Randy C. Bowers, President and CEO, remarked, "We are pleased to report a 7% increase in earnings compared with the 3 rd quarter of last year. This positive trend is the result of growth in our high quality loan portfolio and continued containment of expenses. We are especially thankful to our dedicated employees for their efforts in helping to achieve these results."Malaga’s total assets increased 4% to $872 million at September 30, 2013 compared to $836 million at September 30, 2012. Fed Funds Sold increased $18 million as of September 30, 2013 due to an increase in on-balance sheet liquidity. The loan portfolio at September 30, 2013 was $810 million, an increase of $19 million or 2% from September 30, 2012. Malaga originates loans principally for its own portfolio and not for sale. Malaga funds its assets with a mix of retail deposits, wholesale deposits and FHLB borrowings. Retail deposits totaled $568 million as of September 30, 2013, a $49 million or 10% increase from $519 million at September 30, 2012. The continued retail deposit growth was used to repay FHLB borrowings, which decreased $27 million or 19% from $145 million at September 30, 2012 to $118 million at September 30, 2013. The weighted average cost of funds for the third quarter of 2013 was 0.91% versus 1.25% for the third quarter 2012. The decrease was due primarily to lower interest rate environment and the change to lower cost deposits from higher cost FHLB borrowings. As of September 30, 2013, Malaga Bank was in compliance with all applicable regulatory capital requirements and was deemed “well-capitalized” under applicable regulations. Core capital and risk-based capital ratios were 13.39% and 23.41%, respectively, at September 30, 2013 significantly exceeding the minimum “well capitalized” requirements of 5% and 10% respectively. Malaga Bank, a subsidiary of Malaga Financial Corporation, is a full-service community bank headquartered on the Palos Verdes Peninsula with six offices located in the South Bay area of Los Angeles. For over 28 years, Malaga Bank has been delivering competitive banking services to residents and businesses of the South Bay, including real estate loan products custom-tailored to consumers and investors. As the largest community bank in the South Bay, Malaga is proud of its continuing tradition of relationship-based banking and legendary customer service. The Bank’s web site is located at www.malagabank.com.