WESTFIELD, N.J./EWORLDWIRE/Feb. 8, 2005 --- Town Bank Of Westfield (OTCBB: TBWN) ; To Our Shareholders, from Joseph O'Sullivan, Chairman and Robert Dowens, President.
We are pleased to report that for the year ended December 31, 2004, your Bank recorded net income of $1,364,000 or $0.74 per basic and $0.72 per diluted common share compared to net income of $698,000 or $0.52 per basic and $0.51 per diluted common share a year ago. For the three months ended December 31, 2004,
your Bank recorded net income of $437,000 or $0.24 per basic and $0.23 per diluted share. For the same period one year ago, net income amounted to $193,000 or $0.10 per basic and diluted common share. This significant achievement is attributable to a higher level of net interest income as a result of our growth.
At December 31, 2004 our total assets amount to $126,076,000 as compared to $103,072,000 recorded one year ago on December 31, 2003; reflecting a growth of $23,004,000 or 22.3%. Total deposits grew to $109,635,000 as of December 31, 2004 from $89,628,000 at December 31, 2003, resulting in an increase of $20,007,000 or 22.3%. Loans outstanding rose from $79,692,000 to $109,924,000 representing an increase of $30,232,000 or a growth of 37.9%.
We are also pleased to share with you that The Town Bank has been rated "5 stars" by BauerFinancial Inc., the nation's leading independent bank rating firm, giving your Bank the distinction of being one of the strongest banks in the nation. While this rating is based on the evaluation of recent financial data, this recognition could not have been accomplished without the support of our Staff, Board of Directors, Advisory Board Members, and you our valued shareholders.
We look forward to providing you details of your Bank's financial performance in our annual report scheduled to be mailed on or about April 1, 2005. We thank you for your ongoing support and confidence in The Town Bank and look forward to seeing you on April 28, 2005 at our Annual Shareholders Meeting. On behalf of the Directors, Officers and Employees we wish you a happy, healthy and prosperous New Year.
The Town Bank
Balance Sheets
(in thousands, except share amounts)
(unaudited) December 31,
2004 2003
ASSETS
Cash and due from banks $ 1,376 $ 1,665
Federal funds sold and other short term investments - 3,590
Investment securities available for sale 12,907 17,013
Loans, net of unearned fees/costs 109,924 79,692
less: Allowance for loan losses (1,186) (801)
---------------------------------- ----------------------------------
Net loans 108,738 78,891
Premises and equipment, net 1,924 1,351
Other assets 1,131 562
---------------------------------- ----------------------------------
Total Assets $ 126,076 $ 103,072
---------------------------------- ----------------------------------
LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities
Deposits:
Non-interest bearing $ 17,827 $ 15,193
Interest bearing 91,808 74,435
---------------------------------- ----------------------------------
Total deposits 109,635 89,628
Short term borrowings 1,430 171
Accrued expenses and other liabilities 528 262
---------------------------------- ----------------------------------
Total Liabilities 111,593 90,061
---------------------------------- ----------------------------------
Shareholders' Equity
Common stock ($5.00 par value per
share, authorized 3,000,000 shares at
December 31, 2004 and 2003;
1,869,302 shares issued and outstanding at
December 31, 2004 and 1,851,012 issued
and outstanding at December 31, 2003) 9,346 9,255
Additional paid-in capital 5,506 5,415
Accumulated deficit (308) (1,672)
Accumulated other comprehensive (loss) income (61) 13
---------------------------------- ----------------------------------
Total Shareholders' Equity 14,483 13,011
---------------------------------- ----------------------------------
Total Liabilities And Shareholders' Equity $ 126,076 $ 103,072
---------------------------------- ----------------------------------
Income Statements
(in thousands, except share amounts)
(unaudited)
For the year ended
December 31,
2004 2003
Interest income $ 6,317 $ 4,835
Interest expense 1,832 1,570
---------------------------------- ----------------------------------
Net interest income 4,485 3,265
Provision for loan losses 385 191
---------------------------------- ----------------------------------
Net interest income after provision for loan losses 4,100 3,074
---------------------------------- ----------------------------------
Non interest income 136 242
Non interest expense 2,788 2,542
---------------------------------- ----------------------------------
Income before income taxes 1,448 774
Income taxes 84 76
---------------------------------- ----------------------------------
Net income $ 1,364 $ 698
---------------------------------- ----------------------------------
---------------------------------- ----------------------------------
Net income per share - basic $ 0.74 $ 0.52
---------------------------------- ----------------------------------
---------------------------------- ----------------------------------
Net income per share - diluted $ 0.72 $ 0.51
---------------------------------- ----------------------------------
---------------------------------- ----------------------------------
Average shares outstanding - basic 1,852,000 1,348,000
---------------------------------- ----------------------------------
---------------------------------- ----------------------------------
Average shares outstanding - diluted 1,905,000 1,367,000
---------------------------------- ----------------------------------
The above share figures have been restated for the 5% stock distribution paid on June 1, 2004
(Top)