PNBC reports record income in 2008

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PRINCETON — Tony J. Sorcic, president of Princeton National Bancorp Inc., reported on July 28 that the company had record earnings for the first six months of 2008.

“Net income of $4,111,000 represents a 37.9 percent increase over the 2007 net income of $2,982,000. Fully diluted earnings per share for the same period of $1.24 represent a 39.3 percent increase over the 2007 fully diluted earnings per share of 89 cents. Additionally, the return on average equity increased 30.5 percent to 11.98 percent from 9.18 percent,” he said.

“The positive trend in net interest income continued throughout the first six months of 2008. Princeton National Bancorp Inc.’s net interest margin (tax equivalent) grew to 3.44 percent from 3.13 percent for the same six-month period in 2007. Based on the current level of assets, this equates to an increase in net (annualized pre-tax) interest income of $2,400,000. The net interest income for the six months ending June 30, 2008, was $15,271,000, compared to $12,978,000 for the first six months of 2007,” he added.

Non-interest income generated during the six-month period of 2008 totaled $5,904,000, a $537,000 (10 percent) improvement over 2007. The company’s non-interest income has equaled or exceeded 1 percent of average assets for 32 consecutive quarters.

As a percentage of average assets, non-interest expense for the six months ended June 30 was 2.80 percent, compared to 2.88 percent for the six months ended June 30, 2007.

Assets at June 30, 2008, reached a record high of $1.105 billion. During the first six months of 2008, total loans have increased $23.6 million, ending the period at $746,234,000. The company had total deposits and repurchase agreements of $939.3 million, a $13.7 million increase from $925.6 million at Dec. 31, 2007.

The stock price closed at $27.24 on June 30, compared to $24.25 on Dec. 31, 2007, and $27.60 on June 30, 2007.

“Citizens First National Bank, the subsidiary bank, has been serving customers since 1865 in good times and challenging times,” Sorcic said. “Princeton National Bancorp Inc. and Citizens First National Bank are very strong organizations with long and successful track records.”

The company announces the retirement of Thomas M. Longman, effective July 28, due to his relocation outside of the company’s market area. Longman has been a longtime director and great asset to the company.

Princeton National Bancorp, Inc. is the parent holding company of Citizens First National Bank, a $1.105 billion community bank with locations in Will, Kendall, Kane, Grundy, DeKalb, LaSalle, Bureau and Marshall counties in northern Illinois. Communities include Aurora, DePue, Genoa, Hampshire, Henry, Huntley, Millbrook, Minooka, Newark, Oglesby, Peru, Plainfield, Plano, Princeton, Sandwich, Somonauk and Spring Valley.

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by agency’s ratings

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