Clatsop Community Bank Reports First Quarter 2014 Results


Joe Schulte, President and Chief Executive Officer 503.738.8000 or

Seaside, OR – Clatsop Community Bank (OTC: CLAT), reports a net profit of $47,000 or $0.04 per diluted share, for the three months ended March 31, 2014, compared to net profit of $37,000, or $0.04 per diluted share, for the same three-month period in 2013. On a pre-tax basis, net profit totaled $82,000 for the three months ended March 31, 2014, compared to a pre-tax net profit of $39,000 for the same three-month period in 2013.

“As the nation emerges from the difficult economic cycle that posed significant challenges for our industry, we continue to see income growth and positive results from our efforts,” President and CEO Schulte said.

Year-to-Date 2014 Financial Highlights:

Return on Average Assets (ROAA): 0.28%
Net Interest Margin (TE)(NIM): 4.06%
Efficiency Ratio: 85.67%


Total assets of $69.4 million as of March 31, 2014 increased $5.2 million, or 8.09%, from the $64.2 million in assets as of March 31, 2013.

Loans net of unearned income increased $3.0 million to $41.6 million at March 31, 2014, or 7.8% from the $38.6 million at March 31, 2013. The allowance for loan losses as of March 31, 2014 at $539,000, or 1.28% of loans, was less than the $571,000, or 1.46% of loans as of March 31, 2013. Year-to-date 2014, the Bank had $10,000 in loan charge-offs with no loan recoveries, compared to the same three-month period in 2013 when there were no loan charge-offs or recoveries.

Other real estate owned (OREO) at $139,000 as of March 31, 2014 decreased $34,000 compared to March 31, 2013 as the Bank sold several pieces of property. Nonaccrual loans represented 0.37% of loans net of unearned income as of March 31, 2014, compared to 2.60% of loans net of unearned income as of March 31, 2013.

“Our loan portfolio is performing well, and we are seeing improvement in key loan quality metrics,” Schulte said.

As of March 31, 2014 the Bank has over $15.1 million of excess cash and unpledged securities. This provides ample opportunities for loan growth.

Deposits and Other Liabilities

Total deposits were $60.4 million as of March 31, 2014, which is an increase of $3.7 million, or 6.52%, compared to the $56.7 million in total deposits as of March 31, 2013. Non-interest-bearing deposits increased by $4.1 million or 35.9%, while interest-bearing deposits decreased by $400,000, or 8.9%.

Total borrowings totaled $1.5 million as of March 31, 2014. These borrowings all have maturities of less than one year. There were no borrowings outstanding as of March 31, 2013.

Schulte states, “We are pleased to build on our record of market share gains in such a competitive environment. Our primary market very clearly values the local community bank model.”  


Net-interest income continues to grow year-over-year. At $626,000 for the three months ended March 31, 2014, net interest income was $46,000 higher, or 7.9% more than the $580,000 in net-interest income for the same period 2013. Net interest margin (TE) at 4.06% for the three months ended March 31, 2014 was seven basis points higher than the previous year.

Non-interest income for the three months ended March 31, 2014 at $44,000 was unchanged from the same period in 2013. Non-interest expense for the three months ended March 31, 2014, at $578,000, was $53,000 higher than for the same period in 2013.

CFO McCoy stated, “We are pleased with our consistent growth in net-interest income, particularly given the difficult interest rate environment. At a time when the industry is still experiencing net-interest margin compression, we are expanding our net-interest income. This really speaks to the quality of our lending team.”

Equity and Capital

Stockholders’ equity, at $7.3 million as of March 31, 2014, increased $127,000 compared to March 31, 2013.  The bank remains categorized as well-capitalized under the regulatory framework for prompt corrective action. The Bank’s tier-one leverage ratio was 10.95% as of March 31, 2014, compared to 11.23% as of March 31, 2013, while its total risk-based capital ratio was 16.57% as of March 31, 2014, compared to 16.98% as of March 31, 2013. To be well-capitalized under prompt corrective action provisions, the bank must maintain a tier-one leverage ratio of greater than 5.0%, and a total risk-based capital ratio of greater than 10.0%.


About Clatsop Community Bank:

Information about the Company’s stock may be obtained through the OTCQB marketplace at Clatsop Community Bank’s stock symbol is CLAT.

Clatsop Community Bank was formed in 2008 in order to serve Clatsop County and neighboring counties as the only locally-owned and operated Bank. The Bank has been named among the “100 Best Companies to Work for in Oregon” by Oregon Business Magazine for 2009, 2010, 2011, 2012 and 2013.

For more information about Clatsop Community Bank, visit our website at Information contained in or linked to our website is not incorporated as a part of this release.

Certain statements in this release may constitute forward-looking statements within the definition of the “safe-harbor” provisions of Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are subject to significant uncertainties, which could cause actual results to differ materially from those set forth in such statements. Forward-looking statements are those that incorporate management’s current expectations and plans based on information currently known to them. These statements can sometimes be identified by words such as “believe,” “estimate,” “anticipate,” “expect,” “intend,” “will,” “may,” “should,” or other similar phrases or words. Readers are cautioned not to place undue reliance on forward-looking statements. In particular, they should not be construed as assurances of a given level of performance or as promises of a given set of management’s actions. Some of the factors that could cause management to deviate from its current plans, or could cause the Company’s results to differ from current expectations, include the effect of localized or regional economic shifts that may affect the collectability of loans or the value of the collateral underlying those loans; the effects of laws, regulations, policies and government actions upon the Company’s assets and operations; sensitivity to the Northwestern Oregon geographic markets and events affecting those markets; and the impacts of new government initiatives upon us and our borrowers. The Company does not intend to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events. 

Clatsop Community Bank’s stock ticker symbol is CLAT and is traded OTC.  For more information regarding stock transactions, please contact your broker or Joey Warmenhoven at McAdams/Wright/Ragen, 800-754-2841.