-- Net income $2,315,000 for the fiscal year -- Net income for fourth quarter $510,000 WEST POINT, Ga., Jan. 7 /PRNewswire-FirstCall/ -- Charter Financial Corporation (OTC:CHFN) (BULLETIN BOARD: CHFN) today reported fiscal 2009 (ended September 30, 2009) net income of $2,315,000, or $0.13 per share, compared with $10.5 million, or $0.55 per share, for the prior fiscal year. Earnings have been adjusted from the previously reported earnings of $2.8 million based on changes in accounting for the FDIC assisted acquisition of the assets and liabilities of Neighborhood Community Bank. Charter Financial Corporation is a savings and loan holding company and the parent company of CharterBank, a full-service community bank and a federal savings institution. Charter Financial Corporation and CharterBank are in a mutual holding company structure. CharterBank is headquartered in West Point, Georgia, and operates 13 branches on the I-85 corridor from Newnan, Georgia to Auburn, Alabama. CharterBank's deposits are insured by the Federal Deposit Insurance Corporation. FINANCIAL TABLES FOLLOW Charter Financial Corporation Selected Financial Data (in thousands except share data): September 30, September 30, June 30, 2009 2008 2009 Unaudited Total Assets $936,880 $801,501 $977,730 Loans Receivable, Net 552,550 428,472 543,852 Non-covered Loans Receivable, Net 462,786 428,472 452,469 Covered Loans Receivable, Net 89,764 - 91,383 Mortgage Securities Available for Sale 201,626 242,848 209,231 Other Investment Securities 4,435 34,291 11,477 Core Deposits* 216,902 169,499 216,364 Retail Deposits** 463,566 356,237 461,096 Total Deposits 597,634 420,175 618,367 Borrowings 227,000 267,000 257,000 Total Stockholders' Equity 98,257 102,302 97,341 Book Value per Share 5.34 5.50 5.28 Tangible Book Value per Share 5.06 5.21 5.00 Minority Shares Outstanding 2,551,033 2,754,536 2,566,559 Total Shares Outstanding - at Quarter End 18,408,957 18,612,460 18,424,483 Weighted Average Total Shares Outstanding - Basic 18,417,123 19,022,870 18,452,395 Weighted Average Total Shares Outstanding - Fully Diluted 18,472,222 19,072,917 18,452,395 *Core deposits include transaction accounts, money market accounts, and savings accounts. **Retail deposits include Core Deposits, and certificates of deposits excluding brokered and wholesale. Selected Operating Data (in thousands except share data): Year Ended Three months ended ---------- ------------------ September 30, September 30, June 30, ------------- ------------- -------- 2009 2008 2009 2008 2009 ---- ---- ---- ---- ---- Unaudited --------- Total Interest Income $40,559 $46,378 $12,189 $10,373 $9,141 Total Interest Expense 22,599 26,771 5,917 6,219 5,346 ------ ------ ----- ----- ----- Net Interest Income 17,960 19,607 6,272 4,154 3,795 Provision for Loan Losses 4,550 3,250 1,400 2,500 600 ----- ----- ----- ----- --- Net Interest Income after Provision for Loan Losses 13,410 16,357 4,872 1,654 3,195 Noninterest Income 11,792 18,950 3,480 7,846 2,418 Noninterest Expense 22,581 20,284 7,805 5,040 5,388 ------ ------ ----- ----- ----- Income before Income Taxes 2,621 15,023 547 4,460 225 Income Tax Expense (Benefit) 306 4,491 37 1,521 (151) --- ----- --- ----- ---- Net Income $2,315 $10,532 $510 $2,939 $376 ====== ======= ==== ====== ==== Earnings per Share $0.13 $0.55 $0.03 $0.16 $0.02 Earnings per Share - Fully Diluted 0.12 0.55 0.03 0.15 0.02 Cash Dividends per Share*** 1.00 1.75 0.25 0.25 0.25 Net Charge-offs (Recoveries)- Legacy Charter Loans 3,462 1,019 408 102 1,396 Deposit Fee 4,664 5,027 1,284 1,262 1,129 Gain on Sale of Loans 682 762 135 153 234 Gain on Sale of Freddie Mac Common Stock - 9,557 - 5,885 - Gain (Loss) on Covered Calls Related to Freddie Mac Common Stock - 1,723 - 4 - ***First Charter, MHC has waived its portion of these dividends, resulting in payment only to the minority stockholders. Year Ended Three months ended ---------- ------------------ Performance Ratios: September 30, September 30, June 30, ------------- ------------- -------- 2009 2008 2009 2008 2009 ---- ---- ---- ---- ---- Unaudited --------- Return on Equity 2.25% 6.23% 2.06 9.51% 1.46% Return on Assets 0.27 1.16 0.21 1.41 0.19 Net Interest Margin 2.35 2.32 3.00 2.16 2.08 Bank Core Capital Ratio 9.30 10.51 9.30 10.51 8.64 Effective Tax Rate Expense (Benefit) 11.66 29.89 6.83 34.10 (66.87) Dividend Payout Ratio 145.13 66.97 153.79 27.19 58.44 Ratios of Assets Not Covered: Loan Loss Reserve as a % of Total Loans 1.98 1.89 1.97 1.88 1.81 Loan Loss Reserve as a % of Nonperforming Assets 51.58 61.29 52.18 61.29 43.76 Nonperforming Assets as a % of Total Loans and REO 3.79 3.06 3.74 3.06 4.08 Net Chargeoffs (Recoveries) as a % of Average Loans 0.71 0.24 0.35 0.09 1.22 ------------------ ---- ---- ---- ---- ---- DATASOURCE: Charter Financial Corporation CONTACT: Robert L. Johnson, Chairman & CEO, , or Curt Kollar, CFO, , both of Charter Financial Corporation, +1-706-645-1391; or Woody Wallace of The Investor Relations Company, +1-312-245-2700, , for Charter Financial Corporation Web Site: http://www.charterbank.net/

Copyright