EX-99.1 6 l89568aex99-1.txt EXHIBIT 99.1 1 Page 30 Exhibit 99.1 2 Page 31 FOR IMMEDIATE RELEASE For: Evans Bancorp, Inc.: contact Susan J. Herold, Vice President 14-16 North Main Street Angola, New York 14006 Phone (716) 549-1000 Fax (716) 549-0720 EVANS BANCORP ANNOUNCES SECOND QUARTER EARNINGS OF $0.30 PER SHARE ANGOLA, N.Y.--JULY 31, 2001 - Evans Bancorp, Inc. (Nasdaq: EVBN) reported net income of $650,000 or $0.30 per share for the three months ended June 30, 2001 as compared to $635,000 or $0.30 per share for the same time period in 2000. Year-to-date earnings through June 30, 2001 were $0.59 per share as compared to $0.56 per share for the same time period in 2000. All per share results reflect the recent 5 for 4 stock split. "The second quarter earnings were strong, especially in light of the unprecedented interest rate activity by the Federal Reserve Board in 2001," said President James Tilley. "We feel that we have managed the Company well through this period of interest rate volatility and it is well positioned for continued growth. With the additional expenses related to the early July listing of Evans Bancorp, Inc. stock on the Nasdaq National Market, I am pleased with the second quarter earnings." As a result of an action by the Financial Accounting Standards Board on June 29, 2001, effective January 1, 2002, the Company will no longer amortize goodwill that is recorded on its books, but will evaluate goodwill for impairment on at least an annual basis. Total Company earnings, excluding the after-tax effect of goodwill amortization, were $733,000 for the second quarter of 2001, up 15.2% from $636,000 in the second quarter of 2000. Earnings per share based on this measure rose 10.0% to $0.33 per share for the three months ended June 30, 2001 from $0.30 per share in the second quarter of 2000, primarily due to the effect of the M&W Agency which began operations in September 2000. The Company's net interest margin for the three months ended June 30, 2001 was 3.96% as compared to 4.19% for the same time period in 2000. The decrease is partially attributable to the impact on the Bank's rate-sensitive assets by the Federal Reserve decreasing short-term interest rates 125 basis points during the second quarter of 2001 and 275 basis points year-to-date in 2001. This decrease in the net interest margin was offset by strong loan growth during the second quarter of 2001. Net loans have increased to $136.2 million at June 30, 2001, reflecting an increase for the quarter and year-to-date of 4.3% and 5.7%, respectively. Commercial loans increased to $89.0 million at June 30, 2001, reflecting an increase for the quarter and year-to-date of 6.8% and 10.2%, respectively. Core deposits (all deposits excluding time deposits greater than $100,000) increased to $161.4 million, reflecting an increase for the quarter and year-to-date of 2.2% and 3.4%, respectively. Total deposits were $191.8 million at June 30, 2001 reflecting a decrease for the quarter of 0.5% and an increase year-to-date of 2.7%. Net interest income increased $124,000, or 5.7%, for the quarter ended June 30, 2001 compared to the same time period in 2000. This increase was offset by an increase in professional service fees and Nasdaq application fees related to the Company's application to have its stock traded on the Nasdaq National market. Direct expenses related to the Nasdaq listing for the second quarter of 2001 totaled approximately $96,000, which correlates to a tax-adjusted impact of approximately $65,000 or $0.03 per share. The Company's application to list its common stock was accepted by the Nasdaq National Market during June 2001. The Company has been trading under the symbol EVBN since July 9, 2001, and presently there are five market makers for the stock. Attached is summary income statement and balance sheet data for Evans Bancorp, Inc. Evans Bancorp, Inc. is the holding company for Evans National Bank, a commercial bank with seven branches located in Western New York with in excess of $235.4 million in assets and in excess of $191.8 million in deposits at June 30, 2001. Evans National Bank also owns M&W Agency, Inc., a retail property and casualty insurance agency with seven offices in Western New York, and ENB Associates, Inc. which provides non-deposit investment products. 3 Page 32 This press release includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements concerning future revenues and earnings. There are risks, uncertainties and other factors that could cause the actual results of the Company to differ materially from the results expressed or implied by such statements. Information on factors that could affect the Company's business and results is discussed in the Company's periodic reports filed with the Securities and Exchange Commission. 4 EVANS BANCORP, INC. CONDENSED STATEMENTS OF INCOME
THREE MONTHS ENDED JUNE 30, 2001 2000 ------------ ------------ Net Interest Income $ 2,299,100 $ 2,175,258 Provision for loan losses 95,000 100,000 Non-interest income 1,171,599 413,403 Non-interest expense 2,388,861 1,643,730 ------------ ------------ Income before income taxes 986,838 844,931 Income taxes 336,735 209,800 ------------ ------------ Net Income $ 650,103 $ 635,131 ============ ============ * Earnings per share $ 0.30 $ 0.30 * Shares used in computing earnings per share 2,198,218 2,122,835
* Restated for recent 5 for 4 stock split EVANS BANCORP, INC. CONSOLIDATED BALANCE SHEETS
JUNE 30, DECEMBER 31, 2001 2000 ------------ ------------ Assets Securities $ 78,532,186 $ 73,121,218 Loans, net 136,154,760 128,779,052 Other Assets 20,766,591 22,648,873 ------------ ------------ Total assets $235,453,537 $224,549,143 ============ ============ Liabilities Deposits $191,817,156 $186,701,319 Other Liabilities 17,475,831 12,668,752 ------------ ------------ Total liabilities 209,292,987 199,370,071 Total stockholders' equity 26,160,550 25,179,072 ------------ ------------ Total liabilities and stockholders' equity $235,453,537 $224,549,143 ============ ============