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Well, unless I'm mistake Wellington and Castine are both located in Boston haha. Could be interesting though if some of these holders jump on the "sell the bank" band wagon that we saw a little while ago.
Owner Name / Date /Shares Held / Change (Shares) / Change (%)/ Value (Thous.)
WELLINGTON MANAGEMENT CO LLP /12/31/2011 /2,892,787 /275,909 /10.54 /13,162
BANC FUNDS CO LLC /12/31/2011 /2,599,273 / 992,232 / 61.74 /11,827
CASTINE CAPITAL MANAGEMENT, LLC / 12/31/2011 /1,498,900 /463,900 / 44.82 /6,820
FWIW, just noticed the top 3 holders collectively have almost 25% of the 29.22 million shares outstanding. Taken off the NASDAQ site; sorry for the awful formatting.
February Investor Presentation:
http://www.sec.gov/Archives/edgar/data/1370291/000138713112000259/ex-99_1.htm
LOL... oh no man I hope I didn't insult the brotherhood :O
I guess if I was a trader I'd be maybe more inclined to take what analyst say a bit more seriously but as an investor I don't really care about weekly or monthly prognostications. I'm thinking Warren Buffett probably doesn't either lol. FCAL is a buy and hold in my mind.
The SB should be a good game. I have no dog in this fight so I don't really care who wins. I'll be watching for the TV commercials too...however I was a little disappointed we won't be seeing any good beer commercials this year! Those were the best!
Considering some of those are former grad school classmates, I feel much more confident in the analysis we could put together versus theirs. They should have just bumped up their price target a little considering no one else seemed to care today.
Have a good weekend yourself and enjoy the Super Bowl
Have you ever noticed that recommendations from analyst are alot like the vague prophecies you get inside a fortune cookie ;)
...have a good w/e Pagz
Yeah, and then we get a downgrade from Roth...
http://www.theflyonthewall.com/permalinks/entry.php/FCALid1572027/FCAL-First-California-downgraded-to-Neutral-from-Buy-at-Roth-Capital
Well, DA Davidson lists three potential buyers right here:
http://finance.yahoo.com/news/First-California-worth-5-50-theflyonthewall-794896175.html?x=0
...along with a $5 price target.
FCAL Reports Record 2011 Net Income of $23.4 Million (1/26/12)
WESTLAKE VILLAGE, CA--(Marketwire - Jan 26, 2012) - First California Financial Group, Inc. (NASDAQ: FCAL), the holding company of First California Bank, today reported net income for the full year ended December 31, 2011 of $23.4 million, the highest earnings in the company's history. For the 2010 full year, net income was $1.4 million. Net income available to common shareholders for 2011 was $20.8 million, or $0.71 per diluted share, compared with $160,000, or $0.01 per diluted share, for the prior year. Preferred dividends were $2.6 million for 2011 compared with $1.3 million for 2010. 2011 preferred dividends included a $1.1 million deemed dividend in connection with the redemption of Company's series B preferred shares. At December 31, 2011, tangible book value per common share was $4.19, a 15 percent increase from year-end 2010.
For the 2011 fourth quarter, net income was $2.9 million compared with $1.1 million for the same quarter a year ago. Net income available to common shareholders was $2.5 million, or $0.09 per diluted share, compared with $767,000, or $0.03 per diluted share, for the 2010 fourth quarter. Preferred dividends were $312,500 for each of the fourth quarters of 2011 and 2010.
"Our record breaking performance in 2011 was driven by the combination of continued successful execution of our strategic plan that focuses on organic growth and opportunistic acquisitions," said C. G. Kum, president and chief executive officer of First California Financial Group. "During the year, we recruited talented bankers with committed customer portfolios that strengthened and extended our footprint. We entered the San Luis Obispo market on a failed bank transaction that has provided strategic, as well as significant financial benefits. Finally, we acquired the Electronic Banking Solutions division of Palm Desert National Bank, or EPS, to increase and diversify our income sources. These initiatives resulted in a stronger and more profitable company and one that is well positioned to continue to generate a higher return to our shareholders."
2011 Financial Highlights
Net interest income, before provision for loan losses, rose 29 percent to $15.6 million for the fourth quarter, and 33 percent to $59.5 million for the year;
Primarily due to the acquisition of EPS in the 2011 second quarter, service charges, fees and other income jumped 72 percent to $2.1 million for the fourth quarter, and 68 percent to $7.6 million for the full year;
Net interest margin, on a tax equivalent basis, improved to 4.01 percent compared with 3.59 percent for the 2010 fourth quarter; for the year, net interest margin was 3.92 percent compared with 3.46 percent for 2010;
Securities ended the year at $453.7 million, up 67 percent from $272.4 million last year;
Deposits increased $269 million to end the year at $1.4 billion;
For 2011, net charge-offs were $4.6 million, or 0.51 percent of average non-covered loans compared with $7.8 million, or 0.85 percent for 2010;
Provision for loan losses fell 36 percent to $5.3 million from $8.3 million last year.
Financial Results
For the 2011 fourth quarter, net interest income before the provision for loan losses, increased 29 percent to $15.6 million from $12.1 million for the 2010 fourth quarter. The increase reflects a higher level of loans and securities and loan yields. Interest income (discount accretion) on covered loans for the 2011 fourth quarter was $4.0 million. 2011 third quarter interest income (discount accretion) on covered loans was $3.8 million. Net interest margin, on a taxable equivalent basis, rose to 4.01 percent from 3.59 percent for the 2010 fourth quarter. The increase reflects a 14 percent rise in earning assets, a 2 percent improvement in earning asset yield, as well as a 31 percent decline in the cost of funds.
Service charges, fees and other income increased 72 percent to $2.1 million from $1.2 million for the 2010 fourth quarter, primarily due to the fee income of $989,000 in the current quarter from the new EPS division.
Noninterest income included a $323,000 net gain on the sale of securities and a $321,000 impairment loss on securities. For the 2010 fourth quarter noninterest income included a $548,000 net gain on securities and a $708,000 impairment loss on securities. The 2011 fourth quarter also included a $1.7 million positive adjustment to the San Luis Trust Bank bargain purchase gain, resulting from the finalization of the fair value estimates.
Operating expenses for the 2011 fourth quarter were $13.4 million compared with $9.4 million for the 2010 fourth quarter. Operating expenses exclude intangible amortization, integration/conversion expenses and foreclosed property gains, losses and expenses. The increase reflects growth in the Bank's workforce associated with the acquisitions of Western Commercial Bank (WCB), San Luis Trust Bank (SLTB) and the EPS division, as well as the addition of three lending teams. Employees at December 31, 2011 numbered 304 compared with 248 at the end of the same period a year ago. In addition, the company recorded non-recurring litigation expenses as well as advertising and marketing costs in connection with an initiative designed to increase loan production in 2012, which contributed to an increased efficiency ratio of 75.69 percent for the 2011 fourth quarter compared with 70.51 percent for the same period last year.
For the year, non-covered loans decreased to $936.1 million at December 31, 2011 from $947.7 million at December 31, 2010, primarily due to the weak economy. Non-covered loan totals grew 2 percent from the third quarter to the fourth quarter of 2011. The company noted that at year end the pipeline of loans to close in the first quarter of 2012 was approximately $100 million, its highest total since the beginning of the recession. The company attributed the strong pipeline to successful implementation of organic growth initiatives.
At December 31, 2011, covered loans increased to $135.4 million from $53.9 million at December 31, 2010, because of the FDIC-assisted SLTB transaction completed in February 2011. Within the last three quarters, the Bank has been able to reduce covered loans by $50 million, or 27 percent. In addition, the Bank's covered non-performing assets declined by $24 million or 42 percent during the same period.
Led by the EPS division, non-interest checking deposits increased 45 percent from year-end 2010 and now represent 34 percent of total deposits. EPS division deposits were $132 million at December 31, 2011. The cost of all deposits, aided by the change in the mix of deposits, fell 39 percent to 42 basis points for the 2011 fourth quarter from 69 basis points for the same period last year.
Kum added, "Net interest income, non-interest income, net interest margin and core deposits all significantly increased in 2011. In addition, the provision for loan losses, net charge-offs and non-performing assets all declined over the same period. These positive metrics and our earnings momentum resulted in a 15 percent increase in tangible book value for our shareholders."
Asset Quality
At December 31, 2011, non-covered non-performing assets (the sum of non-covered loans past due 90 days and accruing, nonaccrual loans and foreclosed properties) improved to 1.90 percent of total assets compared with 2.91 percent at December 31, 2010.
The allowance for loan losses was $17.7 million, or 1.90 percent of non-covered loans, at December 31, 2011 compared with $17.0 million, or 1.80 percent of non-covered loans, at December 31, 2010. Net loan charge-offs for the 2011 fourth quarter were $827,000. For 2011, net charge-offs were 0.51 percent of average non-covered loans compared with 0.85 percent for 2010. The provision for non-covered loan losses for the 2011 fourth quarter decreased to $796,000 compared with $1.2 million for the 2010 fourth quarter.
Capital resources
Shareholders' equity was $223.1 million at December 31, 2011 compared with $198.0 million at December 31, 2010. The Company's book value per common share increased to $6.75 at December 31, 2011 compared with $6.16 at December 31, 2010. Tangible book value per common share rose to $4.19 at December 31, 2011 compared with $3.65 at December 31, 2010.
At December 31, 2011, First California's preliminary Tier 1 leverage capital ratio was 10.33 percent. At the end of the 2010 fourth quarter, the Tier 1 leverage capital ratio was 11.00 percent, and the total risk-based capital ratio increased to 17.38 percent from 16.79 percent at December 31, 2010. The Company's ratio of tangible common equity to tangible assets was 7.05 percent at quarter end and 7.08 percent at the end of the 2010 fourth quarter. Total assets were $1.81 billion at December 31, 2011 compared with $1.52 billion at December 31, 2010.
Kum concluded: "Throughout 2011, we strengthened our business and produced progressively improved financial results. Moreover, we put the right people in the right places to deepen and widen our foundation in each of the markets we serve. In 2012 and beyond, we will continue to focus on initiatives that will help grow and develop our business, improve efficiency and generate greater profitability." In connection with these long-term goals, the Company has determined to engage a financial advisor to assist with the on-going review of its strategic plans.
Use of Non-GAAP Financial Measures
This news release includes "non-GAAP financial measures" within the meaning of the Securities and Exchange Commission rules. Tangible common equity as a percentage of tangible assets is a non-GAAP financial measure. Tangible common equity to tangible assets represents tangible common equity, calculated as total shareholders' equity less preferred stock and related dividend and accretion of preferred stock discount, goodwill and intangible assets, net, divided by total assets less goodwill and other intangible assets, net. Management believes that this measure is useful when comparing banks with preferred stock due to CPP or SBLF funding to banks without preferred stock on their balance sheet and for evaluating a company's capital levels. Operating expenses exclude amortization of intangible assets and loss on and expense of foreclosed property and non-recurring items such as integration/conversion expenses related to acquisitions and is intended to represent normalized, recurring expenses. This information is being provided in response to market participant interest in these financial metrics. This information is not intended to be considered in isolation or as a substitute for the relevant measures calculated in accordance with U.S. GAAP. The reconciliation of this non-GAAP financial measure to a GAAP financial measure is provided as an attachment to the financial tables.
Conference Call and Webcast
First California will hold a conference call today, January 26, 2012 at 11 a.m. Pacific (2 p.m. Eastern) to discuss the Company's 2011 fourth quarter and full year financial performance. Investment professionals are invited to participate in the live call by dialing 877-317-6789 (domestic), 866-605-3852 (Canada) or 412-317-6789 (international) and requesting the First California conference call. Other interested parties are invited to listen to the live call through a live, listen-only audio Internet broadcast at www.fcalgroup.com. Listeners are encouraged to visit the Web site at least 15 minutes prior to the start of the call to register, download and install any necessary audio software. For those who are not available to listen to the live broadcast, the call will be archived on the same Web site for one year. A telephonic replay of the call will be available one hour after the end of the conference through February 9, 2012 by dialing 877-344-7529 (domestic) or 412-317-0088 (international) and entering replay passcode 10009298.
About First California
First California Financial Group, Inc. (NASDAQ: FCAL) is the holding company of First California Bank. Founded in 1979 and with nearly $2 billion in assets, First California serves the comprehensive financial needs of small- and middle-sized businesses and high net worth individuals throughout Southern California. Led by an experienced team of bankers, First California is committed to providing the best client service available in its markets, offering a full line of quality commercial banking products through 19 full-service branch offices in Los Angeles, Orange, Riverside, San Bernardino, San Diego, San Luis Obispo and Ventura counties. The holding company's website can be accessed at www.fcalgroup.com. For additional information on First California Bank's products and services, visit www.fcbank.com.
http://www.marketwire.com/press-release/first-california-reports-record-2011-net-income-of-234-million-nasdaq-fcal-1611283.htm
CCM's holdings
http://fundville.com/fsearch.php?fid=503&t=CASTINE-CAPITAL-MANAGEMENT-LLC
http://www.sec.gov/Archives/edgar/data/1377929/0000919574-11-003258.txt
I think the answer is yes they do own a stake in a potential buyer...pick any from a long list :~|
The old art of collusion never fails I guess; that's an interesting behind the scenes kind of theory.
And how did you know they call me Pagz? Just toss that Z on there and you're set!
The other thing that came to mind is what is CCM's real motivation? Do they also have a certain buyer in mind...one they also have a stake in??
A quick sell-out for only a 30% premium also strikes me as odd and short-sighted. I was thinking of it this way, if FCAL is currently trading right around tangible book value, would we want to sell out for only 1.3X? I don't know recent bank buyouts, but that seems extremely low. And not only that, we're not talking about a static book value here, considering as that regional economy recovers and FCAL undertakes growth initiatives, TBV should increase as well.
Well anyway, tomorrow we'll get the earnings report and see how things are going I guess. And I'll turn a quarter century old so even if they're not good I'll be celebrating anyhow.
That portion of the filing stood out in my mind as well pags. Interesting view CCM has to want to shop the bank for a quick premium instead of go for long term growth thru acquisitions. I think that's a bit short-sighted and agree more with the BoD.
My original reason to watch FCAL was as a potential acquisition for PCBC but FCAL has had the same goal in mind. Grow grow grow.
I like that game plan.
New 13-D filed today by Castine Capital Mgmt. :
http://sec.gov/Archives/edgar/data/1370291/000091957412000247/d1260077_13d.htm
They own 5.1% of the outstanding shares and have sent a letter to the board indicating support for the Pohlads' request of strategic alternatives. In it, they feel FCAL should not try to acquire other banks and should instead look into selling itself for what they believe could be a 30% premium to current share prices.
The letter is at the bottom of the filing; they are the third largest shareholder.
FCAL Responds to Amended 13D Filing of Pohlad Group (1/13/12)
WESTLAKE VILLAGE, CA--(Marketwire - Jan 13, 2012) - First California Financial Group, Inc. (NASDAQ: FCAL), the holding company of First California Bank, acknowledges Amendment No. 14 to Schedule 13D that the Pohlad Group filed on January 12, 2012. The company said that the views of its stockholders are very important and it will carefully consider their input. First California's board of directors will evaluate the Pohlad Group's Amendment No. 14 to Schedule 13D in due course. The company does not intend to comment further on this matter except as required by applicable law and regulations.
http://www.marketwire.com/press-release/first-california-responds-to-amended-13d-filing-of-pohlad-group-nasdaq-fcal-1606597.htm
Carl Pohlad was a midwest distressed investor/banker.
http://en.wikipedia.org/wiki/Carl_Pohlad
Pohlad Family Companies.
http://www.pohladcompanies.com/public/BusinessInterests.aspx
13D filed:
http://sec.gov/Archives/edgar/data/1060442/000119312512010721/d282351dsc13da.htm
At a quick first glance, looks like a 12.1% owner is pushing for strategic changes to unlock shareholder value.
First California Continues Earnings Momentum With 2011 Third Quarter Net Income of $2.5 Million
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First California Financial Grp., Inc. (MM) (NASDAQ:FCAL)
Intraday Stock Chart
Today : Thursday 27 October 2011
First California Financial Group, Inc. (NASDAQ: FCAL), the holding company of First California Bank, today reported third quarter net income of $2.5 million compared with $64,000 for the same quarter a year ago. Net income available to common shareholders was $900,000, or $0.03 per diluted share, which was after dividends of $1,615,500 on the preferred stock series B and series C shares. A year ago, the Company had a third quarter net loss available to common shareholders of $249,000, or $0.01 per share, which was after a $312,500 cash dividend on the series B preferred shares.
"Our strong earnings were the result of successful implementation of initiatives designed to leverage the capital that we raised in 2010 by acquiring strategic assets and expanding our operating platform," said C. G. Kum, president and chief executive officer of First California Financial Group. "These initiatives, which included the acquisition and integration of two FDIC assisted transactions and the EPS division as well as the addition of new lending teams, contributed to improvement in our top-line revenues, growth in core earnings, higher net interest margin and lower efficiency ratio. Moreover, with our ongoing success in improving asset quality, we continue to lower our exposure to problem assets."
First California to Report 2011 Third Quarter Results and Host Conference Call on Thursday, October 27, 2011
print
First California Financial Grp., Inc. (MM) (NASDAQ:FCAL)
Intraday Stock Chart
Today : Monday 24 October 2011
First California Financial Group, Inc. (NASDAQ: FCAL) today announced that the company will issue its 2011 third quarter financial results before the market opens on Thursday, October 27, 2011, and host a conference call that same day at 11 a.m. Pacific (2 p.m. Eastern) to review the company's financial performance and answer questions.
Investment professionals are invited to participate in the live call by dialing 877-317-6789 (domestic), 866-605-3852 (Canada) or 412-317-6789 (international) and requesting the First California conference call. The call will also be available through a live, listen-only audio Internet broadcast at www.fcalgroup.com. Listeners are encouraged to visit the Web site at least 15 minutes prior to the start of the call to register, download and install any necessary audio software. The call will be archived on the same Web site for one year. A telephonic replay of the call will be available one hour after the end of the conference through November 9, 2011 by dialing 877-344-7529 (domestic) or 412-317-0088 (international) and entering replay passcode 10005826.
Although the Banking sector over-all remains subdued many are off their lows the last 10 days or so. Was that "the" bottom? Or will the European problems (yet to be resolved) force trends lower again??
Investors were busy counting their pennies.
September 11, 2011
We Pause For An Off-The-Wall Moment
The most recent column by Scott Burns advocates a "hair of the dog" strategy concocted by statistician Michael Castleman that, I'm certain, will inspire a number of readers to experience a profound "WTF?" moment.
Michael Castleman has an idea that could do wonders for anyone who owns a house. It could also do wonders for our economy by boosting home sales, and boosting employment related to home building, home buying, and the furnishing of homes. Basically, this is an idea that would have a positive impact on three big factors in our economy— jobs, home values and consumer confidence.
[...]
His idea is simple. I call it “the-hair-of-the-dog-strategy”, after the well-known antidote for hangovers. In this case the hair-of-the-dog isn’t more tequila shooters.
It’s more lending.
Here are the high points for readers who are pressed for time:
Congress passes legislation that orders the FHA, FNMA and FHLMC to make a trillion dollars in home loans at an interest rate of 3%.That generates servicing and origination income, and, Castleman expects, related service industry income (e.g., Home Depot). This will "add enough demand to bring the supply/demand balance of residential real estate back to normal levels— levels that will support stable or rising prices."
As to those critics who allege that in order to make that many loans in the four-to-five-year period proposed by Castleman's plan, underwriting standards would have to be lowered, Castleman asserts that those standards are so tight now that they're choking off credit, which is exacerbating depressed home prices. In that respect, loosening them would be a good thing. He also asserts that even if 40% of the new loans go sour and the foreclosed homes are sold for only 60% of original loan value, the $240 billion loss is a pittance to what the US taxpayer is expected to plow into Fannie Mae and Freddie Mac before those money pits are finally "resolved" (current estimate: somewhere north of $400 billion).
The difference is that there would be an upside. What we have today is a formula for years of stagnation and homeowner hurt.
It's an idea that is not only "hair-of-the-dog," but is likely to be seen by Congress to be as attractive as a "hair ball." In my estimation, Castleman's proposal has as much chance of being enacted as Lindsay Lohan has of winning the lead role in a motion picture biography of Mother Teresa because "they share so many personality traits in common" (like inhaling oxygen and exhaling carbon dioxide).
Still, it's bold, in the way that extending the payroll tax moratorium and pumping hundreds of billions of dollars into public infrastructure are not. Moreover, Burns' conclusion is right (even if his slogan is as tired as conventional thinking): we do need to "think outside the box." Unless, of course, you love the economic stagnation in which we're currently wallowing, in which case, we should just "stay the course."
Old news now but in June it was reported that FCAL received approval to participate in SBLF <see PR below> but I found the prognostications about SBLF put out by the Bank Lawyers Blog earlier in January 2011 quite interesting.
First California Receives Approval to Participate in SBLF
WESTLAKE VILLAGE, CA -- (MARKET WIRE) -- 06/20/11 -- First California Financial Group, Inc. (NASDAQ: FCAL), the holding company of First California Bank, said it has received approval from the U.S. Department of the Treasury for participation in the Small Business Lending Fund (SBLF), subject to the Treasury's customary due diligence and closing conditions. The SBLF is Treasury's effort to bring Main Street banks and small businesses together to help create jobs and promote economic growth in local communities. First California will use the SBLF proceeds for the repayment of the $25 million of outstanding preferred shares issued under the Treasury's Capital Purchase Program (CPP) and anticipates that the transaction will close within 30 days.
Read more: http://www.nasdaq.com/aspx/company-news-story.aspx?storyid=201106202030mrktwireuspr____0769971&title=first-california-receives-approval-to-participate-in-sblf#ixzz1Xm3cScyu
=================================
January 09, 2011
SBLF: TARP Revisited?
A couple of stories in last week’s American Banker (paid subscription required) illustrated just how much of a dysfunctional "tarp baby" (as Jamie Dimon once labeled it) TARP and its latest iteration, the Small Business Lending Fund, have become for those banks unlucky or unwise enough to still be stuck in TARP and/or to be considering diving into the SBLF.
On Monday, Kate Davidson discussed the hundreds of TARP-takers who haven’t yet exited the program, and how they are “desperate for an exit strategy, even if it means selling.”
Most of the latter are smaller in size and, in a bit of a twist, owe less than those that have already repaid Tarp funds. But the credit quality of their assets continues to deteriorate, and many cannot pay the dividends owed on the funds, making it nearly impossible to raise the capital to buy back the preferred shares. For those banks, options are few.
"A lot of these little banks that took Tarp are stuck," said Matthew Kelley, an analyst at Sterne, Agee & Leach Inc. "There just is not an ability for them to go out and raise the types of equity to repay and to achieve the capital ratios that have been outlined by regulators."
Lingering problems are likely to force many banks to sell in 2011. "I think you're going to see more sales of some of the distressed institutions that do have Tarp," Kelley said.
I agree that we’ll see more sales of smaller banks in the 2011 and subsequent years. For the TARPers, the need for capital to pay off TARP (especially as the 5-year deadline approaches where the dividend rate on the preferred stock will rise substantially) and the difficulty of raising it will add to the pressure that faces every community bank as the full weight of the brave new regulatory world post Dodd-Frank manifest itself as a python that wraps around and squeezes the life out of small banks throughout the country. Mergers of equals and not-so-equals will gather steam, generating fees for investment bankers and other marriage-makers, as well as those dreaded M&A and (cough) bank regulatory attorneys. Out of every tragedy rises a glimmer of hope, eh?
One expert quoted by Ms. Davidson thinks one way out of the TARP trap will be the SBLF.
[University of Louisiana at Lafayette finance professor Linus] Wilson said he expects hundreds of banks to exit by refinancing into the Small Business Lending Fund, a $30 billion fund signed into law in September as part of the Small Business Jobs Act. Under the program, banks with assets of less than $10 billion can apply for capital with an initial 5% dividend payment, which could drop to as low as 1% for a few years as banks increase lending. Under Tarp, banks pay a 5% dividend, which will increase to 9% in 2013.
That’s a “capital idea” except for one thing: as Cheyenne Hopkins points out in a January 7 article, the newly released (by the Treasury Department) terms of the SBLF program “may discourage participation in the program.”
Among the negative terms in Tre3asury’s “term sheet” are the following:
SBA 7(a) loans and other government-guaranteed loans won’t count toward fulfilling the bank’s small business lending commitment in order to lower the dividend rate on the preferred stock. The trade group for SBA lenders claims that this will discourage the most qualified small business lenders from participating in the program.
The Treasury has the right to determine that in order to qualify for SBLF capital, the bank must raise a matching amount of capital from 9other sources. In other words, those banks that really need this capital may not have access to it. D.C. bank attorney Gerard Comizio correctly points out that raising “private-sector money costs capital and takes time.” I’d add that if the bank has access to private capital, why would it want to jump in bed with the US government, which has a long and treasured history of reneging on its contractual obligations with banks and showed in connection with the original TARP program that it liked to change the rules of the game in the second quarter, in ways that screwed the TARP recipients (and not in an enjoyable fashion).
The capital will bear a variable interest rate that can rise (or fall) dramatically (within 8 percentage points) for the first two years measured quarterly.. That’s a lot of potential volatility that will make it risky to take the cap0ital unless you’re sure you can put out the qualifying loans in a hurry. In addition, the 1% rate applies only to a portion of the capital.
Some of the experts cited by Ms. Hopkins (and, of course, the spokespeople for the Treasury Department) think that the SBLF is an attractive source of capital for banks that need it, if not an outright little slice of heaven. We’ll see.
"Personally, I wouldn’t bet any money I couldn’t afford to lose that this program will accomplish much of anything".
http://www.banklawyersblog.com/3_bank_lawyers/2011/01/sblf-tarp-revisited.html
==============================
That last comment just goes to show Lawyers don't know everything....FCAL at least proved him wrong and they continue their strong performance in spite of the banking crisis.
FCAL Announces Repurchase of Outstanding TARP Warrant From Treasury (8/24/11)
WESTLAKE VILLAGE, CA--(Marketwire - Aug 24, 2011) - First California Financial Group, Inc. (NASDAQ: FCAL), the holding company of First California Bank, today announced that it has completed the repurchase of a warrant held by the U.S. Treasury Department. The 10-year warrant was issued on December 19, 2008 as part of the Company's participation in the U.S. Treasury's Capital Purchase Program (CPP), and entitled the Treasury to purchase 599,042 shares of First California Financial Group Inc. stock at an exercise price of $6.26 per share. The Company paid a total of $599,042 to the Treasury to repurchase the warrant.
On July 14, 2011, First California repurchased 25 million of outstanding preferred shares issued under CPP, and with the repurchase of the warrant, redeemed all of the securities in connection with that program.
About First California
First California Financial Group, Inc. (NASDAQ: FCAL) is the holding company of First California Bank. Founded in 1979 and with nearly $2 billion in assets, First California serves the comprehensive financial needs of small- and middle-sized businesses and high net worth individuals throughout Southern California. Led by an experienced team of bankers, First California is committed to providing the best client service available in its markets, offering a full line of quality commercial banking products through 19 full-service branch offices in Los Angeles, Orange, Riverside, San Bernardino, San Diego, San Luis Obispo and Ventura counties. The holding company's website can be accessed at www.fcalgroup.com. For additional information on First California Bank's products and services, visit www.fcbank.com.
http://www.marketwire.com/press-release/first-california-announces-repurchase-of-outstanding-tarp-warrant-from-treasury-nasdaq-fcal-1553430.htm
Economy keeping banks in a holding pattern.
In order for banks to really take off, the economy must begin growing at a much faster pace. This will cause rates to increase. Business loans get repriced. Earnings begin to ramp up.
Tell me if iam wrong, it seems to me the 2nd quarter was good, and there is still no volume here, EI, or anyone have a take on it? what am i missing
thanks in advance
First California Reports Strong 2011 Second Quarter Net Income of $2.4 Million
First California Financial Grp., Inc. (MM) (NASDAQ:FCAL)
Intraday Stock Chart
Today : Tuesday 26 July 2011
First California Financial Group, Inc. (NASDAQ: FCAL), the holding company of First California Bank, today reported second quarter net income of $2.4 million compared with $147,000 for the same quarter a year ago. Net income available to common shareholders was $2.1 million, or $0.07 per diluted share, compared to a net loss available to common shareholders of $166,000, or $0.01 per share, for the 2010 second quarter. Preferred dividends were $312,500 each for the second quarters of 2011 and 2010.
"Our strong earnings were driven by several factors, including improved margins, higher fee income and lower loan loss provisions," said C. G. Kum, president and chief executive officer of First California Financial Group. "Moreover, we believe these financial results are sustainable and validate the actions we have previously taken, and expect to continue to take, namely hiring talented professionals, making strategic acquisitions to expand our geographic base and add new product offerings, and proactively and diligently addressing asset quality."
2011 Second Quarter Financial Highlights
•Net income climbed to $2.4 million compared with $147,000 for the same period a year ago;
•Diluted earnings per common share rose to $0.07 versus a loss per common share of $0.01 for the 2010 second quarter;
•Net interest income increased 43% to $15.5 million from the same period last year; net interest margin (on a tax equivalent basis) improved to 3.95 percent compared with 3.40 percent a year ago;
•Service charges, fees and other income jumped 97% from the year ago period to $2.2 million;
•Pre-tax gain of $466,000 recorded in connection with the acquisition of the Electronic Payment Services division of Palm Desert National Bank; associated integration/conversion expense of $350,000;
•Loan loss allowance to non-covered loans at the end of the 2011 second quarter of 1.99 percent, up from 1.85 percent a year ago; net loan charge-offs decreased to $860,000 from $912,000 for the same period last year; provision for loan losses declined to $500,000 from $1.8 million for the same quarter last year;
•Tangible book value per common share increased 13% to $4.11 at the end of the second quarter from a year ago.
Electronic Payments Services Transaction
On April 8, 2011, the Bank completed the acquisition of the Electronic Banking Solutions division of Palm Desert National Bank. The transaction included the division's customer base, core deposits and employees. At the closing date, the division had deposits of $91 million and 26 employees. In connection with the purchase, the Bank recognized a pre-tax gain of $466,000 and incurred integration/conversion expenses of $350,000. The Electronic Payment Services division, or EPS division, its new name under First California Bank, is a leader in the electronic payment industry with a history of stored-value card programs and merchant acquiring programs. First California Bank issues prepaid cards and sponsors merchant acquiring services for all national and regional networks, including Visa, MasterCard and Discover throughout all 50 states and US territories. Division revenues were $854,000 and deposits averaged $83.2 million since the date of acquisition. At June 30, 2011, deposits were $93.3 million.
Financial Results
For the 2011 second quarter, net interest income before the provision for loan losses, increased 43% to $15.5 million from $10.8 million for the 2010 second quarter. The increase reflects a higher level of loans and loan yields and included $850,000 of discount accretion on covered loans for the 2011 second quarter. Net interest margin (on a taxable equivalent basis) rose to 3.95 percent from 3.40 percent for the 2010 second quarter. The increase reflects the decline in the rate paid on interest-bearing funds and the benefit from the addition of non-interest checking deposits, primarily from the EPS division.
Service charges, fees and other income increased 97% to $2.2 million from $1.1 million for the 2010 second quarter, primarily due to the fee income in the current quarter from the EPS division.
Noninterest income included a $490,000 net gain on the sale of securities, a $166,000 gain from the sale of the former head office of the Bank and a $466,000 gain on the acquisition of the EPS division.
Operating expenses for the 2011 second quarter were $12.6 million compared with $9.9 million for the 2010 second quarter. These expenses exclude intangible amortization, integration/conversion expenses and foreclosed property gains, losses and expenses. The increase reflects growth in the Company's workforce associated with the acquisitions of Western Commercial Bank, San Luis Trust Bank (SLTB) and the EPS division, as well as the addition of three lending teams. Employees at June 30, 2011 numbered 293 compared with 245 at the end of the same period a year ago. In addition, professional expenses were higher due to ongoing loan collection and resolution efforts. Nonetheless, the Company's efficiency ratio improved to 73.59% for the 2011 second quarter from 81.82% for the same period last year.
At June 30, 2011, non-covered loans decreased to $919.7 million from $947.7 million at December 31, 2010, primarily due to continued lowering of the Company's exposure in the construction loan portfolio combined with lower line usage by its commercial borrowers. To deploy excess liquidity, the Company is in the process of acquiring loan portfolios totaling approximately $35 million. These loans are primarily in-market single family residential and multi-family mortgages underwritten to First California's conservative standards.
At June 30, 2011, covered loans increased to $171.8 million from $53.9 million at December 31, 2010, because of the FDIC-assisted SLTB transaction. The unpaid principal balance of covered loans at June 30, 2011 was $261.1 million. The Bank's credit administrative team, since the respective acquisition dates, reduced covered loans by 11%.
Led by the EPS division, non-interest checking deposits increased 30% from year-end 2010 and now represent 31% of total deposits. The SLTB transaction included $174 million of deposits from outside the SLTB geographic footprint. The Bank allowed these deposits to run-off at their scheduled maturities and approximately $20 million remained at the end of the 2011 second quarter. These remaining deposits will mature and run-off by the end of 2011. The cost of all deposits, aided by the change in the mix of deposits, fell 10% to 64 basis points for the 2011 second quarter from 71 basis points for the same period last year.
Asset Quality
Non-covered nonaccrual loans decreased to $17.8 million at June 30, 2011 from $18.2 million at December 31, 2010. Non-covered loans past due 30 to 89 days decreased to $5.8 million at June 30, 2011 from $11.6 million at December 31, 2010. There were no non-covered loans past due 90 days and accruing at June 30, 2011.
Non-covered foreclosed property at the end of the 2011 second quarter declined 22% to $20.2 million from $26.0 million at December 31, 2010. In addition to the valuation allowance charge recognized in the 2011 first quarter, the Company continues to realize declines through sales. At June 30, 2011, non-covered non-performing assets (the sum of non-covered loans past due 90 days and accruing, nonaccrual loans and foreclosed properties) were 2.1% of total assets.
Covered nonaccrual loans decreased to $31.6 million at June 30, 2011 from $42.2 million at March 31, 2011. Covered foreclosed property was $5.5 million at June 30, 2011, down from $11.1 million at March 31, 2011.
The allowance for loan losses was $18.3 million, or 1.99 percent of non-covered loans, at the end of the 2011 second quarter compared with $17.0 million, or 1.80 percent of non-covered loans, at December 31, 2010. Net loan charge-offs for the 2011 second quarter were $860,000, or 0.37 percent (annualized) of average non-covered loans. The provision for non-covered loan losses for the 2011 second quarter decreased to $500,000 compared with $1.8 million for the 2010 second quarter.
Kum added, "All of our asset quality data points are positive, with significant declines in problem loans, charge-offs and the provision for loan losses. Our strong allowance for loan losses, history of low credit losses and exemplary credit administrative team has and will continue to help protect our capital through this extended recession and stagnant real estate market."
Capital resources
Shareholders' equity was $217.5 million at June 30, 2011 compared with $198.0 million at December 31, 2010. The Company's book value per common share increased to $6.77 at June 30, 2011 compared with $6.16 at December 31, 2010. Tangible book value per common share rose to $4.11 at June 30, 2011 compared with $3.65 at December 31, 2010.
At June 30, 2011, First California's preliminary Tier 1 leverage capital ratio was 9.77 percent. At the end of the 2010 fourth quarter, the Tier 1 leverage capital ratio was 11.00 percent. The Company's ratio of tangible common equity to tangible assets was 6.77 percent at quarter end and 7.08 percent at the end of the 2010 fourth quarter. Total assets were $1.80 billion at June 30, 2011 compared with $1.52 billion at December 31, 2010.
Kum concluded: "Looking ahead, we are building positive core earnings momentum, with strong core deposits and stable operating costs. In addition, we expect increased contributions from the EPS division in the fourth quarter of this year and beyond, as revenues begin catching up to the front-end expenses. And, we have recently brought on board a chief banking officer and chief marketing officer who will be significant participants in strengthening, re-energizing and stimulating further growth in our Bank."
SBLF transaction
Subsequent to the end of the 2011 second quarter, on July 14, 2011, the Company issued 25,000 shares of non-cumulative, perpetual preferred stock series C shares to the U.S. Treasury under its Small Business Lending Fund (SBLF) program. The Company used the $25 million of proceeds to redeem all 25,000 outstanding shares of preferred stock series B. In connection with the redemption of the series B shares, the Company accelerated the amortization of the remaining difference between the par amount and the initially recorded fair value of the series B preferred shares. This $1,143,500 deemed dividend will reduce the amount of net income available to common shareholders in the 2011 third quarter. The initial dividend rate on the series C shares will be 5%; the dividend rate will be established each quarter based on the growth in qualified small business loans.
Use of Non-GAAP Financial Measures
This news release includes "non-GAAP financial measures" within the meaning of the Securities and Exchange Commission rules. Tangible common equity as a percentage of tangible assets is a non-GAAP financial measure. Tangible common equity to tangible assets represents tangible common equity, calculated as total shareholders' equity less preferred stock and related dividend and accretion of preferred stock discount, goodwill and intangible assets, net, divided by total assets less goodwill and other intangible assets, net. Management believes that this measure is useful when comparing banks with preferred stock due to TARP funding to banks without preferred stock on their balance sheet and for evaluating a company's capital levels. Operating expenses exclude amortization of intangible assets and loss on and expense of foreclosed property and non-recurring items such as integration/conversion expenses related to acquisitions and is intended to represent normalized, recurring expenses. This information is being provided in response to market participant interest in these financial metrics. This information is not intended to be considered in isolation or as a substitute for the relevant measures calculated in accordance with U.S. GAAP. The reconciliation of this non-GAAP financial measure to a GAAP financial measure is provided as an attachment to the financial tables.
Conference Call and Webcast
First California will hold a conference call today, July 26, 2011 at 11 a.m. Pacific (2 p.m. Eastern) to discuss the Company's 2011 second quarter financial performance. Investment professionals are invited to participate in the live call by dialing 877-317-6789 (domestic), 866-605-3852 (Canada) or 412-317-6789 (international) and requesting the First California conference call. Other interested parties are invited to listen to the live call through a live, listen-only audio Internet broadcast at www.fcalgroup.com. Listeners are encouraged to visit the Web site at least 15 minutes prior to the start of the call to register, download and install any necessary audio software. For those who are not available to listen to the live broadcast, the call will be archived on the same Web site for one year. A telephonic replay of the call will be available one hour after the end of the conference through August 9, 2011 by dialing 877-344-7529 (domestic) or 412-317-0088 (international) and entering replay passcode 10002063.
About First California
First California Financial Group, Inc. (NASDAQ: FCAL) is the holding company of First California Bank. Founded in 1979 and with nearly $2 billion in assets, First California serves the comprehensive financial needs of small- and middle-sized businesses and high net worth individuals throughout Southern California. Led by an experienced team of bankers, First California is committed to providing the best client service available in its markets, offering a full line of quality commercial banking products through 19 full-service branch offices in Los Angeles, Orange, Riverside, San Bernardino, San Diego, San Luis Obispo and Ventura counties. The holding company's website can be accessed at www.fcalgroup.com. For additional information on First California Bank's products and services, visit www.fcbank.com.
Forward-Looking Information
This press release contains certain forward-looking information about First California that is intended to be covered by the safe harbor for "forward-looking statements" provided by the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking statements, and include statements related to the maintenance of First California's asset quality and capital position, the Company's ability to enhance efficiencies and manage costs and the expected continued progress in consolidating operations and the benefits of those activities, the monitoring of and management of risks in First California's loan portfolio, the adequacy of sources of liquidity to support First California's operations and strategic plans, the monitoring of and response to changing market conditions, and the status of the economy in the Southern California communities served by First California. Such statements involve inherent risks and uncertainties, many of which are difficult to predict and are generally beyond the control of First California. First California cautions readers that a number of important factors could cause actual results to differ materially from those expressed in, or implied or projected by, such forward-looking statements. Risks and uncertainties include, but are not limited to, revenues are lower than expected, credit quality deterioration which could cause an increase in the provision for credit losses, First California's ability to complete future acquisitions, successfully integrate such acquired entities, or achieve expected beneficial synergies and/or operating efficiencies within expected time-frames or at all, changes in consumer spending, borrowing and savings habits, technological changes, the cost of additional capital is more than expected, a change in the interest rate environment reduces interest margins, asset/liability repricing risks and liquidity risks, general economic conditions, particularly those affecting real estate values, either nationally or in the market areas in which First California does or anticipates doing business are less favorable than expected, a slowdown in construction activity, recent volatility in the credit or equity markets and its effect on the general economy, loan delinquency rates, the ability of First California to retain customers, changes in the bank regulatory environment, demographic changes, demand for the products or services of First California as well as their ability to attract and retain qualified people, competition with other banks and financial institutions, and other factors. If any of these risks or uncertainties materializes or if any of the assumptions underlying such forward-looking statements proves to be incorrect, First California's results could differ materially from those expressed in, or implied or projected by such forward-looking statements. First California assumes no obligation to update such forward-looking statements. For a more complete discussion of risks and uncertainties, investors and security holders are urged to read the section titled "Risk Factors" in First California's Annual Report on Form 10-K and any other reports filed by it with the Securities and Exchange Commission ("SEC"). The documents filed by First California with the SEC may be obtained at the SEC's website at www.sec.gov. These documents may also be obtained free of charge from First California by directing a request to: First California Financial Group, Inc., 3027 Townsgate Road, Suite 300, Westlake Village, CA 91361. Attention: Investor Relations. Telephone (805) 322-9655.
(Financial Tables Follow)
First California Financial Group
Unaudited Quarterly Financial Results
(in thousands
except for
share data and
ratios)
As of or for
the quarter
ended 30-Jun-11 31-Mar-11 31-Dec-10 30-Sep-10 30-Jun-10
----------- ----------- ----------- ----------- -----------
Income
statement
summary
Net interest
income $ 15,500 $ 12,779 $ 12,108 $ 11,107 $ 10,806
Service
charges, fees
& other income 2,234 1,239 1,199 1,116 1,133
Operating
expenses 12,557 12,130 9,383 9,083 9,866
Provision for
loan losses 500 2,500 1,199 3,618 1,766
Foreclosed
property
(gain)/loss &
expense 486 5,252 2,224 185 (223)
Amortization of
intangible
assets 624 416 416 416 417
Gain on
securities
transactions 490 - 548 1,204 130
Integration/
conversion
expense 350 515 430 - -
Gain on
acquisition 466 34,736 2,312 - -
Impairment loss
on securities - 1,066 708 23 -
----------- ----------- ----------- ----------- -----------
Income before
tax 4,173 26,875 1,807 102 243
Tax expense 1,756 11,287 727 38 96
----------- ----------- ----------- ----------- -----------
Net income $ 2,417 $ 15,588 $ 1,080 $ 64 $ 147
=========== =========== =========== =========== ===========
Net income
(loss)
available to
common
shareholders $ 2,104 $ 15,275 $ 767 $ (249)$ (166)
=========== =========== =========== =========== ===========
Common
shareholder
data
Basic earnings
(loss) per
common share $ 0.07 $ 0.54 $ 0.03 $ (0.01)$ (0.01)
Diluted
earnings
(loss) per
common share $ 0.07 $ 0.54 $ 0.03 $ (0.01)$ (0.01)
Book value per
common share $ 6.77 $ 6.71 $ 6.16 $ 6.17 $ 6.18
Tangible book
value per
common share $ 4.11 $ 4.21 $ 3.65 $ 3.65 $ 3.64
Shares
outstanding 28,410,075 28,214,721 28,170,760 28,174,076 28,175,564
Basic weighted
average shares 28,372,740 28,177,635 28,171,552 28,174,092 28,181,602
Diluted
weighted
average shares 28,744,784 28,519,006 28,494,729 28,174,092 28,181,602
Selected
ratios, yields
and rates
Return on
average assets 0.52% 3.67% 0.28% 0.02% 0.04%
Return on
average
tangible
assets 0.63% 3.82% 0.30% 0.02% 0.04%
Return on
average equity 4.50% 30.68% 2.16% 0.13% 0.30%
Return on
average common
equity 4.42% 34.15% 1.75% -0.57% -0.38%
Return on
average
tangible
common equity 8.49% 56.78% 3.89% -0.03% 0.30%
Equity to
assets 12.07% 11.70% 13.02% 13.23% 13.65%
Tangible equity
to tangible
assets 8.21% 8.16% 8.78% 8.91% 9.19%
Tangible common
equity to
tangible
assets 6.77% 6.75% 7.08% 7.19% 7.42%
Tier 1 leverage
capital ratio:
First
California
Bank 9.54% 10.25% 10.63% 11.03% 11.10%
First
California
Financial
Group, Inc. 9.77% 10.58% 11.00% 11.49% 11.62%
Yield on loans 6.24% 5.69% 5.74% 5.83% 5.63%
Yield on
securities 2.16% 1.78% 1.76% 2.15% 2.22%
Yield on
federal funds
sold and
deposits
w/banks 0.29% 0.28% 0.33% 0.28% 0.27%
Total earning
assets yield 4.84% 4.54% 4.64% 4.57% 4.77%
Rate paid on
interest-
bearing
deposits 0.90% 0.95% 0.97% 0.99% 1.00%
Rate paid on
borrowings 2.53% 3.22% 3.48% 3.72% 3.86%
Rate paid on
junior
subordinated
debt 4.99% 4.90% 6.26% 6.55% 6.56%
Total rate paid
on interest-
bearing funds 1.18% 1.30% 1.44% 1.54% 1.56%
Net interest
spread 3.66% 3.24% 3.20% 3.03% 3.21%
Net interest
margin (tax
equivalent) 3.95% 3.52% 3.59% 3.46% 3.40%
Cost of all
deposits 0.64% 0.71% 0.69% 0.69% 0.71%
Efficiency
ratio 73.59% 37.53% 80.73% 75.97% 81.82%
First California Financial Group
Unaudited Quarterly Financial Results
(in thousands
except for
share data and
ratios)
As of or for
the quarter
ended 30-Jun-11 31-Mar-11 31-Dec-10 30-Sep-10 30-Jun-10
----------- ----------- ----------- ----------- -----------
Balance sheet
data - period
end
Total assets $ 1,801,981 $ 1,830,443 $ 1,521,334 $ 1,498,932 $ 1,452,999
Shareholders'
equity 217,539 214,086 198,041 198,284 198,384
Common
shareholders'
equity 192,682 189,344 173,413 173,770 173,985
Tangible common
shareholders'
equity 116,827 118,870 102,778 102,718 102,517
Earning assets 1,519,374 1,556,980 1,336,570 1,283,963 1,275,540
Loans 1,091,528 1,125,890 1,001,615 918,708 891,541
Securities 316,496 311,094 272,439 272,381 286,100
Federal funds
sold & other 111,350 119,996 62,516 92,874 97,899
Interest-
bearing funds 1,131,617 1,265,399 982,945 985,194 906,883
Interest-
bearing
deposits 977,186 1,083,803 824,640 780,402 751,354
Borrowings 127,626 154,791 131,500 178,000 128,750
Junior
subordinated
debt 26,805 26,805 26,805 26,792 26,779
Goodwill and
other
intangibles 75,855 70,474 70,635 71,052 71,468
Deposits 1,406,714 1,411,676 1,156,288 1,089,366 1,092,457
Balance sheet
data - period
average
Total assets $ 1,856,148 $ 1,723,401 $ 1,519,386 $ 1,449,937 $ 1,433,981
Shareholders'
equity 215,626 206,063 198,163 198,703 197,601
Common
shareholders'
equity 191,013 181,378 173,592 173,878 173,268
Tangible common
shareholders'
equity 116,539 110,824 102,748 102,618 101,592
Earning assets 1,576,428 1,475,076 1,341,797 1,274,996 1,278,026
Loans 1,107,772 1,079,197 991,723 890,221 913,251
Securities 314,025 295,407 293,721 287,370 278,395
Federal funds
sold & other 154,631 100,472 56,353 97,405 86,380
Interest-
bearing funds 1,198,176 1,165,157 979,844 919,381 916,653
Interest-
bearing
deposits 1,032,406 1,004,889 822,421 761,104 759,183
Borrowings 138,965 133,463 130,625 131,492 130,698
Junior
subordinated
debt 26,805 26,805 26,798 26,785 26,772
Goodwill and
other
intangibles 74,474 70,563 70,844 71,260 71,676
Deposits 1,450,812 1,336,865 1,153,795 1,084,990 1,070,126
Asset quality
data & ratios
Non-covered
assets:
Loans past due
30 to 89 days
& accruing $ 5,838 $ 2,393 $ 11,630 $ 2,003 $ 1,078
Loans past due
90 days &
accruing - 544 - - -
Nonaccruing
loans 17,792 21,186 18,241 22,398 13,192
----------- ----------- ----------- ----------- -----------
Total past due
& nonaccrual
loans $ 23,630 $ 24,123 $ 29,871 $ 24,401 $ 14,270
=========== =========== =========== =========== ===========
Foreclosed
property $ 20,204 $ 20,855 $ 26,011 $ 27,906 $ 27,850
Loans $ 919,704 $ 940,885 $ 947,745 $ 918,708 $ 891,541
Net loan
charge-offs $ 860 $ 867 $ 666 $ 3,570 $ 912
Allowance for
loan losses $ 18,306 $ 18,666 $ 17,033 $ 16,500 $ 16,452
Allowance for
loan losses to
loans 1.99% 1.98% 1.80% 1.80% 1.85%
Covered assets:
Loans past due
30 to 89 days
& accruing $ 4,145 $ 5,607 $ 4,877 $ - $ -
Loans past due
90 days &
accruing 2,379 4,208 400 - -
Nonaccruing
loans 31,649 42,412 4,325 - -
----------- ----------- ----------- ----------- -----------
Total past due
& nonaccrual
loans $ 38,173 $ 52,227 $ 9,602 $ - $ -
=========== =========== =========== =========== ===========
Foreclosed
property $ 5,461 $ 11,096 $ 977 $ - $ -
Loans $ 171,824 $ 185,005 $ 53,870 $ - $ -
Net loan
charge-offs $ - $ - $ - $ - $ -
Allowance for
loan losses $ - $ - $ - $ - $ -
Allowance for
loan losses to
loans 0.00% 0.00% 0.00% 0.00% 0.00%
First California Financial Group
Unaudited Quarterly Financial Results
Three months ended Six months ended
June 30, June 30,
------------------- --------------------
2011 2010 2011 2010
(in thousands)
Interest income:
Interest and fees on loans $ 17,236 $ 12,819 $ 32,368 $ 25,806
Interest on securities 1,680 1,508 2,991 3,097
Interest on federal funds sold
and interest bearing deposits 111 59 180 79
--------- --------- --------- ---------
Total interest income 19,027 14,386 35,539 28,982
--------- --------- --------- ---------
Interest expense:
Interest on deposits 2,316 1,884 4,658 4,056
Interest on borrowings 877 1,257 1,937 2,569
Interest on junior
subordinated debentures 334 439 665 878
--------- --------- --------- ---------
Total interest expense 3,527 3,580 7,260 7,503
--------- --------- --------- ---------
Net interest income before
provision for loan losses 15,500 10,806 28,279 21,479
Provision for loan losses 500 1,766 3,000 3,520
--------- --------- --------- ---------
Net interest income after
provision for loan losses 15,000 9,040 25,279 17,959
--------- --------- --------- ---------
Noninterest income:
Service charges on deposit
accounts 858 814 1,755 1,599
Net gain on sale of securities 490 130 490 262
Impairment loss on securities - - (1,066) (18)
Market gain on foreclosed
assets - 691 - 691
Gain on acquisitions 466 - 35,202 -
Other income 1,376 319 1,718 613
--------- --------- --------- ---------
Total noninterest income 3,190 1,954 38,099 3,147
--------- --------- --------- ---------
Noninterest expense:
Salaries and employee benefits 6,572 4,889 12,640 9,859
Premises and equipment 1,603 1,517 3,142 3,054
Data processing 814 597 1,875 1,192
Legal, audit and other
professional services 1,568 590 3,228 772
Printing, stationery and
supplies 112 113 208 125
Telephone 208 213 374 437
Directors' fees 100 113 206 233
Advertising, marketing and
business development 428 286 797 513
Postage 65 47 121 103
Insurance and assessments 750 780 1,413 1,580
Loss on and expense of
foreclosed property 486 468 5,738 546
Amortization of intangible
assets 624 417 1,040 833
Other expenses 687 721 1,548 1,420
--------- --------- --------- ---------
Total noninterest expense 14,017 10,751 32,330 20,667
--------- --------- --------- ---------
Income before provision for
income taxes 4,173 243 31,048 439
Provision for income taxes 1,756 96 13,043 175
--------- --------- --------- ---------
Net income $ 2,417 $ 147 $ 18,005 $ 264
========= ========= ========= =========
Net income (loss) available to
common stockholders $ 2,104 $ (166) $ 17,380 $ (361)
First California Financial Group
Unaudited Quarterly Financial Results
(in thousands) June 30, December 31,
2011 2010
------------ ------------
Cash and due from banks $ 46,530 $ 25,487
Interest bearing deposits with other banks 111,350 62,516
Securities available-for-sale, at fair value 316,496 272,439
Non-covered loans, net 901,398 930,712
Covered loans 171,824 53,870
Premises and equipment, net 18,628 19,710
Goodwill 60,720 60,720
Other intangibles, net 15,135 9,915
Deferred tax assets, net - 4,563
Cash surrender value of life insurance 12,451 12,232
Non-covered foreclosed property 20,204 26,011
Covered foreclosed property 5,461 977
FDIC shared-loss asset 81,630 16,725
Accrued interest receivable and other assets 40,154 25,457
------------ ------------
Total assets $ 1,801,981 $ 1,521,334
============ ============
Non-interest checking $ 429,528 $ 331,648
Interest checking 98,695 88,638
Money market and savings 490,062 388,289
Certificates of deposit, under $100,000 95,412 84,133
Certificates of deposit, $100,000 and over 293,017 263,580
------------ ------------
Total deposits 1,406,714 1,156,288
Securities sold under agreements to repurchase 30,000 45,000
Federal Home Loan Bank advances 97,626 86,500
Junior subordinated debentures 26,805 26,805
Deferred tax liabilities, net 11,353 -
FDIC shared-loss liability 3,643 988
Accrued interest payable and other liabilities 8,301 7,712
------------ ------------
Total liabilities 1,584,442 1,323,293
Total shareholders' equity 217,539 198,041
------------ ------------
Total liabilities and shareholders' equity $ 1,801,981 $ 1,521,334
============ ============
FIRST CALIFORNIA FINANCIAL GROUP, INC.
RECONCILIATION OF GAAP FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES
(unaudited)
(in thousands except for share data and ratios) 6/30/2011 12/31/2010
----------- -----------
Total shareholders' equity $ 217,539 $ 198,041
Less: Goodwill and intangible assets (75,855) (70,635)
----------- -----------
Tangible equity 141,684 127,406
Less: Preferred stock (24,857) (24,628)
----------- -----------
Tangible common equity $ 116,827 $ 102,778
=========== ===========
Total assets $ 1,801,981 $ 1,521,334
Less: Goodwill and intangible assets (75,855) (70,635)
----------- -----------
Tangible assets $ 1,726,126 $ 1,450,699
=========== ===========
Common shares outstanding 28,410,075 28,170,760
Tangible equity to tangible assets 8.21% 8.78%
Tangible common equity to tangible assets 6.77% 7.08%
Tangible book value per common share $ 4.11 $ 3.65
Three months ended
------------------------
6/30/2011 6/30/2010
----------- -----------
Net income (loss) available to common shares $ 2,104 $ (166)
Less: amortization of intangible assets, net of
tax 362 241
----------- -----------
Net income available to tangible common shares $ 2,466 $ 75
=========== ===========
Three months ended
------------------------
6/30/2011 6/30/2010
----------- -----------
Noninterest expense $ 14,017 $ 10,751
Less: amortization of intangible assets (624) (417)
Less: loss on and expense of foreclosed property (486) (468)
Less: integration/conversion expenses (350) -
----------- -----------
Operating expenses $ 12,557 $ 9,866
=========== ===========
For further Information:
At the Company:
Ron Santarosa
805-322-9333
At PondelWilkinson:
Robert Jaffe
310-279-5969
Corporate Headquarters Address:
3027 Townsgate Road, Suite 300
Westlake Village, CA 91361
First California to Report 2011 Second Quarter Results and Host Conference Call on Tuesday, July 26, 2011
First California Financial Grp., Inc. (MM) (NASDAQ:FCAL)
Intraday Stock Chart
Today : Thursday 21 July 2011
First California Financial Group, Inc. (NASDAQ: FCAL) today announced that the company will issue its 2011 second quarter financial results before the market opens on Tuesday, July 26, 2011, and host a conference call that same day at 11 a.m. Pacific (2 p.m. Eastern) to review the company's financial performance and answer questions.
Investment professionals are invited to participate in the live call by dialing 877-317-6789 (domestic), 866-605-3852 (Canada) or 412-317-6789 (international) and requesting the First California conference call. The call will also be available through a live, listen-only audio Internet broadcast at www.fcalgroup.com. Listeners are encouraged to visit the Web site at least 15 minutes prior to the start of the call to register, download and install any necessary audio software. The call will be archived on the same Web site for one year. A telephonic replay of the call will be available one hour after the end of the conference through August 9, 2011 by dialing 877-344-7529 (domestic) or 412-317-0088 (international) and entering replay passcode 10002063.
US Treasury Releases Second Round Of Small Business Lending Funds
Last update: 7/20/2011 10:46:10 AM
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By Andrew Ackerman
Of DOW JONES NEWSWIRES
WASHINGTON (Dow Jones)--The U.S. Treasury Department on Wednesday said 17 banks have received funding in the second batch of its signature small-business lending program, another step meant to encourage community banks to make more loans.
President Barack Obama signed the Small Business Jobs Act in September 2010, with a $30 billion small business lending fund aimed at spurring more loans to smaller companies as its centerpiece.
Seventeen banks received a total of $214 million, Treasury said Wednesday. The announcement comes two weeks after Treasury said it had made an initial disbursal to six banks totaling $123 million.
More funding announcements are expected in the weeks ahead.
Small banks that draw from the fund will make repayments at different interest rates, ranging from 1% to 5%. Banks that increase their small-business lending by at least 10% would pay the lowest rate, while banks that increase lending by less than 2.5% would pay the highest rate.
The Small Business Jobs Act stipulates that lenders must have less than $10 billion in assets to participate in the fund.
The banks that received the second wave of funding are: Florida Traditions Bank of Dade City, Fla.; Verus Acquisition Group, Inc. of Ft. Collins, Colo.; Founders Bancorp (FBCP) of San Luis Obispo, Calif.; SouthCity Bank of Vestavia Hills, Ala.; Cache Valley Banking Co. of Logan, Utah; Security Business Bancorp of San Diego (SBBC); BOH Holdings, Inc. of Houston; BancIndependent, Inc. of Sheffield, Ala.; First California Financial Group, Inc. (FCAL) of Westlake Village, Calif.; Centric Financial Corp. of Harrisburg, Pa.; Eagle Bancorp, Inc. (EGBN) of Bethesda, Md.; York Traditions Bank of York, Pa.; Insight Bank of Columbus, Ohio; Freedom Bancshares, Inc. of Overland Park, Kan.; Phoenix Bancorp, Inc. of Minersville, Pa.; Huron Valley State Bank (HVLM) of Milford, Mich.; and Monument Bank of Doylestown, Pa.
Eagle Bancorp, which independently announced its dispersal last week, received $56.6 million, by far the largest amount of funding. BancIndependent received $30.0 million, the second largest.
-By Andrew Ackerman; Dow Jones Newswires; 202-569-8390; andrew.ackerman@dowjones.com
(END) Dow Jones Newswires
July 20, 2011 10:46 ET (14:46 GMT)
FCAL Completes SBLF Transaction (7/14/11)
WESTLAKE VILLAGE, CA--(Marketwire - Jul 14, 2011) - First California Financial Group, Inc. (NASDAQ: FCAL), the holding company of First California Bank, today reported that it received $25 million from the Small Business Lending Fund (SBLF). The SBLF is the U.S. Department of the Treasury's effort to bring Main Street banks and small businesses together to help create jobs and promote economic growth in local communities. The initial interest rate on the SBLF funds will be 5% and may be decreased to as low as 1% if growth thresholds are met for outstanding small business loans. First California used the SBLF proceeds to repurchase $25 million of outstanding preferred shares issued under the Treasury's Capital Purchase Program.
About First California
First California Financial Group, Inc. (NASDAQ: FCAL) is the holding company of First California Bank. Celebrating 32 years of business in 2011, First California is a regional force of strength and stability in Southern California banking with assets of $1.8 billion and led by an experienced team of bankers. The company specializes in serving the comprehensive financial needs of the commercial market, particularly small- and middle-sized businesses, professional firms and commercial real estate development and construction companies. Committed to providing the best client service available in its markets, First California offers a full line of quality commercial banking products through 19 full-service branch offices in Los Angeles, Orange, Riverside, San Bernardino, San Diego, San Luis Obispo and Ventura counties. The holding company's Web site can be accessed at www.fcalgroup.com. For additional information on First California Bank's products and services, visit www.fcbank.com.
http://www.marketwire.com/press-release/first-california-completes-sblf-transaction-nasdaq-fcal-1538528.htm
Roth Capital and Sterne Agee seem to a little late to the party. 56Chevy and EI had this one pegged about a dollar less per share!
First California Financial Corp Started At Buy By Roth Capital
Last update: 7/8/2011 1:46:21 AM
(END) Dow Jones Newswires
July 08, 2011 01:46 ET (05:46 GMT)
FCAL Appoints Chief Marketing Officer (7/08/11)
WESTLAKE VILLAGE, CA--(Marketwire - Jul 8, 2011) - First California Financial Group, Inc. (NASDAQ: FCAL) today announced that Diane Dickerson has been appointed senior vice president and chief marketing officer (CMO), a newly created position.
In her position as CMO, Dickerson will be responsible for all aspects of marketing and branding, as well as internal and external communications initiatives.
"Diane brings a breadth of marketing, advertising and branding savvy to her role with First California," said C. G. Kum, president and chief executive officer. "Combined with her deep knowledge of the banking industry, she has a unique talent base from which to further generate awareness of our competitive advantages, as well as the benefits of being a First California customer."
Dickerson, 56, joins First California with more than 25 years of experience in marketing, advertising and branding. She previously owned and operated two advertising agencies, representing a number of banks and financial institutions, among other client companies. Earlier, Dickerson served as an advertising/marketing executive for United Banks of Colorado and Citicorp. She earned a master's certification in college counseling from the University of California, Los Angeles and bachelor's degree in journalism and mass communications from the University of Utah.
About First California
First California Financial Group, Inc. (NASDAQ: FCAL) is the holding company of First California Bank. Celebrating 32 years of business in 2011, First California is a regional force of strength and stability in Southern California banking with assets of approximately $1.8 billion and led by an experienced team of bankers. The company specializes in serving the comprehensive financial needs of the commercial market, particularly small- and middle-sized businesses, professional firms and commercial real estate development and construction companies. Committed to providing the best client service available in its markets, First California offers a full line of quality commercial banking products through 19 full-service branch offices in Los Angeles, Orange, Riverside, San Bernardino, San Diego, San Luis Obispo and Ventura counties. The holding company's Web site can be accessed at www.fcalgroup.com. For additional information on First California Bank's products and services, visit www.fcbank.com.
First California Financial Group Started At Buy By Sterne Agee >FCALLast update: 7/1/2011 7:58:06 AM
FCAL Receives Approval to Participate in SBLF (6/20/11)
WESTLAKE VILLAGE, CA--(Marketwire - Jun 20, 2011) - First California Financial Group, Inc. (NASDAQ: FCAL), the holding company of First California Bank, said it has received approval from the U.S. Department of the Treasury for participation in the Small Business Lending Fund (SBLF), subject to the Treasury's customary due diligence and closing conditions. The SBLF is Treasury's effort to bring Main Street banks and small businesses together to help create jobs and promote economic growth in local communities. First California will use the SBLF proceeds for the repayment of the $25 million of outstanding preferred shares issued under the Treasury's Capital Purchase Program (CPP) and anticipates that the transaction will close within 30 days.
About First California
First California Financial Group, Inc. (NASDAQ: FCAL) is the holding company of First California Bank. Celebrating 32 years of business in 2011, First California is a regional force of strength and stability in Southern California banking with assets of $1.8 billion and led by an experienced team of bankers. The company specializes in serving the comprehensive financial needs of the commercial market, particularly small- and middle-sized businesses, professional firms and commercial real estate development and construction companies. Committed to providing the best client service available in its markets, First California offers a full line of quality commercial banking products through 19 full-service branch offices in Los Angeles, Orange, Riverside, San Bernardino, San Diego, San Luis Obispo and Ventura counties. The holding company's Web site can be accessed at www.fcalgroup.com. For additional information on First California Bank's products and services, visit www.fcbank.com.
http://www.marketwire.com/press-release/first-california-receives-approval-to-participate-in-sblf-nasdaq-fcal-1529183.htm
From the amended 8-K
Item 2.01.
Completion of Acquisition or Disposition of Assets.
Effective February 18, 2011, the Bank assumed certain liabilities and acquired certain assets and substantially all of the operations of San Luis Trust Bank from the FDIC as receiver for San Luis Trust Bank, pursuant to the terms of a purchase and assumption agreement entered into by the Bank and the FDIC on February 18, 2011, or the Purchase Agreement. The San Luis Acquisition included the one branch of San Luis Trust Bank, which became a branch of the Bank upon consummation of the San Luis Acquisition.
As a result of the San Luis Acquisition, the Bank acquired, received, and recognized certain assets with an estimated fair value of approximately $365 million, including $139 million of loans, $70 million of a FDIC shared-loss asset, $99 million of cash and federal funds sold, $41 million of securities, $11 million of foreclosed property and $5 million of other assets. Liabilities with an estimated fair value of approximately $345 million were also assumed and recognized, including $266 million of deposits, $62 million of Federal Home Loan Bank advances, $15 million in a deferred tax liability, $3 million of a FDIC shared-loss liability and $0.4 million of other liabilities. The estimated fair values of the assets acquired and liabilities assumed were determined based on the requirements of Financial Accounting Standards Board Accounting Standards Codification, or the FASB ASC, Topic 820: Fair Value Measurements and Disclosures . The foregoing fair value amounts are subject to change for up to one year after the closing date of the San Luis Acquisition as additional information relative to closing date fair values becomes available. The amounts are also subject to adjustments based upon final settlement with the FDIC. In addition, the tax treatment of FDIC-assisted acquisitions is complex and subject to interpretations that may result in future adjustments of deferred taxes as of the acquisition date. The disclosure set forth in this Item 2.01 reflects the status of these items to the best of management’s knowledge as of May 6, 2011, the filing date of this Current Report on Form 8-K/A. The terms of the Purchase Agreement provide for the FDIC to indemnify the Bank against certain claims, including claims with respect to liabilities and assets of San Luis Trust Bank or any of its affiliates not assumed or otherwise purchased by the Bank and certain other types of claims identified in the Purchase Agreement.
The Bank paid no cash or other consideration to acquire San Luis Trust Bank. In connection with the San Luis Acquisition, the Bank and the FDIC entered into shared-loss agreements to cover expected losses on acquired loans and foreclosed loan collateral, or Covered Assets. Pursuant to the terms of the shared-loss agreements, the FDIC is obligated to reimburse the Bank for 80 percent of losses with respect to Covered Assets. The Bank will reimburse the FDIC for 80 percent of recoveries with respect to losses for which the FDIC paid the Bank 80 percent reimbursement under the shared-loss agreements.
Sounds like a great report, ((( if i know what iam reading, I think ))
FCAL Posts Q1 Net Income of $15.6 Million (4/28/11)
WESTLAKE VILLAGE, CA--(Marketwire - Apr 28, 2011) - First California Financial Group, Inc. (NASDAQ: FCAL), the holding company of First California Bank, today reported first quarter net income of $15.6 million up significantly from $117,000 for the same period a year ago. Net income available to common shareholders was $15.3 million or $0.54 per diluted share compared to a net loss available to common shareholders of $196,000 or $0.02 per share for the 2010 first quarter. Preferred dividends were $312,500 for both the first quarter of 2011 and 2010. The 2011 first quarter results include a $34.7 million pre-tax gain related to the FDIC-assisted acquisition of San Luis Trust Bank.
"We are very pleased with the San Luis Trust Bank acquisition as it enabled us to enter a complementary Central Coast market on financial terms that will provide attractive returns to our shareholders on a short and longer term basis," said C. G. Kum, president and chief executive officer of First California Financial Group. "Moreover, the transaction fits our strategy of sound capital management as we were able to increase our tangible book value to $4.21 per share at the end of the first quarter from $3.65 per share at year end, while maintaining a stable tangible common equity to tangible assets ratio of 6.75%."
2011 First Quarter Financial Highlights
-- Net income was $15.6 million compared with $117,000 for the same period a year ago;
-- Diluted earnings per common share was $0.54 versus loss per common share of $0.02 for the 2010 first quarter;
-- Pre-tax gain of $34.7 million recorded in connection with FDIC-assisted acquisition of San Luis Trust Bank; associated integration/conversion expense of $515,000;
-- Allowance to non-covered loans at the end of the 2011 first quarter of 1.98 percent, up from 1.80 percent at year-end 2010; net loan charge-offs of $867,000, down from $2.7 million for the same period last year;
-- Other-than-temporary impairment charges of $1.1 million;
-- Foreclosed property valuation allowance charges of $5.1 million;
-- Net interest income for the 2011 first quarter was $12.8 million, up 20% from the same period a year ago;
-- Loans up 22% from a year ago to end the 2011 first quarter at $1.1 billion;
-- Deposits up 31% from a year ago to end the 2011 first quarter at $1.4 billion;
-- Tangible book value per common share up 18% from a year ago to end the first quarter at $4.21.
FDIC-Assisted San Luis Trust Bank Acquisition
First California Bank assumed all the deposits and acquired substantially all of the assets of San Luis Trust Bank on February 18, 2011 from the Federal Deposit Insurance Corporation (FDIC) acting in its capacity as receiver of San Luis Trust Bank (SLTB), a single branch community bank located in San Luis Obispo, California.
As part of the transaction, First California assumed $221 million of loans, $19 million of foreclosed property and $105 million of cash and securities, as well as $265 million in deposits and $61 million in Federal Home Loan Bank advances. These amounts represent the SLTB book value and do not reflect fair value. All of the loans purchased from the FDIC are covered under loss-sharing agreements that afford First California Bank significant protection from future losses incurred on the loans and foreclosed property purchased (covered assets). Under the loss-sharing agreement, the FDIC is obligated to reimburse First California for 80 percent of losses on covered assets; First California will reimburse the FDIC for 80 percent of recoveries on covered assets to the extent the FDIC reimbursed the company under the loss-sharing agreement.
At March 31, 2011, the unpaid principal balance of the covered loans was $215.9 million, while the carrying amount was $134.6 million, and the fair value of the covered foreclosed property was $10.9 million.
Of the deposits assumed, $174 million were from depositors outside the SLTB footprint. As such, First California does not consider these as core deposits. At March 31, 2011, these deposits declined to $150 million. First California intends to allow these deposits to run-off based on their scheduled maturities -- $130 million in the 2011 second quarter and $19 million in the 2011 third quarter -- such that few of these deposits will be outstanding at year end. Similarly, the $61 million of assumed Federal Home Loan Bank advances will decline to $14 million at year-end 2011 based on scheduled maturities.
Asset Quality
Non-covered nonaccrual loans increased to $20.9 million at March 31, 2011 from $18.2 million at December 31, 2010. The increase primarily reflects late cycle deterioration of smaller business credits that averaged approximately half a million dollars in size. Non-covered loans past due 30 to 89 days decreased to $2.4 million at March 31, 2011 from $11.6 million at December 31, 2010, primarily due to resolution of an $8.3 million construction loan for a high-end residence in Beverly Hills.
Non-covered foreclosed property at the end of the 2011 first quarter declined to $20.9 million from $26.0 million at December 31, 2010. The reduction was mainly from an increase in valuation allowances for the two large foreclosed properties in the company's portfolio.
At March 31, 2011, the company had $182.8 of covered loans, of which $68.5 million were classified as non-accrual, and $11.1 million of covered foreclosed property. The unpaid principal balance of the covered loans at March 31, 2011 was $277.9 million.
The allowance for loan losses was $18.7 million, or 1.98% of non-covered loans, at the end of the 2011 first quarter compared with $17.0 million, or 1.80% of non-covered loans, at the end of the 2010 fourth quarter. Net loan charge-offs for the 2011 first quarter were $867,000 or 0.37 percent (annualized) of average non-covered loans. The provision for loan losses for the 2011 first quarter was $2.5 million.
Kum added, "We are encouraged by the improving asset quality trend as reflected in lower past due loans, net charge-offs and non-performing assets. However, as the extended recession and the stagnant real estate market continue to manifest weaknesses in small business loans and lower real estate valuations, we have taken steps to protect our capital by strengthening our loan loss and foreclosed properties allowances."
Financial Results
For the 2011 first quarter, net interest income before the provision for loan losses, increased 20 percent to $12.8 million from $10.7 million for the 2010 first quarter. Net interest margin (on a taxable equivalent basis) rose to 3.52 percent from 3.39 percent for the 2010 first quarter. The increase in the net interest income and net interest margin principally reflects the decline in cost of interest-bearing liabilities and the increase in the level of interest-earning assets.
Service charges, fees and other income increased 15 percent to $1.2 million from $1.1 million for the 2010 first quarter.
Noninterest income for the 2011 first quarter included a $1.1 million charge for other-than-temporary impairment, due to the increase in delinquencies and loss severity in two of First California's three private-label Collateralized Mortgage Obligations. At March 31, 2011, the current par value of these securities was $20.6 million, their carrying value was $18.4 million and their fair value was $14.5 million.
Operating expenses for the 2011 first quarter were $12.1 million compared with $9.4 million for the 2010 first quarter. Operating expenses exclude intangible amortization, integration/conversion expenses and foreclosed property gains, losses and expenses. The increase reflects growth in the Company's workforce associated with the acquisitions of Western Commercial Bank and San Luis Trust Bank, as well as the addition of three lending teams. Employees at March 31, 2011 numbered 260 compared with 250 at the end of the same period a year ago. In addition, professional expenses were higher due to ongoing collection and resolution efforts.
At March 31, 2011, loans increased to $1.125 billion from $1.001 billion at December 31, 2010. The increase includes $134.6 million of loans acquired from San Luis Trust Bank.
Deposits as of March 31, 2011 increased to $1.412 billion from $1.156 billion at December 31, 2011. The increase includes $235.5 million of deposits assumed from San Luis Trust Bank.
Capital resources
Shareholders' equity was $214.1 million at the close of the 2011 first quarter compared with $198.0 million at December 31, 2010. The company's book value per common share was $6.71 at March 31, 2011 compared with $6.16 at December 31, 2010. Tangible book value per common share was $4.21 at March 31, 2011 compared with $3.65 at December 31, 2010.
At March 31, 2011, First California's preliminary total risk-based and leverage capital ratios were 18.20 percent and 10.58 percent, respectively. At the end of the 2010 fourth quarter, the total risk-based capital ratio was 16.78 percent and the leverage capital ratio was 11.00 percent. The company's ratio of tangible common equity to tangible assets was 6.75 percent at quarter end and 7.08 percent at the end of the 2010 fourth quarter. Total assets were $1.83 billion at March 31, 2011 compared with $1.52 billion at December 31, 2010.
Kum concluded: "We are pleased with our 2011 first quarter performance, which in addition to underscoring the company's core earnings power, extended and strengthened the franchise. As the year unfolds, we look to continue improving our results."
Electronic Payments Services Transaction
On April 8, 2011, the Bank completed the acquisition of the Electronic Banking Solutions division of Palm Desert National Bank. The transaction included the division's customer base, core deposits, and employees. At December 31, 2010, the division had deposits of approximately $74 million and revenues for 2010 were $3.3 million. At the closing date, deposits were approximately $91 million. The Electronic Payment Services division, its new name under First California Bank, is a leader in the electronic payment industry with a history of successful stored-value card programs and merchant acquiring programs. First California Bank will issue prepaid cards and sponsor merchant acquiring services for all national and regional networks, including Visa, MasterCard, and Discover throughout all 50 states and US territories.
Use of Non-GAAP Financial Measures
This news release includes "non-GAAP financial measures" within the meaning of the Securities and Exchange Commission rules. Tangible common equity as a percentage of tangible assets is a non-GAAP financial measure. Tangible common equity to tangible assets represents tangible common equity, calculated as total shareholders' equity less preferred stock and related dividend and accretion of preferred stock discount, goodwill and intangible assets, net, divided by total assets less goodwill and other intangible assets, net. Management believes that this measure is useful when comparing banks with preferred stock due to TARP funding to banks without preferred stock on their balance sheet and for evaluating a company's capital levels. Operating expenses exclude amortization of intangible assets and loss on and expense of foreclosed property and non-recurring items such as integration/conversion expenses related to acquisitions and is intended to represent normalized, recurring expenses. This information is being provided in response to market participant interest in these financial metrics. This information is not intended to be considered in isolation or as a substitute for the relevant measures calculated in accordance with U.S. GAAP. The reconciliation of this non-GAAP financial measure to GAAP financial measure is provided as an attachment to the financial tables.
Conference Call and Webcast
First California will hold a conference call today, April 28, 2011 at 11 a.m. Pacific (2 p.m. Eastern) to discuss the company's 2011 first quarter financial performance. Investment professionals are invited to participate in the live call by dialing 877-317-6789 (domestic), or 412-317-6789 (international) and requesting the First California conference call. Other interested parties are invited to listen to the live call through a live, listen-only audio Internet broadcast at www.fcalgroup.com. Listeners are encouraged to visit the Web site at least 15 minutes prior to the start of the call to register, download and install any necessary audio software. For those who are not available to listen to the live broadcast, the call will be archived on the same Web site for one year. A telephonic replay of the call will be available one hour after the end of the conference through May 12, 2011 by dialing 877-344-7529 (domestic), or 412-317-0088 (international) and entering replay passcode 450519.
About First California
First California Financial Group, Inc. (NASDAQ: FCAL) is the holding company of First California Bank. Celebrating 32 years of business in 2011, First California is a regional force of strength and stability in Southern California banking with assets of $1.9 billion and led by an experienced team of bankers. The company specializes in serving the comprehensive financial needs of the commercial market, particularly small- and middle-sized businesses, professional firms and commercial real estate development and construction companies. Committed to providing the best client service available in its markets, First California offers a full line of quality commercial banking products through 19 full-service branch offices in Los Angeles, Orange, Riverside, San Bernardino, San Diego, San Luis Obispo and Ventura counties. The holding company's Web site can be accessed at www.fcalgroup.com. For additional information on First California Bank's products and services, visit www.fcbank.com.
http://www.marketwire.com/press-release/first-california-posts-2011-first-quarter-net-income-of-156-million-nasdaq-fcal-1507496.htm
First California Financial Group, Inc. (NASDAQ: FCAL) today announced that the company will issue its 2011 first quarter financial results before the market opens on Thursday, April 28, 2011, and host a conference call that same day at 11 a.m. Pacific (2 p.m. Eastern) to review the company's financial performance and answer questions.
FCAL Completes Acquisition of Electronic Payment Services Division of Palm Desert National Bank (4/11/11)
WESTLAKE VILLAGE, CA--(Marketwire - April 11, 2011) - First California Financial Group, Inc. (NASDAQ: FCAL), the holding company of First California Bank, today announced that First California Bank has completed the previously announced acquisition of the Electronic Payment Solutions division of Palm Desert National Bank (PDNB).
The transaction includes the division's customer base, core deposits, and employees. At December 31, 2010, deposits were approximately $74 million and revenues for that year were $3.3 million. At the closing date, deposits were approximately $91 million. First California paid cash consideration of $5.5 million.
The Electronic Payment Services (EPS) division, its new name under First California Bank, is a leader in the electronic payment industry with a history of successful stored value prepaid card programs and merchant acquiring programs. First California Bank issues prepaid cards and sponsors merchant acquiring services for all national and regional networks, including Visa, MasterCard and Discover throughout all 50 states and the contiguous US territories. Jim Tingey, Executive Vice President and Division President, will continue to manage this division along with his team based in Palm Desert, California. Jim brings more than 25 years of executive management experience as well as a distinguished career in law enforcement.
http://www.marketwire.com/press-release/First-California-Completes-Acquisition-Electronic-Payment-Services-Division-Palm-Desert-NASDAQ-FCAL-1425346.htm
C. G. Kum, President and Chief Executive Officer of First California Financial Group, Inc. and Ron Santarosa, Chief Financial Officer, will make a presentation to current and potential investors on March 8, 2011 at the Sandler O’Neill & Partners West Coast Financial Services
...and why not it's got nice "legs"! This bank is making all the right moves and I think that has made someone else take notice.
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First California Financial Group, Inc. (Nasdaq:FCAL) is emerging as a regional force of strength and stability in Southern California banking, celebrating 32 years of business. With total assets of $1.9 billion, the company operates throughout Southern California under the First California Bank brand. The bank specializes in serving the financial needs of the commercial market, particularly small- and middle-sized businesses, professional firms and commercial real estate, development and construction companies. With a commitment to provide the best client service available in its markets, First California Bank offers a full line of quality commercial banking products through 19 full-service branch offices in Los Angeles, Orange, Riverside, San Bernardino, San Diego, San Luis Obispo and Ventura counties. For additional information on First California Bank's products and services, visit www.fcbank.com.
First California was a wholly owned subsidiary of National Mercantile Bancorp formed to facilitate the reincorporation merger with National Mercantile and the merger with FCB Bancorp, which occurred on March 12, 2007. Accordingly, First California's historical balance sheet and results of operations before the merger are the same as the historical information of National Mercantile. The company's results of operations include approximately 19 days of FCB Bancorp's results for the 2007 first quarter.
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