LOS ANGELES--(BUSINESS WIRE)--Manufacturers Bank (the Bank), a California commercial bank with total assets of $2.61 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 year ended December 31, 2016, of $14.1 million compared to $13.2 million in 2015. Increased earning assets resulted in favorable year over year earnings performance.
As a result of the Bank’s ongoing strategic initiative to reposition the loan portfolio to a customer profile with higher profitability, total loans were $1.88 billion at December 31, 2016, in line with 2015. Total deposits were $2.11 billion at December 31, 2016.
Credit quality was outstanding through 2016. Credit quality is reflected in the percentage of non-accrual loans to total loans at 0.02% as of December 31, 2016. The allowance for credit loss ratio remains satisfactory at 1.77% as of December 31, 2016.
Capital remained strong as evidenced by Tier 1 and Total risk-based capital ratios of 12.49% and 13.74%, respectively; both ratios exceed the minimum requirements of a well-capitalized institution of 8.00% and 10.00%, respectively.
Message from Naresh Sheth, President & COO
Naresh Sheth, President and Chief Operating Officer, commented, “The Bank made great strides in achieving our strategic plan of repositioning our loan portfolio in a highly competitive industry; we have done so by staying focused and concentrating our efforts on building strong relationships with our customers. Our Bank is pleased that we continue to meet expectations with a solid customer base.
“We remain a trusted long-term financial partner that provides extraordinary personalized service to professionals, individual customers and many local small businesses. All decisions are made locally by people who understand the unique financial needs of the business people and the communities we serve. We know that quick decision making, flexibility and responsiveness are important to our customers.
“Our customers’ success and satisfaction has been the cornerstone of our mission in the past and will continue in the future. On behalf of management and the staff, we thank you for being our valued customers. We look forward to establishing and maintaining one-on-one relationships with each and every customer and serving you for many years to come.”
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.
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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.
For additional information please contact: Cindy Rude, SVP, Marketing & Product Development Manager, 213-489-6353 or Karen Abajian, EVP, Chief Financial Officer, 213-489-6478.