KENILWORTH, N.J., July 23 /PRNewswire-FirstCall/ -- Enterprise
National Bank N.J. (the "Bank") (OTC:ENBN) (BULLETIN BOARD: ENBN)
reported a net loss of $162 thousand, or $(0.09) per share, for the
quarter ended June 30, 2007. The second quarter's results were
comparable to the loss of $164 thousand, or $0.09 per share,
reported in the first quarter of 2007. FINANCIAL CONDITION The Bank
ended the second quarter with total assets of $72.1 million as
compared to $68.7 million at December 31, 2006, reflecting growth
of 4.9%. During the second quarter of 2007, the Bank experienced
net growth in loans of $5.1 million, a decrease in cash and due
from banks of $.9 million and a decrease in investment securities
of $1.0 million. During the six months ended June 30, 2007, the
Bank originated $9.0 million in loans, primarily commercial real
estate and business loans, offset in part by payoffs and repayments
totaling $3.9 million. Loans, net of allowance for loan losses,
totaled $47.9 million at June 30, 2007, an increase of $5.1
million, or 11.9%, from $42.8 million at the end of 2006. Asset
growth was funded by an increase in deposits of $3.4 million, or
6.4%, to $56.7 million at June 30, 2007 from $53.3 million at
December 31, 2006. Borrowings were unchanged at June 30, 2007.
REVENUES Total revenues, defined as net interest income plus
non-interest income, decreased by $26 thousand, or 4.5%, during the
second quarter in comparison to the same period a year ago, while
non-interest expenses increased $87 thousand, or 13.9% from the
same period in the prior year. For the first six months of 2007,
total revenue decreased by $6 thousand, or .5%, as compared to the
first six months of 2006, while non-interest expenses increased
$194 thousand, or 15.8% for the first six months of 2007. The
decline in revenues was primarily due to the interest expense
related to the interest bearing liabilities resulting in a decrease
in net interest income. Net Interest Income Net interest income for
the second quarter of 2007 was $536 thousand, as compared to $557
thousand in the year ago quarter, and $1.1 million for the first
six months of 2007, as compared to $1.1 million for the first six
months of 2006. Net interest margin decreased to 3.07% in the
second quarter of 2007, as compared to 3.53% during the same period
a year ago. The decrease in net interest income and net interest
margin was primarily due to the increased cost of deposits, as
total interest income increased by $170 thousand to $1.2 million in
the current quarter compared to the year ago period, while total
interest expense increased $192 thousand to $650 thousand in the
current quarter from $458 thousand in the prior year quarter. At
June 30, 2007, the rate of interest bearing liabilities was 4.36%
compared to 3.45% as of June 30, 2006. Provision for Loan Losses
During the second quarter of 2007 and 2006, the Bank did not
recognize a provision for possible loan losses. For the six months
ended June 30, 2007, the Bank recognized a provision of $11
thousand compared to $20 thousand for the first six months of 2006.
The decline in our provision reflects the stability of our asset
quality. The allowance for possible loan losses as a percentage of
total loans was 1.20% as of June 30, 2007, as compared to .93% as
of June 30, 2006. Non-Interest Income Non-interest income was $14
thousand for the second quarter of 2007 as compared to $19 thousand
for the second quarter of 2006 and remained unchanged at $26
thousand for the first six months of 2007 as compared to the same
period in 2006. Non interest income primarily consists of service
fees and charges on deposit accounts. Non-Interest Expense Total
non-interest expense for the second quarter of 2007 was $711
thousand, compared to $624 thousand in the second quarter of 2006,
and $1.4 million for the first six months of 2007, as compared to
$1.2 million for the same period in 2006. Total non-interest
expenses increased $194 thousand, or 15.8%, for the first six
months of 2007 over the year ago period. Salaries and employee
benefits expense was $411 thousand in the second quarter of 2007, a
33.4% increase from $308 thousand in the second quarter of 2006 and
$800 thousand for the first six months of 2007, as compared to $593
thousand for the same period in 2006. The increase was primarily
due to an increase in the number of employees from 15 at the end of
the second quarter of 2006 to 21 at the end of the second quarter
of 2007. New employees reflect the addition of a Loan Officer and
support person for the Loan Department as well as an Electronic
Banking Manager and staff to support the infrastructure of that
Department. ASSET QUALITY The Bank had no non-performing loans as
of June 30, 2007. The Bank has no other non-performing assets. No
loans were charged off during the second quarter or first six
months of 2007. CAPITAL Stockholders' equity totaled $11.1 million
at June 30, 2007, compared to $11.5 million at December 31, 2006.
All of the Bank's capital ratios are in excess of the
"well-capitalized" threshold. THE BANK Enterprise National Bank
N.J., headquartered in Kenilworth, New Jersey, is listed on the OTC
Bulletin Board under the symbol "EBNJ." The Bank focuses on serving
the needs of small to medium sized businesses, commercial real
estate borrowers, professional practices and consumers. Its
services include business and personal checking, savings, money
market and certificate of deposit accounts. Additionally, the Bank
offers commercial and consumer loans, lines of credit, home equity
loans, ATM cards, Debit cards and free telephone banking.
Forward-Looking Statements This news release may contain
forward-looking statements. We caution that forward-looking
statements are subject to numerous assumptions, risks and
uncertainties, which change over time. Such statements are also
subject to certain factors that may cause the Bank's results to
vary from those expected. These factors include changing economic
and financial market conditions, competition, ability to execute
the Bank's business plan, items already mentioned in this press
release, and other factors. Readers are cautioned not to place
undue reliance on these forward-looking statements, which reflect
management's judgment only as of this date. The Bank undertakes no
obligation to publicly revise these forward-looking statements to
reflect events and circumstances that arise after the date of this
release. ENTERPRISE NATIONAL BANK N.J. BALANCE SHEET (unaudited)
6/30/07 12/31/06 Assets Cash and due from banks $943,915 $1,790,215
Investment securities 21,926,526 22,852,026 Loans 48,482,448
43,408,477 Allowance for loan losses 580,373 569,161 Net loans
47,902,075 42,839,316 Bank premises and equipment-net 760,208
832,083 Other assets 517,901 390,049 Total assets $72,050,625
$68,703,689 Liabilities and stockholders' equity Non-interest
bearing deposits $4,991,973 $6,803,083 Savings and interest bearing
demand 27,202,461 20,003,602 Time deposits 24,519,229 26,492,446
Total deposits 56,713,663 53,299,131 Borrowings 3,500,000 3,500,000
Other liabilities 703,404 415,803 Total liabilities 60,917,067
57,214,934 Total stockholders' equity 11,133,558 11,488,755 Total
liabilities and stockholders' equity $72,050,625 $68,703,689
ENTERPRISE NATIONAL BANK N.J. INCOME STATEMENT (unaudited) For
quarters ended: 06/30/07 03/31/07 12/31/06 Total interest income
$1,185,635 $1,182,199 $1,131,490 Total interest expense 649,858
638,293 584,611 Net interest income 535,777 543,906 546,879
Provision for possible loan losses - 11,212 172,000 Net interest
income after provision 535,777 532,694 374,879 Service fees and
charges 13,556 12,277 10,359 Gain on sale of loans - - 2,925 Other
151 201 - Total non-interest income 13,707 12,478 13,284 Personnel
expenses 411,133 389,082 263,804 Occupancy expense 41,301 48,052
41,686 Equipment 124,276 133,112 127,050 Advertising 9,612 4,981
100 Other expense 124,936 132,299 116,601 Total non-interest
expense 711,258 707,526 549,241 Income(loss) before taxes (161,774)
(162,354) (161,078) Income taxes 500 1,389 - Net income(loss)
$(162,274) $(163,743) $(161,078) For quarters ended: 09/30/06
6/30/06 Total interest income $1,077,406 $1,014,811 Total interest
expense 550,117 458,309 Net interest income 527,289 556,502
Provision for possible loan losses 13,000 - Net interest income
after provision 514,289 556,502 Service fees and charges 9,275
17,932 Gain on sale of loans - 1,384 Other 146 Total non-interest
income 9,421 19,316 Personnel expenses 267,000 307,784 Occupancy
expense 43,463 37,845 Equipment 125,933 126,045 Advertising 12,895
21,405 Other expense 107,835 131,170 Total non-interest expense
557,126 624,249 Income(loss) before taxes (33,416) (48,431) Income
taxes Net income(loss) $(33,416) $(48,431) For six months ended:
06/30/07 06/30/06 Total interest income $2,367,834 $1,971,961 Total
interest expense 1,288,151 886,224 Net interest income 1,079,683
1,085,737 Provision for possible loan losses 11,212 20,000 Net
interest income after provision 1,068,471 1,065,737 Service fees
and charges 25,833 24,822 Gain on sale of loans - 1,384 Other 352 -
Total non-interest income 26,185 26,206 Personnel expenses 800,215
592,852 Occupancy expense 89,353 82,139 Equipment 257,388 248,401
Advertising 14,593 51,555 Other expense 257,235 250,198 Total
non-interest expense 1,418,784 1,225,145 Income(loss) before taxes
(405,279) (327,696) Income taxes 1,889 4,156 Net income(loss)
$(326,017) $(137,358) ENTERPRISE NATIONAL BANK N.J. SELECTED
CONSOLIDATED FINANCIAL DATA (unaudited) For quarters ended:
06/30/2007 03/31/2007 12/31/2006 Share Data Book value per share
(basic, period end) $6.17 $6.31 $6.36 Net income(loss) per share
(basic) ($0.09) ($0.09) ($0.09) Net income(loss) per share
(diluted) ($0.09) ($0.09) ($0.09) Selected Averages Average net
loans $46,603,835 $44,885,896 $41,647,877 Average total deposits
$55,783,473 $56,089,210 $52,003,041 Average earning assets
$69,727,231 $69,718,078 $65,561,662 Selected Performance Ratios
Return on average assets -0.91% -0.91% -0.95% Return on average
equity -5.74% -5.73% -5.57% Net interest margin 3.07% 3.12% 3.34%
Non-interest income as % of average assets 0.08% 0.07% 0.08%
Non-interest expense as % of average assets 3.97% 3.95% 3.24% Asset
Quality Net charge-offs $- $- $- Non-performing loans $- $- $-
Allowance for possible loan losses to total loans 1.20% 1.24% 1.31%
Non-performing loans to total loans 0.00% 0.00% 0.00% Capital Tier
1 leverage ratio 15.72% 15.94% 16.97% Tier 1 capital to
risk-weighted assets 20.85% 22.67% 24.64% Total capital to
risk-weighted assets 21.93% 23.82% 25.86% For quarters ended:
09/30/2006 06/30/2006 Share Data Book value per share (basic,
period end) $6.42 $6.37 Net income(loss) per share (basic) ($0.02)
($0.03) Net income(loss) per share (diluted) ($0.02) ($0.03)
Selected Averages Average net loans $41,696,996 $40,231,806 Average
total deposits $51,759,929 $49,127,964 Average earning assets
$65,467,881 $64,458,693 Selected Performance Ratios Return on
average assets -0.20% -0.29% Return on average equity -1.16% -1.67%
Net interest margin 3.22% 3.53% Non-interest income as % of average
assets 0.06% 0.12% Non-interest expense as % of average assets
3.30% 3.75% Asset Quality Net charge-offs $- $- Non-performing
loans $- $485,000 Allowance for possible loan losses to total loans
0.95% 0.93% Non-performing loans to total loans 0.00% 1.16% Capital
Tier 1 leverage ratio 17.19% 17.46% Tier 1 capital to risk-weighted
assets 24.59% 25.57% Total capital to risk-weighted assets 25.43%
26.42% DATASOURCE: Enterprise National Bank N.J. CONTACT: David L.
Gordon, Executive Vice President & CFO of Enterprise National
Bank N.J., +1-908-653-1800,
Copyright