National Penn Bancshares, Inc. (Nasdaq: NPBC) reported net income available to common shareholders of $22.4 million, or $0.15 per diluted share, for the second quarter of 2012, compared to $25.3 million, or $0.17 per diluted share, for the first quarter of 2012. First quarter 2012 included an after tax unrealized fair value gain of $0.01 per common share on National Penn’s trust preferred securities (Nasdaq: NPBCO). For the second quarter of 2011, net income available to common shareholders totaled $23.2 million, or $0.15 per diluted share. Year-to-date 2012 net income available to common shareholders totaled $47.8 million, or $0.31 per diluted share, an increase of 23% from $38.8 million, or $0.26 per diluted share, in the prior year. Return on average assets was 1.14% for the first six months of 2012. Supported by the strength of National Penn’s capital position, the quarterly common stock cash dividend was increased for the fifth consecutive quarter to $0.09 per share for the third quarter. Also during the second quarter, National Penn repurchased approximately 2.2 million common shares under the previously announced program authorizing the repurchase of up to 7.5 million shares. “The consistency of our financial results is a reflection of our culture of delivering on our strategic objectives every day with a sense of urgency and accountability,” said Scott V. Fainor, president and CEO of National Penn. “The strength of our balance sheet continues to provide opportunities to enhance shareholder value through increasing dividends and returning capital to our shareholders.” Due to the continued low interest rate environment, net interest income contracted slightly for the quarter ended June 30, 2012 and totaled $63.2 million compared to $63.8 million in the first quarter. Net interest margin for the second quarter was 3.48% compared to 3.55% for the first quarter of 2012 and 3.53% a year ago. Average loans and leases grew by $17.6 million in the second quarter of 2012. The increase was primarily attributable to growth in commercial loans. The balance of total consumer loans, including residential mortgages, was stable on a linked-quarter basis as a result of prepayments and the sale of residential mortgage loans in the secondary market. A decline in loan and investment yields due to lower reinvestment rates was mitigated by continued efforts to manage funding costs, as total deposit costs declined by four basis points during the second quarter to 0.47%. The maturity of $80 million of FHLB advances during the second quarter 2012 also provided some benefit to net interest margin.