Branch Planned for Madison
SUMMIT, N.J., Hilltop Community Bank (OTC Bulletin Board: HTCB.OB and HTCBW.OB) reported a profit of $311,000 ($.20 per share, basic, and $.18 per share, diluted) for the quarter ended June 30, 2004 compared to a profit of $109,000 ($.09 per share, basic and diluted) in the second quarter of 2003. The current year's second quarter profit includes a $200,000 tax benefit related to the partial recovery of a valuation allowance on the Bank's deferred tax asset. Additional tax benefits are expected to be realized over future quarters. Net income in the second quarter of 2003 included a nonrecurring gain on the sale of securities totaling $64,000. Per share amounts have been adjusted to retroactively reflect the 5% stock dividend issued in 2003.
Total assets amounted to $128 million at June 30, 2004, unchanged for the quarter, but approximately 19.5% ahead of the mid point of 2003. Assets per employee continue to exceed $6 million, considerably higher than our peer group of community banks. Loans increased $3 million in the quarter and there were no delinquent loans in the portfolio at quarter's end. The loan loss reserve, at 1.39% of total loans, also continues to exceed the average level of our peer group.
Chairman of the Board Richard D. Wellbrock commented: "We are pleased with Hilltop's continued profitability and we are looking forward to opening our third branch, at 177 Main Street, Madison, New Jersey, in the near future. We will be able to provide our superior brand of community banking service to the business owners and residents of another great town."
Mortimer J. O'Shea, President & CEO stated: "In addition to the new Madison branch, we will shortly move our lenders, operations staff and financial people into attractive administrative office space in New Providence, New Jersey. We're bursting at the seams in our original location and this move marks another milestone in Hilltop's growth. Each day, we're seeing new customers who are being referred to us by satisfied customers as well as by local attorneys and accountants."
Hilltop Community Bank is a New Jersey state-chartered commercial bank which commenced operations on February 7, 2000. The Bank operates as a locally headquartered, community oriented bank engaged in a general commercial banking business. The Bank has offices in Summit and Berkeley Heights and also serves surrounding communities in Union, Essex, Morris and Somerset Counties.
The foregoing contains forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are not historical facts and include expressions about managementís confidence and strategies and managementís expectations about new and existing programs and products, relationships, opportunities, technology and market conditions. Such forward looking statements involve certain risks and uncertainties. These include, but are not limited to, the direction of movements in interest rates, the possibility of disruption in credit markets, successful implementation and integration of acquisitions, the effects of economic conditions and the impact of legal and regulatory barriers and structures. Actual results may differ from such forward looking statements. The bank assumes no obligation for updating any such forward looking statements at any time.