BERWICK, Pa.--(BUSINESS WIRE)--
First Keystone Corporation (OTC Pink: FKYS), parent company of First
Keystone Community Bank, reported net income of $2,176,000 for the three
month period ended March 31, 2016. Net income for the period was lower
than the same period last year by $273,000 due mainly to a reduction in
net investment securities gains. Those gains were lower by $478,000. Net
income and dividends per share were $0.39 and $0.27, respectively.
Net interest income was lower by 0.9% due primarily to an increase in
interest paid on deposits, as interest bearing deposits increased by
$54,198,000, or 9.8%. Also, the bank earned a larger share of its
interest income from tax-exempt investments, which accounts for the
lower overall tax rate in the first quarter of 2016. The effective tax
rate in the first quarter of 2016 was 14.2% while in 2015 it was 20.5%.
Non-interest income, after adjusting for net investment securities
gains, was $79,000 lower in 2016 as compared to 2015. Residential
mortgage underwriting declined in the first quarter of 2016 and was
responsible for the majority of the decrease in non-interest income.
Non-interest expense declined by $143,000, or 2.7%. Savings were
achieved in salaries and employee benefits, occupancy and furniture and
equipment expenses, among others.
Total assets increased to $980,826,000 as of March 31, 2016, an increase
of $54,440,000, or 5.9% as compared to March 31, 2015. Net loans
increased by $11,679,000 or 2.3%. Total deposits increased to
$725,899,000. Shareholders’ equity increased to $113,581,000 as of March
31, 2016, an increase of 4.6% compared to the first quarter of 2015. The
increase was a result of the issuance of common stock within the
dividend reinvestment program and an increase in retained earnings.
During the quarter, the Bank moved its website to a new domain, www.fkc.bank.
To help secure our customers’ confidential information, we invested in
this latest strategy to thwart malicious actors on the internet. When
using the Bank’s new ‘.bank’ web address, clients and potential
customers can have greater assurance that they are dealing with a
trusted website. Please visit our site to learn more about First
Keystone Community Bank.
Management considers subsequent events occurring after the balance sheet
date for matters which may require adjustment to, or disclosure in, the
consolidated financial statements. The review period for subsequent
events extends up to and including the filing date of a public company’s
consolidated financial statements when filed with the Securities and
Exchange Commission (“SEC”). Accordingly, the financial information in
this announcement is subject to change.
First Keystone Community Bank provides innovative business and personal
banking products that focus on “Yesterday’s Traditions. Tomorrow’s
Vision.” First Keystone Community Bank recently celebrated its 150th
anniversary being an independently owned community bank since 1864. The
Bank currently operates offices in Columbia (5), Luzerne (8), Montour
(1), and Monroe (4) counties.
Inquiries regarding the purchase of the Corporation’s stock may be made
through the following brokers: RBC Dain Rauscher, 800-223-4207; Janney
Montgomery Scott, Inc., 800-526-6397; Boenning & Scattergood, Inc.,
800-883-8383; and Stifel Nicolaus & Co. Inc., 800-223-6807.
Note: This press release may contain forward-looking statements as
defined in the Private Securities Litigation Reform Act of 1995. Actual
results and trends could differ materially from those set forth in such
statements due to various factors. These factors include operating,
legal and regulatory risks, changing economic and competitive conditions
and other risks and uncertainties.
For more information on First Keystone Community Bank or its parent
company, First Keystone Corporation, please contact Matthew P. Prosseda
at 570-752-3671.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160429006075/en/
First Keystone Corporation
Matthew P. Prosseda, 570-752-3671
Source: First Keystone Corporation