EX-99.1 3 h91723ex99-1.txt PRESS RELEASE DATED OCTOBER 31, 2001 EXHIBIT 99.1 NEWS RELEASE For More Information Contact: For Immediate Release - October 31, 2001 Eugene Putnam, Chief Financial Officer 713-507-7292 J. DOWNEY BRIDGWATER NAMED CEO OF STERLING BANCSHARES *George Martinez to remain Chairman through 2006 HOUSTON, TEXAS -- Sterling Bancshares, Inc. (Nasdaq: SBIB), the Houston-based bank holding company , today announced that the Company's Board of Directors has named J. Downey Bridgwater, 43, currently President, to the additional role of Chief Executive Officer, effective January 1, 2002. Mr. Bridgwater will succeed George Martinez in that role. Mr. Martinez, 59, who was one of the founders of the Company in 1974, remains as Chairman. Mr. Martinez assumed the role of Chief Executive Officer in 1980 and led Sterling through its initial public offering in 1992. During Mr. Martinez's tenure Sterling's assets have increased to $2.5 billion while its market capitalization has grown to over $500 million. Mr. Bridgwater has served as President of Sterling Bank and Sterling Bancshares, Inc. and as a member of the Board of Directors of both entities since 1997. Mr. Bridgwater joined Sterling in 1996 as CEO of the bank's Memorial Office. Prior to joining Sterling, Mr. Bridgwater had over 15 years of banking experience with Charter Bank, Houston, Texas and First Interstate Bank of Texas. "Being part of the growth and development of Sterling Bancshares as a successful company has been very exciting and enjoyable," commented Mr. Martinez. "I have worked closely with Downey to establish a solid foundation for Sterling and I look forward to working with him in this new role. Downey has the complete confidence of the Board of Directors and I am confident that he is a leader who can take the Company to higher levels, building on Sterling's success in Houston and developing the opportunities in our newer markets of San Antonio and Dallas." "Sterling has a tremendous opportunity to gain additional market share by continuing to execute our long term strategy, BUILDING STERLING." Bridgwater said. "With our current leadership team in place, combined with our focus on providing personal service to owner-operated businesses, we look forward to serving the growing needs of our customers." Mr. Bridgwater currently serves as President of the Board of Governors of the Houston Forum, and as a director of Harris County Housing Finance Corporation, the Boy Scouts of America-Sam Houston Area Council, and Kid-Care, Inc. Mr. Bridgwater also serves as the immediate past Chair of the University of Houston Alumni Organization. Both Mr. Martinez and Mr. Bridgwater have signed five-year contracts in conjunction with their new roles. Sterling Bancshares, Inc. is a Houston-based bank holding company that operates 36 community-banking offices in the greater metro areas of Dallas, Houston, San Antonio, and South Texas. Sterling also provides mortgage-banking services through its 80 percent-owned subsidiary, Sterling Capital Mortgage Company. Sterling's common stock is traded through the Nasdaq National Market System under the symbol SBIB. For more information on Sterling Bancshares, please visit the Company's web site at www.banksterling.com. Except for historical information contained herein, this press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties, including, but not limited to, the following: general business and economic conditions in the markets the Company serves may be less favorable than anticipated which could decrease the demand for loan, deposit and other financial services and increase loan delinquencies and defaults; changes in market rates and prices may adversely impact the value of securities, loans, deposits and other financial instruments; the Company's liquidity requirements could be adversely affected by changes in its assets and liabilities; legislative or regulatory developments including changes in laws concerning taxes, banking, securities, insurance and other aspects of the financial securities industry; competitive factors may increase, including product and pricing pressures among financial services organizations; and changes in fiscal and governmental policies of the United States federal government could have an adverse effect on the Company's business. Please also read the additional risks and factors described from time to time in the Company's reports filed with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2000.