Document text
0 of 3 Premium Clicks used this month SUBSCRIBE Print + Online Subscriber Activation | Register x Forgot Password | Need an Account? e-edition | subscribe | newsletter | deals Classifieds Jobs Autos Real Estate FEATURED » NEWS NOW Police: Man beat neighbor with cane in lawn dispute ... Ariella St. Clair retiring from producing live music shows ... Pipeline project annoys east Medford residents ... Police: Man beat neighbor with cane in lawn dispute ... Ariella St. Clair retiring from producing live music shows ... Pipeline project annoys east Medford residents ... FINANCE People's Bank sees earnings decline, but deposits nearly double Comment By Greg Stiles Mail Tribune Follow @@GregMTBusiness MailTribune.com By Greg Stiles Mail Tribune Follow @@GregMTBusiness Posted Apr. 19, 2016 at 4:52 PM Updated Apr 19, 2016 at 5:35 PM By Greg Stiles Mail Tribune Follow @@GregMTBusiness Posted Apr. 19, 2016 at 4:52 PM Updated Apr 19, 2016 at 5:35 PM » Social News Earnings for People’s Bank of Commerce declined 11 percent during the first quarter of 2016. The Medford-based community bank reported net income of $298,000, or 14 cents per share, compared to net income of $335,000, or 17 cents per share for first quarter 2015. A key factor in the earnings decline, Chief Banking Officer Steve Erb said in a statement, was a $200,000 reduction in non-interest income attributed to turnover in the residential mortgage division and slower loan closings due to regulatory changes. The bank's lending expanded by $14.3 million during the first quarter after growing just $1.9 million during the first quarter of 2015. Deposit growth during the quarter was $20.4 million, nearly double from the $10.7 million mark a year ago. "What's happening, and it happens with all banks, is there has been a big influx of deposits, so the portion that is kept in Federal Reserve funds is inflated," said Chief Financial Office Russ Milburn. "If you average out all our assets, the more you have in the lowest-earning category, the lower the total is. Because our deposits are growing consistently so fast, it's been exacerbated." The bank reported total loans of $172.7 million, compared with $153.2 million a year ago. The loan growth led to a loan-loss provision of $93,000 in the first quarter compared to $8,000 a year ago. The first-quarter loan loss reserve was 1.18 percent compared to 1.27 percent a year earlier. "It's a good reflection on our loan quality, but we still have to put it in because the volume is going up," Milburn said. "Our net interest margin is above our peer group, so we feel good about it." Total assets grew 20 percent to $271.1 million at the end of the first quarter from 225.7 million a year earlier. Over a 12-month period ending March 31, People's Bank earned $1.368 million, compared to $1.364 million for the 12-month period ending March 31, 2015. The bank's board also announced a 5 percent common stock dividend payable June 6 to stockholders of record on May 5. People's Bank has declared similar stock dividends every year since 2012, passing out two dividends in 2015. By Greg Stiles Mail Tribune Follow @@GregMTBusiness MailTribune.com By Greg Stiles Mail Tribune Follow @@GregMTBusiness Posted Apr. 19, 2016 at 4:52 PM Updated Apr 19, 2016 at 5:35 PM » Comment or view comments Reader Reaction » STAY INFORMED Email NewsLetter Sign Up Today Sign up for our newsletter and have the top headlines from your community delivered right to your inbox. Southern Oregon Directory Featured Businesses Loading... Business Name address Location, ST | website.com Find Southern Oregon Attractions Bars Restaurants Beauty Salons Entertainment Doctors Medical Specialists Contractors Education Lawn Services Lawyers Shopping Travel Tanning Used Cars Wedding Services ▼ Add your business here + Events Calendar Connect with MailTribune.com Facebook Twitter RSS Back to top Reader Services Reader Services Home Subscriptions Subscriber controls Contact us Submissions Photos Events Letters to the editor Corrections Announcements Obituaries Story ideas Since you asked Alerts Email Alerts RSS Feeds Text Alerts Advertise Media Kit Home Products and services Ad rates Advertising contacts Propel Marketing Mail Tribune Daily Tidings The Nickel Shop Our Valley Blogs Mobile Site Stay Informed Email newsletter Sign Up Today Sign up for our newsletter and have the top headlines from your community delivered right to your inbox. Your privacy is important, read our privacy policy. © Copyright 2016 Local Media Group, Inc. All Rights Reserved. Privacy Policy | Terms of Service | Local Media Group Publications Original content available for non-commercial use under a Creative Commons license, except where noted. MailTribune.com | P.O. Box 1108, Medford, OR 97501