IRVINE, CA--(Marketwired - Apr 23, 2013) - Sunwest Bank announced today that, at a regularly scheduled meeting, the Bank's Board of Directors unanimously adopted a resolution to implement a stock repurchase plan (the "Plan"), which was approved by the appropriate regulatory agencies. Under the Plan, the Bank is authorized to purchase, during the twelve-month period beginning on March 27, 2013, up to an aggregate amount of $3,000,000 worth of the Bank's issued and outstanding common stock.
Trading activity in the Bank's common stock in the over-the-counter market is light and liquidity is limited. Accordingly, the Board of Directors believes that repurchasing shares of its common stock, at market or negotiated prices acceptable to the Bank, would be in the best interest of the Bank and its shareholders and, in particular, those shareholders seeking to liquidate or reduce their investment in the Bank. The implementation of the Plan will not impair the Bank's current "well-capitalized" institution rating, as its regulatory capital level will continue to exceed the minimum requirements established for a well-capitalized institution by the applicable regulators.
The Bank also confirmed today that its parent bank holding company, Sunwest Bancorp ("Bancorp"), is not currently planning to seek the merger of Bancorp with the Bank. Bancorp may or may not seek a merger with the Bank at some future time. In the event of any future merger, Bancorp will obtain an independent opinion as to the value of the Bank stock at that time.
This press release includes 'forward-looking' statements within the meaning of Section 27A of the Securities Act. All of the statements contained in this press release, other than statements of historical fact, should be considered forward-looking statements, including but not limited to, any statements which may concern (i) Bank's strategies, objectives and plans for expansion of its operations, product and services, (ii) Bank's beliefs and expectations regarding actions that may be taken by regulatory authorities having oversight of Bank, and (iii) Bank's beliefs and expectations of the future operating results. Although Bank believes the expectation reflected in these forward-looking statements are reasonable, it can give no assurance that these expectations will prove to have been correct. All subsequent written and oral forward-looking statements by or attributable to Bank or persons acting on its behalf are expressly qualified in their entirety by this qualification. Investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof and are not intended to give any assurance as to future results. Bank undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.