|By Marketwired .||
|February 12, 2014 09:00 PM EST||
SAN LUIS OBISPO, CA -- (Marketwired) -- 02/12/14 -- Coast National Bank, a wholly owned subsidiary of Coast Bancorp (OTCBB: CTBP) today reported net profits of $1,000,000 for the year ended December 31, 2013, a significant improvement over the $88,000 net profit for 2012.
"As we wrap up 2013, the balance sheet improvement and positive 'turnaround' progress continued," said President and Chief Executive Officer Anita M. Robinson. "This positive success allowed the bank to recapture some of the provisions for loan losses from prior periods. While core earnings were below target, it was a direct result of reduced volume of Net Loans Outstanding and, resulting lower yields in earning assets. However, this trend began to reverse in 2013, as loan volume began to improve and new loan activity improved significantly. It is expected the bank will begin to reduce the excess liquidity through increased loan funding, thus improving the Net Interest Margin and future profitability."
"With the ongoing focus on community and small business lending, Coast National Bank is poised to move into an era of rebuilding and growth. Once again, the loyalty and commitment from our strong core customer base will be the foundation of future success in the coming years."
Coast National Bank Highlights:
Total assets at December 31, 2013 were $120.0 million, or 6.9% higher compared to $112.2 million at December 31, 2012. Total deposits increased to $111.6 million or 6.7% at year-end 2013 compared to $104.7 million at year-end 2012. Net loans were $64.4 million, down 8.7% at December 31, 2013 compared to $70.6 million at December 31, 2012. The decline in loans reflects the aggressive work in the resolution of troubled loan assets. Non-performing assets were $2.4 million at December 31, 2013 compared to $3.6 million at December 31, 2012.
In the fourth quarter, the bank posted a reverse provision for loan losses of $1.2 million, which reduced the Allowance for Loan Losses from 3.76% of gross loans outstanding at September 30, 2013 to 2.45% at December 31, 2013. At this level, the Allowance for Loan Losses is adequate in light of the bank's low level of non-performing loans of $1.0 million compared to $1.9 million at December 31, 2012.
Deposits ending December 31, 2013 increased from prior year by $7.1 million or 6.7%. Core deposits represent 93% of total deposits and demand deposits representing 36% of total deposits. The bank continues to drive a strong core customer base together with low cost of deposits averaging .22%, reduced from .33% in 2012.
At December 31, 2013 the bank's Tier I leverage ratio was 6.8% compared to 5.2% one year ago. Its total risk-based capital ratio was 12.9% at December 31, 2013 compared to 11.5% at December 31, 2012. Although not in compliance with the Tier I leverage ratio of 9.0% requirement under its Consent Order, it is considered to be "Well Capitalized." Management and the board of directors are executing its capital plan to bring the bank into compliance in this area.
Coast Bancorp Highlights:
Coast Bancorp reported net profits of $806,000 or $0.95 per basic and diluted share for the year ended December 31, 2013 compared to a loss of $457,000 or $0.54 per basic and diluted share for 2012. Total stockholder's equity continues to reflect a deficit of $868,200, an improvement of 46% over 2012. Total consolidated assets were $120.3 million at December 31, 2013 compared to $112.5 million at December 31, 2012. Total consolidated liabilities of $121.1 million were centered in total deposits held in the bank of $111.6 million and Junior Subordinated Debt Securities of $7.2 million due in 2027, as well as Accrued and unpaid Dividends on these debt securities of $2.3 million which is due June 2014 in order to avoid a default.
The board of directors of the company continues to explore a capital raise. New capital will be utilized to satisfy the payment of unpaid dividends on the debt securities due by June 2014. Additionally, a portion of the proceeds will be invested into the subsidiary bank to supplement current capital levels and bring the Tier 1 Leverage ratio in excess of 9.0%, in satisfaction of required capital levels by the regulator.
Established in 1997, Coast National Bank is a locally owned community bank serving consumers and businesses through four local offices serving San Luis Obispo County. With a focus on delivering quality customer service, Coast National Bank provides small business loans and an array of business and personal banking deposit products and other services. For further information, visit www.coastnationalbank.com or call 805.541.0400.
Coast National Bank is an equal housing lender and member FDIC.
Statements concerning future performance, developments or events, expectations for growth, income forecasts, sales activity for collateral, and any other guidance on future periods, constitute forward-looking statements that are subject to a number of risks and uncertainties. Actual results may differ materially from stated expectations. Specific factors include, but are not limited to the current economic trends and the markets in which Coast National Bank operates, and the response of the federal and state government and our regulators thereto, continued growth, Coast National Bank's beliefs as to the adequacy of its existing and anticipated allowances for loan losses, beliefs and expectations regarding actions that may be taken by regulatory authorities having oversight of Coast National Bank's operations, interest rates and financial policies of the United States government, continued weakness in the real estate markets within which we operate and general economic conditions. If any of these risks or uncertainties materializes or if any of the assumptions underlying such forward-looking statements proves to be incorrect, Coast Bancorp's results could differ materially from those expressed in, implied or projected by such forward-looking statements. Coast National Bank assumes no obligation to update such forward-looking statements.
COAST NATIONAL BANK CONDENSED BALANCE SHEETS (In thousands) December 31, 2013 2012 ASSETS Unaudited Audited ---------- ---------- Cash and due from banks $ 29,510 $ 24,800 Interest-bearing deposits with other banks 10,047 7,307 Federal funds sold 100 100 Investment securities 6,932 - Loans, net 64,445 70,551 Premises and equipment, net 6,192 5,998 Federal Reserve and Federal Home Loan Bank stock, at cost 533 768 Other real estate owned, net 1,365 1,694 Accrued interest receivable and other assets 851 1,017 ---------- ---------- Total assets $ 119,975 $ 112,235 ========== ========== LIABILITIES AND STOCKHOLDERS' EQUITY Non-interest bearing demand $ 42,747 $ 40,568 Money market and NOW 37,612 34,030 Savings 8,209 7,366 Time 23,061 22,691 ---------- ---------- Total deposits 111,629 104,655 Accrued interest payable and other liabilities 166 335 ---------- ---------- Total liabilities 111,795 104,990 ---------- ---------- Common stock - no par value, 846,881 shares outstanding at December 31, 2013 and 2012, respectively 3,162 3,162 Additional paid-in capital 9,835 9,835 Retained earnings (4,750) (5,752) Unrealized loss on AFS securities, net (67) - ---------- ---------- Total stockholders' equity 8,180 7,245 ---------- ---------- Total liabilities and stockholders' equity $ 119,975 $ 112,235 ========== ========== COAST NATIONAL BANK CONDENSED STATEMENTS OF OPERATIONS (In thousands, except per share amounts) For the Years Ended Three Months Ended December 31, December 31, 2013 2012 2013 2012 Unaudited Audited Unaudited Audited --------- --------- --------- --------- Total interest income $ 4,205 $ 4,957 $ 995 $ 1,193 Total interest expense 257 441 60 97 --------- --------- --------- --------- Net interest income 3,948 4,516 935 1,096 Provision for loan losses (1,200) - (1,200) - --------- --------- --------- --------- Net interest income after provision for loan losses 5,148 4,516 2,135 1,096 Noninterest income 1,354 1,589 109 682 Noninterest expense 5,500 6,015 1,389 1,572 --------- --------- --------- --------- Income before income taxes 1,002 90 855 206 Income taxes 2 2 - - --------- --------- --------- --------- Net profit $ 1,000 $ 88 $ 855 $ 206 ========= ========= ========= ========= Basic and diluted profit per share $ 1.18 $ 0.10 $ 1.01 $ 0.24 ========= ========= ========= ========= Weighted average basic and diluted shares outstanding 847 847 847 847
Just over a week ago I received a long and loud sustained applause for a presentation I delivered at this year’s Cloud Expo in Santa Clara. I was extremely pleased with the turnout and had some very good conversations with many of the attendees. Over the next few days I had many more meaningful conversations and was not only happy with the results but also learned a few new things. Here is everything I learned in those three days distilled into three short points.
Sep. 30, 2016 04:45 PM EDT Reads: 5,266
Whether they’re located in a public, private, or hybrid cloud environment, cloud technologies are constantly evolving. While the innovation is exciting, the end mission of delivering business value and rapidly producing incremental product features is paramount. In his session at @DevOpsSummit at 19th Cloud Expo, Kiran Chitturi, CTO Architect at Sungard AS, will discuss DevOps culture, its evolution of frameworks and technologies, and how it is achieving maturity. He will also cover various st...
Sep. 30, 2016 04:45 PM EDT Reads: 2,000
Major trends and emerging technologies – from virtual reality and IoT, to Big Data and algorithms – are helping organizations innovate in the digital era. However, to create real business value, IT must think beyond the ‘what’ of digital transformation to the ‘how’ to harness emerging trends, innovation and disruption. Architecture is the key that underpins and ties all these efforts together. In the digital age, it’s important to invest in architecture, extend the enterprise footprint to the cl...
Sep. 30, 2016 04:30 PM EDT Reads: 729
Adobe is changing the world though digital experiences. Adobe helps customers develop and deliver high-impact experiences that differentiate brands, build loyalty, and drive revenue across every screen, including smartphones, computers, tablets and TVs. Adobe content solutions are used daily by millions of companies worldwide-from publishers and broadcasters, to enterprises, marketing agencies and household-name brands. Building on its established design leadership, Adobe enables customers not o...
Sep. 30, 2016 04:30 PM EDT Reads: 375
Data is an unusual currency; it is not restricted by the same transactional limitations as money or people. In fact, the more that you leverage your data across multiple business use cases, the more valuable it becomes to the organization. And the same can be said about the organization’s analytics. In his session at 19th Cloud Expo, Bill Schmarzo, CTO for the Big Data Practice at EMC, will introduce a methodology for capturing, enriching and sharing data (and analytics) across the organizati...
Sep. 30, 2016 04:30 PM EDT Reads: 1,821
DevOps at Cloud Expo, taking place Nov 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 19th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long dev...
Sep. 30, 2016 04:00 PM EDT Reads: 3,583
IoT offers a value of almost $4 trillion to the manufacturing industry through platforms that can improve margins, optimize operations & drive high performance work teams. By using IoT technologies as a foundation, manufacturing customers are integrating worker safety with manufacturing systems, driving deep collaboration and utilizing analytics to exponentially increased per-unit margins. However, as Benoit Lheureux, the VP for Research at Gartner points out, “IoT project implementers often ...
Sep. 30, 2016 03:45 PM EDT Reads: 3,657
Why do your mobile transformations need to happen today? Mobile is the strategy that enterprise transformation centers on to drive customer engagement. In his general session at @ThingsExpo, Roger Woods, Director, Mobile Product & Strategy – Adobe Marketing Cloud, covered key IoT and mobile trends that are forcing mobile transformation, key components of a solid mobile strategy and explored how brands are effectively driving mobile change throughout the enterprise.
Sep. 30, 2016 03:30 PM EDT Reads: 367
SYS-CON Events announced today that Bsquare has been named “Silver Sponsor” of SYS-CON's @ThingsExpo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. For more than two decades, Bsquare has helped its customers extract business value from a broad array of physical assets by making them intelligent, connecting them, and using the data they generate to optimize business processes.
Sep. 30, 2016 03:00 PM EDT Reads: 3,013
In his session at @ThingsExpo, Kausik Sridharabalan, founder and CTO of Pulzze Systems, Inc., will focus on key challenges in building an Internet of Things solution infrastructure. He will shed light on efficient ways of defining interactions within IoT solutions, leading to cost and time reduction. He will also introduce ways to handle data and how one can develop IoT solutions that are lean, flexible and configurable, thus making IoT infrastructure agile and scalable.
Sep. 30, 2016 03:00 PM EDT Reads: 1,653
Businesses are struggling to manage the information flow and interactions between all of these new devices and things jumping on their network, and the apps and IT systems they control. The data businesses gather is only helpful if they can do something with it. In his session at @ThingsExpo, Chris Witeck, Principal Technology Strategist at Citrix, will discuss how different the impact of IoT will be for large businesses, expanding how IoT will allow large organizations to make their legacy ap...
Sep. 30, 2016 03:00 PM EDT Reads: 554
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life sett...
Sep. 30, 2016 03:00 PM EDT Reads: 3,667
Video experiences should be unique and exciting! But that doesn’t mean you need to patch all the pieces yourself. Users demand rich and engaging experiences and new ways to connect with you. But creating robust video applications at scale can be complicated, time-consuming and expensive. In his session at @ThingsExpo, Zohar Babin, Vice President of Platform, Ecosystem and Community at Kaltura, will discuss how VPaaS enables you to move fast, creating scalable video experiences that reach your ...
Sep. 30, 2016 03:00 PM EDT Reads: 1,242
Creating replica copies to tolerate a certain number of failures is easy, but very expensive at cloud-scale. Conventional RAID has lower overhead, but it is limited in the number of failures it can tolerate. And the management is like herding cats (overseeing capacity, rebuilds, migrations, and degraded performance). Download Slide Deck: ▸ Here In his general session at 18th Cloud Expo, Scott Cleland, Senior Director of Product Marketing for the HGST Cloud Infrastructure Business Unit, discusse...
Sep. 30, 2016 02:45 PM EDT Reads: 2,648
In this strange new world where more and more power is drawn from business technology, companies are effectively straddling two paths on the road to innovation and transformation into digital enterprises. The first path is the heritage trail – with “legacy” technology forming the background. Here, extant technologies are transformed by core IT teams to provide more API-driven approaches. Legacy systems can restrict companies that are transitioning into digital enterprises. To truly become a lea...
Sep. 30, 2016 02:45 PM EDT Reads: 665