FITZGERALD, Ga., Oct. 16, 2013 (GLOBE NEWSWIRE) -- Colony Bankcorp, Inc. (Nasdaq:CBAN), today reported net income available to shareholders of $701,000, or $0.08 per diluted share for the third quarter of 2013 compared to $411,000, or $0.05 per diluted share for the comparable 2012 period, while net income available to shareholders for nine months ended September 30, 2013 was $1,879,000, or $0.22 per diluted share compared to $1,003,000, or $0.12 per share for the comparable 2012 period. This increase of 87.34 percent in net income for the comparable nine month period was primarily driven by an increase in net interest income and noninterest income (excluding securities gains) – along with a reduction in provision for loan losses. "In addition to outstanding core earnings improvement, Colony again had noticeable improvement in asset quality. Substandard assets to tier one capital plus loan loss allowance ratio improved to 40.94 percent at September 30, 2013 from 43.00 percent at June 30, 2013. On October 4, 2013, the company received notification from regulatory agencies that the memorandum of understanding ("MOU") agreement in place since November 2010 has been terminated. The agreement required Colony to take steps to reduce credit risk and improve asset quality and earning performance. Our primary regulators have acknowledged the significant progress we have made in addressing the MOU agreement. Though much has been accomplished, our board, management and staff remain committed to making incremental progress toward earnings and asset quality improvement," said Ed Loomis, President and Chief Executive Officer.
Colony continues to maintain a solid capital position to be categorized as "well-capitalized" by regulatory benchmarks. At September 30, 2013, the Company's tier one leverage ratio, tier one and total risk-based capital ratios were 10.40 percent, 15.40 percent and 16.66 percent, respectively, compared to the previous quarter end of 10.36 percent, 15.63 percent and 16.89 percent, respectively, at June 30, 2013 and to 10.07 percent, 15.39 percent and 16.65 percent, respectively, at September 30, 2012. Regulatory benchmarks to be categorized as "well-capitalized" for tier one leverage ratio, tier one and total risk-based capital ratios are 5.00 percent, 6.00 percent and 10.00 percent, respectively.