BRYN MAWR, Pa., Nov. 8, 2010 (GLOBE NEWSWIRE) -- Bryn Mawr Bank Corporation (Nasdaq:BMTC), (the "Corporation"), parent of The Bryn Mawr Trust Company (the "Bank"), today announced third quarter 2010 operating results of a diluted loss per share of $0.08 and a net loss of $1.0 million, which includes approximately $4.3 million of pre-tax First Keystone Financial, Inc. ("FKF") merger related expenses and a provision for loan and lease losses of $4.2 million. For the same period last year, the Corporation reported diluted earnings per share of $0.30 and net income of $2.6 million.

Ted Peters, Chairman and Chief Executive Officer, commented, "The combination of the two banks has gone extremely well. We are seeing almost no attrition of clients from the First Keystone side and, in fact, anticipate growing their franchise as we move forward. As a result of the merger, the Corporation now has total banking assets of $1.7 billion and 17 full-service branch locations. In addition, the Corporation acquired loans and deposits with a fair market value of $274.8 million and $320.8 million, respectively. Total portfolio loans and leases were $1.2 billion and total deposits were $1.3 billion at September 30, 2010. We are looking forward to a solid fourth quarter and a strong 2011, as most of the FKF merger related expenses are behind us."

For the nine months ended September 30, 2010, the Corporation reported diluted earnings per share of $0.35 and net income of $3.6 million, which includes $5.3 million of pre-tax merger related expenses and a provision for loan and lease losses of $8.3 million. Approximately $6.0 million of the $8.3 million provision for loan and lease losses during this period is related to the two commercial relationships that were included in non-performing assets in prior periods and have been written down to the expected net realizable value based on an updated analysis and certain new valuation information. For the same period last year, the Corporation reported diluted earnings per share and net income of $0.88 and $7.7 million, respectively.

The merger of FKF and its wholly owned subsidiary, First Keystone Bank, into the Corporation and Bank (the "Merger"), was completed on July 1, 2010. In accordance with the merger agreement, the aggregate consideration paid to FKF shareholders consisted of approximately $4.8 million in cash and approximately 1.6 million shares of the Corporation's common stock. Total consideration for fair value purposes was approximately $31.3 million. Shareholders of FKF received 0.6973 shares of the Corporation's common stock plus $2.06 per share cash consideration for each share of FKF common stock they owned as of the effective date of the Merger. The results of FKF's operations and financial condition have been included in the Corporation's unaudited Consolidated Statement of Income and unaudited Consolidated Balance Sheet beginning on July 1, 2010, the date of the acquisition.

Mr. Peters continued, "The First Keystone computer systems and signage were successfully converted to the Bryn Mawr platform on August 25, 2010, a direct result of significant planning and outstanding performance by the entire Bryn Mawr and First Keystone staff. We are now operating wholly under the 'Bryn Mawr Trust' brand and are the largest community bank in the western suburbs of Philadelphia."

SIGNIFICANT ITEMS OF NOTE
  • Wealth Management Division assets under management, administration, supervision and brokerage at September 30, 2010 were $3.3 billion, up approximately $420.2 million or 14.6% from the December 31, 2009, and up approximately $580.4 million or 21.4% from September 30, 2009 due largely to the success of new initiatives within this division and improvements in the financial markets.
  • Revenue from the Wealth Management Division for the third quarter of 2010 was $3.7 million, down 5.4% from second quarter 2010 revenue of $3.9 million and up 6.7% from third quarter 2009 revenue of $3.5 million. The slight decrease in revenue from the second quarter of 2010 is primarily due to lower estate and tax preparation fees.
  • Deposit levels were $1.3 billion at September 30, 2010, an increase of $321.8 million or 34.3% from December 31, 2009. This growth was largely due to the merger with FKF.
  • At September 30, 2010, portfolio loan and lease balances totaled $1.2 billion, an increase of $290.7 million or 32.8% compared to $885.7 million at December 31, 2009, primarily due to the merger with FKF. The lease portfolio was $37.6 million at September 30, 2010, evidencing a planned decline of $10.2 million or 21.3% from December 31, 2009. The performance of the lease portfolio has continued to improve as the delinquency rate has declined 122 basis points from 2.87% at December 31, 2009 to 1.65% at September 30, 2010.
  • The tax equivalent net interest margin was 3.66% for the third quarter of 2010, down 14 basis points from 3.80% in the second quarter of 2010, due primarily to declining market interest rates and the addition of lower yielding interest-earning assets from the FKF merger. Downward pressure on the margin is expected to continue as borrowers seek to lock in lower long-term rates.
  • The Corporation's investment portfolio at September 30, 2010 had a fair market value of $356.8 million compared to $208.2 million at December 31, 2009, due to the addition of the FKF investment portfolio of $100.9 million and the investment of acquired cash balances.
  • Net revenue from the sale of residential mortgage loans for the quarter ended September 30, 2010 was $1.2 million due to the continued low interest rate environment creating robust refinancing activity. This compares with $760 thousand for the quarter ended September 30, 2009.
  • At September 30, 2010, the allowance for loan and lease losses of $10.3 million was 0.88% of portfolio loans and leases compared to $10.4 million or 1.18% at December 31, 2009. The decrease in the allowance as a percentage of loans and leases is primarily due to the acquisition of the FKF loan portfolio which, in accordance with GAAP, was recorded at its fair value without its previously recorded allowance for loan and lease losses. FKF loans, with a carrying value of approximately $274.8 million, were acquired on July 1, 2010, net of a fair value adjustment of approximately $17.9 million.
  • Approximately $3.7 million of the $4.2 million provision for loan and lease losses in the third quarter of 2010 is related to two commercial relationships that were previously mentioned.
  • Non-performing loans and leases were 92 basis points of total portfolio loans and leases at September 30, 2010, compared to 78 basis points of total portfolio loans and leases at December 31, 2009.
  • The Corporation incurred merger related expenses of approximately $4.3 million during the third quarter of 2010 and $5.3 million on a year-to-date basis, primarily for investment banking, legal, employee severance, and conversion costs and vendor termination fees.
  • The merger with FKF resulted in the creation of approximately $10.4 million of goodwill.

Capital ratios as shown in the following table reflect the impact of the FKF merger and the $24.6 million registered direct stock offering completed in May 2010.
Regulatory Capital Ratios:      
       
  9/30/2010 6/30/2010 12/31/2009
Bryn Mawr Trust Company       
Tier I Capital to Risk Weighted Assets (RWA) 10.35% 10.72% 9.06%
Total (Tier II) Capital to RWA 12.75% 13.73% 12.20%
Tier I Leverage Ratio 8.27% 9.29% 8.03%
Tangible Common Equity Ratio 8.20% 8.65% 7.22%
       
Bryn Mawr Bank Corporation      
Tier I Capital to Risk Weighted Assets (RWA) 10.81% 11.95% 9.41%
Total (Tier II) Capital to RWA 13.19% 14.95% 12.53%
Tier I Leverage Ratio 8.65% 10.38% 8.35%
Tangible Common Equity Ratio 7.95% 9.30% 7.51%

DIVIDEND DECLARED

On October 28, 2010, the Corporation's Board of Directors declared a quarterly dividend of $0.14 per share, payable December 1, 2010 to shareholders of record as of November 18, 2010.

The Corporation will hold an earnings conference call at 8:00 a.m. ET on Tuesday, November 9, 2010. Interested parties may participate by calling 1-877-317-6789, conference #444122, at 8:00 a.m. ET. A taped replay of the conference call will be available within two hours of the conclusion of the call and will remain available through December 1, 2010. The number to call for the taped replay is 1-877-344-7529 and the Replay Passcode is 444122. 

The conference call will be simultaneously broadcast live over the Internet through a webcast on the investor relations portion of the Bryn Mawr Bank Corporation's website. To access the call, please visit the website at http://www.bmtc.com/investor_01.cfm .   An online archive of the webcast will be available within one hour of the conclusion of the call. The Corporation has also recently expanded its Investor Relations website to include added resources and information for shareholders and interested investors. Interested parties are encouraged to utilize the expanded resources of the site for more information on Bryn Mawr Bank Corporation or by calling Aaron Strenkoski, Vice President – Finance/Investor Relations at 610-581-4822. 

FORWARD LOOKING STATEMENTS AND SAFE HARBOR

This press release contains statements which, to the extent that they are not recitations of historical fact may constitute forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking statements may include financial and other projections as well as statements regarding the Corporation's future plans, objectives, performance, revenues, growth, profits, operating expenses or the Corporation's underlying assumptions. The words "may", "would", "should", "could", "will", "likely", "possibly", "expect," "anticipate," "intend", "estimate", "target", "potentially", "probably", "outlook", "predict", "contemplate", "continue", "plan", "forecast", "project" and "believe" or other similar words and phrases may identify forward-looking statements. Persons reading this press release are cautioned that such statements are only predictions, and that the Corporation's actual future results or performance may be materially different.

Such forward-looking statements involve known and unknown risks and uncertainties.   A number of factors, many of which are beyond the Corporation's control, could cause our actual results, events or developments, or industry results, to be materially different from any future results, events or developments expressed, implied or anticipated by such forward-looking statements, and so our business and financial condition and results of operations could be materially and adversely affected. Such factors include, among others, our need for capital, our ability to control operating costs and expenses, and to manage loan and lease delinquency rates; the credit risks of lending activities and overall quality of the composition of our loan, lease and securities portfolio; the impact of economic conditions, consumer and business spending habits, and real estate market conditions on our business and in our market area; changes in the levels of general interest rates, deposit interest rates, or net interest margin and funding sources; changes in banking regulations and policies and the possibility that any banking agency approvals we might require for certain activities will not be obtained in a timely manner or at all or will be conditioned in a manner that would impair our ability to implement our business plans; changes in accounting policies and practices; the inability of key third-party providers to perform their obligations to us; our ability to attract and retain key personnel; competition in our marketplace; war or terrorist activities; cost savings and revenue enhancements associated with our acquisition via the merger of First Keystone Financial, Inc. and First Keystone Bank; and other factors as described in our securities filings. All forward-looking statements and information made herein are based on Management's current beliefs and assumptions as of the date hereof and speak only as of the date they are made. The Corporation does not undertake to update forward-looking statements.

For a complete discussion of the assumptions, risks and uncertainties related to our business, you are encouraged to review our filings with the Securities and Exchange Commission, including our most recent annual report on Form 10-K, as well as any changes in risk factors that we may identify in our quarterly or other reports filed with the SEC.

Bryn Mawr Bank Corporation          
Consolidated Statements of Income - (unaudited)       
(Dollars in thousands, except per share data)          
           
  For The Three Months Ended
           
  Sept 30,  June 30,  Mar 31,  Dec 31,  Sept 30, 
  2010 2010 2010 2009 2009
           
Interest income  $ 18,473  $ 13,824  $ 13,894  $ 14,191  $ 14,186
Interest expense  3,691  2,773  2,777  3,266  3,856
           
           
Net interest income  14,782  11,051  11,117  10,925  10,330
Provision for loan and lease losses  4,236  994  3,113  1,302  2,305
Net interest income after           
 provision for loan and lease losses  10,546  10,057  8,004  9,623  8,025
           
Fees for wealth management services   3,689  3,898  3,831  3,597  3,457
Loan servicing and other fees  422  379  381  386  367
Service charges on deposits  672  488  501  504  493
Net gain on sale of residential mortgage loans  1,189  606  525  859  760
Net gain on sale of available for sale investments  259  --  1,544  603  848
Net gain on trading investment  --  --  --  15  160
Net gain (loss) on sale of other real estate owned ("OREO")  38  --  (152)  --  6
BOLI income  131  --  --  --  --
Other operating income  653  519  529  577  552
 Non-interest income  7,053  5,890  7,159  6,541  6,643
           
Salaries and wages   7,047  5,345  5,287  5,848  5,322
Employee benefits   1,646  1,364  1,558  1,253  1,281
Occupancy and bank premises  1,195  901  984  911  893
Furniture fixtures and equipment  695  557  595  575  634
Advertising  303  256  262  310  196
Net impairment /(recovery) of mortgage servicing rights  168  177  41  (175)  (51)
Amortization of mortgage servicing rights  206  210  199  216  186
Intangible asset amortization  77  77  77  77  77
Core deposit intangible amortization   89  --  --  --  --
FDIC insurance  416  299  314  290  265
Merger related expense  4,292  637  347  531  85
OREO expense  54  41  15  43  --
Impairment of OREO  381  --  --  --  --
Professional fees  459  459  619  702  419
Other operating expenses   2,337  1,780  1,455  1,517  1,382
 Non-interest expense  19,365  12,103  11,753  12,098  10,689
           
(Loss) income before income taxes  (1,766)  3,844  3,410  4,066  3,979
Income tax (benefit) expense  (746)  1,438  1,187  1,429  1,360
 Net (loss) income  $ (1,020)  $ 2,406  $ 2,223  $ 2,637  $ 2,619
           
Per share data:          
Weighted average shares outstanding  12,184,447  9,740,089  8,893,997  8,794,602  8,782,632
Dilutive potential common shares  --  12,476  11,017  9,112  17,664
Adjusted weighted average dilutive shares   12,184,447  9,752,565  8,905,014  8,803,714  8,800,296
           
Basic loss / earnings per common share $(0.08) $0.25 $0.25 $0.30 $0.30
           
Diluted (loss) earnings per common share $(0.08) $0.25 $0.25 $0.30 $0.30
           
Dividend declared per share $0.14 $0.14 $0.14 $0.14 $0.14
           
Effective tax rate (42.2)% 37.4% 34.8% 35.1% 34.2%
           
Net interest margin 3.66% 3.80% 4.06% 3.85% 3.72%
     
Bryn Mawr Bank Corporation    
Consolidated Statements of Income - (unaudited)   
(Dollars in thousands, except per share data)    
     
  For The Nine Months Ended
     
  September 30, September 30,
  2010 2009
     
Interest income  $ 46,191  $ 42,701
Interest expense  9,241  12,833
     
Net interest income  36,950  29,868
Provision for loan and lease losses  8,343  5,582
Net interest income after     
 provision for loan and lease losses  28,607  24,286
     
Fees for wealth management services   11,418  10,581
Loan servicing and other fees  1,183  1,001
Service charges on deposits  1,662  1,447
Net gain on sale of residential mortgage loans  2,320  5,153
Net gain on sale of available for sale investments  1,803  1,320
Net gain on trading investment  --  240
BOLI income  131  --
Net gain (loss) on sale of other real estate owned ("OREO")  (114)  6
Other operating income  1,699  2,181
 Non-interest income  20,102  21,929
     
Salaries and wages   17,679  16,427
Employee benefits   4,568  4,325
Occupancy and bank premises  3,080  2,726
Furniture fixtures and equipment  1,847  1,832
Advertising  821  774
Net impairment of mortgage servicing rights  386  38
Amortization of mortgage servicing rights  615  637
Intangible asset amortization   231  231
Core deposit intangible amortization   89  --
FDIC insurance  1,029  944
FDIC insurance - special assessment  --  540
Merger expense  5,277  --
OREO expense  110  --
Impairment of OREO  381  --
Professional fees  1,537  1,306
Other operating expenses  5,571  4,664
 Non-interest expense  43,221  34,444
     
Income before income taxes  5,488  11,771
Income tax expense  1,879  4,071
 Net income  $ 3,609  $ 7,700
     
Per share data:    
Weighted average shares outstanding  10,284,897  8,710,909
Dilutive potential common shares  12,836  19,254
Adjusted weighted average shares   10,297,733  8,730,163
     
Basic earnings per common share $0.35 $0.88
     
Diluted earnings per common share $0.35 $0.88
     
Dividend declared per share $0.42 $0.42
     
Effective tax rate 34.2% 34.6%
       
Bryn Mawr Bank Corporation      
Consolidated Selected Financial Data - (unaudited)          
(Dollars in thousands, except per share data ) 
September 30, 2010          
           
           
For the period end:  2010 2010 2010 2009 2009
  3Q 2Q 1Q 4Q 3Q
Asset Quality Data          
           
Nonaccrual loans and leases  $ 9,938  $ 9,072  $ 5,880  $ 6,246  $ 5,921
90 + days past due loans - still accruing  902  892  1,015  668  1,013
Nonperforming loans and leases  10,840  9,964  6,895  6,914  6,934
Other non-performing assets  1,170  1,970  --  1,025  1,521
Total nonperforming assets  $ 12,010  $ 11,934  $ 6,895  $ 7,939  $ 8,455
           
Troubled debt restructurings in compliance with modified terms  $ 2,375  $ 2,000  $ 3,894  $ 1,622  $ 1,462
           
Acquired nonperforming loans (included in totals above)  $ 3,194  $ --  $ --  $ --  $ --
           
Nonperforming loans and leases / portfolio loans 0.92% 1.11% 0.77% 0.78% 0.78%
Nonperforming assets / assets 0.70% 0.93% 0.56% 0.64% 0.71%
           
Net loan and lease charge-offs (annualized)/ average loans  1.53% 0.40% 1.70% 0.53% 1.08%
           
           
Delinquency rate - loans and leases >30day  1.62% 1.37% 1.10% 1.10% 1.23%
           
Delinquent loans and leases - 30-89 days   $ 8,283  $ 2,481  $ 2,917  $ 2,678  $ 3,977
           
Delinquency rate - loans and leases 30-89 days  0.71% 0.28% 0.33% 0.30% 0.45%
           
           
Changes in the Allowance for loan and lease losses          
           
Balance, beginning of period  $ 9,841  $ 9,740  $ 10,424  $ 10,299  $ 10,389
           
Charge-offs  (3,934)  (1,071)  (3,946)  (1,385)  (2,581)
           
Recoveries  154  178  149  208  186
           
Net (charge-offs) / recoveries  (3,780)  (893)  (3,797)  (1,177)  (2,395)
           
Provision for loan and lease losses  4,236  994  3,113  1,302  2,305
           
Balance, end of period  $ 10,297  $ 9,841  $ 9,740  $ 10,424  $ 10,299
           
Allowance for loan and lease losses / loans and leases 0.88% 1.09% 1.09% 1.18% 1.16%
Allowance for loan and lease losses / nonperforming loans and leases 95.0% 98.8% 141.3% 150.8% 148.5%
           
Bryn Mawr Bank Corporation      
Consolidated Selected Financial Data - (unaudited)          
(Dollars in thousands, except per share data ) 
September 30, 2010          
  For the period end:  2010  2010 2010  2009  2009
   3Q  2Q  1Q  4Q  3Q
Selected ratios (annualized):          
           
Return on average assets -0.29% 0.77% 0.76% 0.87% 0.89%
Return on average shareholders' equity -3.16% 8.10% 8.59% 10.22% 10.39%
Yield on loans and leases*  5.72% 5.72% 5.76% 5.75% 5.79%
Yield on interest earning assets*  4.57% 4.74% 5.06% 4.99% 5.09%
Cost of interest bearing funds 1.09% 1.22% 1.28% 1.45% 1.73%
Net interest margin* 3.66% 3.80% 4.06% 3.85% 3.72%
Book value per share  $ 12.99  $ 12.72  $ 11.86  $ 11.72  $ 11.62
Tangible book value per share  $ 11.03  $ 11.62  $ 10.56  $ 10.40  $ 10.44
Period end shares outstanding  12,190,991  10,550,619  8,958,970  8,866,420  8,783,130
           
Selected data:           
           
Mortgage loans originated  $ 67,304  $ 28,349  $ 24,346  $ 34,975  $ 35,025
Mortgage loans sold - servicing retained  $ 34,874  $ 17,358  $ 18,737  $ 31,503  $ 29,577
Mortgage loans sold - servicing released  $ 2,234  $ 3,370  $ 1,747  $ 1,335  $ 3,474
Mortgage loans serviced for others   $ 578,293  $ 519,153  $ 520,023  $ 514,875  $ 499,503
           
           
Total Wealth assets under management / administration / supervision / brokerage (1)  $ 3,291,293  $ 3,100,162  $ 3,109,563  $ 2,871,143  $ 2,710,867
           
 * Yield on loans and leases, interest earning assets and net interest margin are calculated on a tax equivalent basis.
 (1) Brokerage Assets represent assets held at a registered broker dealer under a networking agreement.
 
Bryn Mawr Bank Corporation Consolidated Selected Financial Data - (unaudited) (Dollars in thousands, except per share data ) September 30, 2010
  2010 2009
   Year-to-date  Year-to-date
Selected ratios (annualized):    
     
Return on average assets 0.34% 0.88%
Return on average shareholders' equity 3.77% 10.66%
Yield on loans and leases*  5.73% 5.83%
Yield on interest earning assets*  4.76% 5.19%
Cost of interest bearing funds 1.18% 1.94%
Net interest margin* 3.82% 3.64%
     
Selected data:     
     
Mortgage loans originated  $ 119,999  $ 256,638
Mortgage loans sold - servicing retained  $ 70,969  $ 235,256
Mortgage loans sold - servicing released  $ 7,351  $ 4,887
     
 * Yield on loans and leases, interest earning assets and net interest margin are calculated on a tax equivalent basis.  
       
Investment Portfolio  As of September 30, 2010 As of December 31, 2009 As of September 30, 2009
($'s in thousands)                  
      Net     Net     Net
  Amortized Fair Unrealized Amortized Fair Unrealized Amortized Fair Unrealized
SECURITY DESCRIPTION Cost Value Gain / (Loss) Cost Value Gain / (Loss) Cost Value Gain / (Loss)
                   
 Short term bond fund  --  --  --  --  --  --  5,076  5,076  --
                   
Total Trading Securities  --  --  --  --  --  --  5,076  5,076  --
                   
 U. S. treasury obligations  $ 5,012  $ 5,227  $ 215  $ --  $ --  $ --  $ --  $ --  $ --
                   
 U. S. government agency securities  186,430  187,609  1,179  85,462  85,061  (401)  55,159  55,242  83
                   
 State & political subdivisions  29,959  30,614  655  24,859  25,024  165  24,628  25,094  466
                   
 State & political subdivisions - taxable  3,750  3,980  230  --  --  --  --  --  --
                   
 FNMA/FHLMC mortgage backed securities  41,632  42,431  799  49,318  50,952  1,634  52,963  54,826  1,863
                   
 GNMA mortgage backed securities  19,392  19,402  10  8,607  8,718  111  7,580  7,726  146
                   
 CMO mortgage backed securities  2,461  2,490  29  --  --  --  --  --  --
                   
 Equity stocks   243  294  51  --  --  --  --  --  --
                   
 Foreign debt securities  1,250  1,250  --  1,500  1,499  (1)  1,450  1,450  --
                   
 Bond - mutual funds  62,354  63,541  1,187  36,943  36,970  27  11,722  11,783  61
                   
 Corporate bonds  --  --  --  --  --  --  12,231  12,634  403
                   
Total Available for Sale Securities  $ 352,483  $ 356,838  $ 4,355  $ 206,689  $ 208,224  $ 1,535  $ 165,733  $ 168,755  $ 3,022
                   
Total Investment Portfolio  $ 352,483  $ 356,838  $ 4,355  $ 206,689  $ 208,224  $ 1,535  $ 170,809  $ 173,831  $ 3,022
             
Capital Ratios            
  Regulatory Minimum          
Bryn Mawr Trust Company Consolidated To Be          
  Well Capitalized 9/30/2010 6/30/2010 3/31/2010 12/31/2009 9/30/2009
             
Tier I Capital to Risk Weighted Assets (RWA) 6.00% 10.35% 10.72% 9.32% 9.06% 8.91%
Total (Tier II) Capital to RWA 10.00% 12.75% 13.73% 12.41% 12.20% 12.06%
Tier I Leverage Ratio 5.00% 8.27% 9.29% 8.28% 8.03% 7.98%
Tangible Common Equity Ratio   8.20% 8.65% 7.50% 7.22% 7.34%
Bryn Mawr Bank Corporation            
             
Tier I Capital to Risk Weighted Assets (RWA) 6.00% 10.81% 11.95% 9.70% 9.41% 9.36%
Total (Tier II) Capital to RWA 10.00% 13.19% 14.95% 12.78% 12.53% 12.49%
Tier I Leverage Ratio 5.00% 8.65% 10.38% 8.63% 8.35% 8.39%
Tangible Common Equity Ratio   7.95% 9.30% 7.82% 7.51% 7.74%
           
Bryn Mawr Bank Corporation          
Consolidated Balance Sheets - (unaudited)       
(Dollars in thousands)          
   
           
For the period ended: Sept 30, June 30, Mar 31, Dec 31, Sept 30,
  2010 2010 2010 2009 2009
Assets          
           
 Interest bearing deposits with banks  $ 42,089  $ 43,943  $ 71,680  $ 58,472  $ 48,351
 Fed funds sold  --  --  --  --  --
 Money market funds  223  86  402  9,175  18,140
           
 Trading securities  --  --  --  --  5,316
 Investment securities - AFS  356,838  254,888  173,816  208,224  168,754
Total investment securities  356,838  254,888  173,816  208,224  174,070
           
 Loans held for sale  4,686  4,254  2,214  3,007  4,133
           
 Portfolio loans:          
 Consumer  13,255  12,272  12,059  12,717  11,412
 Commercial & industrial  239,823  235,080  234,300  233,288  237,340
 Commercial mortgages  358,486  278,614  275,068  265,023  256,293
 Construction   48,674  43,787  41,506  38,444  37,221
 Residential mortgages  251,836  108,009  110,412  110,653  118,098
 Home equity lines & loans  226,765  180,826  175,748  177,863  174,273
 Leases  37,599  40,702  44,007  47,751  51,842
Total portfolio loans and leases  1,176,438  899,290  893,100  885,739  886,479
           
Earning assets  1,580,274  1,202,461  1,141,212  1,164,617  1,131,173
           
 Cash and due from banks  11,090  14,593  17,995  11,670  9,381
 Allowance for loan and lease losses  (10,297)  (9,841)  (9,740)  (10,424)  (10,299)
 Premises and equipment   29,340  21,779  21,724  21,438  21,310
 Goodwill  16,671  6,301  6,301  6,301  4,824
 Intangible assets  5,190  5,267  5,344  5,421  5,498
 Core deposit intangible  2,038  --  --  --  --
 Bank owned life insurance ("BOLI")  18,838  --  --  --  --
 FHLB stock  14,976  7,916  7,916  7,916  7,916
 Deferred income taxes  15,071  4,596  4,960  4,991  5,253
 Other assets  30,993  27,600  25,499  26,891  20,469
           
Total assets  $ 1,714,184  $ 1,280,672  $ 1,221,211  $ 1,238,821  $ 1,195,525
           
Liabilities and shareholders' equity          
           
 Interest-bearing checking  $ 206,091  $ 149,762  $ 143,735  $ 151,432  $ 128,551
 Money market  324,384  261,578  244,747  229,836  209,574
 Savings  140,296  98,760  103,233  101,719  98,189
 Other wholesale deposits  63,376  63,260  47,687  52,174  54,104
 Wholesale deposits  36,582  33,421  43,352  36,118  64,679
 Time deposits   261,839  141,803  136,927  153,705  176,388
Interest-bearing deposits  1,032,568  748,584  719,681  724,984  731,485
           
 Non-interest bearing deposits  227,080  204,898  194,697  212,903  167,991
Total deposits  1,259,648  953,482  914,378  937,887  899,476
           
 Subordinated debentures  22,500  22,500  22,500  22,500  22,500
 Junior subordinated debentures  12,041        
 Repurchase agreements  11,883        
 Borrowed funds  221,793  139,640  142,244  144,826  147,386
 Mortgage payable  2,016  2,031  2,046  2,062  2,076
 Other liabilities  25,976  28,838  33,772  27,610  22,040
 Shareholders' equity  158,327  134,181  106,271  103,936  102,047
           
Total liabilities and shareholders' equity  $ 1,714,184  $ 1,280,672  $ 1,221,211  $ 1,238,821  $ 1,195,525
           
           
Consolidated Quarterly Average Balance Sheets - (unaudited)        
           
  2010 2010 2010 2009 2009
  3Q 2Q 1Q 4Q 3Q
Assets          
           
 Interest bearing deposits with banks  $ 95,226  $ 60,317  $ 27,300  $ 52,958  $ 33,560
 Fed funds sold  --  --  --  --  --
 Money market funds  106  248  1,426  14,334  28,877
 Trading securities  --  --  --  1,502  5,189
 Investment securities  346,275  223,901  200,482  182,925  160,365
 Loans held for sale  3,741  3,107  2,975  4,441  5,307
 Portfolio loans and leases   1,171,605  894,657  892,184  882,956  881,519
Earning assets  1,616,953  1,182,230  1,124,367  1,139,116  1,114,817
           
 Cash and due from banks  12,668  10,079  10,627  11,713  11,191
 Allowance for loan and lease losses  (10,068)  (9,904)  (10,620)  (10,557)  (10,529)
 Premises and equipment  29,685  21,860  21,578  21,358  21,417
 Goodwill  16,671  6,302  6,302  4,840  4,824
 Intangible assets  5,234  5,311  5,388  5,465  5,543
 Core deposit intangible  2,097  --  --  --  --
 Bank owned life insurance  18,750  --  --  --  --
 Deferred tax asset  13,310  4,800  4,734  5,173  5,196
 Other assets  44,748  31,924  31,183  27,294  27,004
           
Total assets  $ 1,750,048  $ 1,252,602  $ 1,167,247  $ 1,177,871  $ 1,152,850
           
Liabilities and shareholders' equity          
           
 Interest-bearing checking  $ 215,846  $ 150,604  $ 143,935  $ 139,494  $ 132,436
 Money market  318,943  253,425  240,542  218,691  189,768
 Savings  141,180  101,444  99,925  93,687  94,778
 Other wholesale deposits  67,596  65,576  42,030  53,617  27,790
 Wholesale deposits  36,864  36,387  43,026  56,447  74,347
 Time deposits  269,653  142,552  139,959  162,300  192,275
Interest-bearing deposits  1,050,082  749,988  709,417  724,236  711,394
           
 Non-interest bearing deposits  226,439  193,118  189,314  185,133  172,257
Total deposits  1,276,521  943,106  898,731  909,369  883,651
           
Subordinated debentures  22,500  22,500  22,500  22,500  22,500
Junior subordinated debentures  12,066  --  --  --  --
Repurchase agreements  10,848  --  --  --  --
Borrowed funds  241,672  140,836  143,939  145,994  148,632
Mortgage payable  2,026  2,040  2,056  2,070  2,085
Other liabilities  25,434  24,982  21,315  22,150  22,602
Shareholders' equity  158,981  119,138  105,018  102,319  99,993
           
Total liabilities and shareholders' equity  $ 1,750,048  $ 1,252,602  $ 1,193,559  $ 1,204,402  $ 1,179,463
     
Bryn Mawr Bank Corporation    
Consolidated Average Balance Sheets - (unaudited)   
(Dollars in thousands)    
September 30, 2010    
     
  2010 2009
   Year-to-date   Year-to-date 
Assets    
     
 Interest bearing deposits with banks  $ 61,196  $ 28,876
 Fed funds sold  --  733
 Money market funds  589  46,860
 Trading securities  --  2,561
 Investment securities  257,454  132,625
 Loans held for sale  3,274  6,001
 Portfolio loans and leases  987,175  888,243
Earning assets  1,309,688  1,105,899
     
 Cash and due from banks  11,132  11,092
 Allowance for loan and lease losses  (10,195)  (10,375)
 Premises and equipment  24,404  21,404
 Goodwill  9,796  4,784
 Intangible assets  5,311  5,619
 Core deposit intangible  707  --
 Bank owned life insurance  6,319  --
 FHLB stock  9,696  7,916
 Deferred tax asset  7,646  5,428
 Other assets  26,271  20,672
     
Total assets  $ 1,400,775  $ 1,172,439
     
Liabilities and shareholders' equity    
     
 Interest-bearing checking  $ 170,391  $ 135,093
 Money market  271,257  173,947
 Savings  114,334  84,875
 Other wholesale deposits  57,317  27,373
 Wholesale deposits  39,914  92,319
 Time deposits  184,530  199,429
Interest-bearing deposits  837,743  713,036
     
 Non-interest bearing deposits  203,093  168,201
Total deposits  1,040,836  881,237
     
 Subordinated debentures  22,500  19,505
 Borrowed funds  175,840  151,265
 Junior subordinated debentures  4,066  --
 Repurchase agreements  3,656  --
 Mortgage payable  2,041  1,241
 Other liabilities  23,926  22,621
 Shareholders' equity  127,910  96,570
     
Total liabilities and shareholders' equity  $ 1,400,775  $ 1,172,439
 
Quarterly Average Balances and Tax Equivalent Income and Expense and Tax Equivalent Yields - (unaudited)
                   
                   
  3rd Quarter 2010  2nd Quarter 2010  1st Quarter 2010 
(dollars in thousands) Average Balance Interest Income/ Expense Average Rates Earned/ Paid Average Balance Interest Income/ Expense Average Rates Earned/ Paid Average Balance Interest Income/ Expense Average Rates Earned/ Paid
                   
Assets:                  
Interest-bearing deposits with other banks  $ 95,226  $ 61 0.25%  $ 60,317  $ 37 0.25%  $ 27,300  $ 14 0.21%
Federal funds sold  --  --  --  --  --  --  --  --  --
Money market funds 106  --  -- 248  --  -- 1,426 1 0.28%
Investment securities available for sale:                  
 Taxable 316,276 1,351 1.69% 199,106 867 1.75% 175,632 1,021 2.36%
 Tax-exempt 29,999 272 3.60% 24,796 271 4.38% 24,850 278 4.54%
Investment securities available for sale  346,275 1,623 1.86% 223,902 1,138 2.04% 200,482 1,299 2.63%
                   
Loans and leases * 1,175,346 16,944 5.72% 897,764 12,801 5.72% 895,159 12,724 5.76%
                   
 Total interest earning assets  1,616,953 18,628 4.57% 1,182,231 13,976 4.74% 1,124,367 14,038 5.06%
                   
Cash and due from banks 12,668     10,079     10,627    
Less allowance for loan and lease losses (10,068)     (9,904)     (10,620)    
Other assets  130,495     70,196     69,185    
                   
 Total assets  $ 1,750,048      $ 1,252,602      $ 1,193,559    
                   
Liabilities:                  
                   
Savings, NOW and market rate deposits  $ 675,969  $ 841 0.49%  $ 505,473  $ 666 0.53%  $ 484,402  $ 656 0.55%
Other wholesale deposits 67,596 81 0.48% 65,576 79 0.48% 42,030 51 0.49%
Wholesale deposits 36,864 161 1.73% 36,387 162 1.79% 43,026 185 1.74%
Time deposits  269,653 654 0.96% 142,552 458 1.29% 139,959 454 1.32%
 Total interest-bearing deposits 1,050,082 1,737 0.66% 749,988 1,365 0.73% 709,417 1,346 0.77%
                   
Subordinated debt 22,500 293 5.17% 22,500 280 4.99% 22,500 273 4.92%
Junior subordinated debentures 12,066 223 7.33%  --  --  --  --  --  --
Repurchase agreements 10,848 8 0.29%  --  --  --  --  --  --
Mortgage payable 2,026 29 5.68% 2,040 29 5.70% 2,056 28 5.52%
Borrowed funds 241,672 1,401 2.30% 140,836 1,099 3.13% 143,939 1,130 3.18%
 Total interest-bearing liabilities 1,339,194 3,691 1.09% 915,364 2,773 1.22% 877,912 2,777 1.28%
                   
Noninterest-bearing deposits 226,439     193,118     189,314    
Other liabilities 25,434     24,982     21,315    
 Total noninterest-bearing liabilities 251,873     218,100     210,629    
                   
 Total liabilities 1,591,067     1,133,464     1,088,541    
                   
Shareholders' equity  158,981     119,138     105,018    
                   
 Total liabilities and shareholders' equity   $ 1,750,048      $ 1,252,602      $ 1,193,559    
                   
Interest income to earning assets     4.57%     4.74%     5.06%
                   
Net interest spread     3.48%     3.52%     3.78%
Effect of noninterest-bearing sources     0.18%     0.28%     0.28%
Net interest income/ margin on earning assets    $ 14,937 3.66%    $ 11,203 3.80%    $ 11,261 4.06%
                   
Tax equivalent adjustment     $ 155 0.04%    $ 152 0.05%    $ 144 0.05%
                   
* Average loans and leases include portfolio loans and leases, and loans held for sale. Non-accrual loans are also included in the average loan and leases balances.
 
Quarterly Average Balances and Tax Equivalent Income and Expense and Tax Equivalent Yields - (unaudited)
             
  4th Quarter 2009  3rd Quarter 2009 
(dollars in thousands) Average Balance Interest Income/ Expense Average Rates Earned/ Paid Average Balance Interest Income/ Expense Average Rates Earned/ Paid
             
Assets:            
Interest-bearing deposits with other banks  $ 52,958  $ 30 0.22%  $ 33,560  $ 14 0.17%
Federal funds sold  --  --  --  --  --  --
Money market funds 14,334 9 0.25% 28,877 26 0.36%
Investment securities available for sale:            
 Taxable 159,015 1,144 2.85% 144,073 1,079 2.97%
 Tax-exempt 25,412 278 4.34% 21,481 236 4.36%
Investment securities available for sale  184,427 1,422 3.06% 165,554 1,315 3.15
             
Loans and leases * 887,397 12,860 5.75% 886,826 12,943 5.79%
             
 Total interest earning assets  1,139,116 14,321 4.99% 1,114,817 14,298 5.09%
             
Cash and due from banks 11,713     11,191    
Less allowance for loan and lease losses (10,557)     (10,529)    
Other assets  64,130     63,984    
             
 Total assets $1,204,402     $1,179,463    
             
Liabilities:            
             
Savings, NOW and market rate deposits  $ 451,873  $ 752 0.66%  $ 416,982  $ 729 0.69%
Other wholesale deposits 53,617 60 0.44% 27,790 37 0.53%
Wholesale deposits 56,446 278 1.95% 74,347 428 2.28%
Time deposits  162,300 681 1.66% 192,275 1,094 2.26%
 Total interest-bearing deposits 724,236 1,771 0.97% 711,394 2,288 1.28%
             
Subordinated debt 22,500 282 4.97% 22,500 299 5.27%
Junior subordinated debentures  --  --  --  --  --  --
Repurchase agreements  --  --  --  --  --  --
Mortgage payable 2,070 29 5.56% 2,085 30 5.71%
Borrowed funds 145,995 1,184 3.22% 148,632 1,239 3.31%
 Total interest-bearing liabilities 894,801 3,266 1.45% 884,611 3,856 1.73%
             
Noninterest-bearing deposits 185,133     172,257    
Other liabilities 22,149     22,602    
 Total noninterest-bearing liabilities 207,282     194,859    
             
 Total liabilities 1,102,083     1,079,470    
             
Shareholders' equity  102,319     99,993    
             
 Total liabilities and shareholders' equity   $ 1,204,402      $ 1,179,463    
             
Interest income to earning assets     4.99%     5.09%
             
Net interest spread     3.54%     3.36%
Effect of noninterest-bearing sources     0.31%     0.36%
             
Net interest income/ margin on earning assets    $ 11,055 3.85%    $ 10,442 3.72%
             
Tax equivalent adjustment     $ 130 0.04%    $ 112 0.02%
             
* Average loans and leases include portfolio loans and leases, and loans held for sale. Non-accrual loans are also included in the average loan and leases balances.
 
Average Balances and Tax Equivalent Income and Expense and Tax Equivalent Yields 
For the Nine months ended Sept 30,
       
  2010     2009    
             
(dollars in thousands) Average  Balance Interest  Income/  Expense Average Rates Earned/ Paid Average  Balance Interest  Income/  Expense Average  Rates  Earned/  Paid
             
Assets:            
Interest-bearing deposits with other banks  $ 61,196  $ 112 0.24%  $ 28,876  $ 43 0.20%
Federal funds sold  --  --  -- 733 1 0.18%
Money market funds 589 1 0.23%  46,860  188 0.54%
Investment securities available for sale:            
 Taxable 230,887 3,240 1.88% 119,928 3,253 3.63%
 Tax-exempt 26,567 821 4.13 15,258 496 4.35%
             
Investment securities available for sale 257,454 4,061 2.11% 135,186 3,749 3.71%
             
Loans and leases * 990,449 42,468 5.73% 894,244 38,977 5.83%
             
 Total interest earning assets 1,309,688 46,642 4.76% 1,105,899 42,958 5.19%
             
Cash and due from banks 11,132     11,092    
Less allowance for loan and lease losses (10,195)     (10,375)    
Other assets  90,150     65,823    
             
 Total assets $1,400,775     $1,172,439    
             
Liabilities:            
             
Savings, NOW and market rate deposits $555,982  $ 2,164 0.52% $393,915  $ 2,343 0.80%
Other wholesale deposits  57,317  213 0.50%  27,373  89 0.43%
Wholesale deposits  39,914  506 1.69%  92,319  1,805 2.61%
Time deposits 184,530 1,566 1.13%  199,429  3,963 2.66%
 Total interest-bearing deposits 837,743 4,449 0.71%  713,036  8,200 1.54%
             
Subordinated debt 22,500 846 5.03%  19,505  825 5.66%
Mortgage payable 2,041 86 5.63%  1,241  53 5.71%
Junior subordinated debentures 4,066 223 7.33%  --  --  --
Repurchase agreements 3,656 8 0.29%  --  --  --
Borrowed funds 175,840 3,629 2.76%  151,265  3,755 3.32%
 Total interest-bearing liabilities 1,045,846 9,241 1.18%  885,047  12,833 1.94%
             
             
Noninterest-bearing deposits 203,093     168,201    
Other liabilities  23,926     22,621    
 Total noninterest-bearing liabilities 227,019     190,822    
             
 Total liabilities  1,272,865     1,075,869    
             
Shareholders' equity  127,910     96,570    
             
 Total liabilities and shareholders' equity $1,400,775     $1,172,439    
             
Interest income to earning assets     4.76%     5.19%
             
Net interest spread     3.58%     3.25%
Effect of noninterest-bearing sources     0.24%     0.39%
             
Net interest income/ margin on earning assets    $ 37,401 3.82%    $ 30,125 3.64%
             
Tax equivalent adjustment     $ 451 0.05%    $ 257 0.03%
             
* Average loans and leases include portfolio loans and leases, and loans held for sale. Non-accrual loans are also included in the average loan and leases balances.
CONTACT:  Bryn Mawr Bank Corporation          Ted Peters, Chairman            610-581-4800          J. Duncan Smith, CFO            610-526-2466