This excerpt taken from the CPBC 10-Q filed May 14, 2007.
NOTE 2 ACQUISITION
Effective April 1, 2006, the Company acquired all of the outstanding shares of Town Bank common stock for shares of the Companys common stock valued at $38.2 million. In accordance with SFAS No. 141, Business Combinations, the Company used the purchase method of accounting to record this transaction. Accordingly, operations relating to the business of Town Bank are included in the Companys financial statements only prospectively from April 1, 2006, the date of the transaction. A detailed disclosure of this transaction is included in the Community Partners Annual Report on Form 10-K filed with the Securities and Exchange Commission on April 2, 2007.
Discussed below is certain unaudited pro forma information for the period ended March 31, 2006, as if Town Bank had been acquired on January 1, 2006. These results combine historical results of Town Bank into Community Partners consolidated statements of income. While certain adjustments have been made for the estimated impact of the application of purchase accounting, the results shown below are not necessarily indicative of what would have occurred had the acquisition taken place on the indicated dates (in thousands, except per share data).