PFI Invesco ETF Trust Invesco Dorsey Wright Financial Momentum ETF

Pelican Financial, Inc. Reports 2004 Results Two Branches Opened Core Deposits Increased ANN ARBOR, Mich. and NAPLES, Fla., March 4 /PRNewswire-FirstCall/ -- Pelican Financial, Inc. (AMEX:PFI), the holding company for Pelican National Bank, continued its branching campaign with the opening of two branches, raised core deposits, but posted a net loss for 2004, Charles C. Huffman, Chairman and CEO, reported today. Pelican National Bank, headquartered in Naples, Fla., is a full-service community bank serving the consumer and commercial sectors from six branch offices in Cape Coral, Fort Myers, Naples, and Bonita Springs, Florida. Pelican Financial, Inc. completed its previously announced spin-off of Washtenaw Mortgage Company into a separate, publicly held corporation, The Washtenaw Group, Inc., trading under the symbol TWH. The spin-off was effective at the close of business December 31, 2003. Fourth-quarter results Fourth-quarter results were hampered by low loan growth, margin compression from the low interest-rate environment, an increase in the cost of funds and higher expenses from marketing and branch-expansion activities. The net loss for the quarter was $174,993, or $0.04 per diluted share, improved appreciably from the year-earlier net loss of $663,138, or $0.15 per diluted share, for the fourth quarter of 2004. Net interest income rose fractionally, noninterest income posted a 214% turnaround from a loss a year ago, and noninterest expense was reduced by 11%, despite the branch openings and addition of personnel during the year. The results were aided by the absence of any new provision for loan losses, reflecting improved loan quality. Full-year results The Company recorded a net loss $250,820, or $0.06 per diluted share for 2004. This compares with a net loss from continuing operations before accounting adjustments of $918,165 for 2003. Aided by accounting adjustments, net income including discontinued operations for 2003 was $8,520,071, or $1.91 per diluted share. 2004's net interest income was off about 8%, reflecting lower loan fees and higher deposit costs, partially from successful money-market promotions. As previously announced, Washtenaw Mortgage Company withdrew approximately $50 million in non-interest bearing deposits. The Bank has been working hard to replace those funds through traditional deposit promotions. Noninterest income was up three fold, chiefly from gains on the sale of securities and the sale of foreclosed assets. Noninterest expense rose 3%, principally from the opening and operation of two new branches during the year, along with higher personnel costs. Two new branches were opened in Fort Myers Beach, and Cape Coral, FL. Six branches were in operation at yearend. The Bank continued it focus on strengthening its balance sheet and increasing core deposits. Core deposits increased by $13.1 million. Credit quality was another management thrust for 2004. The Bank reduced classified loans by 58% or $6.2 million to 4.0% of loans outstanding. The improvement resulted in a $225,000 credit for the loan loss provision. Mr. Huffman said, "While we are disappointed by a net loss, management focused a majority of its efforts on building infrastructure, improving loan quality and growing core deposits to support future loan growth. With our team and a network of branches in place, we are now well positioned to compete. We will continue to target commercial lending to the medium and small-business service sectors. And while competition is fierce, the recent interest-rate increases by the Federal Reserve has helped our Net Interest Margin on adjustable loans. These comprise about 50% of the Bank's total loans outstanding. We are hopeful for improved operating results in 2005." Safe Harbor. This news release contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements are based on management's current expectations and are subject to risks and uncertainties, which could cause actual results to differ materially from those described in the forward- looking statements. Among these risks are regional and national economic conditions, competitive and regulatory factors, legislative changes, mortgage- interest rates, cost and availability of borrowed funds, our ability to sell mortgages in the secondary market, and housing sales and values. These risks and uncertainties are contained in the Corporation's filings with the Securities and Exchange Commission, available via EDGAR. The Company assumes no obligation to update forward-looking statements to reflect occurrences or unanticipated events or circumstances after the date of such forward-looking statements. PELICAN FINANCIAL, INC. Consolidated Balance Sheets December 31, 2004 and 2003 2004 2003 ASSETS Cash and cash equivalents Cash and due from banks $2,831,621 $6,264,960 Interest-bearing deposits 275,800 45,728,744 Federal funds sold 7,384,068 3,426,013 Total cash and cash equivalents 10,491,489 55,419,717 Accounts receivable, net 410,436 179,488 Securities available for sale 69,385,545 49,729,994 Federal Reserve & Federal Home Loan Bank Stock 2,669,700 949,000 Loans held for sale - 141,200 Loans receivable, net of allowance of $953,954 and $1,330,112 110,830,985 109,798,257 Loan servicing rights, net 12,054 29,368 Other real estate owned - 332,857 Premises and equipment, net 3,713,200 2,658,018 Other assets 1,302,169 2,277,736 $198,815,578 $221,515,635 LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Deposits Noninterest-bearing $15,200,340 $74,004,969 Interest-bearing 125,508,431 117,907,625 Total deposits 140,708,771 191,912,594 Note payable - 291,665 Federal Home Loan Bank borrowings 41,500,000 12,000,000 Other liabilities 319,057 421,088 Total liabilities 182,527,828 204,625,347 Shareholders' equity Preferred stock, 200,000 shares authorized; none outstanding - - Common stock, $.01 par value 10,000,000 shares authorized; 4,494,365 and 4,488,351 outstanding at December 31, 2004 and 2003 44,943 44,884 Additional paid in capital 15,574,767 15,568,593 Retained earnings 932,726 1,183,546 Accumulated other comprehensive income, net of tax (264,686) 93,265 Total shareholders' equity 16,287,750 16,890,288 $198,815,578 $221,515,635 PELICAN FINANCIAL, INC. Consolidated Statements of Income Years ended December 31, 2004, 2003 and 2002 2004 2003 2002 Interest income Loans, including fees $7,525,937 $9,148,444 $10,028,618 Investment securities, taxable 2,635,218 430,257 473,410 Federal funds sold and overnight accounts 376,677 563,084 322,980 Total interest income 10,537,832 10,141,785 10,825,008 Interest expense Deposits 3,671,517 2,474,514 3,240,473 Other borrowings 716,433 997,915 1,064,314 Total interest expense 4,387,950 3,472,429 4,304,787 Net interest income 6,149,882 6,669,356 6,520,221 Provision for loan losses (225,000) 1,058,000 300,000 Net interest income after provision for loan losses 6,374,882 5,611,356 6,220,221 Noninterest income Gain (loss) on sale of securities, net 318,940 (29,015) 162,776 Service charges on deposit accounts 169,870 179,146 155,609 Gain on sales of loans, net 28,371 94,054 369,781 Net gain (loss) on foreclosed assets and other income 214,048 (12,735) 83,746 Total noninterest income 731,229 231,450 771,912 Noninterest expense Compensation and employee benefits 3,857,215 3,617,106 2,233,588 Occupancy and equipment 1,303,789 1,008,652 760,547 Legal 237,195 408,339 282,766 Accounting and auditing 168,089 199,578 117,856 Data processing 238,965 136,804 99,381 Marketing and advertising 104,687 180,901 130,310 Loan and other real estate owned 315,194 443,231 224,981 Debt extinguishments - 309,673 - Other noninterest expense 1,258,586 929,383 833,824 Total noninterest expense 7,483,720 7,233,667 4,683,253 Income (loss) from continuing operations before income taxes and cumulative effect of change in accounting principle (377,609) (1,390,861) 2,308,880 Income tax expense (benefit) (126,789) (472,696) 786,648 Income (loss) from continuing operations before cumulative effect of change in accounting principle (250,820) (918,165) 1,522,232 Discontinued operations: Income from operations of discontinued mortgage subsidiary - 14,278,682 2,762,924 Income tax - 4,840,446 956,501 Income from discontinued operations - 9,438,236 1,806,423 Income before cumulative effect of change in accounting principle (250,820) 8,520,071 3,328,655 Cumulative effect of change in accounting principle, net of tax - - 413,449 Net income $(250,820) $8,520,071 $3,742,104 Basic earnings per share from continuing operations before cumulative effect of change in accounting principle $(0.06) $(0.21) $0.35 Diluted earnings per share from continuing operations before cumulative effect of change in accounting principle $(0.06) $(0.21) $0.34 Per share effect of discontinued operations $ - $2.12 $0.41 Per share cumulative effect of change in accounting principle $ - $ - $0.09 Basic earnings per share $(0.06) $1.91 $0.85 Diluted earnings per share $(0.06) $1.91 $0.84 DATASOURCE: Pelican Financial, Inc. CONTACT: Howard Nathan of Pelican Financial, Inc., +1-800-765-5562; or Mike Marcotte of Marcotte Financial Relations, +1-248-656-3873, for Pelican Financial, Inc.

Copyright