Virginia
|
82-0545425
|
|
(State or other jurisdiction of
|
(I.R.S. Employer
|
|
incorporation or organization)
|
|
Identification Number)
|
Securities
registered pursuant to Section 12(b) of the Act:
|
||
Title
of each class
|
Name
of each exchange on which registered
|
|
Common Stock $0.835 par
value
|
The
NASDAQ Stock Market
LLC
|
Securities
registered pursuant to Section 12(g) of the Act:
|
||
(Title
of class) None
|
Large
accelerated filer ¨
|
Accelerated
filer ¨
|
|
Non-accelerated
filer ¨
(Do not check if a smaller reporting company)
|
Smaller
reporting company x
|
|
Page
|
|||
PART I
|
||||
Item
1
|
Business
|
2
|
||
Item
1A
|
Risk
Factors
|
11
|
||
Item
1B
|
Unresolved
Staff Comments
|
16
|
||
Item
2
|
Properties
|
16
|
||
Item
3
|
Legal
Proceedings
|
16
|
||
Item
4
|
(Removed
and Reserved)
|
16
|
||
PART II
|
||||
Item
5
|
Market
for Registrant’s Common Equity, Related Stockholder Matters and
Issuer Purchases of Equity Securities
|
16
|
||
Item
6
|
Selected
Financial Data
|
19
|
||
Item
7
|
Management’s
Discussion and Analysis of Financial Condition and Results of
Operations
|
20
|
||
Item
7A
|
Quantitative
and Qualitative Disclosures About Market Risk
|
34
|
||
Item
8
|
Financial
Statements and Supplementary Data
|
36
|
||
Item
9
|
Changes
in and Disagreements With Accountants on Accounting and Financial
Disclosure
|
75
|
||
Item
9A
|
Controls
and Procedures
|
75
|
||
Item
9B
|
Other
Information
|
75
|
||
PART III
|
||||
Item
10
|
Directors,
Executive Officers and Corporate Governance
|
75
|
||
Item
11
|
Executive
Compensation
|
76
|
||
Item
12
|
Security
Ownership of Certain Beneficial Owners and Management and Related
Stockholder Matters
|
76
|
||
Item
13
|
Certain
Relationships and Related Transactions, and Director
Independence
|
76
|
||
Item
14
|
Principal
Accountant Fees and Services
|
76
|
||
PART IV
|
||||
Item
15
|
Exhibits,
Financial Statement Schedules
|
77
|
||
Signatures
|
79
|
|
Ÿ
|
the
time and costs associated with identifying and evaluating potential
acquisitions and merger partners;
|
|
Ÿ
|
the
estimates and judgments used to evaluate credit, operations, management
and market risks with respect to the target entity may not be
accurate;
|
|
Ÿ
|
the
time and costs of evaluating new markets, hiring experienced local
management and opening new offices, and the time lags between these
activities and the generation of sufficient assets and deposits to support
the costs of the expansion;
|
|
Ÿ
|
our
ability to finance an acquisition and possible ownership or economic
dilution to our current
shareholders;
|
|
Ÿ
|
the
diversion of our management’s attention to the negotiation of a
transaction, and the integration of the operations and personnel of the
combining businesses;
|
|
Ÿ
|
entry
into new markets where we lack
experience;
|
|
Ÿ
|
the
introduction of new products and services into our
business;
|
|
Ÿ
|
the
incurrence and possible impairment of goodwill associated with an
acquisition and possible adverse short-term effects on our results of
operations; and
|
|
Ÿ
|
the
potential loss of key employees and
clients.
|
2009
|
2008
|
|||||||||||||||||||||||
High
|
Low
|
Dividends
|
High
|
Low
|
Dividends
|
|||||||||||||||||||
First
Quarter
|
$ | 5.17 | $ | 3.80 | $ | 0.01 | $ | 8.10 | $ | 5.11 | $ | 0.01 | ||||||||||||
Second
Quarter
|
6.80 | 4.49 | 0.01 | 8.35 | 6.25 | 0.01 | ||||||||||||||||||
Third
Quarter
|
6.92 | 5.10 | 0.01 | 6.85 | 4.99 | 0.01 | ||||||||||||||||||
Fourth
Quarter
|
6.85 | 5.86 | 0.01 | 6.13 | 4.42 | 0.01 |
Issuer Purchases of Equity Securities
|
||||||||||||||||
(c) Total Number of
|
(d) Maximum Number
|
|||||||||||||||
Shares Purchased as
|
of Shares that may
|
|||||||||||||||
(a) Total Number of
|
(b) Average Price
|
Part of Publicly
|
yet be Purchased
|
|||||||||||||
Period
|
Shares Purchased
|
Paid Per Share
|
Announced Plan
|
Under the Plan
|
||||||||||||
October
1 - October 31, 2009
|
500 | $ | 5.16 | 500 | 403,910 | |||||||||||
November
1 - November 30, 2009
|
8,900 | 6.07 | 8,900 | 395,010 | ||||||||||||
December
1 - December 31, 2009
|
- | - | - | - | ||||||||||||
9,400 | $ | 6.07 | 9,400 | 395,010 |
Company, Headquarters
|
Exchange
|
Trading Symbol
|
Established
|
|||
Cardinal
Financial Corporation
|
NASDAQ-GS
|
CFNL
|
1997
|
|||
Fairfax,
Virginia
|
||||||
Eagle
Bancorp, Inc.
|
NASDAQ-CM
|
EGBN
|
1997
|
|||
Bethesda,
Maryland
|
||||||
TowneBank
|
NASDAQ-GS
|
TOWN
|
1999
|
|||
Portsmouth,
Virginia
|
||||||
Valley
Financial Corporation
|
NASDAQ-CM
|
VYFC
|
1994
|
|||
Roanoke,
Virginia
|
||||||
Virginia
National Bank
|
OTC-BB
|
VABK
|
1998
|
|||
Charlottesville,
Virginia
|
|
|
|
Period Ending
|
||||||||||||||||||||||||
Index
|
12/31/04
|
12/31/05
|
12/31/06
|
12/31/07
|
12/31/08
|
12/31/09
|
||||||||||||||||||
Access
National Corporation
|
100.00 | 201.56 | 135.48 | 86.04 | 68.67 | 85.17 | ||||||||||||||||||
S&P
500
|
100.00 | 104.91 | 121.48 | 128.16 | 80.74 | 102.11 | ||||||||||||||||||
Peer
Group Index*
|
100.00 | 102.58 | 103.35 | 85.49 | 88.97 | 70.18 |
Selected Financial Data
|
||||||||||||||||||||
Year Ended December 31,
|
||||||||||||||||||||
2009
|
2008
|
2007
|
2006
|
2005
|
||||||||||||||||
(In Thousands, Except for Share Data)
|
||||||||||||||||||||
Income
Statement Data:
|
||||||||||||||||||||
Net
interest income
|
$ | 23,558 | $ | 21,052 | $ | 20,122 | $ | 18,256 | $ | 15,273 | ||||||||||
Provision
for loan losses
|
6,064 | 5,423 | 2,588 | 232 | 1,196 | |||||||||||||||
Non-interest
income
|
56,966 | 30,813 | 27,707 | 27,633 | 30,956 | |||||||||||||||
Non-interest
expense
|
58,971 | 38,998 | 39,949 | 34,212 | 35,830 | |||||||||||||||
Income
taxes
|
5,854 | 2,700 | 1,590 | 3,853 | 3,305 | |||||||||||||||
Net
income
|
$ | 9,635 | $ | 4,744 | $ | 3,702 | $ | 7,592 | $ | 5,898 | ||||||||||
Per
Share Data:
|
||||||||||||||||||||
Earnings
per share
|
||||||||||||||||||||
Basic
|
$ | 0.93 | $ | 0.46 | $ | 0.32 | $ | 0.81 | $ | 0.75 | ||||||||||
Diluted
|
0.92 | 0.46 | 0.31 | 0.72 | 0.63 | |||||||||||||||
Cash
dividends paid
|
0.04 | 0.04 | 0.04 | 0.02 | - | |||||||||||||||
Book
value at period end
|
6.43 | 5.66 | 5.35 | 5.27 | 3.92 | |||||||||||||||
Balance
Sheet Data:
|
||||||||||||||||||||
Total
assets
|
$ | 666,879 | $ | 702,324 | $ | 622,376 | $ | 644,782 | $ | 537,050 | ||||||||||
Loans
held for sale
|
76,232 | 84,312 | 39,144 | 65,320 | 45,019 | |||||||||||||||
Total
loans
|
486,564 | 485,929 | 477,598 | 433,594 | 369,733 | |||||||||||||||
Total
securities
|
47,838 | 91,015 | 73,558 | 105,163 | 87,771 | |||||||||||||||
Total
deposits
|
466,645 | 485,401 | 473,418 | 438,932 | 419,629 | |||||||||||||||
Shareholders'
equity
|
67,778 | 57,945 | 57,961 | 62,295 | 31,185 | |||||||||||||||
Average
shares outstanding, basic
|
10,391,348 | 10,298,631 | 11,620,130 | 9,429,074 | 7,867,135 | |||||||||||||||
Average
shares outstanding, diluted
|
10,432,857 | 10,423,555 | 11,866,468 | 10,541,873 | 9,423,087 | |||||||||||||||
Performance
Ratios:
|
||||||||||||||||||||
Return
on average assets
|
1.35 | % | 0.76 | % | 0.57 | % | 1.29 | % | 1.29 | % | ||||||||||
Return
on average equity
|
15.04 | % | 8.34 | % | 5.84 | % | 17.15 | % | 20.63 | % | ||||||||||
Net
interest margin (1)
|
3.42 | % | 3.48 | % | 3.18 | % | 3.21 | % | 3.49 | % | ||||||||||
Efficiency
Ratios:
|
||||||||||||||||||||
Access
National Bank
|
60.41 | % | 55.36 | % | 50.87 | % | 48.67 | % | 52.21 | % | ||||||||||
Access
National Mortgage Corp.
|
77.40 | % | 86.65 | % | 107.52 | % | 92.42 | % | 89.13 | % | ||||||||||
Access
National Corporation
|
73.23 | % | 75.19 | % | 83.52 | % | 75.06 | % | 80.09 | % | ||||||||||
Asset
Quality Ratios:
|
||||||||||||||||||||
Allowance
to period end loans
|
1.88 | % | 1.54 | % | 1.56 | % | 1.26 | % | 1.41 | % | ||||||||||
Allowance
to non-performing loans
|
129.79 | % | 259.55 | % | 449.25 | % | 1514.60 | % | 397.78 | % | ||||||||||
Net
charge-offs to average loans
|
1.08 | % | 1.06 | % | 0.12 | % | - | - | ||||||||||||
(1)
Net interest income divided by total average earning
assets.
|
Year
Ended December 31,
|
||||||||||||||||||||
2009
|
2008
|
2007
|
2006
|
2005
|
||||||||||||||||
(In
Thousands, Except for Share Data)
|
||||||||||||||||||||
Average
Balance Sheet Data:
|
||||||||||||||||||||
Total
assets
|
$ | 714,970 | $ | 624,450 | $ | 649,584 | $ | 589,834 | $ | 457,251 | ||||||||||
Securities
|
69,758 | 68,861 | 94,331 | 107,165 | 64,862 | |||||||||||||||
Loans
held for sale
|
65,780 | 25,757 | 49,750 | 53,935 | 45,688 | |||||||||||||||
Loans
|
490,393 | 484,764 | 472,372 | 400,211 | 318,438 | |||||||||||||||
Allowance
for loan losses
|
8,065 | 8,248 | 6,170 | 5,363 | 4,433 | |||||||||||||||
Total
deposits
|
519,477 | 450,873 | 444,999 | 423,788 | 337,403 | |||||||||||||||
Junior
subordinated debentures
|
6,186 | 6,186 | 9,237 | 10,311 | 10,311 | |||||||||||||||
Total
shareholders' equity
|
64,054 | 56,882 | 63,343 | 44,270 | 28,586 | |||||||||||||||
Capital
Ratios:
|
||||||||||||||||||||
Tier
1 risk-based capital
|
13.47 | % | 11.86 | % | 12.41 | % | 15.01 | % | 10.78 | % | ||||||||||
Total
risk-based capital
|
14.73 | % | 13.11 | % | 13.66 | % | 16.18 | % | 12.11 | % | ||||||||||
Leverage
capital ratio
|
10.73 | % | 9.71 | % | 10.07 | % | 11.53 | % | 7.60 | % |
Investment
Securities Available for Sale
|
||||||||||||
December
31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(In
Thousands)
|
||||||||||||
Investment
Securities Available for Sale:
|
||||||||||||
US
Treasury
|
$ | - | $ | 1,006 | $ | 1,013 | ||||||
US
Government agency
|
40,154 | 76,354 | 61,720 | |||||||||
Mortgage
backed
|
743 | 1,391 | 799 | |||||||||
Tax
exempt municipals
|
- | - | 2,891 | |||||||||
Taxable
municipals
|
699 | 4,920 | 1,099 | |||||||||
CRA
Mutual fund
|
1,499 | 1,448 | 1,479 | |||||||||
Restricted
stock
|
4,743 | 5,896 | 4,557 | |||||||||
Total
securities
|
$ | 47,838 | $ | 91,015 | $ | 73,558 |
Maturity Schedule of Investment Securities Available for Sale 2009
|
||||||||||||||||||||||||||||||||||||||||
After One Year
|
After Five Years
|
After Ten Years
|
||||||||||||||||||||||||||||||||||||||
Within
|
But Within
|
But Within
|
and
|
|||||||||||||||||||||||||||||||||||||
One Year
|
Five Years
|
Ten Years
|
Over
|
Total
|
||||||||||||||||||||||||||||||||||||
Amount
|
Yield
|
Amount
|
Yield
|
Amount
|
Yield
|
Amount
|
Yield
|
Amount
|
Yield
|
|||||||||||||||||||||||||||||||
(Dollars
In Thousands)
|
||||||||||||||||||||||||||||||||||||||||
Investment Securities
Available for Sale: (1)
|
||||||||||||||||||||||||||||||||||||||||
US
Treasury
|
$ | - | - | $ | - | - | $ | - | - | $ | - | - | $ | - | - | |||||||||||||||||||||||||
US
Government agency
|
5,145 | 1.00 | % | 15,023 | 1.58 | % | 19,986 | 4.73 | % | - | - | 40,154 | 3.07 | % | ||||||||||||||||||||||||||
Mortgage
backed
|
33 | 5.00 | % | - | - | - | - | 710 | 6.02 | % | 743 | 5.98 | % | |||||||||||||||||||||||||||
Tax
exempt municipals
|
- | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||||||||||
Taxable
municipals
|
- | - | 699 | 4.30 | % | - | - | - | - | 699 | 4.30 | % | ||||||||||||||||||||||||||||
Total
|
$ | 5,178 | 1.03 | % | $ | 15,722 | 1.70 | % | $ | 19,986 | 4.73 | % | $ | 710 | 6.02 | % | $ | 41,596 | 3.14 | % |
Composition of Loan Portfolio
|
||||||||||||||||||||||||||||||||||||||||
Year Ended December 31,
|
||||||||||||||||||||||||||||||||||||||||
2009
|
2008
|
2007
|
2006
|
2005
|
||||||||||||||||||||||||||||||||||||
Amount
|
Percentage
of Total
|
Amount
|
Percentage
of Total
|
Amount
|
Percentage
of Total
|
Amount
|
Percentage
of Total
|
Amount
|
Percentage
of Total
|
|||||||||||||||||||||||||||||||
(Dollars In Thousands)
|
||||||||||||||||||||||||||||||||||||||||
Commercial
|
$ | 72,628 | 14.93 | % | $ | 69,537 | 14.31 | % | $ | 64,860 | 13.58 | % | $ | 51,825 | 11.95 | % | $ | 38,516 | 10.42 | % | ||||||||||||||||||||
Commercial
real estate
|
220,301 | 45.28 | 218,539 | 44.97 | 199,894 | 41.85 | 159,996 | 36.90 | 137,423 | 37.17 | ||||||||||||||||||||||||||||||
Real
estate construction
|
41,508 | 8.53 | 42,600 | 8.77 | 55,074 | 11.53 | 68,570 | 15.81 | 37,054 | 10.02 | ||||||||||||||||||||||||||||||
Residential
real estate
|
150,792 | 30.99 | 153,740 | 31.64 | 156,731 | 32.82 | 152,648 | 35.21 | 156,185 | 42.24 | ||||||||||||||||||||||||||||||
Consumer
and other
|
1,335 | 0.27 | 1,513 | 0.31 | 1,039 | 0.22 | 555 | 0.13 | 555 | 0.15 | ||||||||||||||||||||||||||||||
Total
loans
|
$ | 486,564 | 100.00 | % | $ | 485,929 | 100.00 | % | $ | 477,598 | 100.00 | % | $ | 433,594 | 100.00 | % | $ | 369,733 | 100.00 | % |
Loan Maturity Distribution
|
||||||||||||||||||||
December 31, 2009
|
||||||||||||||||||||
Three Months or
|
Over Three Months
|
Over One Year
|
Over
|
|||||||||||||||||
Less
|
Through One Year
|
Through Five Years
|
Five Years
|
Total
|
||||||||||||||||
(In Thousands)
|
||||||||||||||||||||
Commercial
|
$ | 15,725 | $ | 27,302 | $ | 22,572 | $ | 7,029 | $ | 72,628 | ||||||||||
Commercial
real estate
|
26,981 | 36,548 | 141,199 | 15,573 | 220,301 | |||||||||||||||
Real
estate construction
|
11,203 | 24,662 | 5,616 | 27 | 41,508 | |||||||||||||||
Residential
real estate
|
41,744 | 39,068 | 57,988 | 11,992 | 150,792 | |||||||||||||||
Consumer
and other
|
131 | 663 | 540 | - | 1,334 | |||||||||||||||
Total
|
$ | 95,784 | $ | 128,243 | $ | 227,915 | $ | 34,621 | $ | 486,563 | ||||||||||
Loans
with fixed interest rates
|
$ | 15,471 | $ | 24,799 | $ | 79,545 | $ | 16,277 | $ | 136,092 | ||||||||||
Loans
with floating interest rates
|
80,313 | 103,444 | 148,370 | 18,344 | 350,471 | |||||||||||||||
Total
|
$ | 95,784 | $ | 128,243 | $ | 227,915 | $ | 34,621 | $ | 486,563 |
Allowance
for Loan Losses
|
||||||||||||||||||||
Year
Ended December 31,
|
||||||||||||||||||||
2009
|
2008
|
2007
|
2006
|
2005
|
||||||||||||||||
(In
Thousands)
|
||||||||||||||||||||
Balance,
beginning of year
|
$ | 7,462 | $ | 7,462 | $ | 5,452 | $ | 5,215 | $ | 4,019 | ||||||||||
Provision
for loan losses
|
6,064 | 5,423 | 2,588 | 232 | 1,196 | |||||||||||||||
Charge-offs:
|
||||||||||||||||||||
Commercial
|
1,541 | 184 | - | - | - | |||||||||||||||
Commercial
real estate
|
1,648 | 4,038 | - | - | - | |||||||||||||||
Real
estate construction
|
1,247 | 241 | - | - | - | |||||||||||||||
Residential
real estate
|
851 | 1,055 | 580 | - | - | |||||||||||||||
Consumer
and other
|
23 | 42 | - | - | - | |||||||||||||||
Total
charge-offs
|
5,310 | 5,560 | 580 | - | - | |||||||||||||||
Recoveries:
|
||||||||||||||||||||
Commercial
|
374 | - | - | - | - | |||||||||||||||
Commercial
real estate
|
294 | - | - | - | - | |||||||||||||||
Real
estate construction
|
66 | - | - | - | - | |||||||||||||||
Residential
real estate
|
79 | 137 | - | - | - | |||||||||||||||
Consumer
and other
|
98 | - | 2 | 5 | - | |||||||||||||||
Total
recoveries
|
911 | 137 | 2 | 5 | - | |||||||||||||||
Net
charge-offs
|
(4,399 | ) | (5,423 | ) | (578 | ) | 5 | - | ||||||||||||
Balance,
end of year
|
$ | 9,127 | $ | 7,462 | $ | 7,462 | $ | 5,452 | $ | 5,215 |
Allocation of the Allowance for Loan Losses
|
||||||||||||||||||||||||||||||||||||||||
Year Ended December 31,
|
||||||||||||||||||||||||||||||||||||||||
2009
|
Percentage
of total
|
2008
|
Percentage
of total
|
2007
|
Percentage
of total
|
2006
|
Percentage
of total
|
2005
|
Percentage
of total
|
|||||||||||||||||||||||||||||||
(Dollars In Thousands)
|
||||||||||||||||||||||||||||||||||||||||
Commercial
|
$ | 1,589 | 17.41 | % | $ | 1,816 | 24.34 | % | $ | 1,341 | 17.97 | % | $ | 802 | 14.71 | % | $ | 1,546 | 29.64 | % | ||||||||||||||||||||
Commercial
real estate
|
4,285 | 46.95 | 2,948 | 39.51 | 3,487 | 46.73 | 2,296 | 42.11 | 1,896 | 36.36 | ||||||||||||||||||||||||||||||
Real
estate construction
|
549 | 6.02 | 805 | 10.79 | 929 | 12.45 | 1,055 | 19.35 | 499 | 9.58 | ||||||||||||||||||||||||||||||
Residential
real estate
|
2,690 | 29.47 | 1,880 | 25.19 | 1,695 | 22.72 | 1,293 | 23.72 | 1,267 | 24.30 | ||||||||||||||||||||||||||||||
Consumer
and other
|
14 | 0.15 | 13 | 0.17 | 10 | 0.13 | 6 | 0.11 | 6 | 0.12 | ||||||||||||||||||||||||||||||
Total
|
$ | 9,127 | 100.00 | % | $ | 7,462 | 100.00 | % | $ | 7,462 | 100.00 | % | $ | 5,452 | 100.00 | % | $ | 5,215 | 100.00 | % |
Non-performing
Assets and Accruing Loans Past Due 90 Days or More
|
||||||||||||||||||||
December
31,
|
||||||||||||||||||||
2009
|
2008
|
2007
|
2006
|
2005
|
||||||||||||||||
(Dollars
In Thousands)
|
||||||||||||||||||||
Non-accrual
loans:
|
||||||||||||||||||||
Commercial
|
$ | 208 | $ | 74 | $ | 187 | $ | - | $ | 1,311 | ||||||||||
Commercial
real estate
|
3,631 | 22 | - | - | - | |||||||||||||||
Real
estate construction
|
1,689 | 2,678 | - | - | - | |||||||||||||||
Residential
real estate
|
1,504 | - | 1,474 | 360 | - | |||||||||||||||
Consumer
and other
|
- | 101 | - | - | - | |||||||||||||||
Total
non-accrual loans
|
7,032 | 2,875 | 1,661 | 360 | 1,311 | |||||||||||||||
Restructured
loans
|
- | - | - | - | - | |||||||||||||||
Other
real estate owned ("OREO")
|
5,111 | 4,455 | 1,041 | - | - | |||||||||||||||
Total
non-performing assets
|
$ | 12,143 | $ | 7,330 | $ | 2,702 | $ | 360 | $ | 1,311 | ||||||||||
Ratio
of non-performing assets to:
|
||||||||||||||||||||
Total
loans plus OREO
|
2.47 | % | 1.49 | % | 0.56 | % | 0.08 | % | 0.35 | % | ||||||||||
Total
assets
|
1.82 | 1.04 | 0.43 | 0.06 | 0.24 | |||||||||||||||
Accruing
past due loans:
|
||||||||||||||||||||
90
or more days past due
|
$ | - | $ | - | $ | - | $ | 914 | $ | - |
Average Deposits and Average Rates Paid
|
||||||||||||||||||||||||||||||||||||
Year Ended December 31,
|
||||||||||||||||||||||||||||||||||||
2009
|
2008
|
2007
|
||||||||||||||||||||||||||||||||||
Average
|
Income /
|
Yield /
|
Average
|
Income /
|
Yield /
|
Average
|
Income /
|
Yield /
|
||||||||||||||||||||||||||||
Balance
|
Expense
|
Rate
|
Balance
|
Expense
|
Rate
|
Balance
|
Expense
|
Rate
|
||||||||||||||||||||||||||||
(Dollars In Thousands)
|
||||||||||||||||||||||||||||||||||||
Interest
bearing demand deposits
|
$ | 27,224 | $ | 278 | 1.02 | % | $ | 8,956 | $ | 100 | 1.12 | % | $ | 9,507 | $ | 199 | 2.09 | % | ||||||||||||||||||
Money
market deposit accounts
|
92,682 | 1,403 | 1.51 | % | 112,391 | 2,653 | 2.36 | % | 111,344 | 4,888 | 4.39 | % | ||||||||||||||||||||||||
Savings
accounts
|
4,470 | 60 | 1.34 | % | 3,137 | 101 | 3.22 | % | 4,989 | 231 | 4.63 | % | ||||||||||||||||||||||||
Time
deposits
|
316,823 | 8,827 | 2.79 | % | 263,175 | 11,197 | 4.25 | % | 256,805 | 12,808 | 4.99 | % | ||||||||||||||||||||||||
Total
interest bearing deposits
|
441,199 | 10,568 | 2.40 | % | 387,659 | 14,051 | 3.62 | % | 382,645 | 18,126 | 4.74 | % | ||||||||||||||||||||||||
Non-interest
bearing demand deposits
|
78,278 | 63,214 | 62,354 | |||||||||||||||||||||||||||||||||
Total
deposits
|
$ | 519,477 | $ | 450,873 | $ | 444,999 |
Certificate of Deposit Maturity Distribution
|
||||||||||||||||
December 31, 2009
|
||||||||||||||||
Three months
|
Over three
|
Over
|
||||||||||||||
or less
|
through twelve months
|
twelve months
|
Total
|
|||||||||||||
(In Thousands)
|
||||||||||||||||
Less
than $100,000
|
$ | 39,044 | $ | 32,786 | $ | 23,148 | $ | 94,978 | ||||||||
Greater
than or equal to $100,000
|
82,430 | 36,687 | 43,780 | 162,897 | ||||||||||||
$ | 121,474 | $ | 69,473 | $ | 66,928 | $ | 257,875 |
Borrowed
Funds Distribution
|
||||||||||||
Year
Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(Dollars
In Thousands)
|
||||||||||||
At
Period End
|
||||||||||||
FHLB
advances
|
$ | 20,179 | $ | 44,333 | $ | 15,500 | ||||||
Securities
sold under agreements to repurchase
|
26,804 | 21,395 | 14,814 | |||||||||
Commercial
paper
|
16,517 | 26,136 | 9,454 | |||||||||
U.S.
Treasury demand note
|
750 | 1,718 | 1,907 | |||||||||
FHLB
long term borrowings
|
16,333 | 41,107 | 39,524 | |||||||||
Senior
unsecured term note
|
29,997 | - | - | |||||||||
Subordinated
debentures
|
6,186 | 6,186 | 6,186 | |||||||||
Federal
funds purchased
|
- | 9,993 | - | |||||||||
Total
at period end
|
$ | 116,766 | $ | 150,868 | $ | 87,385 | ||||||
Average
Balances
|
||||||||||||
FHLB
advances
|
$ | 23,676 | $ | 13,524 | $ | 60,224 | ||||||
Securities
sold under agreements to repurchase
|
23,283 | 16,269 | 11,695 | |||||||||
Commercial
paper
|
16,934 | 19,836 | 15,679 | |||||||||
U.S.
Treasury demand note
|
706 | 861 | 234 | |||||||||
FHLB
long term borrowings
|
24,026 | 54,173 | 41,932 | |||||||||
Senior
unsecured term note
|
26,627 | - | - | |||||||||
Subordinated
debentures
|
6,186 | 6,186 | 9,237 | |||||||||
Federal
funds purchased
|
177 | 164 | 716 | |||||||||
Total
average balance
|
$ | 121,615 | $ | 111,013 | $ | 139,717 | ||||||
Average
rate paid on all borrowed funds
|
2.80 | % | 3.32 | % | 5.14 | % |
Risk
Based Capital Analysis
|
||||||||||||
Year
Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(Dollars
In Thousands)
|
||||||||||||
Tier
1 Capital:
|
||||||||||||
Common
stock
|
$ | 8,799 | $ | 8,551 | $ | 9,052 | ||||||
Capital
surplus
|
18,552 | 17,411 | 21,833 | |||||||||
Retained
earnings
|
40,376 | 31,123 | 26,832 | |||||||||
Subordinated
debt (trust preferred debenture)
|
6,000 | 6,000 | 6,000 | |||||||||
Less:
Disallowed servicing assets
|
(123 | ) | - | - | ||||||||
Total
Tier 1 Capital
|
73,604 | 63,085 | 63,717 | |||||||||
Subordinated
debt not included in Tier 1
|
- | - | - | |||||||||
Allowance
for loan losses
|
6,861 | 6,662 | 6,585 | |||||||||
Total
Risk Based Capital
|
$ | 80,465 | $ | 69,747 | $ | 70,302 | ||||||
Risk
weighted assets
|
$ | 546,288 | $ | 532,195 | $ | 525,676 | ||||||
Quarterly
average assets
|
$ | 685,754 | $ | 649,817 | $ | 632,752 | ||||||
Capital
Ratios:
|
||||||||||||
Tier
1 risk based capital ratio
|
13.47 | % | 11.86 | % | 12.12 | % | ||||||
Total
risk based capital ratio
|
14.73 | % | 13.11 | % | 13.37 | % | ||||||
Leverage
ratio
|
10.73 | % | 9.71 | % | 10.07 | % |
Yield
on Average Earning Assets and Rates on Average Interest-Bearing
Liabilities*
|
||||||||||||||||||||||||||||||||||||
Year
Ended December 31,
|
||||||||||||||||||||||||||||||||||||
2009
|
2008
|
2007
|
||||||||||||||||||||||||||||||||||
Average
|
Income
/
|
Yield
/
|
Average
|
Income
/
|
Yield
/
|
Average
|
Income
/
|
Yield
/
|
||||||||||||||||||||||||||||
Balance
|
Expense
|
Rate
|
Balance
|
Expense
|
Rate
|
Balance
|
Expense
|
Rate
|
||||||||||||||||||||||||||||
(Dollars
In Thousands)
|
||||||||||||||||||||||||||||||||||||
Assets:
|
||||||||||||||||||||||||||||||||||||
Interest
earning assets:
|
||||||||||||||||||||||||||||||||||||
Securities
|
$ | 68,852 | $ | 3,038 | 4.41 | % | $ | 68,522 | $ | 3,440 | 5.02 | % | $ | 94,331 | $ | 4,324 | 4.58 | % | ||||||||||||||||||
Loans(3)
|
556,173 | 34,334 | 6.17 | % | 510,521 | 34,875 | 6.83 | % | 522,122 | 40,303 | 7.72 | % | ||||||||||||||||||||||||
Interest
bearing deposits and federal funds sold
|
64,128 | 154 | 0.24 | % | 26,911 | 487 | 1.81 | % | 17,474 | 846 | 4.84 | % | ||||||||||||||||||||||||
Total
interest earning assets
|
689,153 | 37,526 | 5.45 | % | 605,954 | 38,802 | 6.40 | % | 633,927 | 45,473 | 7.17 | % | ||||||||||||||||||||||||
Non-interest
earning assets:
|
||||||||||||||||||||||||||||||||||||
Cash
and due from banks
|
6,748 | 5,257 | 6,784 | |||||||||||||||||||||||||||||||||
Premises,
land and equipment
|
8,991 | 9,475 | 9,710 | |||||||||||||||||||||||||||||||||
Other
assets
|
18,143 | 12,012 | 5,333 | |||||||||||||||||||||||||||||||||
Less:
allowance for loan losses
|
(8,065 | ) | (8,248 | ) | (6,170 | ) | ||||||||||||||||||||||||||||||
Total
non-interest earning assets
|
25,817 | 18,496 | 15,657 | |||||||||||||||||||||||||||||||||
Total
Assets
|
$ | 714,970 | $ | 624,450 | $ | 649,584 | ||||||||||||||||||||||||||||||
Liabilities
and Shareholders' Equity:
|
||||||||||||||||||||||||||||||||||||
Interest
bearing liabilities:
|
||||||||||||||||||||||||||||||||||||
Interest
bearing demand deposits
|
$ | 27,224 | $ | 278 | 1.02 | % | $ | 8,956 | $ | 100 | 1.12 | % | $ | 9,507 | $ | 199 | 2.09 | % | ||||||||||||||||||
Money
market deposit accounts
|
92,682 | 1,403 | 1.51 | % | 112,391 | 2,653 | 2.36 | % | 111,344 | 4,888 | 4.39 | % | ||||||||||||||||||||||||
Savings
accounts
|
4,470 | 60 | 1.34 | % | 3,137 | 101 | 3.22 | % | 4,989 | 231 | 4.63 | % | ||||||||||||||||||||||||
Time
deposits
|
316,823 | 8,827 | 2.79 | % | 263,175 | 11,197 | 4.25 | % | 256,805 | 12,808 | 4.99 | % | ||||||||||||||||||||||||
Total
interest bearing deposits
|
441,199 | 10,568 | 2.40 | % | 387,659 | 14,051 | 3.62 | % | 382,645 | 18,126 | 4.74 | % | ||||||||||||||||||||||||
FHLB
Advances
|
23,676 | 979 | 4.13 | % | 13,524 | 454 | 3.36 | % | 60,224 | 3,197 | 5.31 | % | ||||||||||||||||||||||||
Securities
sold under agreements to repurchase and federal funds
purchased
|
23,460 | 115 | 0.49 | % | 16,433 | 260 | 1.58 | % | 12,410 | 516 | 4.16 | % | ||||||||||||||||||||||||
Other
short-term borrowings
|
17,640 | 167 | 0.95 | % | 20,697 | 363 | 1.75 | % | 15,913 | 641 | 4.03 | % | ||||||||||||||||||||||||
Long-term
borrowings
|
50,653 | 1,901 | 3.75 | % | 54,173 | 2,195 | 4.05 | % | 41,932 | 2,018 | 4.81 | % | ||||||||||||||||||||||||
Subordinated
debentures
|
6,186 | 238 | 3.85 | % | 6,186 | 417 | 6.74 | % | 9,237 | 806 | 8.73 | % | ||||||||||||||||||||||||
Total
interest bearing liabilities
|
562,814 | 13,968 | 2.48 | % | 498,672 | 17,740 | 3.56 | % | 522,361 | 25,304 | 4.84 | % | ||||||||||||||||||||||||
Non-interest
bearing liabilities:
|
||||||||||||||||||||||||||||||||||||
Demand
deposits
|
78,278 | 63,214 | 62,354 | |||||||||||||||||||||||||||||||||
Other
liabilities
|
9,824 | 5,682 | 1,526 | |||||||||||||||||||||||||||||||||
Total liabilities
|
650,916 | 567,568 | 586,241 | |||||||||||||||||||||||||||||||||
Shareholders'
Equity
|
64,054 | 56,882 | 63,343 | |||||||||||||||||||||||||||||||||
Total
Liabilities and Shareholders' Equity:
|
$ | 714,970 | $ | 624,450 | $ | 649,584 | ||||||||||||||||||||||||||||||
Interest Spread(1)
|
2.97 | % | 2.84 | % | 2.33 | % | ||||||||||||||||||||||||||||||
Net Interest Margin(2)
|
$ | 23,558 | 3.42 | % | $ | 21,062 | 3.48 | % | $ | 20,169 | 3.18 | % |
Volume and Rate Analysis
|
||||||||||||||||||||||||||||||||||||
Years Ended December 31,
|
||||||||||||||||||||||||||||||||||||
2009 compared to 2008
|
2008 compared to 2007
|
2007 compared to 2006
|
||||||||||||||||||||||||||||||||||
Change Due To:
|
Change Due To:
|
Change Due To:
|
||||||||||||||||||||||||||||||||||
Increase /
|
Increase /
|
Increase /
|
||||||||||||||||||||||||||||||||||
(Decrease)
|
Volume
|
Rate
|
(Decrease)
|
Volume
|
Rate
|
(Decrease)
|
Volume
|
Rate
|
||||||||||||||||||||||||||||
(In Thousands)
|
||||||||||||||||||||||||||||||||||||
Interest
Earning Assets:
|
||||||||||||||||||||||||||||||||||||
Investments
|
$ | (402 | ) | $ | 16 | $ | (418 | ) | $ | (884 | ) | $ | (1,267 | ) | $ | 383 | $ | (363 | ) | $ | (584 | ) | $ | 221 | ||||||||||||
Loans
|
(541 | ) | 2,974 | (3,515 | ) | (5,428 | ) | (879 | ) | (4,549 | ) | 5,404 | 5,226 | 178 | ||||||||||||||||||||||
Interest
bearing deposits
|
(319 | ) | 319 | (638 | ) | (356 | ) | 299 | (655 | ) | 431 | 434 | (3 | ) | ||||||||||||||||||||||
Federal
funds sold
|
(14 | ) | (7 | ) | (7 | ) | (2 | ) | 18 | (20 | ) | 15 | 16 | (1 | ) | |||||||||||||||||||||
Total
Increase (Decrease) in Interest Income
|
(1,276 | ) | 3,302 | (4,578 | ) | (6,670 | ) | (1,829 | ) | (4,841 | ) | 5,487 | 5,092 | 395 | ||||||||||||||||||||||
Interest
Bearing Liabilities:
|
||||||||||||||||||||||||||||||||||||
Interest
bearing demand deposits
|
177 | 187 | (10 | ) | (99 | ) | (11 | ) | (88 | ) | (25 | ) | (24 | ) | (1 | ) | ||||||||||||||||||||
Money
market deposit accounts
|
(1,250 | ) | (410 | ) | (840 | ) | (2,235 | ) | 46 | (2,281 | ) | 29 | (304 | ) | 333 | |||||||||||||||||||||
Savings
accounts
|
(42 | ) | 32 | (74 | ) | (130 | ) | (71 | ) | (59 | ) | 143 | 130 | 13 | ||||||||||||||||||||||
Time
deposits
|
(2,368 | ) | 1,990 | (4,358 | ) | (1,611 | ) | 311 | (1,922 | ) | 2,203 | 1,240 | 963 | |||||||||||||||||||||||
Total
interest bearing deposits
|
(3,483 | ) | 1,799 | (5,282 | ) | (4,075 | ) | 275 | (4,350 | ) | 2,350 | 1,042 | 1,308 | |||||||||||||||||||||||
FHLB
Advances
|
525 | 401 | 124 | (2,743 | ) | (1,861 | ) | (882 | ) | 36 | (42 | ) | 78 | |||||||||||||||||||||||
Securities
sold under agreements to repurchase
|
(145 | ) | 82 | (227 | ) | (256 | ) | 132 | (388 | ) | 350 | 304 | 46 | |||||||||||||||||||||||
Other
short-term borrowings
|
(196 | ) | (48 | ) | (148 | ) | (278 | ) | 155 | (433 | ) | (97 | ) | (54 | ) | (43 | ) | |||||||||||||||||||
Long-term
borrowings
|
(294 | ) | (138 | ) | (156 | ) | 177 | 529 | (352 | ) | 1,056 | 851 | 205 | |||||||||||||||||||||||
Trust
preferred
|
(179 | ) | - | (179 | ) | (389 | ) | (230 | ) | (159 | ) | (74 | ) | (95 | ) | 21 | ||||||||||||||||||||
Total
Increase (Decrease) in Interest Expense
|
(3,772 | ) | 2,096 | (5,868 | ) | (7,564 | ) | (1,000 | ) | (6,564 | ) | 3,621 | 2,006 | 1,615 | ||||||||||||||||||||||
Increase
(Decrease) in Net Interest Income
|
$ | 2,496 | $ | 1,206 | $ | 1,290 | $ | 894 | $ | (829 | ) | $ | 1,723 | $ | 1,866 | $ | 3,086 | $ | (1,220 | ) |
First
|
Second
|
Third
|
Fourth
|
Total
|
||||||||||||||||
Quarter
|
Quarter
|
Quarter
|
Quarter
|
YTD
|
||||||||||||||||
(In
Thousands, Except Per Share Data)
|
||||||||||||||||||||
2009
|
||||||||||||||||||||
Total
interest income
|
$ | 9,679 | $ | 9,688 | $ | 9,216 | $ | 8,943 | $ | 37,526 | ||||||||||
Total
interest expense
|
3,936 | 3,649 | 3,305 | 3,078 | 13,968 | |||||||||||||||
Net
interest income
|
5,743 | 6,039 | 5,911 | 5,865 | 23,558 | |||||||||||||||
Provision
for loan losses
|
1,369 | 2,060 | 1,387 | 1,248 | 6,064 | |||||||||||||||
Net
interest income after provision for loan losses
|
4,374 | 3,979 | 4,524 | 4,617 | 17,494 | |||||||||||||||
Total
non-interest income
|
15,160 | 18,052 | 10,923 | 12,831 | 56,966 | |||||||||||||||
Total
non-interest expense
|
14,880 | 17,549 | 12,033 | 14,509 | 58,971 | |||||||||||||||
Income
tax expense
|
1,990 | 1,712 | 1,260 | 892 | 5,854 | |||||||||||||||
Net
income
|
$ | 2,664 | $ | 2,770 | $ | 2,154 | $ | 2,047 | $ | 9,635 | ||||||||||
Earnings
Per Share:
|
||||||||||||||||||||
Basic
|
$ | 0.26 | $ | 0.27 | $ | 0.21 | $ | 0.19 | $ | 0.93 | ||||||||||
Diluted
|
0.26 | 0.27 | 0.21 | 0.19 | 0.92 | |||||||||||||||
First
|
Second
|
Third
|
Fourth
|
Total
|
||||||||||||||||
Quarter
|
Quarter
|
Quarter
|
Quarter
|
YTD
|
||||||||||||||||
(In
Thousands, Except Per Share Data)
|
||||||||||||||||||||
2008
|
||||||||||||||||||||
Total
interest income
|
$ | 10,019 | $ | 9,511 | $ | 9,727 | $ | 9,535 | $ | 38,792 | ||||||||||
Total
interest expense
|
5,237 | 4,262 | 4,172 | 4,069 | 17,740 | |||||||||||||||
Net
interest income
|
4,782 | 5,249 | 5,555 | 5,466 | 21,052 | |||||||||||||||
Provision
for loan losses
|
408 | 1,399 | 1,855 | 1,761 | 5,423 | |||||||||||||||
Net
interest income after provision for loan losses
|
4,374 | 3,850 | 3,700 | 3,705 | 15,629 | |||||||||||||||
Total
non-interest income
|
8,442 | 8,022 | 5,640 | 8,709 | 30,813 | |||||||||||||||
Total
non-interest expense
|
10,181 | 10,215 | 8,147 | 10,455 | 38,998 | |||||||||||||||
Income
tax expense
|
944 | 595 | 424 | 737 | 2,700 | |||||||||||||||
Net
income
|
$ | 1,691 | $ | 1,062 | $ | 769 | $ | 1,222 | $ | 4,744 |
Payments
Due By Period
|
||||||||||||||||
December
31, 2009
|
||||||||||||||||
Less
Than
|
1
- 3
|
More Than
|
||||||||||||||
1
Year
|
Years
|
3
Years
|
Total
|
|||||||||||||
(In
Thousands)
|
||||||||||||||||
Certificates
of deposit
|
$ | 190,947 | $ | 53,656 | $ | 13,272 | $ | 257,875 | ||||||||
FHLB
advances
|
20,179 | - | - | 20,179 | ||||||||||||
Securities
sold under agreements to repurchase
|
26,804 | - | - | 26,804 | ||||||||||||
FHLB
long-term borrowings
|
- | 7,083 | 9,250 | 16,333 | ||||||||||||
Senior
unsecured term note
|
- | 29,997 | - | 29,997 | ||||||||||||
Commercial
paper
|
16,517 | - | - | 16,517 | ||||||||||||
US
treasury demand notes
|
750 | - | - | 750 | ||||||||||||
Subordinated
debentures
|
- | - | 6,186 | 6,186 | ||||||||||||
Leases
|
- | 1,200 | 740 | 1,940 | ||||||||||||
Total
|
$ | 255,197 | $ | 91,936 | $ | 29,448 | $ | 376,581 |
Allowance
For Losses On Mortgage Loans Sold
|
||||||||
December
31,
|
||||||||
2009
|
2008
|
|||||||
Balance
at beginning of year
|
$ | 1,439 | $ | 119 | ||||
Provision
charged to operating expense
|
5,050 | 2,095 | ||||||
Recoveries
|
16 | 16 | ||||||
Charge-offs
|
(3,173 | ) | (791 | ) | ||||
Balance
at end of year
|
$ | 3,332 | $ | 1,439 |
December
31,
|
||||||||
2009
|
2008
|
|||||||
Assets
|
||||||||
Cash
and due from banks
|
$ | 5,965 | $ | 8,785 | ||||
Interest
bearing deposits in other banks and federal funds sold
|
25,256 | 13,697 | ||||||
Securities
available for sale, at fair value
|
47,838 | 91,015 | ||||||
Loans
held for sale, at fair value
|
76,232 | 84,312 | ||||||
Loans,
net of allowance for loan losses 2009, $ 9,127; 2008,
$7,462
|
477,437 | 478,467 | ||||||
Premises
and equipment, net
|
8,759 | 9,211 | ||||||
Accrued
interest receivable and other assets
|
25,392 | 16,837 | ||||||
Total
assets
|
$ | 666,879 | $ | 702,324 | ||||
Liabilities
and Shareholders' Equity
|
||||||||
Liabilities
|
||||||||
Deposits
|
||||||||
Non-interest
bearing demand deposits
|
$ | 69,782 | $ | 75,000 | ||||
Savings
and interest bearing deposits
|
138,988 | 95,730 | ||||||
Time
deposits
|
257,875 | 314,671 | ||||||
Total
deposits
|
466,645 | 485,401 | ||||||
Short
term borrowings
|
64,249 | 103,575 | ||||||
Long
term borrowings
|
46,330 | 41,107 | ||||||
Subordinated
debentures
|
6,186 | 6,186 | ||||||
Other
liabilities and accrued expenses
|
15,691 | 8,110 | ||||||
Total
liabilities
|
599,101 | 644,379 | ||||||
Shareholders'
Equity
|
||||||||
Common
stock, par value, $.835, authorized 60,000,000 shares, issued and
outstanding, 10,537,428 in 2009 and 10,240,747 in 2008
|
8,799 | 8,551 | ||||||
Additional
paid in capital
|
18,552 | 17,410 | ||||||
Retained
earnings
|
40,377 | 31,157 | ||||||
Accumulated
other comprehensive income, net
|
50 | 827 | ||||||
Total
shareholders' equity
|
67,778 | 57,945 | ||||||
Total
liabilities and shareholders' equity
|
$ | 666,879 | $ | 702,324 |
Year
Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Interest
and Dividend Income
|
||||||||||||
Loans
|
$ | 34,334 | $ | 34,875 | $ | 40,303 | ||||||
Interest
bearing deposits and federal funds sold
|
154 | 486 | 846 | |||||||||
Securities
|
3,038 | 3,431 | 4,277 | |||||||||
Total
interest and dividend income
|
37,526 | 38,792 | 45,426 | |||||||||
Interest
Expense
|
||||||||||||
Deposits
|
10,568 | 14,051 | 18,125 | |||||||||
Short-term
borrowings
|
1,261 | 1,077 | 4,354 | |||||||||
Long-term
borrowings
|
1,901 | 2,195 | 2,018 | |||||||||
Subordinated
debentures
|
238 | 417 | 807 | |||||||||
Total
interest expense
|
13,968 | 17,740 | 25,304 | |||||||||
Net
interest income
|
23,558 | 21,052 | 20,122 | |||||||||
Provision
for loan losses
|
6,064 | 5,423 | 2,588 | |||||||||
Net
interest income after provision for loan losses
|
17,494 | 15,629 | 17,534 | |||||||||
Non-Interest
Income
|
||||||||||||
Service
fees on deposit accounts
|
536 | 438 | 365 | |||||||||
Gain
on sale of loans
|
49,262 | 24,859 | 20,241 | |||||||||
Mortgage
broker fee income
|
918 | 1,672 | 3,890 | |||||||||
Other
income
|
6,250 | 3,844 | 3,211 | |||||||||
Total
non-interest income
|
56,966 | 30,813 | 27,707 | |||||||||
Non-Interest
Expense
|
||||||||||||
Compensation
and employee benefits
|
28,122 | 20,781 | 19,578 | |||||||||
Occupancy
|
1,726 | 1,546 | 1,419 | |||||||||
Furniture
and equipment
|
771 | 933 | 1,111 | |||||||||
Other
|
28,352 | 15,738 | 17,841 | |||||||||
Total
non-interest expense
|
58,971 | 38,998 | 39,949 | |||||||||
Income
before income taxes
|
15,489 | 7,444 | 5,292 | |||||||||
Income
taxes
|
5,854 | 2,700 | 1,590 | |||||||||
Net
Income
|
$ | 9,635 | $ | 4,744 | $ | 3,702 | ||||||
Earnings
per common share:
|
||||||||||||
Basic
|
$ | 0.93 | $ | 0.46 | $ | 0.32 | ||||||
Diluted
|
$ | 0.92 | $ | 0.46 | $ | 0.31 | ||||||
Average
outstanding shares:
|
||||||||||||
Basic
|
10,391,348 | 10,298,631 | 11,620,130 | |||||||||
Diluted
|
10,432,857 | 10,423,555 | 11,866,468 |
Accumulated
|
||||||||||||||||||||
Other
|
||||||||||||||||||||
Additional
|
Compre-
|
|||||||||||||||||||
Common
|
Paid
in
|
Retained
|
hensive
|
|||||||||||||||||
Stock
|
Capital
|
Earnings
|
Income
(Loss)
|
Total
|
||||||||||||||||
Balance,
December 31, 2006
|
$ | 9,867 | $ | 29,316 | $ | 23,641 | $ | (529 | ) | $ | 62,295 | |||||||||
Comprehensive
income:
|
||||||||||||||||||||
Net
income
|
- | - | 3,702 | - | 3,702 | |||||||||||||||
Other
comprehensive income, unrealized holdings gains arising during
the period (net of tax, $391)
|
- | - | - | 759 | 759 | |||||||||||||||
Total
comprehensive income
|
4,461 | |||||||||||||||||||
Stock
options exercised (178,320 shares)
|
149 | 151 | - | - | 300 | |||||||||||||||
Dividend
reinvestment plan (91,105 shares)
|
76 | 729 | - | - | 805 | |||||||||||||||
Repurchase
of common stock under share repurchase program (1,245,624
shares)
|
(1,040 | ) | (8,462 | ) | - | - | (9,502 | ) | ||||||||||||
Cash
dividend
|
- | - | (497 | ) | - | (497 | ) | |||||||||||||
Stock-based
compensation expense recognized in earnings
|
- | 99 | - | - | 99 | |||||||||||||||
Balance,
December 31, 2007
|
$ | 9,052 | $ | 21,833 | $ | 26,846 | $ | 230 | $ | 57,961 | ||||||||||
Comprehensive
income:
|
||||||||||||||||||||
Net
income
|
- | - | 4,744 | - | 4,744 | |||||||||||||||
Other
comprehensive income, unrealized holdings gains arising during the period
(net of tax, $307)
|
- | - | - | 597 | 597 | |||||||||||||||
Total
comprehensive income
|
5,341 | |||||||||||||||||||
Stock
options exercised (137,682 shares)
|
115 | 284 | - | - | 399 | |||||||||||||||
Dividend
reinvestment plan (87,171 shares)
|
73 | 398 | - | - | 471 | |||||||||||||||
Repurchase
of common stock under share repurchase program (824,836
shares)
|
(689 | ) | (5,241 | ) | - | - | (5,930 | ) | ||||||||||||
Cash
dividend
|
- | - | (433 | ) | - | (433 | ) | |||||||||||||
Stock-based
compensation expense recognized in earnings
|
- | 136 | - | - | 136 | |||||||||||||||
Balance,
December 31, 2008
|
$ | 8,551 | $ | 17,410 | $ | 31,157 | $ | 827 | $ | 57,945 | ||||||||||
Comprehensive
income:
|
||||||||||||||||||||
Net
income
|
- | - | 9,635 | - | 9,635 | |||||||||||||||
Other
comprehensive income, unrealized holdings losses arising during the period
(net of tax, $400)
|
- | - | - | (777 | ) | (777 | ) | |||||||||||||
Total
comprehensive income
|
8,858 | |||||||||||||||||||
Stock
options exercised (184,452 shares)
|
154 | 470 | - | - | 624 | |||||||||||||||
Dividend
reinvestment plan (146,759 shares)
|
123 | 654 | - | - | 777 | |||||||||||||||
Repurchase
of common stock under share repurchase program (34,530
shares)
|
(29 | ) | (144 | ) | - | - | (173 | ) | ||||||||||||
Cash
dividend
|
- | - | (415 | ) | - | (415 | ) | |||||||||||||
Stock-based
compensation expense recognized in earnings
|
- | 162 | - | - | 162 | |||||||||||||||
Balance,
December 31, 2009
|
$ | 8,799 | $ | 18,552 | $ | 40,377 | $ | 50 | $ | 67,778 |
Year
Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Cash
Flows from Operating Activities
|
||||||||||||
Net
income
|
$ | 9,635 | $ | 4,744 | $ | 3,702 | ||||||
Adjustments
to reconcile net income to net cash provided by operating
activities:
|
||||||||||||
Provision
for loan losses
|
6,064 | 5,423 | 2,588 | |||||||||
Provision
for losses on mortgage loans sold
|
5,050 | 2,095 | 1,750 | |||||||||
Writedown
of other real estate owned
|
1,245 | - | 714 | |||||||||
Gain
on sale of securities
|
(984 | ) | (12 | ) | - | |||||||
Deferred
tax benefit
|
(1,525 | ) | (906 | ) | (1,106 | ) | ||||||
Stock
based compensation
|
162 | 136 | 99 | |||||||||
Valuation
allowance on derivatives
|
(75 | ) | (231 | ) | 68 | |||||||
Net
amortization on securities
|
72 | 2 | (20 | ) | ||||||||
Depreciation
and amortization
|
565 | 747 | 839 | |||||||||
Loss
on disposal of assets
|
2 | 5 | 1 | |||||||||
Changes
in assets and liabilities:
|
||||||||||||
Valuation
of loans held for sale carried at fair value
|
(1,626 | ) | (2,109 | ) | - | |||||||
Originations
of loans held for sale
|
(1,515,880 | ) | (775,857 | ) | (886,433 | ) | ||||||
Proceed
from sale of loans held for sale
|
1,525,586 | 732,798 | 912,609 | |||||||||
Increase
in other assets
|
(8,228 | ) | (8,221 | ) | (1,851 | ) | ||||||
Increase
(decrease) in other liabilities
|
2,530 | 2,404 | (3,860 | ) | ||||||||
Net
cash provided by (used in) operating activities
|
22,593 | (38,982 | ) | 28,386 | ||||||||
Cash
Flows from Investing Activities
|
||||||||||||
Proceeds
from maturities and calls of securities available for sale
|
63,556 | 61,357 | 66,612 | |||||||||
Proceeds
from sale of securities
|
15,312 | 2,939 | - | |||||||||
Purchases
of securities available for sale
|
(35,955 | ) | (80,840 | ) | (33,838 | ) | ||||||
Net
increase in loans
|
(5,035 | ) | (13,754 | ) | (44,581 | ) | ||||||
Proceeds
from sale of assets
|
23 | 35 | 23 | |||||||||
Proceeds
from sales of other real estate owned
|
350 | 2,449 | 1,363 | |||||||||
Purchases
of premises and equipment
|
(58 | ) | (199 | ) | (970 | ) | ||||||
Net
cash provided by (used in) investing activities
|
38,193 | (28,013 | ) | (11,391 | ) | |||||||
Cash
Flows from Financing Activities
|
||||||||||||
Net
increase (decrease) in demand, interest bearing demand and savings
deposits
|
37,940 | (31,505 | ) | 2,704 | ||||||||
Net
(decrease) increase in time deposits
|
(56,696 | ) | 43,488 | 31,782 | ||||||||
(Decrease)
increase in securities sold under agreement to repurchase
|
(4,584 | ) | 16,574 | 273 | ||||||||
Net
(decrease) increase in other short-term borrowings
|
(34,742 | ) | 45,326 | (43,548 | ) | |||||||
Net
increase in long-term borrowings
|
5,223 | 1,583 | (7,173 | ) | ||||||||
Proceeds
from issuance of common stock
|
1,400 | 870 | 1,105 | |||||||||
Repurchase
of common stock
|
(173 | ) | (5,930 | ) | (9,502 | ) | ||||||
Dividends
paid
|
(415 | ) | (433 | ) | (497 | ) | ||||||
Net
cash (used in) provided by financing activities
|
(52,047 | ) | 69,973 | (24,856 | ) | |||||||
Increase
(decrease) in cash and cash equivalents
|
8,739 | 2,978 | (7,861 | ) | ||||||||
Cash
and Cash Equivalents
|
||||||||||||
Beginning
|
22,482 | 19,504 | 27,365 | |||||||||
Ending
|
$ | 31,221 | $ | 22,482 | $ | 19,504 | ||||||
Supplemental
Disclosures of Cash Flow Information
|
||||||||||||
Cash
payments for interest
|
$ | 13,602 | $ | 17,360 | $ | 25,285 | ||||||
Cash
payments for income taxes
|
$ | 7,113 | $ | 3,480 | $ | 4,815 | ||||||
Supplemental
Disclosures of Noncash Investing Activities
|
||||||||||||
Unrealized
(loss) gain on securities available for sale
|
$ | (1,176 | ) | $ | 904 | $ | 1,150 | |||||
Loans
transferred to other realestate owned
|
$ | 2,250 | $ | 4,455 | $ | - |
December 31, 2009
|
||||||||||||||||
Amortized Cost
|
Gross
Unrealized
Gains
|
Gross
Unrealized
(Losses)
|
Estimated
Fair Value
|
|||||||||||||
(In
Thousands)
|
||||||||||||||||
U.S.
Treasury notes
|
$ | - | $ | - | $ | - | $ | - | ||||||||
U.S.
Government agencies
|
40,022 | 144 | (12 | ) | 40,154 | |||||||||||
Mortgage
backed securities
|
808 | - | (65 | ) | 743 | |||||||||||
Municipals
- taxable
|
690 | 9 | - | 699 | ||||||||||||
CRA
Mutual fund
|
1,500 | - | (1 | ) | 1,499 | |||||||||||
Restricted
stock:
|
||||||||||||||||
Federal
Reserve Bank stock
|
894 | - | - | 894 | ||||||||||||
FHLB
stock
|
3,849 | - | - | 3,849 | ||||||||||||
$ | 47,763 | $ | 153 | $ | (78 | ) | $ | 47,838 | ||||||||
December 31, 2008
|
||||||||||||||||
Amortized Cost
|
Gross
Unrealized
Gains
|
Gross
Unrealized
(Losses)
|
Estimated
Fair Value
|
|||||||||||||
(In
Thousands)
|
||||||||||||||||
U.S.
Treasury notes
|
$ | 999 | $ | 7 | $ | - | $ | 1,006 | ||||||||
U.S.
Government agencies
|
74,934 | 1,420 | - | 76,354 | ||||||||||||
Mortgage
backed securities
|
1,428 | 2 | (39 | ) | 1,391 | |||||||||||
Municipals
- taxable
|
5,006 | 3 | (89 | ) | 4,920 | |||||||||||
CRA
Mutual fund
|
1,500 | - | (52 | ) | 1,448 | |||||||||||
Restricted
stock:
|
||||||||||||||||
Federal
Reserve Bank stock
|
894 | - | - | 894 | ||||||||||||
FHLB
stock
|
5,002 | - | - | 5,002 | ||||||||||||
$ | 89,763 | $ | 1,432 | $ | (180 | ) | $ | 91,015 |
December
31, 2009
|
||||||||
Estimated
|
||||||||
Amortized
|
Fair
|
|||||||
Cost
|
Value
|
|||||||
(In
Thousands)
|
||||||||
US
Treasury and Agencies
|
||||||||
Due
in one year or less
|
$ | 5,125 | $ | 5,145 | ||||
Due
after one through five years
|
15,000 | 15,023 | ||||||
Due
after five through ten years
|
19,896 | 19,986 | ||||||
Municipals
– taxable
|
||||||||
Due
after one through five years
|
690 | 699 | ||||||
Due
after five through ten years
|
- | - | ||||||
Mortgage
Backed Securities:
|
||||||||
Due
in one year or less
|
33 | 33 | ||||||
Due
after one through five years
|
- | - | ||||||
Due
after fifteen years
|
776 | 710 | ||||||
CRA
Mutual fund
|
1,500 | 1,499 | ||||||
Restricted
Stock:
|
||||||||
Federal
Reserve Bank stock
|
894 | 894 | ||||||
FHLB
stock
|
3,849 | 3,849 | ||||||
$ | 47,763 | $ | 47,838 |
Securities in a loss
|
Securities in a loss
|
|||||||||||||||||||||||
Position for less than
|
Position for 12 Months
|
|||||||||||||||||||||||
12 Months
|
or Longer
|
Total
|
||||||||||||||||||||||
December 31, 2009
|
Fair
|
Unrealized
|
Fair
|
Unrealized
|
Fair
|
Unrealized
|
||||||||||||||||||
Value
|
Losses
|
Value
|
Losses
|
Value
|
Losses
|
|||||||||||||||||||
(In
Thousands)
|
||||||||||||||||||||||||
Investment
securities available for sale:
|
||||||||||||||||||||||||
U.S.
Treasury securities
|
$ | - | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||||
Mortgage
backed securities
|
- | - | 710 | (65 | ) | 710 | (65 | ) | ||||||||||||||||
U.S.
Government agencies
|
9,988 | (12 | ) | - | - | 9,988 | (12 | ) | ||||||||||||||||
Municipals
- taxable
|
- | - | - | - | - | - | ||||||||||||||||||
Municipals
- tax exempt
|
- | - | - | - | - | - | ||||||||||||||||||
CRA
Mutual fund
|
- | - | 1,499 | (1 | ) | 1,499 | (1 | ) | ||||||||||||||||
Total
|
$ | 9,988 | $ | (12 | ) | $ | 2,209 | $ | (66 | ) | $ | 12,197 | $ | (78 | ) | |||||||||
Securities in a loss
|
Securities in a loss
|
|||||||||||||||||||||||
Position for less than
|
Position for 12 Months
|
|||||||||||||||||||||||
12 Months
|
or Longer
|
Total
|
||||||||||||||||||||||
December
31, 2008
|
Fair
|
Unrealized
|
Fair
|
Unrealized
|
Fair
|
Unrealized
|
||||||||||||||||||
Value
|
Losses
|
Value
|
Losses
|
Value
|
Losses
|
|||||||||||||||||||
(In
Thousands)
|
||||||||||||||||||||||||
Investment
securities available for sale:
|
||||||||||||||||||||||||
U.S.
Treasury securities
|
$ | - | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||||
Mortgage
backed securities
|
881 | (39 | ) | - | - | 881 | (39 | ) | ||||||||||||||||
U.S.
Government agencies
|
- | - | - | - | - | - | ||||||||||||||||||
Municipals
- taxable
|
4,012 | (89 | ) | - | - | 4,012 | (89 | ) | ||||||||||||||||
Municipals
- tax exempt
|
- | - | - | - | - | - | ||||||||||||||||||
CRA
Mutual fund
|
- | - | 1,448 | (52 | ) | 1,448 | (52 | ) | ||||||||||||||||
Total
|
$ | 4,893 | $ | (128 | ) | $ | 1,448 | $ | (52 | ) | $ | 6,341 | $ | (180 | ) |
December
31,
|
||||||||
2009
|
2008
|
|||||||
|
(In
Thousands)
|
|||||||
Loans
secured by real estate:
|
||||||||
Real
estate construction
|
$ | 41,508 | $ | 42,600 | ||||
Residential
|
150,792 | 153,740 | ||||||
Commercial
real estate
|
220,301 | 218,539 | ||||||
Commercial
|
72,628 | 69,537 | ||||||
Consumer
and other
|
1,335 | 1,513 | ||||||
Total
loans
|
486,564 | 485,929 | ||||||
Less
allowance for loan losses
|
9,127 | 7,462 | ||||||
Net
loans
|
$ | 477,437 | $ | 478,467 |
December
31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(In
Thousands)
|
||||||||||||
Balance
at beginning of year
|
$ | 7,462 | $ | 7,462 | $ | 5,452 | ||||||
Provision
charged to operating expense
|
6,064 | 5,423 | 2,588 | |||||||||
Loan
recoveries
|
911 | 137 | 2 | |||||||||
Loan
charge-offs
|
(5,310 | ) | (5,560 | ) | (580 | ) | ||||||
Balance
at end of year
|
$ | 9,127 | $ | 7,462 | $ | 7,462 |
December 31,
|
||||||||
2009
|
2008
|
|||||||
(Dollars
In Thousands)
|
||||||||
Non-accrual
loans:
|
||||||||
Commercial
|
$ | 208 | $ | 74 | ||||
Commercial
real estate
|
3,631 | 22 | ||||||
Real
estate construction
|
1,689 | 2,678 | ||||||
Residential
real estate
|
1,504 | - | ||||||
Consumer
and other
|
- | 101 | ||||||
Total
non-accrual loans
|
7,032 | 2,875 | ||||||
Other
real estate owned ("OREO")
|
5,111 | 4,455 | ||||||
Total
non-performing assets
|
$ | 12,143 | $ | 7,330 | ||||
Ratio
of non-performing assets to:
|
||||||||
Total
loans plus OREO
|
2.47 | % | 1.49 | % | ||||
Total
assets
|
1.82 | % | 1.04 | % | ||||
Accruing
past due loans:
|
||||||||
90
or more days past due
|
$ | - | $ | - |
December
31,
|
||||||||
2009
|
2008
|
|||||||
(In
Thousands)
|
||||||||
Land
|
$ | 2,549 | $ | 2,549 | ||||
Premises
|
5,765 | 5,749 | ||||||
Leasehold
improvements
|
1,182 | 1,182 | ||||||
Furniture
and equipment
|
3,125 | 3,132 | ||||||
12,621 | 12,612 | |||||||
Less
accumulated depreciation
|
(3,862 | ) | (3,401 | ) | ||||
$ | 8,759 | $ | 9,211 |
2009
|
2008
|
|||||||||||||||
Type of Account
|
Amount
|
%
|
Amount
|
%
|
||||||||||||
(Dollars
In Thousands)
|
||||||||||||||||
Interest
bearing demand deposits
|
$ | 25,918 | 5.55 | % | $ | 9,854 | 2.03 | % | ||||||||
Money
market deposit accounts
|
109,085 | 23.38 | % | 81,260 | 16.74 | % | ||||||||||
Savings
accounts
|
3,985 | 0.85 | % | 4,616 | 0.95 | % | ||||||||||
Time
deposits
|
257,875 | 55.27 | % | 314,671 | 64.83 | % | ||||||||||
Total
interest bearing deposits
|
396,863 | 85.05 | % | 410,401 | 84.55 | % | ||||||||||
Non-interest
bearing demand deposits
|
69,782 | 14.95 | % | 75,000 | 15.45 | % | ||||||||||
Total
deposits
|
$ | 466,645 | 100.00 | % | $ | 485,401 | 100.00 | % |
Year
|
Amount
|
|||
(In
Thousands)
|
||||
2010
|
$ | 190,948 | ||
2011
|
36,418 | |||
2012
|
17,237 | |||
2013
|
6,640 | |||
2014
|
3,224 | |||
Later
years
|
3,408 | |||
$ | 257,875 |
December 31,
|
||||||||
2009
|
2008
|
|||||||
(Dollars
In Thousands)
|
||||||||
Securities
sold under agreements to repurchase
|
$ | 26,804 | $ | 21,395 | ||||
Commercial
paper arrangements
|
16,517 | 26,136 | ||||||
FHLB
borrowings
|
20,178 | 44,333 | ||||||
Federal
funds purchased
|
- | 9,993 | ||||||
US
Treasury demand note
|
750 | 1,718 | ||||||
Total
|
$ | 64,249 | $ | 103,575 | ||||
Weighted
interest rate
|
1.96 | % | 1.10 | % | ||||
Average
for the year ended December 31:
|
||||||||
Outstanding
|
$ | 64,776 | $ | 50,749 | ||||
Interest
rate
|
1.95 | % | 2.26 | % | ||||
Maximum
month-end outstandings
|
$ | 73,201 | $ | 103,575 |
Long Term Borrowings
|
||||||||
December 31,
|
||||||||
2009
|
2008
|
|||||||
FHLB
long-term borrowings
|
$ | 16,333 | $ | 41,107 | ||||
Senior
unsecured term note
|
29,997 | - | ||||||
Subordinated
debenture
|
6,186 | 6,186 | ||||||
Total
|
$ | 52,516 | 47,293 |
Amount
|
||||
(In Thousands)
|
||||
Due
in 2011
|
$ | 7,083 | ||
Due
in 2013
|
3,250 | |||
Due
in 2014
|
2,250 | |||
Due
in 2015
|
3,750 | |||
Total
Due
|
$ | 16,333 |
Year Ended December 31,
|
||||||||
2009
|
2008
|
|||||||
(In Thousands)
|
||||||||
Deferred
tax assets:
|
||||||||
Allowance
for loan losses
|
$ | 3,103 | $ | 2,537 | ||||
Deferred
fees
|
509 | 415 | ||||||
Allowance
for losses on mortgage loans sold
|
1,287 | 556 | ||||||
Other
|
622 | 481 | ||||||
5,521 | 3,989 | |||||||
Deferred
tax liability:
|
||||||||
Depreciation
|
91 | 84 | ||||||
Securities
available for sale
|
26 | 426 | ||||||
117 | 510 | |||||||
Net
deferred tax assets included in other assets
|
$ | 5,404 | $ | 3,479 |
Year Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(In
Thousands)
|
||||||||||||
Current
tax expense
|
$ | 7,379 | $ | 3,606 | $ | 2,696 | ||||||
Deferred
tax (benefit)
|
(1,525 | ) | (906 | ) | (1,106 | ) | ||||||
$ | 5,854 | $ | 2,700 | $ | 1,590 |
Year Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(In
Thousands)
|
||||||||||||
Computed
"expected" tax expense at 34%
|
$ | 5,266 | $ | 2,531 | $ | 1,799 | ||||||
Increase
(decrease) in income taxes resulting from:
|
||||||||||||
State
income taxes
|
532 | 144 | (180 | ) | ||||||||
Other
|
56 | 25 | (29 | ) | ||||||||
$ | 5,854 | $ | 2,700 | $ | 1,590 |
Year
|
Amount
|
|||
(In
Thousands)
|
||||
2010
|
$ | 390 | ||
2011
|
399 | |||
2012
|
411 | |||
2013
|
424 | |||
2014
|
316 | |||
$ | 1,940 |
December 31,
|
||||||||
2009
|
2008
|
|||||||
Balance
at beginning of year
|
$
|
1,439
|
$
|
119
|
||||
Provision
charged to operating expense
|
5,050
|
2,095
|
||||||
Recoveries
|
16
|
16
|
||||||
Charge-offs
|
(3,173
|
)
|
(791
|
)
|
||||
Balance
at end of year
|
3,332
|
1,439
|
2009
|
2008
|
2007
|
||||||||||||||||||||||
Weighted
|
Weighted
|
Weighted
|
||||||||||||||||||||||
Number of
|
Average
|
Number of
|
Average
|
Number of
|
Average
|
|||||||||||||||||||
Options
|
Exercise Price
|
Options
|
Exercise Price
|
Options
|
Exercise Price
|
|||||||||||||||||||
Outstanding
at beginning of year
|
589,617 | $ | 5.96 | 713,624 | $ | 6.07 | 815,244 | $ | 4.80 | |||||||||||||||
Granted
|
106,750 | 4.08 | 97,375 | 6.29 | 80,900 | 9.47 | ||||||||||||||||||
Exercised
|
184,452 | 3.38 | 137,682 | 2.89 | 178,320 | 1.68 | ||||||||||||||||||
Lapsed
or canceled
|
72,836 | 6.82 | 83,700 | 12.35 | 4,200 | 11.23 | ||||||||||||||||||
Outstanding
at end of year
|
439,079 | $ | 6.44 | 589,617 | $ | 5.96 | 713,624 | $ | 6.07 | |||||||||||||||
Options
exercisable at end of year
|
256,404 | $ | 7.43 | 426,892 | $ | 5.28 | 605,454 | $ | 5.61 |
Options Outstanding
|
Options Exercisable
|
|||||||||||||||||||||||||
Weighted-
|
Weighted-
|
|||||||||||||||||||||||||
Average
|
Weighted
|
Average
|
Weighted
|
|||||||||||||||||||||||
Range of
|
Remaining
|
Average
|
Remaining
|
Average
|
||||||||||||||||||||||
Exercise
|
Number
|
Contractual
|
Exercise
|
Number
|
Contractual
|
Exercise
|
||||||||||||||||||||
Price
|
Outstanding
|
Life (in yrs)
|
Price
|
Exercisable
|
Life (in yrs)
|
Price
|
||||||||||||||||||||
$1.00-3.45
|
15,000 | 0.08 | $ | 3.45 | 15,000 | 0.08 | $ | 3.45 | ||||||||||||||||||
3.46-6.94
|
281,145 | 1.99 | 5.57 | 100,970 | 1.68 | 6.55 | ||||||||||||||||||||
6.95-7.54
|
77,834 | 1.12 | 7.53 | 75,334 | 1.09 | 7.53 | ||||||||||||||||||||
$7.55-9.58
|
65,100 | 0.58 | 9.58 | 65,100 | 0.58 | 9.58 | ||||||||||||||||||||
439,079 | 1.56 | $ | 6.44 | 256,404 | 1.13 | $ | 7.43 |
2009
|
2008
|
2007
|
||||||||||
Expected
life of options granted
|
2.60
Years
|
2.62
Years
|
2.6
Years
|
|||||||||
Risk-free
interest rate
|
1.09 | % | 3.04 | % | 4.56 | % | ||||||
Expected
volatility of stock
|
47 | % | 35 | % | 33 | % | ||||||
Annual
expected dividend yield
|
1 | % | 1 | % | 1 | % | ||||||
Fair
Value of Granted Options
|
$ | 185,025 | $ | 174,028 | $ | 188,073 | ||||||
Nonvested
Options
|
182,675 | 162,725 | 108,170 |
Minimum
|
||||||||||||||||||||||||
To Be Well
|
||||||||||||||||||||||||
Capitalized Under
|
||||||||||||||||||||||||
Minimum Capital
|
Prompt Corrective
|
|||||||||||||||||||||||
Actual
|
Requirement
|
Action Provisions
|
||||||||||||||||||||||
Amount
|
Ratio
|
Amount
|
Ratio
|
Amount
|
Ratio
|
|||||||||||||||||||
(Dollars
In Thousands)
|
||||||||||||||||||||||||
December
31, 2009
|
||||||||||||||||||||||||
Total
Capital
|
||||||||||||||||||||||||
(to
Risk Weighted Assets)
|
||||||||||||||||||||||||
Corporation
|
$ | 80,465 | 14.73 | % | $ | 43,703 | 8.00 | % | $ | 54,629 | 10.00 | % | ||||||||||||
Bank
|
$ | 73,252 | 13.43 | % | $ | 43,644 | 8.00 | % | $ | 54,555 | 10.00 | % | ||||||||||||
Tier
1 Capital
|
||||||||||||||||||||||||
(to
Risk-Weighted Assets)
|
||||||||||||||||||||||||
Corporation
|
$ | 73,604 | 13.47 | % | $ | 21,852 | 4.00 | % | $ | 32,777 | 6.00 | % | ||||||||||||
Bank
|
$ | 66,400 | 12.17 | % | $ | 21,822 | 4.00 | % | $ | 32,733 | 6.00 | % | ||||||||||||
Tier
1 Capital
|
||||||||||||||||||||||||
(to
Average Assets)
|
||||||||||||||||||||||||
Corporation
|
$ | 73,604 | 10.73 | % | $ | 27,430 | 4.00 | % | $ | 34,288 | 5.00 | % | ||||||||||||
Bank
|
$ | 66,400 | 9.69 | % | $ | 27,398 | 4.00 | % | $ | 34,247 | 5.00 | % | ||||||||||||
December
31, 2008
|
||||||||||||||||||||||||
Total
Capital
|
||||||||||||||||||||||||
(to
Risk Weighted Assets)
|
||||||||||||||||||||||||
Corporation
|
$ | 69,747 | 13.11 | % | $ | 42,576 | 8.00 | % | $ | 53,220 | 10.00 | % | ||||||||||||
Bank
|
$ | 65,095 | 12.26 | % | $ | 42,489 | 8.00 | % | $ | 53,111 | 10.00 | % | ||||||||||||
Tier
1 Capital
|
||||||||||||||||||||||||
(to
Risk-Weighted Assets)
|
||||||||||||||||||||||||
Corporation
|
$ | 63,085 | 11.86 | % | $ | 21,277 | 4.00 | % | $ | 31,915 | 6.00 | % | ||||||||||||
Bank
|
$ | 58,433 | 11.00 | % | $ | 21,245 | 4.00 | % | $ | 31,867 | 6.00 | % | ||||||||||||
Tier
1 Capital
|
||||||||||||||||||||||||
(to
Average Assets)
|
||||||||||||||||||||||||
Corporation
|
$ | 63,085 | 9.71 | % | $ | 25,993 | 4.00 | % | $ | 32,491 | 5.00 | % | ||||||||||||
Bank
|
$ | 58,433 | 9.00 | % | $ | 25,961 | 4.00 | % | $ | 32,452 | 5.00 | % |
Year Ended December 31,
|
||||||||||||||||||||||||||||||||||||
2009
|
2008
|
2007
|
||||||||||||||||||||||||||||||||||
Net
|
Per Share
|
Net
|
Per Share
|
Net
|
Per Share
|
|||||||||||||||||||||||||||||||
Income
|
Shares
|
Amount
|
Income
|
Shares
|
Amount
|
Income
|
Shares
|
Amount
|
||||||||||||||||||||||||||||
(In
Thousands, Except Per Share Data)
|
||||||||||||||||||||||||||||||||||||
Earnings
per share
|
||||||||||||||||||||||||||||||||||||
Basic
|
$ | 9,635 | 10,391 | $ | 0.93 | $ | 4,744 | 10,299 | $ | 0.46 | $ | 3,702 | 11,620 | $ | 0.32 | |||||||||||||||||||||
Effect
of dilutive securities:
|
||||||||||||||||||||||||||||||||||||
Stock
options and warrants
|
- | 42 | - | - | 125 | - | - | 246 | - | |||||||||||||||||||||||||||
Diluted
|
||||||||||||||||||||||||||||||||||||
Diluted
earnings per share
|
$ | 9,635 | 10,433 | $ | 0.92 | $ | 4,744 | 10,424 | $ | 0.46 | $ | 3,702 | 11,866 | $ | 0.31 |
Year Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(In
Thousands)
|
||||||||||||
Advertising
and promotional expense
|
$ | 5,552 | $ | 3,760 | $ | 3,921 | ||||||
Investor
fees
|
1,567 | 889 | 891 | |||||||||
Legal
fees
|
63 | 403 | 99 | |||||||||
Other
settlement fees
|
163 | 146 | 251 | |||||||||
Management
fees
|
7,152 | 2,380 | 1,560 | |||||||||
Provision
for losses on mortgage loans sold
|
5,050 | 2,095 | 1,750 | |||||||||
Buy
down expense
|
20 | 332 | (119 | ) | ||||||||
Business
and franchise tax
|
447 | 406 | 458 | |||||||||
Accounting
and auditing service
|
563 | 623 | 570 | |||||||||
Consulting
fees
|
346 | 334 | 405 | |||||||||
Early
payoff and default penalties
|
61 | 119 | 331 | |||||||||
Office
supplies-stationary print
|
204 | 175 | 150 | |||||||||
Telephone
|
276 | 282 | 331 | |||||||||
Postage
|
147 | 157 | 223 | |||||||||
Credit
reports
|
516 | 238 | 299 | |||||||||
Other
office expense
|
60 | 95 | 152 | |||||||||
Other
operating expenses
|
142 | 139 | 179 | |||||||||
Data
processing
|
497 | 472 | 374 | |||||||||
Regulatory
examinations
|
166 | 155 | 159 | |||||||||
FDIC
insurance
|
1,203 | 350 | 51 | |||||||||
OREO
expenses
|
1,497 | 22 | - | |||||||||
Other
|
2,660 | 2,166 | 5,806 | |||||||||
$ | 28,352 | $ | 15,738 | $ | 17,841 |
Fair Value Measurement
at December 31, 2009 Using
(In Thousands)
|
||||||||||||||||
Description
|
Carrying
Value
|
Quoted Prices in
Active Markets
for Identical
Assets (Level 1)
|
Other Observable
Inputs (Level 2)
|
Significant
Unobservable
Inputs (Level 3)
|
||||||||||||
Financial
Assets-Recurring
|
||||||||||||||||
Available
for sale investment securities (1)
|
$ | 43,095 | $ | 43,095 | $ | - | $ | - | ||||||||
Residential
loans held for sale
|
76,232 | - | 76,232 | - | ||||||||||||
Derivative
assets
|
492 | - | - | 492 | ||||||||||||
Total
Financial Assets-Recurring
|
$ | 119,819 | $ | 43,095 | $ | 76,232 | $ | 492 | ||||||||
Financial
Liabilities-Recurring
|
||||||||||||||||
Derivative
liabilities
|
$ | 353 | $ | - | $ | - | $ | 353 | ||||||||
Total
Financial Liabilities-Recurring
|
$ | 353 | $ | - | $ | - | $ | 353 | ||||||||
Financial
Assets-Non-Recurring
|
||||||||||||||||
Impaired
loans (2)
|
$ | 7,032 | $ | - | $ | - | $ | 7,032 | ||||||||
Other
real estate owned (3)
|
5,111 | - | 5,111 | - | ||||||||||||
Total
Financial Assets-Non-Recurring
|
$ | 12,143 | $ | - | $ | 5,111 | $ | 7,032 |
(1)
|
Excludes
restricted stock.
|
|
(2)
|
Represents
the carrying value of loans for which adjustments are based on the
appraised value of the
collateral.
|
(3)
|
Represents
appraised value and realtor comparables less estimated selling
expenses.
|
Fair Value Measurement
at December 31, 2008 Using
(In Thousands)
|
||||||||||||||||
Description
|
Carrying
Value
|
Quoted Prices in
Active Markets
for Identical
Assets (Level 1)
|
Other Observable
Inputs (Level 2)
|
Significant
Unobservable
Inputs (Level 3)
|
||||||||||||
Financial
Assets-Recurring
|
||||||||||||||||
Available for sale investment
securities (1)
|
$ | 85,119 | $ | 85,119 | $ | - | $ | - | ||||||||
Residential
loans held for sale
|
84,312 | - | 84,312 | - | ||||||||||||
Derivative
assets
|
363 | 363 | ||||||||||||||
Total
Financial Assets-Recurring
|
$ | 119,819 | $ | 85,119 | $ | 84,312 | $ | 363 | ||||||||
Financial
Liabilities-Recurring
|
||||||||||||||||
Derivative
liabilities
|
$ | 272 | $ | - | $ | - | $ | 272 | ||||||||
Total
Financial Liabilities-Recurring
|
$ | 272 | $ | - | $ | - | $ | 272 | ||||||||
Financial
Assets-Non-Recurring
|
||||||||||||||||
Impaired loans (2)
|
$ | 2,875 | $ | - | $ | - | $ | 2,875 | ||||||||
Other real estate owned
(3)
|
4,455 | - | 4,455 | - | ||||||||||||
Total
Financial Assets-Non-Recurring
|
$ | 7,330 | $ | - | $ | 4,455 | $ | 2,875 |
|
(1)
|
Excludes
restricted stock.
|
|
(2)
|
Represents
the carrying value of loans for which adjustments are based on the
appraised value of the collateral.
|
|
(3)
|
Represents
appraised value and realtor comparables less estimated selling
expenses.
|
Net Derivatives
|
||||
(In Thousands)
|
||||
Balance
September 30, 2009
|
$ | (86 | ) | |
Realized
and unrealized gains (losses) included in earnings
|
225 | |||
Unrealized
gains (losses) included in other comprehensive income
|
- | |||
Purchases,
settlements, paydowns, and maturities
|
- | |||
Transfer
into Level 3
|
- | |||
Balance
December 31, 2009
|
$ | 139 |
Net Derivatives
|
||||
(In Thousands)
|
||||
Balance
January 1, 2009
|
$ | 91 | ||
Realized
and unrealized gains included in earnings
|
48 | |||
Unrealized
gains (losses) included in other comprehensive income
|
- | |||
Purchases,
settlements, paydowns, and maturities
|
- | |||
Transfer
into Level 3
|
- | |||
Balance
December 31, 2009
|
$ | 139 |
Net Derivatives
|
||||
(In Thousands)
|
||||
Balance
January 1, 2008
|
$ | (140 | ) | |
Realized
and unrealized gains included in earnings
|
231 | |||
Unrealized
gains (losses) included in other comprehensive income
|
- | |||
Purchases,
settlements, paydowns, and maturities
|
- | |||
Transfer
into Level 3
|
- | |||
Balance
December 31, 2008
|
$ | 91 |
December 31, 2009
|
||||||||||||
(In Thousands)
|
Aggregate
Fair Value
|
Difference
|
Contractual
Principal
|
|||||||||
Residential
mortgage loans held for sale
|
$ | 76,232 | $ | 1,626 | $ | 74,606 |
December 31, 2008
|
||||||||||||
(In Thousands)
|
Aggregate
Fair Value
|
Difference
|
Contractual
Principal
|
|||||||||
Residential
mortgage loans held for sale
|
$ | 84,312 | $ | 2,109 | $ | 82,203 |
December 31,
|
||||||||||||||||
2009
|
2008
|
|||||||||||||||
Carrying
Amount
|
Fair
Value
|
Carrying
Amount
|
Fair
Value
|
|||||||||||||
(In
Thousands)
|
||||||||||||||||
Financial
assets:
|
||||||||||||||||
Cash
and short-term investments
|
$ | 31,221 | $ | 31,221 | $ | 22,482 | $ | 22,482 | ||||||||
Securities
available for sale
|
43,095 | 43,095 | 85,119 | 85,119 | ||||||||||||
Restricted
stock
|
4,743 | 4,743 | 5,896 | 5,896 | ||||||||||||
Loans,
net of allowance
|
553,669 | 552,097 | 562,779 | 562,430 | ||||||||||||
Derivatives
|
492 | 492 | 363 | 363 | ||||||||||||
Total
financial assets
|
$ | 633,220 | $ | 631,648 | $ | 676,639 | $ | 676,290 | ||||||||
Financial
liabilities:
|
||||||||||||||||
Deposits
|
$ | 466,645 | $ | 466,668 | $ | 485,401 | $ | 486,989 | ||||||||
Short-term
borrowings
|
64,249 | 64,258 | 103,575 | 104,083 | ||||||||||||
Long-term
borrowings
|
46,330 | 46,351 | 41,107 | 42,458 | ||||||||||||
Subordinated
debentures
|
6,186 | 6,248 | 6,186 | 6,321 | ||||||||||||
Derivatives
|
353 | 353 | 272 | 272 | ||||||||||||
Total
financial liabilities
|
$ | 583,763 | $ | 583,878 | $ | 636,541 | $ | 640,123 |
2009
|
Commercial
|
Mortgage
|
Consolidated
|
|||||||||||||||||
Banking
|
Banking
|
Other
|
Eliminations
|
Totals
|
||||||||||||||||
(In
Thousands)
|
||||||||||||||||||||
Revenues:
|
||||||||||||||||||||
Interest
income
|
$ | 35,886 | $ | 3,361 | $ | 44 | $ | (1,765 | ) | $ | 37,526 | |||||||||
Gain
on sale of loans
|
659 | 48,603 | - | - | 49,262 | |||||||||||||||
Other
|
3,031 | 5,150 | 1,180 | (1,657 | ) | 7,704 | ||||||||||||||
Total
operating income
|
39,576 | 57,114 | 1,224 | (3,422 | ) | 94,492 | ||||||||||||||
Expenses:
|
||||||||||||||||||||
Interest
expense
|
13,565 | 1,488 | 682 | (1,767 | ) | 13,968 | ||||||||||||||
Salaries
and employee benefits
|
8,040 | 20,082 | - | - | 28,122 | |||||||||||||||
Other
|
13,746 | 22,965 | 1,857 | (1,655 | ) | 36,913 | ||||||||||||||
Total
operating expenses
|
35,351 | 44,535 | 2,539 | (3,422 | ) | 79,003 | ||||||||||||||
Income
before income taxes
|
$ | 4,225 | $ | 12,579 | $ | (1,315 | ) | $ | - | $ | 15,489 | |||||||||
Total
assets
|
$ | 627,766 | $ | 79,557 | $ | 9,138 | $ | (49,582 | ) | $ | 666,879 | |||||||||
Capital
expenditures
|
$ | 10 | $ | 32 | $ | 16 | $ | - | $ | 58 |
2008
|
Commercial
|
Mortgage
|
Consolidated
|
|||||||||||||||||
Banking
|
Banking
|
Other
|
Eliminations
|
Totals
|
||||||||||||||||
(In
Thousands)
|
||||||||||||||||||||
Revenues:
|
||||||||||||||||||||
Interest
income
|
$ | 37,910 | $ | 1,778 | $ | 71 | $ | (967 | ) | $ | 38,792 | |||||||||
Gain
on sale of loans
|
- | 24,863 | - | (4 | ) | 24,859 | ||||||||||||||
Other
|
1,961 | 4,472 | 1,148 | (1,627 | ) | 5,954 | ||||||||||||||
Total
operating income
|
39,871 | 31,113 | 1,219 | (2,598 | ) | 69,605 | ||||||||||||||
Expenses:
|
||||||||||||||||||||
Interest
expense
|
16,972 | 865 | 873 | (970 | ) | 17,740 | ||||||||||||||
Salaries
and employee benefits
|
7,520 | 13,261 | - | - | 20,781 | |||||||||||||||
Other
|
10,836 | 12,692 | 1,740 | (1,628 | ) | 23,640 | ||||||||||||||
Total
operating expenses
|
35,328 | 26,818 | 2,613 | (2,598 | ) | 62,161 | ||||||||||||||
Income
before income taxes
|
$ | 4,543 | $ | 4,295 | $ | (1,394 | ) | $ | - | $ | 7,444 | |||||||||
Total
assets
|
$ | 662,885 | $ | 85,909 | $ | 9,476 | $ | (55,946 | ) | $ | 702,324 | |||||||||
Capital
expenditures
|
$ | 98 | $ | 72 | $ | 29 | $ | - | $ | 199 |
2007
|
Commercial
|
Mortgage
|
Consolidated
|
|||||||||||||||||
Banking
|
Banking
|
Other
|
Eliminations
|
Totals
|
||||||||||||||||
(In
Thousands)
|
||||||||||||||||||||
Revenues:
|
||||||||||||||||||||
Interest
income
|
$ | 45,176 | $ | 3,594 | $ | 665 | $ | (4,009 | ) | $ | 45,426 | |||||||||
Gain
on sale of loans
|
- | 20,244 | - | (3 | ) | 20,241 | ||||||||||||||
Other
|
1,452 | 7,256 | 1,081 | (2,323 | ) | 7,466 | ||||||||||||||
Total
operating income
|
46,628 | 31,094 | 1,746 | (6,335 | ) | 73,133 | ||||||||||||||
Expenses:
|
||||||||||||||||||||
Interest
expense
|
23,881 | 4,166 | 1,270 | (4,013 | ) | 25,304 | ||||||||||||||
Salaries
and employee benefits
|
6,822 | 12,756 | - | - | 19,578 | |||||||||||||||
Other
|
6,546 | 16,989 | 1,746 | (2,322 | ) | 22,959 | ||||||||||||||
Total
operating expenses
|
37,249 | 33,911 | 3,016 | (6,335 | ) | 67,841 | ||||||||||||||
Income
before income taxes
|
$ | 9,379 | $ | (2,817 | ) | $ | (1,270 | ) | $ | - | $ | 5,292 | ||||||||
Total
assets
|
$ | 599,835 | $ | 46,184 | $ | 9,115 | $ | (32,758 | ) | $ | 622,376 | |||||||||
Capital
expenditures
|
$ | 554 | $ | 111 | $ | 305 | $ | - | $ | 970 |
December 31,
|
||||||||
2009
|
2008
|
|||||||
(In
Thousands)
|
||||||||
Assets
|
||||||||
Cash
|
$ | 189 | $ | 10 | ||||
Other
investments
|
6,540 | 4,028 | ||||||
Investment
in subsidiaries
|
66,760 | 59,604 | ||||||
Other
assets
|
757 | 804 | ||||||
Total
assets
|
$ | 74,246 | $ | 64,446 | ||||
Liabilities
|
||||||||
Subordinated
debentures
|
$ | 6,186 | $ | 6,186 | ||||
Other
liabilities
|
282 | 315 | ||||||
Total
liabilities
|
6,468 | 6,501 | ||||||
Shareholders'
Equity
|
||||||||
Common
stock
|
8,799 | 8,551 | ||||||
Capital
surplus
|
18,552 | 17,410 | ||||||
Retained
earnings
|
40,377 | 31,157 | ||||||
Accumulated
other comprehensive income
|
50 | 827 | ||||||
Total
shareholders' equity
|
67,778 | 57,945 | ||||||
Total
liabilities and shareholders' equity
|
$ | 74,246 | $ | 64,446 |
Year Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(In
Thousands)
|
||||||||||||
Income
|
||||||||||||
Dividends
from subsidiaries
|
$ | 2,467 | $ | 3,203 | $ | 1,260 | ||||||
Interest
|
44 | 72 | 665 | |||||||||
Other
|
24 | 81 | 46 | |||||||||
2,535 | 3,356 | 1,971 | ||||||||||
Expenses
|
||||||||||||
Interest
expense on subordinated debentures
|
238 | 418 | 807 | |||||||||
Other
expenses
|
1,185 | 1,122 | 1,188 | |||||||||
Total
expenses
|
1,423 | 1,540 | 1,995 | |||||||||
Income
before income taxes and undistributed income of
subsidiaries
|
1,112 | 1,816 | (24 | ) | ||||||||
Income
tax (benefit)
|
(466 | ) | (526 | ) | (487 | ) | ||||||
Income
before undistributed income of subsidiaries
|
1,578 | 2,342 | 463 | |||||||||
Undistributed
income of subsidiaries
|
8,057 | 2,402 | 3,239 | |||||||||
Net
income
|
$ | 9,635 | $ | 4,744 | $ | 3,702 |
Year Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(In
Thousands)
|
||||||||||||
Cash
Flows from Operating Activities
|
||||||||||||
Net
income
|
$ | 9,635 | $ | 4,744 | $ | 3,702 | ||||||
Adjustments
to reconcile net income to net cash provided by (used in) operating
activities:
|
||||||||||||
Undistributed
income of subsidiaries
|
(8,057 | ) | (2,402 | ) | (3,239 | ) | ||||||
(Increase)
decrease in other assets
|
172 | (79 | ) | 147 | ||||||||
Increase
(decrease) in other liabilities
|
(33 | ) | (150 | ) | 205 | |||||||
Stock
based compensation
|
162 | 136 | 99 | |||||||||
Net
cash provided by operating activities
|
1,879 | 2,249 | 914 | |||||||||
Cash
Flows from Investing Activities
|
||||||||||||
Increase
in investment in subsidiaries
|
- | (8,212 | ) | - | ||||||||
(Increase)
decrease in other investments
|
(2,512 | ) | 11,464 | 12,059 | ||||||||
Net
cash (used in) provided by investing activities
|
(2,512 | ) | 3,252 | 12,059 | ||||||||
Cash
Flows from Financing Activities
|
||||||||||||
Repurchase
of common stock
|
1,400 | (5,930 | ) | (9,502 | ) | |||||||
Net
proceeds from issuance of common stock
|
(173 | ) | 870 | 1,105 | ||||||||
Repayment of
subordinated debentures
|
- | - | (4,125 | ) | ||||||||
Dividends
paid
|
(415 | ) | (433 | ) | (497 | ) | ||||||
Net
cash provided by (used in) financing activities
|
812 | (5,493 | ) | (13,019 | ) | |||||||
Increase
in cash and cash equivalents
|
179 | 8 | (46 | ) | ||||||||
Cash
and Cash Equivalents
|
||||||||||||
Beginning
|
10 | 2 | 48 | |||||||||
Ending
|
$ | 189 | $ | 10 | $ | 2 |
Exhibit No.
|
Description
|
|
3.1
|
Amended
and Restated Articles of Incorporation of Access National Corporation
(incorporated by reference to Exhibit 3.1 to Form 8-K filed July 18,
2006)
|
|
3.2
|
Amended
and Restated Bylaws of Access National Corporation (incorporated by
reference to Exhibit 3.2 to Form 8-K Filed October 24,
2007)
|
|
4
|
Form
of Common Stock Certificate (incorporated by reference to Exhibit 4.0 to
Form 10-KSB filed March 31, 2003)
|
|
Certain
instruments relating to long-term debt as to which the total amount of
securities authorized thereunder does not exceed 10% of Access National
Corporation’s total assets have been omitted in accordance with Item
601(b)(4)(iii) of Regulation S-K. The registrant will furnish a
copy of any such instrument to the Securities and Exchange Commission upon
its request.
|
||
10.1+
|
Employment
Letter Agreement between Access National Bank and Michael W. Clarke
(incorporated by reference to Exhibit 10.1 to Form 10-K filed March
31, 2005)
|
|
10.2+
|
Employment
Letter Agreement between Access National Bank and Robert C. Shoemaker
(incorporated by reference to Exhibit 10.2 to Form 10-K filed March
31, 2005)
|
|
10.3+
|
Employment
Agreement between Access National Bank and Charles Wimer (incorporated by
reference to Exhibit 10.3 to Form 10-KSB filed March 31,
2003)
|
|
10.4+
|
Employment
Agreement between Access National Mortgage Corporation and Dean Hackemer
(incorporated by reference to Exhibit 10.4 to Form 10-K filed March
31, 2005)
|
|
10.4.1+
|
Amendment
#1 to Employment Agreement between Access National Mortgage Corporation
and Dean Hackemer (incorporated by reference to Exhibit 10.2 to
Form 10-Q filed May 15, 2007)
|
|
10.5*+
|
Annual
Compensation of Non-Employee Directors
|
|
10.6*+
|
Base
Salaries for Named Executive Officers
|
|
10.7+
|
Access
National Bank 1999 Stock Option Plan (incorporated by reference to Exhibit
10.5 to Form 10-KSB filed March 31, 2003)
|
|
10.7.1+
|
Form
of Incentive Stock Option Agreement for Employee under 1999 Stock Option
Plan (incorporated by reference to Exhibit 10.5.1 to Form 8-K filed
January 31, 2007)
|
|
10.7.2+
|
Form
of Incentive Stock Option for Employee-Director under 1999 Stock Option
Plan (incorporated by reference to Exhibit 10.5.2 to Form 8-K filed
January 31, 2007)
|
|
10.7.3+
|
Form
of Non-Qualified Stock Option Agreement for Director under 1999 Stock
Option Plan (incorporated by reference to Exhibit 10.5.3 to Form 8-K filed
January 31, 2007)
|
|
10.8
|
Lease
agreement between Access National Bank and William and Blanca Spencer
(incorporated by reference to Exhibit 10.6 to Form 10-KSB filed March
31, 2003)
|
|
10.9
|
Lease
agreement between Access National Mortgage Corporation and WJG, LLC
(incorporated by reference to Exhibit 10.7 to Form 10-KSB filed March
31, 2003)
|
10.10
|
Access
National Corporation 2009 Stock Option Plan, effective May 19, 2009
(incorporated by reference to Appendix A to the definitive proxy statement
filed April 15, 2009)
|
|
10.10.1
|
Form
of Stock Option Agreement for Employee under 2009 Stock Option Plan
(incorporated by reference to Exhibit 10.10.1 to Form 8-K filed July
6, 2009)
|
|
14
|
Code
of Ethics (incorporated by reference to Exhibit 14 to Form 10-KSB
filed March 30, 2004)
|
|
21*
|
Subsidiaries
of Access National Corporation
|
|
23*
|
Consent
of BDO Seidman, LLP
|
|
24*
|
Power
of Attorney (included on the signature page of this
report)
|
|
31.1*
|
CEO
Certification Pursuant to Rule 13a-14(a)
|
|
31.2*
|
CFO
Certification Pursuant to Rule 13a-14(a)
|
|
32*
|
CEO/CFO
Certification Pursuant to § 906 of the Sarbanes-Oxley Act of 2002 (18
U.S.C. § 1350)
|
Access
National Corporation
|
|||
(Registrant)
|
|||
Date: March
29,
2010
|
By:
|
/s/ Michael W. Clarke
|
|
Michael
W. Clarke
|
|||
President
and Chief Executive Officer
|
|||
Date:
March 29,
2010
|
By:
|
/s/ Charles Wimer
|
|
Charles
Wimer
|
|||
Executive
Vice President and Chief Financial
Officer
|
Signature
|
Title
|
Date
|
||
/s/ Michael W. Clarke
|
||||
Michael
W. Clarke
|
Chairman,
President, Chief Executive Officer & Director
(Principal
Executive Officer)
|
March
29, 2010
|
||
/s/Martin S. Friedman
|
March
29,2010
|
|||
Martin
S. Friedman
|
Director
|
|||
/s/ John W.
Edgemond IV
|
||||
John
W. Edgemond IV
|
Director
|
March
29, 2010
|
||
/s/ James L.
Jadlos
|
||||
James
L. Jadlos
|
Director
|
March
29, 2010
|
||
/s/ Thomas M. Kody
|
||||
Thomas
M. Kody
|
Director
|
March
29, 2010
|
||
/s/ Robert C. Shoemaker
|
||||
Robert
C. Shoemaker
|
Director
|
March
29, 2010
|
||
/s/ Charles Wimer
|
||||
Charles
Wimer
|
Executive
Vice President and Chief Financial
Officer
(Principal
Financial Officer and Principal
Accounting
Officer)
|
March
29, 2010
|