The Board of Directors of Fidelity D&D Bancorp Inc. announced the payment of the company's fourth quarter dividend of $0.25 per share. The dividend is payable on December 10, 2009 to shareholders of record at the close of business on November 23, 2009.

Fidelity D&D Bancorp Inc. reported earnings results for the third quarter and nine months ended September 30, 2009. The company announced net loss for the quarter ended September 30, 2009 of $3,211,000 compared to net income of $741,000 for the same quarter of 2008. The net loss resulted from increased provision for loan losses, recognition of additional other-than-temporary impairment investment losses, write-downs of foreclosed other real estate properties and higher other operating expenses including increased FDIC insurance premiums and collection expenses related to non-performing loans plus recognizing incurred consulting costs. Loss per share for the quarter was $1.55 compared to earnings per share of $0.35 for the same prior year period. Net interest income was $4,421,000 for the quarter ended September 30, 2009 compared to the $4,879,000 recorded during the same quarter of 2008. The cost reduction from lowering rates on interest-bearing liabilities lagged behind the effect the current interest rate environment had on earning-asset yields. Ten million dollars in long-term debt costing 6.12% was paid-off early in September 2009 which included a prepayment penalty of $505,000. As a result, net interest income declined $458,000, or 9%, for the third quarter of 2009. This earnings decline, in relation to the $15,104,000 reduction in average earning assets, reduced net interest margin to 3.43% for the third quarter of 2009, compared to 3.62% for same 2008 period. Net loss for the nine months ended September 30, 2009 was $1,473,000 compared to net income of $3,034,000 for the same 2008 year-to-date period. Loss per share was $0.71 for the nine months ended September 30, 2009 and earnings per share was $1.46 for the same 2008 period. Provision for loan losses, other-than-temporary impairment, less overdraft deposit service charges, higher FDIC insurance assessments, increased collections, professional, and other real estate expenses, all partially offset by mortgage banking gains, were the drivers producing a net loss for the first nine months of 2009 compared to 2008. Net interest income decreased to $13,986,000 for the nine months ended September 30, 2009 from $14,369,000 recorded during the same year-to-date period of 2008. Comparing these periods, average earning assets during 2009 declined by $15,236,000. As a result, net interest margin was 3.62% during the first nine months of 2009 compared to 3.57% during the same 2008 period. For the period, the company reported negative return on average assets of 2.25% compared to positive return on average assets of 0.50% in the previous year period. Negative return on average equity of 25.75% compared to positive return on average equity of 5.63% in the previous year period. Book value per share was $23.01 compared to $24.55 in the previous year period.

Fidelity D&D Bancorp Inc. announced the payment of the company's third quarter dividend of $0.25 per share. The dividend is payable on September 10, 2009 to shareholders of record at the close of business on August 20, 2009.