Welcome!

Microsoft Cloud Authors: Liz McMillan, David H Deans, Automic Blog, Pat Romanski, Janakiram MSV

News Feed Item

Treasure State Bank Reports Fourth Quarter 2012 Operating Results

MISSOULA, MT -- (Marketwire) -- 02/04/13 -- Treasure State Bank ("the Bank") (OTCQB: TRSU), a Montana chartered community bank, today announced:

  • The Bank had a net operating profit of $72,000 for the quarter ended December 31, 2012, as compared to $76,000 for the quarters ended September 30, $76,000 for the quarter ended June 30, 2012, $42,000 for the quarter ended March 31, 2012 and $34,000 for the same quarter last year.

  • Earnings, before non-cash expenses of depreciation and amortization, loan loss provisions, real estate owned write-downs and stock option expense were $230,000 ($920,000 annualized) for the quarter ended December 31, 2012, as compared to $219,000 ($876,000 annualized) for the quarter ended September 30, 2012, $214,000 ($856,000 annualized) for the quarter ended June 30, 2012, $178,000 ($712,000 annualized) for the quarter ended March 31, 2012 and $207,000 ($828,000 annualized) for the same quarter last year. Non cash stock option expense was $30,000 for the quarter ended December 31, 2012 as compared to $0 for the same period last year.

  • On a year-to-date basis, the Bank had a net operating profit of $266,000, as compared to $365,000 for the same period last year.

  • Earnings, before non-cash expenses of depreciation and amortization, loan loss provisions, real estate owned write-downs and stock option expense were $841,000 for the year ended December 31, 2012, as compared to $1,039,000 for the same period last year. Non cash stock option expense was $120,000 for the year just ended, as compared to $4,000 for the same period last year.

  • The return on average assets for the quarter ended December 31, 2012 was 0.41%, as compared to 0.47% for the same quarter last year. The return on average equity for the quarter ended December 31, 2012 was 4.62%, as compared to 6.46% for the same quarter last year.

  • The return on average assets for the year ended December 31, 2012 was 0.36%, as compared to 0.72% for the same period last year. The return on average equity for the year ended December 31, 2012 was 4.29%, as compared to 8.64% for the same period last year.

  • Equity to assets at December 31, 2012 was 9.16% as compared to 7.34% at December 31, 2011. Regulatory Tier 1 leverage capital, based on average assets, was 8.80% as of December 31, 2012, as compared to 7.52% as of December 31, 2011. Regulatory Total Risk-Based Capital based on average assets was 12.92% as of December 31, 2012, as compared to 11.06% as of December 31, 2011.

  • Book value per share was $3.80 as of December 31, 2012, based on 1,630,821 shares outstanding.

  • Total assets decreased $9.4MM, or 12.2%, to $67.6MM at December 31, 2012, as compared to $77.0MM at December 31, 2011.

  • Cost of funds decreased 25.0% to 1.14% at December 31, 2012 as compared to 1.52% at December 31, 2011.

  • The net interest margin (interest income less interest expense divided by average earning assets) increased to 3.85% for the quarter ended December 31, 2012, as compared to 3.72% for the quarter ended December 31, 2011.

  • Loan loss reserves to total loans were 3.89% ($1.9MM) at December 31, 2012, as compared to 4.00% ($2.0MM) as of December 31, 2011.

  • Total liquidity as of December 31, 2012 was 19.7%, and available liquidity was 17.5%.

  • Non-performing assets decreased $2.6MM, or 30.2%, to $6.0MM at December 31, 2012 from $8.6MM at December 31, 2011. Non-performing assets to total assets at December 31, 2012 were 8.9% as compared to 11.2% at December 31, 2011.

President and Chief Executive Officer Jim Salisbury stated, "I am pleased to report that the Bank ended 2012 with continued improvement in many critical areas to enhance the financial condition of the Bank in these troubled economic and political times. Our $72,000 of earnings for this quarter represents our eighth consecutive profitable quarter. Our $265,000 of earnings for the year 2012 compares to $365,000 for 2011. Earnings for 2012 were reduced by the $120,000 non-cash expense of stock options, while 2011 was not so burdened. The grants of new stock options in 2012 were for the purpose of retaining, attracting and incentivizing Board members and key team members, and, when exercised, adds additional capital to the Bank. In 2012, $158,000 of new capital was obtained by the exercising of stock options. Stock option expense for 2013 will be minimal as compared to 2012. The combination of positive earnings for two consecutive years and the addition of the new capital have increased the Bank's capital to assets by 39.6%, to 9.16% at December 31, 2012 from a low of 6.56% at December 31, 2010. The Bank's net interest income did decline by $200,000 year over year due primarily to the reduction in gross loans and lower yields on new and refinanced loans. The $200,000 reduction in net interest income was mitigated by a reduction in operating expenses of $100,000 and an increase in other loan related fee income of $110,000.

"The Bank continues to work diligently to address non-performing assets. As noted above non-performing assets decreased $2.6MM, or 30.2%, to $6.0MM at December 31, 2012 from $8.6MM at December 31, 2011. The Bank was able to sell $1.2MM of repossessed property during 2012 while not adding any new repossessed property. While gross loans declined $2.2MM year over year from $50.6MM at December 2011 to $48.4MM at December 31, 2012, several non-performing loans were part of the reduction when paid down or charged off. The Bank did originate and refinance $10.5MM of loans in 2012.

"In order to maximize the Bank's earnings and capital the Bank continued to reduce its asset size. Total assets decreased $9.4MM, or 12.2%, to $67.6MM at December 31, 2012, as compared to $77.0MM at December 31, 2011. Cash and cash equivalents decreased $5.6MM, gross loans decreased $2.2MM, repossessed assets decreased $1.2MM and other assets decreased $400,000. The cash and cash equivalent decrease was primarily due to the intentional reduction of out of market certificates of deposits and Federal Home Loan Bank borrowings. Lower yielding short term investments were allocated to pay off higher cost maturing certificates of deposits and Federal Home Loan Bank borrowings during 2012, which has helped reduce the Bank's cost of funds by 25% and increase the net interest margin.

"The Bank again added $60,000 for the quarter just ended to its allowance for loan loss reserve. Year to date the provision was $238,000. The allowance for loan losses totals $1.9MM at December 31, 2012. This is 3.89% of gross loans and is available to act as a cushion to absorb potential losses on existing troubled loans.

"The Bank continued to successfully reduce its cost of funds. Cost of funds decreased 25.0% to 1.14% at December 31, 2012 as compared to 1.52% at December 31, 2011.

"Nearly twenty cents of every dollar is held in domestic liquid assets to cushion the Bank from a rising interest rate environment and to allow for the funding of new loans. In addition, at December 31, 2012, transaction checking accounts have increased $2.4MM, or 24.2%, year over year.

"The Western Montana economy continues to present challenges to the Bank in its efforts to dispose of its remaining repossessed property and certain portions of its loan portfolio. Additional write downs of repossessed developed lots may be required to liquidate them in the future if demand for them does not improve. However, recently there continues to be a slight improvement in the Western Montana economy. With this improved economic outlook, positive earnings and the $1.9MM in loan loss reserves, the Bank is hopeful that its non-performing assets will continue to decline. The continued easing by the Federal Reserve could result in a continued decrease in net interest income for the Bank and could put added pressure on the Bank's earnings. On the other side, if the Federal Reserve were to discontinue its policy of easing and adding liquidity to the markets, or the United States deficits are not meaningfully reduced, then interest rates could increase. This could reduce the Bank's loan fee income associated with the origination of mortgage loans and put pressure on the Bank's cost of funds. However, we will continue to work diligently to improve the asset quality of the Bank, generate profits to enhance stockholders' equity and retain adequate liquidity in these uncertain economic times. The Bank has made great progress in the last two years and is in the position to once again grow its asset base with quality loans funded by core deposits in 2013 and beyond."

For more information regarding this release, or the Bank in general, you may contact James A. Salisbury, President and CEO, at 406-543-8700.

About Treasure State Bank
Treasure State Bank, a Montana chartered community bank, is headquartered in Missoula, Montana. The Bank was founded in January 2007. Treasure State Bank currently trades on the OTCQB under the ticker symbol "TRSU." Treasure State Bank serves businesses, professionals, non-profit organizations and individuals through customized banking services and products. For more information, please visit www.treasurestatebank.com.

Safe Harbor Statement
This communication contains statements that may constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of Treasure State Bank and members of its management as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that could cause actual results to differ materially from those in forward-statements include fluctuation of operating results, the ability to compete successfully, and the ability to complete before-mentioned transactions. The Bank undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
SYS-CON Events announced today that SoftLayer, an IBM Company, has been named “Gold Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2016, at the Javits Center in New York, New York. SoftLayer, an IBM Company, provides cloud infrastructure as a service from a growing number of data centers and network points of presence around the world. SoftLayer’s customers range from Web startups to global enterprises.
"delaPlex is a software development company. We do team-based outsourcing development," explained Mark Rivers, COO and Co-founder of delaPlex Software, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
SYS-CON Events announced today that CA Technologies has been named “Platinum Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY, and the 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. CA Technologies helps customers succeed in a future where every business – from apparel to energy – is being rewritten by software. From ...
SYS-CON Events announced today that Technologic Systems Inc., an embedded systems solutions company, will exhibit at SYS-CON's @ThingsExpo, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Technologic Systems is an embedded systems company with headquarters in Fountain Hills, Arizona. They have been in business for 32 years, helping more than 8,000 OEM customers and building over a hundred COTS products that have never been discontinued. Technologic Systems’ pr...
In his keynote at @ThingsExpo, Chris Matthieu, Director of IoT Engineering at Citrix and co-founder and CTO of Octoblu, focused on building an IoT platform and company. He provided a behind-the-scenes look at Octoblu’s platform, business, and pivots along the way (including the Citrix acquisition of Octoblu).
SYS-CON Events announced today that Loom Systems will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Founded in 2015, Loom Systems delivers an advanced AI solution to predict and prevent problems in the digital business. Loom stands alone in the industry as an AI analysis platform requiring no prior math knowledge from operators, leveraging the existing staff to succeed in the digital era. With offices in S...
SYS-CON Events announced today that HTBase will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. HTBase (Gartner 2016 Cool Vendor) delivers a Composable IT infrastructure solution architected for agility and increased efficiency. It turns compute, storage, and fabric into fluid pools of resources that are easily composed and re-composed to meet each application’s needs. With HTBase, companies can quickly prov...
SYS-CON Events announced today that Cloud Academy will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Cloud Academy is the industry’s most innovative, vendor-neutral cloud technology training platform. Cloud Academy provides continuous learning solutions for individuals and enterprise teams for Amazon Web Services, Microsoft Azure, Google Cloud Platform, and the most popular cloud computing technologies. Ge...
SYS-CON Events announced today that T-Mobile will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. As America's Un-carrier, T-Mobile US, Inc., is redefining the way consumers and businesses buy wireless services through leading product and service innovation. The Company's advanced nationwide 4G LTE network delivers outstanding wireless experiences to 67.4 million customers who are unwilling to compromise on ...
SYS-CON Events announced today that CrowdReviews.com has been named “Media Sponsor” of SYS-CON's 20th International Cloud Expo, which will take place on June 6–8, 2017, at the Javits Center in New York City, NY. CrowdReviews.com is a transparent online platform for determining which products and services are the best based on the opinion of the crowd. The crowd consists of Internet users that have experienced products and services first-hand and have an interest in letting other potential buyers...
SYS-CON Events announced today that Infranics will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Since 2000, Infranics has developed SysMaster Suite, which is required for the stable and efficient management of ICT infrastructure. The ICT management solution developed and provided by Infranics continues to add intelligence to the ICT infrastructure through the IMC (Infra Management Cycle) based on mathemat...
SYS-CON Events announced today that Interoute, owner-operator of one of Europe's largest networks and a global cloud services platform, has been named “Bronze Sponsor” of SYS-CON's 20th Cloud Expo, which will take place on June 6-8, 2017 at the Javits Center in New York, New York. Interoute is the owner-operator of one of Europe's largest networks and a global cloud services platform which encompasses 12 data centers, 14 virtual data centers and 31 colocation centers, with connections to 195 add...
SYS-CON Events announced today that Cloudistics, an on-premises cloud computing company, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Cloudistics delivers a complete public cloud experience with composable on-premises infrastructures to medium and large enterprises. Its software-defined technology natively converges network, storage, compute, virtualization, and management into a ...
SYS-CON Events announced today that SD Times | BZ Media has been named “Media Sponsor” of SYS-CON's 20th International Cloud Expo, which will take place on June 6–8, 2017, at the Javits Center in New York City, NY. BZ Media LLC is a high-tech media company that produces technical conferences and expositions, and publishes a magazine, newsletters and websites in the software development, SharePoint, mobile development and commercial UAV markets.
Now that the world has connected “things,” we need to build these devices as truly intelligent in order to create instantaneous and precise results. This means you have to do as much of the processing at the point of entry as you can: at the edge. The killer use cases for IoT are becoming manifest through AI engines on edge devices. An autonomous car has this dual edge/cloud analytics model, producing precise, real-time results. In his session at @ThingsExpo, John Crupi, Vice President and Eng...
There are 66 million network cameras capturing terabytes of data. How did factories in Japan improve physical security at the facilities and improve employee productivity? Edge Computing reduces possible kilobytes of data collected per second to only a few kilobytes of data transmitted to the public cloud every day. Data is aggregated and analyzed close to sensors so only intelligent results need to be transmitted to the cloud. Non-essential data is recycled to optimize storage.
"I think that everyone recognizes that for IoT to really realize its full potential and value that it is about creating ecosystems and marketplaces and that no single vendor is able to support what is required," explained Esmeralda Swartz, VP, Marketing Enterprise and Cloud at Ericsson, in this SYS-CON.tv interview at @ThingsExpo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Microservices are a very exciting architectural approach that many organizations are looking to as a way to accelerate innovation. Microservices promise to allow teams to move away from monolithic "ball of mud" systems, but the reality is that, in the vast majority of organizations, different projects and technologies will continue to be developed at different speeds. How to handle the dependencies between these disparate systems with different iteration cycles? Consider the "canoncial problem" ...
Why do your mobile transformations need to happen today? Mobile is the strategy that enterprise transformation centers on to drive customer engagement. In his general session at @ThingsExpo, Roger Woods, Director, Mobile Product & Strategy – Adobe Marketing Cloud, covered key IoT and mobile trends that are forcing mobile transformation, key components of a solid mobile strategy and explored how brands are effectively driving mobile change throughout the enterprise.
As businesses adopt functionalities in cloud computing, it’s imperative that IT operations consistently ensure cloud systems work correctly – all of the time, and to their best capabilities. In his session at @BigDataExpo, Bernd Harzog, CEO and founder of OpsDataStore, will present an industry answer to the common question, “Are you running IT operations as efficiently and as cost effectively as you need to?” He will expound on the industry issues he frequently came up against as an analyst, and...