MCCALL, ID — (Marketwire) — 07/25/11 — Today Idaho First Bank (OTCQB: IDFB) reported financial results for the first half of 2011. “The Bank has achieved its best performance during the quarter ended June 30, 2011. Despite lower than anticipated loan volume we continue to see steady improvement in the operations of the Bank,” stated Greg Lovell, President and Chief Executive Officer. Chairman Mark Miller added, “We still have progress to make and the Board and Management continues its diligent work towards achieving profitable operations during the remainder of this year.”
The Bank reported a loss of $269,000 for the first half of 2011 compared to a loss of $1,405,000 for the corresponding period in 2010. The trend of reducing losses continued during the second quarter as the loss for the second quarter of 2011 was $126,000 compared to a loss of $143,000 in the first quarter of 2011 and a loss of $896,000 in the second quarter of 2010. The quarterly loss was the smallest loss in the Bank-s history.
The year-to-year improvement came from improving credit trends resulting in a decline in the provision for loan losses, increases in mortgage banking income and reduced non-interest expenses. The provision for the first six months of 2011 was $210,000 compared to $1,000,000 in the first half of 2010. “We are pleased to see continuing improvement in our mortgage income and close management of our non-interest expenses. We believe that these areas, combined with improving credit portfolio indicators, will help the Bank to achieve sustainable profitability,” stated President Lovell.
Nonperforming assets declined from $2.8 million at June 30, 2010, to $1.8 million at June 30, 2011. Greg Lovell, President of the Bank, commented, “We are gratified by the significant drop in nonperforming assets. We feel that the Bank has survived the worst of the economic crisis and that nonperforming assets can continue to improve.” He cautioned however, “The on-going economic condition of our primary market continues under stress and could adversely affect future performance.”
Stockholders- equity was $4.6 million at June 30, 2011, or 6% of assets. Book value per share was 57 cents per share. The Bank continues efforts to raise capital with a goal of capital reaching 10% of assets.
Idaho First Bank is a state-chartered commercial bank that opened for business in October 2005. Its headquarters are located in McCall, Idaho, with a loan production office in downtown Boise.
This release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 (“PSLRA”). Such forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those projected. These risks and uncertainties include, but are not limited to, economic conditions, the regulatory environment, loan concentrations, vendors, employees, technology, competition, and interest rates. Readers are cautioned not to place undue reliance on the forward-looking statements. Idaho First Bank has no obligation to publicly update the forward-looking statements after the date of this release. This statement is included for the express purpose of invoking PSLRA-s safe harbor provisions.
Contacts:
Greg Lovell
208.630.2001
Don Madsen
208.947.0430