Exchange Bank Announces Third Quarter Earnings

SANTA ROSA, Calif., Oct. 22, 2015

The singular element of non‑recurring revenue during the quarter was a recapture of $300 thousand of provision for loan loss. "The reversal of provision for loan loss during the third quarter was the result of the continued improvement in the credit quality of the Bank's loan portfolio and the recovery of loans that had been previously charged off," said Mr. Jahn. The Bank's level of reserves to support future loan losses remains strong in comparison to industry standards and is supported by the continued improvement in asset quality. The recapture of provision for loan loss of $300K during the third quarter of 2015 was for the most part offset by additional expenses to more conservatively reflect the value of long‑term employee benefit plans. The decline in operating expenses of approximately $500 thousand for the quarter ending September 30, 2015, compared to the similar quarter ending 2014, was a result of lower incentive and employee benefit accruals recorded in 2015.  

"The Bank is proud to be a partner in the economic growth and vitality of the communities we serve and we will continue to be responsive to the financing needs of the consumers and small businesses necessary to continue moving economic growth forward," stated Mr. Hartwick.

Exchange Bank paid a quarterly cash dividend of $0.55 per share on common stock outstanding to shareholders on September 18, 2015. 51% of the cash dividend goes to the Doyle Trust, which funds the Doyle Scholarships at the Santa Rosa Junior College.

FORWARD-LOOKING INFORMATION:

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