This may help BCOM's price. Looks to me that it bottomed yesterday. Assuming the INTC blood bath doesn't spread beyond technology stocks, BCOM may get a bounce from this today:
Bank of Commerce Announces Expansion of SBA Lending Network; Plans
to Open Offices in Texas, Illinois, Georgia, Idaho and Utah
PR Newswire - March 05, 1998 06:00
SAN DIEGO, March 5 /PRNewswire/ -- Bank of Commerce (Nasdaq: BCOM) today announced plans to accelerate the expansion of its Small Business Administration (SBA) lending network into five additional states. During 1998, the Bank plans to open seven loan production offices in Texas, Georgia, Illinois, Idaho and Utah.
Planned for the second quarter of 1998, Bank of Commerce intends to open loan production offices (LPOs) in Houston, Dallas and San Antonio, providing SBA guaranteed loans to small businesses throughout Texas. Texas is the third largest state in SBA originations. Loan productions offices are additionally planned to open in Chicago and
Atlanta in mid- to late summer, followed by Salt Lake City and Boise later in the year. With seven new offices, Bank of Commerce will have 19 LPOs in 11 states by year-end.
"The recently announced acquisition of Rancho Vista National Bank, coupled with strong internally generated growth, has allowed us to accelerate our expansion plans," said Peter Q. Davis, Chairman & Chief Executive Officer. In February, Bank of Commerce announced an agreement to merge with Rancho Vista National Bank, with three branches in San Diego and Orange Counties. The merger agreement, already approved by both boards, is expected to gain regulatory and shareholder approval this spring. Bank of Commerce reported record 1997 profits of $7.04 million -- up over 100% from the previous year.
"As we have stated in the past, it is our intention to become the nation's leading SBA lender (not just amongst banks) and our 1998 expansion is an important step toward that goal," Davis added. "We believe there is significant opportunity to capture market share for SBA lending due to merger activity amongst our competitors. In addition, the strength of the small business sector and the unprecedented bi-partisan political support the SBA lending industry currently enjoys should continue to generate strong demand for SBA loans. The fiscal 1999 budget proposal increases funding to a record
$11 billion for the SBA's 7(a) general business lending program.
The Texas, Illinois and Georgia offices will comprise a newly formed Eastern Region, the third region in Bank of Commerce's' growing SBA lending network. Headquartered in Houston, the Eastern Region will be under the supervision of Emerson Hall, Senior Regional Vice President. Hall has 16 years of banking experience, the last eight of which are in the SBA lending industry. He previously worked for Texas Commerce Bank and most recently he was the Regional Vice President for GE Capital/Small Business Finance Corp. in Dallas.
The Utah and Idaho offices, planned for a fall opening, will be part of the Bank's SBA Department's existing Northern and Southern Regions respectively. The Bank continues to explore other opportunities to establish additional networks of loan production offices.
Bank of Commerce's SBA lending volume increased 33% in 1997 to
$178 million, representing approximately 2% of the nation's total annual SBA funding. All of the new offices will operate as Commerce Loan Company, a Division of Bank of Commerce. Through the Small Business Administration, Bank of Commerce and its operating divisions provide small businesses with long-term financing for real estate purchase and refinance, construction, equipment and other business
purpose. Bank of Commerce is the nation's leading SBA bank lender and the largest publicly held independent bank headquartered in San Diego County. The bank operates twelve specially designated loan production offices in San Diego, Glendale, Orange, Sacramento, and San Francisco, Las Vegas and Reno, Phoenix and Tucson, Seattle, Portland, and Denver. In addition, Bank of Commerce operates seven full service branches in San Diego, Palm Desert, and Temecula, California. Bank of Commerce, which presently had an "Outstanding" rating from the FDIC, was recently awarded the "Super Premier Performance" rating from the Findley Group and holds the VERAbank's top award.
Statements concerning future performance, developments or events,
concerning expectations for growth and market forecasts, and any other
guidance on future periods, constitute forward-looking statements which are subject to a number of risks and uncertainties which might cause actual results to differ materially from stated expectations. These factors include but are not limited to the ability of the bank to efficiently integrate acquired institutions, decisions by shareholders and regulators regarding the proposed acquisition, effect of interest rate changes, changes in SBA policy or funding, competition in the financial services market for both deposits and
loans, and general economic conditions.
NOTE: This company is a client of Len Cereghino & Co. Corporate Investor Relations. Bank of Commerce's press releases are available at no charge through PR Newswire's Company News On-Call fax service. For a menu of Bank of Commerce press releases or to retrieve a specific release, call 800-IRNEWS9, extension 123798, or prnewswire.com on the Internet.
SOURCE Bank of Commerce
/CONTACT: Peter Q. Davis, Chairman & CEO of Bank of Commerce,
619-232-2096/
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