LOS ANGELES--(BUSINESS WIRE)--Manufacturers Bank (the Bank), a California commercial bank with total assets of over $2.3 billion, is a wholly owned subsidiary of Sumitomo Mitsui Banking Corporation (SMBC), which in turn is a wholly owned subsidiary of Sumitomo Mitsui Financial Group (SMFG). The Bank reported net income for the six months ended June 30, 2014 of $6.1 million compared to $3.5 million for the same period in 2013. Increased earning assets, gain on sale of other assets and a reduction in non-interest expense resulted in favorable year over year earnings performance.
The Bank continued to maintain its strategic focus on loan growth in 2014. As of June 30, 2014, total loans were $1.64 billion, a $72.4 million or 4.6% increase over year end 2013 total loans of $1.57 billion. Commercial and Industrial loans totaled $968.1 million at June 30, 2014, an increase of $59.8 million over year end 2013, and represent 59.0% of the overall gross loan portfolio. Real Estate loans totaled $648.6 million at June 30, 2014, an increase of $12.7 million over year end 2013, and represent 39.5% of the overall loan portfolio.
Credit quality remained sound through the first six months of 2014. Credit quality is reflected in the percentage of non-accrual loans to total loans at 0.13% as of June 30, 2014. The allowance for credit loss ratio remains satisfactory at 1.54% as of June 30, 2014.
Capital remained strong as evidenced by Tier 1 and Total risk-based capital ratios of 14.83% and 16.08%, respectively; both ratios exceed the minimum requirements of a well-capitalized institution of 6% and 10%, respectively.
Message from Naresh Sheth, President & COO
Naresh Sheth, President and Chief Operating Officer, commented, "Despite the extreme lending competition ongoing in the marketplace, I am appreciative of the Bank’s continued loan growth. Our loyal, hard-working staff has continued to meet the challenge head on. Accompanying the strong earning assets is the Bank’s exceptional credit quality. Our Bank maintains strong capital and a solid customer base.
"We are all pleased with the Bank’s strategic infrastructure progress this year.
"We sincerely thank our customers for giving us an opportunity to serve them for over 50 years and our staff for their dedication and valued service."
Grand Opening of our Brea Financial Center
On August 8, 2014, the bank celebrated the grand opening of a 15,000 square foot financial center located in Brea, California. The Brea Financial Center contains a full service branch which commenced business on July 14, 2014. This new branch location will serve the needs of our faithful City of Industry customers while cultivating the Bank’s brand in this vibrant Southern California marketplace.
Brett Murdoch, Mayor, City of Brea presented a special proclamation welcoming the bank to the local community at the special ceremony coordinated by the Brea Chamber of Commerce with dozens of local area dignitaries and business owners in attendance.
"We are proud that Manufacturers Bank has selected Brea as the location of their new southern California regional headquarters," said Mayor Brett Murdoch. "They will be a committed partner in helping our community become stronger and we thank them for their local investments of jobs and community support."
"We are very excited to open our new financial center in Brea. Our goal is to earn your business and to meet your banking needs," said Naresh Sheth, President and Chief Operating Officer, Manufacturers Bank
Manufacturers Bank featured two non-profit organizations at their Grand Opening ceremony. This will help expand programs at the Brea VFW post 8574, which is the city’s leading veterans service organization in the fight to better lives of all those who have worn the uniform of the United States. The Bank will also highlight the Brea Olinda Life Skills and Best Buddies program. This program is a special education high school program that is designed to meet the academic needs of students with moderate to severe cognitive disabilities including: autism, down syndrome and intellectual disability.
To make a donation to one of these organizations, please contact:
Kathie Ramos at email@example.com.
Manufacturers Bank has been operating mainly in Southern California, consistently delivering tailored financial solutions that enhance the economic well-being of its middle market customers. Bauer Financial Inc., an independent bank rating company, has awarded its highest depository rating, Superior 5 Star, to Manufacturers Bank.
Manufacturers Bank is headquartered in Los Angeles and operates from branch offices in Downtown Los Angeles, Little Tokyo, Beverly Hills, Encino, Warner Center, Glendale, San Jose, Torrance, Newport Beach and Brea.
Member FDIC and SBA Preferred National Lender
Equal Opportunity Lender
All statements in this release, except for historical facts, should be considered forward looking, including statements about the Bank’s plans, goals, and future expectations for growth. Such statements are subject to changes in the economic, legal and regulatory environment, changes in product delivery and technology that may affect the Bank’s operations and continued evolution in the financial services industry.