Bank officials say this increase was largely due to improved net interest margins partially offset by lower loan volume.

Aquesta Bank's total assets increased to $207.5 million in the third quarter, compared to $195.5 million at Dec. 31, 2010, or a growth rate of 6.1 percent. Total loans decreased to $124.5 million from $126.2 million over the same period, or a 1.3 percent decrease. Lastly, third quarter 2011 total deposits were $161.4 million, up from $150.7 million at year-end 2010, reflecting growth of 7.1 percent.

Third quarter loan loss provisions were $1.6 million, compared to the same quarter of 2010 provisions of $250,000. Allowance for loan losses in the third quarter were $1.8 million, up from $1.2 million at Dec. 31, 2010.

"Aquesta Bank previously announced a layoff and other cost control/reduction initiatives," Jim Engel, CEO and President of Aquesta Bank, said in a recent press release announcing the third quarter 2011 results. "These initiatives started to benefit Aquesta in September and should be more pronounced in the fourth quarter. Despite the third quarter loss, Aquesta Bank remains above well-capitalized levels as established by regulators and consequently will remain focused on continued growth in the Lake Norman area.

"While we are disappointed at the operating loss for the quarter, we have made good progress in further strengthening our balance sheet, resolving troubled loan situations and remaining focused on continued market expansion. At this point, we continue to see weakness in the local economy and have positioned our balance sheet through increased reserves and reduced cost structure to weather a prolonged economic slump. While I actually hope that we are being too pessimistic about the economy, it's prudent to maintain a cautious viewpoint until we see evidence of actual economic improvement," Engel said.

Aquesta Bank is a commercial bank that serves the Lake Norman market with a focus on small- to medium-size businesses and professionals, with branches in Cornelius, Davidson and two in Mooresville. Aquesta Bank's wholly owned independent insurance agency (Aquesta Insurance Services, Inc.) has offices in Cornelius, Concord, Mooresville and Wilmington.

For more information, contact Engel or Kristin Parsons, executive vice president and chief financial officer) at 704-439-4343 or visit www.aquesta.com.

Meanwhile, First Community Bank, with branches in Cornelius, Huntersville and Mooresville, announced a nearly five percent decrease in third quarter interest income compared to third quarter 2010, netting $17.73 million, or a decrease of $863,000. In a press release, bank officials said the decrease in interest income reflects continued slow loan demand and the bank's conservative deployment of excess cash to manage its long-term risk profile. Over the same period, non-interest income also dropped, decreasing $2.87 million or 26.26 percent. The bank attributed the loss largely to a reduction in realized gains on the investment securities portfolio.

In spite of these numbers, the board of directors announced a quarterly cash dividend to common stockholders of $1.79 million, or 10 cents per common share, which is expected to be paid at the end of November. This marks the 26th consecutive year of cash dividend payments to stockholders, bank officials said in the press release.

First Community Bancshares, Inc., the parent company of First Community Bank, is a $2.22 billion financial holding company headquartered in Bluefield, Va., and is traded on the NASDAQ Global Select Market under the symbol "FCBC." More information is available at www.fcbinc.com.

MI-C reports jump in subscribers

Officials at MI-Connection, the Mooresville- and Davidson-owned Internet and cable system, said in a press release last week the system's first-quarter revenue numbers are down slightly, even though the subscriber numbers have increased.

At their monthly board meeting at Davidson Town Hall on Oct. 27, MI-Connection Board of Directors Treasurer Brett Ellis said the system's total revenues for the first quarter of the 2011-12 fiscal year were down 0.6 percent compared to the previous fiscal year's fourth quarter. Ellis said the slight revenue decline is not surprising since the company experienced a decline in video subscribers in the previous quarter.

The reason for the lag between an increase in subscribers and the accompanying increase in revenue, said Ellis, is because the system saw dramatic customer growth in the first quarter this year, which meant more installations and more customers taking advantage of special offers.

Those initial costs and promotional discounts, he said, are always shouldered on the front end, and the revenue generated by the growing customer base will sometimes takes several months to have an impact on total revenue. Officials reported at last month's board meeting that the system gained more customers in the first quarter this year than it did during the entire fiscal year last year. Ellis also reported that expenses are down by $147,433 over last quarter.

Chairman John Venzon said that there is still plenty of work to do, but that the growth is promising." Revenues are essentially flat, but the underlying operational metrics are in a growth mode," Venzon said. "The financials don't reflect that growth yet, but I am confident we are on the right track."

For more information on MI-Connection, visit www.mi-connection.com.

Diagnostic tool receives accreditation

A local diagnostic and clinical research company has been awarded accreditation by the College of American Pathologists for its Circulating Tumor Cell (CTC) enumeration assay.

BioCytics Inc., based in Huntersville, says the CTC test is used for monitoring to predict overall survival in metastatic breast, prostate and colorectal cancer patients. CTCs are cancer cells that travel through the body via the bloodstream, and are thought to have broken free from a solid tumor.

"CTCs are a window to monitor cancer patients' tumor burden and response to therapy," says Dr. John Powderly II, BioCytics president and laboratory director. "We are pleased that BioCytics' growth has enabled our clinical molecular diagnostics lab for CTC enumeration to become fully online and operational with (this) accreditation."

BioCytics, founded in 2005, is co-located with the Carolina BioOncology Institute on West Kincey Avenue, a cancer treatment and clinical trial facility. With a special emphasis on CTCs, the company is experienced in isolating CTCs from patients with a variety of tumor types, including breast, prostate, colorectal, non-small cell lung, ovarian and pancreatic cancer. More information is available at www.BioCytics.com.

CrossFit LKN gets new owner

Local swim coach and experienced personal trainer Kyle Ruth has purchased CrossFit LKN, a Huntersville fitness facility specializing in high-intensity, total body physical conditioning.

Ruth, once a nationally ranked competitive swimmer and now an ASCA Level 3 certified coach for SwimMAC at the Huntersville Family Fitness and Aquatics Center, says this is the first business he's ever owned.

"Fitness and exercise have been my life since I was a kid," says Ruth, who was a five-time NISCA All-American swimmer in Indiana and also swam for Indiana University. "I'm competitive by nature, and owning a business is just another competitive outlet."

Ruth says with his purchase of the two-year-old business, he plans to make some minor tweaks to CrossFit LKN's classes and how they are organized to give members the most for their money.

Ruth describes CrossFit training as a multifaceted conditioning program that constantly varies the workout, and is one that's far from what's found in a typical large gym. He says the CrossFit methods are scaleable to any fitness level, and that it's "the best workout you can get in 20 minutes."

CrossFit LKN is at 9825 Northcross Center Court, Suite R, in Huntersville. Call 704-892-0972 for more details, or visit www.crossfitlkn.com.

Griffin adds two to marketing firm

Cornelius-based Ginger Griffin Marketing & Design has increased its staff by two recently, adding graphic designer Gianni Masciopinto and account executive Rebecca Perry to the firm.

Masciopinto, a Long Island, N.Y., native, will be responsible for developing logos and branding campaigns for the agency's growing client base, managing multiple projects from initiation through production. He holds a bachelor of fine arts degree with a concentration in graphic design from the State University of New York at Oswego.

In addition to overseeing all client relations, Perry will be responsible for creating new marketing solutions for clients and working with the agency's design team. A native of Elon, she is a graduate of UNC Charlotte with a bachelor of science degree in business administration with a concentration in marketing.

Ginger Griffin Marketing & Design was established in 1997, and serves clients across the U.S. and Canada. Contact them at 704-896-2479 or at www.wehaveideas.com.

— Compiled by Lori Helms