NORFOLK, Va., July 18, 2011 /PRNewswire/ -- Heritage Bankshares, Inc. ("Heritage") (OTCBB: HBKS), parent of Heritage Bank, today announced that it has received preliminary approval from the U.S. Treasury for a $7.8 million investment under the Small Business Lending Fund program (the "SBLF Program"). The SBLF Program was authorized under the Small Business Jobs Act of 2010, and established a $30 billion fund from which the Treasury can make capital investments in eligible institutions; the capital investments, in turn, are designed to increase the availability of credit for small businesses and promote economic growth nationwide.
Heritage's participation in the SBLF Program is subject to the Treasury's due diligence review and other customary closing conditions, including execution and delivery of applicable investment documents, as well as approval and authorization by the Board of Directors of Heritage. If Heritage receives all necessary final approvals for participation in the SBLF Program, it expects that the investment transaction would close within thirty (30) days, and Heritage would use the investment proceeds to repay in full its outstanding investment under the TARP Capital Purchase Program.
Heritage is the parent company of Heritage Bank ( www.heritagebankva.com). Heritage Bank has four full-service branches in the City of Norfolk and two in the City of Virginia Beach. Heritage Bank provides a full range of financial services including business, personal and mortgage loans.Forward Looking Statements The press release contains statements that constitute "forwardlooking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Forwardlooking statements address future events, developments or results and typically use words such as believe, anticipate, expect, intend, plan, forecast, outlook, or estimate. Such forwardlooking statements involve known and unknown risks, uncertainties and other factors that may cause Heritage's actual results, performance, achievements, and business strategy to differ materially from the anticipated results, performance, achievements or business strategy expressed or implied by such forwardlooking statements. Factors that could cause such actual results, performance, achievements and business strategy to differ materially from anticipated results, performance, achievements and business strategy include: general and local economic conditions, competition, significant increases in capital requirements or other significant changes in regulatory requirements, customer demand for Heritage's banking products and services, and the risks and uncertainties described in Heritage's most recent Form 10K filed with the Securities and Exchange Commission. Heritage disclaims any intention or obligation to update or revise any forwardlooking statements, whether as a result of new information, future events or otherwise.