York Traditions Bank Reports 1st Quarter Earnings

YORK, Pa., April 19, 2016 /PRNewswire/ -- York Traditions Bank (OTC Pink: YRKB) reported net income available to common shareholders of $675,000, or 31 cents per share, for the first quarter ended March 31, 2016, compared to $521,000, or 24 cents per share, for the first quarter ended March 31, 2015.  This represents a 30% increase over the first quarter of 2015.  Book value per common share stood at $13.85 at March 31, 2016.

"We are pleased to report another solid increase in earnings," stated Michael E. Kochenour, Founder, Chairman and Chief Executive Officer.  "The loan growth achieved in the fourth quarter of 2015 kick started the new year allowing us to increase net interest income by $257,000, or 10%.  Our Mortgage Division had another outstanding quarter posting $887,000 in gains on the sale of mortgages an increase of $75,000, or 9%.  Other income increased $101,000 over the first quarter of 2015 and included a $67,000 gain on the sale of other real estate.  Loans grew $6.8 million or 3% during the quarter and $20.7 million in the past year.  Deposits fell $2.7 million during the quarter but grew $36.6 million or 14% in the past twelve months.  We remain well capitalized with excellent loan quality and look forward to the remainder of 2016."

On March 27, 2015, the Bank completed a $5 million aggregate principal amount of subordinated notes due March 27, 2025 with a 6.25% interest rate. The Bank also repaid $5,115,000 of preferred stock on March 31, 2015 as part of the United States Treasury's Small Business Lending Fund (SBLF). The SBLF preferred stock was considered Tier 1 capital and the subordinated notes are Tier 2. Following the issuance of the more permanent subordinated notes, the Bank executed a $32 million leverage strategy acquiring high quality investment securities funded by Federal Home Loan Bank borrowings.

Safe Harbor Statement: 
Except for historical information contained herein, the matters discussed in this release are forward-looking statements. Investors are cautioned that all forward-looking statements involve risks and uncertainty. Because of these risks and uncertainties, our actual future results may be materially different from the results indicated by these forward looking statements.  In addition, our past results of operations do not necessarily indicate our future results.  We undertake no obligation to publicly update or otherwise revise any forward-looking statements, whether as a result of new information, future events or otherwise.

SOURCE York Traditions Bank

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