Commercial National Achieves Earnings Growth of 7.68% for Second Quarter and 4.25% for First Six Months

LATROBE, Pa., Aug. 1, 2011 /PRNewswire/ -- Commercial National Financial Corporation (NASDAQ: CNAF) (Company), parent Company of Commercial Bank & Trust of PA, has reported earnings for the quarter ended June 30, 2011. The Company earned $1,487,000 (or $.52 per average share outstanding) in 2011 compared to $1,381,000 (or $.48 per average share outstanding) in 2010. The Company earned $2,847,000 (or $1.00 per average share outstanding) for the six-month period ended June 30, 2011 and $2,731,000 (or $.95 per average share outstanding) for the six-month period ended June 30, 2010. Second quarter 2011 earnings increased $106,000 or 7.68% while first six month 2011 earnings increased $116,000 or 4.25%.

President and Chief Executive Officer Gregg E. Hunter noted, "The financial performance realized thus far in 2011 remains exclusively attributable to core earnings generation rather than to any irregular non-recurring material items. Tax-equivalent net interest margin was 5.27% for 2011's second quarter and 5.24% for 2011's first six months. The Company's asset quality maintained its traditional strength through mid-year as exemplified by ten consecutive fiscal quarters without need for any loan loss provisions or securities impairment charges. Return on average assets was 1.60% for 2011's second quarter and 1.56% for 2011's first six months.  At second quarter end, the Company's tier one risk-based, total risk-based and leverage capital ratios were 19.87%, 20.64% and 11.90%, respectively.  The Company's well above banking industry standard core financial performance and ample capital levels continue to solidly support very attractive and reliable quarterly cash dividend payments to the Company's common stock shareholders".  

In addition to Latrobe, Pennsylvania where it is headquartered, the Company operates ten community banking facilities in Greensburg, Hempfield Township, Ligonier, North Huntingdon, Unity Township and West Newton, Pennsylvania and also maintains a commercial business development sales force throughout its entire market area. The Company operates an asset management and trust division of Commercial Bank & Trust of PA headquartered in Greensburg, Pennsylvania. Commercial Bank & Trust of PA also serves its customer base from an Internet banking site (www.cbthebank.com) and an automated TouchTone Teller banking system.

Safe Harbor Statement

Forward-looking statements (statements which are not historical facts) in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. For this purpose, any statements contained herein that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the generality of the foregoing, words such as "may," "will," "to," "expect," "believe," "anticipate," "intend," "could," "would," "estimate," or "continue" or the negative or other variations thereof or comparable terminology are intended to identify forward-looking statements. These statements are based on information currently available to the Company, and the Company assumes no obligation to update these statements as circumstances change. Investors are cautioned that all forward-looking statements involve risk and uncertainties, including changes in general economic and financial market conditions, unforeseen credit problems, and the Company's ability to execute its business plans.  The actual results of future events could differ materially from those stated in any forward-looking statements herein.

SOURCE Commercial National Financial Corporation