Attached files
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| 8-K - FORM 8-K - PATRIOT NATIONAL BANCORP INC | c13617e8vk.htm |
EXHIBIT 99.1
Stamford, CT (March 3, 2011) Patriot National Bancorp (NASDAQ: PNBK) (the “Company”), the parent
company of Patriot National Bank (“Patriot”), announced the Sale of Non-Performing Assets and the
closure of four branch offices.
Patriot has entered into a contract
to sell non-performing loans and real estate to ES Ventures
One, LLC, a Delaware limited liability company, for $65 million. The transaction requires the
non-objection of Patriot’s banking regulator and is expected to close prior to
March 31, 2011.“The
sale of the majority of the Bank’s non-performing assets will allow Patriot to accelerate the
Bank’s
business plan. Further, the reduction in non-performing assets materially improves the risk
profile of the balance sheet, decreases workout and OREO expenses, and allows us to reinvest $65
million into earning assets to improve net interest margin”, said Christopher Maher, the
Company’s
President & CEO.
In a related restructuring, Patriot announced the consolidation of four branches to reduce
operating expenses. The affected branches include Wilton (One Danbury Road, Wilton), Fairfield
Center (1127 Post Road, Fairfield), Stratford (3552 Main Street, Stratford), and Old Greenwich (184
Sound Beach Avenue, Greenwich). All customer accounts in the affected branches will be
transferred to nearby Patriot branches to minimize any inconvenience to the Bank’s customers. The
consolidation of these branches is expected to result in a pre-tax earnings charge of $3.0 million
and result in annualized expense reductions of $1.8 million. The consolidations are anticipated to
be completed prior to June 30, 2011.
Michael Carrazza, the Chairman of the Board of the Company, commented that “We are pleased to
report on these restructuring achievements, which are key components of our post-closing recovery
plan. These activities strengthen Patriot’s competitive position and bring us closer to our goal
of restored health and profitability.”
The Company plans to issue full year 2010 financial statements in conjunction with the filing of an
Annual Report on Form 10-K on or about March 15, 2011.
It is Patriot National
Bank’s mission to offer a significant community-based alternative to
larger banks and to provide personalized service to consumers and local businesses. Nationally
chartered in 1994, Patriot National Bank currently has full-service branches serving
Southern Connecticut, Westchester County, New York and New York City.
Contact:
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Christopher D. Maher President & CEO Patriot National Bancorp 203 251-8265 cmaher@pnbk.com |
Robert O’Connell Sr. EVP & CFO Patriot National Bancorp 203 252-5926 boconnell@pnbk.com |