Conformis Announces Achievement of Third Milestone Under Development and License Agreements

BILLERICA, Mass., April 22, 2021 (GLOBE NEWSWIRE) — Conformis, Inc. (NASDAQ:CFMS) announced today that it received 510(k) clearance by the U.S. Food and Drug Administration for patient-specific instrumentation (“PSI”) developed by the Company under its License Agreement and Development Agreement with Howmedica Osteonics Corp., a wholly owned subsidiary of Stryker Corporation also known as Stryker Orthopaedics. With the clearance of this PSI system, which is designed for use with Stryker’s Triathlon® Total Knee System, the Company has achieved the third of three milestones under the agreements and will receive $11.0 million from Stryker.

“With the recent FDA clearance, we are pleased to have attained the last milestone of our project and to report the successful conclusion of our joint development agreement with Stryker,” said Mark Augusti, President and Chief Executive Officer. “Despite the global challenges of the last 12 months, the dedication of our project and support teams has enabled us to achieve this major milestone on schedule. We now will turn our efforts to focusing on our long-term distribution agreement, under which Conformis will manufacture and supply PSI to Stryker. We continue to believe this initiative will create shareholder value as we satisfy the increasing demand for efficient outpatient ambulatory surgery center joint replacement.”

About Conformis, Inc.

Conformis is a medical technology company that uses its proprietary iFit® Image-to-Implant® technology platform to develop, manufacture, and sell joint replacement implants and instruments that are individually sized and shaped, which we refer to as personalized, individualized, or sometimes as customized, to fit each patient’s unique anatomy. Conformis offers a broad line of sterile, personalized knee and hip implants and single-use instruments delivered to hospitals and ambulatory surgical centers. In clinical studies, the Conformis iTotal® CR knee replacement system demonstrated superior clinical outcomes, including better function and greater patient satisfaction, compared to traditional, off-the-shelf implants. Conformis owns or exclusively in-licenses issued patents and pending patent applications that cover personalized implants and patient-specific instrumentation for all major joints.

For more information, visit www.conformis.com. To receive future releases in e-mail alerts, sign up at ir.conformis.com.

Cautionary Statement Regarding Forward-Looking Statements

Statements in this press release about our future expectations, plans and prospects, including statements about the anticipated timing of our product launches, and our financial position and results, total revenue, product revenue, gross margin, operations and growth, as well as other statements containing the words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” or “would” and similar expressions, constitute forward-looking statements within the meaning of the safe harbor provisions of The Private Securities Litigation Reform Act of 1995. We may not actually achieve the forecasts disclosed in our forward-looking statements, and you should not place undue reliance on our forward-looking statements. Actual financial results could differ materially from the projections disclosed in the forward-looking statements we make as a result of a variety of risks and uncertainties, including risks related to our estimates and expectations regarding our revenue, gross margin, expenses, revenue growth and other results of operations, and the other risks and uncertainties described in the “Risk Factors” sections of our public filings with the Securities and Exchange Commission. In addition, the forward-looking statements included in this press release represent our views as of the date hereof. We anticipate that subsequent events and developments may cause our views to change. However, while we may elect to update these forward-looking statements at some point in the future, we specifically disclaim any obligation to do so. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date hereof.



CONTACT:
Investor Contact
[email protected]
+1 (781) 374-5598

Colony Bankcorp and SouthCrest Financial Group to Combine in Transformational Merger

Colony Bankcorp and SouthCrest Financial Group to Combine in Transformational Merger

Merger Creates Georgia’s Largest Community Bank and an Acquirer of Choice for Community Banks in Georgia and the Southeast

FITZGERALD, Ga & ATLANTA–(BUSINESS WIRE)–
Colony Bankcorp, Inc. (Nasdaq: CBAN) (“Colony” or “the Company”), the holding company for Colony Bank, and SouthCrest Financial Group, Inc. (PK: SCSG) (“SouthCrest”), the holding company for SouthCrest Bank, N.A., today jointly announced the signing of an Agreement and Plan of Merger under which Colony has agreed to acquire 100% of the common stock of SouthCrest in a combined stock-and-cash transaction valued at approximately $84.0 million. Upon completion of the transaction, Colony is expected to have approximately $2.4 billion in assets, $1.4 billion in loans, $2.0 billion in deposits, and $165.8 million in tangible common equity. The transaction is expected to be meaningfully accretive to Colony’s fully diluted earnings per share in year one, excluding transaction costs.

The Agreement and Plan of Merger has been approved by the Boards of Directors of Colony and SouthCrest. The closing of the transaction, which is expected to occur no later than the fourth quarter of 2021, is subject to customary conditions, including regulatory approval and approval by the shareholders of Colony and SouthCrest.

Under the terms of the Agreement and Plan of Merger, each SouthCrest shareholder will have the right to elect to receive either $10.45 in cash or 0.7318 shares of Colony’s common stock in exchange for each share of SouthCrest common or preferred stock, subject to customary proration and allocation procedures such that approximately 27.5% of SouthCrest shares will be converted to cash consideration and the remaining 72.5% of SouthCrest shares will be converted to Colony common stock. Based on Colony’s closing stock price of $15.00 per share as of April 21, 2021, the value of the per share merger consideration is estimated to be $10.83.

Commenting on the announcement, Heath Fountain, President and Chief Executive Officer, said, “We are pleased to announce the acquisition of SouthCrest Financial Group and SouthCrest Bank. This acquisition will allow Colony to accelerate its growth by increasing our footprint to include the attractive Northern Georgia markets and additionally provide us access to the highly populous suburban Atlanta markets. Colony has built a reputation for responsive, high-quality customer service, and in that regard, our two companies share a unique alignment of core philosophies, values and ambitions that should make the integration process simple and, for SouthCrest’s customers, seamless and transparent.

“With little overlap in our respective branch networks, we look forward to serving these customers with a broader array of products, capabilities, and resources, including mortgage banking and Small Business Administration lending, which should translate into meaningful enhancements to the way they experience banking. In turn, we expect to realize additional growth in loans and deposits beyond our own organic expansion, as well as greater efficiencies in our business. Moreover, with combined assets of $2.4 billion, Colony will be the largest community bank and the fourth largest bank based in Georgia. We believe significant opportunities exist for continued growth as we increase our combined banks’ operational scale and bring additional resources to our new markets.”

Fountain continued, “Outside of the appealing financial and strategic rationale for this transaction, we also are pleased to note that Harold W. Wyatt, III, Chairman of SouthCrest Financial Group, and Brian D. Schmitt, Chief Executive Officer of SouthCrest Financial Group, will join Colony’s Board of Directors when the acquisition is completed. Brian will also join our executive team in the role of Executive Vice Chairman. I have known Brian for many years and have worked with him at a prior financial institution. He has a deep understanding of suburban Atlanta markets, as well as a keen focus on strategic planning and acquisitions. His knowledge will be invaluable as we continue to grow Colony Bank. Brian will also be joined by several experienced SouthCrest executive team members who will joining the combined company.”

Schmitt commented, “As our company considered various growth and strategic alternatives, our Board was impressed by the Colony team. Colony will provide greater capital resources and operational scale that will allow us to grow as part of the largest community bank in the state. The transaction provides an increased competitive advantage in the banking arena, not only from the standpoint of products and services, but also those related to customer service. I am excited to once again be working with Heath who I have known for many years, as well as his management team. We are pleased that both institutions share commonalities of enhanced service and value.”

Hovde Group, LLC, served as financial advisor and Fenimore, Kay, Harrison & Ford, LLP, provided legal counsel to Colony. Janney Montgomery Scott served as financial advisor to SouthCrest and Alston & Bird, LLP, served as its legal advisor.

Conference Call

Management will host a conference call and webcast to discuss the acquisition of SouthCrest at 8:30 a.m. Eastern Time on Friday, April 23, 2021. The number to call for the interactive teleconference is (877) 317-6789. A telephonic replay of the conference call will be available through Friday, May 7, 2021, by dialing (877) 344-7529 and entering confirmation number 10155222. A live webcast of this conference call will be available under the Shareholder Information section of the Company’s website, www.colony.bank. A 30-day online replay will be available approximately an hour following the conclusion of the live broadcast.

About Colony Bankcorp

Colony Bankcorp, Inc. is the bank holding company for Colony Bank. Founded in 1975 and headquartered in Fitzgerald, Georgia. Colony operates 29 locations throughout Georgia. The Homebuilder Finance Division helps the local construction industry with building and construction loans, and the Small Business Specialty Lending Division assists small businesses with government guaranteed loans. The Bank also helps its customers achieve their goal of home ownership through Colony Bank Mortgage. Colony’s common stock is traded on the NASDAQ Global Market under the symbol “CBAN.” For more information, please visit www.colony.bank. You can also follow the Company on Facebook or on Twitter @colony_bank.

About SouthCrest Financial Group

SouthCrest Financial Group, Inc. is a bank holding company with over $700 million in assets, headquartered in Atlanta, GA. The company operates a nine branch network throughout Georgia through its subsidiary bank, SouthCrest Bank, N.A. The bank provides a full suite of retail, private, entrepreneurial, high-net-worth and commercial banking services, and online banking services.

Forward-Looking Statements

This news release contains “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. In general, forward-looking statements usually use words such as “may,” “believe,” “expect,” “anticipate,” “intend,” “will,” “should,” “plan,” “estimate,” “predict,” “continue” and “potential” or the negative of these terms or other comparable terminology, including statements related to the expected timing of the closing of the Merger, the expected returns and other benefits of the Merger, to shareholders, expected improvement in operating efficiency resulting from the Merger, estimated expense reductions resulting from the transactions and the timing of achievement of such reductions, the impact on and timing of the recovery of the impact on tangible book value, and the effect of the Merger on the Company’s capital ratios. Forward-looking statements represent management’s beliefs, based upon information available at the time the statements are made, with regard to the matters addressed; they are not guarantees of future performance. Forward-looking statements are subject to numerous assumptions, risks and uncertainties that change over time and could cause actual results or financial condition to differ materially from those expressed in or implied by such statements.

Factors that could cause or contribute to such differences include, but are not limited to the risk that the cost savings and any revenue synergies from the Merger may not be realized or take longer than anticipated to be realized, disruption from the Merger with customers, suppliers, employee or other business partners relationships, the occurrence of any event, change or other circumstances that could give rise to the termination of the Merger Agreement, the risk of successful integration of SouthCrest’s business into the Company, the failure to obtain the necessary approvals by the shareholders of SouthCrest, the amount of the costs, fees, expenses and charges related to the Merger, the ability by the Company to obtain required governmental approvals of the Merger, reputational risk and the reaction of each of the companies’ customers, suppliers, employees or other business partners to the Merger, the failure of the closing conditions in the Merger Agreement to be satisfied, or any unexpected delay in closing of the Merger, the risk that the integration of SouthCrest’s operations into the operations of the Company will be materially delayed or will be more costly or difficult than expected, the possibility that the Merger may be more expensive to complete than anticipated, including as a result of unexpected factors or events, the dilution caused by the Company’s issuance of additional shares of its common stock in the merger transaction, and general competitive, economic, political and market conditions. Additional factors which could affect the forward-looking statements can be found in the cautionary language included under the headings “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Risk Factors” in the Company’s Annual Reports on Form 10-K for the year ended December 31, 2020, and other documents subsequently filed by the Company with the SEC. Consequently, no forward-looking statement can be guaranteed. Neither the Company nor SouthCrest undertakes any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. For any forward-looking statements made in this new release or any related documents, the Company and SouthCrest claim protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.

Additional Information About the Merger and Where to Find It

In connection with the proposed Merger, the Company will file with the Securities and Exchange Commission (the “SEC”) a registration statement on Form S-4 that will include a proxy statement of SouthCrest and a prospectus of the Company, as well as other relevant documents concerning the proposed transaction. WE URGE INVESTORS AND SECURITY HOLDERS TO READ THE REGISTRATION STATEMENT ON FORM S-4, THE PROXY STATEMENT /PROSPECTUS INCLUDED WITHIN THE REGISTRATION STATEMENT ON FORM S-4 AND ANY OTHER RELEVANT DOCUMENTS TO BE FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED MERGER BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE COMPANY, SOUTHCREST AND THE PROPOSED MERGER. The proxy statement/prospectus will be sent to the shareholders of SouthCrest seeking the required shareholder approval. Investors and security holders will be able to obtain free copies of the registration statement on Form S-4 and the related proxy statement/prospectus, when filed, as well as other documents filed with the SEC by the Company through the web site maintained by the SEC at www.sec.gov. Documents filed with the SEC by the Company will also be available free of charge by directing a written request to Colony Bankcorp, Inc., 115 South Grant Street, Fitzgerald, Georgia 31750 Attn: Tracie Youngblood. The Company’s telephone number is (229) 426-6000.

Participants in the Transaction

The Company, SouthCrest and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies from the shareholders of SouthCrest in connection with the proposed transaction. Certain information regarding the interests of these participants and a description of their direct and indirect interests, by security holdings or otherwise, will be included in the proxy statement/prospectus regarding the proposed transaction when it becomes available. Additional information about the Company and its directors and officers may be found in the definitive proxy statement of the Company relating to its 2021 Annual Meeting of Shareholders filed with the SEC on April 16, 2021. The definitive proxy statement can be obtained free of charge from the sources described above.

Colony Bankcorp, Inc.

Tracie Youngblood

EVP & Chief Financial Officer

(229) 426-6000, ext. 6003

SouthCrest Financial Group, Inc.

Andy Borrmann

Chief Financial Officer

(678) 734-3505

KEYWORDS: United States North America Georgia

INDUSTRY KEYWORDS: Banking Professional Services

MEDIA:

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Colony Bankcorp Reports First Quarter 2021 Results

Colony Bankcorp Reports First Quarter 2021 Results

Declares Quarterly Cash Dividend of $0.1025 Per Share

FITZGERALD, Ga.–(BUSINESS WIRE)–
Colony Bankcorp, Inc. (Nasdaq: CBAN) (“Colony” or the “Company”) today reported net income of $4.9 million, $0.52 per diluted share, for the quarter ended March 31, 2021, compared with $1.6 million, or $0.17 per diluted share, for the quarter ended March 31, 2020. The Company reported operating net income of $5.1 million, or $0.53 per diluted share, for the quarter ended March 31, 2021, compared with $1.8 million, or $0.19 per diluted share for the same period in 2020. Operating net income for March 31, 2021 and 2020 excludes after-tax acquisition related expenses, and the net income tax expense (benefit) for the adjustments.

First Quarter 2021 Financial Highlights:

  • Net income remained stable at $4.9 million, or $0.52 per diluted share, compared to the fourth quarter of 2020.
  • Operating net income of $5.1 million, or $0.53 per diluted share, an increase of $845,000, or $0.09, compared to the fourth quarter of 2020 (see Non-GAAP reconciliation).
  • Growth in total assets of $35.1 million, or 1.99%, compared to the fourth quarter of 2020.
  • Increase in noninterest income from mortgage banking activity of $550,000 compared to the fourth quarter of 2020.
  • $500,000 provision for loan losses, a decrease of $796,000, or 61.4%, compared to the fourth quarter 2020.
  • Mortgage production of $101.7 million, with $40.0 million in refinances, $56.7 million in purchases, and $5.0 million in construction related loans.
  • Small Business Specialty Lending (“SBSL”) closed $64.0 million in SBA loans ($46.9 million in PPP loans and $17.1 million in core SBA loans) and sold $11.8 million in SBA loans.

The Company also announced that on April 22, 2021, the Board of Directors declared a quarterly cash dividend of $0.1025 per share, to be paid on its common stock on May 17, 2021, to shareholders of record as of the close of business on May 3, 2021.

Commenting on the announcement, Heath Fountain, President and Chief Executive Officer, said, “While we continue to operate in a highly uncertain and difficult environment due to the ongoing pandemic, we remain optimistic based on our financial achievements and solid credit metrics. I am pleased to report strong earnings growth for the first quarter. Diluted earnings per share increased 205% over the same period last year to $0.52 per diluted share. First quarter saw continued strength in mortgage banking income as well as in our Small Business Specialty Lending Division, with significant increases in both on a year-over-year and sequential quarter basis. We also experienced growth in our balance sheet metrics for the period, including growth in total deposits and total assets, while organic loan growth increased 5%. We continue to actively participate in the latest round of the Small Business Administration (“SBA”) Paycheck Protection Program (“PPP”) enacted as part of the Coronavirus Aid, Relief and Economic Security Act.

“Net interest income increased 12.4% year-over-year despite lower yields on loans and deposits held at other banks, as well as lower interest expenses. Due to continued pressure on interest rates and low rates on PPP loans, our net interest margin decreased 13 basis points to 3.50% compared with the year-earlier period.

“Our continuing efforts to diversify our revenue streams produced multiple gains. Noninterest income saw very strong growth, increasing 90% year over year, with mortgage fee income increasing to $4.0 million in the current quarter compared to $1.3 million in the first quarter of 2020. This increase in noninterest income was offset by increases in noninterest expense, such as salaries and employee benefits due to the additional headcount, as well as increases in information technology to support our growth.

“We took a lower provision for loan loss of $500,000 this quarter, a substantial decrease from the $2.0 million in the first quarter of 2020, primarily due to performance of loans as well as increased clarity in the current operating environment. Our allowance for loan and lease losses now represents 1.19% of total loans outstanding, an increase from 0.85% in the year-earlier quarter and 1.14% on a sequential-quarter basis. Total nonperforming assets decreased to 0.62% of total assets from 0.91% in the year-earlier quarter, and slightly increased from 0.58% on a sequential-quarter basis.

“We ended the year with total interest earning assets of $1.7 billion, up $260.0 million, or 18%, while growing total assets to $1.8 billion, a record for the Company. Total loans, including acquisition activity and loans from the Small Business Administration Paycheck Protection Program (“PPP”), increased 10% year-over-year, while organic loan growth increased 5%

In closing, Fountain added, “We have strived to pursue a vision of community banking that we have advanced since our founding. Our solid quarter and credit metrics allows us to continue to execute our business model while staying true to our community banking heritage. Our Board remains confident in our strategic business model as evidenced by the continued dividend payment. We look forward to the coming year with excitement and optimism as we grow our Bank and reward our shareholders.”

Balance Sheet

  • Total assets totaled $1.8 billion at March 31, 2021, an increase of $289.0 million, or 19.1%, compared to the same period in 2020.
  • Interest-bearing deposits in banks and federal funds sold at March 31, 2021, totaled $165.4 million, an increase of $90.2 million, or 120.0% compared to the same period in 2020. The increase is primarily attributable to the funding of approximately 2,400 PPP loans beginning in second quarter 2020, which also generated growth in our interest-bearing deposits in banks as of March 31, 2021.
  • Total loans, including loans held for sale, totaled $1.09 billion at March 31, 2021, an increase of $91.2 million, or 9.1%, from the same period in 2020. Growth in core loans was primarily attributable to PPP loan originations, while mortgage demand substantially increased during 2020 into 2021 as a result of historically low interest rates.
  • Total deposits totaled $1.53 billion at March 31, 2021, an increase of $233.6 million, or 18.1%, compared to the same period in 2020. The increase in deposits was primarily in noninterest-bearing and interest bearing demand deposits as a result of the PPP loan activity during 2020 and 2021.
  • Total borrowings at March 31, 2021, totaled $120.6 million, an increase of $81.3 million or 94.8% compared to the same period in 2020. While the Company prepaid $24.5 million in FHLB advances, funding of PPP loans through the Paycheck Protection Program Liquidity Facility (“PPPLF”) increased outstanding borrowings substantially during 2020. At March 31, 2021, the PPPLF totaled $60.6 million with comparison to prior year not applicable.

Capital

  • Colony continues to maintain a strong capital position, with ratios that exceed regulatory minimums required to be classified as “well-capitalized.”
  • Preliminary tier one leverage ratio, tier one capital ratio, total risk-based capital ratio and common equity tier one capital ratio were 8.70%, 12.49%, 13.57%, and 10.49%, respectively at March 31, 2021.

First Quarter Results of Operations

  • Net interest income on a tax-equivalent basis for the first quarter 2021 totaled $14.3 million, compared to $12.7 million for the first quarter 2020. The increase during the quarter is primarily attributable to increases in accretion income on acquired loans and loan fee income recognized on PPP loans forgiven and a decrease in the cost of interest-bearing liabilities.
  • Net interest margin was down 13 basis points over the sequential quarter primarily driven by decreased accretion income on acquired loans, a decrease in deferred fee income recognized on PPP loans and reductions in loan rates driven by Federal Reserve interest rate decreases during 2020. During the quarter ended March 31, 2021, PPP loans totaling approximately $45.4 million were forgiven through the SBA, with an additional $46.9 million of PPP loans closed related to Round 2.
  • Noninterest income totaled $8.6 million for the first quarter ended March 31, 2021, an increase of $4.1 million, or 90.3%, compared to the same period in 2020. The increase was primarily attributable to growth in mortgage production income as a result of increased loan demand resulting from a historically low interest rate environment.
  • Noninterest expense totaled $15.8 million for the first quarter ended March 31, 2021, compared to $13.3 million for the same period in 2020. The increase in noninterest expense primarily resulted from a $2.5 million increase in salary expense largely related to the increase in mortgage and SBSL loan production.

Asset Quality

  • Nonperforming assets totaled $11.2 million and $10.2 million at March 31, 2021 and December 31, 2020, respectively.
  • OREO and repossessed assets totaled $547,000 at March 31, 2021, a decrease of $489,000, or 47.2%, compared to December 31, 2020.
  • Net loan recoveries were $66,000, or (0.02%) of average loans for the first quarter of 2021, compared to net charge-offs of $189,000 in the fourth quarter of 2020.
  • The loan loss reserve was $12.7 million, or 1.19% of total loans, at March 31, 2021, compared to $12.1 million, or 1.14% of total loans, at December 31, 2020.

While nonperforming assets have increased year-over-year primarily as a result of increased traditional loan production, asset quality remains strong with overall improvement in asset quality ratios as of the first quarter 2021 on a year-over-year comparison.

About Colony Bankcorp

Colony Bankcorp, Inc. is the bank holding company for Colony Bank. Founded in 1975 and headquartered in Fitzgerald, Georgia, Colony operates 29 locations throughout Georgia. The Homebuilder Finance Division helps the local construction industry with building and construction loans, and the Small Business Specialty Lending Division assists small businesses with government guaranteed loans. The Bank also helps its customers achieve their goal of home ownership through Colony Bank Mortgage. Colony’s common stock is traded on the NASDAQ Global Market under the symbol “CBAN.” For more information, please visit www.colony.bank. You can also follow the Company on Facebook or on Twitter @colony_bank.

Forward-Looking Statements

Certain statements contained in this press release that are not statements of historical fact constitute “forward-looking statements” within the meaning of, and subject to the protections of, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In addition, certain statements may be contained in the Company’s future filings with the SEC, in press releases, and in oral and written statements made by or with the approval of the Company that are not statements of historical fact and constitute “forward-looking statements” within the meaning of, and subject to the protections of, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Examples of forward-looking statements include, but are not limited to: (i) projections and/or expectations of revenues, income or loss, earnings or loss per share, the payment or nonpayment of dividends, capital structure and other financial items; (ii) statement of plans and objectives of Colony Bankcorp, Inc. or its management or Board of Directors, including those relating to products or services; (iii) statements of future economic performance; (iv) statements regarding growth strategy, capital management, liquidity and funding, and future profitability; (v) statements regarding the potential effects of the COVID-19 pandemic on the Company’s business and financial results and conditions; and (vi) statements of assumptions underlying such statements. Words such as “believes,” “anticipates,” “expects,” “intends,” “targeted” and similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements.

Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve known and unknown risks and uncertainties. Factors that might cause such differences include, but are not limited to: the impact of the COVID-19 pandemic on the Company’s assets, business, cash flows, financial condition, liquidity, prospects and results of operations; potential increases in the provision for loan losses resulting from the COVID-19 pandemic; the Company’s ability to implement its various strategic and growth initiatives; competitive pressures among financial institutions increasing significantly; economic conditions, either nationally or locally, in areas in which the Company conducts operations being less favorable than expected; interest rate risk; legislation or regulatory changes which adversely affect the ability of the consolidated Company to conduct business combinations or new operations, including changes to statutes, regulations or regulatory policies or practices as a result of, or in response to COVID-19; adverse results from current or future litigation, regulatory examinations or other legal and/or regulatory actions, including as a result of the Company’s participation in and execution of government programs related to the COVID-19 pandemic; risks that the anticipated benefits from the acquisition and disposition transactions we have engaged in or may engage in the future are not realized in the time frame anticipated or at all as a result of changes in general economic and market conditions or other unexpected factors or events. These and other factors, risks and uncertainties could cause the actual results, performance or achievements of the Company to be materially different from the future results, performance or achievements expressed or implied by such forward-looking statements. Many of these factors are beyond the Company’s ability to control or predict.

Forward-looking statements speak only as of the date on which such statements are made. These forward-looking statements are based upon information presently known to the Company’s management and are inherently subjective, uncertain and subject to change due to any number of risks and uncertainties, including, without limitation, the risks and other factors set forth in the Company’s filings with the Securities and Exchange Commission, the Company’s Annual Report on Form 10-K for the year ended December 31, 2020, under the captions “Cautionary Note Regarding Forward-Looking Statements” and “Risk Factors,” and in the Company’s quarterly reports on Form 10-Q and current reports on Form 8-K. The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events. Readers are cautioned not to place undue reliance on these forward-looking statements.

Explanation of Certain Unaudited Non-GAAP Financial Measures

The measures entitled operating net income; adjusted earnings per diluted share; tangible book value per common share and operating efficiency ratio are not measures recognized under U.S. generally accepted accounting principles (GAAP) and therefore are considered non-GAAP financial measures. The most comparable GAAP measures are net income, diluted earnings per share, book value per common share and efficiency ratio, respectively.

Management uses these non-GAAP financial measures in its analysis of the Company’s performance and believes these presentations provide useful supplemental information, and a clearer understanding of the Company’s performance, and if not provided would be requested by the investor community. The Company believes the non-GAAP measures enhance investors’ understanding of the Company’s business and performance. These measures are also useful in understanding performance trends and facilitate comparisons with the performance of other financial institutions. The limitations associated with operating measures are the risk that persons might disagree as to the appropriateness of items comprising these measures and that different companies might calculate these measures differently.

These disclosures should not be considered an alternative to GAAP. The computations of operating net income; adjusted earnings per diluted share; tangible book value per common share and operating efficiency ratio and the reconciliation of these measures to net income, diluted earnings per share, book value per common share and efficiency ratio are set forth in the table below.

 
 

Colony Bankcorp, Inc.

 

 

 

 

Reconciliation of Non-GAAP Measures

 

 

 

 

 

 

 

 

 

 

 

 

 

2021

 

2020

(dollars in thousands, except per share data)

 

First Quarter

 

Fourth Quarter

 

Third Quarter

 

Second Quarter

 

First Quarter

Operating net income reconciliation

 

 

 

 

 

 

 

 

 

 

Net income (GAAP)

 

$

4,919

 

 

$

4,900

 

 

$

3,098

 

 

$

2,214

 

 

$

1,603

 

Acquisition-related expenses

 

 

105

 

 

 

148

 

 

 

207

 

 

 

220

 

 

 

287

 

Thomaston building write down

 

 

 

 

 

 

 

 

582

 

 

 

 

 

 

 

Gain on sale of Thomaston branch

 

 

 

 

 

(1,026

)

 

 

 

 

 

 

 

 

 

Income tax expense (benefit)

 

 

27

 

 

 

184

 

 

 

(166

)

 

 

(46

)

 

 

(60

)

Operating net income

 

$

5,051

 

 

$

4,206

 

 

$

3,721

 

 

$

2,388

 

 

$

1,830

 

Weighted average diluted shares

 

 

9,498,783

 

 

 

9,498,783

 

 

 

9,498,783

 

 

 

9,498,783

 

 

 

9,498,783

 

Adjusted earnings per diluted share

 

$

0.53

 

 

$

0.44

 

 

$

0.39

 

 

$

0.25

 

 

$

0.19

 

 

 

 

 

 

 

 

 

 

 

 

Tangible book value per common share reconciliation

 

 

 

 

 

 

 

 

 

 

Book value per common share (GAAP)

 

$

15.11

 

 

$

15.21

 

 

$

14.78

 

 

$

14.59

 

 

$

14.35

 

Effect of goodwill and other intangibles

 

 

(1.97

)

 

 

(1.95

)

 

 

(1.96

)

 

 

(1.96

)

 

 

(2.06

)

Tangible book value per common share

 

$

13.14

 

 

$

13.26

 

 

$

12.82

 

 

$

12.63

 

 

$

12.29

 

 

 

 

 

 

 

 

 

 

 

 

Operating efficiency ratio calculation

 

 

 

 

 

 

 

 

 

 

Efficiency ratio (GAAP)

 

 

69.04

%

 

 

68.93

%

 

 

76.22

%

 

 

72.75

%

 

 

77.32

%

Acquisition-related expenses

 

 

(0.46

)

 

 

(0.64

)

 

 

(0.97

)

 

 

(1.20

)

 

 

(1.68

)

Gain on sale of Thomaston branch

 

 

%

 

 

3.19

%

 

 

%

 

 

%

 

 

%

Thomaston building write down

 

 

%

 

 

%

 

 

(2.72

)%

 

 

%

 

 

%

Operating efficiency ratio

 

 

68.58

%

 

 

71.49

%

 

 

72.53

%

 

 

71.55

%

 

 

75.64

%

 
Colony Bankcorp, Inc.

Selected Financial Information

 

 

 

 

 

 

 

 

 

 

 

 

 

2021

 

2020

(dollars in thousands, except per share data)

 

First Quarter

 

Fourth Quarter

 

Third Quarter

 

Second Quarter

 

First Quarter

EARNINGS SUMMARY

 

 

 

 

 

 

 

 

 

 

Net interest income

 

$

14,283

 

 

$

15,151

 

 

$

13,848

 

 

$

13,541

 

 

$

12,704

 

Provision for loan losses

 

500

 

 

1,296

 

 

1,106

 

 

2,200

 

 

1,956

 

Non-interest income

 

8,576

 

 

8,039

 

 

6,930

 

 

4,843

 

 

4,526

 

Non-interest expense

 

15,782

 

 

15,986

 

 

15,690

 

 

13,375

 

 

13,343

 

Income taxes

 

1,658

 

 

1,008

 

 

884

 

 

595

 

 

328

 

Net income

 

4,919

 

 

4,900

 

 

3,098

 

 

2,214

 

 

1,603

 

PERFORMANCE MEASURES

 

 

 

 

 

 

 

 

 

 

Per common share:

 

 

 

 

 

 

 

 

 

 

Common shares outstanding

 

9,498,783

 

 

9,498,783

 

 

9,498,783

 

 

9,498,783

 

 

9,498,783

 

Weighted average basic shares

 

9,498,783

 

 

9,498,783

 

 

9,498,783

 

 

9,498,783

 

 

9,498,783

 

Weighted average diluted shares

 

9,498,783

 

 

9,498,783

 

 

9,498,783

 

 

9,498,783

 

 

9,498,783

 

Earnings per basic share

 

$

0.52

 

 

$

0.52

 

 

$

0.33

 

 

$

0.23

 

 

$

0.17

 

Earnings per diluted share

 

0.52

 

 

0.52

 

 

0.33

 

 

0.23

 

 

0.17

 

Adjusted earnings per diluted share

 

0.53

 

 

0.44

 

 

0.39

 

 

0.25

 

 

0.34

 

Cash dividends declared per share

 

0.10

 

 

0.10

 

 

0.10

 

 

0.10

 

 

0.10

 

Common book value per share

 

15.11

 

 

15.21

 

 

14.78

 

 

14.59

 

 

14.35

 

Tangible common book value per share

 

13.14

 

 

13.26

 

 

12.82

 

 

12.63

 

 

12.29

 

 

 

 

 

 

 

 

 

 

 

 

Performance ratios:

 

 

 

 

 

 

 

 

 

 

Net interest margin (a)

 

3.50

%

 

3.58

%

 

3.34

%

 

3.41

%

 

3.63

%

Return on average assets

 

1.12

 

 

1.08

 

 

0.70

 

 

0.52

 

 

0.42

 

Return on average total equity

 

13.71

 

 

13.73

 

 

8.80

 

 

6.47

 

 

4.79

 

Efficiency ratio

 

69.04

 

 

68.93

 

 

76.22

 

 

72.75

 

 

77.32

 

Operating efficiency ratio (b)

 

68.58

 

 

71.49

 

 

72.53

 

 

71.55

 

 

75.64

 

 

 

 

 

 

 

 

 

 

 

 

ASSET QUALITY

 

 

 

 

 

 

 

 

 

 

Nonperforming loans (NPLs)

 

$

10,676

 

 

$

9,128

 

 

$

9,926

 

 

$

11,459

 

 

$

10,130

 

Other real estate owned

 

518

 

 

1,006

 

 

1,875

 

 

1,769

 

 

847

 

Repossessed assets

 

29

 

 

30

 

 

11

 

 

17

 

 

19

 

Total nonperforming assets (NPAs)

 

11,223

 

 

10,164

 

 

11,812

 

 

13,245

 

 

10,996

 

Classified loans

 

35,182

 

 

30,404

 

 

21,388

 

 

20,619

 

 

23,093

 

Criticized loans

 

80,288

 

 

75,633

 

 

72,076

 

 

52,200

 

 

46,600

 

Net loan (recoveries)/charge-offs

 

(66

)

 

189

 

 

375

 

 

295

 

 

435

 

Allowance for loan losses to total loans

 

1.19

%

 

1.14

%

 

1.00

%

 

0.92

%

 

0.85

%

Allowance for loan losses to total NPLs

 

118.89

 

 

132.85

 

 

111.02

 

 

89.79

 

 

64.81

 

Allowance for loan losses to total NPAs

 

113.10

 

 

119.31

 

 

93.29

 

 

77.68

 

 

60.83

 

Net (recoveries)/charge-offs to average loans

 

(0.02

)

 

0.07

 

 

0.13

 

 

0.12

 

 

0.18

 

NPLs to total loans

 

1.00

 

 

0.86

 

 

0.90

 

 

1.03

 

 

1.13

 

NPAs to total assets

 

0.62

 

 

0.58

 

 

0.67

 

 

0.75

 

 

0.91

 

NPAs to total loans and other real estate owned

 

1.06

 

 

0.96

 

 

1.07

 

 

1.19

 

 

1.39

 

 

 

 

 

 

 

 

 

 

 

 

AVERAGE BALANCES

 

 

 

 

 

 

 

 

 

 

Total assets

 

$

1,774,123

 

 

$

1,797,749

 

 

$

1,766,717

 

 

$

1,702,902

 

 

$

1,516,191

 

Loans, net

 

1,079,007

 

 

1,151,872

 

 

1,130,231

 

 

1,094,299

 

 

974,614

 

Deposits

 

1,475,944

 

 

1,456,287

 

 

1,140,487

 

 

1,384,739

 

 

1,293,784

 

Total stockholders’ equity

 

145,515

 

 

141,570

 

 

139,721

 

 

137,213

 

 

134,304

 

(a) Computed using fully taxable-equivalent net income.

(b) Non-GAAP measure – see “Explanation of Certain Unaudited Non-GAAP Financial Measures” for more information and reconciliation to GAAP

 

Colony Bankcorp, Inc.

Average Balance Sheet and Net Interest Analysis

(dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended March 31,

 

2021

 

2020

 

Average

Balances

 

Income/

Expense

 

Yields/

Rates

 

Average

Balances

 

Income/

Expense

 

Yields/

Rates

Assets

 

 

 

 

 

 

 

 

 

 

 

Interest-earning assets:

 

 

 

 

 

 

 

 

 

 

 

Loans, net of unearned income 1

$

1,079,007

 

 

$

13,638

 

 

5.13

%

 

$

980,185

 

 

$

13,352

 

 

5.52

%

Investment securities, taxable

371,265

 

 

1,628

 

 

1.78

%

 

339,565

 

 

1,988

 

 

2.37

%

Investment securities, tax-exempt 2

32,616

 

 

155

 

 

1.93

%

 

923

 

 

7

 

 

3.08

%

Deposits in banks and short term investments

183,376

 

 

53

 

 

0.12

%

 

85,869

 

 

284

 

 

1.34

%

Total interest-earning assets

1,666,264

 

 

15,474

 

 

3.77

%

 

1,406,542

 

 

15,631

 

 

4.51

%

Noninterest-earning assets

107,859

 

 

 

 

 

 

103,381

 

 

 

 

 

Total assets

$

1,774,123

 

 

 

 

 

 

$

1,509,923

 

 

 

 

 

Liabilities and stockholders’ equity

 

 

 

 

 

 

 

 

 

 

 

Interest-bearing liabilities:

 

 

 

 

 

 

 

 

 

 

 

Interest-earning demand and savings

$

859,462

 

 

$

165

 

 

0.08

%

 

$

734,102

 

 

$

936

 

 

0.52

%

Other time

260,438

 

 

488

 

 

0.76

%

 

334,811

 

 

1,282

 

 

1.55

%

Total interest-bearing deposits

1,119,900

 

 

653

 

 

0.24

%

 

1,068,913

 

 

2,218

 

 

0.84

%

Federal Home Loan Bank advances

22,500

 

 

113

 

 

2.05

%

 

45,577

 

 

257

 

 

2.29

%

Paycheck Protection Program Liquidity Facility

60,602

 

 

68

 

 

0.46

%

 

 

 

 

 

%

Other borrowings

61,654

 

 

257

 

 

1.68

%

 

38,792

 

 

389

 

 

4.07

%

Total other interest-bearing liabilities

144,756

 

 

438

 

 

1.23

%

 

84,369

 

 

646

 

 

3.11

%

Total interest-bearing liabilities

1,264,656

 

 

1,091

 

 

0.35

%

 

1,153,282

 

 

2,864

 

 

1.01

%

Noninterest-bearing liabilities:

 

 

 

 

 

 

 

 

 

 

 

Demand deposits

$

356,044

 

 

 

 

 

 

$

220,356

 

 

 

 

 

Other liabilities

7,908

 

 

 

 

 

 

6,068

 

 

 

 

 

Stockholders’ equity

145,515

 

 

 

 

 

 

130,217

 

 

 

 

 

Total noninterest-bearing liabilities and stockholders’ equity

509,467

 

 

 

 

 

 

356,641

 

 

 

 

 

Total liabilities and stockholders’ equity

$

1,774,123

 

 

 

 

 

 

$

1,509,923

 

 

 

 

 

Interest rate spread

 

 

 

 

3.42

%

 

 

 

 

 

3.50

%

Net interest income

 

 

$

14,383

 

 

 

 

 

 

$

12,767

 

 

 

Net interest margin

 

 

 

 

3.50

%

 

 

 

 

 

3.68

%

_________________________________________

1The average balance of loans includes the average balance of nonaccrual loans. Income on such loans is recognized and recorded on the cash basis. Taxable-equivalent adjustments totaling $66,000 and $55,000 for the quarter ended March 31, 2021 and 2020, respectively, are included in income and fees on loans. Accretion income of $209,000 and $182,000 for the quarter ended March 31, 2021 and 2020 are also included in income and fees on loans.

2Taxable-equivalent adjustments totaling $33,000 and $2,000 quarter ended March 31, 2021 and 2020, respectively, are included in tax-exempt interest on investment securities. The adjustments are based on federal tax rate of 21% and a Georgia state tax rate of 5.75% with appropriate reductions for the effect of disallowed interest expense incurred in carrying tax-exempt obligations.

 
 

Colony Bankcorp, Inc.

 

 

Segment Reporting

 

 

 

 

2021

 

2020

(dollars in thousands)

 

First Quarter

 

Fourth Quarter

 

Third Quarter

 

Second Quarter

 

First Quarter

Banking Division

 

 

 

 

 

 

 

 

 

 

Net interest income

 

$

13,985

 

 

$

14,752

 

 

$

13,631

 

 

$

13,440

 

 

$

12,656

 

Provision for loan losses

 

500

 

 

1,296

 

 

1,106

 

 

2,200

 

 

1,956

 

Noninterest income

 

3,005

 

 

3,952

 

 

4,139

 

 

2,901

 

 

3,049

 

Noninterest expenses

 

11,960

 

 

11,656

 

 

12,415

 

 

10,158

 

 

11,667

 

Income taxes

 

1,160

 

 

973

 

 

2,967

 

 

842

 

 

368

 

Segment income

 

$

3,370

 

 

$

4,779

 

 

$

1,282

 

 

$

3,141

 

 

$

1,714

 

 

 

 

 

 

 

 

 

 

 

 

Total segment assets

 

$

1,755,667

 

 

$

1,709,696

 

 

$

1,666,742

 

 

$

1,726,219

 

 

$

1,497,788

 

 

 

 

 

 

 

 

 

 

 

 

Full time employees

 

291

 

 

305

 

 

312

 

 

321

 

 

319

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage Banking Division

 

 

 

 

 

 

 

 

 

 

Net interest income

 

$

168

 

 

$

299

 

 

$

188

 

 

$

82

 

 

$

34

 

Provision for loan losses

 

 

 

 

 

 

 

 

 

 

Noninterest income

 

3,986

 

 

3,420

 

 

2,612

 

 

1,821

 

 

1,253

 

Noninterest expenses

 

2,793

 

 

2,835

 

 

2,410

 

 

1,697

 

 

1,195

 

Income taxes

 

354

 

 

188

 

 

820

 

 

43

 

 

11

 

Segment income

 

$

1,007

 

 

$

696

 

 

$

(430)

 

 

$

163

 

 

$

81

 

 

 

 

 

 

 

 

 

 

 

 

Total segment assets

 

$

27,478

 

 

$

50,266

 

 

$

50,265

 

 

$

17,578

 

 

$

11,082

 

 

 

 

 

 

 

 

 

 

 

 

Full time employees

 

51

 

 

43

 

 

41

 

 

40

 

 

34

 

 

 

 

 

 

 

 

 

 

 

 

Small Business Specialty Lending Division

 

 

 

 

 

 

 

 

 

 

Net interest income

 

$

130

 

 

$

100

 

 

$

1,483

 

 

$

19

 

 

$

14

 

Provision for loan losses

 

 

 

 

 

 

 

 

 

 

Noninterest income

 

1,585

 

 

667

 

 

1,183

 

 

121

 

 

259

 

Noninterest expenses

 

1,029

 

 

1,495

 

 

924

 

 

1,520

 

 

516

 

Income taxes

 

144

 

 

(153)

 

 

198

 

 

(290)

 

 

(51)

 

Segment income

 

$

542

 

 

$

(575)

 

 

$

1,544

 

 

$

(1,090)

 

 

$

(192)

 

 

 

 

 

 

 

 

 

 

 

 

Total segment assets

 

$

107,623

 

 

$

405

 

 

$

107,623

 

 

$

405

 

 

$

1,178

 

 

 

 

 

 

 

 

 

 

 

 

Full time employees

 

23

 

 

21

 

 

15

 

 

13

 

 

12

 

 

 

 

 

 

 

 

 

 

 

 

Total Consolidated

 

 

 

 

 

 

 

 

 

 

Net interest income

 

$

14,283

 

 

$

15,151

 

 

$

15,302

 

 

$

13,541

 

 

$

12,704

 

Provision for loan losses

 

500

 

 

1,296

 

 

1,106

 

 

2,200

 

 

1,956

 

Noninterest income

 

8,576

 

 

8,039

 

 

7,934

 

 

4,843

 

 

4,561

 

Noninterest expenses

 

15,782

 

 

15,986

 

 

15,749

 

 

13,375

 

 

13,378

 

Income taxes

 

1,658

 

 

1,008

 

 

3,985

 

 

595

 

 

328

 

Segment income

 

$

4,919

 

 

$

4,900

 

 

$

2,396

 

 

$

2,214

 

 

$

1,603

 

 

 

 

 

 

 

 

 

 

 

 

Total segment assets

 

$

1,890,768

 

 

$

1,763,974

 

 

$

1,824,630

 

 

$

1,744,202

 

 

$

1,510,048

 

 

 

 

 

 

 

 

 

 

 

 

Full time employees

 

365

 

 

369

 

 

368

 

 

374

 

 

365

 

 

Colony Bankcorp, Inc.

Consolidated Balance Sheets

 

 

March 31, 2021

 

December 31, 2020

(dollars in thousands)

 

(unaudited)

 

(audited)

ASSETS

 

 

 

 

Cash and due from banks

 

$

16,150

 

 

$

17,218

 

Interest-bearing deposits in banks and federal funds sold

 

 

165,438

 

 

 

166,288

 

Cash and cash equivalents

 

 

181,588

 

 

 

183,506

 

Investment securities available for sale, at fair value

 

 

433,729

 

 

 

380,814

 

Other investments, at cost

 

 

2,703

 

 

 

3,296

 

Loans held for sale

 

 

28,429

 

 

 

52,386

 

Loans, net of unearned income

 

 

1,062,775

 

 

 

1,059,503

 

Allowance for loan losses

 

 

(12,693

)

 

 

(12,127

)

Loans, net

 

 

1,050,082

 

 

 

1,047,376

 

Premises and equipment

 

 

32,790

 

 

 

32,057

 

Other real estate

 

 

518

 

 

 

1,006

 

Goodwill and other intangible assets

 

 

18,673

 

 

 

18,558

 

Bank owned life insurance

 

 

31,581

 

 

 

31,547

 

Other assets

 

 

18,953

 

 

 

13,428

 

Total assets

 

$

1,799,046

 

 

$

1,763,974

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

 

 

 

 

Liabilities:

 

 

 

 

Deposits:

 

 

 

 

Noninterest-bearing

 

$

384,830

 

 

$

326,999

 

Interest-bearing

 

 

1,141,054

 

 

 

1,118,028

 

Total deposits

 

 

1,525,884

 

 

 

1,445,027

 

Federal Home Loan Bank advances

 

 

22,500

 

 

 

22,500

 

Paycheck Protection Program Liquidity Facility

 

 

60,602

 

 

 

106,789

 

Other borrowed money

 

 

37,542

 

 

 

37,792

 

Accrued expenses and other liabilities

 

 

9,031

 

 

 

7,378

 

Total liabilities

 

 

1,655,559

 

 

 

1,619,486

 

 

 

 

 

 

Stockholders’ equity

 

 

 

 

Common stock, $1 par value; 20,000,000 shares authorized, 9,498,783 issued and outstanding, respectively

 

 

9,499

 

 

 

9,499

 

Paid in capital

 

 

43,224

 

 

 

43,215

 

Retained earnings

 

 

88,939

 

 

 

84,993

 

Accumulated other comprehensive income, net of tax

 

 

1,825

 

 

 

6,781

 

Total stockholders’ equity

 

 

143,487

 

 

 

144,488

 

Total liabilities and stockholders’ equity

 

$

1,799,046

 

 

$

1,763,974

 

 
 

Colony Bankcorp, Inc.

 

 

 

 

Consolidated Statements of Income (unaudited)

 

 

 

 

 

 

Three months ended March 31,

 

 

2021

 

2020

(dollars in thousands, except per share data)

 

 

Interest income:

 

 

 

 

Loans, including fees

 

$

13,572

 

 

13,290

 

Investment securities, including tax exempt of $122 and $6, respectively

 

1,750

 

 

1,994

 

Deposits in banks and short term investments

 

53

 

 

284

 

Total interest income

 

15,375

 

 

15,568

 

 

 

 

 

 

Interest expense:

 

 

 

 

Deposits

 

654

 

 

2,218

 

Federal Home Loan Bank advances

 

113

 

 

257

 

Paycheck Protection Program Liquidity Facility

 

68

 

 

 

Other borrowings

 

257

 

 

389

 

Total interest expense

 

1,092

 

 

2,864

 

Net interest income

 

14,283

 

 

12,704

 

Provision for loan losses

 

500

 

 

1,956

 

Net interest income after provision for loan losses

 

13,783

 

 

10,748

 

 

 

 

 

 

Noninterest income:

 

 

 

 

Service charges on deposits

 

1,222

 

 

1,499

 

Mortgage fee income

 

3,995

 

 

1,262

 

Gain on sale of SBA loans

 

1,471

 

 

210

 

(Loss)/Gain on sale of securities

 

(4)

 

 

293

 

Gain on sale of assets

 

 

 

 

Interchange fees

 

1,530

 

 

1,033

 

BOLI Income

 

208

 

 

151

 

Other

 

154

 

 

78

 

Total noninterest income

 

8,576

 

 

4,526

 

 

 

 

 

 

Noninterest expense:

 

 

 

 

Salaries and employee benefits

 

9,955

 

 

7,498

 

Occupancy and equipment

 

1,326

 

 

1,318

 

Acquisition related

 

176

 

 

287

 

Information technology expenses

 

1,592

 

 

1,316

 

Professional fees

 

486

 

 

347

 

Advertising and public relations

 

580

 

 

634

 

Communications

 

218

 

 

191

 

FHLB prepayment penalty

 

 

 

276

 

Other

 

1,449

 

 

1,476

 

Total noninterest expense

 

15,782

 

 

13,343

 

Income before income taxes

 

6,577

 

 

1,931

 

Income taxes

 

1,658

 

 

328

 

Net income

 

$

4,919

 

 

$

1,603

 

Earnings per common share:

 

 

 

 

Basic

 

$

0.52

 

 

$

0.17

 

Diluted

 

0.52

 

 

0.17

 

Dividends declared per share

 

0.10

 

 

0.10

 

Weighted average common shares outstanding:

 

 

 

 

Basic

 

9,498,783

 

 

9,498,783

 

Diluted

 

9,498,783

 

 

9,498,783

 

 

Colony Bankcorp, Inc.

Quarterly Comparison

 

 

2021

 

2020

(dollars in thousands)

 

First Quarter

 

Fourth Quarter

 

Third Quarter

 

Second Quarter

 

First Quarter

Assets

 

$

1,799,047

 

 

$

1,763,974

 

 

$

1,759,446

 

 

$

1,777,568

 

 

$

1,510,048

 

Loans, net

 

1,050,082

 

 

1,047,376

 

 

1,090,586

 

 

1,103,688

 

 

980,642

 

Deposits

 

1,525,884

 

 

1,445,027

 

 

1,416,401

 

 

1,421,758

 

 

1,293,076

 

Total equity

 

143,487

 

 

144,488

 

 

140,346

 

 

138,594

 

 

136,072

 

Net income

 

4,919

 

 

4,900

 

 

3,099

 

 

2,214

 

 

1,603

 

Earnings per basic share

 

$

0.52

 

 

$

0.52

 

 

$

0.33

 

 

$

0.23

 

 

$

0.17

 

 

 

 

 

 

 

 

 

 

 

 

Key Performance Ratios:

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

1.12

%

 

1.08

%

 

0.70

%

 

0.52

%

 

0.42

%

Return on average total equity

 

13.71

%

 

13.73

%

 

8.80

%

 

6.47

%

 

4.79

%

Total equity to total assets

 

7.98

%

 

8.19

%

 

7.98

%

 

7.80

%

 

9.01

%

Tangible equity to tangible assets

 

7.01

%

 

7.21

%

 

7.00

%

 

6.82

%

 

7.83

%

Net interest margin

 

3.50

%

 

3.58

%

 

3.34

%

 

3.41

%

 

3.63

%

 

 

 

 

 

 

 

 

 

 

 

 

Colony Bankcorp, Inc.

Quarterly Loan Comparison

 

 

2021

 

2020

(dollars in thousands)

 

First Quarter

 

Fourth Quarter

 

Third Quarter

 

Second Quarter

 

First Quarter

Core

 

$

888,800

 

 

$

873,426

 

 

$

871,416

 

 

$

855,556

 

 

$

847,100

 

PPP

 

102,633

 

 

101,147

 

 

133,756

 

 

133,158

 

 

 

Purchased

 

71,342

 

 

84,930

 

 

96,434

 

 

125,263

 

 

121,714

 

Total

 

$

1,062,775

 

 

$

1,059,503

 

 

$

1,101,606

 

 

$

1,113,977

 

 

$

968,814

 

 
 

Colony Bankcorp, Inc.

 

 

 

 

 

 

 

 

 

 

Quarterly Loans by Location Comparison

 

 

 

 

 

 

 

 

 

 

2021

 

2020

(dollars in thousands)

 

First Quarter

 

Fourth Quarter

 

Third Quarter

 

Second Quarter

 

First Quarter

Atlanta

 

$

492

 

 

$

562

 

 

$

7,025

 

 

$

7,425

 

 

$

7,527

 

Augusta

 

23,982

 

 

20,432

 

 

22,931

 

 

25,140

 

 

29,504

 

Middle Georgia

 

73,543

 

 

68,838

 

 

60,275

 

 

56,209

 

 

52,858

 

Northwest Georgia

 

1,698

 

 

 

 

 

 

 

 

 

Coastal Georgia

 

235,094

 

 

230,184

 

 

224,604

 

 

223,746

 

 

226,747

 

South Central Georgia

 

371,227

 

 

372,947

 

 

391,702

 

 

398,107

 

 

394,167

 

Southwest Georgia

 

97,575

 

 

104,132

 

 

101,247

 

 

108,070

 

 

110,605

 

West Georgia

 

148,457

 

 

154,819

 

 

152,159

 

 

154,979

 

 

162,225

 

Small Business Specialty Lending

 

7,906

 

 

4,537

 

 

9,281

 

 

1,903

 

 

676

 

Paycheck Protection Program

 

102,633

 

 

101,147

 

 

133,756

 

 

133,158

 

 

 

Purchase Accounting

 

(668)

 

 

(877)

 

 

(1,262)

 

 

(1,196)

 

 

(1,278)

 

Other

 

836

 

 

2,781

 

 

5,948

 

 

6,436

 

 

5,995

 

Total

 

$

1,062,775

 

 

$

1,059,502

 

 

$

1,107,666

 

 

$

1,113,977

 

 

$

989,026

 

 

Colony Bankcorp, Inc.

Quarterly PPP Fees Comparison

 

 

2021

 

2020

(dollars in thousands)

 

First Quarter

 

Fourth Quarter

 

Third Quarter

 

Second Quarter

 

First Quarter

PPP loan fee income

 

$

1,212

 

 

$

1,324

 

 

$

508

 

 

$

576

 

 

$

 

Unearned income on PPP loans

 

3,077

 

 

2,072

 

 

3,396

 

 

3,904

 

 

 

 

Tracie Youngblood

EVP & Chief Financial Officer

(229) 426-6000 (Ext 6003)

KEYWORDS: United States North America Georgia

INDUSTRY KEYWORDS: Banking Professional Services Finance

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GWG Holdings Receives Nasdaq Notification of Non-Compliance With Listing Rule 5250(c)(1)

DALLAS, April 22, 2021 (GLOBE NEWSWIRE) — GWG Holdings, Inc. (Nasdaq: GWGH) today announced that it received a letter (the Letter) from the Listing Qualifications Department of the Nasdaq Stock Market (Nasdaq) notifying the company that it was not in compliance with requirements of Nasdaq Listing Rule 5250(c)(1) as a result of not having timely filed its Annual Report on Form 10-K for the fiscal year ended December 31, 2020 (the Form 10-K).

The Letter has no immediate effect on the listing or trading of GWGH’s common stock on the Nasdaq Capital Market. The Letter states that the company is required to submit a plan to regain compliance with Rule 5250(c)(1) within 60 calendar days from the date of the Letter. If the plan is accepted by Nasdaq, then Nasdaq can grant the company up to 180 calendar days from the due date of the Form 10-K to regain compliance.

GWGH anticipates that it will file its Form 10-K prior to the 60-day deadline and thereby regain compliance with the Nasdaq continued listing requirements.

About GWG Holdings, Inc.

GWG Holdings, Inc. (Nasdaq: GWGH) is an innovative financial services firm based in Dallas that is a leader in providing unique liquidity solutions and services for the owners of illiquid investments. Through its subsidiaries, The Beneficient Company Group, L.P. and GWG Life, LLC, GWGH owns and manages a diverse portfolio of alternative assets that, as of September 30, 2020, included $1.9 billion in life insurance policy benefits, and exposure to a diversified and growing loan portfolio secured by 122 professionally managed alternative investment funds.

For more information about GWG Holdings, email [email protected] or visit www.gwgh.com.
For more information about Beneficient, email [email protected] or visit www.trustben.com.

The information on GWG Holdings’ and Beneficient’s websites is not a part of, or incorporated by reference in, this press release.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains statements that are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. We intend these forward-looking statements to be covered by the safe harbor provisions for such statements. All statements that do not concern historical facts are forward-looking statements. The words “believe,” “could,” “possibly,” “probably,” “anticipate,” “estimate,” “project,” “expect,” “may,” “will,” “should,” “seek,” “intend,” “plan,” “expect,” or “consider” and similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements. Forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from such statements, including, but not limited to the risk that we may not be able to file the Form 10-K within the currently expected timeframe, risks that we may not regain compliance with Nasdaq continued listing requirements within the applicable grace period, as well as the other risks set forth in our filings with the Securities and Exchange Commission. These forward-looking statements should be considered in light of these risks and uncertainties. We base forward-looking statements on information currently available to us at the time of this press release and undertake no obligation to update or revise any forward-looking statements, whether as a result of changes in underlying circumstances, new information, future events or otherwise.

Media Contact:

Dan Callahan
Director of Communication
GWG Holdings, Inc.
(612) 787-5744
[email protected]



Geron Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Geron Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

FOSTER CITY, Calif.–(BUSINESS WIRE)–
Geron Corporation (Nasdaq: GERN) today reported that it has granted non-statutory stock options to purchase an aggregate of 220,000 shares of Geron common stock as inducements to newly hired employees in connection with commencement of employment with the Company.

The stock options were granted on April 21, 2021 at an exercise price of $1.48 per share, which is equal to the closing price of Geron common stock on the date of grant. The stock options have a 10-year term and vest over four years, with 12.5% of the shares underlying the options vesting on the six-month anniversary of commencement of employment and the remaining shares vesting over the following 42 months in equal installments of whole shares, subject to continued employment with Geron through the applicable vesting dates. The options were granted as material inducements to employment in accordance with Nasdaq Listing Rule 5635(c)(4) and are subject to the terms and conditions of the stock option agreements covering the grants and Geron’s 2018 Inducement Award Plan, which was adopted December 14, 2018 and provides for the granting of stock options to new employees.

About Geron

Geron is a late-stage clinical biopharmaceutical company focused on the development and potential commercialization of a first-in-class telomerase inhibitor, imetelstat, in hematologic myeloid malignancies. The Company currently is conducting two Phase 3 clinical trials: IMerge in lower risk myelodysplastic syndromes and IMpactMF in refractory myelofibrosis. For more information about Geron, visit www.geron.com.

Olivia Bloom

Chief Financial Officer

[email protected]

[email protected]

KEYWORDS: United States North America California

INDUSTRY KEYWORDS: Biotechnology Pharmaceutical Health

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Cable One to Host Conference Call to Discuss First Quarter 2021 Results

Cable One to Host Conference Call to Discuss First Quarter 2021 Results

PHOENIX–(BUSINESS WIRE)–
Cable One, Inc. (NYSE: CABO) will host a conference call with the financial community to discuss results for the first quarter on Thursday, May 6, 2021 at 5 p.m. Eastern Time (ET). Cable One will issue a press release reporting its results after market close on Thursday, May 6, 2021.

The conference call will be available via a live audio webcast on the Cable One Investor Relations website at ir.cableone.net or by dialing 1-844-378-6483 (Canada: 1-855-669-9657 or International: 1-412-542-4178). Participants should register for the webcast or dial in for the conference call shortly before 5 p.m. ET.

A replay of the call will be available from May 6, 2021 until May 20, 2021 at ir.cableone.net.

To automatically receive Cable One financial news by email, please visit the Cable One Investor Relations website and subscribe to Email Alerts.

About Cable One

Cable One, Inc. (NYSE: CABO) is a leading broadband communications provider serving more than 950,000 residential and business customers in 21 states through its Sparklight® and Clearwave™ brands. Sparklight provides consumers with a wide array of connectivity and entertainment services, including high-speed internet and advanced Wi-Fi solutions, cable television and phone service. Sparklight Business and Clearwave provide scalable and cost-effective products for businesses ranging in size from small to mid-market, in addition to enterprise, wholesale and carrier customers.

Trish Niemann

Senior Director, Corporate Communications

602.364.6372

[email protected]

Steven Cochran

CFO

[email protected]

KEYWORDS: Arizona United States North America

INDUSTRY KEYWORDS: Entertainment Technology TV and Radio Telecommunications Mobile/Wireless Networks Internet

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Quidel Announces Preliminary Revenue for First Quarter 2021

Quidel Announces Preliminary Revenue for First Quarter 2021

Establishes distribution partnership agreement to increase access to At-Home COVID-19 testing

SAN DIEGO–(BUSINESS WIRE)–Quidel Corporation (NASDAQ: QDEL) (“Quidel”), a provider of rapid diagnostic testing solutions, cellular-based virology assays and molecular diagnostic systems, announced today preliminary results for the first quarter of 2021.

The Company expects revenues in the first quarter of 2021 to be in the range of $374 million to $376 million, up approximately 114% from $174.7 million in the prior year quarter. In the quarter, Quidel shipped nearly 15 million SARS tests, which compares favorably to the performance of our industry colleagues. COVID-19 revenues for the first quarter of 2021 are expected to be over $280 million, compared with $1.0 million for the first quarter of 2020. The first quarter of 2021 was marked by the lack of a respiratory season, resulting in lower sales of influenza and other respiratory disease products. Influenza revenues for the first quarter of 2021 are expected to be $5 million, compared with $79.6 million in the first quarter of 2020. Additionally, gross margins are expected to be approximately 80% for the period, with earnings growth over the prior year quarter in excess of 300%.

Douglas Bryant, president and chief executive officer of Quidel Corporation, said: “Over the past year, we have transformed our business through innovative new product introductions and strong operational execution. By all measures, the first quarter of 2021 reflected demand-side and manufacturing strength as we more than doubled our revenues year-over-year, with even greater growth in gross profit and net income. Still, as the COVID-19 pandemic response evolved, the operating environment was fluid, making it difficult to predict testing demand with certainty. In combination with the COVID-19 volatility, there was no circulating influenza in the community, and as a result, revenues came in well below our previous expectations.”

Mr. Bryant added: “While the COVID-19 scenario continues to evolve, we believe Quidel remains incredibly well-positioned given our robust portfolio and recent regulatory indications for serial asymptomatic screening with both our QuickVue® OTC and Sofia® rapid antigen tests. There are three macro trends that we are tracking and expect to be material to both market demand and revenues going forward.

“First, there is ongoing demand for testing symptomatic patients, which we believe is likely to persist at least through the first half of 2022. Therefore, for this type of testing, the underlying run rate is somewhat predictable and is trending upward as COVID-19 cases in the U.S. have risen more than 22 percent since March.

“Second, customer inquiries and market research suggest strong demand for at-home testing through pharmacies, employers and schools. In fact, today we announced a new distribution partnership agreement with McKesson in the retail space to increase access to At-Home COVID-19 testing and expect to be entering into direct partnerships with a number of major national retailers, several state school programs, and a major global employer group.

“Third, global demand for asymptomatic SARS testing appears to be larger than what the IVD industry can support at this time. For Quidel, while we are early in the transition to on-site and at-home testing for asymptomatic and pre-symptomatic individuals, the demand for QuickVue SARS antigen tests appears to be well above what we can supply, at least until our new plant in Carlsbad is up and running,” continued Mr. Bryant.

Mr. Bryant concluded: “While we will not be providing an updated financial outlook for the full year 2021, given the volatility in the market and the impact on our results, we do look forward to discussing the important revenue growth drivers we have in front of us in more detail during our scheduled first quarter 2021 earnings call on May 6, 2021.”

These preliminary results are based on management’s initial analysis of operations for the quarter ended March 31, 2021. The company expects to issue full financial results for the fiscal first quarter 2021 on May 6, 2021.

Quidel Corporation (Nasdaq: QDEL) is a leading manufacturer of diagnostic solutions at the point of care delivering a continuum of rapid testing technologies that further improve the quality of health care throughout the globe. An innovator for over 40 years in the medical device industry, Quidel pioneered the first FDA-cleared point-of-care test for influenza in 1999 and was the first to market a rapid SARS-CoV-2 antigen test in the U.S. Under trusted brand names Sofia®, Solana®, Lyra®, Triage® and QuickVue®, Quidel’s comprehensive product portfolio includes tests for a wide range of infectious diseases, cardiac and autoimmune biomarkers, as well as a host of products to detect COVID-19. With products made in America, Quidel’s mission is to provide patients with immediate and frequent access to highly accurate, affordable testing for the good of our families, our communities, and the world. For more information about Quidel, visit quidel.com.

View our story told by our people at www.quidel.com/ourstory

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws thatinvolve material risks, assumptions and uncertainties. Many possible events or factors could affect our future results and performance, such that our actual results and performance may differ materially from those that may be described or implied in the forward-looking statements. As such, no forward-looking statement can be guaranteed. Differences in actual results and performance may arise as a result of a number of factors including, without limitation: the impact and duration of the COVID-19 global pandemic; competition from other providers of diagnostic products; our ability to accurately forecast demand for our products and products in development, including in new market segments; our ability to develop new technologies, products and markets and to commercialize new products; our reliance on sales of our COVID-19 and influenza diagnostic tests; our reliance on a limited number of key distributors; quantity of our product in our distributors’ inventory or distribution channels; changes in the buying patterns of our distributors; the financial soundness of our customers and suppliers; lower than anticipated market penetration of our products; third-party reimbursement policies and potential cost constraints; our ability to meet demand for our products; interruptions, delays or shortages in the supply of raw materials, components and other products and services; failures in our information technology and storage systems; our exposure to data corruption, cyber-based attacks, security breaches and privacy violations; international risks, including but not limited to, economic, political and regulatory risks; continuing worldwide political and social uncertainty; our development, acquisition and protection of proprietary technology rights; intellectual property risks, including but not limited to, infringement litigation; the loss of Emergency Use Authorizations for our COVID-19 products and failures or delays in receipt of reviews or regulatory approvals, clearances or authorizations for new products or related to currently-marketed products by the U.S. Food and Drug Administration (the “FDA”) or other regulatory authorities or loss of any previously received regulatory approvals, clearances or authorizations or other adverse actions by regulatory authorities; our contracts with government entities involve future funding, compliance and possible sanctions risks; product defects; changes in government policies and regulations and compliance risks related thereto; our ability to manage our growth strategy and successfully identify, acquire and integrate potential acquisition targets or technologies and our ability to obtain financing; our acquisition of Alere’s Triage® business presents certain risks to our business and operations; the level of our deferred payment obligations; our exposure to claims and litigation that could result in significant expenses and could ultimately result in an unfavorable outcome for us, including the ongoing litigation between us and Beckman Coulter, Inc.; we may need to raise additional funds to finance our future capital or operating needs; our debt, deferred and contingent payment obligations; competition for and loss of management and key personnel; business risks not covered by insurance; changes in tax rates and exposure to additional tax liabilities or assessments; and provisions in our charter documents and Delaware law that might delay or impede stockholder actions with respect to business combinations or similar transactions. Forward-looking statements typically are identified by the use of terms such as “may,” “will,” “should,” “might,” “expect,” “anticipate,” “estimate,” “plan,” “intend,” “goal,” “project,” “strategy,” “future,” and similar words, although some forward-looking statements are expressed differently. The risks described in reports and registration statements that we file with the Securities and Exchange Commission from time to time, should be carefully considered, including those discussed in Item 1A, “Risk Factors” and elsewhere in our Annual Report on Form 10 K for the year ended December 31, 2020 and in our subsequent Quarterly Reports on Form 10 Q. You are cautioned not to place undue reliance on these forward-looking statements, which reflect management’s analysis only as of the date of this press release. Except as required by law, we undertake no obligation to publicly release any revision or update of these forward-looking statements, whether as a result of new information, future events or otherwise.

Quidel Contact:

Quidel Corporation

Randy Steward

Chief Financial Officer

(858) 552-7931

Media and Investors Contact:

Quidel Corporation

Ruben Argueta

(858) 646-8023

[email protected]

KEYWORDS: United States North America California

INDUSTRY KEYWORDS: Medical Devices Infectious Diseases Other Health Health Pharmaceutical

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SouthCrest Financial Group Reports Preliminary 1Q21 Earnings

ATLANTA, April 22, 2021 (GLOBE NEWSWIRE) — Brian D. Schmitt, Chief Executive Officer of SouthCrest Financial Group, Inc. (SCSG:PK) announced today that the Company reported preliminary earnings of $1.91 million or $0.25/share for the first quarter ended March 31, 2021.  Excluding non-core items, primarily securities gains, core earnings were $1.34 million, or $0.17/share.

In addition, the Company is announcing the payment of its quarterly dividend of $0.06/share.  The dividend will be payable on May 20, 2021, to all shareholders of record on May 6, 2021.

“We consider the Company’s income performance this quarter to be reasonable given the loan pay downs that occurred.  I continue to be proud of our team’s performance in maintaining exceptional credit quality and expense discipline.”

“With the payoff of $15 million of wholesale FHLB borrowings during the quarter the total balance sheet size was down slightly, but total deposits grew by almost $12 million, clearing $600 million for the first time.”

Total assets declined to $707.1 million vs. $715.1 million in 4Q20 and $557.7 million in the first quarter of 2020.  Loan balances declined by $12 million during the quarter, primarily due to the planned decrease in a short term funding relationship with one client, finishing at $314.2 million vs. $326.7 million at the end of 4Q20 and $334.6 million in 1Q20.  The ALLL also remained flat at $3.7MM but increased as a percentage of loans to 1.18% from 1.14% in the prior quarter.    

Interest income remained effectively flat with 4Q20 as an increase in investment securities income offset the lower average loan balances.  Cash levels remained slightly elevated from pre-Covid standards, but management expects to continue to improve this over the next few quarters.  Interest expense remained level during the first quarter, even with significantly increased average balances.  Provision expense remained at zero for the quarter.

Non-interest income returned to Covid-like levels (excluding the $816,000 of securities gains in 4Q20), with NSF and overdraft fees declining by 18% from 4Q20 and 38% over the prior year.  Other non-interest expense categories remained relatively flat from 4Q20.  Non-interest expense were lower from 4Q20 with core expenses running at a $16.1MM annualized rate in 1Q21.

The estimated Tier 1 Leverage ratio at the end of the quarter for SouthCrest Bank declined to 8.27% from 9.08% as a result of the repurchase of over 420,000 common and preferred shares and significant average balance sheet growth during the quarter.  On a fully converted basis (including the conversion of all preferred equity), TBV/share ended the quarter at $7.64 per share, up from $7.09 as of 1Q20 but down from $8.17 at the end of 2020.  This metric will continue to be influenced by OCI changes resulting from the swings in interest rates.  Currently, the positive impact to TBV by OCI is $0.38/share vs. $0.96/share at the end of 4Q20.  The current fully converted share count at the end of the quarter was 7.400 million shares, comprised of 5.761 million common shares and 1.639 million preferred shares.

Asset quality ratios continued a multi-quarter trend of improvement even with the COVID economic environment.  Loan deferrals remained flat with 4Q20 and NPAs to assets declined to 0.46% vs. 0.55% in 4Q20.  As of March 31, 2021 the Company’s OREO balances remained $447,000, consisting of one residential property.

ABOUT SOUTHCREST

SouthCrest Financial Group, Inc. is a bank holding company with over $700 million in assets, headquartered in Atlanta, GA.  The company operates a 9 branch network throughout Georgia through its subsidiary bank, SouthCrest Bank, N.A.  The bank provides a full suite of retail, private, entrepreneurial, high-net-worth and commercial banking services, and online banking services. 

FORWARD-LOOKING STATEMENTS

This presentation may contain certain “forward-looking statements” that are subject to risks, uncertainties, and other factors that could cause actual results and shareholder values to differ materially from those projected.  Factors that could cause or contribute to such differences include economic conditions, government regulation and legislation, changes in interest rates, credit quality, competition, and other risk factors.  You should not rely upon forward-looking statements, as they are inherently unlikely to occur, and we do not assume any liability to update or correct any forward-looking statements that we make.

Andy Borrmann
Chief Financial Officer
678.734.3505

Statement of Operations ($000s, Unaudited)
  Q1 2020


    Q2 2020     Q3 2020     Q4 2020     Q1 2021  
Interest Income                            
Loans                            
Construction and Development $ 744     $ 758     $ 781     $ 761     $ 665  
Commercial Real Estate 1,856     1,974     1,846     1,824     1,845  
Commercial Loans 553     567     542     547     494  
Multi Family 21     21     25     65     65  
Residential Mortgage 904     750     743     636     681  
Consumer Loans 36     29     28     29     26  
County/Municipal Loans 34     41     50     21     20  
Loss Share Loans 46     37     33     29     26  
Investment Securities                            
Federal Funds/Overnight Funds $ 129     $ 6     $ 8     $ 15     $ 10  
Bank Owned CDs 0     0     0     0     0  
Investment Securities 1,023     1,393     1,425     1,494     1,622  
Total Interest Income $  5,346     $  5,576     $  5,481     $  5,420     $  5,453  
                             
Total Interest Expense $ 769     $ 741     $ 702     $ 678     $ 678  
Net Interest Income $  4,577     $  4,835     $  4,779     $  4,742     $  4,775  
Provision for Loan Losses 150     450     0     0     0  
Net Interest Income after Loan Losses $  4,427     $  4,385     $  4,779     $  4,742     $  4,775  
Other Income                            
                             
Service Charges on Deposits $ 138     $ 132     $ 130     $ 128     $ 103  
NSF/Overdraft Fees 305     158     213     231     190  
Other Service Charges 64     71     78     73     76  
ATM/Billpay/DR Card Income 247     277     298     306     326  
Other Income 238     664     1,441     207     1,011  
Total Other Income $ 992     $ 1,303     $ 2,160     $ 946     $ 1,707  
Non-Interest Expense                            
Salaries, Other Comp (+ FAS123R) $ 1,940     $ 1,711     $ 1,985     $ 2,140     $ 1,924  
Employee Benefits 412     341     276     523     367  
Occupancy & FF&E Expense 503     506     475     474     463  
Professional Fees 141     143     197     235     232  
Data Processing 488     385     353     362     389  
Other Expense 632     661     672     665     754  
Total Noninterest Expenses $  4,116     $  3,747     $  3,958     $  4,400     $  4,130  
Pre-Tax Income (Loss) $  1,303     $  1,941     $  2,981     $  1,288     $  2,352  
Income Taxes 265     316     580     160     447  
Net Income $  1,038     $  1,625     $  2,401     $  1,127     $  1,905  

Balance Sheet ($000s, Unaudited)

Assets
Q1 2020


    Q2 2020


    Q3 2020


    Q4 2020


    Q1 2021


 
Current Assets          
Cash & Due from Bank $ 19,845     $ 22,520     $ 39,600     $ 81,969     $ 42,699  
Federal Funds/Overnight Funds   0       7,873       10,101       4,192       15,720  
Bank Owned CDs   0       0       0       0       0  
Investment Securities   184,377       218,680       222,913       265,602       297,307  
Total Current Assets $ 204,222     $ 249,072     $ 272,614     $ 352,484     $ 355,726  

Loans
         
Construction and Development $ 56,430     $ 64,320     $ 65,675     $ 54,631     $ 50,360  
Commercial Real Estate   142,610       139,407       134,986       140,558       155,014  
Commercial Loans   53,383       56,860       55,327       47,556       38,430  
Multi Family   1,601       1,590       1,714       6,346       6,191  
Residential Mortgage   73,778       66,810       62,672       59,856       55,262  
Consumer Loans   2,144       2,472       1,868       13,908       5,228  
County/Municipal Loans   3,732       4,851       1,990       1,982       1,849  
Loss Share Loans   2,451       2,315       2,152       1,848       1,828  
Total Loans $ 336,129     $ 338,625     $ 326,383     $ 326,684     $ 314,162  
Allowance for Loss   (3,184 )     (3,984 )     (3,705 )     (3,705 )     (3,713 )
Net Loans $ 332,946     $ 334,641     $ 322,678     $ 322,979     $ 310,449  
OREO   529       447       447       447       447  
FDIC Indemnification   0       0       0       0       0  
BOLI   22,583       22,737       22,872       23,009       23,140  
Fixed Assets, net   8,705       8,697       8,540       8,581       8,568  
Intangible Assets   80       68       64       1,089       1,060  
Other Assets   8,604       6,731       7,030       6,501       7,681  
Total Assets $ 577,669     $ 622,383     $ 634,245     $ 715,090     $ 707,073  
           

Liabilities & Stockholders’ Equity
         
Liabilities          
Deposits          
DDAs $ 96,517     $ 114,554     $ 118,082     $ 130,268     $ 131,767  
Interest Bearing Demand   85,746       96,141       95,732       128,477       116,667  
Celebration Checking   103,718       111,421       114,657       132,372       141,369  
Money Market Accts   37,693       38,650       43,746       44,427       52,640  
Savings   44,516       47,674       48,928       51,953       57,099  
CDs Less Than $100k   53,616       52,709       51,735       58,452       57,323  
CDs Greater than $100k   47,259       47,049       43,612       49,715       50,767  
Total Deposits $ 469,064     $ 508,198     $ 516,491     $ 595,664     $ 607,631  

Other Liabilities   2,415       2,184       2,772       2,285       4,285  
Net Borrowings (Wholesale Funding)   50,228       50,546       52,258       52,263       37,611  
Total Liabilities $ 521,708     $ 560,918     $ 571,522     $ 650,212     $ 649,527  
Total Equity   55,961       61,465       62,723       64,878       57,546  
Total Liabilities & Stockholders’ Equity $ 577,669     $ 622,393     $ 634,245     $ 715,090     $ 707,073  

Ratios
  Q1 2020     Q2 2020     Q3 2020     Q4 2020     Q1 2021  
ROAA 0.75 %   1.05 %   1.53 %   0.69 %   1.09 %
ROAE 7.30 %   10.87 %   16.88 %   6.79 %   11.62 %
NPAs/Assets 0.80 %   0.71 %   0.59 %   0.55 %   0.46 %
Est. T1 Leverage (Bank) 9.62 %   8.99 %   9.41 %   9.08 %   8.27 %
Total Common Shares 5,832,793     5,786,288     5,761,439     5,761,439     5,761,170  
Total Preferred Shares 2,054,759     2,054,759     2,054,759     2,054,759     1,638,596  
Total Common Equiv. Shares 7,887,552     7,841,047     7,816,198     7,816,198     7,399,766  
NIM (Bank) 3.65 %   3.37 %   3.22 %   3.17 %   2.99 %
Cost of Deposits (Bank) 0.54 %   0.46 %   0.41 %   0.36 %   0.36 %
Loan/Deposit 71.6 %   66.6 %   63.1 %   54.8 %   51.7 %
Employees 104     102     98     94     99  
Loans in Atlanta MSA 78.2 %   79.1 %   80.5 %   77.8 %   80.7 %



ParkOhio Completes Acquisition of NYK Component Solutions

ParkOhio Completes Acquisition of NYK Component Solutions

  • Strategic acquisition expands Supply Technologies’ aerospace and defense business and other industrial end markets

CLEVELAND, OHIO–(BUSINESS WIRE)–
ParkOhio (NASDAQ: PKOH), through its subsidiary, Supply Technologies, a leading provider of supply chain management services announced today that it has completed the acquisition of NYK Component Solutions (NYK) headquartered in SouthHampton, United Kingdom. NYK is a leading distributor of circular connectors and accessories for use in aerospace, defense, and other industrial applications. NYK will provide complementary product lines and new customer opportunities throughout Europe and North America. We expect annual sales from NYK to exceed $10 million and the acquisition to be immediately accretive to earnings.

ParkOhio is a diversified international company providing world-class customers with a supply chain management outsourcing service, capital equipment used on their production lines, and manufactured components used to assemble their products. Headquartered in Cleveland, Ohio, ParkOhio operates more than 120 manufacturing sites and supply chain logistics facilities worldwide, through three reportable segments: Supply Technologies, Assembly Components and Engineered Products.

This news release contains forward-looking statements, including statements regarding future performance of the Company, that are subject to known and unknown risks, uncertainties and other factors that may cause our actual results, performance and achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. These factors that could cause actual results to differ materially from expectations include, but are not limited to, the following: our ability to successfully integrate the acquisition of NYK and NYK’s future results of operations, including whether it will be accretive to earnings; the ultimate impact the COVID-19 pandemic has on our business, results of operations, financial position and liquidity; our substantial indebtedness; the uncertainty of the global economic environment; general business conditions and competitive factors, including pricing pressures and product innovation; demand for our products and services; the impact of labor disturbances affecting our customers; raw material availability and pricing; fluctuations in energy costs; component part availability and pricing; changes in our relationships with customers and suppliers; the financial condition of our customers, including the impact of any bankruptcies; the amounts and timing, if any, of purchases of our common stock; changes in general economic conditions such as inflation rates, interest rates, tax rates, unemployment rates, higher labor and healthcare costs, recessions and changing government policies, laws and regulations, including those related to the current global uncertainties and crises, such as tariffs and surcharges; adverse impacts to us, our suppliers and customers from acts of terrorism or hostilities; public health issues, including the outbreak of COVID-19 and its impact on our facilities and operations and our customers and suppliers; our ability to meet various covenants, including financial covenants, contained in the agreements governing our indebtedness; disruptions, uncertainties or volatility in the credit markets that may limit our access to capital; potential disruption due to a partial or complete reconfiguration of the European Union; increasingly stringent domestic and foreign governmental regulations, including those affecting the environment or import and export controls and other trade barriers; inherent uncertainties involved in assessing our potential liability for environmental remediation-related activities; the outcome of pending and future litigation and other claims and disputes with customers; our dependence on the automotive and heavy-duty truck industries, which are highly cyclical; the dependence of the automotive industry on consumer spending; our ability to negotiate contracts with labor unions; our dependence on key management; our dependence on information systems; our ability to continue to pay cash dividends, and the timing and amount of any such dividends; and the other factors we describe under “Item 1A. Risk Factors” included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020. Any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law. In light of these and other uncertainties, the inclusion of a forward-looking statement herein should not be regarded as a representation by us that our plans and objectives will be achieved. The Company assumes no obligation to update the information in this release.

MATTHEW CRAWFORD

PARK-OHIO HOLDINGS CORP.

(440) 947-2000

KEYWORDS: Ohio Europe United States United Kingdom North America

INDUSTRY KEYWORDS: Defense Logistics/Supply Chain Management Aerospace Transport Manufacturing Other Manufacturing Other Defense

MEDIA:

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Avista declares natural gas emission reduction goal

Company plans to reduce emissions 30% by 2030, 100% by 2045

SPOKANE, Wash., April 22, 2021 (GLOBE NEWSWIRE) — Avista (NYSE: AVA), a leader in clean energy and innovation, today announced its goal to reduce emissions for natural gas. Building on the company’s clean electricity goals, Avista has set a new aspirational natural gas goal of being carbon neutral by 2045, with a near-term goal of 30% reduction in greenhouse gas emissions by 2030.

“We are proud to continue our commitment to environmental stewardship and sustainability,” said Dennis Vermillion, president and CEO of Avista. “We set an ambitious renewable electric energy goal in 2019—to serve our customers with 100% clean electricity by 2045 and to have a carbon-neutral supply of electricity by 2027. Today’s announcement demonstrates that our vision of a clean energy future encompasses both electric and natural gas resources. We are dedicated to reducing and ultimately eliminating greenhouse gases from the energy we deliver to our customers.

“Natural gas is one of the cleanest burning fuels and plays a key role in reducing carbon emissions, particularly when used directly by customers in their homes rather than used to generate electricity to meet the same need. Compared to wood, heating oil and other fuels, natural gas improves air quality. At the same time, we recognize there is opportunity to improve and bring those emissions down even further.

“Our strategy to achieve lower emissions includes investing in new technologies, like renewable natural gas (RNG), hydrogen and other renewable biofuels. We are evaluating how to best integrate RNG into our gas supply portfolio and researching hydrogen as another renewable fuel. Our other strategies include reducing consumption via conservation and energy efficiency and improving infrastructure,” Vermillion said. “As with reductions in emissions associated with electricity, we will need innovation and affordable technologies to achieve these goals.”

Avista entered the natural gas business with the purchase of Spokane Natural Gas Company in 1958. Today, Avista serves more than 367,000 natural gas customers in eastern Washington, northern Idaho and parts of southern and eastern Oregon.

“Avista has always been committed to balancing reliability and affordability while maintaining responsibility for our environmental footprint, and our actions demonstrate these values,” said Vermillion. “We have seen reduction in relative emissions due to energy efficiency measures and other proactive efforts. Avista is committed to decarbonizing our electric system and reducing emissions in our gas operations, recognizing that those objectives must be achieved responsibly on behalf of our customers and the communities we serve.”

Avista was founded on clean, renewable hydro power on the banks of the Spokane River in 1889 and has continued to maintain a generation portfolio that is more than half renewable. Additional examples of Avista’s strong track record of environmental stewardship include:

  • In 2020, Avista doubled wind power generation—Rattlesnake Flat Wind and Palouse Wind projects together have 115 wind turbines, generating enough electricity to power nearly 75,000 homes.
  • Forty years ago, Avista was one of the first utilities in the nation to establish an energy efficiency program, and since this program started, customer electric usage has been reduced by 15 percent.
  • In the 1980s, the company built the first utility-scale biomass wood-fired power plant, improving air quality where waste from the timber industry was otherwise burned onsite without emissions controls.

Learn more about Avista’s gas emission reduction goal and commitment to environmental stewardship at www.myavista.com/greener.

About Avista Corp.

Avista Corp. is an energy company involved in the production, transmission and distribution of energy as well as other energy-related businesses. Avista Utilities is our operating division that provides electric service to 400,000 customers and natural gas to 367,000 customers. Our service territory covers 30,000 square miles in eastern Washington, northern Idaho and parts of southern and eastern Oregon, with a population of 1.7 million. AERC is an Avista subsidiary that, through its subsidiary AEL&P, provides retail electric service to 17,000 customers in the city and borough of Juneau, Alaska. Our stock is traded under the ticker symbol “AVA”. For more information about Avista, please visit www.avistacorp.com.

This news release contains forward-looking statements regarding the company’s current expectations. Forward-looking statements are all statements other than historical facts. Such statements speak only as of the date of the news release and are subject to a variety of risks and uncertainties, many of which are beyond the company’s control, which could cause actual results to differ materially from the expectations. These risks and uncertainties include, in addition to those discussed herein, all of the factors discussed in the company’s Annual Report on Form 10-K for the year ended Dec. 31, 2020.

Avista Corp. and the Avista Corp. logo are trademarks of Avista Corporation.
SOURCE: Avista Corporation

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Contact:
Media:
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Annie Gannon, [email protected]
Media line: (509) 495-4174        

Investors:
John Wilcox, [email protected]
(509) 495-4171