COEUR D'ALENE, Idaho, Oct. 23, 2008 (GLOBE NEWSWIRE) -- Jack W. Gustavel, Chairman and Chief Executive Officer of Idaho Independent Bank ("IIB") (OTCBB:IIBK), announced IIB's unaudited financial results for the third quarter and nine months ended September 30, 2008.
Mr. Gustavel reported that IIB's net income for the quarter ended September 30, 2008, was $1.6 million, or $0.27 per diluted share, compared to $2.7 million, or $0.43 per diluted share, for the same period a year ago. IIB's net income for the nine months ended September 30, 2008, was $4.7 million, or $0.75 per diluted share, compared to $8.3 million, or $1.30 per diluted share, for the same nine-month period a year ago. The decrease in net income for the three months and nine months ended September 30, 2008, was primarily due to the effect of a continued deterioration of the real estate markets within the communities the Bank serves. Prior period earnings per share have been restated to reflect the 7% share dividend distributed to shareholders in December 2007.
IIB's total assets as of September 30, 2008, decreased $25.8 million, or 4.1%, to $604.2 million from $630.0 million at September 30, 2007. Total loans, including loans held-for-sale, at September 30, 2008, decreased $14.4 million, or 2.8%, to $503.2 million from $517.6 million at September 30, 2007. Total deposits and customer repurchase agreements decreased $69.8 million, or 12.8%, to $477.5 million at September 30, 2008, from $547.3 million at September 30, 2007.
For the quarter ended September 30, 2008, IIB added $775,000 to its allowance for loan losses, while net charge offs totaled $675,176. As of September 30, 2008, the allowance for loan losses account totaled $10.2 million, or 2.02% of loans, excluding loans held-for-sale. Non-performing assets totaled $13.3 million, or 2.21% of total assets, at September 30, 2008, compared to $2.8 million, or 0.45% of total assets at September 30, 2007. Non-performing assets at September 30, 2008, included $6.5 million in non-performing loans and $6.8 million in other real estate owned.
About IIB
IIB was established in 1993 as an Idaho state-chartered, commercial bank and currently operates branches in Boise (3), Meridian, Coeur d'Alene, Nampa, Mountain Home, Hayden Lake, Caldwell, Star, Eagle, and Sun Valley/Ketchum, Idaho. IIB has approximately 220 employees throughout the state of Idaho. To learn more about IIB, visit us online at www.theidahobank.com.
The Idaho Independent Bank company logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=1275
Statements contained herein concerning future performance, developments or events, expectations for earnings, growth and market forecasts, and any other guidance for future periods constitute forward-looking statements within the meaning of the Private Securities Reform Act of 1995, and as such, are subject to a number of risks and uncertainties that might cause actual results to differ materially from expectations or our stated objectives. Factors that could cause actual results to differ materially include but are not limited to: changes in regional or general economic conditions; changes in interest rates, deposit flows, demand for loans, real estate values, competition, or loan delinquency rates; changes in accounting principles, practices, policies, or guidelines; changes in legislation or regulations; changes in the regulatory environment; changes in monetary policy of the Federal Reserve Bank; changes in fiscal policy of the Federal government and the state of Idaho; changes in other economic, competitive, governmental, regulatory and technological factors affecting operations, pricing, products, and services; material unforeseen changes in the liquidity, results of operations, or financial condition of the Bank's customers; and other risks detailed from time to time in the Bank's filings with the Federal Deposit Insurance Corporation. Accordingly, these factors should be considered in evaluating forward-looking statements, and undue reliance should not be placed on such statements. The Bank undertakes no responsibility to update or revise any forward-looking statements.
Idaho Independent Bank
Financial Highlights (unaudited)
(dollars in thousands, except share data)
Three Months Ended Nine Months Ended
INCOME STATEMENT September 30, September 30,
---------------------- ----------------------
2008 2007 2008 2007
--------- --------- --------- ---------
Net interest
income $ 7,603 $ 8,870 $ 23,119 $ 26,594
Provision for
loan losses 775 -- 3,025 405
--------- --------- --------- ---------
Net interest
margin 6,828 8,870 20,094 26,189
Noninterest
income 1,142 1,181 3,644 3,551
Noninterest
expense 5,310 5,593 16,103 15,987
--------- --------- --------- ---------
Net income
before taxes 2,660 4,458 7,635 13,753
Income taxes 1,020 1,712 2,960 5,426
--------- --------- --------- ---------
Net income $ 1,640 $ 2,746 $ 4,675 $ 8,327
========= ========= ========= =========
Earnings per share:
Basic (1) $ 0.28 $ 0.46 $ 0.79 $ 1.40
Diluted (1) $ 0.27 $ 0.43 $ 0.75 $ 1.30
BALANCE SHEET September 30, September 30,
2008 2007
------------- -------------
Loans held for sale $ 1,115 $ 2,847
Loans receivable 502,112 514,798
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Gross loans 503,227 517,645
Allowance for loan losses 10,156 10,283
Total assets 604,202 630,043
Deposits 435,904 513,295
Customer repurchase agreements 41,612 33,993
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Total deposits and repurchase
agreements 477,516 547,288
Stockholders' equity 70,961 64,602
PER SHARE DATA
Common shares outstanding (1) 5,899,592 5,924,194
Book value per share (1) $ 12.03 $ 10.90
Three Months Ended Nine Months Ended
September 30, September 30,
PERFORMANCE RATIOS ---------------------- ----------------------
(annualized) 2008 2007 2008 2007
--------- --------- --------- ---------
Return on
average assets 1.09% 1.76% 1.03% 1.80%
Return on
average equity 9.28% 17.10% 9.01% 18.17%
Efficiency ratio 60.72% 55.65% 60.17% 53.03%
Net interest
margin 5.54% 6.05% 5.52% 6.14%
(1) Prior period amounts have been restated to reflect the 7% share
dividend in December 2007.