William J. Hieb, President and Chief Risk & Credit Officer, noted: "As we have discussed in past quarters, we continue to execute on our goal of moving non-performing assets through the bank, into OREO and off our books. As of September 30, 2013, we have entered into agreements to sell two large OREO properties which are scheduled to close in the fourth quarter. Further, we see continued improvement in asset quality as measured by delinquencies and other risk factors, which we anticipate will translate to lower non-performing asset levels in future quarters."As previously noted, the company's capital ratios remained significantly above accepted minimum regulatory standards for well-capitalized institutions, with a Tier 1 leverage ratio of 10.39%, Tier 1 risk-based capital ratio of 15.18% and a total risk-based capital ratio of 16.16% at September 30, 2013. Return on average assets and return on average equity for the first nine months of 2013 were 0.56% and 6.38%, respectively. Return on average assets and return on average equity in the third quarter of 2013, both impacted by the increased provision for credit losses, were 0.20% and 2.28%, respectively. Total stockholders' equity was $57.75 million at September 30, 2013, compared with $56.71 million at December 31, 2012 and $55.67 million at September 30, 2012. Book value per common share was $16.28 at September 30, 2013 compared with $16.08 at December 31, 2012. Latoff concluded: "As we have discussed, our utmost focus as a management team is to execute in a prudent way and build shareholder value. Strengthening DNB's balance sheet and improving asset quality have been priorities for 2013. We are well served by the improvement to DNB's asset quality, which will allow for a continued focus on improving earnings and operational efficiency. As a significant shareholder of DNB, I have great confidence in our team, and in the company's future prospects."