MIDDLEBURG FINANCIAL CORP. 
By MIDDLEBURG, Va., April 30 /PRNewswire-FirstCall/ -- Middleburg Financial Corporation (the "Company"), (Nasdaq: MBRG), parent company of Middleburg Bank (the "Bank"), today reported its financial results for the first quarter of 2010.
First Quarter 2010 Highlights:
-- Net income of $813,844 for the quarter;
-- Diluted earnings per share of $0.12 for the quarter;
-- Net interest margin of 3.94% for the quarter;
-- Total asset growth of $42.3 million or 4.3% for the quarter;
-- Total loans increased by $13.8 million or 2.1% for the quarter;
-- Total deposit growth of $22.7 million or 2.7% for the quarter;
-- Provision for loan losses decreased 3.5% relative to the previous
quarter; and
-- Tier I capital ratio of 13.8%, leverage ratio of 10.7%.
"Based on the first quarter of 2010 we are cautiously optimistic," said Gary R. Shook, president of Middleburg Financial Corporation. "There is evidence that loan and deposit growth is accelerating and we are seeing growth in our wealth management business as well. We attribute much of this growth to improved economic conditions in our primary markets. However, we foresee a continuation of problem loans throughout this year, which will continue to impact earnings."
Net Interest Income and Net Interest Margin
Net interest income was $8.5 million during the three months ended March 31, 2010, a decrease of 3.0% relative to the quarter ended December 31, 2009. The average yield on earning assets was 5.58% for the quarter ended March 31, 2010, down 62 basis points relative to the quarter ended December 31, 2009. We reduced our costs for deposits as well as for borrowings in the first quarter of 2010. The average cost of interest bearing liabilities during the quarter decreased to 1.93%, down 40.0 basis points relative to the quarter ended December 31, 2009.
The net interest margin for the three months ended March 31, 2010 was 3.94% compared to 4.17% for the quarter ended December 31, 2009.
The Company's net interest margin is not a measurement under accounting principles generally accepted in the United States, but it is a common measure used by the financial services industry to determine how profitably earning assets are funded. The Company's net interest margin is calculated by dividing tax equivalent net interest income by total average earning assets. Tax equivalent net interest income is calculated by grossing up interest income for the amounts that are non-taxable (i.e., municipal income) then subtracting interest expense. The tax rate utilized is 34%. Details on the calculation of the net interest margin are included in the "Key Statistics" table.
Asset Quality and Provision for Loan Losses
Provisions for loan losses were $929,000 for the quarter ended March 31, 2010, compared to $967,000 for the quarter ended December 31, 2009, a decline of 3.9%. Even with this decrease, Company was able to increase its allowance for loan losses by $643,000 or from 1.33% of total loans to 1.50% of total loans. The pace of problem loans is as expected, however, given the continued uncertainty in the economy, the Company deemed it prudent to increase its ratio of allowance for loan losses to total loans.
Non performing assets increased from $17.2 million or 1.8% of total assets at December 31, 2009 to $19.0 million or 1.9% of total assets as of March 31, 2010. Given the current economic environment, it is anticipated there could be an increase in non performing loans, but we do not believe that the increase will be as dramatic as that experienced in 2009.
Non-Interest Income
Non-interest income decreased by $670,000 or 11.7% to $5.07 million when comparing the quarter ended March 31, 2010 to the quarter ended December 31, 2009, largely driven by decreases in gains on sales of mortgage loans originated by Southern Trust Mortgage, our majority owned subsidiary, and gains on sales of securities. Southern Trust Mortgage closed $149 million in mortgage loans in the quarter ended March 31, 2010, down 31% from the quarter ended December 31, 2009. Gain on sale of mortgage loans was $2.6 million for the quarter ended March 31, 2010, a decrease of 20% compared to the quarter ended December 31, 2009.
The revenues and expenses of Southern Trust Mortgage for the three month period ended March 31, 2010 are reflected in the Company's financial statements on a consolidated basis, with the outstanding interest not held by the Company reported as "Non-controlling Interest Net (Income) Loss."
Trust and investment advisory fees earned by Middleburg Trust Company ("MTC") and Middleburg Investment Advisors ("MIA") were relatively unchanged when comparing the quarter ended March 31, 2010 to the quarter ended December 31, 2009 and increased 2.3% when compared to the quarter ended March 31, 2009. Trust and investment advisory fees are based primarily upon the market value of the accounts under administration/management. Total consolidated assets under administration by MTC and MIA were at $1.2 billion at March 31, 2010, an increase of 8.1% relative to December 31, 2009 and an increase of 44.5% relative to March 31, 2009. The Bank holds a large portion of its investment portfolio in custody with MTC. MTC's assets under administration were $854.8 million at March 31, 2010 and $771.5 million at December 31, 2009. MIA's assets under administration were $318.7 million at March 31, 2010 and $313.5 million at December 31, 2009.
Non-Interest Expense
Non-interest expense in the first quarter of 2010 decreased $163,000, down 1.4% relative to the quarter ended December 31, 2009.
Salaries and employee benefit expenses in the first quarter of 2010 increased by $737,000 relative to the quarter ended December 31, 2009, primarily due to incentive accrual for 2010 and benefit payouts. Other operating expenses in the first quarter of 2010 decreased by $1.0 million, down 27.0% relative to the previous quarter due to decreases in various other expense categories including professional fees and expenses associated with other real estate owned.
Total Consolidated Assets
Total assets at March 31, 2010 were $1.0 billion, an increase of $42.2 million or 4.3% during the quarter.
Total loans, net of allowance for loan losses, increased by $12.9 million, or 2.0% when comparing March 31, 2010 to December 31, 2009. The investment portfolio was at $186 million at March 31, 2010, an increase of $7 million or 3.9% compared to December 31, 2009. Mortgages held for resale decreased $2.2 million or 4.8% from December 31, 2009 to March 31, 2010. Cash and due and interest-bearing balances at banks increased by $25.7 million or 59.4% from December 31, 2009 to March 31, 2010.
Deposits and Other Borrowings
Total deposits were at $827.4 million at March 31, 2010, up $21.7 million or 2.7% from December 31, 2009, primarily due to an increase in savings and non-interest bearing demand deposits. Time deposits, including brokered deposits decreased $3.0 million or 4.6% when comparing December 31, 2009 to March 31, 2010. The Company has been paying off brokered deposits as they mature. Brokered deposits were $62.0 million at March 31, 2010, down $3.0 million or 40.0% from the year prior. Long term borrowings from the FHLB were $47.9 million at March 31, 2010, up $12.9 million from December 31, 2009. The increase in borrowings was related to the funding of commercial loans.
Equity
Total shareholders' equity at March 31, 2010 was $103.9 million, compared to shareholders' equity of $103.4 million as of December 31, 2009. Retained earnings at March 31, 2010 were at $42.8 million compared to $42.7 million at December 31, 2009. The book value of the Company at March 31, 2010 was $14.65 per common share. As of March 31, 2010, the Tier 1 risk-based capital ratio was 13.77%, the total risk-based capital ratio was 15.02% and the leverage ratio was 10.71%.
Certain information contained in this discussion may include "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements relate to the Company's future operations and are generally identified by phrases such as "the Company expects," "the Company believes" or words of similar import. Although the Company believes that its expectations with respect to the forward-looking statements are based upon reliable assumptions within the bounds of its knowledge of its business and operations, there can be no assurance that actual results, performance or achievements of the Company will not differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements. For details on factors that could affect expectations, see the risk factors and other cautionary language included in the Company's Annual Report on Form 10-K for the year ended December 31, 2009, and other filings with the Securities and Exchange Commission.
Middleburg Financial Corporation is headquartered in Middleburg, Virginia and has two wholly owned subsidiaries, Middleburg Bank and Middleburg Investment Group, Inc. Middleburg Bank serves Loudoun, Fairfax, and Fauquier Counties in Virginia with eight financial service centers. Middleburg Investment Group owns Middleburg Trust Company and Middleburg Investment Advisors, Inc. Middleburg Trust Company is headquartered in Richmond, Virginia with a branch office in Middleburg and Williamsburg. Middleburg Investment Advisors, Inc. is an SEC registered investment advisor located in Alexandria, Virginia.
MIDDLEBURG FINANCIAL CORPORATION
SUMMARY INCOME STATEMENT
( Unaudited, dollars in thousands)
For the Three Months Ended
Mar 31, Dec. 31, Sep. 30,
2010 2009 2009
-------- --------- ---------
INTEREST INCOME
Interest and fees on loans $10,445 $11,041 $11,973
Interest on investment securities 1,687 1,883 1,998
TOTAL INTEREST INCOME $12,132 $12,924 $13,971
------- ------- -------
INTEREST EXPENSE
Interest on deposits $3,174 $3,633 $3,866
Interest on borrowings 502 577 749
TOTAL INTEREST EXPENSE $3,676 $4,210 $4,615
------ ------ ------
NET INTEREST INCOME $8,456 $8,714 $9,356
PROVISION FOR LOAN LOSSES 929 967 964
--- --- ---
NET INTEREST INCOME AFTER
PROVISION
FOR LOAN LOSSES $7,527 $7,747 $8,392
------ ------ ------
NON INTEREST INCOME
Trust and investment advisory fee
income $815 $816 $813
Service charges on deposits 441 486 474
Gain on the sale of loans 2,630 3,283 2,407
Net (losses) gains on securities
available for sale including
OTTI adjustments 355 365 (258)
Commissions on investment sales 144 175 148
Equity earnings in unconsolidated
subsidiaries 37 40 23
Bank owned life insurance 125 109 123
Other service charges,
commissions and fees 471 429 298
Other operating income 54 36 29
TOTAL NON INTEREST INCOME $5,072 $5,739 $4,057
------ ------ ------
NON INTEREST EXPENSE
Salaries and employee benefits $6,924 $6,187 $6,925
Net occupancy expense of premises 1,604 1,500 1,455
Other taxes 196 149 148
Computer operations 328 344 285
Advertising and marketing 180 211 184
Other operating expenses 2,711 3,715 2,908
TOTAL NON INTEREST EXPENSE $11,943 $12,106 $11,905
------- ------- -------
INCOME BEFORE TAXES $656 $1,380 $544
Income tax expense (benefit) 87 (5) (92)
--- --- ---
NET INCOME $569 $1,385 $636
NONCONTROLLING INTEREST NET
(INCOME) LOSS 245 (270) (26)
--- ---- ---
MIDDLEBURG FINANCIAL CORPORATION
NET INCOME $814 $1,115 $610
==== ====== ====
For the Three Months Ended
Jun. 30, Mar. 31,
2009 2009
--------- ---------
INTEREST INCOME
Interest and fees on loans $12,870 $12,950
Interest on investment securities 1,990 2,041
TOTAL INTEREST INCOME $14,860 $14,991
------- -------
INTEREST EXPENSE
Interest on deposits $3,959 $4,156
Interest on borrowings 991 1,151
TOTAL INTEREST EXPENSE $4,950 $5,307
------ ------
NET INTEREST INCOME $9,910 $9,684
PROVISION FOR LOAN LOSSES 1,583 1,037
----- -----
NET INTEREST INCOME AFTER
PROVISION
FOR LOAN LOSSES $8,327 $8,647
------ ------
NON INTEREST INCOME
Trust and investment advisory fee
income $792 $797
Service charges on deposits 490 455
Gain on the sale of loans 3,378 2,792
Net (losses) gains on securities
available for sale including
OTTI adjustments 661 230
Commissions on investment sales 172 85
Equity earnings in unconsolidated
subsidiaries 92 111
Bank owned life insurance 130 127
Other service charges,
commissions and fees 450 374
Other operating income (36) 16
TOTAL NON INTEREST INCOME $6,129 $4,987
------ ------
NON INTEREST EXPENSE
Salaries and employee benefits $7,670 $7,260
Net occupancy expense of premises 1,566 1,384
Other taxes 145 145
Computer operations 360 301
Advertising and marketing 216 149
Other operating expenses 3,062 2,593
TOTAL NON INTEREST EXPENSE $13,019 $11,832
------- -------
INCOME BEFORE TAXES $1,437 $1,802
Income tax expense (benefit) 21 140
--- ---
NET INCOME $1,416 $1,662
NONCONTROLLING INTEREST NET
(INCOME) LOSS (603) (678)
---- ----
MIDDLEBURG FINANCIAL CORPORATION
NET INCOME $813 $984
==== ====
MIDDLEBURG FINANCIAL CORPORATION
BALANCE SHEET
(dollars in thousands) Unaudited Audited Unaudited
3/31/2010 12/31/2009 9/30/2009
--------- ---------- ---------
Assets:
Cash and due from banks $20,333 $18,365 $80,646
Interest-bearing balances in
banks 48,568 24,845 2,214
Federal funds sold - - -
Securities at fair value 185,978 178,924 168,049
Loans, net of allowance for
loan losses 648,009 635,094 643,293
Mortgages held for resale 42,836 45,010 36,826
Bank premises and equipment,
net 23,152 23,506 22,848
Other assets 49,752 50,630 43,902
------ ------ ------
Total assets $1,018,628 $976,374 $997,777
========== ======== ========
Liabilities:
Deposits:
Non-interest bearing demand
deposits $117,146 $106,459 $105,648
Savings and interest-bearing
demand deposits 412,185 397,720 380,527
Time deposits 298,057 301,469 301,453
------- ------- -------
Total deposits $827,388 $805,648 $787,628
Securities sold under
agreements to repurchase 24,286 17,199 19,808
Short term borrowings 3,390 3,538 7,112
Long-term debt 47,912 35,000 43,000
Trust preferred capital notes 5,155 5,155 5,155
Other liabilities 6,606 6,475 9,853
Total liabilities $914,737 $873,015 $872,556
-------- -------- --------
Shareholders' Equity:
Middleburg Financial
Corporation shareholders'
equity:
Preferred stock, par value
$1,000.00 per share $- $- $21,597
Common stock, par value $2.50
per share 17,273 17,273 17,255
Capital surplus 42,826 42,807 42,703
Retained earnings 42,828 42,706 43,076
Accumulated other
comprehensive income (loss),
net (1,703) (2,474) (2,203)
Total Middleburg Financial
Corporation shareholders'
equity 101,224 100,312 122,428
------- ------- -------
Non-controlling interest in
consolidated subsidiary 2,666 3,047 2,793
Total shareholders' equity $103,890 $103,359 $125,221
Total liabilities and
shareholders' equity $1,018,627 $976,374 $997,777
---------- -------- --------
(dollars in thousands) Unaudited Unaudited
6/30/2009 3/31/2009
--------- ---------
Assets:
Cash and due from banks $39,721 $21,059
Interest-bearing balances in banks 2,958 1,725
Federal funds sold 54,600 24,500
Securities at fair value 162,355 165,921
Loans, net of allowance for loan losses 642,883 650,600
Mortgages held for resale 74,346 66,439
Bank premises and equipment, net 22,722 22,920
Other assets 44,975 45,099
------ ------
Total assets $1,044,560 $998,263
========== ========
Liabilities:
Deposits:
Non-interest bearing demand deposits $124,472 $113,131
Savings and interest-bearing demand
deposits 347,561 329,042
Time deposits 338,100 331,075
------- -------
Total deposits $810,133 $773,248
Securities sold under agreements to
repurchase 19,505 18,989
Short term borrowings 21,278 15,340
Long-term debt 74,000 74,000
Trust preferred capital notes 5,155 5,155
Other liabilities 10,981 10,832
Total liabilities $941,052 $897,564
-------- --------
Shareholders' Equity:
Middleburg Financial Corporation
shareholders' equity:
Preferred stock, par value $1,000.00 per
share $21,603 $21,584
Common stock, par value $2.50 per share 12,483 11,826
Capital surplus 28,310 26,083
Retained earnings 43,235 43,665
Accumulated other comprehensive income
(loss), net (5,156) (5,026)
Total Middleburg Financial Corporation
shareholders' equity 100,475 98,132
------- ------
Non-controlling interest in
consolidated subsidiary 3,033 2,567
Total shareholders' equity $103,508 $100,699
Total liabilities and shareholders'
equity $1,044,560 $998,263
---------- --------
MIDDLEBURG FINANCIAL CORPORATION
KEY STATISTICS For the Three Months Ended
Mar 31, Dec 31, Sep 30, Jun 30,
2010 2009 2009 2009
------- -------- -------- --------
Net Income (dollars in
thousands) $814 $1,114 $610 $813
Earnings per share,
basic $0.12 $0.07 $0.05 $0.11
Earnings per share,
diluted $0.12 $0.07 $0.05 $0.11
Dividend per share $0.10 $0.10 $0.10 $0.19
Return on average total
assets 0.33% 0.35% 0.29% 0.19%
Return on average total
equity 3.25% 2.82% 2.51% 1.88%
Dividend payout ratio 84.90% 142.86% 200.00% 172.73%
Fee revenue as a percent
of total revenue 28.00% 29.37% 23.60% 26.90%
Net interest margin(1) 3.94% 3.83% 4.13% 4.36%
Yield on average earning
assets 5.58% 5.61% 6.08% 6.46%
Yield on average
interest-bearing
liabilities 1.93% 2.16% 2.35% 2.50%
Net interest spread 3.65% 3.45% 3.73% 3.96%
Non-interest income to
average assets 1.93% 2.10% 1.71% 2.15%
Non-interest expense to
average assets 4.90% 4.74% 4.71% 5.12%
Efficiency ratio(2) 87.85% 83.48% 84.26% 82.25%
(1) The net interest margin is calculated by dividing tax equivalent
net interest income by total average earning assets. Tax equivalent
net interest income is calculated by grossing up interest income for
the amounts that are non taxable (i.e., municipal income) then
subtracting interest expense. The tax rate utilized is 34%. The
Company's net interest margin is a common measure used by the
financial service industry to determine how profitably earning
assets are funded. Because the Company earns a fair amount of non
taxable interest income due to the mix of securities in its
investment security portfolio, net interest income for the ratio is
calculated on a tax equivalent basis as described above.
(2) The efficiency ratio is not a measurement under accounting
principles generally accepted in the United States. It is
calculated by dividing non interest expense by the sum of tax
equivalent net interest income and non interest income excluding
gains and losses on the investment portfolio. The tax rate utilized
is 34%. The Company calculates this ratio in order to evaluate its
overhead structure or how effectively it is operating. An increase
in the ratio from period to period indicates the Company is losing a
larger percentage of its income to expenses.
MIDDLEBURG FINANCIAL CORPORATION
SELECTED FINANCIAL DATA BY QUARTER
1Q10 4Q09 3Q09 2Q09
---- ---- ---- ----
BALANCE SHEET RATIOS
Net loans to deposits 78.32% 78.83% 81.67% 79.36%
Average interest-
earning assets to
average-interest
bearing liabilities 117.51% 121.36% 120.32% 119.05%
PER SHARE DATA
Dividends $0.10 $0.10 $0.10 $0.19
Book value $14.65 $14.52 $14.61 $15.80
Tangible book value $13.71 $13.57 $13.65 $14.47
SHARE PRICE DATA
Closing price $15.06 $14.59 $13.05 $13.76
Diluted earnings
multiple(1) 1.03 0.97 0.67 0.66
Book value multiple(2) 1.03 1.00 0.89 0.87
COMMON STOCK DATA
Outstanding shares at
end of period 6,909,293 6,909,293 6,901,843 4,993,245
Weighted average
shares outstanding 6,909,293 5,635,687 5,208,624 4,675,849
Weighted average
shares outstanding,
diluted 6,912,173 6,906,429 6,267,267 4,822,365
CAPITAL RATIOS
Total parent equity to
total assets 9.94% 10.59% 12.27% 9.62%
Total risk based
capital ratio 15.02% 15.06% 18.22% 14.73%
Tier 1 risk based
capital ratio 13.77% 13.86% 16.97% 13.54%
Leverage ratio 10.71% 10.40% 12.50% 10.58%
CREDIT QUALITY
Net charge-offs to
average loans 0.04% 0.18% 0.17% 0.26%
Total non-performing
loans to total loans 2.00% 1.48% 1.57% 1.99%
Total non-performing
assets to total
assets 1.87% 1.64% 1.88% 1.96%
Non-accrual loans to:
total loans 1.46% 1.34% 1.38% 1.99%
total assets 0.94% 0.88% 0.90% 1.24%
Allowance for loan
losses to:
total loans 1.50% 1.33% 1.41% 1.45%
non-performing assets 51.88% 53.00% 49.21% 46.14%
non-accrual loans 102.67% 104.11% 102.43% 72.62%
NON-PERFORMING ASSETS:
(dollars in thousands)
Loans delinquent over
90 days $3,544 $908 $1,206 $-
Non-accrual loans 9,613 8,608 9,008 12,985
Other real estate
owned and repossessed
assets 5,869 6,511 8,537 7,455
Total non-performing
assets 19,026 16,027 18,751 20,440
------ ------ ------ ------
NET LOAN CHARGE-OFFS
(RECOVERIES):
(dollars in thousands)
Loans charged off $291 $1,280 $1,216 $1,866
(Recoveries) (47) (48) (49) (6)
Net charge-offs $244 $1,232 $1,167 $1,860
---- ------ ------ ------
PROVISION FOR LOAN
LOSSES (dollars in
thousands) $929 $967 $964 $1,583
---- ---- ---- ------
ALLOWANCE FOR LOAN
LOSS SUMMARY
(dollars in thousands)
Balance at the
beginning of period $9,185 $9,227 $9,430 $9,707
Provision 929 967 964 1,583
Net charge-offs
(recoveries) 244 1,009 1,167 1,860
Balance at the end of
period $9,870 $9,185 $9,227 $9,430
------ ------ ------ ------
(1) The diluted earnings multiple is calculated by dividing the
period's closing market price per share by total equity per weighted
average shares outstanding, diluted for the period. The diluted
earnings multiple is a measure of how much an investor may be
willing to pay for $1.00 of the Company's earnings.
(2) The book value multiple (or price to book ratio) is calculated by
dividing the period's closing market price per share by the period's
book value per share. The book value multiple is a measure used to
compare the Company's market value per share to its book value per
share.
Average Balances, Income and Expenses, Yields and Rates
Three Months Ended March 31,
----------------------------
2010
----
Average Income/ Yield/
Rate
Balance Expense (2)
------- ------- -----
(Dollars in thousands)
Assets :
Securities:
Taxable $119,744 $959 3.25%
Tax-exempt (1) 63,929 1,050 6.66%
Total securities $183,673 $2,009 4.44%
Loans
Taxable $678,854 $10,445 6.24%
Tax-exempt (1) - - -
---
Total loans $678,854 $10,445 6.24%
Federal funds sold - - -
Interest on money
market investments - - -
Interest bearing
deposits in
other financial
institutions 44,677 35 0.32%
------ ---
Total earning assets $907,204 $12,489 5.58%
Less: allowances for
credit losses (9,104)
Total nonearning
assets 90,757
------
Total assets $988,857
========
Liabilities:
Interest-bearing
deposits:
Checking $279,655 $601 0.87%
Regular savings 70,393 183 1.05%
Money market savings 50,957 115 0.92%
Time deposits:
$100,000 and over 161,447 1,152 2.89%
Under $100,000 136,953 1,123 3.33%
------- -----
Total interest-
bearing deposits $699,405 $3,174 1.84%
Short-term
borrowings 4,843 44 3.68%
Securities sold
under agreements to
repurchase 21,644 20 0.37%
Long-term debt 46,136 438 3.85%
Federal funds
purchased - - -
--- ---
Total interest-
bearing liabilities $772,028 $3,676 1.93%
Non-interest
bearing liabilities
Demand deposits 105,994
Other liabilities 6,562
Total liabilities $884,584
Non-controlling
interest 2,725
Shareholders' equity 101,548
Total liabilities
and shareholders'
equity $988,857
========
Net interest income $8,813
======
Interest rate spread 3.65%
Interest expense as
a percent of
average earning
assets 1.64%
Net interest margin 3.94%
Return on average
assets 0.33%
Return on average
equity 3.25%
Three Months Ended March 31,
----------------------------
2009
----
Average Income/ Yield/
Rate
Balance Expense (2)
------- ------- -----
(Dollars in thousands)
Assets :
Securities:
Taxable $115,468 $1,279 4.49%
Tax-exempt (1) 62,031 1,103 7.21%
Total securities $177,499 $2,382 5.44%
Loans
Taxable $715,438 $12,950 7.34%
Tax-exempt (1) 3 - 0.00%
---
Total loans $715,441 $12,950 7.34%
Federal funds sold 21,201 12 0.23%
Interest on money
market investments - - -
Interest bearing
deposits in
other financial
institutions 3,541 22 2.52%
----- ---
Total earning assets $917,682 $15,366 6.79%
Less: allowances for
credit losses (9,843)
Total nonearning
assets 91,382
------
Total assets $999,221
========
Liabilities:
Interest-bearing
deposits:
Checking $224,570 $811 1.46%
Regular savings 51,960 184 1.44%
Money market savings 35,876 109 1.23%
Time deposits:
$100,000 and over 130,201 1,119 3.49%
Under $100,000 205,424 1,933 3.82%
------- -----
Total interest-
bearing deposits $648,031 $4,156 2.60%
Short-term
borrowings 31,735 276 3.53%
Securities sold
under agreements to
repurchase 23,099 22 0.39%
Long-term debt 84,377 853 4.10%
Federal funds
purchased - - -
--- ---
Total interest-
bearing liabilities $787,242 $5,307 2.73%
Non-interest
bearing liabilities
Demand deposits 107,326
Other liabilities 10,462
Total liabilities $905,030
Non-controlling
interest 2,316
Shareholders' equity 91,875
Total liabilities
and shareholders'
equity $999,221
========
Net interest income $10,059
=======
Interest rate spread 4.06%
Interest expense as
a percent of
average earning
assets 2.35%
Net interest margin 4.45%
Return on average
assets 0.40%
Return on average
equity 4.24%
(1) Income and yields are reported on tax equivalent basis assuming a
federal tax rate of 34%.
(2) All yields and rates have been annualized on a 365 day year.
SOURCE Middleburg Financial Corporation
