American Bank Inc. (OTC Pink: AMBK), parent company of American Bank, has announced earnings for the year ending Dec. 31, 2016.

Net income for the year was $4,444,000, or $0.70 per diluted share, an increase of $409,000, compared to net income of $4,035,000, or $0.65 per diluted share, reported for the year ending Dec. 31, 2015.

The increase in net income for the year ended Dec. 31, 2016, was primarily attributable to an increase in net interest income.

American Bank Inc. also announced the appointment of Zachary Jaindl to its Board of Directors.

Jaindl is Chief Operations Officer for Jaindl Enterprises, a family-owned and operated commercial real estate development company based in Allentown. Jaindl, a Lehigh University graduate, is involved in the Lehigh Valley community, most recently with Civic Theatre of Allentown and Good Shepherd Rehabilitation.

Total assets increased $7.5 million, or 1.4 percent, to $557.1 million as of Dec. 31, 2016, compared to $549.6 million as of Dec. 31, 2015. Net loans increased $46.3 million, or 11.7 percent, while total deposits increased $4.9 million, or 1.2 percent, for the same period.

Return on assets for the year ending Dec. 31, 2016, increased to 0.80 percent, from 0.76 percent for the same period in 2015. Return on equity for the year ending Dec. 31, 2016, was 9.13 percent, compared to 8.71 percent for the same period in 2015.

Net interest income for the year ending Dec. 31, 2016, was $15.1 million, an increase of $1.4 million from $13.7 million for the prior year ending Dec. 31, 2015. Net interest margin increased 13 basis points to 2.84 percent for the year ending Dec. 31, 2016, from 2.71 percent for the prior year ending Dec. 31, 2015. Net interest income for the year ending Dec. 31, 2016, reached its highest level in the history of American Bank.

The provision for loan losses for the year ending Dec. 31, 2016, was $946,000, an increase of $488,000 from the $458,000 recorded for the year ending Dec. 31, 2015. The increase in the provision was primarily attributable to impairments of two commercial real estate loans during the fourth quarter of 2016.

Loan quality remained strong at Dec. 31, 2016, with one non-accruing loan in the amount of $18,000, and given the economic environment, American Bank has set aside reserves of $6.1 million, or 1.37 percent of loans outstanding, compared to $5.6 million, or 1.39 percent of loans outstanding at Dec. 31, 2015.

Non-interest income remained relatively flat for the year ending Dec. 31, 2016, compared to 2015.

Non-interest expense increased $229,000 for the year ending Dec. 31, 2016, compared to 2015. The increase in non-interest expense was primarily because of the addition of three full-time equivalent employees and overall higher medical costs.

American Bank is a “well-capitalized” institution as measured by all regulatory capital standards, according to the annual report.

As of the time of the press release about the annual report, American Bank Incorporated common stock traded at $12 per share. American Capital Trust I Preferred Securities ltraded at $12.