CNB News & Events

SAME DAY BANKING | LITTLE RIVER OFFICE OPEN | TO OUR SHAREHOLDERS AND FRIENDS | CNB EARNS 5-STAR RATING | EMPLOYEE RECOGNITION

CONWAY NATIONAL BANK NOW OFFERING SAME DAY BANKING:

June 10, 2008, Conway, S.C. - Conway National Bank (CNB) is now offering same day banking for all customers. The new service allows all transactions made before 5:00 p.m., Monday - Thursday, and 6:00 p.m. on Friday to be posted that business day.

"CNB is continuously looking at ways to make banking easier and more convenient for our customers," said Jennings Duncan, President and CEO of Conway National Bank. "Same day banking allows us to fulfill customer needs while still providing Horry and Georgetown Counties with the highest level of financial services, quality, dependability, and friendliness that they've come to expect over the years."

The new service launched on June 2, 2008. More information is available by visiting one of the 14 offices or at ConwayNationalBank.com.

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CONWAY NATIONAL BANK OPENS NEW OFFICE:

Little River Location Offers Community Bank Service

April 28, 2008, Conway, SC - Conway National Bank (CNB) opened their newest Horry County office in the Little River area on April 1, 2008. The bank is located at the intersection of Highway 9 and Highway 57.

This location is a full service office offering quality customer service, a night deposit box, a drive through ATM, as well as lending officers for both personal and business banking.

"We are excited about expanding further north into Horry County," said Jennings Duncan, President and CEO of Conway National Bank. "CNB understands the need for a bank within this growing area, and we're committed to providing easily accessible offices throughout Horry and Georgetown Counties."

Various prizes were given throughout the Grand Opening event on April 17, 2008, including a Grand Prize of a stainless steel gas grill.

The Little River office will be open Monday through Thursday 8:30 a.m. - 5:00 p.m., and Friday 8:30 a.m. - 6:00 p.m.

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TO OUR SHAREHOLDERS AND FRIENDS:

Conway National experienced solid financial performance in the first quarter of 2008. Net income for the quarter ended March 31, 2008 totaled $2,540,000, up 4.1% from $2,441,000 earned for the same period in 2007. On a per share basis, earnings, adjusted for the effect of the 10% stock dividend distributed in September 2007, have grown 6.0% from $2.83 in 2007 to $3.00 in 2008. Total assets grew to $854.2 million at March 31, 2008, with capital at $83.9 million.

As of March 31, 2008, total assets were $854,234,000, an increase of 2.6% over March 31, 2007; total deposits amounted to $710,098,000, an increase of 3.1% over the previous year; loans totaled $583,759,000, an increase of 3.4% from 2007; and investment securities were $206,300,000, an increase of 11.8% from the prior year. Total federal funds purchased and securities sold under agreement to repurchase were $49,508,000 at March 31, 2008 as compared to $54,001,000 at March 31, 2007, a decline of 8.3%. Stockholders' equity totaled $83,853,000 at March 31, 2008, resulting in a book value of $99.75 per share.

Net income for the quarter ended March 31, 2008 of $2,540,000 represents an annualized return on average assets of 1.16% and an annualized return on average stockholders' equity of 12.24%, which compare favorably to peer and to historical returns experienced by the Bank. Bank earnings are primarily the result of the Bank's net interest income, which increased 4.1% from $7,673,000 for the quarter ended March 31, 2007 to $7,986,000 for the quarter ended March 31, 2008. Other factors which affect earnings include the provision for possible loan losses, other expense, and other income. The provision for possible loan losses decreased slightly, 1.6%, from $365,000 for the first quarter of 2007 to $359,000 for the first quarter of 2008. The allowance for loan losses, as a percentage of net loans, remained stable at 1.15% at March 31, 2007 and 2008. Noninterest expenses increased 10.6% from $5,096,000 to $5,637,000 and noninterest income increased 18.6% from $1,556,000 to $1,845,000 during the same period. Noninterest expenses increased overall due to additional staffing, increased compensation, fixed asset expenditures, increased health care costs, and a decline in net deferred loan costs. Noninterest income increased due to an increase in service charges on deposit accounts and increased noninterest miscellaneous income.

Conway National maintained solid earnings for the first quarter of 2008, although local economic activity softened significantly during the second half of 2007 and the first quarter of 2008 and despite a decline in market interest rates of 200 basis points during the period.

We are proud to announce the opening of our fifteenth banking office, Little River, on April 1, 2008. We cordially invite you to visit with our staff at this, your new banking facility located at the corner of Highways 9 and 57, just west of the interchange of Highways 31 and 9. During the first quarter of 2008 we also implemented branch capture. This process provides the technology for branch offices to image banking transactions on site and will facilitate the movement of the Bank’s business day end from 2:00 p.m. to 5:00 p.m. We anticipate implementing the 5:00 p.m. business day end during the second quarter of this year.

We are very appreciative of your continued support, and we look forward to the future and continuing to build your Bank steeped in our traditions of exceptional customer service, trust, and dedication to all of the communities we serve.

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CNB Earns 5-Star Rating

Local Bank Earns Highest Rating for Safety and Soundness

April 2008: BAUERFINANCIAL, Inc. of Coral Gables, FL, the nation's leading independent bank rating and research firm, is proud to announce that The Conway National Bank, Conway, South Carolina has once again achieved its highest 5-Star rating. The 5-Star rating is based on the overall financial picture of the bank and indicates that The Conway National Bank is one of the strongest banks in the nation. This quarter represents the 63rd consecutive time that The Conway National Bank has earned this highest honor. Institutions like The Conway National Bank, that have achieved a 5-Star rating for ten years or longer, have yet another distinction: "Exceptional Performance Bank". Only 15% of the nation's banks are branded as such.

"The times are changing and fewer banks are qualifying for this top rating, but our rigorous standards remain," boasts Karen L. Dorway, president of BAUERFINANCIAL. "You should be proud to know your local bank, The Conway National Bank, can claim this highest honor and be confident to call it your bank."

The Conway National Bank was established in 1903 and has been steadfastly serving the financial needs of its neighbors and friends for 105 years. It operates through 14 conveniently located offices in Horry and Georgetown counties and can be found on the internet at www.conwaynationalbank.com.

The Conway National Bank: "Community Banking Since 1903."

BAUERFINANCIAL, Inc., Coral Gables, Florida, the nation's leading independent bank rating and research firm, has been reporting on and analyzing the performance of U.S. banks and credit unions since 1983. No institution pays for its rating, nor can they elude it. Consumers may obtain star-ratings by visiting www.bauerfinancial.com.

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CONWAY NATIONAL BANK HONORS STEPHANIE OWENS:

June 5, 2008, Conway, S.C. - Conway National Bank (CNB) has recognized Stephanie Owens for ten years of continued service to the bank, CNB officials have announced.

A native of Aynor, Owens is a graduate of Aynor High School and Horry Georgetown Technical College.  She is a Branch Manger and Loan Processor at the Aynor Office.  She lives in Galivants Ferry with her husband Casey, and son Jordan.  Owens is a member of Mt. Herman Baptist Church. 

CONWAY NATIONAL BANK HONORS KRISTIE BAKER:

May 29, 2008, Conway, S.C. - The Conway National Bank (CNB) has recognized Kristie Baker for ten years of continued service to the bank, CNB officials have announced.

A native of Conway, Baker is a graduate of Conway High School and the American Institute of Banking. She is a loan operations specialist at the Operations and Administration Center in Conway. Baker lives in Conway with her husband Michael, and children, Jamie and Victoria. She attends Evergreen Freewill Baptist Church.

CONWAY NATIONAL BANK HONORS CATHY SILVEY:

May 29, 2008, Conway, S.C. - Conway National Bank (CNB) has recognized Cathy Silvey for twenty years of continued service to the bank, CNB officials have announced.

A native of Sturgis, Mich., Silvey is a graduate of Sturgis High School. She is the Branch Operations Manager at the West Conway Office and oversees daily operations of the branch and customer service.  Silvey lives in Conway with her husband Chuck, and children, Austin and Ashley. She is a member of The Rock Community Church. 

CONWAY NATIONAL BANK HONORS ANITA HINSON:

May 2, 2008, Conway, S.C. - The Conway National Bank has recognized Anita C. Hinson for ten years of service to the bank, CNB officials have announced.

A native of Conway, Hinson is a graduate of Conway High School and is a member of Nebo Baptist Church. She is a loan processor at the Conway Banking Office on 4th Ave in Conway. She lives in Gresham with her husband Aubrey, and children, Audrey and Kyle.