BCB Bank CEO Highlights the Bank’s Stability, Strong Capital and Diversified Sources of Funding

BAYONNE, N.J., March 13, 2023 (GLOBE NEWSWIRE) -- BCB Bancorp, Inc. (the “Company”), (NASDAQ: BCBP), the holding company for BCB Bank (the “Bank”), reported the following statements made by the President and CEO of the Company and the Bank, Thomas Coughlin.

“The sudden collapse of Silicon Valley Bank and Signature Bank underscores the importance of maintaining strong capitalization and diversified sources of funding as key operating measures to ensure the safety and soundness of a bank,” said Thomas Coughlin. “Unlike many other financial institutions, BCB Bank’s securities portfolio does not carry any meaningful unrealized losses that could negatively impact its capital position. BCB Bank’s philosophy is deeply rooted in maintaining robust capitalization and a diversified funding profile. Consistent profitability, evidenced by the last two successive years of record earnings, have helped BCB Bank to generate capital organically and support the growth of its balance sheet. Additionally, strong asset quality maintains a positive trend reflecting the Company’s conservative underwriting culture that further solidifies its capital position.”

“The rising rate environment has increased the competition for liquidity and the price at which liquidity is available to meet funding needs. Our community-focused, relationship-building approach has helped us develop a diversified and stable deposit funding foundation that continues to perform well in a challenging macroeconomic environment,” said Mr. Coughlin.

BCB Bank’s strong capital position is a direct result of the Company’s history of producing a high level of retained earnings, and management’s prudent use of capital generated organically. BCB Bank ended the fiscal year 2022 with a tangible equity to total assets ratio of 8.1% with regulatory capital ratios well in excess of the requirements for being considered well-capitalized. The Company’s robust capitalization is further bolstered by its credit quality that has continued to show improvement over the past several quarters. At December 31, 2022, the Company reported non-accrual loans as a percent of total loans ratio of only 0.17% and the allowance for loan losses as a percentage of non-accrual loans ratio of 633.6%. Additionally, the net-charge offs as a percent of average loans were only 0.06% for the year ended December 31, 2022.