Riverhead - Suffolk Bancorp (NASDAQ - SUBK) released its fourth quarter and full year of 2008 reports this week, showing earnings-per-share for the quarter were at $0.60, an increase of 3.4 percent from a comparable period of 2007.

According to the reports, net income for the quarter was $5,742,000, up 2.5 percent from $5,604,000 during the same quarter the previous year. Earnings-per-share for the year to date to date were $2.58, an increase of 15.2 percent from $2.24 during the comparable period of 2007 while net income for the year to date was $24,688,000, up 11.6 percent from the same period last year.

Acting president and Chief Executive Officer J. Gordon Huszagh remarked, "There is nothing I can add to reports in the news media that would better explain what an unfortunately remarkable period of time this is for our economy. History is being written as political leaders in the United States and around the world wrestle with policy to minimize the depth of the current recession and speed recovery from it."

Huszagh added, "Once again I want to reassure our investors, customers, and employees about Suffolk Bancorp's condition and prospects. We have been alert to developments in the economy and in our market. That attention to the details of our business is evident in the numbers we report this quarter which remain consistent with our past performance."

The CEO pointed out return on average equity remains at approximately 20 percent for both the quarter and the year, exclusive of the proceeds of VISA, Inc.'s initial public offering during the first quarter. A 22 percent average equity was tallied for the year when that transaction is included. "While our shareholders certainly benefited from this transaction, we believe the more important numbers are those achieved through our core business," Huszagh added. "These numbers secure our place among the high performing banks in our region and in the nation. Going forward, we cannot assure that we will remain unaffected by the turmoil in the broader economy, but we are focused sharply on mitigating the effects of a continued or deepened downturn, and hopeful that we can preserve our traditional ranking in the industry, if not our traditional performance ratios."

Huszagh continued, "There are several items of which I would like to make specific mention. First, loan balances increased by 14.2 percent from year to year. We attribute this in part to good, solid borrowers whose former banks have not been in a position to lend to them as the credit crisis developed. This led to a substantial increase in real estate construction loans which have been underwritten on the basis of reasonable ratios of loan-to-value, conservative evaluations of projected cash flows, and guarantees for permanent financing in place prior to granting the interim credit. We are optimistic that we will be able to develop many of these credits into well-rounded, long-standing relationships with stable customers of the sort who have always been our bread and butter."

Suffolk Bancorp is a one-bank holding company engaged in the commercial banking business through Suffolk County National Bank, a full service commercial bank headquartered in Riverhead. Organized in 1890, Suffolk County National Bank has 29 offices in Suffolk County.