FINANCIAL
OVERVIEW
Shorebank Corporation
ended 2002 with $1.35
billion in consolidated
assets, up $47.8 million
from year-end 2001.
Loans grew by $79.9
million, primarily
funded by a $25.5 million
increase in deposits.
Shorebank's consolidated
equity grew by $9.7
million to $91.4 million
at year-end. Retained
earnings accounted
for more than half
the increase.
Shorebank's Tier 1
Leverage Ratio was
7.10 percent at year-end,
in excess of the 5
percent required to
be considered "well-capitalized"
by federal bank regulators.
Shorebank's consolidated
Total Capital to Risk-Weighted
Assets Ratio ended
the year at 12.26 percent,
compared to the 10
percent required for
well-capitalized bank
holding companies.
Shorebank posted record
earnings of $6.7 million
in 2002, $3.7 million
more than last year.
These earnings were
driven by exceptionally
strong net interest
income that was $8.3
million ahead of 2001
levels after provision
for loan losses, $1.7
million in realized
security gains and
a $1.7 million increase
in consulting income.
CERTIFICATION
OF FINANCIAL RESULTS
I, Ronald Grzywinski,
the Chairman of the
Board and Chief Executive
Officer of Shorebank
Corporation, hereby
certify that the information
contained in the financial
statements fairly presents,
in all material respects,
the financial position
and results of operations
of Shorebank Corporation
as of and for the periods
presented.
__________________________
Ronald Grzywinski
Chairman of the Board
and Chief Executive
Officer