MEDFORD, Ore., May 11, 2009 (GLOBE NEWSWIRE) -- PremierWest Bancorp
(Nasdaq:PRWT) announced results for the first quarter ending March 31, 2009 as
follows:
* Assets up $20.8 million, or 1.41 percent, during the first quarter
of 2009 to $1.5 billion.
* Net loss applicable to common shareholders of $4.0 million compared
to a restated net loss of $11.3 million for the fourth quarter
ended December 31, 2008 and net income of $1.7 million for the year
earlier quarter.
* Loss per share of $0.17 versus a loss of $0.47 per share for the
three months ending December 31, 2008 and fully diluted earnings per
share of $0.08 per share for the quarter ended March 31, 2008.
* Net interest margin of 4.41 percent compared to 4.28 percent for
the quarter ended December 31, 2008 and 4.99 percent for the three
months ended March 31, 2008.
* March 31, 2009 loan loss reserve expands to 2.07 percent of total
loans from 1.38 percent at year end 2008.
* Non-performing loans at $84.0 million or 6.77 percent of total
loans compared to $82.6 million or 6.62 percent of total loans at
December 31, 2008.
* Provision for loan losses of $10.7 million versus a restated
$23.5 million for the fourth quarter of 2008.
* Net charge-offs of $2.2 million compared to a restated
$27.3 million in the preceding quarter.
* Non-interest bearing demand deposits at 18.84 percent of total
deposits anchoring a stable deposit base.
* Risk-based capital at Bancorp is 13.80% and 13.63% at Bank.
In referring to financial results for the quarter ended March 31, 2009, James M.
Ford, PremierWest's President & Chief Executive Officer, stated, "We are focused
on growing earnings and moving the Company ahead through whatever economic
circumstance we face. While many commentators anticipated the beginnings of an
economic recovery earlier than what appears to be occurring, we remain well
capitalized and will seize the opportunities that lie ahead. We have worked
diligently to create the franchise that we currently hold, and we believe that
this will provide a substantial base for growth in the future. Our pending
acquisition of branches in Davis and Grass Valley, California, will further
strengthen our strong core deposit base. This base will provide liquidity as we
look at investment portfolio additions and loan opportunities that exist
throughout our territory."
LOANS AND DEPOSITS
Loans as of March 31, 2009 were $1.2 billion, down $7.6 million or 0.60 percent
from December 31, 2008. The decline in loan volume during the most recently
completed quarter reflects $5.1 million in loan pay offs net of loan
originations and loan charge-offs of $2.5 million. New loan generation is
continuing in the current environment, but the effect is being offset by
borrower pay downs.
Deposits at March 31, 2009 were $1.2 billion, increasing $28.0 million or 2.32
percent from the December 31, 2008 total. Non-interest bearing deposits totaled
$233.4 million, 18.84 percent of total deposits, and reflected an annualized
growth rate of 8.2 percent compared to the prior quarter. Joe Danelson,
Executive Vice President & Chief Banking Officer, stated, "Our continuing focus
on non-interest bearing demand deposits has resulted in new accounts growing at
almost twice the historical rate and an increase in total demand deposit volume
during a quarter when we have historically seen declines. These accounts provide
the best possible cross-sale opportunity when combined with our customer service
focus."
NET INTEREST INCOME
Net interest income for the quarter ended March 31, 2009 increased compared to
the prior quarter as did net interest margin. Net interest income increased
$346,000 over the quarter ending December 31, 2008. Net interest margin expanded
to 4.41 percent from the previous quarter of 4.28 percent. Market interest rates
declined dramatically from the same period last year and were held at low levels
during the current quarter by the Federal Reserve to stimulate the economy. The
interest rate environment affected both our yield on earning assets and our cost
of interest-bearing deposits. Our yield on earning assets averaged 6.14 percent,
down 14 basis points from the preceding quarter ended December 31, 2008. Our
cost of interest bearing deposits and borrowings similarly fell 31 basis points
from 2.50 percent in the preceding quarter to 2.19 percent in the most recent
quarter. These changes resulted in an interest spread of 3.95 percent during the
current quarter ended March 31, 2009, up 17 basis points from 3.78 percent
recorded during the immediately preceding quarter.
Net interest margin was adversely affected by interest reversals on loans placed
on non-accrual status during the quarter. Interest reversals totaled $169,000
and reduced net interest margin by 5 basis points. The first quarter 2009
interest reversal compares favorably with the fourth quarter reversal of
$702,000.
NON-INTEREST INCOME
During the first quarter of 2009, PremierWest had non-interest income of $2.5
million, a decrease of $141,000 or 5.41 percent from the fourth quarter of 2008.
The decrease was primarily a result of a $158,000 decline in deposit services
charges, predominantly in NSF fees.
NON-INTEREST EXPENSE
Non-interest expense for the quarter ending March 31, 2009 was $12.6 million, an
increase of $719,000 or 6.05 percent over the preceding quarter. Primary factors
driving the increase included a $290,000 increase in our FDIC assessment, a
$339,000 seasonal increase in normal accounting fees, and a $199,000 increase in
legal and professional fees, which were offset by reduced occupancy and other
non-interest expense. With the exception of the increase in FDIC assessment
charges, we expect other expense categories to stabilize at lower levels as
various cost reduction programs we have implemented take effect.
CREDIT QUALITY
During the quarter ending March 31, 2009, we elected to continue to build our
allowance for loan loss to position the company more conservatively in
relationship to potential distress in our loan portfolio. The loan loss reserve
as a percentage of total loans was increased from 1.38 percent at December 31,
2008 to 2.07 percent at the end of the currently completed period. The ratio of
loan loss reserve to nonperforming loans concurrently grew from 20.77 percent at
year end 2008 to 30.54 percent at March 31, 2009. Our credit teams are working
diligently with borrowers to assist them with their obligations until economic
and real estate conditions improve.
Total nonperforming assets were $93.4 million at March 31, 2009, up from $87.0
million as of December, 31, 2008, and represent 6.24 percent of total assets.
The nonperforming assets include $9.4 million in other real estate owned as of
March 31, 2009, up from $4.4 million as of December 31, 2008. Nonperforming
loans, totaling $84.0 million, are concentrated in fifteen relationships
comprising $66.5 million or 79.17 percent of the total.
The first relationship consists of multiple loans secured by improved lots and a
nearly complete single family residence in northern California. This
relationship now totals $5.6 million following a $1.2 million loan pay down
during 2008 and our decision to charge off the remainder of the impairment
during 2008. Foreclosure by another lender against our guarantor on an adjacent
property and the borrower filing personal bankruptcy led to the actions we have
taken. We are working through the bankruptcy and are pre-marketing the property.
We do not expect further impairment based on the reduced book value of the
loans.
The second non-performing relationship consists of loans secured with
undeveloped property in central and northern California. Foreclosure on the
northern California property was completed in the second quarter of 2008 with a
charge-off of $1.3 million and the remaining $1.0 million balance included as
other real estate owned. The second credit consists of a $4.5 million loan
secured by undeveloped real estate with a significant loan from a third-party
investor group in second position behind our lien. The guarantor continued to
keep this loan current while both parties negotiated a workout. We had
previously established a specific reserve for impairment on this credit, which
was charged-off as of December 2008. The non-performing balance is currently at
$1.0 million. Management believes no further impairment will be necessary given
the conservative actions already taken.
The third relationship is currently being carried at $2.2 million and is
comprised of multiple loans secured by approved residential building lots and by
completed and partially completed residential units, all situated in southern
and central Oregon. The Bank has taken possession of the properties, and a
stipulated deficiency was accepted by the borrower. The balance will be
transferred to other real estate owned as of April 2009. The Bank is currently
marketing the properties.
The fourth nonperforming credit relationship consists of multiple notes
currently totaling $13.7 million, all secured by commercial property including
two assisted living facilities, commercially zoned land and a non-owner occupied
commercial building. Three of the properties are in Oregon and one in northern
California. The borrowers have experienced severe cash flow difficulties and are
attempting to sell assets, and the lead guarantor has filed personal bankruptcy.
We have obtained updated appraisals on the properties and, as a result, have
charged-off a small impaired balance. Negotiations with the bankruptcy court and
three outside parties interested in purchasing three of the four properties
continue and are expected to be successful.
The fifth relationship consists of two non-performing loans currently totaling
$2.3 million. This relationship is secured by two residential developments in
central Oregon. Based on updated appraisals specific impairments were
charged-off in December 2008. No additional impairment is expected. Negotiations
with the borrower continues while the foreclosure is progressing.
The sixth relationship consists of multiple non-performing loans currently
totaling $6.2 million. This borrower had been impacted by a real estate related
business that failed with the downturn of the mortgage lending industry. The
borrower had been working with all of his creditors to establish an orderly plan
to sell assets. Our collateral consists of residential development lots, a
utility system infrastructure and other commercial property in Southern Oregon.
We had agreed to a restructure of this credit although this has not been
successful, and foreclosure has been initiated. Based on current collateral
values, we anticipate no loss at this time.
The seventh credit relationship consists of four non-performing loans totaling
$3.1 million. The borrower is deceased, and the estate has been uncooperative to
date. Our collateral consists of residential lots and raw commercial land in
northern California. Current appraisals have been received and impairments were
charged-off in 2008 with legal action commenced during the first quarter of
2009. The estate of this borrower has strong net worth and liquid assets.
The eighth credit relationship consists of two matured loans currently totaling
$8.0 million. The loans are secured by a commercial building and commercial real
estate in Central Oregon. The borrower had requested an extension of time to
develop the project, which required a new appraisal. The appraised value was
below the loan balances and the guarantors have pledged to either pay down the
loans with a cash infusion or provide additional collateral. A significant
guarantor is deceased and negotiations with the remaining guarantors continued
over quarter end. An impairment has been established based on the appraised
value, although successful negotiations are expected which should bring this
loan back into a performing status once a paydown has occurred or additional
collateral has been pledged.
A ninth relationship consists of eight non-performing loans currently at $2.9
million on various commercial properties and single family residences in the
Rogue Valley of Oregon. The borrower and guarantors have been attempting to sell
property to reduce debt while attempting to keep the loans current or within 60
days past due. The relationship was placed on non-accrual given severe
delinquency of some of the loans. New appraisals have been ordered and an
initial impairment established as of the end of 2008. The borrowers continue to
make payments.
The tenth relationship, currently at $4.0 million, consists of loans secured by
various commercial properties in Southern Oregon. The borrower and guarantors
have experienced cash flow difficulties and payments are slow and promised
property sales have not materialized. An impairment was established in December
and current appraisals have been ordered.
The eleventh relationship involves a construction loan in Central Oregon where
construction began on four-plex single family residences as part of a larger
construction project. The borrower has been unable to sell the completed homes
and updated appraisals indicated that the value of the project had declined.
Negotiations to add additional collateral were undertaken during the first
quarter and the loan placed on non-accrual until an acceptable plan can be
negotiated with the borrowers. This loan currently has $1.3 million outstanding
after an impairment was charged off.
A twelfth relationship totaling $2.7 million includes collateral consisting
primarily of a commercial building and two completed residences in Southern
Oregon. The borrower has been impacted by the decline in the construction
industry and has been attempting to sell assets and keep payments current from
other construction contracts. The loans have been frequently delinquent and all
known sources of repayment including restructuring loans have been exhausted.
The loans were placed on non-accrual during 2008, and legal means for obtaining
the collateral for sale are being pursued.
A thirteenth relationship totaling $1.3 million was put on non-accrual during
the first quarter of 2009. This was the result of negotiations to restructure
the credit that had gone beyond 90 days past due. The credit has been
restructured and payments made as agreed since January. As long as payments
continue in line with the stipulated payment schedule, the credit will be
re-classified as performing during the next quarter.
The fourteenth relationship is a group of loans totaling $6.9 million to a
developer in Northern California. This credit relationship, which is secured by
land and completed single family residences, was placed on non-accrual due to a
current appraisal showing insufficient collateral for the loans. The loan is
paying in accordance with its terms and the borrower has agreed to pledge
additional collateral, which is expected to return the relationship to
performing status.
A fifteenth loan to a developer in Northern California is secured by nearly
completed single family residences and lots yet to be developed. The credit with
an outstanding balance of $5.3 million was placed on non-accrual due to an
appraisal showing insufficient collateral for the loan. Loan payments are
occurring as agreed. A new appraisal has been ordered and a specific impairment
has been established for the credit.
Rich Hieb, Senior Executive Vice President & Chief Operating Officer commented,
"We now recognize that the lingering effects on some of our customers may be in
evidence throughout 2009, but on a diminishing basis. Our credit teams are
working diligently with borrowers to assist them with their obligations until
economic and real estate conditions improve. We also believe that the
significant charge-offs and loan write-downs that regulatory guidance and
current practice mandate will ultimately provide favorable recovery
opportunities in those instances where we have been required to foreclose on
real estate collateral and write down loan balances based on distressed
collateral values."
CAPITAL
PremierWest Bank was "Well Capitalized" under all regulatory standards at March
31, 2009, with a risk-based capital ratio of 13.63 percent. Regulatory
authorities require a minimum risk based capital ratio of 10.0 percent to
qualify as "Well Capitalized."
James M. Ford commented, "We were approved and received $41.4 million from the
U.S. Department of Treasury under its Capital Purchase Program (CPP) during
February of this year. The original intent of the CPP was to promote and support
confidence in the nation's banking system and to promote a general resumption of
lending. Since receiving the funding we have initiated a small business lending
program that is gaining momentum in the communities we serve. We plan to roll
out other new loan programs to accelerate lending activities as conditions
allow."
ABOUT PREMIERWEST BANCORP
PremierWest Bancorp (Nasdaq:PRWT) is a financial services holding company
headquartered in Medford, Oregon, and operates primarily through its subsidiary
PremierWest Bank. PremierWest Bank offers expanded banking-related services
through two subsidiaries, Premier Finance Company and PremierWest Investment
Services, Inc.
PremierWest Bank was created following the merger of the Bank of Southern Oregon
and Douglas National Bank in May, 2000. In April, 2001, PremierWest Bancorp
acquired Timberline Bancshares, Inc. and its wholly-owned subsidiary, Timberline
Community Bank, with eight branch offices located in Siskiyou County in northern
California. In January, 2004, PremierWest acquired Mid Valley Bank with five
branch offices located in the northern California counties of Shasta, Tehama and
Butte. In January 2008, PremierWest acquired Stockmans Financial Group, and its
wholly owned subsidiary, Stockmans Bank, with five full service banking offices
in the Sacramento, California area. During the last several years, PremierWest
expanded into the Klamath Falls and Central Oregon communities of Bend and
Redmond, and into Yolo, Butte, and Placer counties in California.
DISCLOSURE REGARDING FORWARD-LOOKING STATEMENTS
This press release includes forward-looking statements within the meaning of the
"Safe-Harbor" provisions of the Private Securities Litigation Reform Act of
1995, which management believes are a benefit to shareholders. These statements
are necessarily subject to risk and uncertainty and actual results could differ
materially due to certain risk factors, including those set forth from time to
time in PremierWest's filings with the SEC. You should not place undue reliance
on forward-looking statements and we undertake no obligation to update any such
statements. We make forward-looking statements in this press release about the
prospects for earnings growth, deposit and loan growth, capital levels, our
dividend program, expected peer rankings, the effective management of our credit
quality, the collectability of identified non-performing loans and the adequacy
of our Allowance for Loan Losses.
PREMIERWEST BANCORP
FINANCIAL HIGHLIGHTS
(All amounts in 000's, except per share data)
(unaudited)
EARNINGS (LOSS) AND PER COMMON SHARE DATA
For the Three Months Ended
March 31 2009 2008 Change % Change
---------- ---------- --------- --------
Interest income $ 20,059 $ 22,955 $ (2,896) -12.6%
Interest expense 5,666 7,871 (2,205) -28.0%
---------- ---------- ---------
Net interest income 14,393 15,084 (691) -4.6%
Loan loss provision 10,700 3,075 7,625 248.0%
Non-interest income 2,466 2,283 183 8.0%
Non-interest expense 12,601 11,524 1,077 9.3%
---------- ---------- ---------
Pre-tax income (loss) (6,442) 2,768 (9,210) -332.7%
Provision for income taxes (2,835) 965 (3,800) -393.8%
---------- ---------- ---------
Net income (loss) $ (3,607) $ 1,803 $ (5,410) -300.1%
========== ========== =========
Net income (loss) $ (3,607) $ 1,803 $ (5,410) -300.1%
Less preferred dividend (372) (69) (303) 439.1%
---------- ---------- ---------
Net income (loss) applicable
to common shareholders $ (3,979) $ 1,734 $ (5,713) -329.5%
========== ========== =========
Basic common earnings (loss)
per share(1) $ (0.17) $ 0.08 $ (0.25) -312.5%
========== ========== =========
Diluted common earnings
(loss) per share(1) $ (0.17) $ 0.08 $ (0.25) -312.5%
========== ========== =========
Average common shares
outstanding--basic(1) 23,600,242 21,942,908 1,657,334 7.6%
Average common shares
outstanding--diluted(1) 23,600,926 23,347,826 253,100 1.1%
For the
three months
ended
December 31,
2008 Change % Change
------------ ---------- --------
Interest income $ 20,623 $ (564) -2.7%
Interest expense 6,576 (910) -13.8%
------------ ----------
Net interest income 14,047 346 2.5%
Loan loss provision 23,450 (12,750) -54.4%
Non-interest income 2,607 (141) -5.4%
Non-interest expense 11,882 719 6.1%
------------ ----------
Pre-tax income (loss) (18,678) 12,236 65.5%
Provision for income taxes (7,403) 4,568 61.7%
------------ ----------
Net income (loss) $ (11,275) $ 7,668 68.0%
============ ==========
Net income (loss) $ (11,275) $ 7,668 68.0%
Less preferred dividend (69) (303) 439.1%
------------ ----------
Net income (loss) applicable to
common shareholders $ (11,344) $ 7,365 64.9%
============ ==========
Basic common earnings (loss) per
share(1) $ (0.47) $ 0.30 63.8%
============ ==========
Diluted common earnings (loss) per
share(1) $ (0.47) $ 0.30 63.8%
============ ==========
Average common shares
outstanding--basic(1) 23,936,972 (336,730) -1.4%
Average common shares
outstanding--diluted(1) 23,961,092 (360,166) -1.5%
(1) Share and per share amounts adjusted for the 5% stock dividend,
effective April 15, 2009.
SELECTED FINANCIAL RATIOS
(annualized)
For the
three months
ended
For the Three Months December 31,
Ended March 31 2009 2008 Change 2008 Change
------ ------ ------ ------------ ------
Yield on average gross
loans(1) 6.33% 7.69% (1.36) 6.37% (0.04)
Yield on average
investments(1) 2.22% 4.00% (1.78) 3.38% (1.16)
Total yield on average
earning assets(1) 6.14% 7.58% (1.44) 6.28% (0.14)
Cost of average interest
bearing deposits 2.11% 3.25% (1.14) 2.43% (0.32)
Cost of average
borrowings 3.88% 5.36% (1.48) 3.71% 0.17
Cost of average total
deposits and borrowings 1.79% 2.71% (0.92) 2.05% (0.26)
Cost of average interest
bearing liabilities 2.19% 3.34% (1.15) 2.50% (0.31)
Net interest spread 3.95% 4.24% (0.29) 3.78% 0.17
Net interest margin(1) 4.41% 4.99% (0.58) 4.28% 0.13
Net (charge-offs)
recoveries to average
loans -0.17% -0.02% (0.15) -2.15% 1.98
Allowance for loan losses
to loans 2.07% 1.61% 0.46 1.38% 0.69
Allowance for loan losses
to non-performing loans 30.54% 82.25% (51.71) 20.77% 9.77
Non-performing loans to
total loans 6.77% 1.95% 4.82 6.62% 0.15
Non-performing assets to
total assets 6.24% 1.69% 4.55 5.90% 0.34
Return on average common
equity -9.29% 4.17% (13.46) -24.66% 15.37
Return on average assets -0.98% 0.52% (1.50) -3.03% 2.05
Efficiency ratio(2) 74.74% 66.36% 8.38 71.35% 3.39
(1) Tax equivalent
(2) Non-interest expense divided by net interest income plus
non-interest income
PREMIERWEST BANCORP
FINANCIAL HIGHLIGHTS
(All amounts in 000's, except per share data)
(unaudited)
BALANCE SHEET
At March 31 2009 2008 Change % Change
---------- ---------- ---------- --------
Fed funds sold and
investments $ 78,678 $ 37,721 $ 40,957 108.6%
---------- ---------- ----------
Gross loans 1,239,287 1,261,614 (22,327) -1.8%
Allowance for loan losses (25,659) (20,264) (5,395) 26.6%
---------- ---------- ----------
Net loans 1,213,628 1,241,350 (27,722) -2.2%
Other assets 204,465 189,961 14,504 7.6%
---------- ---------- ----------
Total assets $1,496,771 $1,469,032 $ 27,739 1.9%
========== ========== ==========
Non-interest-bearing
deposits $ 233,447 $ 235,293 $ (1,846) -0.8%
Interest-bearing deposits 1,005,865 994,851 11,014 1.1%
---------- ---------- ----------
Total deposits 1,239,312 1,230,144 9,168 0.7%
Borrowings 30,965 31,281 (316) -1.0%
Other liabilities 12,079 18,631 (6,552) -35.2%
Stockholders' equity 214,415 188,976 25,439 13.5%
---------- ---------- ----------
Total liabilities and
stockholders' equity $1,496,771 $1,469,032 $ 27,739 1.9%
========== ========== ==========
Period end shares
outstanding 24,767,627 22,392,476 2,375,151 10.6%
Book value per share
(excluding preferred) $ 6.98 $ 8.02 $ (1.04) -13.0%
Tangible book value per
share (excluding
preferred) $ 4.05 $ 4.85 $ (0.80) -16.5%
Allowance for loan losses:
Balance beginning of
period $ 17,157 $ 11,450 $ 5,707 49.8%
Acquired from Stockmans
Bank merger -- 5,983 (5,983) nm
Provision for loan losses 10,700 3,075 7,625 248.0%
Net (charge-offs)
recoveries (2,198) (244) (1,954) 800.8%
---------- ---------- ----------
Balance end of period $ 25,659 $ 20,264 $ 5,395 26.6%
========== ========== ==========
Non-performing assets:
Loans on nonaccrual
status $ 69,045 $ 24,584 $ 44,461 180.9%
Impaired loans in process
of collection 14,207 -- 14,207 nm
Real estate owned 9,362 205 9,157 4466.8%
90-day past due not on
non-accrual 761 53 708 1335.8%
---------- ---------- ----------
Total non-performing
assets $ 93,375 $ 24,842 $ 68,533 275.9%
========== ========== ==========
Balance Sheet
at December 31,
2008 Change % Change
--------------- ---------- --------
Fed funds sold and investments $ 40,212 $ 38,466 95.7%
--------------- ----------
Gross loans 1,246,881 (7,594) -0.6%
Allowance for loan losses (17,157) (8,502) 49.6%
--------------- ----------
Net loans 1,229,724 (16,096) -1.3%
Other assets 206,018 (1,553) -0.8%
---------- -----
Total assets $ 1,475,954 $ 20,817 1.4%
========== =====
Non-interest-bearing deposits $ 228,788 $ 4,659 2.0%
Interest-bearing deposits 982,481 23,384 2.4%
--------------- ----------
Total deposits 1,211,269 28,043 2.3%
Borrowings 75,973 (45,008) -59.2%
Other liabilities 11,728 351 3.0%
Stockholders' equity 176,984 37,431 21.1%
--------------- ----------
Total liabilities and
stockholders' equity $ 1,475,954 $ 20,817 1.4%
=============== ==========
Period end shares outstanding 23,574,351 1,193,277 5.1%
Book value per share (excluding
preferred) $ 7.51 $ (0.53) -7.1%
Tangible book value per share
(excluding preferred) $ 4.42 $ (0.37) -8.4%
Allowance for loan losses:
Balance beginning of period $ 11,450 $ 5,707 49.8%
Acquired from Stockmans Bank
merger 9,112 (9,112) nm
Provision for loan losses 36,500 (25,800) -70.7%
Net (charge-offs) recoveries (39,905) 37,707 -94.5%
--------------- ----------
Balance end of period $ 17,157 $ 8,502 49.6%
=============== ==========
Non-performing assets:
Loans on nonaccrual status $ 68,496 $ 549 0.8%
Impaired loans in process of
collection 12,682 1,525 12.0%
Real estate owned 4,423 4,939 111.7%
90-day past due not on
non-accrual 1,437 (676) -47.0%
--------------- ----------
Total non-performing assets $ 87,038 $ 6,337 7.3%
=============== ==========
For the Three Months
Ended March 31 2009 2008 Change % Change
---------- ---------- ---------- --------
Average fed funds sold
and investments $ 61,132 $ 36,644 $ 24,488 66.8%
Average loans, gross $1,266,653 $1,186,600 $ 80,053 6.7%
Average total assets $ 1,489,512 $1,383,294 $ 106,218 7.7%
Average non-interest-
bearing deposits $ 234,259 $ 218,987 $ 15,272 7.0%
Average interest-bearing
deposits $ 997,552 $ 909,499 $ 88,053 9.7%
Average total deposits $1,231,812 $1,128,486 $ 103,326 9.2%
Average total borrowings $ 50,335 $ 39,309 $ 11,026 28.0%
Average stockholders'
equity $ 195,293 $ 173,692 $ 21,601 12.4%
Average common equity $ 173,619 $ 173,787 $ (168) -0.1%
For the
three months
ended
December 31,
2008 Change % Change
------------ ---------- --------
Average fed funds sold and
investments $ 42,056 $ 19,076 45.4%
Average loans, gross $ 1,266,929 $ (276) 0.0%
Average total assets $ 1,481,419 $ 8,093 0.5%
Average non-interest-bearing
deposits $ 231,710 $ 2,549 1.1%
Average interest-bearing deposits $ 991,895 $ 5,657 0.6%
Average total deposits $ 1,221,447 $ 10,365 0.8%
Average total borrowings $ 56,080 $ (5,745) -10.2%
Average stockholders' equity $ 189,375 $ 5,918 3.1%
Average common equity $ 183,016 $ (9,397) -5.1%
LOANS BY CATEGORY
(All amounts in 000's)
(unaudited)
3/31/2009 12/31/2008 9/30/2008 6/30/2008
----------------------------------------------
Agricultural/Farm $ 42,626 $ 48,640 $ 47,473 $ 60,009
Commercial and
Industrial 265,305 253,107 265,776 272,689
Commercial Real Estate
- Owner Occupied 261,646 265,965 253,668 246,048
Commercial Real Estate
- Non-Owner Occupied 556,075 567,119 592,125 584,328
Consumer/Other 113,635 112,050 109,495 110,604
----------------------------------------------
$1,239,287 $1,246,881 $1,268,537 $1,273,678
==============================================
Commercial Real Estate
Owner Occupied
--------------
Commercial Term $ 235,199 $ 236,951 $ 219,977 $ 211,532
Commercial Construction 16,370 16,778 20,284 20,001
Single Family
Residential
Construction
Oregon 1,180 1,599 1,071 1,271
California 8,897 10,637 12,336 13,244
----------------------------------------------
Total Owner Occupied $ 261,646 $ 265,965 $ 253,668 $ 246,048
==============================================
Non-Owner Occupied
------------------
Commercial Term $ 322,008 $ 321,168 $ 302,638 $ 300,737
Commercial Construction 41,602 45,155 62,491 64,519
Single Family
Residential
Construction
Oregon
Pre-Sold 1,359 1,100 3,093 2,962
Speculative 2,310 3,098 4,937 6,940
Builder Inventory 13,507 15,158 18,526 10,987
----------------------------------------------
Total Oregon 17,176 19,356 26,556 20,889
----------------------------------------------
California
Pre-Sold 1,718 1,977 1,779 701
Speculative 3,407 3,643 4,033 5,542
Builder Inventory 16,321 12,370 11,131 13,578
----------------------------------------------
Total California 21,446 17,990 16,943 19,821
----------------------------------------------
Commercial - Land
Acquisition and
Development 31,119 32,167 30,749 25,059
Commercial - Land Only 47,163 48,751 48,925 56,418
Residential - Land
Acquisition and
Development 75,561 82,532 103,823 96,885
----------------------------------------------
Total Non-Owner
Occupied $ 556,075 $ 567,119 $ 592,125 $ 584,328
==============================================
NONPERFORMING LOANS BY REGION AND TYPE
(All amounts in 000's)
(unaudited)
Other Real Estate Owned
By Geographic Region 3/31/2009 12/31/2008
-------------------- ----------------------
Central Oregon $ 2,111 $ --
Southern Oregon 5,368 2,540
Northern California -- --
Greater Sacramento 1,883 1,883
Other -- --
----------------------
Total Other Real Estate Owned $ 9,362 $ 4,423
======================
Non Performing Loans
By Geographic Region 3/31/2009 12/31/2008
-------------------- ----------------------
Central Oregon $ 13,947 $ 16,567
Southern Oregon 31,264 27,467
Northern California 15,166 18,376
Greater Sacramento 19,941 15,610
Other 3,695 4,595
----------------------
Total Nonperforming Loans $ 84,013 $ 82,615
======================
By Loan Type
------------
Agricultural/Farm $ 391 $ 493
Commercial and Industrial 4,003 5,154
Commercial Real Estate - Owner Occupied
Single Family Residential Construction
Oregon -- 162
California 439 439
Other 5,932 5,029
Commercial Real Estate - Non-Owner Occupied
Single Family Residential Construction
Oregon 8,729 9,595
California 14,269 9,715
Commercial - Land Acquisition and Development 11,208 7,164
Commercial - Land Only 1,498 1,498
Residential - Land Acquisition and
Development 14,224 14,601
Other 21,202 25,721
Consumer/Other 2,118 3,044
----------------------
Total Nonperforming Loans $ 84,013 $ 82,615
======================
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CONTACT: PremierWest Bank
John Anhorn, Chairman of the Board
(541) 618-6020
John.Anhorn@PremierWestBank.com
Jim Ford, President & Chief Executive Officer
(541) 618-6020
Jim.Ford@PremierWestBank.com
Rich Hieb, Sr. Executive Vice President & Chief Operating
Officer
(541) 618-6020
Rich.Hieb@PremierWestBank.com
Michael Fowler, Executive Vice President & Chief Financial
Officer
(541) 282-5291
Michael.Fowler@PremierWestBank.com
