% of total loans), compared to $67.31 million at December 31, 2020 (1.53% of total loans), and $66.07 million at June 30, 2020 (1.35% of total loans). The Company has elected to take additional time to adopt CECL and will implement effective January 1, 2022.

Capital

The Company’s capital position during the June 2021 quarter was benefitted by net income of $14.42 million which was offset by the purchase of shares through the Company’s stock repurchase program. During the second quarter of 2021, the Company purchased 234,722 shares at an average price of $32.40 for a total cost of $7.6 million. GAAP Capital at June 30, 2021 was also benefitted by a decrease in the unrealized loss on securities from March 31, 2021 to June 30, 2021, due to market value appreciation of the AFS investment securities portfolio.

The Company’s and Bank’s capital ratios at June 30, 2021 all remain strong. Such ratios remain well above regulatory well capitalized standards.

As previously announced, in the fourth quarter of 2020 the Company successfully completed a private placement of $100 million in fixed-to floating rate subordinated notes due 2030 at a rate of 3.5%. Such funds benefitted the Company’s Regulatory Tier 2 Capital. At the time, the Company noted the proceeds raised would be used for general corporate purposes, which could include stock repurchases, the redemption of the Company’s existing 6% subordinated debt and acquisitions of wealth management firms. Throughout the first half of 2021, the Company repurchased $12 million of stock. On June 30, 2021 the Company redeemed its 6% subordinated debt. On July 1, 2021 the Company closed on the acquisition of Princeton Portfolio Strategies Group.

The Company employs quarterly capital stress testing run under multiple scenarios, including a no growth, severely adverse case. In such case as of March 31, 2021, the Bank remains well capitalized over a two-year stress period. With a Pandemic stress overlay on this case, the Bank still remains well capitalized over the two-year stress period. For further details, see the Q2 2021 Investor Update (and Supplemental Financial Information).

On July 27, 2021, the Company declared a cash dividend of $0.05 per share payable on August 24, 2021 to shareholders of record on August 10, 2021.

ABOUT THE COMPANY

Peapack-Gladstone Financial Corporation is a New Jersey bank holding company with total assets of $5.8 billion and assets under management/administration of $9.8 billion as of June 30, 2021. Founded in 1921, Peapack-Gladstone Bank is a commercial bank that provides innovative wealth management, commercial and retail solutions, including residential lending and online platforms, to businesses and consumers. Peapack Private, the bank’s wealth management division, offers comprehensive financial, tax, fiduciary and investment advice and solutions, to individuals, families, privately-held businesses, family offices and not-for-profit organizations, which help them to establish, maintain and expand their legacy. Together, Peapack-Gladstone Bank and Peapack Private offer an unparalleled commitment to client service. Visit www.pgbank.com and www.peapackprivate.com for more information.

The foregoing may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are not historical facts and include expressions about management’s confidence and strategies and management’s expectations about new and existing programs and products, investments, relationships, opportunities and market conditions. These statements may be identified by such forward-looking terminology as “expect,” “look,” “believe,” “anticipate,” “may” or similar statements or variations of such terms. Actual results may differ materially from such forward-looking statements. Factors that may cause results to differ materially from such forward-looking statements include, but are not limited to:

our inability to successfully grow our business and implement our strategic plan, including an inability to generate revenues to offset the increased personnel and other costs related to the strategic plan;
the impact of anticipated higher operating expenses in 2021 and beyond;
our inability to successfully integrate wealth management firm acquisitions;
our inability to manage our growth;
our inability to successfully integrate our expanded employee base;
an unexpected decline in the economy, in particular in our New Jersey and New York market areas;
declines in our net interest margin caused by the interest rate environment and/or our highly competitive market;
declines in value in our investment portfolio;
impact on our business from a pandemic event on our business, operations, customers, allowance for loan losses and capital levels;
higher than expected increases in our allowance for loan and lease losses;
higher than expected increases in loan and lease losses or in the level of nonperforming loans;
changes in interest rates;
decline in real estate values within our market areas;
legislative and regulatory actions (including the impact of the Dodd-Frank Wall Street Reform and Consumer Protection Act, Basel III and related regulations) that may result in increased compliance costs;
successful cyberattacks against our IT infrastructure and that of our IT and third-party providers;
higher than expected FDIC insurance premiums;
adverse weather conditions;
our inability to successfully generate new business in new geographic markets;
a reduction in our lower-cost funding sources;
our inability to adapt to technological changes;
claims and litigation pertaining to fiduciary responsibility, environmental laws and other matters;
our inability to retain key employees;
demands for loans and deposits in our market areas;
adverse changes in securities markets;
changes in accounting policies and practices; and
other unexpected material adverse changes in our operations or earnings.

Further, given its ongoing and dynamic nature, it is difficult to predict the full impact of the COVID-19 outbreak on our business. The extent of such impact will depend on future developments, which are highly uncertain, including when the coronavirus can be controlled and abated and when and whether the gradual reopening of businesses will result in a meaningful increase in economic activity. As the result of the COVID-19 pandemic and the related adverse local and national economic consequences, we could be subject to any of the following risks, any of which could have a material, adverse effect on our business, financial condition, liquidity, and results of operations:

demand for our products and services may decline, making it difficult to grow assets and income;
if the economy is unable to substantially reopen, and higher levels of unemployment continue for an extended period of time, loan delinquencies, problem assets, and foreclosures may increase, resulting in increased charges and reduced income;
collateral for loans, especially real estate, may decline in value, which could cause loan losses to increase;
our allowance for loan losses may increase if borrowers experience financial difficulties, which will adversely affect our net income;
the net worth and liquidity of loan guarantors may decline, impairing their ability to honor commitments to us;
a material decrease in net income or a net loss over several quarters could result in an elimination of a decrease in the rate of our quarterly cash dividend;
our wealth management revenues may decline with continuing market turmoil;
a worsening of business and economic conditions or in the financial markets could result in an impairment of certain intangible assets, such as goodwill;
the unanticipated loss or unavailability of key employees due to the outbreak, which could harm our ability to operate our business or execute our business strategy, especially as we may not be successful in finding and integrating suitable successors;
we may face litigation, regulatory enforcement and reputation risk as a result of our participation in the PPP and the risk that the SBA may not fund some or all PPP loan guaranties;
our cyber security risks are increased as the result of an increase in the number of employees working remotely; and
FDIC premiums may increase if the agency experience additional resolution costs.

A discussion of these and other factors that could affect our results is included in our SEC filings, including our Annual Report on Form 10-K for the year ended December 31, 2020. We undertake no duty to update any forward-looking statement to conform the statement to actual results or changes in the Company’s expectations.

Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements.

(Tables to follow)

P
EAPACK-GLADSTONE FINANCIAL CORPORATION

SELECTED CONSOLIDATED FINANCIAL DATA

(Dollars in Thousands, except share data)

(Unaudited)

	For the Three Months Ended
	June 30,			March 31,			Dec 31,			Sept 30,			June 30,
	2021			2021			2020			2020			2020
Income Statement Data:
Interest income	$	39,686		$	38,239		$	38,532		$	40,174		$	41,649
Interest expense		5,841			6,446			6,797			8,025			9,678
Net interest income		33,845			31,793			31,735			32,149			31,971
Wealth management fee income		13,034			12,131			10,791			10,119			9,996
Service charges and fees		896			846			859			785			695
Bank owned life insurance		466			611			313			314			318
Gain on loans held for sale at fair value (Mortgage banking) (A)		409			1,025			1,470			954			550
Gain/(loss) on loans held for sale at lower of cost or fair value(B)		1,125			282			—			7,429			—
Fee income related to loan level, back-to-back swaps (A)		—			—			—			—			202
Gain on sale of SBA loans (A)		932			1,449			375			79			258
Corporate advisory fee income (A)		121			1,098			50			75			65
Loss on swap termination		(842	)		—			—			—			—
Other income (C)		1,495			643			590			456			417
Securities gains/(losses), net		42			(265	)		(42	)		—			125
Total other income		17,678			17,820			14,406			20,211			12,626
Salaries and employee benefits (D)		19,910			21,990			19,902			19,202			19,186
Premises and equipment		4,074			4,113			4,189			4,109			4,036
FDIC insurance expense		529			585			665			605			455
FHLB prepayment penalty		—			—			4,784			—			—
Valuation allowance loans held for sale (E)		—			—			4,425			—			—
Other expenses		6,171			4,906			5,284			4,545			5,337
Total operating expenses		30,684			31,594			39,249			28,461			29,014
Pretax income before provision for loan losses		20,839			18,019			6,892			23,899			15,583
Provision for loan and lease losses (F)		900			225			2,350			5,150			4,900
Income/(loss) before income taxes		19,939			17,794			4,542			18,749			10,683
Income tax expense		5,521			4,616			1,512			5,202			2,441
Net income	$	14,418		$	13,178		$	3,030		$	13,547		$	8,242

Total revenue (G)	$	51,523		$	49,613		$	46,141		$	52,360		$	44,597
Per Common Share Data:
Earnings per share (basic)	$	0.76		$	0.70		$	0.16		$	0.72		$	0.44
Earnings per share (diluted)		0.74			0.67			0.16			0.71			0.43
Weighted average number of common shares outstanding:
Basic		18,963,237			18,950,305			18,947,864			18,908,337			18,872,070
Diluted		19,439,439			19,531,689			19,334,569			19,132,650			19,059,822
Performance Ratios:
Return on average assets annualized (ROAA)		0.97	%		0.89	%		0.21	%		0.89	%		0.56	%
Return on average equity annualized (ROAE)		10.86	%		10.03	%		2.32	%		10.53	%		6.56	%
Return on average tangible common equity (ROATCE) (H)		11.83	%		10.94	%		2.51	%		11.41	%		7.13	%
Net interest margin (tax-equivalent basis)		2.38	%		2.28	%		2.25	%		2.20	%		2.27	%
GAAP efficiency ratio (I)		59.55	%		63.68	%		85.06	%		54.36	%		65.06	%
Operating expenses / average assets annualized		2.06	%		2.14	%		2.66	%		1.86	%		1.97	%

Gain on loans held for sale at fair value (mortgage banking), fee income related to loan level, back-to-back swaps, gain on sale of SBA loans and corporate advisory fee income are all included in “capital markets activity” as referred to within the earnings release.
Includes gain on sale $355 million and $57 million of PPP loans completed in the September 2020 and June 2021 quarters, respectively.
Includes income of $722,000 from the referral of PPP loans to a third-party firm during the June 2021 quarter.
The March 2021 quarter included $1.5 million of severance expense related to corporate restructuring.
The December 2020 quarter reflects a $4.4 million write-down of a commercial real estate held for sale loan associated with an assisted living facility.
The March 2020, June 2020 and September 2020 quarters included a higher provision for loan and lease losses primarily due to the environment created by the COVID-19 pandemic.
Total revenue equals net interest income plus total other income.
Return on average tangible common equity is calculated by dividing tangible common equity by annualized net income. See Non-GAAP financial measures reconciliation included in these tables.
Calculated as total operating expenses as a percentage of total revenue. For Non-GAAP efficiency ratio, see Non-GAAP financial measures reconciliation included in these tables.

P
EAPACK-GLADSTONE FINANCIAL CORPORATION

SELECTED CONSOLIDATED FINANCIAL DATA

(Dollars in Thousands, except share data)

(Unaudited)

	For the Six Months Ended
	June 30,						Change
	2021			2020			$			%
Income Statement Data:
Interest income	$	77,925		$	87,044		$	(9,119	)		-10	%
Interest expense		12,287			23,326			(11,039	)		-47	%
Net interest income		65,638			63,718			1,920			3	%
Wealth management fee income		25,165			19,951			5,214			26	%
Service charges and fees		1,742			1,511			231			15	%
Bank owned life insurance		1,077			646			431			67	%
Gain on loans held for sale at fair value (Mortgage banking) (A)		1,434			842			592			70	%
Gain on loans held for sale at lower of cost or fair value (B)		1,407			(3	)		1,410			-47000	%
Fee income related to loan level, back-to-back swaps (A)		—			1,620			(1,620	)		-100	%
Gain on sale of SBA loans (A)		2,381			1,312			1,069			81	%
Corporate advisory fee income (A)		1,219			75			1,144			1525	%
Loss on swap termination		(842	)		—			(842	)	N/A
Other income (C)		2,138			866			1,272			147	%
Securities gains/(losses), net		(223	)		323			(546	)		-169	%
Total other income		35,498			27,143			8,355			31	%
Salaries and employee benefits (D)		41,900			38,412			3,488			9	%
Premises and equipment		8,187			8,079			108			1	%
FDIC insurance expense		1,114			705			409			58	%
Other expenses		11,077			10,053			1,024			10	%
Total operating expenses		62,278			57,249			5,029			9	%
Pretax income before provision for loan losses		38,858			33,612			5,246			16	%
Provision for loan and lease losses (E)		1,125			24,900			(23,775	)		-95	%
Income before income taxes		37,733			8,712			29,021			333	%
Income tax expense/(benefit) (F)		10,137			(903	)		11,040			-1223	%
Net income	$	27,596		$	9,615		$	17,981			187	%

Total revenue (G)	$	101,136		$	90,861		$	10,275			11	%
Per Common Share Data:
Earnings per share (basic)	$	1.46		$	0.51		$	0.95			186	%
Earnings per share (diluted)		1.42			0.51			0.91			178	%
Weighted average number of common shares outstanding:
Basic		18,956,807			18,865,206			91,601			0	%
Diluted		19,473,150			18,991,056			482,094			3	%
Performance Ratios:
Return on average assets annualized (ROAA)		0.93	%		0.35	%		0.58	%		166	%
Return on average equity annualized (ROAE)		10.45	%		3.80	%		6.65	%		175	%
Return on average tangible common equity (ROATCE) (H)		11.39	%		4.13	%		7.25	%		175	%
Net interest margin (tax-equivalent basis)		2.32	%		2.41	%		(0.09	)%		-4	%
GAAP efficiency ratio (I)		61.58	%		63.01	%		(1.43	)%		-2	%
Operating expenses / average assets annualized		2.10	%		2.07	%		0.03	%		2	%

Gain on loans held for sale at fair value (mortgage banking), fee income related to loan level, back-to-back swaps, gain on sale of SBA loans and corporate advisory fee income are all included in “capital markets activity” as referred to within the earnings release.
Includes gain on sale of PPP loans of $57 million completed in the six months ended June 30, 2021.
Includes income of $722,000 from the referral of PPP loans to a third-party firm during 2021.
The six months ended June 30, 2021 included $1.5 million of severance expense related to corporate restructuring.
The six months ended June 30, 2020 included a higher provision for loan and lease losses primarily due to the environment created by the COVID-19 pandemic.
2020 included a $3.2 million tax benefit related to the carryback of tax NOLs to prior years when the Federal tax rate was 14% higher.
Total revenue equals net interest income plus total other income.
Return on average tangible common equity is calculated by dividing tangible common equity by annualized net income. See Non-GAAP financial measures reconciliation included in these tables.
Calculated as total operating expenses as a percentage of total revenue. For Non-GAAP efficiency ratio, see Non-GAAP financial measures reconciliation included in these tables.

PEAPACK-GLADSTONE FINANCIAL CORPORATION
CONSOLIDATED STATEMENTS OF CONDITION

(Dollars in Thousands)

(Unaudited)

	As of
	June 30,		March 31,		Dec 31,		Sept 30,		June 30,
	2021		2021		2020		2020		2020
ASSETS
Cash and due from banks	$	12,684	$	8,159	$	10,629	$	8,400	$	5,608
Federal funds sold		—		102		102		102		102
Interest-earning deposits		190,778		468,276		642,591		670,863		617,117
Total cash and cash equivalents		203,462		476,537		653,322		679,365		622,827
Securities available for sale		823,820		875,301		622,689		596,929		539,742
Equity security		14,894		14,852		15,117		15,159		15,159
FHLB and FRB stock, at cost		12,901		13,699		13,709		18,433		18,598
Residential mortgage		504,181		498,884		520,188		532,120		536,015
Multifamily mortgage		1,420,043		1,178,940		1,127,198		1,168,796		1,178,494
Commercial mortgage		702,777		697,599		694,034		722,678		761,910
Commercial loans (A)		1,880,830		1,982,570		1,975,337		1,930,984		2,316,125
Consumer loans		31,889		36,519		37,016		51,859		53,111
Home equity lines of credit		44,062		45,624		50,547		52,194		54,006
Other loans		204		199		225		260		272
Total loans		4,583,986		4,440,335		4,404,545		4,458,891		4,899,933
Less: Allowances for loan and lease losses		63,505		67,536		67,309		66,145		66,065
Net loans		4,520,481		4,372,799		4,337,236		4,392,746		4,833,868
Premises and equipment		23,261		23,260		21,609		21,668		21,449
Other real estate owned		—		50		50		50		50
Accrued interest receivable		23,117		23,916		22,495		22,192		15,956
Bank owned life insurance		46,605		46,448		46,809		46,645		46,479
Goodwill and other intangible assets		43,156		43,524		43,891		39,622		39,943
Finance lease right-of-use assets		3,956		4,143		4,330		4,517		4,704
Operating lease right-of-use assets		9,569		10,186		9,421		10,011		10,810
Other assets (B)		66,466		64,912		99,764		110,770		111,630
TOTAL ASSETS	$	5,791,688	$	5,969,627	$	5,890,442	$	5,958,107	$	6,281,215

LIABILITIES
Deposits:
Noninterest-bearing demand deposits	$	959,494	$	908,922	$	833,500	$	838,307	$	911,989
Interest-bearing demand deposits		1,978,497		1,987,567		1,849,254		1,858,529		1,804,102
Savings		147,227		141,743		130,731		127,737		123,140
Money market accounts		1,213,992		1,256,605		1,298,885		1,251,349		1,183,603
Certificates of deposit – Retail		446,143		474,668		530,222		586,801		629,941
Certificates of deposit – Listing Service		31,631		31,631		32,128		32,677		35,327
Subtotal “customer” deposits		4,776,984		4,801,136		4,674,720		4,695,400		4,688,102
IB Demand – Brokered		85,000		110,000		110,000		130,000		130,000
Certificates of deposit – Brokered		33,791		33,777		33,764		33,750		33,736
Total deposits		4,895,775		4,944,913		4,818,484		4,859,150		4,851,838
Short-term borrowings		—		15,000		15,000		15,000		15,000
FHLB advances (C)		—		—		—		105,000		105,000
Paycheck Protection Program Liquidity Facility (D)		83,586		168,180		177,086		183,790		535,837.00
Finance lease liability		6,299		6,528		6,753		6,976		7,196
Operating lease liability		9,902		10,509		9,737		10,318		11,116
Subordinated debt, net (E)		132,557		181,837		181,794		83,585		83,529
Other liabilities (B)		125,110		120,219		154,466		156,472		163,719
Due to brokers		—		—		—		15,088		—
TOTAL LIABILITIES		5,253,229		5,447,186		5,363,320		5,435,379		5,773,235
Shareholders’ equity		538,459		522,441		527,122		522,728		507,980
TOTAL LIABILITIES AND
SHAREHOLDERS’ EQUITY	$	5,791,688	$	5,969,627	$	5,890,442	$	5,958,107	$	6,281,215
Assets under management and / or administration at Peapack-Gladstone Bank ’ s Private Wealth Management Division (market value, not included above-dollars in billions)	$	9.8	$	9.4	$	8.8	$	7.6	$	7.2

Includes PPP loans of $84 million at June 30, 2021, $233 million at March 31, 2021, $196 million at December 31, 2020, $202 million at September 30, 2020 and $547 million at June 30, 2020.
The change in other assets and other liabilities was primarily due to the change in the fair value of our back-to-back swap program.
The Company prepaid $105 million of FHLB advances with a weighted-average rate of 3.20% during the December 2020 quarter.
Represents funding provided by the Federal Reserve for pledged PPP loans.
The increase was due to the completion of a $100 million subordinated debt offering in December 22, 2020. The Company redeemed $50 million of subordinated debt on June 30, 2021.

PEAPACK-GLADSTONE FINANCIAL CORPORATION

SELECTED BALANCE SHEET DATA

(Dollars in Thousands)

(Unaudited)

	As of
	June 30,			March 31,			Dec 31,			Sept 30,			June 30,
	2021			2021			2020			2020			2020
Asset Quality:
Loans past due over 90 days and still accruing	$	—		$	—		$	—		$	—		$	—
Nonaccrual loans (A)		5,962			11,767			11,410			8,611			26,697
Other real estate owned		—			50			50			50			50
Total nonperforming assets	$	5,962		$	11,817		$	11,460		$	8,661		$	26,747

Nonperforming loans to total loans		0.13	%		0.27	%		0.26	%		0.19	%		0.54	%
Nonperforming assets to total assets		0.10	%		0.20	%		0.19	%		0.15	%		0.43	%

Performing TDRs (B)(C)	$	190		$	197		$	201		$	2,278		$	2,376

Loans past due 30 through 89 days and still accruing (D)(E)	$	1,678		$	1,622		$	5,053		$	6,609		$	3,785

Loans subject to special mention	$	148,601		$	166,013		$	162,103		$	129,700		$	27,922

Classified loans	$	11,178		$	25,714		$	37,771		$	41,263		$	63,562

Impaired loans	$	6,498		$	11,964		$	16,204		$	15,514		$	33,708

Allowance for loan and lease losses:
Beginning of period	$	67,536		$	67,309		$	66,145		$	66,065		$	63,783
Provision for loan and lease losses		900			225			2,350			5,150			4,900
(Charge-offs)/recoveries, net		(4,931	)		2			(1,186	)		(5,070	)		(2,618	)
End of period	$	63,505		$	67,536		$	67,309		$	66,145		$	66,065

ALLL to nonperforming loans		1065.16	%		573.94	%		589.91	%		768.15	%		247.46	%
ALLL to total loans		1.39	%		1.52	%		1.53	%		1.48	%		1.35	%
General ALLL to total loans (F)		1.38	%		1.45	%		1.47	%		1.48	%		1.26	%

Excludes one commercial loan held for sale of $5.6 million at both June 30, 2021 and March 31, 2021. Excludes residential and commercial loans held for sale of $8.5 million at December 31, 2020. Excludes one commercial loan held for sale of $10.0 million at September 30, 2020.
Amounts reflect TDRs that are paying according to restructured terms.
Amount excludes $3.9 million at June 30, 2021, $3.9 million at March 31, 2021, $4.0 million at December 31, 2020, $5.2 million at September 30, 2020 and $23.2 million at June 30, 2020 of TDRs included in nonaccrual loans.
Excludes a residential loan held for sale of $93,000 at December 31, 2020.
December 31, 2020 includes $1.3 million of residential loans that are classified as delinquent due to an escrow payment shortage due to a recent change in escrow payment requirement.
Total ALLL less specific reserves equals general ALLL.

PEAPACK-GLADSTONE FINANCIAL CORPORATION

SELECTED BALANCE SHEET DATA

(Dollars in Thousands)

(Unaudited)

	June 30,				December 31,				June 30,
	2021				2020				2020
Capital Adequacy
Equity to total assets (A)(J)			9.30	%			8.95	%			8.09	%
Tangible Equity to tangible assets (B)			8.62	%			8.27	%			7.50	%
Tangible Equity to tangible assets excluding PPP loans (C)			8.74	%			8.55	%			8.22	%
Book value per share (D)		$	28.60			$	27.78			$	26.87
Tangible Book Value per share (E)		$	26.30			$	25.47			$	24.76

	June 30,				December 31,			June 30,
	2021				2020			2020
Regulatory Capital – Holding Company
Tier I leverage	$	499,344	8.67%		$	483,535	8.53%	$	468,898	8.57%
Tier I capital to risk-weighted assets		499,344		11.45		483,535	11.93		468,898	11.35
Common equity tier I capital ratio to risk-weighted assets		499,315		11.45		483,500	11.93		468,863	11.35
Tier I & II capital to risk-weighted assets		686,543		15.74		716,210	17.67		604,258	14.62

Regulatory Capital – Bank
Tier I leverage (F)	$	583,208	10.13%		$	549,575	9.71%	$	534,794	9.79%
Tier I capital to risk-weighted assets (G)		583,208	13.37			549,575	13.55		534,794	12.96
Common equity tier I capital ratio to risk-weighted assets (H)		583,179	13.37			549,540	13.55		534,759	12.95
Tier I & II capital to risk-weighted assets (I)		637,858	14.62			600,478	14.81		586,574	14.21

Equity to total assets is calculated as total shareholders’ equity as a percentage of total assets at period end.
Tangible equity and tangible assets are calculated by excluding the balance of intangible assets from shareholders’ equity and total assets, respectively. Tangible equity as a percentage of tangible assets at period end is calculated by dividing tangible equity by tangible assets at period end. See Non-GAAP financial measures reconciliation included in these tables.
Tangible equity and tangible assets excluding PPP loans are calculated by excluding the balance of intangible assets from shareholders’ equity and excluding the balance of intangible assets and PPP loans from total assets. Tangible equity as a percentage of tangible assets excluding PPP loans at period end is calculated by dividing tangible equity by tangible assets excluding PPP loans at period end. See Non-GAAP financial measures reconciliation included in these tables.
Book value per common share is calculated by dividing shareholders’ equity by period end common shares outstanding
Tangible book value per share excludes intangible assets. Tangible book value per share is calculated by dividing tangible equity by period end common shares outstanding. See Non-GAAP financial measures reconciliation tables.
Regulatory well capitalized standard = 5.00% ($288 million)
Regulatory well capitalized standard = 8.00% ($349 million)
Regulatory well capitalized standard = 6.50% ($284 million)
Regulatory well capitalized standard = 10.00% ($436 million)
PPP loans with a balance of $84 million at June 30, 2021, $196 million at December 31, 2020 and $547 million at June 30, 2020 increased total assets.

PEAPACK-GLADSTONE FINANCIAL CORPORATION

LOANS CLOSED

(Dollars in Thousands)

(Unaudited)

	For the Quarters Ended
	June 30,		March 31,		Dec 31,		Sept 30,		June 30,
	2021		2021		2020		2020		2020
Residential loans retained	$	37,083	$	15,814	$	22,316	$	32,599	$	18,627
Residential loans sold		25,432		45,873		64,630		54,521		37,061
Total residential loans		62,515		61,687		86,946		87,120		55,688
Commercial real estate		12,243		38,363		—		1,613		748
Multifamily		255,820		85,009		1,184		1,500		11,960
Commercial (C&I) loans (A) (B)		141,285		129,141		218,235		118,048		99,294
SBA (C)		15,976		58,730		8,355		4,962		595,651
Wealth lines of credit (A)		3,200		2,475		3,925		2,000		500
Total commercial loans		428,524		313,718		231,699		128,123		708,153
Installment loans		25		63		690		253		950
Home equity lines of credit (A)		4,140		1,899		2,330		4,759		4,280
Total loans closed	$	495,204	$	377,367	$	321,665	$	220,255	$	769,071

	For the Six Months Ended
	June 30,		June 30,
	2021		2020
Residential loans retained	$	52,897	$	33,458
Residential loans sold		71,305		56,452
Total residential loans		124,202		89,910
Commercial real estate		50,606		9,606
Multifamily		340,829		73,958
Commercial (C&I) loans (A) (B)		270,426		142,202
SBA (C)		74,706		609,481
Wealth lines of credit (A)		5,675		3,750
Total commercial loans		742,242		838,997
Installment loans		88		1,206
Home equity lines of credit (A)		6,039		7,912
Total loans closed	$	872,571	$	938,025

Includes loans and lines of credit that closed in the period but not necessarily funded.
Includes equipment finance.
Includes PPP loans of $9.2 million for the quarter ended June 30, 2021, $47 million for the quarter ended March 31, 2021 and $596 million for the quarter ended June 30, 2020.

PEAPACK-GLADSTONE FINANCIAL CORPORATION

AVERAGE BALANCE SHEET

UNAUDITED
THREE MONTHS ENDED
(Tax-Equivalent Basis, Dollars in Thousands)

	June 30, 2021								June 30, 2020
	Average			Income/					Average			Income/
	Balance			Expense		Yield			Balance			Expense		Yield
ASSETS:
Interest-earning assets:
Investments:
Taxable (A)	$	884,374		$	3,020		1.37	%	$	437,288		$	2,108		1.93	%
Tax-exempt (A) (B)		6,891			81		4.70			10,137			129		5.09

Loans (B) (C):
Mortgages		498,594			3,826		3.07			530,087			4,497		3.39
Commercial mortgages		1,941,330			15,056		3.10			2,083,310			16,147		3.10
Commercial		1,942,802			16,984		3.50			2,038,530			18,204		3.57
Commercial construction		20,952			180		3.44			3,296			44		5.34
Installment		34,319			255		2.97			52,859			371		2.81
Home equity		45,042			377		3.35			54,869			453		3.30
Other		219			5		9.13			318			7		8.81
Total loans		4,483,258			36,683		3.27			4,763,269			39,723		3.34
Federal funds sold		91			—		0.06			102			—		0.25
Interest-earning deposits		428,464			97		0.09			497,764			109		0.09
Total interest-earning assets		5,803,078			39,881		2.75	%		5,708,560			42,069		2.95	%
Noninterest-earning assets:
Cash and due from banks		10,360								5,437
Allowance for loan and lease losses		(67,593	)							(64,109	)
Premises and equipment		23,307								21,462
Other assets		182,421								234,357
Total noninterest-earning assets		148,495								197,147
Total assets	$	5,951,573							$	5,905,707

LIABILITIES:
Interest-bearing deposits:
Checking	$	1,980,688		$	944		0.19	%	$	1,748,753		$	1,642		0.38	%
Money markets		1,235,464			727		0.24			1,207,816			1,473		0.49
Savings		144,044			18		0.05			118,878			16		0.05
Certificates of deposit – retail		488,148			1,027		0.84			676,498			3,147		1.86
Subtotal interest-bearing deposits		3,848,344			2,716		0.28			3,751,945			6,278		0.67
Interest-bearing demand – brokered		105,604			456		1.73			150,330			700		1.86
Certificates of deposit – brokered		33,783			264		3.13			33,729			264		3.13
Total interest-bearing deposits		3,987,731			3,436		0.34			3,936,004			7,242		0.74
Borrowings		166,343			182		0.44			330,514			1,127		1.36
Capital lease obligation		6,380			76		4.76			7,270			87		4.79
Subordinated debt		181,317			2,147		4.74			83,496			1,222		5.85
Total interest-bearing liabilities		4,341,771			5,841		0.54	%		4,357,284			9,678		0.89	%
Noninterest-bearing liabilities:
Demand deposits		948,851								873,926
Accrued expenses and other liabilities		129,980								171,814
Total noninterest-bearing liabilities		1,078,831								1,045,740
Shareholders’ equity		530,971								502,683
Total liabilities and shareholders’ equity	$	5,951,573							$	5,905,707
Net interest income				$	34,040							$	32,391
Net interest spread							2.21	%							2.06	%
Net interest margin (D)							2.38	%							2.27	%

Average balances for available for sale securities are based on amortized cost.
Interest income is presented on a tax-equivalent basis using a 21% federal tax rate.
Loans are stated net of unearned income and include nonaccrual loans.
Net interest income on a tax-equivalent basis as a percentage of total average interest-earning assets.

PEAPACK-GLADSTONE FINANCIAL CORPORATION

AVERAGE BALANCE SHEET

UNAUDITED
THREE MONTHS ENDED
(Tax-Equivalent Basis, Dollars in Thousands)

	June 30, 2021								March 31, 2021
	Average			Income/					Average			Income/
	Balance			Expense		Yield			Balance			Expense		Yield
ASSETS:
Interest-earning assets:
Investments:
Taxable (A)	$	884,374		$	3,020		1.37	%	$	761,187		$	2,629		1.38	%
Tax-exempt (A) (B)		6,891			81		4.70			7,980			98		4.91

Loans (B) (C):
Mortgages		498,594			3,826		3.07			501,590			3,954		3.15
Commercial mortgages		1,941,330			15,056		3.10			1,840,363			14,420		3.13
Commercial		1,942,802			16,984		3.50			1,932,692			16,455		3.41
Commercial construction		20,952			180		3.44			15,606			139		3.56
Installment		34,319			255		2.97			37,695			276		2.93
Home equity		45,042			377		3.35			48,853			399		3.27
Other		219			5		9.13			246			5		8.13
Total loans		4,483,258			36,683		3.27			4,377,045			35,648		3.26
Federal funds sold		91			—		0.06			102			—		0.25
Interest-earning deposits		428,464			97		0.09			555,331			128		0.09
Total interest-earning assets		5,803,078			39,881		2.75	%		5,701,645			38,503		2.70	%
Noninterest-earning assets:
Cash and due from banks		10,360								11,129
Allowance for loan and lease losses		(67,593	)							(71,160	)
Premises and equipment		23,307								22,634
Other assets		182,421								228,134
Total noninterest-earning assets		148,495								190,737
Total assets	$	5,951,573							$	5,892,382

LIABILITIES:
Interest-bearing deposits:
Checking	$	1,980,688		$	944		0.19	%	$	1,908,380		$	978		0.20	%
Money markets		1,235,464			727		0.24			1,259,597			794		0.25
Savings		144,044			18		0.05			135,202			17		0.05
Certificates of deposit – retail		488,148			1,027		0.84			533,488			1,470		1.10
Subtotal interest-bearing deposits		3,848,344			2,716		0.28			3,836,667			3,259		0.34
Interest-bearing demand – brokered		105,604			456		1.73			110,000			493		1.79
Certificates of deposit – brokered		33,783			264		3.13			33,769			261		3.09
Total interest-bearing deposits		3,987,731			3,436		0.34			3,980,436			4,013		0.40
Borrowings		166,343			182		0.44			186,006			209		0.45
Capital lease obligation		6,380			76		4.76			6,608			79		4.78
Subordinated debt		181,317			2,147		4.74			181,795			2,145		4.72
Total interest-bearing liabilities		4,341,771			5,841		0.54	%		4,354,845			6,446		0.59	%
Noninterest-bearing liabilities:
Demand deposits		948,851								848,325
Accrued expenses and other liabilities		129,980								163,569
Total noninterest-bearing liabilities		1,078,831								1,011,894
Shareholders’ equity		530,971								525,643
Total liabilities and shareholders’ equity	$	5,951,573							$	5,892,382
Net interest income				$	34,040							$	32,057
Net interest spread							2.21	%							2.11	%
Net interest margin (D)							2.38	%							2.28	%

Average balances for available for sale securities are based on amortized cost.
Interest income is presented on a tax-equivalent basis using a 21% federal tax rate.
Loans are stated net of unearned income and include nonaccrual loans.
Net interest income on a tax-equivalent basis as a percentage of total average interest-earning assets.

PEAPACK-GLADSTONE FINANCIAL CORPORATION

AVERAGE BALANCE SHEET

UNAUDITED
SIX MONTHS ENDED
(Tax-Equivalent Basis, Dollars in Thousands)

	June 30, 2021								June 30, 2020
	Average			Income/					Average			Income/
	Balance			Expense		Yield			Balance			Expense		Yield
ASSETS:
Interest-earning assets:
Investments:
Taxable (A)	$	823,120		$	5,649		1.37	%	$	424,547		$	4,567		2.15	%
Tax-exempt (A) (B)		7,433			179		4.82			10,335			260		5.03

Loans (B) (C):
Mortgages		500,084			7,780		3.11			532,601			9,073		3.41
Commercial mortgages		1,891,125			29,476		3.12			2,019,559			34,629		3.43
Commercial		1,937,776			33,439		3.45			1,898,334			36,798		3.88
Commercial construction		18,294			319		3.49			4,462			132		6
Installment		35,997			531		2.95			53,421			835		3.13
Home equity		46,937			776		3.31			55,261			1,067		3.86
Other		233			10		8.58			341			16		9.38
Total loans		4,430,446			72,331		3.27			4,563,979			82,550		3.62
Federal funds sold		96			—		0.11			102			—		0.25
Interest-earning deposits		491,547			225		0.09			374,665			661		0.35
Total interest-earning assets		5,752,642			78,384		2.73	%		5,373,628			88,038		3.28	%
Noninterest-earning assets:
Cash and due from banks		10,743								5,477
Allowance for loan and lease losses		(69,367	)							(54,238	)
Premises and equipment		22,972								21,304
Other assets		204,390								197,904
Total noninterest-earning assets		168,738								170,447
Total assets	$	5,921,380							$	5,544,075

LIABILITIES:
Interest-bearing deposits:
Checking	$	1,944,734		$	1,922		0.20	%	$	1,644,776		$	5,089		0.62	%
Money markets		1,247,464			1,521		0.24			1,199,932			4,454		0.74
Savings		139,648			35		0.05			114,892			31		0.05
Certificates of deposit – retail		510,693			2,497		0.98			687,258			6,841		1.99
Subtotal interest-bearing deposits		3,842,539			5,975		0.31			3,646,858			16,415		0.90
Interest-bearing demand – brokered		107,790			949		1.76			165,165			1,623		1.97
Certificates of deposit – brokered		33,776			525		3.11			33,722			527		3.13
Total interest-bearing deposits		3,984,105			7,449		0.37			3,845,745			18,565		0.97
Borrowings		176,120			391		0.44			256,956			2,139		1.66
Capital lease obligation		6,493			155		4.77			7,373			177		4.80
Subordinated debt		181,555			4,292		4.73			83,467			2,445		5.86
Total interest-bearing liabilities		4,348,273			12,287		0.57	%		4,193,541			23,326		1.11	%
Noninterest-bearing liabilities:
Demand deposits		898,866								708,242
Accrued expenses and other liabilities		145,920								136,738
Total noninterest-bearing liabilities		1,044,786								844,980
Shareholders’ equity		528,322								505,554
Total liabilities and shareholders’ equity	$	5,921,381							$	5,544,075
Net interest income				$	66,097							$	64,712
Net interest spread							2.16	%							2.17	%
Net interest margin (D)							2.32	%							2.41	%

Average balances for available for sale securities are based on amortized cost.
Interest income is presented on a tax-equivalent basis using a 21% federal tax rate.
Loans are stated net of unearned income and include nonaccrual loans.
Net interest income on a tax-equivalent basis as a percentage of total average interest-earning assets.

PEAPACK-GLADSTONE FINANCIAL CORPORATION

NON-GAAP FINANCIAL MEASURES RECONCILIATION

Tangible book value per share and tangible equity as a percentage of tangible assets at period end are non-GAAP financial measures derived from GAAP-based amounts. We calculate tangible equity and tangible assets by excluding the balance of intangible assets from shareholders’ equity and total assets, respectively. We calculate tangible book value per share by dividing tangible equity by period end common shares outstanding, as compared to book value per common share, which we calculate by dividing shareholders’ equity by period end common shares outstanding. We calculate tangible equity as a percentage of tangible assets at period end by dividing tangible equity by tangible assets at period end. We believe that this is consistent with the treatment by bank regulatory agencies, which exclude intangible assets from the calculation of risk-based capital ratios.

The efficiency ratio is a non-GAAP measure of expense control relative to recurring revenue. We calculate the efficiency ratio by dividing total noninterest expenses, excluding other real estate owned provision, as determined under GAAP, by net interest income and total noninterest income as determined under GAAP, but excluding net gains/(losses) on loans held for sale at lower of cost or fair value and excluding net gains on securities from this calculation, which we refer to below as recurring revenue. We believe that this provides a reasonable measure of core expenses relative to core revenue.

We believe that these non-GAAP financial measures provide information that is important to investors and that is useful in understanding our financial position, results and ratios. Our management internally assesses our performance based, in part, on these measures. However, these non-GAAP financial measures are supplemental and are not a substitute for an analysis based on GAAP measures. As other companies may use different calculations for these measures, this presentation may not be comparable to other similarly titles measures reported by other companies. A reconciliation of the non-GAAP measures of tangible common equity, tangible book value per share and efficiency ratio to the underlying GAAP numbers is set forth below.

(Dollars in thousands, except share data)

	Three Months Ended
	June 30,			March 31,			Dec 31,			Sept 30,			June 30,
Tangible Book Value Per Share	2021			2021			2020			2020			2020
Shareholders’ equity	$	538,459		$	522,441		$	527,122		$	522,728		$	507,980
Less: Intangible assets, net		43,156			43,524			43,891			39,622			39,943
Tangible equity		495,303			478,917			483,231			483,106			468,037

Period end shares outstanding		18,829,877			19,034,870			18,974,703			18,924,953			18,905,135
Tangible book value per share	$	26.30		$	25.16		$	25.47		$	25.53		$	24.76
Book value per share		28.60			27.45			27.78			27.62			26.87

Tangible Equity to Tangible Assets
Total assets	$	5,791,688		$	5,969,627		$	5,890,442		$	5,958,107		$	6,281,215
Less: Intangible assets, net		43,156			43,524			43,891			39,622			39,943
Tangible assets		5,748,532			5,926,103			5,846,551			5,918,485			6,241,272
Less: PPP Loans		83,766			232,721			195,574			201,991			547,004
Tangible Assets excluding PPP Loans		5,664,766			5,693,382			5,650,977			5,716,494			5,694,268
Tangible equity to tangible assets		8.62	%		8.08	%		8.27	%		8.16	%		7.50	%
Tangible equity to tangible assets excluding PPP loans		8.74	%		8.41	%		8.55	%		8.45	%		8.22	%
Equity to assets (A)		9.30	%		8.75	%		8.95	%		8.77	%		8.09	%

Equity to total assets would be 9.43% if PPP loans of $84 million were excluded from total assets as of June 30, 2021. Equity to total assets would be 9.11% if PPP loans of $233 million were excluded from total assets of March 31, 2021. Equity to total assets would be 9.26% if PPP loans of $196 million were excluded from total assets as of December 31, 2020. Equity to total assets would be 9.08% if PPP loans of $202 million were excluded from total assets as of September 30, 2020. Equity to total assets would be 8.86% if PPP loans of $547 million were excluded from total assets as of June 30, 2020.

	Three Months Ended
	June 30,			March 31,			Dec 31,			Sept 30,			June 30,
Return on Average Tangible Equity	2021			2021			2020			2020			2020
Net income	$	14,418		$	13,178		$	3,030		$	13,547		$	8,242

Average shareholders’ equity	$	530,971		$	525,643		$	523,446		$	514,736		$	502,683
Less: Average intangible assets, net		43,366			43,742			40,336			39,811			40,139
Average tangible equity		487,605			481,901			483,110			474,925			462,544

Return on average tangible common equity		11.83	%		10.94	%		2.51	%		11.41	%		7.13	%

	For the Six Months Ended
	June 30,			June 30,
Return on Average Tangible Equity	2021			2020
Net income	$	27,596		$	9,615

Average shareholders’ equity	$	528,322		$	505,554
Less: Average intangible assets, net		43,553			40,299
Average tangible equity		484,769			465,255

Return on average tangible common equity		11.39	%		4.13	%

	Three Months Ended
	June 30,			March 31,			Dec 31,			Sept 30,			June 30,
Efficiency Ratio	2021			2021			2020			2020			2020
Net interest income	$	33,845		$	31,793		$	31,735		$	32,149		$	31,971
Total other income		17,678			17,820			14,406			20,211			12,626
Less: Loss/(gain) on loans held for sale
at lower of cost or fair value		(1,125	)		(282	)		—			(7,429	)		—
Less: Income from life insurance proceeds		(153	)		(302	)		—			—			—
Less: Loss/(gain) on swap termination		842			—			—			—			—
Add: Securities (gains)/losses, net		(42	)		265			42			—			(125	)
Total recurring revenue		51,045			49,294			46,183			44,931			44,472

Operating expenses		30,684			31,594			39,249			28,461			29,014
Less:
FHLB prepayment penalty		—			—			4,784			—			—
Valuation allowance loans held for sale		—			—			4,425			—			—
Write-off of subordinated debt costs		648			—			—			—			—
Severance expense		—			1,532			—			—			—
Total operating expense		30,036			30,062			30,040			28,461			29,014

Efficiency ratio		58.84	%		60.99	%		65.05	%		63.34	%		65.24	%

	For the Six Months Ended
	June 30,			June 30,
Efficiency Ratio	2021			2020
Net interest income	$	65,638		$	63,718
Total other income		35,498			27,143
Add: Securities (gains)/losses, net		223			(323	)
Less: Loss/(gain) on swap termination		842			—
Less: Income from life insurance proceeds		(455	)		—
Less: Loss/(gain) on loans held for sale
at lower of cost or fair value		(1,407	)		3
Total recurring revenue		100,339			90,541

Operating expenses		62,278			57,249
Less:
Write-off of subordinated debt costs		648			—
Severance expense		1,532			—
Total operating expense		60,098			57,249

Efficiency ratio		59.89	%		63.23	%

Contact:

Jeffrey J. Carfora, SEVP and CFO

Peapack-Gladstone Financial Corporation

T: 908-719-4308

July 28, 2021 9:03 am

BlueJeans by Verizon Reimagines Virtual Events to Drive Brand Loyalty and Marketing Excellence

What you need to know:

New BlueJeans Events product features and partner integrations streamline virtual event practices
New Forrester data highlights key business challenges and opportunities for marketers to improve virtual/hybrid events strategy to achieve success
Customers demonstrate success in executing virtual events in new and exciting ways

BASKING RIDGE, N.J., July 28, 2021 (GLOBE NEWSWIRE) — According to a recent Forrester Consulting survey of key decision makers of marketing event strategies, 66 percent of firms are struggling to achieve the same success from virtual events that they would get from in person events, with 94 percent having experienced issues with their current virtual/hybrid events software. To take a forward look at addressing these challenges, Verizon Business today announced new BlueJeans Events features and partner integrations designed to help bolster the virtual event experience.

As virtual and hybrid event volumes are expected to increase by 36 percent after the pandemic, organizations will require the right tools to help them meet their marketing and growth goals. With new capabilities designed to enhance the overall attendee experience and improve how moderators can customize their events, BlueJeans Events addresses key marketing and communication requirements to increase audience engagement for use cases such as webinars/webcasts, brand activations, tradeshows/conferences and other live events.

The latest enhancements to the BlueJeans Events platform include:

HTML Embed Enhancements: Event hosts now have the ability to deploy individual BlueJeans Events widgets for chat, Q&A, and polling on any HTML webpage to complement an embedded livestream player. This flexibility provides hosts with the ability to fully customize their landing page environment to ensure consistency with brand elements or other Event requirements. Additionally, closed captioning is now fully supported within embedded BlueJeans Events for no additional charge.
Event Customizations: Further enhancing the attendee experience, Event hosts now have the ability to upload any mp3 file up to 10MB to provide attendees with a customized audio playlist before the event begins and once the event wraps. For event invitations, admins can now include their company name within the ‘from’ field to ensure communications reflect the appropriate branding.
Presenter Support: Hosting secure events is mission critical for organizations that present sensitive content for internal audiences. While Restricted Events allow admins to keep unwanted participants from joining via domain-specific invitations, admins now have the ability to allow exceptions and invite specified external presenters to join, while ensuring the integrity of the Event. Allowing speakers, emcees, and event managers to hash out last-minute logistics with an exclusive group chat box, BlueJeans Events now allows “backstage chat” for presenters and moderators to eliminate confusion and streamline communication among on-camera and behind-the-scenes participants.
MootUp Integration: Now in the BlueJeans App Network, MootUp brings a compelling new dimension to audience engagement by pulling BlueJeans Events into MootUp immersive 3D spaces. Organizers can create, customize and brand their own 3D virtual world where avatars can explore, mingle and engage in their Events.
Zapier Integration: Zapier allows admins to connect a variety of applications to BlueJeans Events to streamline event logistics and ensure interconnectivity with a host of marketing automation platforms. These integrations will make it easier for Marketers to gain visibility into attendee engagement across the entire Event lifecycle.

Unlocking Value from Virtual Events

The same Forrester survey, commissioned by BlueJeans, found that over 80 percent of firms agree that with improvements to their virtual or hybrid events strategy, they can achieve the same or greater success as in-person events. Those who look beyond the obvious stopgap approaches to converting face-to-face events to virtual events will be more likely to execute on the precise combination of technology and creative that underpins delivering a superior, personalized digital experience.

To better support marketing teams and organizations as they work to create a more polished and professional look and feel for their virtual and hybrid events, customers can now tap into Premium Production Services, powered by The Palmer Group. Working in partnership with award-winning broadcast and event producers, these premium services provide end-to-end production capabilities to help customers deliver exceptional on-brand experiences that are streamed at scale with BlueJeans Events.

As marketers look for new ways to position their organization for market leadership and growth, virtual and hybrid events will become more purposefully integrated into the overall marketing strategy. Customers such as Adobe and NASCAR are already using BlueJeans Events to reimagine their marketing strategy to successfully meet customer and partner expectations and achieve engagement, marketing, and sales goals—driving greater value inside and outside of their organizations:

Adobe
Use Case: Virtual Tradeshow/Conference

“BlueJeans played an important role in the delivery of Birds of a Feather, a peer-to-peer networking experience, and Meet the Teams, a Q&A session with the product teams developing Photoshop, Premiere Pro and Illustrator. These 2 elements of our virtual event toolkit helped make Adobe MAX 2020 a fully digital, immersive experience featuring keynotes, learning sessions, and social events for 56 hours nonstop,” said Thomas Finet, Senior Marketing Technology Architect, Adobe. “By embedding BlueJeans Events widgets directly onto MAX pages, we were able to customize content surrounding our live sessions and brand viewing experiences from beginning to end. This meant that everything from the background and event logo, to colors and banners reflected the look and feel of the Adobe brand to provide a seamless virtual experience for attendees.”

NASCAR
Use Case: Partner/Customer Engagement

“For NASCAR, it was critical that we continue to deliver high-quality service to our brand partners as we look to drive value for their businesses in the wake of the world going virtual. Courtesy of BlueJeans Events, we were well-positioned to do just that – as their suite of tools helped us re-create the in-person partnership experience in an entirely virtual landscape,” said Michelle Byron, Vice President, Partnership Marketing at NASCAR.

“The pandemic has forever redefined the marketing event strategy,” said Eric Spadafora, VP and GM, BlueJeans by Verizon. “While COVID-19 forced marketers around the world to quickly pivot to virtual events, leaders are now taking a step back to reevaluate their virtual and hybrid events strategies and technologies to determine the best path forward. As we look ahead, BlueJeans is poised to help organizations find success with their virtual events so that they can exceed customer expectations.”

Learn more about how BlueJeans is empowering organizations to transform their virtual event strategy to deliver real business value at bluejeans.com/customers.

Resources:

To view the full Forrester Consulting survey findings, see our “Optimize Your Technology and Strategy for a Virtual and Hybrid Events Dominated Future” Opportunity Snapshot.
For more information on Premium Production Services for BlueJeans Events, powered by The Palmer Group, see our Announcement Blog.
To learn more about BlueJeans Events visit: bluejeans.com/products/events
To learn more about BlueJeans App Network visit: bluejeans.com/app-network
For the latest news, follow BlueJeans on Twitter @BlueJeansNet

Verizon Communications Inc. (NYSE, Nasdaq: VZ) was formed on June 30, 2000 and is one of the world’s leading providers of technology, communications, information and entertainment products and services. Headquartered in New York City and with a presence around the world, Verizon generated revenues of $128.3 billion in 2020. The company offers data, video and voice services and solutions on its award-winning networks and platforms, delivering on customers’ demand for mobility, reliable network connectivity, security and control.

VERIZON’S ONLINE MEDIA CENTER: News releases, stories, media contacts and other resources are available at verizon.com/news. News releases are also available through an RSS feed. To subscribe, visit www.verizon.com/about/rss-feeds/.

Media contact:

Erin Cheever
[email protected]

July 28, 2021 9:03 am

Natural Health Trends to Report Second Quarter 2021 Financial Results on August 4th

HONG KONG, July 28, 2021 (GLOBE NEWSWIRE) — Natural Health Trends Corp. (NASDAQ: NHTC), a leading direct-selling and e-commerce company that markets premium quality personal care, wellness, and “quality of life” products under the NHT Global brand, today announced the Company will report its financial results for the second quarter ended June 30, 2021 on Wednesday, August 4, 2021 at 9:00 a.m. Eastern Time. Chris Sharng, Natural Health Trends’ President, and Scott Davidson, Senior Vice President and Chief Financial Officer, will host a conference call to discuss the second quarter 2021 financial results on the same day at 11:30 a.m. Eastern Time. The details for the conference call can be found below.

Second Quarter 2021 Financial Results Conference Call

Date:	Wednesday, August 4, 2021
Time:	11:30 a.m. Eastern Time / 8:30 a.m. Pacific Time
Dial-in:	1-877-407-0789 (Domestic) 1-201-689-8562 (International)
Conference ID:	13721247
Webcast:	http://public.viavid.com/index.php?id=145583
Replay:	For those unable to participate during the live broadcast, a replay of the call will also be available from 2:30 p.m. Eastern Time on August 4, 2021 through 11:59 p.m. Eastern Time on August 18, 2021 by dialing 1-844-512-2921 (domestic) and 1-412-317-6671 (international) and referencing the replay pin number: 13721247.

About Natural Health Trends Corp.

Natural Health Trends Corp. (NASDAQ: NHTC) is an international direct-selling and e-commerce company operating through its subsidiaries throughout Asia, the Americas, and Europe. The Company markets premium quality personal care products under the NHT Global brand. Additional information can be found on the Company’s website at www.naturalhealthtrendscorp.com.

CONTACTS:

Company Contact:

Scott Davidson
Senior Vice President and Chief Financial Officer
Natural Health Trends Corp.
Tel (Hong Kong): +852-3107-0800
Tel (U.S.): 310-541-0888
[email protected]

Investors:

ADDO Investor Relations
Tel: 310-829-5400
[email protected]

July 28, 2021 9:03 am

Panbela Schedules Conference Call on August 11, 2021, to Report 2021 Second Quarter Financial Results

MINNEAPOLIS, July 28, 2021 (GLOBE NEWSWIRE) — Panbela Therapeutics, Inc. (Nasdaq: PBLA), a clinical stage biopharmaceutical company developing disruptive therapeutics for the treatment of patients with cancer today announced that it will host a conference call on August 11, 2021, at 4:30 PM Eastern Time to discuss results for its second quarter ended June 30, 2021.

Conference Call Information

To participate in this event, dial approximately 5 to 10 minutes before the beginning of the call.

Date: August 11, 2021
Time: 4:30 PM Eastern Time
Toll Free: 877-407-9205
International: 201-689-8054

The call will also be available over the Internet and accessible at: https://www.webcaster4.com/Webcast/Page/2556/42132

Conference Call Replay Information

Toll Free: 877-481-4010
International: 919-882-2331
Replay Passcode: 42132

Webcast replay: https://www.webcaster4.com/Webcast/Page/2556/42132

About SBP-101

SBP-101 is a proprietary polyamine analogue designed to induce polyamine metabolic inhibition (PMI) by exploiting an observed high affinity of the compound for pancreatic ductal adenocarcinoma and other tumors. The molecule has shown signals of tumor growth inhibition in clinical studies of US and Australian metastatic pancreatic cancer patients, suggesting potential complementary activity with an existing FDA-approved standard chemotherapy regimen. In data evaluated from clinical studies to date, SBP-101 has not shown exacerbation of bone marrow suppression or peripheral neuropathy, which can be chemotherapy-related adverse events. Recently observed serious visual adverse events are being evaluated and patients with a history of retinopathy or at risk of retinal detachment are excluded from SBP-101 studies. The safety data and PMI profile observed in the current Panbela sponsored clinical trial generally provides support for continued evaluation of SBP-101 in a randomized clinical trial. For more information, please visit https://clinicaltrials.gov/ct2/show/NCT03412799 .

About Panbela

Panbela Therapeutics, Inc. is a clinical-stage biopharmaceutical company developing disruptive therapeutics for patients with urgent unmet medical needs. The company’s initial product candidate, SBP-101, is for the treatment of patients with metastatic pancreatic ductal adenocarcinoma, the most common type of pancreatic cancer. Panbela Therapeutics, Inc. is dedicated to treating patients with pancreatic cancer and exploring SBP-101’s potential for efficacy in combination with other agents in other cancer indications. Further information can be found at www.panbela.com . Panbela Therapeutics, Inc. common stock is listed on The Nasdaq Stock Market LLC under the symbol PBLA.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains “forward-looking statements,” including within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: “believes,” “expect,” “intend,” “may,” “
plan
,
”
and “will.” Examples of forward-looking statements include statements we make regarding the design and conduct of future clinical
trials.
Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations, and assumptions regarding the future of our business,
future plans
and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward- looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially and adversely from the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: (
i
) our ability to obtain additional funding to complete a randomized clinical trial; (ii) progress and success of our Phase 1 clinical trial; (iii) the impact of the current COVID-19 pandemic on our ability to complete monitoring and reporting in our current clinical trial; (iv) our ability to demonstrate the safety and effectiveness of our SBP-101 product candidate (v) our ability to obtain regulatory approvals for our SBP-101 product candidate in the United States, the European Union or other international markets; (vi) the market acceptance and level of future sales of our SBP-101 product candidate; (vii) the cost and delays in product development that may result from changes in regulatory oversight applicable to our SBP-101 product candidate; (viii) the rate of progress in establishing reimbursement arrangements with third-party payors; (ix) the effect of competing technological and market developments; (x) the costs involved in filing and prosecuting patent applications and enforcing or defending patent claims; and (xi) such other factors as discussed in Part I, Item 1A under the caption “Risk Factors” in our
most recent Annual Report on Form 10-K, any additional risks presented in our Quarterly Reports on Form 10-Q and our Current Reports on Form 8-K. Any forward-looking statement made by us in this press release is based on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement or reasons why actual results would differ from those anticipated in any such forward-looking statement, whether written or oral, whether
as a result of
new information, future developments or otherwise.

Contact Information:

Investors:
James Carbonara
Hayden IR
(646) 755-7412
[email protected]

Media:
Tammy Groene
Panbela Therapeutics, Inc.
(952) 479-1196
[email protected]

July 28, 2021 9:03 am

Savi Financial Corporation Earns Record $1.24 Million in 2Q21, and Record $2.23 Million in First Half of 2021

BURLINGTON, wash., July 28, 2021 (GLOBE NEWSWIRE) — Savi Financial Corporation, Inc. (OTC Pink: SVVB), the bank holding company for SaviBank, today reported second quarter 2021 earnings increased 133% to $1.24 million, or $0.28 per diluted share, compared to $533,000, or $0.12 per diluted share, in the second quarter of 2020. Second quarter 2021 results were driven by higher revenue from both SBA loan sales and Paycheck Protection Program (“PPP”) origination fees earned on PPP loans. In the first six months of 2021, net income increased 257% to $2.23 million, compared to $624,000 in the first six months of 2020.

“Savi delivered record earnings for the second consecutive quarter and for the first six months of 2021, supported by meaningful growth in net interest income, primarily generated from PPP loan forgiveness,” said Michal D. Cann, Chairman and President of Savi Financial Corporation. “Loan growth was somewhat slower than expected during the quarter, as loan production was more than offset by PPP loan forgiveness and loan payoffs. Loan accommodations continued to decline during the quarter as our clients experienced steady recoveries and local markets increased activity. With COVID-19 restrictions lifted in Washington State, and vaccine levels increasing, we are optimistic for growth during the second half of the year.”

“Earlier this year, after exploring opportunities to enter the mortgage lending market, we brought in a team of seasoned, qualified bankers to establish a mortgage lending division, led by Drew Wilkens, Senior Vice President and Mortgage Department Manager,” continued Cann. “While the mortgage lending division is still in its very early stages, we originated a strong loan pipeline as of quarter end, and anticipate the mortgage lending division contributing to revenue in future quarters.”

“Over the past 15 months we have been strong participants in the SBA’s PPP lending programs, helping our business customers, as well as new customers in our community, with over $94.4 million in PPP loan originations to approximately 1003 customers over the course of the program,” said Andrew Hunter, President and CEO of SaviBank. “We added many new customer relationships with strong future growth opportunities, generating receivables of approximately $4.2 million in total PPP loan fees. As of June 30, 2021, we had received payments from the SBA for 640 borrowers totaling $58.9 million. Approximately $820,000 of the income recorded during the second quarter of 2021 was related to recognizing origination fees for PPP loan payoffs, compared to $446,000 during the first quarter of 2021.”

“Our success with PPP lending is having an impact on new SBA opportunities as well,” continued Hunter. “We had good growth in the SBA pipeline during the second quarter, largely due to the SBA recovery program, which carries a 90% guarantee on SBA 7(a) loans originated through September 30, 2021.”

“The increase in PPP loan origination fees, resulting from PPP loan forgiveness during the quarter, helped to keep our net interest margin (NIM) above industry averages,” said Rob Woods, Chief Financial Officer of SaviBank. The Company’s NIM was 4.01% in the second quarter of 2021, compared to 4.09% in the preceding quarter, and 3.79% in the second quarter a year ago. The NIM remains higher than their peer average of 3.32% posted by the 404 banks that comprised the SNL Microcap U.S. Bank Index at March 31, 2021. In the first six months of 2021, the NIM was 4.08% compared to 3.93% in the first six months of 2020.

Second Quarter 2021 Highlights:

Net income increased 133% to $1.24 million in the second quarter of 2021, compared to $533,000 in the second quarter of 2020, and increased 26% compared to $986,000 in the first quarter of 2021.
Earnings per diluted share were $0.28 in the second quarter, compared to $0.12 in the second quarter a year ago and $0.23 in the preceding quarter.
Net interest income increased 28% to $4.31 million in the second quarter of 2021, compared to $3.37 million in the second quarter a year ago, and increased 7% from $4.05 million in the first quarter of 2021.
Total revenue, consisting of net interest income and non-interest income, increased 46% to $5.58 million in the second quarter of 2021, compared to $3.82 million in the second quarter a year ago and increased 13% compared to $4.92 million in the preceding quarter.
Average second quarter 2021 total loans increased 12%, to $352.1 million, compared to $315.0 million in the second quarter a year ago, and decreased modestly from $356.3 million in the first quarter of 2021. Total loans at June 30, 2021, increased modestly to $337.0 million from $333.4 million a year ago and decreased 9% from $368.5 million at March 31, 2021. The loan contraction compared to the prior quarter was in part due to $31.0 million in PPP loan forgiveness during the second quarter of 2021.
SBA and USDA loan production for the twelve months ended June 30, 2021, totaled 19 loans for $25.2 million, compared to production of 15 loans for $15.4 million in the year-ago period.
Average second quarter 2021 total deposits grew 28% to $381.2 million from $297.8 million, in the second quarter a year ago, and increased 8% from $353.9 million in the first quarter of 2021. Total deposits grew 27% to $403.5 million, at June 30, 2021, from $317.1 million a year ago, and increased 5% from $385.8 million at March 31, 2021.
The provision for loan losses was $38,000 in the second quarter of 2021, compared to $300,000 in the second quarter of 2020, and $140,000 in the first quarter of 2021. In the first six months of 2021, the provision for loan losses was $178,000, compared to $662,000 in the first six months of 2020.
Allowance for loan losses, as a percentage of total loans, increased to 1.13% at June 30, 2021, compared to 0.96% at June 30, 2020, and 1.03% at March 31, 2021. The allowance for loan losses, excluding PPP loans that are 100% secured by the SBA, was 1.27% of total loans, as of June 30, 2021.
Nonperforming loans, as a percentage of total loans, was 0.82% at June 30, 2021, compared to 0.32% at June 30, 2020, and 0.75% at March 31, 2021. The increase year-over-year was primarily due to one lending relationship added during the prior quarter and not indicative of issues in the total loan portfolio.
Nonperforming assets, as a percentage of total assets, was 0.66% at June 30, 2021, compared to 0.39% a year ago and 0.71% three months earlier.
Net recoveries were $22,000 in the second quarter of 2021, compared to net charge-offs of $112,000 in the second quarter of 2020, and net recoveries of $37,000 in the first quarter of 2021.
The Company offered loan accommodation options to support its clients affected by the economic impacts of COVID-19. As of June 30, 2021, total deferred loans represented 0.5% of total loans.
SaviBank capital levels remained above the threshold for well-capitalized institutions with a tier-1 leverage ratio of 7.93% at June 30, 2021.

“During the second quarter we closed on the purchase of the Freeland branch from Coastal Community Bank, a banking subsidiary of Coastal Financial Corporation (NASDAQ: CCB), and relocated from our existing Freeland branch to the new location,” said Hunter. “This new branch is in a better location, and will help us expand our footprint in Freeland and throughout Whidbey Island.” Included in the transaction was approximately $24.0 million in inherited deposits.

About Northwest Washington

SaviBank currently operates six branches in Skagit County, two branches in Island County, and one branch in Whatcom County. The Skagit, Whatcom and Island counties region stretches north from the greater Seattle/Everett/Bellevue metropolis to the Canadian border. Northwest Washington continues to be one of the most vibrant regions in the country, with a solid employment base, moderate climate and a strong housing market.

The housing market in Skagit, Island and Whatcom Counties remains healthy. According to the Northwest Multiple Listing Service, the average home in Skagit County sold for $517,000, up 28.39% in June 2021, compared to a year ago, and there was a 0.71 month supply of homes on the market. For Island County, the average house sold for $527,500, up 31.99% from a year ago and supply totaled 0.61 months. For Whatcom County, the average home sold for $510,000, up 27.50% from a year ago and supply totaled 0.77 months.

Skagit County’s economy is dominated by manufacturing, which accounts for 33.4% of GDP with food, machinery and oil and petroleum products the leading contributors. Skagit’s population is projected to grow 5.86% from 2021 through 2026, and median household income is projected to increase by 15.16% during the same time frame.

Whatcom County is home to Western Washington University and is the nation’s largest producer of raspberries. Whatcom County’s population is projected to grow 6.49% from 2021 through 2026, and median household income is projected to increase by 6.92%.

Island County is home to Naval Air Station Whidbey Island. Whidbey Island’s population is 86,704, with approximately 23,578 in Oak Harbor. Island County’s population is projected to grow 5.32% from 2021 through 2026 and median household income is projected to increase by 13.68%.

Sources:

http://www.northwestmls.com/library/CorporateContent/statistics/Recaps.pdf

www.SNL.com

About Savi Financial Corporation Inc. and SaviBank –

Savi Financial Corporation is the bank holding company which owns SaviBank. The Bank began operations April 11, 2005, and has 9 branch locations in Anacortes, Burlington, Bellingham, Concrete, Mount Vernon (2), Oak Harbor, Freeland and Sedro-Woolley, Washington. The Bank provides loan and deposit services to customers who are predominantly small and middle-market businesses and individuals in and around Skagit, Island, and Whatcom counties. As a locally-owned community bank, we believe that when everyone becomes Savi about their finances, our entire community benefits. Call us or stop by one of our branches and we’ll show you how to bank Savi. For additional information about SaviBank, visit; www.SaviBank.com.

Forward Looking Statement

This release may contain “forward-looking statements” that are subject to risks and uncertainties. Readers should not place undue reliance on forward-looking statements, which reflect management’s views only as of the date hereof. All statements, other than statements of historical fact, regarding our financial position, business strategy and management’s plans and objectives for future operations are forward-looking statements. When used in this report, the words “anticipate,” “believe,” “estimate,” “expect,” and “intend” and words or phrases of similar meaning, as they relate to SaviBank or management, are intended to help identify forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although we believe that management’s expectations as reflected in forward-looking statements are reasonable, we cannot assure readers that those expectations will prove to be correct. Forward-looking statements are subject to various risks and uncertainties that may cause our actual results to differ materially and adversely from our expectations as indicated in the forward-looking statements. These risks and uncertainties include our ability to maintain or expand our market share or net interest margins, and to implement our marketing and growth strategies. Further, actual results may be affected by our ability to compete on price and other factors with other financial institutions; customer acceptance of new products and services; the regulatory environment in which we operate; and general trends in the local, regional and national banking industry and economy, as those factors relate to our cost of funds and return on assets. In addition, there are risks inherent in the banking industry relating to collectability of loans and changes in interest rates. Many of these risks, as well as other risks may have a material adverse impact on our operations and business.

SELECTED FINANCIAL DATA
(In thousands of dollars, except for ratios and per share amounts)
Unaudited
	Three Months Ended													Six Months Ended
	June 30, 2021			June 30, 2020			Var %		March 31, 2021			Var %		June 30, 2021			June 30, 2020			Var %
SUMMARY OF OPERATIONS
Interest income	$	4,722		$	4,057		16	%	$	4,536		4	%	$	9,258		$	7,935		17	%
Interest expense		(411	)		(695	)	(41	)		(490	)	(16	)		(901	)		(1,494	)	(40	)
Net interest income		4,311			3,362		28			4,046		7			8,357			6,441		30
Provision for loan losses		(38	)		(300	)	(87	)		(140	)	(73	)		(178	)		(662	)	(73	)

NII after loss provision		4,273			3,062		40			3,906		9			8,179			5,779		42
Non-interest income		1,266			458		176			870		46			2,136			847		152
Non-interest expense		(3,966	)		(2,844	)	39			(3,530	)	12			(7,496	)		(5,834	)	28
Income before tax		1,573			676		133			1,246		26			2,819			792		256
Federal income tax expense		330			143		131			260		27			590			168		251
Net income	$	1,243		$	533		133	%	$	986		26	%	$	2,229		$	624		257	%

PER COMMON SHARE DATA
Number of shares outstanding (000s)		3,438			3,433		0	%		3,434		0.12	%		3,438			3,433		0.15	%
Earnings per share, diluted	$	0.28		$	0.12		137		$	0.23		25		$	0.51		$	0.14		254
Market value		11.10			7.62		46			11.00		1			11.10			7.62		46
Book value		10.63			9.75		9			10.25		4			10.63			9.75		9
Market value to book value		104.42	%		78.14	%	34			107.36	%	(3	)		104.42	%		78.14	%	34

BALANCE SHEET DATA
Assets	$	469,036		$	396,736		18	%	$	449,740		4	%	$	469,036		$	396,736		18	%
Investments securities		14,614			9,222		58			11,066		32			14,614			9,222		58
Total loans		337,045			333,351		1			368,501		(9	)		337,045			333,351		1
Total deposits		403,518			317,113		27			385,807		5			403,518			317,113		27
Borrowings		27,500			45,000		(39	)		27,500		–			27,500			45,000		(39	)
Shareholders’ equity		36,547			33,479		9			35,183		4			36,547			33,479		9

AVERAGE BALANCE SHEET DATA
Average assets	$	459,388		$	365,661		26	%	$	429,560		7	%	$	439,208		$	354,630		24	%
Average total loans		352,096			315,045		12			356,300		(1	)		353,266			293,650		20
Average total deposits		381,163			297,804		28			353,867		8			376,222			282,871		33
Average shareholders’ equity		35,865			33,189		8			34,708		3			35,390			33,133		7

ASSET QUALITY RATIOS
Net (charge-offs) recoveries	$	22		$	(112	)	N/M		$	37		N/M		$	59		$	(120	)	N/M
Net (charge-offs) recoveries to average loans		0.02	%		(0.14	)%	N/M			0.04	%	N/M			0.03	%		(0.08	)%	N/M
Non-performing loans as a % of loans		0.82			0.32		157			0.75		10			0.82			0.32		157
Non-performing assets as a % of assets		0.66			0.39		69			0.71		(7	)		0.66			0.39		69
Allowance for loan losses as a % of total loans		1.13			0.96		18			1.03		10			1.13			0.96		18
Allowance for loan losses as a % of non-performing loans		137.67			301.61		(54	)		137.08		0			137.67			301.61		(54	)

FINANCIAL RATIOS\STATISTICS
Return on average equity		13.86	%		6.42	%	116	%		11.36	%	22	%		12.60	%		3.77	%	234	%
Return on average assets		1.08			0.58		86			0.92		18			1.02			0.35		190
Net interest margin		4.01			3.79		6			4.09		(2	)		4.08			3.93		4
Efficiency ratio		69.00			73.29		(6	)		70.25		(2	)		69.58			79.04		(12	)
Average number of employees (FTE)		115			92		25			110		5			112			92		22

CAPITAL RATIOS

Tier 1 leverage ratio — Bank		7.93			8.32		(5	)%		8.47		(6	)%		7.93			8.32		(5	)%
Common equity tier 1 ratio — Bank		10.59			9.00		18			11.09		(5	)		10.59			9.00		18
Tier 1 risk-based capital ratio — Bank		10.59			9.00		18			11.09		(5	)		10.59			9.00		18
Total risk-based capital ratio –Bank		11.73			9.94		18			12.30		(5	)		11.73			9.94		18

Contact:	Michal D. Cann
	Chairman & President
	Savi Financial Corporation
	(360) 707-2272

July 28, 2021 9:03 am

Associated Bank Launches Personal Loans Powered by Upstart

Associated Bank Launches Personal Loans Powered by Upstart

SAN MATEO, Calif.–(BUSINESS WIRE)–
Upstart (NASDAQ: UPST), a leading artificial intelligence (AI) lending platform, today announced Associated Bank, a leading Midwest regional bank, has launched enhanced personal loan capabilities including a seamless, digital experience enabled by Upstart.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20210728005358/en/

Quote from Brent Tischler, Executive Vice President, Director of Retail Banking at Associated Bank (Graphic: Business Wire)

Associated Bank is now offering personal loans powered by Upstart’s all-digital, AI-lending platform on its bank website to better serve its customers and approve more borrowers while staying within the bank’s risk parameters.

“Associated Bank is transforming our consumer lending products and excited to partner with Upstart to deliver a modern digital lending experience for personal loans,” said Brent Tischler, Executive Vice President, Director of Retail Banking at Associated Bank. “With a new personal loan product powered by Upstart on our website, we are able to provide a fast, convenient borrowing experience for more customers in the communities we serve.”

“We are excited to enable Associated Bank to combine its localized approach of a traditional community bank with the efficiencies and modern experiences of a larger organization through technology,” said Michael Lock, Senior Vice President of Lending Partnerships for Upstart. “With our AI lending platform, Associated Bank is now able to offer a new, inclusive lending program that can provide higher approval rates, lower APRs, and fully automated approvals for its customers.”

Upstart and Associated Bank began their partnership in February 2021. To learn more about Upstart for Banks and its bank-branded personal loan platform, please visit https://www.upstart.com/for-banks/ and watch this video.

ABOUT UPSTART

Upstart (NASDAQ: UPST) is a leading AI lending platform partnering with banks to expand access to affordable credit. By leveraging Upstart’s AI platform, Upstart-powered banks can have higher approval rates and lower loss rates, while simultaneously delivering the exceptional digital-first lending experience their customers demand. More than two-thirds of Upstart loans are approved instantly and are fully automated. Upstart was founded by ex-Googlers in 2012 and is based in San Mateo, California and Columbus, Ohio.

ABOUT ASSOCIATED BANC-CORP

Associated Banc-Corp (NYSE: ASB) has total assets of $35 billion and is Wisconsin’s largest bank holding company. Headquartered in Green Bay, Wisconsin, Associated is a leading Midwest banking franchise, offering a full range of financial products and services from more than 220 banking locations serving more than 120 communities throughout Wisconsin, Illinois and Minnesota, and commercial financial services in Indiana, Michigan, Missouri, Ohio and Texas. Associated Bank, N.A. is an Equal Housing Lender, Equal Opportunity Lender and Member FDIC. More information about Associated Banc-Corp is available at www.associatedbank.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210728005358/en/

Press Contact

Mike Nelson

[email protected]

KEYWORDS: United States North America California

INDUSTRY KEYWORDS: Professional Services Technology Other Technology Finance Software Banking

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Quote from Brent Tischler, Executive Vice President, Director of Retail Banking at Associated Bank (Graphic: Business Wire)

July 28, 2021 9:03 am

New Report Reveals 76% of Healthcare Systems Failed in Securing Their Supply Chains

New Report Reveals 76% of Healthcare Systems Failed in Securing Their Supply Chains

CynergisTek’s Annual Report Unveils Cracks in Healthcare Systems’ Cybersecurity; Organizations Barely Passed on Basic Cybersecurity

AUSTIN, Texas–(BUSINESS WIRE)–CynergisTek, (NYSE American: CTEK), a leading cybersecurity firm helping more than 1,000 hospitals navigate emerging security and privacy issues, released its fourth annual report, “Maturity Paradox: New World, New Threats, New Focus,” which revealed that most hospitals critically lack the ability to secure their supply chain systems.

In this report, CynergisTek reviewed just under 100 assessments of healthcare providers across the continuum, including hospitals, physician practices, Accountable Care Organizations (ACOs), and Business Associates. These assessments measure organizations’ security posture against the National Institute of Standards and Technology’s Cybersecurity Framework (NIST CSF), a standardized framework first published in 2014 intended to help protect American critical infrastructure.

Assessments were categorized into two cohorts: high performers with NIST conformance scores over 80% and low performers with conformance scores under 80%. CynergisTek’s 2021 report focuses on the industry’s overall status in cybersecurity preparedness, with 64% of organizations below 80% conformance. The report identified several areas for continued improvement in planning and preparedness, especially seeing as only 75% improved during the coronavirus pandemic – even then only slightly. While that is progress, it isn’t the progress the industry needs to shore up defenses. Investing in security, in the long run, is often ultimately more cost effective than paying the recent exorbitant ransoms.

“The past year has been arguably the most trying on the U.S. and global healthcare systems. We saw cybercriminals attack hospitals and healthcare institutions when they were at their most vulnerable – the industry made it through, granted with some bumps and bruises,” said David Finn, EVP at CynergisTek. “It is the responsibility now – of stakeholders, C-suite, IT managers, and anyone involved in protecting our healthcare system – to ensure that patient care remains resilient even in an environment with growing cyberattacks. The report demonstrates there is work to be done, but there are also immediate opportunities to shore up risk management practices.”

Supply Chain Proves Biggest Health System Weakness

Overall, Supply Chain Management was the second lowest-scoring and least mature category assessed. Even among high-performing organizations that have significantly improved over the past four years, scores averaged 2.7 out of 5, reflecting a universal challenge that companies face in identifying and addressing risks across their supply chains. With an acceptable score above a 3, only 23% of organizations passed on supply chain security – and barely – not even high performers achieved above a 3.

In particular, CynergisTek found that organizations struggle to validate whether third-party partners are meeting contractual security obligations. Given recent attacks on these critical third parties and suppliers – ranging from SolarWinds to Microsoft Exchange – and given the decentralized nature of global supply chains, it is imperative for organizations to dedicate time and resources to supply chain security before risks expand exponentially.

You need to look no further than the U.S. Department of Defense (DoD) for where the industry may head next from here. The DoD has mandated, through the Cybersecurity Maturity Model Certification (CMMC), that its suppliers demonstrate a minimum level of cyber hygiene standards. In fact, CynergisTek’s Redspin subsidiary was the first organization that received approval to perform audit work to determine the cyber readiness level of contractors before they do business with the DoD. This standard is likely to soon be implemented across other industries, as well.

“It’s clear that this is not the right time to cut back on cybersecurity, and that smart spending will be necessary to secure organizations against a rising tide of ransomware threats against critical infrastructure generally, and healthcare specifically. As we ride out the remainder of 2021, it’s within your power to ensure that the economic impacts of the digital transformation on your organization are net positive – assuming you make the right, proactive decisions to protect your assets, patients, and environment now,” added Finn.

Treat Security as a Journey, Not a Destination

Cybersecurity preparedness is a long-term initiative that requires consistent attention and proactive action to match the latest threats. Given current trends, as well as data revealed in CynergisTek’s 2021 report, healthcare organizations need to focus on the following:

Perform exercises and drills at the enterprise level, testing all components of the business. To have an effective response when the “boom” happens, do what the military does: Practice, on a large scale, and then build out a playbook and continue to iterate as needed.
Prioritize securing the supply chain. As Cybersecurity and Infrastructure Security Agency (CISA) puts it, the “supply chain is only as strong as its weakest link.” As demonstrated in this year’s findings, supply chains present a potential vulnerability with wide-ranging and unpredictable impact. Security leaders need to assess current investments and devise a plan of action that aims to rapidly remediate this major vulnerability. That should include, minimally, a risk-based assessment of critical third-party vendors based on access, data they hold or access and services they provide.
The key words are ‘automate’ and ‘validate.’ Automating security functions and validating technical controls for people and processes are foundational in any solid security. Security automation can detect, investigate, and even remediate cyber events and threats in near-real-time, so it is crucial to focus on automation that can be manually diagrammed. Then, adopt that automation gradually and roll out training to effectively leverage the tools so the right people can follow the appropriate procedures.
Double down on organizational awareness and training: People are an organization’s first and last line of defense, and despite the industry’s overall year-over-year improvement in cybersecurity posture, awareness and training remain an alarmingly unaddressed portion of companies’ strategies. CynergisTek’s 2021 report found that half of organizations are not training and informing end users regarding security on an ongoing basis. This trend is pervasive both within and outside of organizations. CynergisTek found a critical lack of education and understanding among C-Suite executives and board members, who have unique obligations and fiduciary responsibilities. Consistent with this year’s findings regarding the overall vulnerability of the supply chain, CynergisTek also found that many third-party vendors and partners lack training and understanding of their role in cybersecurity preparedness.

About CynergisTek

CynergisTek is a top-ranked cybersecurity consulting firm helping organizations in highly regulated industries, including those in healthcare, government, and finance, navigate emerging security and privacy issues. CynergisTek combines intelligence, expertise, and a distinct methodology to validate a company’s security posture and ensure the team is rehearsed, prepared, and resilient against threats. Since 2004, CynergisTek has been dedicated to hiring and retaining experts who bring real-life experience and hold advanced certifications to support and educate the industry by contributing to relevant industry associations. For more information, visit www.cynergistek.com or follow us on Twitter or Linkedin.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210728005597/en/

CynergisTek Investor Relations Contact:

CynergisTek, Inc.

Paul Anthony

(512) 402-8550 x8

[email protected]

CynergisTek Media Contact:

Allison + Partners

Jaime Tero

415-755-8639

[email protected]

KEYWORDS: United States North America Texas

INDUSTRY KEYWORDS: Supply Chain Management Retail Health Security Technology Hospitals Other Health

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July 28, 2021 9:03 am

Fastly Hits Critical Milestone in Extending App and API Protection to The Network Edge With Superior Signal Technology

Fastly Hits Critical Milestone in Extending App and API Protection to The Network Edge With Superior Signal Technology

Developers can detect and block suspicious traffic sooner by enforcing security policies at the edge

SAN FRANCISCO–(BUSINESS WIRE)–Fastly, Inc. (NYSE: FSLY), a global edge cloud platform provider, today announced beta availability of the Signal Sciences agent on the Fastly edge cloud platform. This represents a critical milestone toward Fastly’s vision of empowering developers to protect apps and APIs in every environment—cloud, on-premise, hybrid and now at the network edge. With this integration, customers will be able to leverage the powerful signal technology to write and push out rules in real-time to track suspicious requests and block attacks sooner.

“By bringing together the precision of Signal Sciences’ technology with the scale of Fastly’s network, organizations will have greater protection and security posture through multiple layers of defense,” said Christopher Rodriguez, Research Manager of Cybersecurity at IDC. “Both DDoS and web application attacks are on the rise, and mitigation at the edge is more important than ever before. With real-time signals security teams can accurately detect suspicious traffic and quickly create rules to protect against potential attacks.”

Through these advancements, customers will be able to:

Access smarter detection capabilities: Fastly’s next-gen WAF offers superior detection capabilities by assessing attack indicators to better define traffic types. If a malicious request is detected, that information is flagged and sent to Fastly’s edge to initiate blocking capabilities for a smarter and more informed security experience.

Enable faster, more targeted blocking: The integration will support signal exclusions rules in Signal Sciences’ management console, informed by attack indicators fed through Signal Sciences’ technology, to ensure benign traffic does not get inadvertently blocked.

Reduce false positives: According to a recent Enterprise Strategy Group (ESG) survey, 75% of respondents indicated that their organizations spend an equal amount or more time on false positives as actual attacks. This feature will directly combat this concern and reduce the disruption of legitimate web traffic and team workflow.

Enable a multi-layer defense strategy: Fastly’s next-gen WAF technology, combined with its large scale network, is uniquely designed to absorb the largest DDoS attacks and prevent traffic from slowing down or completely stopping. Additionally, Fastly offers customers an application layer of rate limiting and IP blocking at the edge. Each of these layers combined offers a valuable defense in depth strategy, protecting organizations from a wide variety of malicious attacks.

“Leaders need to reconsider how they are protecting their network, apps, and APIs as attackers get smarter,” said Dana Wolf, senior vice president of product and marketing at Fastly. “Security attacks can occur anywhere, and we want to enable our customers to run protection where it makes sense to them. Whether that’s in the cloud, data center, or ideally, at the edge. Fastly’s large global network, combined with Signal Sciences’ superior signal detection technology, makes it possible for organizations to enable a multi-layer or defense in depth strategy to protect every part of their business, no matter the environment.”

Fastly expects the edge-based agent for Fastly’s next-gen WAF to be available in production by the end of the year. To learn more about the beta program, visit https://www.fastly.com/products/cloud-security/web-application-api-protection.

About Fastly

Fastly helps people stay better connected with the things they love. Fastly’s edge cloud platform enables customers to create great digital experiences quickly, securely, and reliably by processing, serving, and securing our customers’ applications as close to their end-users as possible — at the edge of the internet. Fastly’s platform is designed to take advantage of the modern internet, to be programmable, and to support agile software development with unmatched visibility and minimal latency, empowering developers to innovate with both performance and security. Fastly’s customers include many of the world’s most prominent companies, including Pinterest, The New York Times, and GitHub.

Forward Looking Statements

This press release contains “forward-looking” statements that are based on Fastly’s beliefs and assumptions and on information currently available to Fastly on the date of this press release. Forward-looking statements may involve known and unknown risks, uncertainties, and other factors that may cause its actual results, performance, or achievements to be materially different from those expressed or implied by the forward-looking statements. These statements include, but are not limited to, those regarding the availability of the edge-based agent for Fastly’s next-gen WAF. Except as required by law, Fastly assumes no obligation to update these forward-looking statements publicly, or to update the reasons actual results could differ materially from those anticipated in the forward-looking statements, even if new information becomes available in the future. Important factors that could cause Fastly’s actual results to differ materially are detailed from time to time in the reports Fastly files with the Securities and Exchange Commission (SEC), including in Fastly’s Annual Report on Form 10-K for the fiscal year ended December 31, 2020, and our Quarterly Reports on Form 10-Q. Copies of reports filed with the SEC are posted on Fastly’s website and are available from Fastly without charge.

Source: Fastly, Inc.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210728005435/en/

Press Contact

[email protected]

Investor Contact

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KEYWORDS: United States Germany Malaysia Switzerland Singapore Austria North America Asia Pacific Europe California

INDUSTRY KEYWORDS: VoIP Software Internet Hardware Electronic Design Automation Data Management Technology Semiconductor Security Satellite Photography Audio/Video Telecommunications

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July 28, 2021 9:03 am

Asensus Surgical Receives FDA 510(k) Clearance for Articulating Instruments

Instrument platform expected to expand dexterity and add capability to Senhance® Surgical System

RESEARCH TRIANGLE PARK, N.C.–(BUSINESS WIRE)–Asensus Surgical, Inc. (NYSE American: ASXC), a medical device company that is digitizing the interface between the surgeon and patient to pioneer a new era of Performance-Guided Surgery™, today announced that it has received FDA 510(k) clearance for 5 mm diameter articulating instruments, adding to the Senhance Surgical System technology platform. Articulating instruments offer better access to difficult-to-reach areas of the anatomy by providing two additional degrees of freedom. These instruments have previously received CE Mark for use in the European Union.

“Bringing the benefits of 5 mm articulating instruments to the Senhance Surgical System in the U.S. will widen the clinical utility and value of our platform,” said Anthony Fernando, Asensus Surgical President and CEO. “Combining articulation and haptics with augmented intelligence is a very promising development for Performance-Guided Surgery.”

Asensus Surgical’s technology platform, the Senhance Surgical System, is the first of its kind digital laparoscopic platform that leverages augmented intelligence to provide unmatched performance and patient outcomes through machine learning. Senhance goes beyond the typical surgical robotic systems, providing surgical assurance through haptic feedback, eye-tracking camera control, and 3D visualization, and is the first platform to offer 3 mm instruments. Articulating instruments are the latest addition to the Senhance Surgical System in the United States, further enhancing surgical performance with robotic precision.

About Asensus Surgical, Inc.

Asensus Surgical, Inc. is digitizing the interface between the surgeon and patient to pioneer a new era of Performance-Guided Surgery by unlocking the clinical intelligence to enable consistently superior outcomes and a new standard of surgery. This builds upon the foundation of Digital Laparoscopy with the Senhance Surgical System powered by the Intelligent Surgical Unit™ (ISU™) to increase surgeon control and reduce surgical variability. With the addition of machine vision, augmented intelligence, and deep learning capabilities throughout the surgical experience, we intend to holistically address the current clinical, cognitive and economic shortcomings that drive surgical outcomes and value-based healthcare. Learn more about Performance-Guided Surgery and Digital Laparoscopy with the Senhance Surgical System here: www.senhance.com. Now available for sale in the US, EU, Japan, Russia, and select other countries. For a complete list of indications for use, visit: www.senhance.com/indications. For more information, visit www.asensus.com.

Forward-Looking Statements

This press release includes statements relating to the Senhance Surgical System and the FDA 510(k) clearance for articulating instruments. These statements and other statements regarding our future plans and goals constitute “forward looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and are intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. Such statements are subject to risks and uncertainties that are often difficult to predict, are beyond our control and which may cause results to differ materially from expectations and include whether the benefits of 5 mm articulating instruments to the Senhance Surgical System will widen clinical utility and value of our platform, and whether articulating instruments will expand dexterity and add capabilities to the Senhance Surgical System . For a discussion of the risks and uncertainties associated with the Company’s business, please review our filings with the Securities and Exchange Commission (SEC), including our Annual Report on Form 10-K for the year ended December 31, 2020, filed with the SEC on March 11, 2021 and our other filings we make with the SEC. You are cautioned not to place undue reliance on these forward looking statements, which are based on our expectations as of the date of this press release and speak only as of the origination date of this press release. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210728005560/en/

INVESTOR CONTACT:

Mark Klausner or Mike Vallie, 443-213-0499

[email protected]

or

MEDIA CONTACT:

Kristin Schaeffer

CG Life

[email protected]

KEYWORDS: United States North America North Carolina

INDUSTRY KEYWORDS: Technology Surgery Medical Devices FDA Other Health Health Pharmaceutical Data Management Science

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