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Tri-Valley Bank Announces Fourth Quarter 2016 Earnings and Partial Reversal of Deferred Tax Asset Valuation Allowance

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SAN RAMON, Calif.--(BUSINESS WIRE)--

Tri-Valley Bank (OTC: TRVB) today announced unaudited earnings for the fourth quarter ended December 31, 2016. Financial performance highlights include the following:

  • Net Income: Year-to-date net income at December 31, 2016 was $3,869,000, an improvement of $3,828,000 compared to year-to-date net income of $41,000 at December 31, 2015. Net income for the fourth quarter of 2016 was $3,694,000 compared to a net loss of $62,000 for the third quarter of 2016. The quarterly and year-to-date net income included a net tax benefit of $3,614,000 resulting from the partial reversal of the deferred tax asset valuation allowance, and the estimated tax expense for 2016 earnings. Year-to-date pre-tax net income in 2016 was $255,000, an improvement of $214,000 compared to 2015 pre-tax net income of $41,000.
  • Loans: Total loans as of December 31, 2016 reached a record $110.5 million, an annual increase of $16.3 million compared to December 31, 2015, a 17% annual increase, and an increase of $3.4 million over total loans at September 30, 2016.
  • Deposits: Total deposits as of December 31, 2016 were $117.9 million, an increase of $17.7 million from December 31, 2015, an 18% annual increase, and a decrease of $3.2 million from September 30, 2016.
  • Capital: The tier 1 leverage ratio at December 31, 2016 was 10.31% compared to 11.85% at December 31, 2015.
  • Loan Delinquencies: As of December 31, 2016, there were no loans past due 30+ days, and no loans on non-accrual.
  • The partial reversal of the deferred tax asset valuation allowance in the period increases book value per share to $0.43 at 12/31/2016 from $0.34 per share at 9/30/2016. Additionally, the Bank's secured lending limit will increase by 25% of the $3,673,000 increase in stockholders' equity in the quarter.

"The Bank's record loan growth and improved earnings show our commitment to our customers and communities and sets the stage for continued growth in 2017," said Arnold Grisham, Chairman, President and CEO. "We are pleased to service the markets of Livermore, and the 680 and 880 East Bay corridors, and are proud to provide banking services to a full range of professionals and business owners, non-profit organizations and property management companies."

                           
Tri-Valley Bank
Balance Sheet (rounded to thousands) Unaudited Unaudited Change Unaudited Change
Quarter Ending Quarter Ending 3Q16 to 4Q16 Quarter Ending 4Q15 to 4Q16
      December 31, 2016     September 30, 2016     Amount     % December 31, 2015     Amount     %
Assets
Cash & Cash Equivalents 12,871 18,922 (6,051 ) -32 % 9,988 2,883 29 %
Securities & Correspondent Stock 7,014 7,338 (323 ) -4 % 7,842 (827 ) -11 %
Loans, net of fees 110,534 107,122 3,412 3 % 94,235 16,299 17 %
Allowance for Loan Losses (1,591 ) (1,572 ) (20 ) 1 % (1,478 ) (113 ) 8 %
Deferred Tax and Other Assets   5,775         2,322         3,453       149 %   2,369         3,407       144 %
Total Assets $ 134,604       $ 134,132       $ 472       0 % $ 112,956       $ 21,649       19 %
 
Liabilities and Stockholders' Equity
Total Deposits 117,857 121,046 (3,190 ) -3 % 100,176 17,681 18 %
Borrowings & Other Liabilities   133         145         (11 )     -8 %   141         (7 )     -5 %
Total Liabilities 117,990 121,191 (3,201 ) -3 % 100,316 17,674 18 %
 
Stockholders' Equity   16,614         12,941         3,673       28 %   12,639         3,975       31 %
Total Liabilities & Stockholders' Equity $ 134,604       $ 134,132       $ 472       0 % $ 112,956       $ 21,649       19 %
 
                       
Tri-Valley Bank Unaudited Unaudited
Income Statement (rounded to thousands) Quarter Ending Chg Fr. Prior Quarter Year to Date Ending Chg Fr. Prior YTD
      12/31/2016     9/30/2016     Amount     % 12/31/2016     12/31/2015     Amount     %
Total Interest Income $ 1,253     $ 1,164 $ 89 8% $ 4,656     $ 3,852 $ 804 21%
Less: Total Interest Expense   85         86         (0 )     0%   326         263       63       24%
Net Interest Income 1,168 1,078 89 8% 4,330 3,589 741 21%
Less: Provision for Loan Losses   -         -         -       0%   -         19       (19 )     -100%
Net Interest Income after Provision 1,168 1,078 89 8% 4,330 3,570 760 21%
Total Noninterest Income   (173 )       36         (209 )     -576%   (66 )       151       (217 )     -144%
Total Revenue after Cr. Provision 995 1,115 (120 ) -11% 4,264 3,721 543 15%
Total Noninterest Expense   915         1,177         (262 )     -22%   4,009         3,680       329       9%
Net Income (Loss) Before Tax   80         (62 )       142       N/M   255         41       214       518%
Income Tax   (3,614 )       -         (3,614 )     N/M   (3,614 )       -       (3,614 )     N/M
Net Income (Loss) $ 3,694       $ (62 )     $ 3,756       N/M $ 3,869       $ 41     $ 3,828       9278%
 
Basic Income/(Loss) per Share $ 0.095 $ (0.002 ) $ 0.096 N/M $ 0.099 $ 0.001 $ 0.098 11425%
 

This release may contain forward-looking statements, such as, among others, statements about plans, expectations and goals concerning growth and improvement. Forward-looking statements are subject to risks and uncertainties. Such risks and uncertainties may include but are not necessarily limited to fluctuations in interest rates, inflation, government regulations and general economic conditions, including the real estate market in California and in the East Bay region of Northern California in particular and other factors beyond the Bank's control. Such risks and uncertainties could cause results for subsequent interim periods or for the entire year to differ materially from those indicated. Readers should not place undue reliance on the forward-looking statements, which reflect management's view only as of the date hereof. The Bank undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances.

Tri-Valley Bank
Arnold T. Grisham, 925-791-4365
Chairman, President and CEO

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