Midlothian, Virginia, October 30, 2019: The third quarter of 2019 saw the declaration of a cash dividend for shareholders, a new product offering for our customer banks, and strong earnings for Community Bankers’ Bank (“CBB” or “the Bank”) and CBB Financial Corp. (“CBBFC”):
- As a reflection of the significant improvement in the financial performance of the company in 2019, the Board of Directors of CBBFC declared a two dollar ($2.00) per share annual dividend for shareholders of record on September 30, 2019. The dividend is payable on November 1, 2019.
- CBB announced a strategic alliance with Mineral, Virginia-based Intelligent Demographics. Intelligent Demographics has developed management tools using artificial intelligence for use in call centers and at the point-of-sale. These tools can increase customer satisfaction while helping management monitor the effectiveness of needs-based sales to bank customers. The tools are especially designed for medium to large call centers and banks with a dispersed branch network.
- After serving as interim President and CEO for ten months, G. William “Billy” Beale was elected as President and CEO of CBBFC and CBB, and to the Boards of Directors of CBBFC and CBB, effective September 1, 2019.
Net income of $185,000 was recorded for the three-month period ended September 30, 2019, compared to net income of $88,000 for the three-month period ended September 30, 2018. Net income of $496,000 was recorded for the nine-month period ended September30, 2019, compared to net income of $144,000 for the nine-month period ended September 30, 2018. CBB and CBBFC report on a consolidated basis.
The Bank, as a result of continued strong credit quality, lower levels of non-performing loans and recoveries from prior charged off loans, did not record a loan loss provision in the first nine months of 2019, compared to provision reversals of $114,000 in the first nine months of 2018. The loan loss allowance at September 30, 2019 was $1,674,000, or 1.84% of gross loans.
There were no non-performing assets at September 30, 2019, compared to nonperforming assets of $343,000 or 0.25% of total assets at December 31, 2018, and $461,000 or 0.35% of total assets at September 30, 2018.
The Bank continues to maintain a strong capital position that exceeds all regulatory requirements to be classified as “well capitalized.” The Bank’s Tier 1 leverage ratio totaled 13.28% at September 30, 2019, compared to 13.24% at December 31, 2018 and 12.48% at September 30, 2018. The Bank’s Total Capital Ratio equaled 16.10% at June 30, 2019, compared to 16.39% at December 31, 2018 and 15.75% at September 30, 2018.
G. William Beale, President and Chief Executive Officer stated, “The events and financial results for the third quarter were other positive steps in our journey to building the new Community Bankers’ Bank. We continue to enhance our value proposition to shareholders and customers through increased earnings, the payment of cash dividends, and the addition of new strategic partners. CBB is focused on driving value to our client banks through products and services that help them reduce expenses or increase net income. Thank you for the business!”
For further information, please contact:
G. William Beale
President & CEO
2601 Promenade Pkwy
Midlothian, VA 23113
Phone: 804-794-5885 x 116
Stephen R. Kinnier
Senior Vice President & CFO
2601 Promenade Pkwy
Midlothian, VA 23113
Phone: 804-794-5885 x 127
For Correspondent Services Information, contact:
Virginia and West Virginia:
Jo Ellen McKinley, Senior Vice President
Investment Officer and Regional Manager
Maryland, Northern Virginia, and the District of Columbia:
Leesa McShane, Senior Vice President
North Carolina and South Carolina:
Rose J. Washofsky, Senior Vice President
Wendy C. Wright, Senior Vice President
Operations & IT
Phone: 804-794-5885 x 119
For Summary Consolidated Financial Data, please download the full Press Release: