Slide 1: 2004 Annual Shareholders' Meeting
UNITY® BANCORP+*ING 2004 Annual Shareholders’ Meeting
Slide 2: Unity Footprint
UNITY® BANCORP*INC sry ,Passaicgs Miey Hunterdon STATE MWY TS amouth ZZ Eafoah(C) 2000-2004, 5A sivanssarTSniconp All ights Yeserved
Slide 3: 2003 Accomplishments
UNITY® BANCORP+ING 2003 Accomplishments + Unity recorded record profits - $4.6 million, ROE 16.05% +8th consecutive year of SBA awards +Leader among NJ mid-sized banks +#1 participating lender in the SBA 504 program +Silver Award from the SBA + Opened 13th Branch location ($8.5 million as of 4/30/04
Slide 4: Performance Ratios
a BANCORP+ING Performance Ratios 2002 2003 3/31/2004 Earnings Per Diluted Share $ 063 $ O81 $ 0.21 Return on Assets 0.91% 104% 1.04% Return on Common Equity 13.95% 16.05% 15.32% Efficiency Ratio 66.18% 66.59% 68.31%
Slide 5: Total Assets
Total Assets Jn millions 12/00 12/01, 1202 12/03 3/04
Slide 6: Total Loans
BANGORP+ING Total Loans Jn millions $350 $325 $300 $275 $250 $225 $200 12/00 12/01 1202 12/03 03/04
Slide 7: Loans by Type
UNITY® BANCORP*ING Loans by Ty pe Jn millions $180 $140 $100 33.4 Ce $60 ar we 535 564 $20 t + + t 1 12/00 12/01 1202 12/03 03/04 _ Commercial __ Retail -~SBA
Slide 8: Non-performing Assets and Allowance for Loan Losses
UNITVO | snpsjoming sen BANSORESING Allo EO LO In millions 12/00 12/01 12/02 12/03 304 ONPAs DALL
Slide 9: Credit Quality & Net Charge-Offs
UNITY ® Credit Quality & BANCORP*ING — aN Net Charge-Offs 2.00% 1.50% 1.00% 0.50% 0.12% 0.00% = 12/00 121 1202 12/03 304 ~_ Non-performing Assets to Loans and OREO __ Net Charge-offs to Average Assets
Slide 10: Total Deposits
BANCORP+ING Total Deposits Jn millions $450 12/00 12/01 12/02 12/03 304
Slide 11: Deposits
UNITY® BANGORP+ING Deposits $140 $120 $100 $380 $60 $40 $20 $0 Jn millions 134.0 363 53.2 0.0 TZ pe 2/00 2/01 2/02 12/03 03/04 ___ Non-Int DDA —+ Opportunity Checking
Slide 12: Business of the Month
Slide 13: Kids Corner
Slide 14: Café Unity
Café Unity
Slide 15: Shareholders' Equity
BANCORP*ING Shareholders” Equity Jn millions $35.0 $30.0 $25.0 $20.0 $15.0 $10.0 12/00 12/01 12/02 12/03 3104
Slide 16: Capital Ratios
UNITY® BANCORP+ING Capital Ratios 14.00% 2 12.32% 1233% 12.90% 12.00% 10.00% 8.00% 6.00% 4.00% 12/00 12/01 12/02 12/03 3/04 Leverage Tier I Total Capital
Slide 17: Statement of Operations
UNITY® BANGORP+ING Statement of Operations Jn thousands Year end December 31, Qi 2000 2001 2002 2003 3/31/2004 Net interest income $ 11,695 $ 12,190 $ 15,723 $17 867 $4,618 Provision for loan losses 716 1,400 2,350 1,600 250 Non-interest income 7,666 5391 7,991 8343 1881 Non-interest expense 23,718
Slide 18: Net Interest Income
BANCORP¢ING Net Interest Income Jn millions $14.0 $10.04 $6.07 $2.0 03/31/04
Slide 19: Net Interest Margin
UNITY® BANCORP¢ING Net Interest Margin 450% 4.00% 350% 3.00% 250% 2.00% 12/31/00 12/31/01 12/3102 12/31/03 03/31/04 __Net Interest Spread —Margin
Slide 20: Non-interest Income
UNITY® BANCORP+ING Non-interest Income Jn thousands 12/31/00 = 12/31/01 —-12/31/02— 12/31/03 03/31/04 Deposit Sve Charges $ 1174 $ 1262 $ 1547 $ 1977 $ 406 Loan and servicing fees 1,140 1261 1,497 1956 471 Sale of SBA loans 1,182 2014 3,627 3,075 738 Other income 690 697 1,092 1,150 213 Branch Sales
Slide 21: Non-interest Expense
UNITY® BANCORP+ING Non-interest Expense Jn thousands 12/310 12/11 121/02 12/31/03 03/31/04 Comp. and benefits $ 9120 $ 6815 $ 7496 $ 8301 $ 2,239 Occupancy 2230 1648 1,671 1,884 529 Processing and comm. 1262 1,093 1,139 1,120 252 Item Processing 1,052 978 1,097 981 221 Furniture and equipment 1369 1
Slide 22: Stock Price
UNITY® BANCORP*ING Stock Price oe 13.45 $13 $11 $9 $7 $5 4.11 $3 12/31/00 12/31/01 12/31/02 12/31/03 3/31/2004 _ Market Price -¢- Book Value
Slide 23: Searchable text section of graphics
Searchable text section of graphics shown above [ LOG O] [GRAPHIC] 2004 Annual Shareholders’ Meeting Uni ty Footprint [CHART] 2003 Acc omplishments • Unity recorded record profits - $4.6 million, ROE 16.05% • 8th consecutive year of SBA awards • Leader among NJ mid-sized banks • #1 participating len