ELMIRA SAVINGS BANK RECEIVES PRELIMINARY APPROVAL FOR $14.1 MILLION OF SBLF CAPITAL
Thursday, August 18, 2011
Elmira, New York, August 18, 2011 -- The Elmira Savings Bank, FSB (NASDAQ:ESBK) (“the “Bank”), today announced that it has received preliminary approval to receive an investment of up to $14.1 million in the Bank’s preferred stock from the United States Department of the Treasury under the Small Business Lending Fund (the “SBLF”). The SBLF is a voluntary program intended to encourage small business lending by providing capital to qualified community banks at favorable rates.
The Bank intends to use up to $9.1 million in SBLF funds to redeem the shares of preferred stock issued by the Bank in 2008 to the Treasury Department under its Capital Purchase Program (TARP). Subject to review of the SBLF documentation by the Bank and final due diligence by the Treasury, the Bank expects to seek the full amount of the approved investment. Closing is expected to occur during August 2011.
Elmira Savings Bank, FSB with $505.3 million in total assets, is insured by the Federal Deposit Insurance Corporation (FDIC) and is a federally chartered Bank with five offices in Chemung County, NY; three offices and a loan center in Tompkins County, NY; one office in Steuben County, NY; one office in Cayuga County, NY; one office in Schuyler County; and a loan center in Cortland County, NY.
Except for the historical information contained herein, the matters discussed in this news release are forward-looking statements that involve the risks and uncertainties, including the timely availability and acceptance of Bank products, the impact of competitive products and pricing, the management of growth, and other risks detailed from time to time in the Bank’s publicly available regulatory reports.
For further information contact:
Thomas M. Carr, EVP & COO
Elmira Savings Bank, FSB
333 East Water Street
Elmira, New York 14901