Cornerstone Bancshares, Inc. Reports Improvement In 4th Quarter 2012 Earnings

Monday, January 28, 2013
N. Frank Hughes
N. Frank Hughes


Cornerstone Bancshares, Inc. (OTC Bulletin Board: CSBQ; CSBQP) on Monday announced the following:

Cornerstone Bancshares, Inc. (“Cornerstone”) reported net income of $371,000 for the fourth quarter of 2012 and net income of $1,402,000 for the 12 months ended Dec. 31, 2012, which represents a 228.6 percent improvement in net income quarter-over-quarter and a 36.1 percent improvement from the previous year.  

Net interest margin increased from 3.55 percent in 2011 to 3.85 percent in 2012.  In addition, total assets increased 4.2 percent for the year, from $422,655,000 in 2011 to $440,463,000.  There was a 3.4 percent growth in loans for the year, from $267,765,000 in 2011 to $276,992,000 in 2012.  Deposits increased 8.9 percent from $314,042,000 in 2011 to $341,897,000.  In addition, Cornerstone’s market value per common share increased 52.7 percent from $1.50 in 2011 to $2.29 in 2012.  As of Dec. 31, 2012, Cornerstone had sold all 600,000 shares of its Series A Convertible Preferred Stock, raising $15 million in new capital.

Specific Accomplishments Include:

  • $15 million capital raise completion
  • Four consecutive quarters of positive earnings for 2012
  • Four consecutive payments of quarterly Preferred Stock dividends

“We’ve definitely turned a corner and are extremely pleased with our continued improvement,” said Cornerstone’s President and CEO Frank Hughes.  “Our goal is to continue strengthening Cornerstone’s foundation, so that we can build for the future and continue serving our Chattanooga market.”

Cornerstone is a single-bank holding company, with $440 million in assets, serving the Chattanooga, Tennessee MSA, with five branches throughout Chattanooga and one loan production office in Dalton, Georgia. Locally owned and locally operated, Cornerstone specializes in providing a comprehensive range of customized financial solutions for businesses and individuals. 



Kid To Kid Chattanooga Awarded Store Of The Month For August

Kid to Kid in Chattanooga, owned by mother and son, Lyn and Justin Shepherd, has been awarded Store of the Month for August. Through this award, the Kid to Kid franchise recognizes achievement exhibited by one of its more than 100 children’s resale locations across the United States, Canada and Portugal. As one of three Kid to Kid stores in Tennessee, Kid to Kid Chattanooga ... (click for more)

16 Young Professionals Selected For YPAC’s Protégé Chattanooga 2016-2017 Class

The Young Professionals Association of Chattanooga (YPAC) announced the individuals selected for its 2016-2017 Protégé Chattanooga mentorship program.  This year’s class includes: Joseph Cadle , Business Development Consultant, Tennessee Department of Economic and Community Development Amy Donahue , Director of Marketing and Communications, River City ... (click for more)

Highway 58 Man Charged In Fatal Hit And Run In Dayton, Tn.

A Highway 58 man has been arrested in connection with a fatal hit and run of a Rhea County man.   Walter Hale was badly injured and later died after he was struck in Dayton.   Authorities were led to Douglas Edward Alvey, 52, through video from the We Care business in Dayton, where the 60-year-old victim worked.   After officers with the Dayton ... (click for more)

Man, 78, Found Dead With Gunshot Wound To The Chest At Residence On Central Avenue

A 78-year-old man has been found dead with a gunshot wound to the chest at a residence on Central Avenue. Chattanooga Police were called to the 1900 block of Central Avenue on Thursday at 10:08 a.m. Upon arrival, Chattanooga Police officers located George Garth deceased. At this time there is no suspect information available. Chattanooga Violent Crimes Bureau investigators ... (click for more)

Patrol Cars Donation To Kevin Muhammad's Nation Of Islam Sets A Dangerous Precedent

Re: City Police donating two patrol cars to Kevin Muhammad's Nation of Islam: While I know it's unpopular to mention the wisdom of separation of church and state, this sets a dangerous precedent and should meet with concern from everyone who values religious and secular freedom. What's next? Southern Baptists getting old city parking scooters to patrol church parking lots ... (click for more)

Roy Exum: Our Official State Rifle

There was a noticeable crowd of free-thinkers who ran around like so many “Chicken Littles” back in February when “the hicks” in the state legislature named a gun that is made only in Tennessee as the Official State Rifle. As we seem to always find out afterwards, the goofs who are quick to make such liberal racket have no earthy concept of reality or purpose. In the tiny town ... (click for more)