Business
Lake Shore Bancorp, Inc. Announces 2020 Second Quarter and Year to Date Financial Results and Declares Dividend
DUNKIRK, N.Y., July 27, 2020 (GLOBE NEWSWIRE) -- Lake Shore Bancorp, Inc. (the “Company”) (NASDAQ: LSBK), the holding company for Lake Shore Savings Bank (the
About this update from Lake Shore Bancorp, Inc.
[{"type":"text","content":"DUNKIRK, N.Y., July 27, 2020 (GLOBE NEWSWIRE) -- Lake Shore Bancorp, Inc. (the “Company”) (NASDAQ: LSBK), the holding company for Lake Shore Savings Bank (the “Bank”), reported unaudited net income of $1.4 million, or $0.23 per diluted share, for the second quarter of 2020 compared to net income of $805,000, or $0.13 per diluted share, for second quarter of 2019. For the first six months of 2020, the Company reported unaudited net income of $2.1 million, or $0.35 per diluted share, compared to $1.7 million, or $0.28 per diluted share, for the first six months of 2019.\n COVID 19 Pandemic Update During the second quarter of 2020, the Company continued to be actively engaged in its response to the COVID-19 pandemic. The Bank originated 245 Small Business Administration (“SBA”) Paycheck Protection Program (“PPP”) loans for our customers, which totaled $26.2 million and represented the retention of over 3,300 jobs. We funded $17.9 million of PPP loans directly and the remaining $8.3 million was funded indirectly via our partnership with Pursuit, a SBA lender that operates in the northeast. The Company implemented a loan modification program for customers impacted by the pandemic, in line with regulatory guidance, allowing customers to defer loan payments. During the second quarter of 2020, we approved loan payment deferral requests of up to 90 days on 219 loans, representing $103.1 million, or 21.1%, of the Bank’s loan portfolio as of June 30, 2020. The majority of these customers have not yet requested a second 90 day deferral period, with the exception of 17 loans, or $18.9 million, which have received an additional 90 day deferral to end on September 30, 2020. While many industries have and will continue to experience adverse impacts as a result of the COVID-19 pandemic, the Company’s management team has considered the categories below to be “at risk” of significant impact. The table below identifies these segments as well as the outstanding loan balance, committed loan balance, and current outstanding payment deferrals for each industry type. At June 30, 2020 (dollars in thousands)Industry TypeNumber of Loans Balance Outstanding ($)% of Total Loans Outstanding Loan Commitments ($) Total Outstanding with Payment Deferrals ($) Retail (non-essential)19 $17,1573.5% $509 $2,041Eating and Drinking Establishments39 16,4153.4 3,210 9,88...