AB&T Financial : July 29, 2021 -- AB&T Financial Corporation Announces Second Quarter 2021 Results

Contact: Dan M. Boyd IV, President/CEO, [phone]

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AB&T Financial Corporation Announces First Quarter 2021 Results

Gastonia, N.C. (July 29, 2021) - AB&T Financial Corporation (OTC Pink: ABTO), the parent company of Alliance Bank & Trust Company (the 'Bank'), today reported its second quarter 2021 results. For the quarter ended June 30, 2021, net income available to common shareholders was $615,000 or $0.02 per basic and $0.019 per diluted common share, compared to net income available to common shareholders of $455,000 or $0.014 per basic and diluted common share for the quarter ended June 30, 2020. This $160,000 increase in earnings was primarily attributable to a provision for loan loss expense of $250,000 for the second quarter of 2020 that was not incurred in 2021. The second quarter 2020 provision expense was made due to the economic uncertainty surrounding the COVID-19 pandemic.

Earnings for the first six months of 2021 increased by $178,000, or 25.8% to $867,000, compared to earnings of $689,000 for the same period in 2020. Fully diluted earnings per common share for the six months ended June 30, 2021 were $0.027 compared to $0.022 for the same period in 2020.

Total assets at June 30, 2021 were $215.5 million, an increase of $31.1 million from $184.4 million at December 31, 2020. Loans totaled $150.8 million at June 30, 2021 compared to $144.6 million at December 31, 2020, an increase of $6.2 million or 4.3%. Our loan portfolio, excluding any outstanding balances regarding the Small Business Administration Paycheck Protection Program ('PPP') loans, increased from $124.3 million as of December 31, 2020 to $137.9 million as of June 30, 2021, an increase of 10.9%. Total deposits increased to $199.8 million at June 30, 2021, from $169.8 million as of December 31, 2020, an increase of $30.0 million or 17.7%. Demand deposit accounts increased from $76.3 million at December 31, 2020, to $88.6 million at June 30, 2021, an increase of $12.3 million or 16.1%. The Bank continues to carry no wholesale funding or borrowings on the balance sheet.

Dan Boyd, President and CEO, commented, 'We are pleased to report continued growth in both our organic loan portfolio as well as in our core deposit base. These positive trends are the result of our team's proactive efforts in attracting new profitable relationships.'

Alliance Bank & Trust Company, which opened in Gastonia, North Carolina in 2004, operates four North Carolina banking offices, in Gastonia (2), Kings Mountain and Shelby.

AB&T Financial Corporation is the parent company of Alliance Bank & Trust Company, which operates 4 community-oriented branches in Gaston and Cleveland Counties in North Carolina that offer a full array of banking services. Additional information on Alliance Bank & Trust's locations and the products and services offered are available at http://www.alliancebanknc.com/.

Information in this news release contains forward-looking statements. These statements involve risks and uncertainties that could cause actual results to differ materially, including without limitation as a result of the effects of future economic conditions, governmental fiscal and monetary policies, legislative and regulatory changes, the risks of changes in interest rates, and the effects of competition. AB&T Financial Corporation does not undertake to update any forward-looking statements in this news release.