 |
| 3/2/05 |
|
Community Bank Of Orange, N.A. Completes Private Placement Of Common Stock |
|
|
CONTACT: Ron Gentile, President and CEO
845-695-7400
Middletown, New York --(BUSINESS WIRE)-- Community Bank of Orange, N.A. (CBOG.PK) (the "Bank") announced today that it has successfully completed its sale of 1,400,000 shares of its common stock at $5.00 per share in a private placement offering to qualified investors (the "Offering"). The Offering yielded $7 million in gross proceeds to the Bank. Under the terms of the Offering, investors who purchased 80,000 or more shares will receive warrants to purchase additional shares, as set forth in an Amended and Restated Confidential Private Placement Memorandum dated as of February 11, 2005. Moors & Cabot, Inc. acted as Placement Agent for the Bank in the Offering.
Commenting on the Offering, Ronald J. Gentile, President and Chief Executive Officer of the Bank, said "Our Board of Directors and management team greatly appreciate the confidence investors have shown in the Bank by subscribing for the maximum amount of stock available in the Offering. We will use this infusion of new equity capital to implement the revised strategic plan we are in the process of developing in conjunction with our regulator, the Office of the Comptroller of the Currency (the "OCC"). This will include an increase in our lending limit, hiring additional loan officers, growing our commercial and residential mortgage, business and consumer lending operations, and expanding into other areas of Orange County via additional branch offices. This success will strengthen the Bank and enable us to better serve our community, shareholders, depositors, and borrowers."
The Bank, founded in 2002, is headquartered in Middletown, New York and is the first community bank chartered in Orange County, New York in over fifty years. It offers to its individual and business customers a variety of banking services and products, including free checking and expanded banking hours. The Bank is chartered by the OCC and its deposits are insured by the Federal Deposit Insurance Corporation.
Note: This press release may contain certain statements which are not historical facts or which concern the Bank's future operations or economic performance and which are considered forward-looking statements. Any such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The Bank cautions that all forward-looking statements involve risks and uncertainties, and that actual results may differ materially from those indicated in the forward-looking statements as a result of various factors, such as changing economic and competitive conditions and other risks and uncertainties. In addition, statements in this news release regarding historical stock price performance are not indicative of or guarantees of future price performance.
|
|
