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UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
(Mark One)
CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
OF 1934
Date of report October 14, 1999
Commission file number 0-25135
REDDING BANCORP
(Exact name of Registrant as specified in its charter)
California 94-2823865
(State or other jurisdiction of incorporation or (I.R.S. Employer
organization) Identification No.)
1951 Churn Creek Road
Redding, California 96002
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (530) 224-3333
Securities registered pursuant to Section 12(b) of the Act: None
Securities registered pursuant to Section 12(g) of the Act:
Common Stock, no par value per share
Indicate by check mark whether the Registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the Registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes [X] No [ ]
Indicate the number of shares outstanding of each of the issuer's class of
common stock, as of the latest practicable date. September 30, 1999 2,654,972
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Item 5. Other Events
Press release for the following (article attached):
Redding Bancorp, Parent Company of Redding Bank of Commerce Announces
1999 Third quarter earnings
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf
by the undersigned hereunto duly authorized.
/s/ Linda J. Miles
--------------------------------
BY: Linda J. Miles
Executive Vice President & Chief
Financial Officer
REDDING BANCORP (RDDB)
COMPANY PRESS RELEASE
FOR INFORMATION CONTACT:
RUSSELL L. DUCLOS, PRESIDENT & CEO
PHONE (530) 224-7326, OR
LINDA J. MILES, CHIEF FINANCIAL OFFICER
PHONE (530) 224-7318
www.reddingbankofcommerce.com
FOR IMMEDIATE RELEASE:
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REDDING BANCORP, PARENT COMPANY OF REDDING BANK OF COMMERCE
ANNOUNCES 1999 THIRD QUARTER EARNINGS
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REDDING, CALIFORNIA, OCTOBER 6, 1999/ PRNEWSWIRE-- Russell L. Duclos, President
& CEO of Redding Bancorp, Parent Company of Redding Bank of Commerce today
announced net income of $3,190,000 or $1.11 per diluted share, for the nine
months ended September 30, 1999. This compares with net income of $3,162,000, or
$1.15 per diluted share, for the prior year's comparable period. Net income for
the third quarter 1999 was $1,157,000 or $.40 per diluted share, compared with
net income of $1,123,000 or $.40 per diluted share for the third quarter of
1998.
Net interest income of $8,012,000 for the nine months ended September 30, 1999
reflected a 3.8% increase, compared with $7,720,000 for the same period in the
prior year.
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The increase in net interest income for the nine-month period was due primarily
to increases in the volume of average interest-earning assets, which increased
to $208 million for the quarter ended September 30, 1999, compared to $184
million for the comparable period a year ago. The improvement reflects a volume
increase in loans and a lower cost of funding, reflecting growth in the
construction and commercial real estate portfolio as well as increased
production at the Sacramento Real Estate Financing Group office.
Russell L. Duclos, President & CEO of Redding Bank of Commerce, stated "OUR LOAN
GROWTH CONTINUES TO BE VERY STRONG AT 18 PERCENT AND GROSS LOANS OUTSTANDING
REACHED A NEW RECORD OF $168,265,000". He added that Redding Bank of Commerce's
efficiency ratio continues to be in the top national performers at 50.13%.
Total assets increased approximately 10.9% to $239,699,000 at September 30,
1999, compared with $216,085,000 at December 31, 1998. Total deposits increased
to $205,201,000 at September 30, 1999, compared with $188,621,000 at December
31, 1998.
A dividend of $.60 per share was approved at the September board meeting for
shareholders of record as of October 1, 1999, payable on October 22, 1999. This
is the eleventh consecutive year a cash dividend has been paid, and is a 20%
increase over the 1998 dividend. Redding Bancorp shares are currently trading at
$22.50, which is an increase of 40%, or $6.50, as compared to a year ago.
Also during the quarter, the company announced a new convenient courier service
for business and professional customers. Service can be provided daily, weekly
or an "on-call" schedule.
On an individual basis, Redding Bank of Commerce's return on average common
equity was 18.29% for the nine months ended September 30, 1999, compared with
20.58% for the same period in 1998. Return on average assets was 2.03%, for the
nine months ended September 30, 1999, compared to 2.11% at September 30, 1998.
Delinquent loans as a percentage of total loans-receivable were 0.67% at
September 30, 1999, compared with 0.74% at December 31, 1998. Redding Bank of
Commerce's loan loss reserves are 1.93% of gross loans at September 30, 1999,
compared to 2.18% at December 31, 1998.
Redding Bancorp, located in Redding California is a bank holding company that
owns Redding Bank of Commerce, a federally insured California banking
corporation, which opened on October 22, 1982. Redding Bank of Commerce has two
full service offices in Redding, California and operates loan production offices
in the communities of Roseville, California and Chico, California. Redding
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Bancorp also owns Redding Service Corp., a California corporation formed in 1993
for the purpose of processing trust deeds.
REDDING BANCORP
SELECTED FINANCIAL DATA
(DOLLAR AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS, UNAUDITED)
<TABLE>
<CAPTION>
THREE MONTHS ENDED NINE MONTHS ENDED
------------------------- -------------------------
9/30/99 9/30/98 9/30/99 9/30/98
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<S> <C> <C> <C> <C>
Operating Data:
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Net Interest Income $ 2,702 $ 2,679 $ 8,012 $ 7,720
Provision for Loan Losses $ 10 $ 105 $ 50 $ 250
------- ------- ------- -------
Net Interest Income after
Provision for Loan Losses $ 2,692 $ 2,574 $ 7,962 $ 7,470
Other Operating Income:
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Service Charges $ 55 $ 54 $ 200 $ 160
Credit Card Income, net $ 510 $ 446 $ 1,396 $ 1,335
Other Income $ 132 $ 168 $ 551 $ 370
Gain(loss) sale Investments $ 0 $ 0 $ (1) $ 28
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Total Operating Income $ 697 $ 668 $ 2,146 $ 1,893
Other Operating Expense:
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Compensation & benefits $ 1,030 $ 864 $ 2,885 $ 2,512
Occupancy & Equipment $ 238 $ 208 $ 686 $ 623
DP & Professional Fees $ (79) $ 86 $ 297 $ 278
Other Expenses $ 305 $ 329 $ 1,052 $ 962
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Total Other Expenses $ 1,494 $ 1,487 $ 4,920 $ 4,375
Income from Operations $ 1,895 $ 1,755 $ 5,188 $ 4,988
Income Tax Provision $ 738 $ 632 $ 1,998 $ 1,826
------- ------- ------- -------
Net Income $ 1,157 $ 1,123 $ 3,190 $ 3,162
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</TABLE>
<TABLE>
<CAPTION>
Key Financial Ratio's 9/30/99 9/30/98 9/30/99 9/30/98
------- ------- ------- -------
<S> <C> <C> <C> <C>
Net income per share - basic $0.44 $0.42 $1.20 $1.18
Net income per share - diluted $0.40 $0.40 $1.11 $1.15
Net Interest Margin 5.19% 5.62%
Return on Average Equity 17.08% 18.88%
Return on Average Assets 1.89% 2.08%
Book Value per share $8.92 $9.17
Operating Efficiency 48.93% 50.39%
Total Assets $239,699,000 $202,814,000
Loans Receivable, net 165,012,000 141,417,000
Deposits 205,201,000 176,654,000
Shareholder Equity 24,941,000 23,677,000
</TABLE>
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