Birmingham Bloomfield Bancshares, Inc. Completes IPO; Raises $18.0 Million

BIRMINGHAM, Mich.--(BUSINESS WIRE)--The Board of Directors of Birmingham Bloomfield Bancshares, Inc., parent bank holding company for Bank of Birmingham, announced that it has completed its initial public offering of common stock by raising $18.0 million. Proceeds of the offering will capitalize its newly-organized banking subsidiary, Bank of Birmingham, which recently commenced banking operations.

"We set out to raise between $13 and $18 million in capital to organize our new bank," stated Robert E. Farr, President and Chief Executive Officer of Birmingham Bloomfield Bancshares, Inc. and Bank of Birmingham. "The overwhelming response to the Bank's IPO validates what the management team considered to be a strong local market opportunity. The investing community has agreed and has responded."

According to Farr, due to the overwhelmingly positive response to the Bank's IPO, it received subscriptions totaling nearly $500,000 in excess of its original maximum subscription amount. The excess was returned to the subscribers.

Bank of Birmingham has more than 800 shareholders, most of whom are from the Birmingham/Bloomfield community. The Bank's emphasis on local ownership is a large part of its business strategy to cultivate business "partners" who invest and also bank there.

Bank of Birmingham has two locations. Main office is at 33583 Woodward Avenue, Birmingham, Michigan, just south of the downtown business district. A branch office at 4145 West Maple in Bloomfield Twp., near the busy intersection of Maple and Telegraph Roads, is open, but under renovation to be completed by end of 2006.

"We are proud of our initial two locations and confident that our experienced staff will reinforce our 'customer first' attitude here at Bank of Birmingham," said Farr. "We plan to make extensive use of technology to support our staff in providing the most efficient and effective banking services to our customers. We invite all area residents who are looking for better service in their banking relationships to visit one of our locations and meet our Team."

Bank of Birmingham begins its existence with a highly-experienced management team of bankers with a long history in the local market.

"We are pleased to have such a strong management team led by Robert Farr along with Chief Financial Officer Richard Miller, Chief Credit Officer Lance Krajacic and Director of Sales and Marketing Jeffrey Bonk," said Bank of Birmingham Chairman of the Board William Aikens. "Everyone on our senior management team has at least 25 years experience in serving the banking needs of our market. We believe their knowledge and focus on personal service will have a positive influence on our entire staff."

Bank of Birmingham's initial focus will be on loans to small and medium-sized businesses and professionals, and consumers.

"Big banks have neglected many small businesses and professionals in our banking market for whom personal service and local decision-making is paramount," stated Farr. "We provide the level of service and support these customers expect from a banking relationship. Our local ownership and management, as well as our understanding of local concerns, will enable us to be more responsive to our customers."

Birmingham Bloomfield Bancshares, Inc., Inc. is a bank holding company headquartered in Birmingham, Michigan. It operates through its wholly-owned subsidiary Bank of Birmingham, a newly-organized state banking corporation.

This press release is not an offer to sell any shares of common stock. This press release contains forward-looking statements that involve assumptions and potential risks and uncertainties, which are made in a manner consistent with the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward looking statements involve known and unknown risks, uncertainties, and other factors that may cause the actual results, performance and achievements of Birmingham Bloomfield Bancshares, Inc. to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. These factors include: general economic, capital market and business conditions; risks arising from litigation or similar proceedings; interest rate fluctuations; levels of delinquent loans; employee turnover; government regulation; and those other factors discussed in the filings of Birmingham Bloomfield Bancshares, Inc. with the Securities and Exchange Commission, which are incorporated in this press release by reference. Birmingham Bloomfield Bancshares, Inc. undertakes no obligation, and expressly disclaims any obligation, to update publicly or revise any forward looking statement, whether as a result of new information, future events or otherwise.