TOMS RIVER, N.J., Oct. 18 /PRNewswire-FirstCall/ -- Shore Community Bank (OTC:SHRC) (BULLETIN BOARD: SHRC) today reported net income of $133,227 for the third quarter of 2007, a 53.0 percent decline in earnings compared to $283,503 reported in the third quarter of 2006. On a diluted basis, earnings per share for the third quarter of 2007 were 8 cents, compared to 17 cents recorded for the third quarter of 2006. The Bank also reported net income of $445,728 for the nine months ended September 30, 2007, a 47.8 percent decline from the $853,775 reported in the same period a year ago. On a diluted basis, earnings per share for the first nine months of 2007 were 27 cents compared to 52 cents reported in the same period of 2006. Theodore D. Bessler, President and Chief Executive Officer stated, "In the third quarter we continued to experience margin pressures brought upon by decreased loan activity and increased deposit interest expense. We also monitor operational expenses and make adjustments in expense categories where appropriate." The Bank's total assets at September 30, 2007 were $193.6 million compared to $195.4 million at September 30, 2006, representing a 0.9 percent decrease in total assets. Total loans at September 30, 2007 stood at $150.6 million compared to $141.6 million at September 30, 2006, an increase of 6.3 percent. Total deposits declined 1.4 percent to $166.2 million at September 30, 2007 compared to $168.5 million at September 30, 2006. Shore Community Bank is traded on the OTCBB (Over the Counter Bulletin Board) under the symbol SHRC. Shore Community Bank operates five banking offices, located in Toms River, Ortley Beach and Jackson. Mr. Bessler stated, "We continue to move forward with our new branch facility in Manahawkin, at the northwesterly corner of Route 72 and Jennings Road. Construction of this facility is expected to begin late fall 2007." The Bank was founded in 1997 by a group of local business leaders to return community-based banking to the Toms River area. Information in this release relating to Shore Community Bank's future prospects which are forward-looking statements involve risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the following: (1) operating, legal and regulatory risks, such as continued levels of loan quality and origination volume, continued relationships with major customers and technological changes; (2) economic, political and competitive forces affecting our banking business, such as changes in economic conditions, especially in our market area, interest rate fluctuations, competitive product and pricing pressures within our market, personal and corporate bankruptcies, monetary policy and inflation; (3) our ability to grow internally or through acquisitions; and (4) the risk that management's analyses of these risks and forces could be incorrect and/or that the strategies developed to address them could be unsuccessful. Forward- looking statements may be identified by the use of words such as "expects," "believe," "will," "intends," "will be" or "would." Shore Community Bank assumes no obligation to update the forward-looking information in this announcement, except as required under applicable law. DATASOURCE: Shore Community Bank CONTACT: Robert T. English, EVP-COO-CFO of Shore Community Bank, +1-732-240-5800 Web site: http://www.shorecommunitybank.com/

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