Franklin Financial Reports Drop In Quarterly Earnings
Franklin Financial Services Corp., the bank holding company of F&M Trust Co., reported earnings of $2,101,000 for the first quarter ended March 31, 2009. When compared to first quarter 2008 earnings of $2,532,000, net income declined 17.0 percent. On a per share basis, diluted earnings were 55 cents for the first three months of 2009 compared to 66 cents for the same period in 2008.
"Our net income for the first quarter was negatively impacted by the current economic conditions, as well as by increased FDIC deposit insurance premiums," commented William E. Snell Jr., president and CEO. "Specifically, we recorded writedowns from investments categorized as other than temporarily impaired. And we increased our provision for loan losses as a result of both continuing strong loan growth as well as our intent to maintain the adequacy of the allowance for loan losses during these economic times."
Total assets at March 31, 2009, reached $915.3 million, an increase of 10.4 percent over total assets of $829.0 million at March 31, 2008. Net loans increased to $688.9 million at quarter end from $581.6 million one year earlier. Total deposits and repurchase agreements were $723.1 million at the end of the first quarter 2009, increasing 8.0 percent from the first quarter of 2008. Reflecting an overall decline in the equities market, the market value of trust assets under management were $478.0 million on March 31, 2009, representing
PUBLIC AUCTION a 3.5 percent decline from a year earlier.
Franklin Financial is an independent, locally owned and operated bank holding company headquartered in Chambersburg. Its wholly owned subsidiary, F&M Trust operates 25 community banking offices located throughout Cumberland, Franklin, Fulton and Southern Huntingdon counties.