Cadence Financial’s total interest income rose 8.7% to $30.9 million for the fourth quarter of 2007 compared with $28.5 million in the same quarter a year ago. Net income for the period decreased to $3.5 million, or $0.29 per diluted share, compared with $4.3 million, or $0.36 per diluted share, in the same quarter last year. Net income for 2007 has also slumped to $9.8 million, or $0.82 per diluted share as against $14.2 million, or $1.37 per diluted share, in 2006.
Lewis Mallory, chairman and CEO of Cadence Financial Corporation, said: We experienced a 7% increase in net interest income in the fourth quarter due to the continued growth in our loan portfolio. We experienced pressure on our margins in the fourth quarter due to the 50 basis point rate cut from the Federal Reserve and the continuation of high deposit costs.
