"Our initiatives to build and diversify the bank's revenue sources, combined with disciplined management of interest expense and a lower cost of funds, supported year-over-year quarterly earnings growth and contributed to increased shareholder value," said William S. Latoff, Chairman and CEO. "We were particularly pleased with the increased bottom-line contribution from non-interest income sources, including fees from deposit accounts and revenue generated by our growing wealth management business, where we believe there is significant opportunity for expansion. Wealth management represents a predictable and growing stream of revenue for the bank.""We invested in building our asset management business, and were fortunate to have added three very experienced and proven individuals responsible for overseeing billions of dollars under management in previous positions at larger financial institutions, and two individuals to provide operational and administrative support. We expect continuing revenue traction in 2013 and beyond as DNB First grows its visibility and reputation for providing exceptional investment and wealth management solutions." Net interest income was $4.97 million for the three months ended March 31, 2013 compared to $5.37 million for the same period in 2012, primarily reflecting the continuing impact of the low interest rate environment. A decrease in net interest income occurred, despite a $5.25 million increase in net loans in the first quarter, compared with year-end 2012. Interest expense declined 19.3% in first quarter 2013 to $800,000 compared with $991,000 in first quarter 2012. The company's net interest margin was 3.32% in first quarter 2013 compared with 3.75% in first quarter 2012. Non-interest income, excluding gains on the sale of investment securities and SBA 7(a) loans, increased 7.7% to $993,000 for the three months ended March 31, 2013 compared to $922,000 during the same period in 2012. The company also recorded a $147,000 gain on the sale of SBA 7(a) loans in first quarter 2013, which is consistent with the company's ongoing practice of originating and selling SBA loans in the secondary market. Non-interest expense increased slightly year-over-year to $4.39 million in first quarter 2013 compared with $4.32 million in first quarter 2012, primarily reflecting the addition of the Boothwyn branch in second quarter 2012.