Wednesday, November 8, 2017

First Federal Bancorp, Inc. to Merge with Coastal Banking Company, Inc.

Lake City, FL, November 7, 2017 – First Federal Bancorp, Inc. (“FFBI”), the holding company of First Federal Bank of Florida (“First Federal”) is pleased to announce the signing of a definitive merger agreement under which FFBI will acquire Coastal Banking Company, Inc. (OTCQX: CBCO), the holding company of CBC National Bank (“CBC”).

CBC, is a $650.8 million-asset company headquartered in Fernandina Beach, Florida. CBC currently has full-service bank branches in Florida and South Carolina, with residential lending offices and small business lending offices in Florida, Georgia, South Carolina, North Carolina, Illinois, Ohio, Tennessee, and Maryland. This agreement would expand First Federal’s bank branch presence to Ocala, Florida, and South Carolina, and increase First Federal’s influence in Nassau County. First Federal will also gain residential, SBA, and USDA lending offices across Florida and in multiple states. 

Under terms of the definitive merger agreement between FFBI and CBCO, FFBI will pay $21.50 per share in cash for each CBCO common share and stock option outstanding in a transaction valued at $83.2 million plus the repayment of $8.2 million of debt. The merger agreement has been unanimously approved by the Boards of Directors of both FFBI and CBCO and is subject to CBCO shareholder approval, customary closing conditions, and regulatory approval and is expected to close late in the first quarter of 2018.

“We are delighted to announce this partnership with CBC National Bank,” said Keith Leibfried, President and CEO of First Federal. “CBC has built a strong reputation in the markets they serve and we look forward to continuing that tradition. We share common values and traits with CBC and want to extend a warm welcome to CBC employees, customers, and the communities they serve.”

“This partnership with First Federal is a great fit for our customers and the communities we serve,” said Mike Sanchez, Chairman & CEO of Coastal Banking Company, Inc. “Our team will be able to build on the strength and stability of First Federal and work together in providing our customers with the convenience of 16 additional branch locations and a greater level of service and benefits.”

Hovde Group LLC served as financial advisor to FFBI and Smith Mackinnon, PA and Reznicsek, Shaw, Shaffer & Jeans provided legal counsel to FFBI.  The Burke Group LLC served as financial advisor to CBCO and Bryan Cave, LLP served as legal counsel.

First Federal Bank of Florida is a community bank founded in the heart of North Florida in 1962. Today, First Federal is a $1.5 billion-asset institution offering a full line of personal and business financial solutions, loans, and services from Florida’s Panhandle to the First Coast. First Federal is a mutual savings bank and continues to receive a “5-Star, Superior” financial rating from BauerFinancial, Inc., of Coral Gables, FL. For more information, visit www.ffbf.com.

Important Information for Investors and Shareholders
This communication relates to the proposed merger transaction involving FFBI, First Federal, CBCO, and CBC and does not constitute an offer to sell or the solicitation to buy any securities or solicitation of any vote or proxy.  A definitive proxy statement will be mailed to shareholders of CBCO.  Before making any voting or investment decision, investors and security holders of CBCO are urged to read the proxy statement and other documents in their entirety when they become available because they will contain important information about FFBI, First Federal, CBCO and CBC.  Investors and security holders will be able to obtain free copies of the proxy statement (when available) and other documents from CBCO, copies of which will be available free of charge on CBCO’s website or by contacting CBCO.

FFBI, First Federal, CBCO and CBC, their respective directors and executive officers and other members of management and employees may be considered participants in the solicitation of proxies in connection with the proposed transaction.  Information on the directors and executive officers of CBCO is set forth in its proxy statement for its 2017 annual meeting of shareholders, which was posted on CBCO’s website.  Other information regarding the participants and the proxy solicitation and a description of their direct and indirect interests, by security holdings or otherwise, will be contained in the proxy statement and other relevant materials to be posted on CBCO’s website when they become available.

Cautionary Notice Regarding Forward-Looking Statements

This communication contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is intended to be protected by the safe harbor provided by the same. Forward-looking statements can be identified by the use of the words "anticipate," "expect," "intend," "estimate," "target," and words of similar import. Forward-looking statements are not historical facts but instead express only management's beliefs regarding future results or events, many of which, by their nature, are inherently uncertain and outside of management's control. It is possible that actual results and outcomes may differ, possibly materially, from the anticipated results or outcomes indicated in these forward-looking statements. Risks and uncertainties to which these statements are subject include, but are not limited to, the following:; the timing to consummate the proposed merger; the risk that a condition to closing of the proposed merger may not be satisfied; the parties' ability to achieve the synergies and value creation contemplated by the proposed merger; the parties' ability to promptly and effectively integrate the businesses of First Federal and Coastal; the diversion of management time on issues related to the merger; the failure to consummate or delay in consummating the merger for other reasons; changes in laws or regulations; and changes in general economic conditions.  No assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what impact they will have on the results of operations or financial condition of First Federal and Coastal. Forward-looking statements are made only as of the date of this communication, and neither First Federal nor Coastal undertakes any obligation to update any forward-looking statements contained herein to reflect events or conditions after the date hereof.

Nina Heringer
Director of Marketing
(386) 755-0600, ext. 3156
M: (386) 697-6491
heringern@ffbf.com

Monday, October 30, 2017

Coastal Banking Company Reports Strong Third Quarter 2017 Earnings


Coastal Banking Company Reports Strong Third Quarter 2017 Earnings

BEAUFORT, SC / ACCESSWIRE / October 30, 2017 / Coastal Banking Company Inc. (OTCQX: CBCO) (the "Company"), the holding company of CBC National Bank, which operates branches in Beaufort and Port Royal, S.C., and in Fernandina Beach, Ocala, and The Villages, Fla., today reported net income of $1.71 million, or $0.45 diluted earnings per common share, for the three months ended Sept. 30, 2017.

This compares to $1.99 million, or $0.54 in diluted earnings per common share, for the third quarter of 2016, a decrease of $280,000. On a linked-quarter basis, the $1.71 million of net income in the third quarter of 2017 decreased from second quarter 2017 net income of $2.11 million, or $0.55 diluted earnings per common share. The third quarter of 2016 and the second quarter of 2017 represented two of the three highest net income quarters in the Company's history.

For the first nine months ending Sept. 30, 2017, the Company reported net income of $5.27 million, or $1.38 diluted earnings per common share, an increase of $520,000 over the net income for the first nine months of 2016 of $4.75 million, or $1.45 diluted earnings per common share. The increase in 2017 year-to-date earnings over 2016, and the slight decline in diluted earnings per share, reflect the effects of the Company's April 2016 acquisition of First Avenue National Bank in Ocala, Florida.

To Read Full Release: Click Here

About Coastal Banking Company Inc. Coastal Banking Company Inc. is the $650.8 million-asset bank holding company of CBC National Bank, headquartered in Fernandina Beach, Fla., which provides a full range of consumer and business banking services through full-service banking offices in Fernandina Beach, Ocala, and The Villages, Fla., and Beaufort and Port Royal, S.C. The company's residential mortgage banking division, headquartered in Atlanta, includes both traditional retail and wholesale lending groups, which together have lending offices in Florida, Georgia, Maryland, South Carolina, North Carolina, Illinois, Ohio, and Tennessee. The company's SBA lending division operates under SBA's delegated authority, originating SBA, USDA and FSA loans throughout the southeastern United States. Headquartered in Fernandina Beach, its offices are located in Jacksonville, Ft. Myers, Tampa and Vero Beach, Fla., Greensboro, NC, Atlanta and Tifton, Ga., and Beaufort. The company's common stock is publicly traded on the OTCQX Best Market under the symbol CBCO. The company was named to the OTCQX® Best 50 in both 2015 and 2016, an annual ranking of the top 50 U.S. and international companies traded on the OTCQX Best Market, based on equal weighting of one-year return and average daily dollar volume growth.

Tuesday, September 26, 2017

CBC National Bank’s SBA/USDA Lending Division Surpasses $300 Million Milestone in Loans to Small Businesses



FERNANDINA BEACH, Fla., September 26, 2017 – CBC National Bank, headquartered in Fernandina Beach and with branches in Fernandina Beach, Ocala and The Villages, Fla., and Beaufort and Port Royal, S.C., today announced that in June its SBA lending division surpassed the $300 million mark in loans to small businesses. As of June 30, it had reached $314 million.

CBC’s SBA lending division continues to grow and expand its capacity to provide small businesses across the Southeast the vital lending needed to spur economic growth and development. In the second quarter of 2017, the division originated $7.7 million in loans, compared to $5.2 million in the second quarter of 2016.

CBC continues to be recognized as one of the U.S. Small Business Administration’s highest ranked community bank lenders in Florida, recently ranking No. 2 in total dollar volume and number of loans. CBC has also bolstered its government guaranteed lending group in 2017, with specific focus on United States Department of Agriculture (USDA) Business and Industry loans.
Through the USDA program, CBC can offer commercial and small business loans for most types of businesses, as well as investment properties, multi-use office complexes, etc. If the loan recipient meets necessary criteria, the loan is guaranteed by the federal government.

“We continue to strengthen our SBA lending division in order to serve small businesses across the Southeast by providing them the capital they need to grow their businesses,” said Durand Childers, president of CBC’s SBA lending division. “Building our government guaranteed lending group to now include USDA Business and Industry loans allows us to offer a more diversified lending product specific to the small businesses in the communities we serve.”




Monday, July 31, 2017

Coastal Banking Company Reports Strong Second Quarter 2017 Earnings




BEAUFORT, S.C., July 31, 2017 – Coastal Banking Company Inc. (OTCQX:CBCO) (the “Company”), the holding company of CBC National Bank, which operates branches in Beaufort and Port Royal, S.C., and in Fernandina Beach, Ocala, and The Villages, Fla., today reported net income of $2.11 million, or $0.55 diluted earnings per common share, for the three months ended June 30, 2017. This compares to $1.54 million, or $0.46 in diluted earnings per common share, for the second quarter of 2016, an increase of $570,000. The diluted earnings per common share for both quarters reflect the acquisition of First Avenue National Bank (“FANB”) in Ocala, Florida, in early April 2016.

On a linked-quarter basis, the $2.11 million of net income in the second quarter of 2017 increased significantly from first quarter 2017 net income of $1.45 million, or $0.38 diluted earnings per common share.


For the first six months ending June 30, 2017, the Company reported net income of $3.56 million, or $0.94 diluted earnings per common share, an increase of $790,000 over the net income for the first six months of 2016 of $2.77 million, or $0.90 diluted earnings per common share.

Tuesday, July 25, 2017

CBC National Bank Hires Michael Oppel in the Bank’s SBA Lending Division



FERNANDINA BEACH, Fla., July 25, 2017 – CBC National Bank, headquartered in Fernandina Beach and with branches in Fernandina Beach, Ocala and The Villages, Fla., and Beaufort and Port Royal, S.C., today announced the hiring of Michael Oppel in its SBA lending division.

Oppel is joining CBC as a lender in the SBA division’s government guaranteed lending group. He will work as an SBA and government guaranteed lender with specific focus on United States Department of Agriculture (USDA) Business and Industry loans. His lending will focus on the geographic areas of the southeastern United States.

Oppel joins Richard Duncan, vice president of USDA lending for CBC National Bank, in the growing government guaranteed lending group. The USDA lending program is intended to bolster economic stability and development in rural areas. Through the program, CBC can offer commercial and small business loans not just for farming operations but for most types of businesses, as well as investment properties, multi-use office complexes, etc. If the loan recipient meets necessary criteria, the loan is guaranteed by the federal government.

Prior to CBC, Oppel garnered portfolio management, credit analysis, USDA lending, and underwriting experience in several financial industry and banking positions. He earned both bachelor’s and master’s degrees in business administration from Valdosta State University.
“We look forward to Michael’s contributions in helping grow our government guaranteed lending group and expand our services in USDA lending,” said Durand Childers, president of CBC’s SBA lending division. “Our ability to offer USDA loans and the expertise to process them in-house are great benefits to both existing businesses and start-ups that may seek out the program’s numerous
advantages in comparison to conventional loans.”

CBC National Bank continued to thrive in SBA lending in 2016, with SBA portfolio loans
growing $25.3 million from 2015 levels. CBC has been recognized as one of the U.S. Small
Business Administration’s (SBA) highest ranked community bank lenders in Florida, recently
ranking No. 2 in total dollar volume and number of loans.

Friday, June 16, 2017

Coastal Banking Announces John Q. Adams to Succeed James "Jim" C. Key





John Q. Adams appointed to Chairman of the Audit Committee. Mr. Adams succeeds James C. Key, an 18-year veteran of the board and former chairman of the audit committee. Jim passed away on June 2nd, 2017.

"John's financial and industry expertise combined with his past audit experience make him an excellent choice to chair the audit committee," said Michael Sanchez, Chairman & CEO of Coastal Banking Company, Inc. "We look forward to his contributions in this important role."

John Q. Adams II, 53, Class III Director, is one of two directors appointed to the Board of Directors in 2016, upon consummation of the merger of April 2016 merger of First Avenue National Bank ("First Avenue") with and into CBC National Bank. Mr. Adams was a founding director of First Avenue and served as its chairman for four years. He also chaired the First Avenue Audit, Loan and Executive Committees and served on the Asset-Liability Committee (ALCO) from First Avenue's inception through the merger. Mr. Adams is a licensed certified public accountant practicing in Florida and is the owner/principal of the public accounting firm of Adams & Company, P.A. In 1994, he graduated with a master's degree in accountancy from the University of Central Florida and completed the CPA exam. He is a longtime member of the American Institute of Certified Public Accountants and the Florida Institute of Certified Public Accountants. Mr. Adams has a long history of community leadership, serving on several boards, including The Arnette House and the Marion County Family YMCA.

Read Full Release at: http://www.coastalbanking.com/

Thursday, June 15, 2017

Coastal Banking Remembers Board Member James "Jim" C. Key

Coastal Banking Announces Death of Board Member James "Jim" C. Key 




BEAUFORT, SC / ACCESSWIRE / June 13, 2017 / Coastal Banking Company Inc. (OTCQX: CBCO) Board of Directors announces the passing of Jim Key, a valued member of the company's board of directors. Jim passed away on June 2nd, 2017.

"Jim was an inspiring leader and friend," said Michael Sanchez, Chairman & CEO of Coastal Banking Company, Inc.. He brought great value and a wealth of knowledge to our company and he will be greatly missed."

James C. Key, Class I Director, had served as a director of Coastal since 1999. Jim was Chairman of the Audit Committee and a member of the Corporate Governance & Nominating Committee. He was the managing partner of Shenandoah Group, LLP, a firm providing governance, risk management, and compliance (GRC) solutions for a wide variety of clients in business, government, education, and multilaterals since 1997. Mr. Key served as director-internal audit for North America and Asia Pacific at IBM Corporation in Armonk, New York, until he retired in 1997. He was a certified internal auditor and held a certification in risk management assurance. Additionally, Mr. Key was active in The Institute of Internal Auditors since 1991. He graduated from Syracuse University with a degree in liberal studies and completed graduate work at the Maxwell School of Citizenship and Public Affairs, Syracuse University. Mr. Key was immediate past president of the Southeast District of the Unitarian Universalist Association (UUA) of Congregations in Charlotte, North Carolina and chaired the audit committee of the board of trustees of the National UUA organization. He was elected to a single six-year term as moderator and chief governance officer of the National UUA in 2013. In that role, he chaired the board of trustees, presided over annual meetings, and met with congregations across the country