Peoples Bancorp of North Carolina, Inc. reported unaudited consolidated earnings results for the fourth quarter and year to date ended of December 31, 2016. For the quarter, the company’s net earnings were $1.3 million or $0.24 basic and diluted net earnings per share for the three months ended December 31, 2016, as compared to $2.2 million or $0.40 basic net earnings per share and $0.39 diluted net earnings per share for the same period one year ago. Net interest income was $9.3 million compared to $9.1 million for the three months ended December 31, 2015.  The increase in net interest income was primarily due to a $146,000 increase in interest income, which was primarily attributable to an increase in the average outstanding balance of loans and a 0.25% increase in the prime rate in December 2015, combined with a $30,000 decrease in interest expense, which was primarily attributable to a decrease in the average outstanding balance of time deposits and FHLB borrowings during the three months ended December 31, 2016, as compared to the same period one year ago.  Net interest income after the provision for loan losses was $9.4 million compared to $9.3 million for the three months ended December 31, 2015. Book value per share was $19.83 compared to $19.03 a year ago. Return on average assets was 0.47% compared to 0.83% a year ago. Return on average shareholders’ equity was 4.74% compared to 8.26% a year ago. For the year to date the company’s net earnings were $9.2 million or $1.68 basic net earnings per share and $1.65 diluted net earnings per share for the year ended December 31, 2016, as compared to $9.6 million or $1.73 basic net earnings per share and $1.72 diluted net earnings per share for the same period one year ago. Net interest income was $36.5 million compared to $35.2 million for same period one year ago.  The increase in net interest income was primarily due to a $1.1 million increase in interest income, which was primarily attributable to an increase in the average outstanding balance of loans and a 0.25% increase in the prime rate in December 2015, combined with a $213,000 decrease in interest expense, which was primarily attributable to a decrease in the average outstanding balance of time deposits and FHLB borrowings during the year ended December 31, 2016, as compared to the same period one year ago.  Net interest income after the provision for loan losses was $37.7 million compared to $35.2 million for the same period one year ago. Return on average assets was 0.85% compared to 0.93% a year ago. Return on average shareholders’ equity was 8.11% compared to 9.03% a year ago.