COLUMBIA, S.C.--(BUSINESS WIRE)--
SCBT Financial Corporation (NASDAQ: SCBT) announces that it has received
preliminary approval from the U.S. Treasury Department to participate in
its Capital Purchase Program, a voluntary initiative for U.S. financial
institutions designed to support the economy by increasing financing to
businesses and consumers. Under this program, SCBT could issue between
$21.6 million and $64.8 million in nonvoting senior preferred stock to
the U.S. Treasury. The senior preferred shares would pay a cumulative
annual dividend rate of 5% for the first five years and would reset to
an annual rate of 9% if still outstanding after year five. These senior
preferred shares would be callable by the Company at par after three
years.
"In this challenging economic environment, our bank continues to
experience very positive results in our core values of soundness,
profitability and growth. We are fortunate not to have the magnitude of
issues that many within our industry face," said Robert R. Hill, Jr.,
CEO. "We are pleased to be approved for this capital purchase program,
which gives us another alternative and additional flexibility to sustain
or grow our very strong capital position. We will continue to evaluate
whether we will participate and, if so, at what level."
SCBT Financial Corporation, Columbia, South Carolina is a registered
bank holding company incorporated under the laws of South Carolina. The
Company consists of SCBT, N.A., the fourth largest bank headquartered in
South Carolina and NCBT, a Division of SCBT, N.A. Providing financial
services for nearly 75 years, SCBT Financial Corporation operates 50
financial centers in 16 South Carolina counties and Mecklenburg County
in North Carolina. SCBT Financial Corporation has assets of
approximately $2.8 billion and its stock is traded under the symbol SCBT
on the NASDAQ Global Select Market. More information can be found at www.SCBTonline.com.
Statements included in this press release which are not historical in
nature are intended to be, and are hereby identified as, forward looking
statements for purposes of the safe harbor provided by Section 21E of
the Securities and Exchange Act of 1934, as amended. SCBT Financial
Corporation cautions readers that forward-looking statements are subject
to certain risks and uncertainties that could cause actual results to
differ materially from forecasted results. Such risks and uncertainties,
include, among others, the following possibilities: (1) credit risk
associated with an obligor's failure to meet the terms of any contract
with the bank or otherwise fail to perform as agreed; (2) interest
risk involving the effect of a change in interest rates on both the
bank's earnings and the market value of the portfolio equity; (3) liquidity
risk affecting the bank's ability to meet its obligations when they
come due; (4) price risk focusing on changes in market factors
that may affect the value of traded instruments in "mark-to-market"
portfolios; (5) transaction risk arising from problems with
service or product delivery; (6) compliance risk involving risk
to earnings or capital resulting from violations of or nonconformance
with laws, rules, regulations, prescribed practices, or ethical
standards; (7) strategic risk resulting from adverse business
decisions or improper implementation of business decisions; (8) reputation
risk that adversely affects earnings or capital arising from
negative public opinion; (9) terrorist activities risk that
results in loss of consumer confidence and economic disruptions; and
(10) potential deposit attrition, higher than expected costs, customer
loss and business disruption associated with the integration of The
Scottish Bank (operating as North Carolina Bank and Trust a division of
SCBT, N.A. as of November 10, 2008), including, without limitation,
potential difficulties in maintaining relationships with key personnel
and other integration related-matters.
Source: SCBT Financial Corporation
Contact: SCBT Financial Corporation
John C. Pollok, Senior Executive Vice President and
Chief Financial Officer, 803-765-4628
Fax: 803-765-1966