Essex Savings posts profits, assets growth

The Essex Savings Bank marked its 160th year in business with a strong financial performance, reporting solid increases in its net income, capital and deposits.

The bank closed its 2011 fiscal year with profits of $2.05 million, up from the previous fiscal year's profits of $1.95 million.

Gregory R. Shook, president and chief executive officer of the community bank, said the bank's anniversary year was one of "our best and most profitable years."

Essex Savings also said its core deposits grew 8 percent as credit quality remained strong, and its capital increased by $1.7 million to $36.6 million during the 2011 fiscal year, which ended Sept. 30. The bank's overall capital, a key measure of its financial health, far exceeds all regulatory requirements.

Shook said the bank's branches continue to attract new business, adding its new financial-services branch in Madison is operating ahead of projections.

Essex Savings said its Trust Department, led by Granville Morris and Moira Martin, has brought its assets under management to more than $220 million.

As part of the bank's success, it will again be distributing more than a quarter million dollars to nonprofits in its market area, which represents 10 percent of its after-tax net income. Shook said the bank has contributed in excess of $3.4 million over the past 16 years to the communities it serves.

Essex Savings' total assets during fiscal 2011 grew $11 million to $298 million.

John W. Rafal, president of Essex Financial Services, said the subsidiary reported one of its best financial performances, with fiscal year revenue growing 27 percent, resulting in a profit distribution to the bank of some $1.3 million, compared to $688,152 in the prior fiscal year.

Essex Financial's gross revenue for the fiscal year ending Sept. 30, 2011, was $14.6 million, and assets under management grew to more than $3 billion.

"I am proud to report that the firm is now operating as one of the top 25 independent broker dealers in the country and continues to have excellent success in attracting new clients," said Rafal.

Essex Savings, established in 1851, is a state-chartered mutual savings bank that serves the Connecticut River Valley and shoreline with offices in Essex, Madison, Old Lyme and Old Saybrook.

a.cronin@theday.com