Unity Bancorp, Inc. · NASDAQ:UNTY
Unity Bancorp — Super Community Bank Conference 2004
32 slides from Unity Bancorp's conference presentation, Nov 5, 2004
Slide 1: Super Community Bank Conference Nov 4-5, 2004
UNITY® BANCORP+ING Super Community Bank Conference Nov4-5 2004
Slide 2: Forward-Looking Statement
UNITY® BANGORP+ING Forward-Looking Statement This presentation contains certain forward-looking statements, either expressed or implied, which are provided to assist the reader in understanding anticipated future financial performance. These statements involve certain risks, uncertainties, estimates
Slide 3: Unity Company Profile
UNITY® BANGORP+ING Unity Company Profile * State Chartered - Opened 1991 * Assets of $500 million * Deposits of $425 million * 13 branches, headquartered in Clinton, NJ ¢ Strategic commercial lending focus ¢ Nationally recognized SBA lender
Slide 4: Branch location map
UNITY® BANCORP*ING Pennsylvania, ESTATE Hwy 1g 18.7 mi
Slide 5: Unity "Commandments"
UNITY® BANCORP+ING Unity “Commandments” Treat all employees and customers with dignity and respect Provide the highest level of service for our customers Increase the profits of the bank Always do the right thing
Slide 6: Experienced Management Team
UNITY® BANGORP*ING” Experienced Management Team Name Title Years Banking Experience JimHughes,CPA _ President and CEO 22 AlanBedner,CPA Executive VP, CFO 11 Mike Bono Executive VP, Retail 36 Mike Downes Executive VP, CLO 19 John Kauchak Executive VP, COO 24 Kelly Stashko Executive VP, 18 Communicati
Slide 7: Performance Ratios
UNITY® BANCORP+ING Performance Ratios YID QTD 2002 2003 9/30/04 9/30/04 Eamings Per Diluted Share $0.60 $0.77 $0.65 $0.23 Return on Assets 0.91% 1.04% 1.11% 1.17% Return on Common Equity 13.95% 16.05% 16.61% 17.39% Efficiency Ratio 66.18% 66.59% 64.60% 62.55%
Slide 8: Total Assets
Total Assets $500 $450 $400 $350 $300 $250 Jn millions 1200 ul 12/01, 1202 12/03 on
Slide 9: Total Loans
Total Loans Jn millions $375 $350 $325 $300 $275 $250 | $225 aa $200 12/00 12/01 1202 12/03, 09/04
Slide 10: Loans by quarter: Commercial, Retail, SBA
UNITY® BANCORP*ING Loans wily quar ae $225 $200 $175 $150 $125 $100 $75 $50 Jn millions SLE 88. 91.0 SS 585 ei 6A 584 Wye t t 1 9/03 12/03 304 6/04 09/04 ___Commercial _ Retail -- SBA
Slide 11: Prudent Credit Culture
UNITY® BANCORP+ING Prudent Credit Culture + Experienced Lenders « Comprehensive Approval Process ¢ Reliance on Cash Flow and Collateral ¢ External and Internal Loan Review Process + Experienced Asset Management Process
Slide 12: Non-performing Assets and ALL
Unive Non-performing Assets: BANSORESING HUG Losses Jn millions $6 iS.” | Me 4 $4 4.1 $3 3-2 92 2.6| $1 12/00 12/01 12/02 12/03 9104 ONPAs OD ALL
Slide 13: Net Charge-offs
UNITY® Cate Outi © BANCORP+ING Net Charge-offs 2.00% 1.50% 1.00% 0.50% 0.00% 1.68% 135% 1.09% 12/00 12/01 12/02 12/03 9/04 ~ Non-performing Assets to Loans and OREO ___ Net Charge-offs to Average Loans
Slide 14: Total Deposits
we BANCORP+ING Total Deposits $450 $400 $350 $300 $250 $200 Jn millions 12/00 12/01 12/02 12/03 9104
Slide 15: Deposits
UNITY® BANCORP*ING Deposits In millions $140 == $20 $100 $30 - $60 Dae $40 20 00 BA 3 $0 i i ; + 1 12/00 12/01 12/02 12/03 904 ___Non-Int DDA —+- Opportunity Products
Slide 16: Business of the Month
Slide 17: Kids Corner
Slide 18: Café Unity
Café Unity
Slide 19: Cyber Café
BANCORP*ING Cyber Café Unity y’s Cafe Has AN Gone <3) Cyber! hy; TER NEI diy
Slide 20: Advertisements
UNITY® BANCORP+ING Advertisements Free TV & Higher Yield CD!
Slide 21: Advertisements
Advertisements
Slide 22: Shareholders' Equity
Shareholders’ Equity Jn millions 12/00 12/01 12/02 12/03 9104
Slide 23: Capital Ratios
Capital Ratios 14.00% 12.00% 10.00% 8.00% 6.00% 4.00% 1232% 12.53% 12.69% a oa 10:76 10.75% — —— — 11.28% 11.44% 05% 12/00 12/01 12/02 1203 9104 __Leverage Tier I Total Capital
Slide 24: Statement of Operations
UNITY® BANGORP+ING Statement of Operations Jn thousands Year end December 31, Q1- 93 2000 2001 2002 2003 2004 YTD Net interest income $ 11,695 $ 12,190 § 15,723 $ 17867 $ 14,091 Provision for loan losses 716 1,400 2,350 1,600 325 Nom-interest income 7,666 5391 7,991 8343 5,761 Nom-interest expense 2
Slide 25: Statement of Operations (Quarterly)
UNITY® BANGORP+ING Statement of Operations Jn thousands Quarters Ended 8 9/30/2003 12/31/03 3/31/2004 06/30/04 _ 9/30/2004 Net interest income $ 4466 $ 4619 $ 4618 $ 4494 $ 4979 Provision for loan losses 375 375 250 250 325 Nom-interest income 2,125 2,123 1,881 1,895 1,985 Nom-interest expense 4,167
Slide 26: Net Interest Margin
UNITY® Net Interest Margin Se (5 Quarters) 5.00% 450% 4.35% 4.00% 4.189 és 425% 430% sone 3.94% 3.88% 3.50% 3.75% 3.88% fo 3.55% 3.00% ; : 09/30/03 «12/31/03 03/31/04 6/30/04 9/30/04 __Net Interest Spread ~~ Margin
Slide 27: Non-interest Income
UNITY® s Non-interest Income PANSORESING (5 Quarters) In thousands 09/30/03 12/31/03 03/31/04 06/30/04 09/30/04 Deposit Sve Charges $ 436 $ 448 $ 406 §$ 483 $ 383 Loan and servicing fees 574 aT] 471 510 448 Sale of SBA loans $31 738 738 669 948 Other income 309 378 213 215 206 Gain onsale of securit
Slide 28: Non-interest Expense
UNITY® Non-interest Expense BANCORP*ING (5 Quarters) Jn thousands 09/30/03 12/31/03 03/31/04 06/30/04 09/30/04 Comp. and benefits $ 2135 $ 2304 $ 2,239 $ 2,060 $ 1,956 Occupancy 436 510 529 511 533 Processing and comm. 274 242 252 252 258 Item Processing 242 220 221 223 228 Furniture and equipment 2
Slide 29: Key Investment Appeals
UNITY® BANGORP+ING Key Investment Appeals ¢ Top Quartile Performance Ratios ¢ Continued Earnings Momentum ¢ Focus on Deposit and Loan Growth ¢ Leader in SBA Lending ¢ Insider Ownership * Attractive Valuation
Slide 30: Performance and Market Ratios vs Peers
UNITY® BANCORP+ING Ratios Performance Ratios (6): ROAA ROAE Net Interest Margin Efficiency Ratio Loans / Deposits Market Ratios: Price/Earnings (x) Price/Book (%) Dividend Yield (6) Unity 117 17.39 430 62.55 81.12 1336 206.19 130 Peer Avg 0.90 11.30 3.99 67.00 69.34 18.14 199.23 133
Slide 31: Stock Price
Stock Price 12/31/00 12/31/01 12/31/02 12/31/03 9/30/04 ___ Market Price -*- Book Value
Slide 32: Searchable text section of graphics
Searchable text section of graphics shown above [ LOG O] [GRAPHIC] Super Community Bank Conference Nov 4 - 5 2004 For ward-Looking Statement This presentation contains certain forward-looking statements, either expressed or implied, which are provided to assist the reader in understanding anticipate