American Riviera Bancorp Announces Results for the Fourth Quarter of 2023

SANTA BARBARA, Calif., January 25, 2024--(BUSINESS WIRE)--American Riviera Bancorp ("Company") (OTCQX: ARBV), holding company of American Riviera Bank ("Bank"), announced today unaudited net income of $10.5 million ($1.82 per share) for the year ended December 31, 2023, compared to $13.5 million ($2.38 per share) earned in the same reporting period in the previous year. Unaudited net income was $2.2 million ($0.38 per share) for the quarter ended December 31, 2023, compared to $2.6 million ($0.46 per share) in the previous quarter and $4.0 million ($0.70 per share) earned in the same reporting period in the previous year. Earnings for the fourth quarter of 2023 were impacted by a decision to reposition $15.6 million of lower-yielding securities into new higher-yielding securities of similar duration, resulting in a $544,000 pre-tax loss on sale with an approximate 18 month earn back.

Jeff DeVine, President and CEO of the Company and the Bank, stated, "Although 2023 net income was impacted by rising deposit costs and strategic decisions we made to invest in our technology, the Company was still able to increase shareholders’ equity and tangible book value per share by 15% in the last year. Our balance sheet has adjusted to the higher rate environment and net interest income and net interest margin are improving. The core and digital banking upgrade completed in the fourth quarter of 2023 will increase efficiencies and enhance client functionality in 2024."

Fourth Quarter Highlights

• The Bank has the highest "Super Premier" rating for financial performance from the Findley Reports and has maintained a "5 Star - Superior" rating from Bauer Financial as of September 30, 2023.

• The Bank was rated "Outstanding" by the Federal Deposit Insurance Corporation in 2023 for its performance under the Community Reinvestment Act.

• Total shareholders’ equity of $100.6 million at December 31, 2023, has increased $8.3 million or 9.0% from the prior quarter-end and $13.5 million or 15.5% from the prior year-end. The substantial increase is attributable to retained earnings as well as the improved market value of our securities portfolio.

• Tangible book value per share of $16.59 at December 31, 2023, has increased $1.44 or 9.5% from the prior quarter-end and $2.16 or 15.0% from the prior year-end.

• Return on average assets for the fourth quarter ended December 31, 2023, unadjusted for the discretionary $544,000 pre-tax loss on sale of securities, was 0.69%, and return on average equity was 9.36%. Return on average assets was 0.82% and return on average equity was 11.02%, respectively for the entire year of 2023.

• Total loans were $946.4 million at December 31, 2023, an increase of $5.3 million or 0.6% from the prior quarter-end, and an increase of $38.7 million or 4.3% from December 31, 2022. The Bank’s loan-to-deposit ratio at December 31, 2023, was 90.2%.

• Non-interest-bearing demand deposits totaled $443.1 million at December 31, 2023, a decrease of $14.7 million or 3.2% from the prior quarter-end, and a decrease of $35.4 million or 7.4% from December 31, 2022. Non-interest-bearing demand deposits at December 31, 2023, represent 42.2% of total deposits, an increase from 41.1% one year ago.

• Interest-bearing deposits totaled $606.6 million at December 31, 2023, a decrease of $37.1 million or 5.8% from the prior quarter-end, and a decrease of $78.4 million or 11.4% from December 31, 2022. The Federal Reserve’s actions over the last two years to rapidly increase interest rates have caused a shift in interest-bearing depositor behavior as some clients have decided to reinvest their excess cash in non-FDIC insured, external investment products.

• The aforementioned decrease in total deposits in the fourth quarter of 2023 required the Bank to increase its Federal Home Loan Bank ("FHLB") advances from $35.0 million at September 30, 2023, to $75.0 million at December 31, 2023, which resulted in a $245,000 increase in interest expense on borrowings in the fourth quarter of 2023 versus the prior quarter.

• Total cost of deposits increased to 1.00% for the fourth quarter of 2023, compared to 0.90% in the prior quarter, and 0.21% for the same quarter in the prior year. Total cost of funding sources increased to 1.23% for the fourth quarter of 2023, compared to 1.06% in the prior quarter, and 0.26% for the same quarter in the prior year. Overall funding costs for the Company have increased due to Federal Reserve policy but remain modest compared to industry averages based on our relationship banking focus.

• On-balance sheet liquidity continues to be substantial with $227.0 million of cash, due from banks, and available-for-sale ("AFS") securities market value at December 31, 2023.

• Access to available sources of liquidity including fed funds lines of credit with correspondent banks, unused secured borrowing capacity with the FHLB, and unused secured borrowing capacity with the Federal Reserve totaled $364.4 million at December 31, 2023.

• Allowance for Credit Losses ("ACL") was 1.23% of total loans at December 31, 2023, compared with 1.24% at September 30, 2023, and 1.17% at December 31, 2022. Provision for credit losses for the fourth quarter of 2023 was zero, compared to $8,000 in the prior quarter, and $109,000 for the same quarter in the prior year.

• The Bank maintained strong credit quality with no other real estate owned, no loans 90 days or more past due, and only $0.6 million or 0.06% of total loans on non-accrual status, which are well supported by collateral or reserves.

• All Bank and Company capital ratios increased in the fourth quarter of 2023. The Bank’s regulatory capital ratios were all above "well-capitalized" standards.

 

Fourth Quarter Earnings

For the fourth quarter of 2023, unaudited net income was $2.2 million, compared to $2.6 million in the third quarter of 2023, and $4.0 million in the fourth quarter of 2022. The decrease in earnings compared to the prior quarter is primarily attributable to the discretionary $544,000 pre-tax loss from fixed income security repositioning. The decrease in earnings compared to the fourth quarter of the previous year is primarily attributable to increased interest expense and decreased interest income on cash and due from banks.

The Bank continues to grow interest and fees on loans sequentially over the last four quarters from $11.1 million in the fourth quarter of 2022 to $12.6 million in the fourth quarter of 2023, representing a $1.5 million or 13.3% increase. However, the cost of funding has also increased sequentially from the historically low levels that existed prior to the Federal Reserve’s aggressive rate increase policy. Total interest expense has increased from $0.8 million in the fourth quarter of 2022 to $3.6 million in the fourth quarter of 2023.

At the same time, excess cash and due from banks has moved back to a more normalized level as the Federal Reserve has tightened economic conditions, resulting in a decline in interest on cash and due from which was at elevated levels for most of 2022. Interest on cash and due from peaked at $1.3 million for the fourth quarter of 2022, compared to the current level of $0.3 million in the fourth quarter of 2023.

Total interest income for the entire year of 2023 increased by $6.9 million or 14.2% from the prior year, but was offset by a $9.5 million or 490% increase in total interest expense over the prior year. The increase in interest expense is due to higher rates paid on deposits and an increase in borrowed funds.

Non-Interest Income and Expense

Total non-interest income was $0.3 million for the fourth quarter of 2023, compared to $0.7 million for the third quarter of 2023, and $0.7 million for the same quarter last year. In the fourth quarter of 2023, the Bank sold $15.6 million in AFS securities resulting in a $0.5 million pre-tax loss on the trades. Net funds from the disposition were reinvested into new securities with a weighted-average yield of 5.70% resulting in an approximate 18 month earn back. Loan swap fees totaled $0.3 million in the second quarter of 2023, and no loan swap fees were received in the third or fourth quarters of 2023. Other variances between the quarters relate primarily to SBA loan sale premiums, mortgage broker fees and loan prepayment fees.

Non-interest expense was $8.2 million for the fourth quarter of 2023, compared to $7.9 million in the third quarter of 2023, and $8.4 million for the same quarter of the prior year. Expenses in the second, third, and fourth quarters of 2023 are elevated due to the accrual of non-recurring expenses related to technology upgrades. The Bank completed these technology upgrades which are expected to reduce future expenses, enhance customer functionality, and streamline internal processes.

Loans and Asset Quality

Total loans were $946.4 million at December 31, 2023, an increase of $5.3 million or 0.6% from the prior quarter-end, and an increase of $38.7 million or 4.3% from December 31, 2022.

The Bank adopted the Current Expected Credit Losses ("CECL") accounting standard as of January 1, 2023, and recorded a $1.3 million pre-tax reduction to retained earnings upon adoption, including $0.5 million of additional reserve for unfunded loans recorded in other liabilities. The ACL is $11.6 million at December 31, 2023, with a resulting coverage ratio of 1.23%, as compared to $10.6 million or 1.17% at December 31, 2022.

Loan charge-offs totaled $2,000 and loan recoveries totaled $10,000 for the entire year of 2023. As of December 31, 2023, non-accrual loans totaled $0.6 million, a reduction of $2.1 million compared to the previous quarter-end, and a reduction of $2.5 million from the previous year-end. Credit quality remains strong.

Deposits & Borrowings

Total deposits were $1.05 billion at December 31, 2023, representing a decrease of $51.8 million or 4.7% from September 30, 2023, and a decrease of $113.8 million or 9.8% since December 31, 2022. The decrease in total deposits is attributable to the current rate environment which has caused some clients to reinvest their excess cash in non-FDIC insured, external investment products. The weighted average cost of deposits for the fourth quarter of 2023 was 1.00%, compared to 0.90% for the previous quarter, and 0.21% for the same quarter last year. Non-interest-bearing demand deposits represent 42.2% of total deposits at December 31, 2023, an increase from 41.6% at the prior quarter-end, and 41.1% at December 31, 2022.

At December 31, 2023, the Bank had $65.0 million of short-term, 30 days or less, FHLB advances and another $10.0 million of long-term FHLB advances outstanding. At December 31, 2023, the Company also had $10.0 million drawn on a correspondent bank line of credit at a favorable rate of 3.85% and $18.0 million of subordinated notes outstanding at a favorable rate of 3.75%. The weighted average cost on all borrowings for the quarter was 4.71%, resulting in $0.9 million in interest expense. The $103.0 million of total wholesale funding at December 31, 2023, was a $40.0 million increase from the level of wholesale funding carried at the end of the third quarter of 2023.

The Bank’s liquidity position remained strong with a primary liquidity ratio (cash and cash equivalents, deposits held in other banks and unpledged AFS securities as a percentage of total assets) of 16.4% at December 31, 2023, compared to 17.2% at September 30, 2023.

As of December 31, 2023, the Bank had available and unused, secured borrowing capacity with the FHLB of San Francisco totaling $196.4 million. In addition to availability through the Federal Reserve Bank’s Term Funding Program, the Bank also had $125.0 million of unused fed funds lines of credit with correspondent banks at December 31, 2023. Available contingent funding sources remain robust.

Overall uninsured deposits, excluding public agency deposits that are collateralized, are conservatively estimated to be $387.7 million, or 36.9% of total deposit balances as of December 31, 2023. The actual level of uninsured deposits is lower than the percentage stated above, as our knowledgeable bankers have helped clients obtain more than $250,000 of FDIC insurance with vesting structures such as joint accounts, payable upon death accounts, and revocable trust accounts with multiple beneficiaries. In addition, the Bank can offer up to $50 million of FDIC pass-through insurance to clients via the IntraFi network Insured Cash Sweep ("ICS") or Certificate of Deposit Account Registry System ("CDARS") products.

Shareholders’ Equity

Total shareholders’ equity was $100.6 million at December 31, 2023, an $8.3 million or 9.0% increase since September 30, 2023, and an increase of $13.5 million or 15.5% over the prior year. The tax adjusted unrealized loss on securities, which is a component of equity (accumulated other comprehensive income or "AOCI"), decreased $5.8 million or 21.7% from $26.7 million at the end of the third quarter of 2023 to $20.9 million at the end of the fourth quarter of 2023. The Bank fully expects to receive all principal when the investments mature.

Company Profile

American Riviera Bancorp (OTCQX: ARBV) is a registered bank holding company headquartered in Santa Barbara, California. American Riviera Bank, the 100% owned subsidiary of American Riviera Bancorp, is a full-service community bank focused on serving the lending and deposit needs of businesses and consumers on the Central Coast of California. The state-chartered bank opened for business on July 18, 2006, with the support of local shareholders. Full-service branches are located in Santa Barbara, Montecito, Goleta, Santa Maria, San Luis Obispo, and Paso Robles. The Bank provides commercial business, commercial real estate, residential mortgage, construction, and Small Business Administration lending services as well as convenient online and mobile technology. For thirteen consecutive years, the Bank has been recognized for strong financial performance by the Findley Reports and has received the highest "Super Premier" rating from Findley every year since 2016. The Bank was rated "Outstanding" by the Federal Deposit Insurance Corporation in 2023 for its performance under the Community Reinvestment Act.

Statements concerning future performance, developments or events concerning expectations for growth and market forecasts, and any other guidance on future periods, constitute forward looking statements that are subject to a number of risks and uncertainties. Actual results may differ materially from stated expectations. Specific factors include, but are not limited to, effects of interest rate changes, ability to control costs and expenses, impact of consolidation in the banking industry, financial policies of the US government, and general economic conditions.

American Riviera Bancorp and Subsidiaries
Balance Sheets (unaudited)
(dollars in thousands)
			December 31,				December 31,				One Year				One Year
				2023				2022			$ Change				% Change
Assets
	Cash & Due From Banks		$	19,683			$	61,800			$	(42,117	)		-68	%
	Available-for-sale securities			207,271				223,281				(16,010	)		-7	%
	Held-to-maturity securities, net			41,326				41,293				33			0	%
	Loans			946,411				907,685				38,726			4	%
	Allowance for Credit Losses (a)			(11,648	)			(10,626	)			(1,022	)		10	%
	Net Loans			934,763				897,059				37,704			4	%
	Premise & Equipment			13,994				12,347				1,647			13	%
	Goodwill and Other Intangibles			4,930				4,947				(17	)		0	%
	Other Assets			43,069				41,841				1,228			3	%
Total Assets			$	1,265,036			$	1,282,568			$	(17,532	)		-1	%
Liabilities & Shareholders' Equity
	Non-interest-bearing Deposits		$	443,070			$	478,519			$	(35,449	)		-7	%
	Interest-bearing Deposits			606,612				685,008				(78,396	)		-11	%
	Total Deposits			1,049,682				1,163,527				(113,845	)		-10	%
	Borrowed Funds			103,000				18,000				85,000			472	%
	Other Liabilities			11,715				13,945				(2,230	)		-16	%
	Total Liabilities			1,164,397				1,195,472				(31,075	)		-3	%
	Common Stock			67,388				66,346				1,042			2	%
	Retained Earnings			54,177				44,672				9,505			21	%
	Other Capital			(20,926	)			(23,922	)			2,996			-13	%
	Total Shareholders' Equity			100,639				87,096				13,543			16	%
Total Liabilities & Shareholders' Equity			$	1,265,036			$	1,282,568			$	(17,532	)		-1	%
Note:
	(a) CECL was adopted using the modified retrospective method. Results of reporting periods beginning after 1/1/23 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP.

American Riviera Bancorp and Subsidiaries
Balance Sheets (unaudited)
(dollars in thousands)
			December 31,				September 30,				June 30,				March 31,				December 31,
				2023				2023				2023				2023				2022
Assets
	Cash & Due From Banks		$	19,683			$	26,905			$	30,428			$	64,252			$	61,800
	Available-for-sale securities			207,271				206,842				215,951				223,547				223,281
	Held-to-maturity securities			41,326				41,309				41,295				41,274				41,293
	Loans			946,411				941,124				945,389				924,761				907,685
	Allowance for Credit Losses (a)			(11,648	)			(11,647	)			(11,638	)			(11,468	)			(10,626	)
	Net Loans			934,763				929,477				933,751				913,293				897,059
	Premise & Equipment			13,994				14,686				14,842				14,098				12,347
	Goodwill and Other Intangibles			4,930				4,934				4,936				4,942				4,947
	Other Assets			43,069				44,653				43,851				40,588				41,841
Total Assets			$	1,265,036			$	1,268,806			$	1,285,054			$	1,301,994			$	1,282,568
Liabilities & Shareholders' Equity
	Non-interest-bearing Deposits		$	443,070			$	457,723			$	442,078			$	460,667			$	478,519
	Interest-bearing Deposits			606,612				643,750				640,359				638,986				685,008
	Total Deposits			1,049,682				1,101,473				1,082,437				1,099,653				1,163,527
	Borrowed Funds			103,000				63,000				98,000				98,000				18,000
	Other Liabilities			11,715				11,976				11,819				12,785				13,945
	Total Liabilities			1,164,397				1,176,449				1,192,256				1,210,438				1,195,472
	Common Stock			67,388				67,108				66,836				67,411				66,346
	Retained Earnings			54,177				51,972				49,324				46,251				44,672
	Other Capital			(20,926	)			(26,723	)			(23,362	)			(21,075	)			(23,922	)
	Total Shareholders' Equity			100,639				92,357				92,798				91,556				87,096
Total Liabilities & Shareholders' Equity			$	1,265,036			$	1,268,806			$	1,285,054			$	1,301,994			$	1,282,568
Note:
	(a) CECL was adopted using the modified retrospective method. Results of reporting periods beginning after 1/1/23 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP.

American Riviera Bancorp and Subsidiaries
Statement of Income (unaudited)
(dollars in thousands, except per share data)
			Quarter Ended											Year Ended
			December 31,				December 31,							December 31,				December 31,
				2023				2022			Change				2023				2022			Change
Interest Income
	Interest and Fees on Loans		$	12,555			$	11,081			13	%		$	47,683			$	39,196			22	%
	Fees on PPP Loans			2				-			100	%			3				1,321			-100	%
	Interest on Securities			1,751				1,716			2	%			6,940				5,212			33	%
	Interest on Due From Banks			293				1,323			-78	%			1,055				3,049			-65	%
	Total Interest Income			14,601				14,120			3	%			55,681				48,778			14	%
Interest Expense
	Interest Expense on Deposits			2,735				669			309	%			8,488				1,362			523	%
	Interest Expense on Borrowings			863				169			411	%			2,907				570			410	%
	Total Interest Expense			3,598				838			329	%			11,395				1,932			490	%
Net Interest Income				11,003				13,282			-17	%			44,286				46,846			-5	%
	Provision for Credit Losses			-				109			-100	%			171				1,147			-85	%
Net Interest Income After Provision				11,003				13,173			-16	%			44,115				45,699			-3	%
Non-Interest Income
	Service Charges, Commissions and Fees			525				522			1	%			2,219				2,467			-10	%
	Other Non-Interest Income			(257	)			157			-264	%			257				880			-71	%
	Total Non-Interest Income			268				679			-61	%			2,476				3,347			-26	%
Non-Interest Expense
	Salaries and Employee Benefits			4,838				4,948			-2	%			18,966				18,300			4	%
	Occupancy and Equipment			907				856			6	%			3,542				3,155			12	%
	Other Non-Interest Expense			2,485				2,561			-3	%			9,579				8,834			8	%
	Total Non-Interest Expense			8,230				8,365			-2	%			32,087				30,289			6	%
Net Income Before Provision for Taxes				3,041				5,487			-45	%			14,504				18,757			-23	%
Provision for Taxes				838				1,524			-45	%			3,991				5,263			-24	%
Net Income			$	2,203			$	3,963			-44	%		$	10,513			$	13,494			-22	%
	Shares Outstanding			5,768,697				5,692,161			1	%			5,768,697				5,692,161			1	%
	Earnings Per Share - Basic		$	0.38			$	0.70			-45	%		$	1.82			$	2.38			-23	%
	Return on Average Assets			0.69	%			1.14	%		-39	%			0.82	%			1.00	%		-18	%
	Return on Average Equity			9.36	%			19.12	%		-51	%			11.02	%			15.81	%		-30	%
	Net Interest Margin			3.61	%			3.94	%		-8	%			3.63	%			3.54	%		3	%

American Riviera Bancorp and Subsidiaries
Five Quarter Statements of Income (unaudited)
(dollars in thousands, except per share data)
			Quarters Ended
			December 31,				September 30,			June 30,			March 31,			December 31,
			2023				2023			2023			2023			2022
Interest Income
	Interest and Fees on Loans		$	12,555			$	12,134		$	11,794		$	11,200		$	11,081
	Fees on PPP Loans			2				-			-			1			-
	Interest on Securities			1,751				1,664			1,792			1,733			1,716
	Interest on Due From Banks			293				221			265			276			1,323
	Total Interest Income			14,601				14,019			13,851			13,210			14,120
Interest Expense
	Interest Expense on Deposits			2,735				2,514			1,965			1,274			669
	Interest Expense on Borrowings			863				618			1,006			421			169
	Total Interest Expense			3,598				3,131			2,971			1,695			838
Net Interest Income				11,003				10,888			10,880			11,515			13,282
	Provision for Credit Losses			-				8			163			-			109
Net Interest Income After Provision				11,003				10,880			10,717			11,515			13,173
Non-Interest Income
	Service Charges, Commissions and Fees			525				467			764			463			522
	Other Non-Interest Income			(257	)			225			222			66			157
	Total Non-Interest Income			268				692			987			529			679
Non-Interest Expense
	Salaries and Employee Benefits			4,838				4,599			4,588			4,942			4,948
	Occupancy and Equipment			907				862			868			905			856
	Other Non-Interest Expense			2,485				2,452			2,508			2,134			2,561
	Total Non-Interest Expense			8,230				7,912			7,964			7,981			8,365
Net Income Before Provision for Taxes				3,041				3,660			3,740			4,063			5,487
Provision for Taxes				838				1,011			1,052			1,090			1,524
Net Income			$	2,203			$	2,649		$	2,688		$	2,973		$	3,963
	Shares Outstanding			5,768,697				5,771,679			5,772,012			5,763,854			5,692,161
	Earnings Per Share - Basic		$	0.38			$	0.46		$	0.47		$	0.52		$	0.70
	Net Income pre-tax, pre-provision, pre-PPP fees (Non-GAAP)		$	3,039			$	3,668		$	3,902		$	4,062		$	5,596

American Riviera Bancorp and Subsidiaries
Selected Financial Highlights (unaudited)
(dollars in thousands, except per share data)
			At or for the Quarters Ended
			December 31,				September 30,				June 30,				March 31,				December 31,
				2023				2023				2023				2023				2022
Income and performance ratios:
	Net Income		$	2,203			$	2,649			$	2,688			$	2,973			$	3,963
	Earnings per share - basic (f)			0.38				0.46				0.47				0.52				0.70
	Return on average assets			0.69	%			0.80	%			0.85	%			0.98	%			1.14	%
	Return on average equity			9.36	%			10.98	%			11.84	%			14.22	%			19.12	%
	Cost of Funds			1.23	%			1.06	%			1.02	%			0.59	%			0.26	%
	Cost of Deposits			1.00	%			0.90	%			0.73	%			0.45	%			0.21	%
	Net interest margin			3.61	%			3.47	%			3.51	%			3.76	%			3.94	%
	Efficiency ratio (b)			73.01	%			68.79	%			66.97	%			65.52	%			60.21	%
Asset quality:
	Allowance for credit losses		$	11,648			$	11,647			$	11,638			$	11,468			$	10,626
	Nonperforming assets			595				2,708				2,818				2,955				3,066
	Allowance for credit losses / total loans and leases			1.23	%			1.24	%			1.23	%			1.24	%			1.17	%
	Net charge-offs / average loans and leases (annualized)			0.00	%			0.00	%			0.00	%			0.00	%			0.00	%
	Texas ratio (a)			0.71	%			2.73	%			2.83	%			3.01	%			3.30	%
Capital ratios for American Riviera Bank (c):
	Tier 1 risk-based capital			12.62	%			12.14	%			12.02	%			11.96	%			11.85	%
	Total risk-based capital			13.77	%			13.28	%			13.17	%			13.12	%			12.89	%
	Tier 1 leverage ratio			10.62	%			10.12	%			9.95	%			9.67	%			8.83	%
Capital ratios for American Riviera Bancorp (c):
	Tier 1 risk-based capital			10.94	%			10.52	%			10.39	%			10.32	%			10.22	%
	Total risk-based capital			13.72	%			13.31	%			13.22	%			13.21	%			12.99	%
	Tier 1 leverage ratio			9.21	%			8.77	%			8.60	%			8.32	%			7.62	%
	Tangible common equity ratio			7.60	%			6.92	%			6.86	%			6.68	%			6.43	%
Equity and share related:
	Common equity		$	100,639			$	92,357			$	92,798			$	91,556			$	87,096
	Book value per share			17.45				16.00				16.08				15.88				15.30
	Tangible book value per share			16.59				15.15				15.22				15.03				14.43
	Tangible book value per share, excluding AOCI (d)			20.22				19.78				19.27				18.68				18.63
	Stock closing price per share			16.50				16.15				15.20				16.81				17.00
	Number of shares issued and outstanding			5,768.70				5,771.68				5,772.01				5,763.85				5,692.16
Notes:
	(a) The sum of Nonperforming assets and Other Real Estate Owned, divided by the sum of Total Shareholder Equity and Total Allowance for Credit Losses (less Preferred Stock and Intangible Assets).
	(b) Annualized Operating Expense excluding Provision for Credit Losses minus Annualized Extraordinary Expense, divided by Annualized Interest Income including Loan Fees minus Annualized Interest Expense plus Annualized Non-Interest Income minus Annualized Extraordinary Income, expressed as a percentage.
	(c) Current period capital ratios are preliminary.
	(d) Accumulated Other Comprehensive Income (AOCI), is comprised of the tax adjusted unrealized loss on securities and is presented as Other Capital on the Balance Sheet.

 

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Contacts

American Riviera Bank
www.americanriviera.bank
805-965-5942
Michelle Martinich