10-Q 1 y67909e10vq.txt BRUNSWICK BANCORP SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 ____________________ Quarter ended September 30, 2004 Commission file number 0-14403 BRUNSWICK BANCORP ------------------------------------------------------------------------ (Exact Name of Registrant as Specified in its Charter) ____________________ NEW JERSEY 22-2610694 ------------------------------- ---------------------- (State or Other Jurisdiction of (I.R.S. Employer Incorporation or Organization) Identification Number) NEW BRUNSWICK, NEW JERSEY 08901 -------------------------------------- ---------- (Address of Principal Executive Office) (Zip Code) (732) 247-5800 ------------------------------------------------------------------------ (Registrant's Telephone Number Including Area Code) NOT APPLICABLE --------------------------------------------------------------------------- (Former Name, Former Address and Former Fiscal Year If Changed Since Last Report) COMMON STOCK, NO PAR VALUE 2,169,047 SHARES -------------------------- ---------------------------------- (Class of Stock) (Outstanding at Setember 30, 2004) ____________________ Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter periods that the registrant was required to file such report), and (2) has been subject to such filing requirements for the past 90 days. Yes [X] No [ ] BRUNSWICK BANCORP AND SUBSIDIARIES INDEX

Page 1 BRUNSWICK BANCORP AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS UNAUDITED

Page 2 BRUNSWICK BANCORP AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME NINE MONTHS ENDED SEPTEMBER 30, 2004, 2003 AND 2002 UNAUDITED

Page 3 BRUNSWICK BANCORP AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME QUARTERS ENDED SEPTEMBER 30, 2004, 2003 AND 2002 UNAUDITED

Page 4 BRUNSWICK BANCORP AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY NINE MONTHS ENDED SEPTEMBER 30, 2004, 2003 AND 2002 UNAUDITED

Page 5 BRUNSWICK BANCORP AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS NINE MONTHS ENDED SEPTEMBER 30, 2004, 2003 AND 2002 UNAUDITED

Page 6 BRUNSWICK BANCORP AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS NOTE 1 BASIS OF PRESENTATION The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information, and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. They do not include all the information and footnotes required by generally accepted accounting principles for complete financial statements. The information presented includes all normal and recurring adjustments concidered necessary for a fair presentation of the interim period results. NOTE 2 SECURITIES HELD TO MATURITY The following is a comparative summary of the book values and estimated market values of securities held to maturity:

Page 7 BRUNSWICK BANCORP AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS NOTE 3 NET LOANS RECEIVABLE The composition of net loans receivabe is as follows:

NOTE 4 PREMISES AND EQUIPMENT The major components of premises and equipment are as follows:

Page 8 BRUNSWICK BANCORP AND SUBSIDIARIES MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITIONS AND RESULTS OF OPERATIONS SEPTEMBER 30, 2004 The most noticeably changes in the Corporation's Balance Sheet since December 31, 2003 are increases in investment securities and deposits of $7,100,000 and $4,500,000, respectively. The $7,100,000 increase in securities was mostly the result of investments in securities issued by US Government Agencies and with the increase in deposits, the Corporation's interest earning assets increased by approximately $8,500,000. The allowance for credit losses increased by $280,000, which was due to credit loss provisions totaling $135,000 and recoveries totaling $145,000. At September 30, 2004 the allowance for credit losses totaled $1,080,131 which represented 35% of all loans that were past due or in nonaccrual. Stockholders' equity increased by approximately $1,541,000 mainly because of the addition of current earnings totaling $941,000 and additional capital of $521,000 that resulted from stock options exercised by directors and employees. The Corporation continues to be classified as "Well Capitalized". At September 30, 2004 our risk-based capital ratio was 44.4% which is over five times the regulatory requirement. The results of operations for the first three quarters of 2004, compared to the same period of 2003, show a slight decrease in income before taxes of approximately $65,000. Although interest earning assets increased in volume, lower interest rates brought about decreases in interest income and expense of $178,000 and $176,000, respectively. The resulting $2,000 decrease in net interest income, although insignificant, is analyzed in detail on page 9. Credit loss provisions totaled $135,000 during the current period compared to $225,000 during the first three quarters of 2003. Finally non-interest income decreased by $35,000 and non-interest expenses increased by $119,000. In Management's opinion, the Corporation's liquidity position is strong, based on its high level of core deposits, the stability of its other funding sources and the support provided by its capital base. Page 9 BRUNSWICK BANCORP AND SUBSIDIARIES ANALYSIS OF CHANGES IN NET INTEREST INCOME

Page 10 BRUNSWICK BANCORP AND SUBSIDIARIES PART II - OTHER INFORMATION ITEM 6 EXHIBITS AND REPORTS ON FORM 8-K The Corporation filed no Form 8-K during the three months ended September 30, 2004. Page 11 BRUNSWICK BANCORP AND SUBSIDIARIES SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned duly authorized. BRUNSWICK BANCORP AND SUBSIDIARIS 10/21/04 Carmen J. Gumina -------------- --------------------------------- Date Carmen J. Gumina, President & CEO 10/21/04 Thomas Fornale -------------- ---------------------------------- Date Thomas Fornale, Treasurer

BRUNSWICK BANCORP 10-Q