Good news from ESSA

By William Doolittle
For the Messenger

It’s time to say a little bit about ESSA Bancorp, the
new name for East Stroudsburg Savings Association,
that went public last year. Customers and employees
of the bank were able to buy the initial offering of
stock at $10 a share. The offering shares were over-subscribed and the
bank had to cut back all customers who came after 2005.

Securities and Exchange documents also indicate that
the bank’s directors had to take a cut in their
desired shares so that all of the bank’s customers
could be accommodated. Even at that, the bank sold more
shares than it anticipated in its most optimistic
scenario.

Almost immediately after trading began in April, the
price jumped to $12 a share, a 20 percent increase
On Oct. 4, 2008 it taxed at $13.6.

Director Frederick Kutteroff bought $239,490 worth, and
Vice President Thomas Grayuski invested
$33,270 soon after the company went public In several transactions, the pair is listed as having bought shares at around $12 a share.

Insider trading must be made public and is posted by
the Securities and Exchange Commission (SEC).

The local bank is the second largest in our market
and plans to use the $159 million raised in the stock
sale for internal and external expansion.

In the past two months small cap analysts have praised the companies prospects, and large cash reserves which can be used for acquisitions.

In addition, the bank funded its ESSA Foundation with
common stock and cash worth ESSA funds foundation with $12.7
ESSA Bancorp, Inc., the holding company for Monroe County's ESSA Bank & Trust. In doing so the bank reported a loss in 2007. When making its stock offering ESSA promised to fund the foundation which supports numerous non-profit endeavors in the county. The local bank went public in April of 2007, offering depositors and employees shares at $10 apiece. The stock is now trading above $13. Insider buying by bank trustees and officers has been steady since ESSA went pubic. Some recent recipients include: American Red Cross of Monroe County $4,900; Pecan Youth Orchestra $2,000; First Impressions Career Closet, $3,500; Pocono Choral Society, $5,000; Youth Association of Pocono Mountain, $25,000. August 2, 2008
In 2005, the ESSA Foundation gave away just under half a million dollars to local
organizations.