WILMINGTON, Del.--(BUSINESS WIRE)--
The Bancorp, Inc. (the "Bancorp") (Nasdaq:TBBK) today announced that it
has received preliminary approval from the U.S. Treasury Department for
the sale of approximately $45.2 million of preferred stock and related
warrants to the U.S. Treasury under the Capital Purchase Program of the
Emergency Economic Stabilization Act of 2008. This approval is subject
to certain conditions and the execution of definitive agreements.
Pursuant to the Capital Purchase Program, Bancorp will issue preferred
stock at a 5 percent annual dividend rate for the first five years. The
rate will increase to a 9 percent annual dividend thereafter if the
preferred shares are not redeemed by Bancorp. The U.S. Treasury will
also receive 10-year warrants to purchase shares of Bancorp common
stock. Details of the terms of the program can be found on the U.S.
Treasury website at http://treas.gov/initiatives/eesa.
The Bancorp's Tier 1 capital to risk-weighted assets ratio at September
30, 2008 was 8.55 percent, significantly above the well-capitalized
regulatory requirement of 6 percent for this ratio. Using risk-weighted
assets as of September 30, 2008, Bancorp's ratio of Tier 1 capital to
risk-weighted assets after the issuance of the $45.2 million of
preferred stock to the U.S. Treasury will be approximately 11.5 percent.
About Bancorp
The Bancorp, Inc. is a financial holding company that operates The
Bancorp Bank, an FDIC-insured commercial bank that delivers a full array
of financial services and products both directly and through
private-label affinity partner programs nationwide. The Bancorp Bank's
regional community bank division serves the needs of small and mid-size
businesses and their principals in the Philadelphia-Wilmington region.
Forward-Looking Statements
Safe Harbor Statement under the Private Securities Litigation Reform Act
of 1995: Statements in this press release regarding Bancorp's business
which are not historical facts are "forward-looking statements" that
involve risks and uncertainties. This includes any statements regarding
management's plans, objectives or goals for future operations, products
or services, and forecasts of its revenues, earnings or other measures
of performance. These risks and uncertainties include those discussed in
Bancorp's filings with the Securities and Exchange Commission, including
its annual report on Form 10-K for the year ended December 31, 2007 and
its quarterly report on Form 10-Q for the quarter ended September 30,
2008. Bancorp does not undertake to update forward-looking statements in
this press release or with respect to matters described herein, except
as may be required by law.
Source: The Bancorp, Inc.
Contact: The Bancorp, Inc.
Andres Viroslav
215-861-7990
andres.viroslav@thebancorp.com