& Chief Executive Officer
Vice President & Treasurer
RELEASE - FOR IMMEDIATE RELEASE......
FOURTH QUARTER AND ANNUAL RESULTS
THE YEAR ENDED DECEMBER 31, 2008
– January 30, 2009....... 1ST
Constitution Bancorp (NASDAQ: FCCY), the holding company for 1ST
Constitution Bank, announced today fourth quarter and annual results for
2008. Net income for the fourth quarter of 2008 was $457,000, or
$0.11 per diluted share.
income for the year ended December 31, 2008 was $2,759,000, or $0.65 per fully
diluted share compared to $5,443,000 or $1.29 per fully diluted share for the
year ended December 31, 2007. All per share amounts have been
adjusted to give effect to a five percent stock dividend declared December 18,
2008, payable on February 2, 2009 to shareholders of record at the close of
business on January 20, 2009.
interest income was $16,388,000 for the year ended December 31, 2008 which was
approximately 7.8 percent less than the $17,778,000 achieved for the year ended
December 31, 2007. Bolstering earnings for 2008 was the continued
generation of non-interest income, which reached $3,301,000 for the year, up
29.0 percent from the $2,558,000 reported for the year 2007.
provision for loan and lease losses for the year ended December 31, 2008 totaled
$640,000, compared to $130,000 for the year ended December 31,
2007. Net charge-offs for 2008 were $303,000, compared to net
charge-offs of $10,000 for the year ended December 31, 2007.
December 31, 2008, the allowance for loan and lease losses was $3,685,000, or
0.98 percent of total loans, compared to $3,348,000, or 1.14 percent at December
31, 2007. Non-performing assets at December 31, 2008 were $7,649,000,
compared to non-performing assets of $4,998,000 at December 31,
2007. There were no loans greater than 90 days past due and still
accruing as of December 31, 2008 and December 31, 2007.
December 31, 2008, total assets reached $546.2 million, an increase of $117.0
million from total assets at December 31, 2007. Deposits at December
31, 2008 grew to $414.7 million, up from $329.3 million in deposits at December
Mangano, President and Chief Executive Officer stated, “Our absolute results for
the quarter and the full year of 2008 reflected the recessionary economic
climate during the year, and its impact on the financial and banking
industry. During the fourth quarter 1ST
Constitution, as one of the stronger community banks, was chosen by the U.S.
Department of the Treasury to participate in the Treasury’s TARP Capital
Purchase Program. We issued $12 million in preferred stock under the
TARP program to strengthen 1ST
Constitution’s already strong capital position and provide an additional measure
of protection from turbulent financial markets and particularly the dramatic
reduction in the liquidity of credit markets. Prior to the issuance
of the TARP funding, our capital ratios were consistent with those of a
well-capitalized bank, as such ratios are today, which will assist 1ST
Constitution to continue to lend and help support the economic
recovery. As a result of the issuance of the preferred stock, 1ST
Constitution’s tier I capital increased from $57.3 million to $72.8 million at
December 23, 2008 when the preferred stock was issued.