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Westamerica Bancorporation Reports Second Quarter 2021 Financial Results EXHIBIT 99.1 SAN RAFAEL , Calif . , July 15 , 2021 ( GLOBE NEWSWIRE ) -- Westamerica Bancorporation ( Nasdaq : WABC ) , parent company of Westamerica Bank , generated net income for the second quarter 2021 of $ 22.6 million and diluted earnings per common share ( " EPS " ) of $ 0.84 . Second quarter 2021 results include " make - whole " interest income on corporate bonds redeemed prior to maturity , which increased EPS $ 0.04 . These results compare to net income of $ 20.1 million and EPS of $ 0.75 for the first quarter 2021 , which included “ make - whole ” interest income on corporate bonds redeemed before maturity that increased EPS $ 0.02 . " Westamerica continued originating loans for our customers under the second round of the Paycheck Protection Program during the second quarter 2021. Average total deposits grew $ 327 million from the first quarter 2021 to the second quarter 2021 . Westamerica's valuable deposit base generated a very low 0.03 percent annualized cost of funding our loan and bond portfolios during the second quarter 2021. Operating expenses were well managed in the second quarter 2021 declining $ 615 thousand from the first quarter 2021 and $ 463 thousand from the second quarter 2020. Credit quality remained stable with nonperforming loans of $ 4.4 million at June 30 , 2021 , ” said Chairman , President and CEO David Payne . “ Second quarter 2021 results generated an annualized 12.2 percent return on average common equity , and shareholders were paid a $ 0.41 per common share dividend during the quarter , ” concluded Payne . Net interest income on a fully - taxable equivalent ( FTE ) basis was $ 44.5 million for the second quarter 2021 , including " make- whole " interest income on corporate bonds redeemed prior to maturity of $ 1.4 million . Second quarter 2021 net interest income ( FTE ) compares to $ 42.6 million for the first quarter 2021 , which included " make - whole " interest income on corporate bonds redeemed prior to maturity of $ 700 thousand . Average PPP loans grew $ 19 million from the first quarter 2021 to the second quarter 2021. Average total deposits grew $ 327 million from the first quarter 2021 to the second quarter 2021. Checking and savings deposits represented ninety - seven percent of the Company's average deposit base during the second quarter 2021 . At June 30 , 2021 , nonperforming loans totaled $ 4.4 million and the allowance for credit losses on loans was $ 23.7 million . The Company continues to work with loan customers requesting loan payment deferrals due to economic weakness caused by the pandemic . At June 30 , 2021 , loans with deferred payments totaled $ 586 thousand , all of which were consumer automobile loans . Noninterest income for the second quarter 2021 totaled $ 11.0 million , compared to noninterest income for the first quarter 2021 of $ 10.2 million . The increase in noninterest income was primarily due to higher levels of merchant processing services fees and debit card fees . Noninterest expense for the second quarter 2021 was $ 24.3 million compared to $ 24.9 million for the first quarter 2021 ; the decline in noninterest expense was primarily attributable to the seasonal decline in payroll related taxes . Westamerica Bancorporation's wholly owned subsidiary Westamerica Bank , operates commercial banking and trust offices throughout Northern and Central California . Westamerica Bancorporation Web Address : www.westamerica.com For additional information contact : Westamerica Bancorporation 1108 Fifth Avenue , San Rafael , CA 94901 Robert A. Thorson - SVP & Treasurer 707-863-6840 investments@westamerica.com FORWARD - LOOKING INFORMATION : The following appears in accordance with the Private Securities Litigation Reform Act of 1995 : This press release may contain forward - looking statements about the Company , including descriptions of plans or objectives of its management for future operations , products or services , and forecasts of its revenues , earnings or other measures of economic performance . Forward - looking statements can be identified by the fact that they do not relate strictly to historical or current facts . They often include the words " believe , " " expect , " " anticipate , " " intend , " " plan , " " estimate , " or words of similar meaning , or future or conditional verbs such as " will , " " would , " " should , " " could , " or " may . " Forward - looking statements , by their nature , are subject to risks and uncertainties . A number of factors many of which are beyond the Company's control could cause actual conditions , events or results to differ significantly from those described in the forward - looking statements . The Company's most recent reports filed with the Securities and Exchange Commission , including the annual report for the year ended December 31 , 2020 filed on Form 10 - K and quarterly report for the quarter ended March 31 , 2021 filed on Form 10 - Q , describe some of these factors , including certain credit , interest rate , operational , liquidity and market risks associated with the Company's business and operations . Other factors described in these reports include changes in business and economic conditions , competition , fiscal and monetary policies , disintermediation , cyber security risks , legislation including the Dodd - Frank Wall Street Reform and Consumer Protection Act of 2011 , the Sarbanes - Oxley Act of 2002 and the Gramm - Leach - Bliley Act of 1999 , and mergers and acquisitions .