CHICAGO, March 7, 2014 (GLOBE NEWSWIRE) -- Royal Financial, Inc. (the "Company") (OTCBB:RYFL), incorporated under the laws of Delaware on December 15, 2004, for the purpose of serving as the holding company of Royal Savings Bank (the "Bank"), announced today that the Board of Directors of the Company has rescinded a board resolution dated April 20, 2010, which required the Company to obtain the written approval of the Federal Reserve Bank of Chicago (the "Federal Reserve") prior to (1) the declaration or payment of corporate dividends; (2) any increase in debt; or (3) the redemption of Company stock. Recently, the Federal Reserve notified the Company it had no objections to the Company rescinding the board resolution.
"This action reflects the Board's confidence that the improvements in the financial condition, operations and prospective results of Royal Savings Bank, our subsidiary, eliminate the need for the Company to operate under capital restrictions," said Jim Fitch, Chairman of the Board. "In November 2013, our subsidiary's federal and state regulators agreed to the termination of their Memorandum of Understanding with the Bank. We are pleased that the Company's regulator has agreed with our decision to remove the capital restrictions, and we look forward to focusing more completely on increasing shareholder value."
Royal Savings Bank offers a range of checking and savings products and a full line of home and commercial lending solutions. Royal Savings Bank has been operating continuously in the south and southeast communities of Chicago since 1887, and currently has two branches in Chicago with lending centers in Homewood and St. Charles Illinois. Visit Royal Financial, Inc. and Royal Savings Bank at www.royal-bank.us
Forward Looking Statements: This press release may include forward-looking statements. These forward-looking statements, which are based on certain assumptions and describe our future plans, strategies and expectations, can generally be identified by use of the words "believe," "expect," "intend," "anticipate," "estimate," "project," or similar expressions. Our ability to predict results or the actual effect of future plans or strategies is inherently uncertain and actual results may differ materially from those predicted in such forward-looking statements. Factors that could have a material adverse effect on the operations and future prospects of the Company and the Bank include, but are not limited to, changes in interest rates; the economic health of the local real estate market; general economic conditions; continued credit deterioration in our loan portfolio that would cause us to further increase our allowance for loan losses; legislative/regulatory changes; monetary and fiscal policies of the U.S. government, including policies of the U.S. Treasury and the Federal Reserve Board; the quality or composition of the loan and securities portfolios; demand for loan products in our market areas; deposit flows; competition; demand for financial services in our market areas; and changes in accounting principles, policies, and guidelines. These risks and uncertainties should be considered in evaluating forward-looking statements, and undue reliance should not be placed on such statements.
CONTACT: Mr. Leonard Szwajkowski President and CEO Telephone: (773) 382-2111 E-mail: firstname.lastname@example.org Mr. James Fitch, Jr. Chairman of the Board Telephone: (941) 962-6700 E-mail: email@example.comSource:Royal Financial, Inc.