THE VIRGINIAN-PILOT
Copyright (c) 1995, Landmark Communications, Inc.
DATE: Saturday, February 4, 1995 TAG: 9502040266
SECTION: BUSINESS PAGE: D2 EDITION: FINAL
SOURCE: BY TOM SHEAN, STAFF WRITER
LENGTH: Short : 38 lines
Bank of Suffolk said a combination of loan growth and control of non-interest expenses provided a 22 percent increase in net income for the fourth quarter and a 13 percent increase for 1994.
The Suffolk community bank also said its merger with Bank of Waverly through formation of a holding company is scheduled for April. The two banks announced an agreement last August to create a new company, James River Bankshares Inc., to be based in Suffolk.
Bank of Suffolk said it earned $295,000, for the three months ended Dec. 31, which was up from $242,000 in the fourth quarter of 1993. Per-share earnings were 32 cents, down from 34 cents in the 1993 fourth quarter because the bank had 206,000 more shares outstanding in the recent quarter.
The bank said its average loan balance grew 14 percent last year to $49.66 million, while its its net interest income climbed 12 percent to $3.8 million.
In addition to the loan growth, the bank's earnings benefited from reduced provisions for loan losses, which declined 60 percent in the fourth quarter and 49 percent for 1994.
For the full year, Bank of Suffolk earned a record $1.34 million, compared with $1.18 million in 1993. Per-share earnings were $1.55 in 1994, compared with $1.67 in 1993 before adjusting for the additional shares outstanding.
The bank, which issued 200,000 new shares in an offering last spring, had 916,000 common shares outstanding at the end of December.
The bank's return on average assets, a yardstick of profitability, edged up to 1.47 percent last year from 1.42 percent in 1993. by CNB