For the transition period from | to |
Commission File Number | 1-13006 |
Park National Corporation |
(Exact name of registrant as specified in its charter) |
Ohio | 31-1179518 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
50 North Third Street, Newark, Ohio 43055 |
(Address of principal executive offices) (Zip Code) |
(740) 349-8451 |
(Registrant’s telephone number, including area code) |
N/A |
(Former name, former address and former fiscal year, if changed since last report) |
Large accelerated filer | Accelerated filer | ¨ | |
Non-accelerated filer | ¨ | Smaller reporting company | ¨ |
(Do not check if a smaller reporting company) |
15,405,902
PARK NATIONAL CORPORATION
CONTENTS
Page | |
PART I. FINANCIAL INFORMATION | |
Item 1. Financial Statements | |
March 31, | December 31, | |||||||
2012 | 2011 | |||||||
Assets: | ||||||||
Cash and due from banks | $ | 121,730 | $ | 137,770 | ||||
Money market instruments | 39,400 | 19,716 | ||||||
Cash and cash equivalents | 161,130 | 157,486 | ||||||
Investment securities | ||||||||
Securities available-for-sale, at fair value (amortized cost of $991,373 and $801,147 at March 31, 2012 and December 31, 2011) | 1,007,481 | 820,645 | ||||||
Securities held-to-maturity, at amortized cost (fair value of $795,075 and $834,574 at March 31, 2012 and December 31, 2011) | 782,250 | 820,224 | ||||||
Other investment securities | 67,604 | 67,604 | ||||||
Total investment securities | 1,857,335 | 1,708,473 | ||||||
Loans | 4,324,383 | 4,317,099 | ||||||
Allowance for loan losses | (59,758 | ) | (68,444 | ) | ||||
Net loans | 4,264,625 | 4,248,655 | ||||||
Bank owned life insurance | 157,225 | 154,567 | ||||||
Goodwill and other intangible assets | 73,089 | 74,843 | ||||||
Bank premises and equipment, net | 52,157 | 53,741 | ||||||
Other real estate owned | 41,965 | 42,272 | ||||||
Accrued interest receivable | 21,227 | 19,697 | ||||||
Mortgage loan servicing rights | 8,975 | 9,301 | ||||||
Other | 139,123 | 120,748 | ||||||
Assets held for sale | - | 382,462 | ||||||
Total assets | $ | 6,776,851 | $ | 6,972,245 | ||||
Liabilities and Stockholders' Equity: | ||||||||
Deposits: | ||||||||
Noninterest bearing | $ | 1,055,745 | $ | 995,733 | ||||
Interest bearing | 3,761,643 | 3,469,381 | ||||||
Total deposits | 4,817,388 | 4,465,114 | ||||||
Short-term borrowings | 236,687 | 263,594 | ||||||
Long-term debt | 821,801 | 823,182 | ||||||
Subordinated debentures and notes | 75,250 | 75,250 | ||||||
Accrued interest payable | 5,034 | 4,916 | ||||||
Other | 64,262 | 61,639 | ||||||
Liabilities held for sale | - | 536,186 | ||||||
Total liabilities | 6,020,422 | 6,229,881 | ||||||
COMMITMENTS AND CONTINGENCIES | ||||||||
Stockholders' equity: | ||||||||
Preferred stock (200,000 shares authorized; 100,000 shares issued with $1,000 per share liquidation preference) | 98,372 | 98,146 | ||||||
Common stock (No par value; 20,000,000 sharesauthorized; 16,151,014 shares issued at March 31, 2012 and 16,151,021 shares issued at December 31, 2011) | 301,201 | 301,202 | ||||||
Common stock warrants | 4,297 | 4,297 | ||||||
Retained earnings | 440,074 | 424,557 | ||||||
Treasury stock (745,109 shares at March 31, 2012 and 745,109 shares at December 31,2011) | (77,007 | ) | (77,007 | ) | ||||
Accumulated other comprehensive (loss), net of taxes | (10,508 | ) | (8,831 | ) | ||||
Total stockholders' equity | 756,429 | 742,364 | ||||||
Total liabilities and stockholders’ equity | $ | 6,776,851 | $ | 6,972,245 |
June 30, 2012 | December 31, 2011 | ||||||
Assets: | |||||||
Cash and due from banks | $ | 132,561 | $ | 137,770 | |||
Money market instruments | 75,501 | 19,716 | |||||
Cash and cash equivalents | 208,062 | 157,486 | |||||
Investment securities | |||||||
Securities available-for-sale, at fair value (amortized cost of $846,719 and $801,147 at June 30, 2012 and December 31, 2011) | 867,147 | 820,645 | |||||
Securities held-to-maturity, at amortized cost (fair value of $768,076 and $834,574 at June 30, 2012 and December 31, 2011) | 755,222 | 820,224 | |||||
Other investment securities | 66,285 | 67,604 | |||||
Total investment securities | 1,688,654 | 1,708,473 | |||||
Loans | 4,386,851 | 4,317,099 | |||||
Allowance for loan losses | (58,696 | ) | (68,444 | ) | |||
Net loans | 4,328,155 | 4,248,655 | |||||
Bank owned life insurance | 158,696 | 154,567 | |||||
Goodwill and other intangible assets | 72,949 | 74,843 | |||||
Bank premises and equipment, net | 52,261 | 53,741 | |||||
Other real estate owned | 38,424 | 42,272 | |||||
Accrued interest receivable | 20,219 | 19,697 | |||||
Mortgage loan servicing rights | 8,809 | 9,301 | |||||
Other | 129,345 | 120,748 | |||||
Assets held for sale | — | 382,462 | |||||
Total assets | $ | 6,705,574 | $ | 6,972,245 | |||
Liabilities and Stockholders' Equity: | |||||||
Deposits: | |||||||
Noninterest bearing | $ | 1,034,952 | $ | 995,733 | |||
Interest bearing | 3,788,023 | 3,469,381 | |||||
Total deposits | 4,822,975 | 4,465,114 | |||||
Short-term borrowings | 240,602 | 263,594 | |||||
Long-term debt | 806,287 | 823,182 | |||||
Subordinated debentures and notes | 105,250 | 75,250 | |||||
Accrued interest payable | 4,660 | 4,916 | |||||
Other | 65,177 | 61,639 | |||||
Liabilities held for sale | — | 536,186 | |||||
Total liabilities | 6,044,951 | 6,229,881 | |||||
COMMITMENTS AND CONTINGENCIES | |||||||
Stockholders' equity: | |||||||
Preferred stock (200,000 shares authorized; 0 shares at June 30, 2012 and 100,000 shares at December 31, 2011 issued with $1,000 per share liquidation preference) | — | 98,146 | |||||
Common stock (No par value; 20,000,000 shares authorized; 16,151,007 shares issued at June 30, 2012 and 16,151,021 shares issued at December 31, 2011) | 302,655 | 301,202 | |||||
Common stock warrants | — | 4,297 | |||||
Retained earnings | 442,531 | 424,557 | |||||
Treasury stock (745,109 shares at June 30, 2012 and at December 31,2011) | (77,007 | ) | (77,007 | ) | |||
Accumulated other comprehensive (loss), net of taxes | (7,556 | ) | (8,831 | ) | |||
Total stockholders' equity | 660,623 | 742,364 | |||||
Total liabilities and stockholders’ equity | $ | 6,705,574 | $ | 6,972,245 |
Three Months Ended | ||||||||
March 31, | ||||||||
2012 | 2011 | |||||||
Interest and dividend income: | ||||||||
Interest and fees on loans | $ | 61,105 | $ | 65,454 | ||||
Interest and dividends on: | ||||||||
Obligations of U.S. Government, its agencies and other securities | 13,584 | 19,053 | ||||||
Obligations of states and political subdivisions | 46 | 149 | ||||||
Other interest income | 103 | 6 | ||||||
Total interest and dividend income | 74,838 | 84,662 | ||||||
Interest expense: | ||||||||
Interest on deposits: | ||||||||
Demand and savings deposits | 754 | 991 | ||||||
Time deposits | 4,639 | 6,734 | ||||||
Interest on borrowings: | ||||||||
Short-term borrowings | 175 | 267 | ||||||
Long-term debt | 7,542 | 7,357 | ||||||
Total interest expense | 13,110 | 15,349 | ||||||
Net interest income | 61,728 | 69,313 | ||||||
Provision for loan losses | 9,000 | 14,100 | ||||||
Net interest income after provision for loan losses | 52,728 | 55,213 | ||||||
Other income: | ||||||||
Income from fiduciary activities | 3,828 | 3,722 | ||||||
Service charges on deposit accounts | 4,071 | 4,245 | ||||||
Other service income | 2,734 | 2,301 | ||||||
Checkcard fee income | 3,172 | 2,976 | ||||||
Bank owned life insurance income | 1,202 | 1,229 | ||||||
ATM fees | 608 | 654 | ||||||
OREO devaluations | (1,359 | ) | (2,535 | ) | ||||
Gain on sale of the Vision business | 22,167 | - | ||||||
Other | 3,197 | 2,438 | ||||||
Total other income | 39,620 | 15,030 | ||||||
Gain on sale of securities | - | 6,635 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
Interest and dividend income: | |||||||||||||||
Interest and fees on loans | $ | 57,593 | $ | 65,862 | $ | 118,698 | $ | 131,316 | |||||||
Interest and dividends on: | |||||||||||||||
Obligations of U.S. Government, its agencies and other securities | 13,794 | 18,960 | 27,378 | 38,013 | |||||||||||
Obligations of states and political subdivisions | 42 | 92 | 88 | 241 | |||||||||||
Other interest income | 57 | 8 | 160 | 14 | |||||||||||
Total interest and dividend income | 71,486 | 84,922 | 146,324 | 169,584 | |||||||||||
Interest expense: | |||||||||||||||
Interest on deposits: | |||||||||||||||
Demand and savings deposits | 602 | 951 | 1,356 | 1,942 | |||||||||||
Time deposits | 4,121 | 6,200 | 8,760 | 12,934 | |||||||||||
Interest on borrowings: | |||||||||||||||
Short-term borrowings | 163 | 193 | 338 | 460 | |||||||||||
Long-term debt | 7,920 | 7,556 | 15,462 | 14,913 | |||||||||||
Total interest expense | 12,806 | 14,900 | 25,916 | 30,249 | |||||||||||
Net interest income | 58,680 | 70,022 | 120,408 | 139,335 | |||||||||||
Provision for loan losses | 5,238 | 12,516 | 13,576 | 26,616 | |||||||||||
Net interest income after provision for loan losses | 53,442 | 57,506 | 106,832 | 112,719 | |||||||||||
Other income: | |||||||||||||||
Income from fiduciary activities | 4,044 | 3,929 | 7,872 | 7,651 | |||||||||||
Service charges on deposit accounts | 4,154 | 4,525 | 8,225 | 8,770 | |||||||||||
Other service income | 3,417 | 2,734 | 6,151 | 5,035 | |||||||||||
Checkcard fee income | 3,180 | 3,251 | 6,352 | 6,227 | |||||||||||
Bank owned life insurance income | 1,184 | 1,228 | 2,386 | 2,457 | |||||||||||
ATM fees | 536 | 682 | 1,144 | 1,336 | |||||||||||
OREO devaluations | (2,648 | ) | (3,355 | ) | (4,007 | ) | (5,890 | ) | |||||||
Gain/(loss) on the sale of OREO, net | 2,203 | 330 | 3,248 | 482 | |||||||||||
Gain on sale of the Vision business | — | — | 22,167 | — | |||||||||||
Other | 1,438 | 1,814 | 3,590 | 4,100 | |||||||||||
Total other income | 17,508 | 15,138 | 57,128 | 30,168 | |||||||||||
Gain on sale of securities | — | 15,362 | — | 21,997 |
Three Months Ended | ||||||||
March 31, | ||||||||
2012 | 2011 | |||||||
Other expense: | ||||||||
Salaries and employee benefits | $ | 24,823 | $ | 25,064 | ||||
Occupancy expense | 2,670 | 3,000 | ||||||
Furniture and equipment expense | 2,621 | 2,657 | ||||||
Data processing fees | 1,200 | 1,253 | ||||||
Professional fees and services | 5,581 | 4,874 | ||||||
Amortization of intangibles | 1,754 | 669 | ||||||
Marketing | 843 | 623 | ||||||
Insurance | 1,490 | 2,269 | ||||||
Communication | 1,537 | 1,556 | ||||||
Other expense | 5,289 | 4,381 | ||||||
Total other expense | 47,808 | 46,346 | ||||||
Income before income taxes | 44,540 | 30,532 | ||||||
Income taxes | 13,065 | 8,336 | ||||||
Net income | $ | 31,475 | $ | 22,196 | ||||
Preferred stock dividends and accretion | 1,477 | 1,464 | ||||||
Net income available to common shareholders | $ | 29,998 | $ | 20,732 | ||||
Per Common Share: | ||||||||
Net income available to common shareholders | ||||||||
Basic | $ | 1.95 | $ | 1.35 | ||||
Diluted | $ | 1.95 | $ | 1.35 | ||||
Weighted average common shares outstanding | ||||||||
Basic | 15,405,910 | 15,398,930 | ||||||
Diluted | 15,417,745 | 15,403,420 | ||||||
Cash dividends declared | $ | 0.94 | $ | 0.94 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
Other expense: | |||||||||||||||
Salaries and employee benefits | $ | 22,813 | $ | 25,253 | $ | 47,636 | $ | 50,317 | |||||||
Occupancy expense | 2,249 | 2,764 | 4,919 | 5,764 | |||||||||||
Furniture and equipment expense | 2,727 | 2,785 | 5,348 | 5,442 | |||||||||||
Data processing fees | 899 | 1,135 | 2,099 | 2,388 | |||||||||||
Professional fees and services | 5,800 | 5,320 | 11,381 | 10,194 | |||||||||||
Amortization of intangibles | 140 | 669 | 1,894 | 1,338 | |||||||||||
Marketing | 705 | 728 | 1,548 | 1,351 | |||||||||||
Insurance | 1,400 | 2,345 | 2,890 | 4,614 | |||||||||||
Communication | 1,494 | 1,485 | 3,031 | 3,041 | |||||||||||
Loan put provision | 2,701 | — | 3,363 | — | |||||||||||
Other expense | 4,876 | 4,523 | 10,165 | 8,904 | |||||||||||
Total other expense | 45,804 | 47,007 | 94,274 | 93,353 | |||||||||||
Income before income taxes | 25,146 | 40,999 | 69,686 | 71,531 | |||||||||||
Income taxes | 6,260 | 12,046 | 19,325 | 20,382 | |||||||||||
Net income | $ | 18,886 | $ | 28,953 | $ | 50,361 | $ | 51,149 | |||||||
Preferred stock dividends and accretion | 1,948 | 1,464 | 3,425 | 2,928 | |||||||||||
Net income available to common shareholders | $ | 16,938 | $ | 27,489 | $ | 46,936 | $ | 48,221 | |||||||
Per Common Share: | |||||||||||||||
Net income available to common shareholders | |||||||||||||||
Basic | 1.10 | 1.79 | 3.05 | 3.13 | |||||||||||
Diluted | 1.10 | 1.79 | 3.05 | 3.13 | |||||||||||
Weighted average common shares outstanding | |||||||||||||||
Basic | 15,405,902 | 15,398,919 | 15,405,906 | 15,398,925 | |||||||||||
Diluted | 15,405,902 | 15,399,593 | 15,409,690 | 15,401,506 | |||||||||||
Cash dividends declared | 0.94 | 0.94 | 1.88 | 1.88 |
Three Months Ended | ||||||||
March 31, | ||||||||
2012 | 2011 | |||||||
Net income | $ | 31,475 | $ | 22,196 | ||||
Other comprehensive income, net of tax: | ||||||||
Change in funded status of pension plan, net of income taxes of $222 | 412 | - | ||||||
Unrealized net holding gain on cash flow hedge,net of income taxes of $60 and $71 | 113 | 133 | ||||||
Unrealized net holding (loss) on securities available-for-sale, net of income tax benefit of $(1,188) and $(3,431) | (2,202 | ) | (6,371 | ) | ||||
Other comprehensive loss | $ | (1,677 | ) | $ | (6,238 | ) | ||
Comprehensive income | $ | 29,798 | $ | 15,958 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
Net income | $ | 18,886 | $ | 28,953 | $ | 50,361 | $ | 51,149 | |||||||
Other comprehensive income (loss), net of tax: | |||||||||||||||
Change in funded status of pension plan, net of income taxes of $222 | — | — | 412 | — | |||||||||||
Unrealized net holding gain on cash flow hedge, net of income taxes of $79 and $33 for the three months ended June 30, 2012 and 2011, and $139 and $104 for the six months ended June 30, 2012 and 2011. | 146 | 60 | 259 | 193 | |||||||||||
Unrealized net holding gain (loss) on securities available-for-sale, net of income taxes (benefit) of $1,511 and $(1,146) for the three months ended June 30, 2012 and 2011, and of $326 and $(4,578) for the six months ended June 30, 2012 and 2011. | 2,806 | (2,129 | ) | 604 | (8,500 | ) | |||||||||
Other comprehensive income (loss) | $ | 2,952 | $ | (2,069 | ) | $ | 1,275 | $ | (8,307 | ) | |||||
Comprehensive income | $ | 21,838 | $ | 26,884 | $ | 51,636 | $ | 42,842 |
Three Months ended March 31, 2012 and 2011 | Preferred Stock | Common Stock | Retained Earnings | Treasury Stock at Cost | Accumulated Other Comprehensive Income | |||||||||||||||
Balance at December 31, 2010 | $ | 97,290 | $ | 305,677 | $ | 406,342 | $ | (77,733 | ) | $ | (1,868 | ) | ||||||||
Net Income | 22,196 | |||||||||||||||||||
Other comprehensive loss, net of tax: | ||||||||||||||||||||
Unrealized net holding gain on cash flow hedge, net of income taxes of $71 | 133 | |||||||||||||||||||
Unrealized net holding (loss) on securities available-for-sale, net of income tax benefit of $(3,431) | (6,371 | ) | ||||||||||||||||||
Cash dividends on common stock at $0.94 per share | (14,475 | ) | ||||||||||||||||||
Cash payment for fractional shares in dividend reinvestment plan | (1 | ) | ||||||||||||||||||
Accretion of discount on preferred stock | 214 | (214 | ) | |||||||||||||||||
Preferred stock dividends | (1,250 | ) | ||||||||||||||||||
Balance at March 31, 2011 | $ | 97,504 | $ | 305,676 | $ | 412,599 | $ | (77,733 | ) | $ | (8,106 | ) | ||||||||
Balance at December 31, 2011 | $ | 98,146 | $ | 305,499 | $ | 424,557 | $ | (77,007 | ) | $ | (8,831 | ) | ||||||||
Net Income | 31,475 | |||||||||||||||||||
Other comprehensive loss, net of tax: | ||||||||||||||||||||
Change in funded status of pension plan, net of income taxes of $222 | 412 | |||||||||||||||||||
Unrealized net holding gain on cash flow hedge, net of income taxes of $60 | 113 | |||||||||||||||||||
Unrealized net holding (loss) on securities available-for-sale, net of income tax benefit of $(1,188) | (2,202 | ) | ||||||||||||||||||
Cash dividends on common stock at $0.94 per share | (14,481 | ) | ||||||||||||||||||
Cash payment for fractional shares in dividend reinvestment plan | (1 | ) | ||||||||||||||||||
Accretion of discount on preferred stock | 226 | (227 | ) | |||||||||||||||||
Preferred stock dividends | (1,250 | ) | ||||||||||||||||||
Balance at March 31, 2012 | $ | 98,372 | $ | 305,498 | $ | 440,074 | $ | (77,007 | ) | $ | (10,508 | ) |
Six Months ended June 30, 2012 and 2011 | Preferred Stock | Common Stock | Retained Earnings | Treasury Stock at Cost | Accumulated Other Comprehensive Income (loss) | |||||||||||||||
Balance at December 31, 2010 | $ | 97,290 | $ | 305,677 | $ | 406,342 | $ | (77,733 | ) | $ | (1,868 | ) | ||||||||
Net Income | 51,149 | |||||||||||||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Unrealized net holding gain on cash flow hedge, net of income taxes of $104 | 193 | |||||||||||||||||||
Unrealized net holding (loss) on securities available-for-sale, net of income taxes of $(4,578) | (8,500 | ) | ||||||||||||||||||
Cash dividends on common stock at $1.88 per share | (28,951 | ) | ||||||||||||||||||
Cash payment for fractional shares in dividend reinvestment plan | (1 | ) | ||||||||||||||||||
Common stock warrants canceled | (67 | ) | 67 | |||||||||||||||||
Accretion of discount on preferred stock | 428 | (428 | ) | |||||||||||||||||
Preferred stock dividends | (2,500 | ) | ||||||||||||||||||
Balance at June 30, 2011 | $ | 97,718 | $ | 305,609 | $ | 425,679 | $ | (77,733 | ) | $ | (10,175 | ) | ||||||||
Balance at December 31, 2011 | $ | 98,146 | $ | 305,499 | $ | 424,557 | $ | (77,007 | ) | $ | (8,831 | ) | ||||||||
Net Income | 50,361 | |||||||||||||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Change in funded status of pension plan, net of income taxes of $222 | 412 | |||||||||||||||||||
Unrealized net holding gain on cash flow hedge, net of income taxes of $139 | 259 | |||||||||||||||||||
Unrealized net holding gain on securities available-for-sale, net of income tax benefit of $326 | 604 | |||||||||||||||||||
Cash dividends on common stock at $1.88 per share | (28,962 | ) | ||||||||||||||||||
Cash payment for fractional shares in dividend reinvestment plan | (1 | ) | ||||||||||||||||||
Common stock warrant repurchased | (2,843 | ) | ||||||||||||||||||
Preferred stock repurchased | (100,000 | ) | ||||||||||||||||||
Accretion of discount on preferred stock | 1,854 | (1,854 | ) | |||||||||||||||||
Preferred stock dividends | (1,571 | ) | ||||||||||||||||||
Balance at June 30, 2012 | $ | — | $ | 302,655 | $ | 442,531 | $ | (77,007 | ) | $ | (7,556 | ) |
Three Months Ended | ||||||||
March 31, | ||||||||
2012 | 2011 | |||||||
Operating activities: | ||||||||
Net income | $ | 31,475 | $ | 22,196 | ||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
Depreciation, accretion and amortization | 1,470 | 2,784 | ||||||
Provision for loan losses | 9,000 | 14,100 | ||||||
Amortization of core deposit intangibles | 1,754 | 669 | ||||||
Realized net investment security gains | - | (6,635 | ) | |||||
OREO devaluations | 1,359 | 2,535 | ||||||
Bank owned life insurance income | (1,202 | ) | (1,229 | ) | ||||
Changes in assets and liabilities: | ||||||||
(Increase) in other assets | (19,773 | ) | (19,547 | ) | ||||
Increase (Decrease) in other liabilities | 2,854 | (6,539 | ) | |||||
Net cash provided by operating activities | $ | 26,937 | $ | 8,334 | ||||
Investing activities: | ||||||||
Proceeds from sales of available-for-sale securities | $ | - | $ | 113,105 | ||||
Proceeds from maturity of: | ||||||||
Available-for-sale securities | 229,878 | 75,071 | ||||||
Held-to-maturity securities | 157,101 | 59,506 | ||||||
Purchases of: | ||||||||
Available-for-sale securities | (419,998 | ) | (231,714 | ) | ||||
Held-to-maturity securities | (119,127 | ) | - | |||||
Net (increase) in loans | (23,339 | ) | (25,403 | ) | ||||
Sale of assets/liabilities related to Vision Bank | (153,724 | ) | - | |||||
Purchases of bank owned life insurance | (2,213 | ) | (3,000 | ) | ||||
Purchases of premises and equipment, net | (125 | ) | (1,990 | ) | ||||
Net cash (used in) investing activities | $ | (331,547 | ) | $ | (14,425 | ) | ||
Financing activities: | ||||||||
Net increase in deposits | $ | 352,274 | $ | 219,258 | ||||
Net (decrease) in short-term borrowings | (26,907 | ) | (346,950 | ) | ||||
Proceeds from issuance of long-term debt | - | 150,000 | ||||||
Repayment of long-term debt | (1,381 | ) | (24 | ) | ||||
Cash payment for fractional shares in dividend reinvestment plan | (1 | ) | (1 | ) | ||||
Cash dividends paid on common and preferred stock | (15,731 | ) | (15,725 | ) | ||||
Net cash provided by financing activities | $ | 308,254 | $ | 6,558 | ||||
Increase in cash and cash equivalents | 3,644 | 467 | ||||||
Cash and cash equivalents at beginning of year | 157,486 | 133,780 | ||||||
Cash and cash equivalents at end of period | $ | 161,130 | $ | 134,247 | ||||
Supplemental disclosures of cash flow information: | ||||||||
Cash paid for: | ||||||||
Interest | $ | 12,992 | $ | 15,217 | ||||
Income taxes | $ | - | $ | - | ||||
Non cash activities: | ||||||||
Securities acquired through payable | $ | - | $ | 25,000 |
Six Months Ended June 30, | |||||||
2012 | 2011 | ||||||
Operating activities: | |||||||
Net income | $ | 50,361 | $ | 51,149 | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
Depreciation, accretion and amortization | 3,827 | 5,600 | |||||
Provision for loan losses | 13,576 | 26,616 | |||||
Loan put provision | 3,363 | — | |||||
Other-than-temporary impairment on investment securities | 54 | — | |||||
Amortization of core deposit intangibles | 1,894 | 1,338 | |||||
Realized net investment security gains | — | (21,997 | ) | ||||
OREO devaluations | 4,007 | 5,890 | |||||
Bank owned life insurance income | (2,386 | ) | (2,457 | ) | |||
Changes in assets and liabilities: | |||||||
(Increase) in other assets | (11,040 | ) | (35,745 | ) | |||
(Decrease) in other liabilities | (566 | ) | (1,666 | ) | |||
Net cash provided by operating activities | $ | 63,090 | $ | 28,728 | |||
Investing activities: | |||||||
Proceeds from sales of available-for-sale securities | $ | — | $ | 319,504 | |||
Proceeds from sales of Federal Home Loan Bank stock | 1,319 | 541 | |||||
Proceeds from maturity of: | |||||||
Available-for-sale securities | 464,653 | 199,940 | |||||
Held-to-maturity securities | 303,595 | 87,434 | |||||
Purchases of: | |||||||
Available-for-sale securities | (509,998 | ) | (330,839 | ) | |||
Held-to-maturity securities | (238,593 | ) | (75,951 | ) | |||
Net (increase) in loans | (90,628 | ) | (24,523 | ) | |||
Sale of assets/liabilities related to Vision Bank | (153,724 | ) | — | ||||
Purchases of bank owned life insurance | (2,500 | ) | (3,000 | ) | |||
Purchases of premises and equipment, net | (1,979 | ) | (4,055 | ) | |||
Net cash (used in) provided by investing activities | $ | (227,855 | ) | $ | 169,051 | ||
Financing activities: | |||||||
Net increase in deposits | $ | 357,861 | $ | 162,097 | |||
Net (decrease) in short-term borrowings | (22,992 | ) | (429,557 | ) | |||
Proceeds from issuance of long-term debt | 30,000 | 200,000 | |||||
Repayment of long-term debt | (15,500 | ) | (15,531 | ) |
Cash payment for fractional shares in dividend reinvestment plan | (1 | ) | (1 | ) | |||
Cash payment for repurchase of common stock warrant from U.S. Treasury | (2,843 | ) | — | ||||
Repurchase of preferred stock from U.S. Treasury | (100,000 | ) | — | ||||
Cash dividends paid on common stock and preferred stock | (31,184 | ) | (31,451 | ) | |||
Net cash provided by (used in) financing activities | $ | 215,341 | $ | (114,443 | ) | ||
Increase in cash and cash equivalents | 50,576 | 83,336 | |||||
Cash and cash equivalents at beginning of year | 157,486 | 133,780 | |||||
Cash and cash equivalents at end of period | $ | 208,062 | $ | 217,116 | |||
Supplemental disclosures of cash flow information: | |||||||
Cash paid for: | |||||||
Interest | $ | 26,172 | $ | 30,640 | |||
Income taxes | $ | 1,000 | $ | 13,700 | |||
Non cash activities: | |||||||
Securities acquired through payable | $ | — | $ | 113,223 |
(in thousands) | February 16, 2012 | |||
Assets sold | ||||
Cash and due from banks | $ | 20,711 | ||
Loans | 355,750 | |||
Allowance for loan losses | (13,100 | ) | ||
Net loans | 342,650 | |||
Fixed assets | 12,496 | |||
Other assets | 4,612 | |||
Total assets sold | $ | 380,469 | ||
Liabilities sold | ||||
Deposits | $ | 522,856 | ||
Other liabilities | 2,049 | |||
Total liabilities sold | $ | 524,905 |
(in thousands) | February 16, 2012 | |||
Assets sold | ||||
Cash and due from banks | $ | 20,711 | ||
Loans | 355,750 | |||
Allowance for loan losses | (13,100 | ) | ||
Net loans | 342,650 | |||
Fixed assets | 12,496 | |||
Other assets | 4,612 | |||
Total assets sold | $ | 380,469 | ||
Liabilities sold | ||||
Deposits | $ | 522,856 | ||
Other liabilities | 2,049 | |||
Total liabilities sold | $ | 524,905 |
(in thousands) | |||
Premium paid | $ | 27,913 | |
One-time gains | 298 | ||
Loss on sale of fixed assets | (2,434 | ) | |
Employment and severance agreements | (1,610 | ) | |
Other one-time charges, including estimates | (2,000 | ) | |
Pre-tax gain | $ | 22,167 |
(in thousands) | March 31, 2012 | |||
Assets | ||||
Cash | $ | 16,049 | ||
Performing loans | 16,123 | |||
Nonperforming loans | 82,326 | |||
OREO | 28,578 | |||
Other assets | 18,417 | |||
Total assets | $ | 161,493 | ||
Liabilities and equity | ||||
Intercompany borrowings | $ | 140,000 | ||
Other liabilities | 4,623 | |||
Equity | 16,870 | |||
Total liabilities and equity | $ | 161,493 |
(in thousands) | March 31, 2012 | June 30, 2012 | ||||||
Assets | ||||||||
Cash | $ | 16,049 | $ | 15,493 | ||||
Performing loans | 16,123 | 8,509 | ||||||
Nonperforming loans | 82,326 | 74,100 | ||||||
OREO | 28,578 | 24,985 | ||||||
Other assets | 18,417 | 16,964 | ||||||
Total assets | $ | 161,493 | $ | 140,051 | ||||
Liabilities and equity | ||||||||
Intercompany borrowings | $ | 140,000 | $ | 120,000 | ||||
Other liabilities | 4,623 | 8,822 | ||||||
Equity | 16,870 | 11,229 | ||||||
Total liabilities and equity | $ | 161,493 | $ | 140,051 |
(in thousands) | Goodwill | Core Deposit Intangibles | Total | |||||||||
December 31, 2011 | $ | 72,334 | $ | 2,509 | $ | 74,843 | ||||||
Amortization | - | 1,754 | 1,754 | |||||||||
March 31, 2012 | $ | 72,334 | $ | 755 | $ | 73,089 |
(in thousands) | Goodwill | Core Deposit Intangibles | Total | |||||||||
December 31, 2011 | $ | 72,334 | $ | 2,509 | $ | 74,843 | ||||||
Amortization | — | 1,894 | 1,894 | |||||||||
June 30, 2012 | $ | 72,334 | $ | 615 | $ | 72,949 |
(in thousands) | Annual Amortization | |||
Remainder of 2012 | $ | 418 | ||
2013 | 337 | |||
2014 | - | |||
Total | $ | 755 |
(in thousands) | Annual Amortization | |||
Remainder of 2012 | $ | 278 | ||
2013 | 337 | |||
2014 | — | |||
Total | $ | 615 |
March 31, 2012 | December 31, 2011 | |||||||||||||||||||||||
Loan balance | Accrued interest receivable | Recorded investment | Loan balance | Accrued interest receivable | Recorded investment | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Commercial, financial and agricultural * | $ | 752,392 | $ | 3,439 | $ | 755,831 | $ | 743,797 | $ | 3,121 | $ | 746,918 | ||||||||||||
Commercial real estate * | 1,088,348 | 3,795 | 1,092,143 | 1,108,574 | 4,235 | 1,112,809 | ||||||||||||||||||
Construction real estate: | ||||||||||||||||||||||||
Vision/SE LLC commercial land and development * | 26,081 | 39 | 26,120 | 31,603 | 31 | 31,634 | ||||||||||||||||||
Remaining commercial | 148,922 | 425 | 149,347 | 156,053 | 394 | 156,447 | ||||||||||||||||||
Mortgage | 19,628 | 65 | 19,693 | 20,039 | 64 | 20,103 | ||||||||||||||||||
Installment | 9,184 | 44 | 9,228 | 9,851 | 61 | 9,912 | ||||||||||||||||||
Residential real estate | ||||||||||||||||||||||||
Commercial | 392,552 | 1,120 | 393,672 | 395,824 | 1,105 | 396,929 | ||||||||||||||||||
Mortgage | 1,004,957 | 1,540 | 1,006,497 | 953,758 | 1,522 | 955,280 | ||||||||||||||||||
HELOC | 221,780 | 884 | 222,664 | 227,682 | 942 | 228,624 | ||||||||||||||||||
Installment | 48,410 | 217 | 48,627 | 51,354 | 236 | 51,590 | ||||||||||||||||||
Consumer | 610,180 | 2,580 | 612,760 | 616,505 | 2,930 | 619,435 | ||||||||||||||||||
Leases | 1,949 | 52 | 2,001 | 2,059 | 43 | 2,102 | ||||||||||||||||||
Total loans | $ | 4,324,383 | $ | 14,200 | $ | 4,338,583 | $ | 4,317,099 | $ | 14,684 | $ | 4,331,783 |
June 30, 2012 | December 31, 2011 | |||||||||||||||||||||||
Loan balance | Accrued interest receivable | Recorded investment | Loan balance | Accrued interest receivable | Recorded investment | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Commercial, financial and agricultural * | $ | 771,702 | $ | 3,478 | $ | 775,180 | $ | 743,797 | $ | 3,121 | $ | 746,918 | ||||||||||||
Commercial real estate * | 1,093,748 | 3,840 | 1,097,588 | 1,108,574 | 4,235 | 1,112,809 | ||||||||||||||||||
Construction real estate: | ||||||||||||||||||||||||
Vision/SEPH commercial land and development * | 21,004 | 1 | 21,005 | 31,603 | 31 | 31,634 | ||||||||||||||||||
Remaining commercial | 143,782 | 398 | 144,180 | 156,053 | 394 | 156,447 | ||||||||||||||||||
Mortgage | 22,954 | 73 | 23,027 | 20,039 | 64 | 20,103 | ||||||||||||||||||
Installment | 8,977 | 46 | 9,023 | 9,851 | 61 | 9,912 | ||||||||||||||||||
Residential real estate: | ||||||||||||||||||||||||
Commercial | 392,547 | 758 | 393,305 | 395,824 | 1,105 | 396,929 | ||||||||||||||||||
Mortgage | 1,039,189 | 1,660 | 1,040,849 | 953,758 | 1,522 | 955,280 | ||||||||||||||||||
HELOC | 219,084 | 887 | 219,971 | 227,682 | 942 | 228,624 | ||||||||||||||||||
Installment | 47,036 | 218 | 47,254 | 51,354 | 236 | 51,590 | ||||||||||||||||||
Consumer | 623,288 | 2,704 | 625,992 | 616,505 | 2,930 | 619,435 | ||||||||||||||||||
Leases | 3,540 | 29 | 3,569 | 2,059 | 43 | 2,102 | ||||||||||||||||||
Total loans | $ | 4,386,851 | $ | 14,092 | $ | 4,400,943 | $ | 4,317,099 | $ | 14,684 | $ | 4,331,783 |
March 31, 2012 | ||||||||||||||||
(In thousands) | Nonaccrual loans | Accruing restructured loans | Loans past due 90 days or more and accruing | Total nonperforming loans | ||||||||||||
Commercial, financial and agricultural | $ | 36,164 | $ | 4,100 | $ | 12 | $ | 40,276 | ||||||||
Commercial real estate | 36,754 | 6,551 | - | �� | 43,305 | |||||||||||
Construction real estate: | ||||||||||||||||
SE LLC commercial land and development | 20,518 | - | - | 20,518 | ||||||||||||
Remaining commercial | 14,724 | 17,949 | - | 32,673 | ||||||||||||
Mortgage | 66 | - | - | 66 | ||||||||||||
Installment | 182 | - | 16 | 198 | ||||||||||||
Residential real estate: | ||||||||||||||||
Commercial | 43,211 | 541 | - | 43,752 | ||||||||||||
Mortgage | 26,374 | 5,421 | 1,523 | 33,318 | ||||||||||||
HELOC | 2,043 | - | - | 2,043 | ||||||||||||
Installment | 1,147 | 22 | 221 | 1,390 | ||||||||||||
Consumer | 2,044 | - | 567 | 2,611 | ||||||||||||
Leases | - | - | - | - | ||||||||||||
Total loans | $ | 183,227 | $ | 34,584 | $ | 2,339 | $ | 220,150 |
December 31, 2011 | ||||||||||||||||
(In thousands) | Nonaccrual loans | Accruing restructured loans | Loans past due 90 days or more and accruing | Total nonperforming loans | ||||||||||||
Commercial, financial and agricultural | $ | 37,797 | $ | 2,848 | $ | - | $ | 40,645 | ||||||||
Commercial real estate | 43,704 | 8,274 | - | 51,978 | ||||||||||||
Construction real estate: | ||||||||||||||||
Vision commercial land and development | 25,761 | - | - | 25,761 | ||||||||||||
Remaining commercial | 14,021 | 11,891 | - | 25,912 | ||||||||||||
Mortgage | 66 | - | - | 66 | ||||||||||||
Installment | 30 | - | - | 30 | ||||||||||||
Residential real estate: | ||||||||||||||||
Commercial | 43,461 | 815 | - | 44,276 | ||||||||||||
Mortgage | 25,201 | 4,757 | 2,610 | 32,568 | ||||||||||||
HELOC | 1,412 | - | - | 1,412 | ||||||||||||
Installment | 1,777 | 98 | 58 | 1,933 | ||||||||||||
Consumer | 1,876 | - | 893 | 2,769 | ||||||||||||
Leases | - | - | - | - | ||||||||||||
Total loans | $ | 195,106 | $ | 28,683 | $ | 3,561 | $ | 227,350 |
2011
:June 30, 2012 | ||||||||||||||||
(In thousands) | Nonaccrual loans | Accruing restructured loans | Loans past due 90 days or more and accruing | Total nonperforming loans | ||||||||||||
Commercial, financial and agricultural | $ | 37,356 | $ | 4,235 | $ | 2 | $ | 41,593 | ||||||||
Commercial real estate | 39,074 | 4,895 | — | 43,969 | ||||||||||||
Construction real estate: | ||||||||||||||||
SEPH commercial land and development | 18,286 | — | — | 18,286 | ||||||||||||
Remaining commercial | 16,953 | 12,609 | — | 29,562 | ||||||||||||
Mortgage | — | 61 | 86 | 147 | ||||||||||||
Installment | 133 | — | 8 | 141 | ||||||||||||
Residential real estate: | ||||||||||||||||
Commercial | 37,257 | 20 | — | 37,277 | ||||||||||||
Mortgage | 26,145 | 5,506 | 1,045 | 32,696 | ||||||||||||
HELOC | 1,972 | — | — | 1,972 | ||||||||||||
Installment | 1,273 | 22 | 159 | 1,454 | ||||||||||||
Consumer | 1,932 | — | 615 | 2,547 | ||||||||||||
Leases | — | — | — | — | ||||||||||||
Total loans | $ | 180,381 | $ | 27,348 | $ | 1,915 | $ | 209,644 |
December 31, 2011 | ||||||||||||||||
(In thousands) | Nonaccrual loans | Accruing restructured loans | Loans past due 90 days or more and accruing | Total nonperforming loans | ||||||||||||
Commercial, financial and agricultural | $ | 37,797 | $ | 2,848 | $ | — | $ | 40,645 | ||||||||
Commercial real estate | 43,704 | 8,274 | — | 51,978 | ||||||||||||
Construction real estate: | ||||||||||||||||
Vision commercial land and development | 25,761 | — | — | 25,761 | ||||||||||||
Remaining commercial | 14,021 | 11,891 | — | 25,912 | ||||||||||||
Mortgage | 66 | — | — | 66 | ||||||||||||
Installment | 30 | — | — | 30 | ||||||||||||
Residential real estate: | ||||||||||||||||
Commercial | 43,461 | 815 | — | 44,276 | ||||||||||||
Mortgage | 25,201 | 4,757 | 2,610 | 32,568 | ||||||||||||
HELOC | 1,412 | — | — | 1,412 | ||||||||||||
Installment | 1,777 | 98 | 58 | 1,933 | ||||||||||||
Consumer | 1,876 | — | 893 | 2,769 | ||||||||||||
Leases | — | — | — | — | ||||||||||||
Total loans | $ | 195,106 | $ | 28,683 | $ | 3,561 | $ | 227,350 |
March 31, 2012 | December 31, 2011 | |||||||||||||||||||||||
(In thousands) | Nonaccrual and accruing restructured loans | Loans individually evaluated for impairment | Loans collectively evaluated for impairment | Nonaccrual and accruing restructured loans | Loans individually evaluated for impairment | Loans collectively evaluated for impairment | ||||||||||||||||||
Commercial, financial and agricultural | $ | 40,264 | $ | 40,241 | $ | 23 | $ | 40,645 | $ | 40,621 | $ | 24 | ||||||||||||
Commercial real estate | 43,305 | 43,305 | - | 51,978 | 51,978 | - | ||||||||||||||||||
Construction real estate: | ||||||||||||||||||||||||
Vision/SE LLC commercial land and development | 20,518 | 19,433 | 1,085 | 25,761 | 24,328 | 1,433 | ||||||||||||||||||
Remaining commercial | 32,673 | 32,673 | - | 25,912 | 25,912 | - | ||||||||||||||||||
Mortgage | 66 | - | 66 | 66 | - | 66 | ||||||||||||||||||
Installment | 182 | - | 182 | 30 | - | 30 | ||||||||||||||||||
Residential real estate: | ||||||||||||||||||||||||
Commercial | 43,752 | 43,752 | - | 44,276 | 44,276 | - | ||||||||||||||||||
Mortgage | 31,795 | - | 31,795 | 29,958 | - | 29,958 | ||||||||||||||||||
HELOC | 2,043 | - | 2,043 | 1,412 | - | 1,412 | ||||||||||||||||||
Installment | 1,169 | - | 1,169 | 1,875 | - | 1,875 | ||||||||||||||||||
Consumer | 2,044 | 20 | 2,024 | 1,876 | 20 | 1,856 | ||||||||||||||||||
Leases | - | - | - | - | - | - | ||||||||||||||||||
Total loans | $ | 217,811 | $ | 179,424 | $ | 38,387 | $ | 223,789 | $ | 187,135 | $ | 36,654 |
2011
.June 30, 2012 | December 31, 2011 | ||||||||||||||||||||||||
(In thousands) | Nonaccrual and accruing restructured loans | Loans individually evaluated for impairment | Loans collectively evaluated for impairment | Nonaccrual and accruing restructured loans | Loans individually evaluated for impairment | Loans collectively evaluated for impairment | |||||||||||||||||||
Commercial, financial and agricultural | $ | 41,591 | $ | 41,591 | $ | — | $ | 40,645 | $ | 40,621 | $ | 24 | |||||||||||||
Commercial real estate | 43,969 | 43,969 | — | 51,978 | 51,978 | — | |||||||||||||||||||
Construction real estate: | |||||||||||||||||||||||||
Vision/SEPH commercial land and development | 18,286 | 17,272 | 1,014 | 25,761 | 24,328 | 1,433 | |||||||||||||||||||
Remaining commercial | 29,562 | 29,562 | — | 25,912 | 25,912 | — | |||||||||||||||||||
Mortgage | 61 | — | 61 | 66 | — | 66 | |||||||||||||||||||
Installment | 133 | — | 133 | 30 | — | 30 | |||||||||||||||||||
Residential real estate: | |||||||||||||||||||||||||
Commercial | 37,277 | 37,277 | — | 44,276 | 44,276 | — | |||||||||||||||||||
Mortgage | 31,651 | — | 31,651 | 29,958 | — | 29,958 | |||||||||||||||||||
HELOC | 1,972 | — | 1,972 | 1,412 | — | 1,412 | |||||||||||||||||||
Installment | 1,295 | — | 1,295 | 1,875 | — | 1,875 | |||||||||||||||||||
Consumer | 1,932 | 19 | 1,913 | 1,876 | 20 | 1,856 | |||||||||||||||||||
Leases | — | — | — | — | — | — | |||||||||||||||||||
Total loans | $ | 207,729 | $ | 169,690 | $ | 38,039 | $ | 223,789 | $ | 187,135 | $ | 36,654 |
March 31, 2012 | December 31, 2011 | |||||||||||||||||||||||
Unpaid principal balance | Recorded investment | Allowance for loan losses allocated | Unpaid principal balance | Recorded investment | Allowance for loan losses allocated | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
With no related allowance recorded | ||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 33,769 | $ | 26,956 | $ | - | $ | 23,164 | $ | 18,098 | $ | - | ||||||||||||
Commercial real estate | 55,974 | 35,236 | - | 58,242 | 41,506 | - | ||||||||||||||||||
Construction real estate: | ||||||||||||||||||||||||
Vision /SE LLC commercial land and development | 68,297 | 19,433 | - | 54,032 | 17,786 | - | ||||||||||||||||||
Remaining commercial | 28,851 | 24,604 | - | 33,319 | 18,372 | - | ||||||||||||||||||
Residential real estate: | ||||||||||||||||||||||||
Commercial | 52,550 | 39,483 | - | 49,341 | 38,686 | - | ||||||||||||||||||
Consumer | 20 | 20 | - | 20 | 20 | - | ||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||
Commercial, financial and agricultural | 14,597 | 13,285 | 4,704 | 23,719 | 22,523 | 5,819 | ||||||||||||||||||
Commercial real estate | 9,831 | 8,069 | 1,506 | 12,183 | 10,472 | 4,431 | ||||||||||||||||||
Construction real estate: | ||||||||||||||||||||||||
Vision/SE LLC commercial land and development | - | - | - | 20,775 | 6,542 | 1,540 | ||||||||||||||||||
Remaining commercial | 20,927 | 8,069 | 2,096 | 9,711 | 7,540 | 1,874 | ||||||||||||||||||
Residential real estate: | ||||||||||||||||||||||||
Commercial | 5,642 | 4,269 | 1,199 | 6,402 | 5,590 | 2,271 | ||||||||||||||||||
Consumer | - | - | - | - | - | - | ||||||||||||||||||
Total | $ | 290,458 | $ | 179,424 | $ | 9,505 | $ | 290,908 | $ | 187,135 | $ | 15,935 |
2011
.June 30, 2012 | December 31, 2011 | ||||||||||||||||||||||||
Unpaid principal balance | Recorded investment | Allowance for loan losses allocated | Unpaid principal balance | Recorded investment | Allowance for loan losses allocated | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
With no related allowance recorded | |||||||||||||||||||||||||
Commercial, financial and agricultural | $ | 36,340 | $ | 27,776 | $ | — | $ | 23,164 | $ | 18,098 | $ | — | |||||||||||||
Commercial real estate | 57,055 | 36,255 | — | 58,242 | 41,506 | — | |||||||||||||||||||
Construction real estate: | |||||||||||||||||||||||||
Vision/SEPH commercial land and development | 63,422 | 17,272 | — | 54,032 | 17,786 | — | |||||||||||||||||||
Remaining commercial | 32,923 | 18,926 | — | 33,319 | 18,372 | — | |||||||||||||||||||
Residential real estate: | |||||||||||||||||||||||||
Commercial | 43,612 | 33,357 | — | 49,341 | 38,686 | — | |||||||||||||||||||
Consumer | 19 | 19 | — | 20 | 20 | — | |||||||||||||||||||
With an allowance recorded | |||||||||||||||||||||||||
Commercial, financial and agricultural | 17,685 | 13,815 | 4,793 | 23,719 | 22,523 | 5,819 | |||||||||||||||||||
Commercial real estate | 9,414 | 7,714 | 1,354 | 12,183 | 10,472 | 4,431 | |||||||||||||||||||
Construction real estate: | |||||||||||||||||||||||||
Vision/SEPH commercial land and development | — | — | — | 20,775 | 6,542 | 1,540 | |||||||||||||||||||
Remaining commercial | 11,212 | 10,636 | 3,926 | 9,711 | 7,540 | 1,874 | |||||||||||||||||||
Residential real estate: | |||||||||||||||||||||||||
Commercial | 5,072 | 3,920 | 873 | 6,402 | 5,590 | 2,271 | |||||||||||||||||||
Consumer | — | — | — | — | — | — | |||||||||||||||||||
Total | $ | 276,754 | $ | 169,690 | $ | 10,946 | $ | 290,908 | $ | 187,135 | $ | 15,935 |
Three months ended March 31, 2012 | Three months ended March 31, 2011 | |||||||||||||||||||||||
(in thousands) | Recorded investment as of March 31, 2012 | Average recorded investment | Interest income recognized | Recorded investment as of March 31, 2011 | Average recorded investment | Interest income recognized | ||||||||||||||||||
Commercial, financial and agricultural | $ | 40,241 | $ | 40,135 | $ | 105 | $ | 19,391 | $ | 19,515 | $ | 65 | ||||||||||||
Commercial real estate | 43,305 | 48,214 | 207 | 53,259 | 55,076 | 70 | ||||||||||||||||||
Construction real estate: | ||||||||||||||||||||||||
Vision/SE LLC commercial land and development | 19,433 | 21,974 | - | 82,060 | 84,272 | - | ||||||||||||||||||
Remaining commercial | 32,673 | 27,314 | 251 | 26,126 | 26,789 | 78 | ||||||||||||||||||
Residential real estate: | ||||||||||||||||||||||||
Commercial | 43,752 | 43,276 | 40 | 58,123 | 59,465 | 139 | ||||||||||||||||||
Consumer | 20 | 20 | - | - | 22 | - | ||||||||||||||||||
Total | $ | 179,424 | $ | 180,933 | $ | 603 | $ | 238,959 | $ | 245,139 | $ | 352 |
Three Months Ended June 30, 2012 | Three Months Ended June 30, 2011 | |||||||||||||||||||||||
(in thousands) | Recorded investment as of June 30, 2012 | Average recorded investment | Interest income recognized | Recorded investment as of June 30, 2011 | Average recorded investment | Interest income recognized | ||||||||||||||||||
Commercial, financial and agricultural | $ | 41,591 | $ | 42,056 | $ | 205 | $ | 24,008 | $ | 20,688 | $ | 41 | ||||||||||||
Commercial real estate | 43,969 | 42,689 | 287 | 47,243 | 51,359 | 54 | ||||||||||||||||||
Construction real estate: | ||||||||||||||||||||||||
Vision/SEPH commercial land and development | 17,272 | 18,412 | — | 46,847 | 71,682 | — | ||||||||||||||||||
Remaining commercial | 29,562 | 31,428 | 199 | 33,685 | 27,998 | 136 | ||||||||||||||||||
Residential real estate: | ||||||||||||||||||||||||
Commercial | 37,277 | 40,359 | 125 | 48,594 | 55,096 | 14 | ||||||||||||||||||
Consumer | 19 | 19 | 1 | 23 | 5 | 1 | ||||||||||||||||||
Total | $ | 169,690 | $ | 174,963 | $ | 817 | $ | 200,400 | $ | 226,828 | $ | 246 |
Six Months Ended June 30, 2012 | Six Months Ended June 30, 2011 | |||||||||||||||||||||||
(in thousands) | Recorded investment as of June 30, 2012 | Average recorded investment | Interest income recognized | Recorded investment as of June 30, 2011 | Average recorded investment | Interest income recognized | ||||||||||||||||||
Commercial, financial and agricultural | $ | 41,591 | $ | 41,218 | $ | 310 | $ | 24,008 | $ | 20,203 | $ | 106 | ||||||||||||
Commercial real estate | 43,969 | 45,758 | 494 | 47,243 | 53,619 | 124 | ||||||||||||||||||
Construction real estate: | ||||||||||||||||||||||||
Vision/SEPH commercial land and development | 17,272 | 20,302 | — | 46,847 | 77,711 | — | ||||||||||||||||||
Remaining commercial | 29,562 | 28,899 | 450 | 33,685 | 27,616 | 214 | ||||||||||||||||||
Residential real estate: | ||||||||||||||||||||||||
Commercial | 37,277 | 41,541 | 165 | 48,594 | 57,269 | 153 | ||||||||||||||||||
Consumer | 19 | 20 | 1 | 23 | 12 | 1 | ||||||||||||||||||
Total | $ | 169,690 | $ | 177,738 | $ | 1,420 | $ | 200,400 | $ | 236,430 | $ | 598 |
March 31, 2012 | ||||||||||||||||||||
(in thousands) | Accruing loans past due 30-89 days | Past due nonaccrual loans and loans past due 90 days or more and accruing* | Total past due | Total current | Total recorded investment | |||||||||||||||
Commercial, financial and agricultural | $ | 3,935 | $ | 28,225 | $ | 32,160 | $ | 723,671 | $ | 755,831 | ||||||||||
Commercial real estate | 1,062 | 23,067 | 24,129 | 1,068,014 | 1,092,143 | |||||||||||||||
Construction real estate: | ||||||||||||||||||||
SE LLC commercial land and development | 337 | 16,587 | 16,924 | 9,196 | 26,120 | |||||||||||||||
Remaining commercial | - | 7,702 | 7,702 | 141,645 | 149,347 | |||||||||||||||
Mortgage | 173 | - | 173 | 19,520 | 19,693 | |||||||||||||||
Installment | 61 | 75 | 136 | 9,092 | 9,228 | |||||||||||||||
Residential real estate: | ||||||||||||||||||||
Commercial | 502 | 13,261 | 13,763 | 379,909 | 393,672 | |||||||||||||||
Mortgage | 13,174 | 18,840 | 32,014 | 974,483 | 1,006,497 | |||||||||||||||
HELOC | 331 | 297 | 628 | 222,036 | 222,664 | |||||||||||||||
Installment | 611 | 510 | 1,121 | 47,506 | 48,627 | |||||||||||||||
Consumer | 7,302 | 1,807 | 9,109 | 603,651 | 612,760 | |||||||||||||||
Leases | - | - | - | 2,001 | 2,001 | |||||||||||||||
Total loans | $ | 27,488 | $ | 110,371 | $ | 137,859 | $ | 4,200,724 | $ | 4,338,583 |
loan.
June 30, 2012 | |||||||||||||||||||
(in thousands) | Accruing loans past due 30-89 days | Past due nonaccrual loans and loans past due 90 days or more and accruing* | Total past due | Total current | Total recorded investment | ||||||||||||||
Commercial, financial and agricultural | $ | 1,936 | $ | 27,719 | $ | 29,655 | $ | 745,525 | $ | 775,180 | |||||||||
Commercial real estate | 3,144 | 16,456 | 19,600 | 1,077,988 | 1,097,588 | ||||||||||||||
Construction real estate: | |||||||||||||||||||
SEPH commercial land and development | — | 14,820 | 14,820 | 6,185 | 21,005 | ||||||||||||||
Remaining commercial | 147 | 4,991 | 5,138 | 139,042 | 144,180 | ||||||||||||||
Mortgage | 61 | 86 | 147 | 22,880 | 23,027 | ||||||||||||||
Installment | 172 | 24 | 196 | 8,827 | 9,023 | ||||||||||||||
Residential real estate: | |||||||||||||||||||
Commercial | 1,326 | 8,228 | 9,554 | 383,751 | 393,305 | ||||||||||||||
Mortgage | 14,575 | 16,805 | 31,380 | 1,009,469 | 1,040,849 | ||||||||||||||
HELOC | 635 | 351 | 986 | 218,985 | 219,971 | ||||||||||||||
Installment | 756 | 578 | 1,334 | 45,920 | 47,254 | ||||||||||||||
Consumer | 8,986 | 1,854 | 10,840 | 615,152 | 625,992 | ||||||||||||||
Leases | — | 10 | 10 | 3,559 | 3,569 | ||||||||||||||
Total loans | $ | 31,738 | $ | 91,922 | $ | 123,660 | $ | 4,277,283 | $ | 4,400,943 |
December 31, 2011 | ||||||||||||||||||||
(in thousands) | Accruing loans past due 30-89 days | Past due nonaccrual loans and loans past due 90 days or more and accruing* | Total past due | Total current | Total recorded investment | |||||||||||||||
Commercial, financial and agricultural | $ | 3,106 | $ | 11,308 | $ | 14,414 | $ | 732,504 | $ | 746,918 | ||||||||||
Commercial real estate | 2,632 | 21,798 | 24,430 | 1,088,379 | 1,112,809 | |||||||||||||||
Construction real estate: | ||||||||||||||||||||
Vision commercial land and development | - | 19,235 | 19,235 | 12,399 | 31,634 | |||||||||||||||
Remaining commercial | 99 | 7,839 | 7,938 | 148,509 | 156,447 | |||||||||||||||
Mortgage | 76 | - | 76 | 20,027 | 20,103 | |||||||||||||||
Installment | 421 | 8 | 429 | 9,483 | 9,912 | |||||||||||||||
Residential real estate: | ||||||||||||||||||||
Commercial | 1,545 | 10,097 | 11,642 | 385,287 | 396,929 | |||||||||||||||
Mortgage | 15,879 | 20,614 | 36,493 | 918,787 | 955,280 | |||||||||||||||
HELOC | 1,015 | 436 | 1,451 | 227,173 | 228,624 | |||||||||||||||
Installment | 1,549 | 1,136 | 2,685 | 48,905 | 51,590 | |||||||||||||||
Consumer | 11,195 | 2,192 | 13,387 | 606,048 | 619,435 | |||||||||||||||
Leases | - | - | - | 2,102 | 2,102 | |||||||||||||||
Total loans | $ | 37,517 | $ | 94,663 | $ | 132,180 | $ | 4,199,603 | $ | 4,331,783 |
The remaining are past due, nonaccrual loans.
December 31, 2011 | |||||||||||||||||||
(in thousands) | Accruing loans past due 30-89 days | Past due nonaccrual loans and loans past due 90 days or more and accruing* | Total past due | Total current | Total recorded investment | ||||||||||||||
Commercial, financial and agricultural | $ | 3,106 | $ | 11,308 | $ | 14,414 | $ | 732,504 | $ | 746,918 | |||||||||
Commercial real estate | 2,632 | 21,798 | 24,430 | 1,088,379 | 1,112,809 | ||||||||||||||
Construction real estate: | |||||||||||||||||||
Vision commercial land and development | — | 19,235 | 19,235 | 12,399 | 31,634 | ||||||||||||||
Remaining commercial | 99 | 7,839 | 7,938 | 148,509 | 156,447 | ||||||||||||||
Mortgage | 76 | — | 76 | 20,027 | 20,103 | ||||||||||||||
Installment | 421 | 8 | 429 | 9,483 | 9,912 | ||||||||||||||
Residential real estate: | |||||||||||||||||||
Commercial | 1,545 | 10,097 | 11,642 | 385,287 | 396,929 | ||||||||||||||
Mortgage | 15,879 | 20,614 | 36,493 | 918,787 | 955,280 | ||||||||||||||
HELOC | 1,015 | 436 | 1,451 | 227,173 | 228,624 | ||||||||||||||
Installment | 1,549 | 1,136 | 2,685 | 48,905 | 51,590 | ||||||||||||||
Consumer | 11,195 | 2,192 | 13,387 | 606,048 | 619,435 | ||||||||||||||
Leases | — | — | — | 2,102 | 2,102 | ||||||||||||||
Total loans | $ | 37,517 | $ | 94,663 | $ | 132,180 | $ | 4,199,603 | $ | 4,331,783 |
The remaining are past due, nonaccrual loans.
March 31, 2012 | ||||||||||||||||||||
(in thousands) | 5 Rated | 6 Rated | Impaired | Pass Rated | Recorded Investment | |||||||||||||||
Commercial, financial and agricultural | $ | 10,458 | $ | 5,217 | $ | 40,264 | $ | 699,892 | $ | 755,831 | ||||||||||
Commercial real estate | 30,257 | 10,798 | 43,305 | 1,007,783 | 1,092,143 | |||||||||||||||
Construction real estate: | ||||||||||||||||||||
SE LLC commercial land and development | 2,801 | - | 20,518 | 2,801 | 26,120 | |||||||||||||||
Remaining commercial | 6,748 | 232 | 32,673 | 109,694 | 149,347 | |||||||||||||||
Residential real estate: | ||||||||||||||||||||
Commercial | 16,793 | 1,469 | 43,752 | 331,658 | 393,672 | |||||||||||||||
Leases | - | - | - | 2,001 | 2,001 | |||||||||||||||
Total Commercial Loans | $ | 67,057 | $ | 17,716 | $ | 180,512 | $ | 2,153,829 | $ | 2,419,114 |
December 31, 2011 | ||||||||||||||||||||
(in thousands) | 5 Rated | 6 Rated | Impaired | Pass Rated | Recorded Investment | |||||||||||||||
Commercial, financial and agricultural | $ | 11,785 | $ | 7,628 | $ | 40,645 | $ | 686,860 | $ | 746,918 | ||||||||||
Commercial real estate | 37,445 | 10,460 | 51,978 | 1,012,926 | 1,112,809 | |||||||||||||||
Construction real estate: | ||||||||||||||||||||
Vision commercial land and development | 3,102 | - | 25,761 | 2,771 | 31,634 | |||||||||||||||
Remaining commercial | 6,982 | 8,311 | 25,912 | 115,242 | 156,447 | |||||||||||||||
Residential real estate: | ||||||||||||||||||||
Commercial | 17,120 | 3,785 | 44,276 | 331,748 | 396,929 | |||||||||||||||
Leases | - | - | - | 2,102 | 2,102 | |||||||||||||||
Total Commercial Loans | $ | 76,434 | $ | 30,184 | $ | 188,572 | $ | 2,151,649 | $ | 2,446,839 |
June 30, 2012 | |||||||||||||||||||
(in thousands) | 5 Rated | 6 Rated | Impaired | Pass Rated | Recorded Investment | ||||||||||||||
Commercial, financial and agricultural | $ | 7,485 | $ | 1,790 | $ | 41,591 | $ | 724,314 | $ | 775,180 | |||||||||
Commercial real estate | 34,413 | 6,551 | 43,969 | 1,012,655 | 1,097,588 | ||||||||||||||
Construction real estate: | |||||||||||||||||||
SEPH commercial land and development | 1,935 | — | 18,286 | 784 | 21,005 | ||||||||||||||
Remaining commercial | 8,462 | 232 | 29,562 | 105,924 | 144,180 | ||||||||||||||
Residential real estate: | |||||||||||||||||||
Commercial | 13,510 | 1,748 | 37,277 | 340,770 | 393,305 | ||||||||||||||
Leases | — | — | — | 3,569 | 3,569 | ||||||||||||||
Total Commercial Loans | $ | 65,805 | $ | 10,321 | $ | 170,685 | $ | 2,188,016 | $ | 2,434,827 |
December 31, 2011 | |||||||||||||||||||
(in thousands) | 5 Rated | 6 Rated | Impaired | Pass Rated | Recorded Investment | ||||||||||||||
Commercial, financial and agricultural | $ | 11,785 | $ | 7,628 | $ | 40,645 | $ | 686,860 | $ | 746,918 | |||||||||
Commercial real estate | 37,445 | 10,460 | 51,978 | 1,012,926 | 1,112,809 | ||||||||||||||
Construction real estate: | |||||||||||||||||||
Vision commercial land and development | 3,102 | — | 25,761 | 2,771 | 31,634 | ||||||||||||||
Remaining commercial | 6,982 | 8,311 | 25,912 | 115,242 | 156,447 | ||||||||||||||
Residential real estate: | |||||||||||||||||||
Commercial | 17,120 | 3,785 | 44,276 | 331,748 | 396,929 | ||||||||||||||
Leases | — | — | — | 2,102 | 2,102 | ||||||||||||||
Total Commercial Loans | $ | 76,434 | $ | 30,184 | $ | 188,572 | $ | 2,151,649 | $ | 2,446,839 |
difficulties but who were looking to reduce their cost of funds.
Three months ended March 31, 2012 | ||||||||||||||||
Number of Contracts | Accruing | Nonaccrual | Total Recorded Investment | |||||||||||||
(In thousands) | ||||||||||||||||
Commercial, financial and agricultural | 5 | $ | 1,289 | $ | 750 | $ | 2,039 | |||||||||
Commercial real estate | 16 | 2,212 | 2,967 | 5,179 | ||||||||||||
Construction real estate: | ||||||||||||||||
SE LLC commercial land and development | 4 | - | 894 | 894 | ||||||||||||
Remaining commercial | 9 | 8,641 | 1,565 | 10,206 | ||||||||||||
Mortgage | - | - | - | - | ||||||||||||
Installment | - | - | - | - | ||||||||||||
Residential real estate: | ||||||||||||||||
Commercial | 3 | - | 318 | 318 | ||||||||||||
Mortgage | 9 | 111 | 1,170 | 1,281 | ||||||||||||
HELOC | - | - | - | - | ||||||||||||
Installment | - | - | - | - | ||||||||||||
Consumer | 1 | - | 91 | 91 | ||||||||||||
Leases | - | - | - | |||||||||||||
Total loans | 47 | $ | 12,253 | $ | 7,755 | $ | 20,008 |
Three Months Ended June 30, 2012 | ||||||||||||||
Number of Contracts | Accruing | Nonaccrual | Total Recorded Investment | |||||||||||
(In thousands) | ||||||||||||||
Commercial, financial and agricultural | 11 | $ | 175 | $ | 2,692 | $ | 2,867 | |||||||
Commercial real estate | 4 | — | 1,739 | 1,739 | ||||||||||
Construction real estate: | ||||||||||||||
SEPH commercial land and development | — | — | — | — | ||||||||||
Remaining commercial | 1 | — | 258 | 258 | ||||||||||
Mortgage | — | — | — | — | ||||||||||
Installment | — | — | — | — | ||||||||||
Residential real estate: | ||||||||||||||
Commercial | 2 | — | 675 | 675 | ||||||||||
Mortgage | 6 | — | 1,338 | 1,338 | ||||||||||
HELOC | — | — | — | — | ||||||||||
Installment | 3 | — | 169 | 169 | ||||||||||
Consumer | — | — | — | — | ||||||||||
Leases | — | — | — | — | ||||||||||
Total loans | 27 | $ | 175 | $ | 6,871 | $ | 7,046 |
Six Months Ended June 30, 2012 | ||||||||||||||
Number of Contracts | Accruing | Nonaccrual | Total Recorded Investment | |||||||||||
(In thousands) | ||||||||||||||
Commercial, financial and agricultural | 16 | $ | 1,862 | $ | 3,428 | $ | 5,290 | |||||||
Commercial real estate | 20 | 1,836 | 4,677 | 6,513 | ||||||||||
Construction real estate: | ||||||||||||||
SEPH commercial land and development | 4 | — | 862 | 862 | ||||||||||
Remaining commercial | 10 | 3,776 | 6,575 | 10,351 | ||||||||||
Mortgage | — | — | — | — | ||||||||||
Installment | — | — | — | — | ||||||||||
Residential real estate: | ||||||||||||||
Commercial | 5 | — | 814 | 814 | ||||||||||
Mortgage | 15 | 222 | 2,379 | 2,601 | ||||||||||
HELOC | — | — | — | — | ||||||||||
Installment | 3 | — | 170 | 170 | ||||||||||
Consumer | 1 | — | 91 | 91 | ||||||||||
Leases | — | — | — | — | ||||||||||
Total loans | 74 | $ | 7,696 | $ | 18,996 | $ | 26,692 |
Three months ended March 31, 2012 | ||||||||
Number of Contracts | Recorded Investment | |||||||
(In thousands) | ||||||||
Commercial, financial and agricultural | 15 | $ | 8,469 | |||||
Commercial real estate | 8 | 3,201 | ||||||
Construction real estate: | ||||||||
SE LLC commercial land and development | 3 | 659 | ||||||
Remaining commercial | 8 | 4,155 | ||||||
Mortgage | - | - | ||||||
Installment | - | - | ||||||
Residential real estate: | ||||||||
Commercial | 6 | 3,948 | ||||||
Mortgage | 5 | 684 | ||||||
HELOC | 1 | 48 | ||||||
Installment | - | - | ||||||
Consumer | - | - | ||||||
Leases | - | - | ||||||
Total loans | 46 | $ | 21,164 |
Three Months Ended June 30, 2012 | Six Months Ended June 30, 2012 | |||||||||||||
Number of Contracts | Recorded Investment | Number of Contracts | Recorded Investment | |||||||||||
(In thousands) | ||||||||||||||
Commercial, financial and agricultural | 6 | $ | 6,546 | 9 | $ | 6,786 | ||||||||
Commercial real estate | 7 | 1,820 | 7 | 1,820 | ||||||||||
Construction real estate: | ||||||||||||||
SEPH commercial land and development | 3 | 639 | 3 | 639 | ||||||||||
Remaining commercial | 4 | 3,267 | 7 | 4,699 | ||||||||||
Mortgage | — | — | — | — | ||||||||||
Installment | — | — | — | — | ||||||||||
Residential real estate: | ||||||||||||||
Commercial | 6 | 1,626 | 6 | 1,626 | ||||||||||
Mortgage | 9 | 830 | 11 | 1,165 | ||||||||||
HELOC | 1 | 46 | 1 | 46 | ||||||||||
Installment | 2 | 169 | 2 | 169 | ||||||||||
Consumer | — | — | — | — | ||||||||||
Leases | — | — | — | — | ||||||||||
Total loans | 38 | $ | 14,943 | 46 | $ | 16,950 |
Three months ended March 31, 2012 | ||||||||||||||||||||||||||||||||
Commercial, financial and agricultural | Commercial real estate | Construction real estate | Residential real estate | Consumer | Leases | Centennial loan put | Total | |||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||
Allowance for credit losses: | ||||||||||||||||||||||||||||||||
Beginning balance | $ | 16,950 | $ | 15,539 | $ | 14,433 | $ | 15,692 | $ | 5,830 | $ | - | $ | - | $ | 68,444 | ||||||||||||||||
Charge-offs | 4,538 | 4,934 | 4,320 | 3,922 | 1,253 | - | - | 18,967 | ||||||||||||||||||||||||
Recoveries | 468 | 92 | 67 | 609 | 707 | - | - | 1,943 | ||||||||||||||||||||||||
Net Charge-offs | 4,070 | 4,842 | 4,253 | 3,313 | 546 | - | - | 17,024 | ||||||||||||||||||||||||
Provision | 5,448 | 1,309 | (433 | ) | 1,489 | 525 | - | - | 8,338 | |||||||||||||||||||||||
Ending balance | $ | 18,328 | $ | 12,006 | $ | 9,747 | $ | 13,868 | $ | 5,809 | $ | - | - | $ | 59,758 | |||||||||||||||||
Provision for Centennial loan put | - | - | - | - | - | - | 662 | 662 | ||||||||||||||||||||||||
Allowance for Credit Losses | $ | 18,328 | $ | 12,006 | $ | 9,747 | $ | 13,868 | $ | 5,809 | $ | - | $ | 662 | $ | 60,420 |
Three months ended March 31, 2011 | ||||||||||||||||||||||||||||
Commercial, financial and agricultural | Commercial real estate | Construction real estate | Residential real estate | Consumer | Leases | Total | ||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Allowance for credit losses: | ||||||||||||||||||||||||||||
Beginning balance | $ | 11,555 | $ | 24,369 | $ | 70,462 | $ | 30,259 | $ | 6,925 | $ | 5 | $ | 143,575 | ||||||||||||||
Charge-offs | 1,841 | 1,785 | 3,420 | 2,487 | 1,973 | - | 11,506 | |||||||||||||||||||||
Recoveries | 569 | 802 | 96 | 501 | 390 | 3 | 2,361 | |||||||||||||||||||||
Net Charge-offs | 1,272 | 983 | 3,324 | 1,986 | 1,583 | (3 | ) | 9,145 | ||||||||||||||||||||
Provision | 1,508 | 1,834 | 4,697 | 4,142 | 1,923 | (4 | ) | 14,100 | ||||||||||||||||||||
Ending balance | $ | 11,791 | $ | 25,220 | $ | 71,835 | $ | 32,415 | $ | 7,265 | $ | 4 | $ | 148,530 |
The composition
Three Months Ended June 30, 2012 | |||||||||||||||||||||||||||
Commercial, financial and agricultural | Commercial real estate | Construction real estate | Residential real estate | Consumer | Leases | Total | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||
Allowance for loan losses: | |||||||||||||||||||||||||||
Beginning balance | $ | 18,328 | $ | 12,006 | $ | 9,747 | $ | 13,868 | $ | 5,809 | $ | — | $ | 59,758 | |||||||||||||
Charge-offs | 5,423 | 935 | 1,009 | 1,701 | 996 | — | 10,064 | ||||||||||||||||||||
Recoveries | 124 | 247 | 1,699 | 1,187 | 507 | — | 3,764 | ||||||||||||||||||||
Net Charge-offs | 5,299 | 688 | (690 | ) | 514 | 489 | — | 6,300 | |||||||||||||||||||
Provision | 2,191 | 638 | 1,256 | 452 | 701 | — | 5,238 | ||||||||||||||||||||
Ending balance | $ | 15,220 | $ | 11,956 | $ | 11,693 | $ | 13,806 | $ | 6,021 | $ | — | $ | 58,696 |
Six Months Ended June 30, 2012 | |||||||||||||||||||||||||||
Commercial, financial and agricultural | Commercial real estate | Construction real estate | Residential real estate | Consumer | Leases | Total | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||
Allowance for loan losses: | |||||||||||||||||||||||||||
Beginning balance | $ | 16,950 | $ | 15,539 | $ | 14,433 | $ | 15,692 | $ | 5,830 | $ | — | $ | 68,444 | |||||||||||||
Charge-offs | 9,961 | 5,869 | 5,329 | 5,623 | 2,249 | — | 29,031 | ||||||||||||||||||||
Recoveries | 592 | 339 | 1,766 | 1,796 | 1,214 | — | 5,707 | ||||||||||||||||||||
Net Charge-offs | 9,369 | 5,530 | 3,563 | 3,827 | 1,035 | — | 23,324 | ||||||||||||||||||||
Provision | 7,639 | 1,947 | 823 | 1,941 | 1,226 | — | 13,576 | ||||||||||||||||||||
Ending balance | $ | 15,220 | $ | 11,956 | $ | 11,693 | $ | 13,806 | $ | 6,021 | $ | — | $ | 58,696 |
Three Months Ended June 30, 2011 | |||||||||||||||||||||||||||
Commercial, financial and agricultural | Commercial real estate | Construction real estate | Residential real estate | Consumer | Leases | Total | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||
Allowance for loan losses: | |||||||||||||||||||||||||||
Beginning balance | $ | 11,791 | $ | 25,220 | $ | 71,835 | $ | 32,415 | $ | 7,265 | $ | 4 | $ | 148,530 | |||||||||||||
Charge-offs | 5,330 | 6,565 | 23,679 | 4,789 | 1,942 | — | 42,305 | ||||||||||||||||||||
Recoveries | 327 | 22 | 117 | 390 | 577 | — | 1,433 | ||||||||||||||||||||
Net Charge-offs | 5,003 | 6,543 | 23,562 | 4,399 | 1,365 | — | 40,872 | ||||||||||||||||||||
Provision | 9,921 | 4,630 | (8,160 | ) | 4,281 | 1,844 | — | 12,516 | |||||||||||||||||||
Ending balance | $ | 16,709 | $ | 23,307 | $ | 40,113 | $ | 32,297 | $ | 7,744 | $ | 4 | $ | 120,174 |
Six Months Ended June 30, 2011 | |||||||||||||||||||||||||||
Commercial, financial and agricultural | Commercial real estate | Construction real estate | Residential real estate | Consumer | Leases | Total | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||
Allowance for loan losses: | |||||||||||||||||||||||||||
Beginning balance | $ | 11,555 | $ | 24,369 | $ | 70,462 | $ | 30,259 | $ | 6,925 | $ | 5 | $ | 143,575 | |||||||||||||
Charge-offs | 7,171 | 8,350 | 27,099 | 7,276 | 3,915 | — | 53,811 | ||||||||||||||||||||
Recoveries | 896 | 824 | 213 | 891 | 967 | 3 | 3,794 | ||||||||||||||||||||
Net Charge-offs | 6,275 | 7,526 | 26,886 | 6,385 | 2,948 | (3 | ) | 50,017 | |||||||||||||||||||
Provision | 11,429 | 6,464 | (3,463 | ) | 8,423 | 3,767 | (4 | ) | 26,616 | ||||||||||||||||||
Ending balance | $ | 16,709 | $ | 23,307 | $ | 40,113 | $ | 32,297 | $ | 7,744 | $ | 4 | $ | 120,174 |
March 31, 2012 | ||||||||||||||||||||||||||||
Commercial, financial and agricultural | Commercial real estate | Construction real estate | Residential real estate | Consumer | Leases | Total | ||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||
Ending allowance balance attributed to loans: | ||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 4,704 | $ | 1,506 | $ | 2,096 | $ | 1,199 | $ | - | $ | - | $ | 9,505 | ||||||||||||||
Collectively evaluated for impairment | 13,624 | 10,500 | 7,651 | 12,669 | 5,809 | - | 50,253 | |||||||||||||||||||||
Total ending allowance balance | $ | 18,328 | $ | 12,006 | $ | 9,747 | $ | 13,868 | $ | 5,809 | $ | - | $ | 59,758 | ||||||||||||||
Loan balance: | ||||||||||||||||||||||||||||
Loans individually evaluated for impairment | $ | 40,210 | $ | 43,265 | $ | 52,046 | $ | 43,752 | $ | 20 | $ | - | $ | 179,293 | ||||||||||||||
Loans collectively evaluated for impairment | 712,182 | 1,045,083 | 151,769 | 1,623,947 | 610,160 | 1,949 | 4,145,090 | |||||||||||||||||||||
Total ending loan balance | $ | 752,392 | $ | 1,088,348 | $ | 203,815 | $ | 1,667,699 | $ | 610,180 | $ | 1,949 | $ | 4,324,383 | ||||||||||||||
Allowance for loan losses as a percentage of loan balance: | ||||||||||||||||||||||||||||
Loans individually evaluated for impairment | 11.70 | % | 3.48 | % | 4.03 | % | 2.74 | % | -% | -% | 5.30 | % | ||||||||||||||||
Loans collectively evaluated for impairment | 1.91 | % | 1.00 | % | 5.04 | % | 0.78 | % | 0.95 | % | -% | 1.21 | % | |||||||||||||||
Total ending loan balance | 2.44 | % | 1.10 | % | 4.78 | % | 0.83 | % | 0.95 | % | -% | 1.38 | % | |||||||||||||||
Recorded investment: | ||||||||||||||||||||||||||||
Loans individually evaluated for impairment | $ | 40,241 | $ | 43,305 | $ | 52,106 | $ | 43,752 | $ | 20 | $ | - | $ | 179,424 | ||||||||||||||
Loans collectively evaluated for impairment | 715,590 | 1,048,838 | 152,282 | 1,627,708 | 612,740 | 2,001 | 4,159,159 | |||||||||||||||||||||
Total ending loan balance | $ | 755,831 | $ | 1,092,143 | $ | 204,388 | $ | 1,671,460 | $ | 612,760 | $ | 2,001 | $ | 4,338,583 |
December 31, 2011 | ||||||||||||||||||||||||||||
(In thousands) | Commercial, financial and agricultural | Commercial real estate | Construction real estate | Residential real estate | Consumer | Leases | Total | |||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||
Ending allowance balance attributed to loans: | ||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 5,819 | $ | 4,431 | $ | 3,414 | $ | 2,271 | $ | - | $ | - | $ | 15,935 | ||||||||||||||
Collectively evaluated for impairment | 11,131 | 11,108 | 11,019 | 13,421 | 5,830 | - | 52,509 | |||||||||||||||||||||
Total ending allowance balance | $ | 16,950 | $ | 15,539 | $ | 14,433 | $ | 15,692 | $ | 5,830 | $ | - | $ | 68,444 | ||||||||||||||
Loan balance: | ||||||||||||||||||||||||||||
Loans individually evaluated for impairment | $ | 40,621 | $ | 51,978 | $ | 50,240 | $ | 44,276 | $ | 20 | $ | - | $ | 187,135 | ||||||||||||||
Loans collectively evaluated for impairment | 703,176 | 1,056,596 | 167,306 | 1,584,342 | 616,485 | 2,059 | 4,129,964 | |||||||||||||||||||||
Total ending loan balance | $ | 743,797 | $ | 1,108,574 | $ | 217,546 | $ | 1,628,618 | $ | 616,505 | $ | 2,059 | $ | 4,317,099 | ||||||||||||||
Allowance for loan losses as a percentage of loan balance: | ||||||||||||||||||||||||||||
Loans individually evaluated for impairment | 14.33 | % | 8.52 | % | 6.80 | % | 5.13 | % | -% | -% | 8.52 | % | ||||||||||||||||
Loans collectively evaluated for impairment | 1.58 | % | 1.05 | % | 6.59 | % | 0.85 | % | 0.95 | % | -% | 1.27 | % | |||||||||||||||
Total ending loan balance | 2.28 | % | 1.40 | % | 6.63 | % | 0.96 | % | 0.95 | % | -% | 1.59 | % | |||||||||||||||
Recorded investment: | ||||||||||||||||||||||||||||
Loans individually evaluated for impairment | $ | 40,621 | $ | 51,978 | $ | 50,240 | $ | 44,276 | $ | 20 | $ | - | $ | 187,135 | ||||||||||||||
Loans collectively evaluated for impairment | 706,297 | 1,060,831 | 167,856 | 1,588,147 | 619,415 | 2,102 | 4,144,648 | |||||||||||||||||||||
Total ending loan balance | $ | 746,918 | $ | 1,112,809 | $ | 218,096 | $ | 1,632,423 | $ | 619,435 | $ | 2,102 | $ | 4,331,783 |
primarily due to the the following:
▪ | The sale of the Vision business on February 16, 2012. As of June 30, 2011, the allowance for loan losses at Vision was $47.2 million. With the sale of the Vision business, all specific reserves established for impaired loans were charged off. Additionally, all general reserves related to performing loans retained by Vision were charged off. |
▪ | Improvements in the credit quality of the Park Ohio commercial loan portfolio. |
June 30, 2012 | |||||||||||||||||||||||||||
Commercial, financial and agricultural | Commercial real estate | Construction real estate | Residential real estate | Consumer | Leases | Total | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||
Allowance for loan losses: | |||||||||||||||||||||||||||
Ending allowance balance attributed to loans: | |||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 4,793 | $ | 1,354 | $ | 3,926 | $ | 873 | $ | — | $ | — | $ | 10,946 | |||||||||||||
Collectively evaluated for impairment | 10,427 | 10,602 | 7,767 | 12,933 | 6,021 | — | 47,750 | ||||||||||||||||||||
Total ending allowance balance | $ | 15,220 | $ | 11,956 | $ | 11,693 | $ | 13,806 | $ | 6,021 | $ | — | $ | 58,696 | |||||||||||||
Loan balance: | |||||||||||||||||||||||||||
Loans individually evaluated for impairment | $ | 41,496 | $ | 44,020 | $ | 46,791 | $ | 37,277 | $ | 19 | $ | — | $ | 169,603 | |||||||||||||
Loans collectively evaluated for impairment | 730,206 | 1,049,728 | 149,926 | 1,660,579 | 623,269 | 3,540 | 4,217,248 | ||||||||||||||||||||
Total ending loan balance | $ | 771,702 | $ | 1,093,748 | $ | 196,717 | $ | 1,697,856 | $ | 623,288 | $ | 3,540 | $ | 4,386,851 | |||||||||||||
Allowance for loan losses as a percentage of loan balance: | |||||||||||||||||||||||||||
Loans individually evaluated for impairment | 11.55 | % | 3.08 | % | 8.39 | % | 2.34 | % | — | % | — | % | 6.45 | % | |||||||||||||
Loans collectively evaluated for impairment | 1.43 | % | 1.01 | % | 5.18 | % | 0.78 | % | 0.97 | % | — | % | 1.13 | % | |||||||||||||
Total ending loan balance | 1.97 | % | 1.09 | % | 5.94 | % | 0.81 | % | 0.97 | % | — | % | 1.34 | % | |||||||||||||
Recorded investment: | |||||||||||||||||||||||||||
Loans individually evaluated for impairment | $ | 41,591 | $ | 43,969 | $ | 46,834 | $ | 37,277 | $ | 19 | $ | — | $ | 169,690 | |||||||||||||
Loans collectively evaluated for impairment | 733,589 | 1,053,619 | 150,401 | 1,664,102 | 625,973 | 3,569 | 4,231,253 | ||||||||||||||||||||
Total ending loan balance | $ | 775,180 | $ | 1,097,588 | $ | 197,235 | $ | 1,701,379 | $ | 625,992 | $ | 3,569 | $ | 4,400,943 |
December 31, 2011 | ||||||||||||||||||||||||||||
(In thousands) | Commercial, financial and agricultural | Commercial real estate | Construction real estate | Residential real estate | Consumer | Leases | Total | |||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||||||
Ending allowance balance attributed to loans: | ||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 5,819 | $ | 4,431 | $ | 3,414 | $ | 2,271 | $ | — | $ | — | $ | 15,935 | ||||||||||||||
Collectively evaluated for impairment | 11,131 | 11,108 | 11,019 | 13,421 | 5,830 | — | 52,509 | |||||||||||||||||||||
Total ending allowance balance | $ | 16,950 | $ | 15,539 | $ | 14,433 | $ | 15,692 | $ | 5,830 | $ | — | $ | 68,444 | ||||||||||||||
Loan balance: | ||||||||||||||||||||||||||||
Loans individually evaluated for impairment | $ | 40,621 | $ | 51,978 | $ | 50,240 | $ | 44,276 | $ | 20 | $ | — | $ | 187,135 | ||||||||||||||
Loans collectively evaluated for impairment | 703,176 | 1,056,596 | 167,306 | 1,584,342 | 616,485 | 2,059 | 4,129,964 | |||||||||||||||||||||
Total ending loan balance | $ | 743,797 | $ | 1,108,574 | $ | 217,546 | $ | 1,628,618 | $ | 616,505 | $ | 2,059 | $ | 4,317,099 | ||||||||||||||
Allowance for loan losses as a percentage of loan balance: | ||||||||||||||||||||||||||||
Loans individually evaluated for impairment | 14.33 | % | 8.52 | % | 6.80 | % | 5.13 | % | — | % | — | % | 8.52 | % | ||||||||||||||
Loans collectively evaluated for impairment | 1.58 | % | 1.05 | % | 6.59 | % | 0.85 | % | 0.95 | % | — | % | 1.27 | % | ||||||||||||||
Total ending loan balance | 2.28 | % | 1.40 | % | 6.63 | % | 0.96 | % | 0.95 | % | — | % | 1.59 | % | ||||||||||||||
Recorded investment: | ||||||||||||||||||||||||||||
Loans individually evaluated for impairment | $ | 40,621 | $ | 51,978 | $ | 50,240 | $ | 44,276 | $ | 20 | $ | — | $ | 187,135 | ||||||||||||||
Loans collectively evaluated for impairment | 706,297 | 1,060,831 | 167,856 | 1,588,147 | 619,415 | 2,102 | 4,144,648 | |||||||||||||||||||||
Total ending loan balance | $ | 746,918 | $ | 1,112,809 | $ | 218,096 | $ | 1,632,423 | $ | 619,435 | $ | 2,102 | $ | 4,331,783 |
(in thousands, except share and per share data) | Three months ended March 31, | |||||||
2012 | 2011 | |||||||
Numerator: | ||||||||
Income available to common shareholders | $ | 29,998 | $ | 20,732 | ||||
Denominator: | ||||||||
Denominator for basic earnings per share (weighted average common shares outstanding) | 15,405,910 | 15,398,930 | ||||||
Effect of dilutive options and warrants | 11,835 | 4,490 | ||||||
Denominator for diluted earnings per share (weighted average common shares outstanding adjusted for the effect of dilutive options and warrants) | 15,417,745 | 15,403,420 | ||||||
Earnings per common share: | ||||||||
Basic earnings per common share | $ | 1.95 | $ | 1.35 | ||||
Diluted earnings per common share | $ | 1.95 | $ | 1.35 |
(in thousands, except share and per share data) | Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||||||
Numerator: | ||||||||||||||||
Income available to common shareholders | $ | 16,938 | $ | 27,489 | $ | 46,936 | $ | 48,221 | ||||||||
Denominator: | ||||||||||||||||
Denominator for basic earnings per share (weighted average common shares outstanding) | 15,405,902 | 15,398,919 | 15,405,906 | 15,398,925 | ||||||||||||
Effect of dilutive options and warrants | — | 674 | 3,784 | 2,581 | ||||||||||||
Denominator for diluted earnings per share (weighted average common shares outstanding adjusted for the effect of dilutive options and warrants) | 15,405,902 | 15,399,593 | 15,409,690 | 15,401,506 | ||||||||||||
Earnings per common share: | ||||||||||||||||
Basic earnings per common share | $ | 1.10 | $ | 1.79 | $ | 3.05 | $ | 3.13 | ||||||||
Diluted earnings per common share | $ | 1.10 | $ | 1.79 | $ | 3.05 | $ | 3.13 |
Operating Results for the three months ended March 31, 2012 | ||||||||||||||||||||||||
(in thousands) | PNB | VB | GFSC | SE LLC | All Other | Total | ||||||||||||||||||
Net interest income | $ | 55,846 | $ | - | $ | 2,211 | $ | 2,610 | $ | 1,061 | $ | 61,728 | ||||||||||||
Provision for loan losses | 4,672 | - | 250 | 4,078 | - | 9,000 | ||||||||||||||||||
Other income and security gains | 16,661 | - | - | 22,891 | 68 | 39,620 | ||||||||||||||||||
Other expense | 38,056 | - | 721 | 7,503 | 1,528 | 47,808 | ||||||||||||||||||
Net income | 21,561 | - | 806 | 9,059 | 49 | 31,475 | ||||||||||||||||||
Assets (as of March 31, 2012) | $ | 6,587,773 | $ | - | $ | 47,380 | $ | 161,493 | $ | (19,795 | ) | $ | 6,776,851 |
Operating Results for the three months ended March 31, 2011 | ||||||||||||||||||||||||
(in thousands) | PNB | VB | GFSC | SE LLC | All Other | Total | ||||||||||||||||||
Net interest income | $ | 60,236 | $ | 6,755 | $ | 2,025 | $ | - | $ | 297 | $ | 69,313 | ||||||||||||
Provision for loan losses | 4,975 | 8,600 | 525 | - | - | 14,100 | ||||||||||||||||||
Other income (loss) and security gains | 22,897 | (1,318 | ) | - | - | 86 | 21,665 | |||||||||||||||||
Other expense | 36,321 | 7,425 | 577 | - | 2,023 | 46,346 | ||||||||||||||||||
Net income (loss) | 29,030 | (6,846 | ) | 600 | - | (588 | ) | 22,196 | ||||||||||||||||
Assets (as of March 31, 2011) | $ | 6,573,541 | $ | 786,856 | $ | 45,366 | $ | 20,000 | $ | (102,658 | ) | $ | 7,323,105 |
Operating Results for the three months ended June 30, 2012 | ||||||||||||||||||||||||
(in thousands) | PNB | VB | GFSC | SEPH | All Other | Total | ||||||||||||||||||
Net interest income (loss) | $ | 56,022 | $ | — | $ | 2,305 | $ | (1,125 | ) | $ | 1,478 | $ | 58,680 | |||||||||||
Provision for loan losses | 3,756 | — | 200 | 1,282 | — | 5,238 | ||||||||||||||||||
Other income (loss) and security gains | 17,700 | — | — | (275 | ) | 83 | 17,508 | |||||||||||||||||
Other expense | 37,260 | — | 706 | 5,999 | 1,839 | 45,804 | ||||||||||||||||||
Net income (loss) | 23,483 | — | 909 | (5,640 | ) | 134 | 18,886 | |||||||||||||||||
Assets (as of June 30, 2012) | $ | 6,535,709 | $ | — | $ | 48,763 | $ | 140,051 | $ | (18,949 | ) | $ | 6,705,574 |
Operating Results for the three months ended June 30, 2011 | ||||||||||||||||||||||||
(in thousands) | PNB | VB | GFSC | SEPH | All Other | Total | ||||||||||||||||||
Net interest income (loss) | $ | 60,542 | $ | 7,000 | $ | 2,195 | $ | (224 | ) | $ | 509 | $ | 70,022 | |||||||||||
Provision for loan losses | 4,975 | 7,016 | 525 | — | — | 12,516 | ||||||||||||||||||
Other income (loss) and security gains | 30,403 | 1,656 | — | (1,641 | ) | 82 | 30,500 | |||||||||||||||||
Other expense | 36,315 | 8,174 | 639 | 32 | 1,847 | 47,007 | ||||||||||||||||||
Net income (loss) | 34,250 | (4,219 | ) | 669 | (1,233 | ) | (514 | ) | 28,953 | |||||||||||||||
Assets (as of June 30, 2011) | $ | 6,565,419 | $ | 743,980 | $ | 45,912 | $ | 38,103 | $ | (71,390 | ) | $ | 7,322,024 |
Operating Results for the six months ended June 30, 2012 | ||||||||||||||||||||||||
(in thousands) | PNB | VB | GFSC | SEPH | All Other | Total | ||||||||||||||||||
Net interest income | $ | 111,868 | $ | — | $ | 4,516 | $ | 1,485 | $ | 2,539 | $ | 120,408 | ||||||||||||
Provision for loan losses | 8,428 | — | 450 | 4,698 | — | 13,576 | ||||||||||||||||||
Other income and security gains | 34,361 | — | — | 22,616 | 151 | 57,128 | ||||||||||||||||||
Other expense | 75,316 | — | 1,427 | 14,164 | 3,367 | 94,274 | ||||||||||||||||||
Net income | 45,044 | — | 1,715 | 3,419 | 183 | 50,361 |
Operating Results for the six months ended June 30, 2011 | ||||||||||||||||||||||||
(in thousands) | PNB | VB | GFSC | SEPH | All Other | Total | ||||||||||||||||||
Net interest income (loss) | $ | 120,779 | $ | 13,755 | $ | 4,220 | $ | (224 | ) | $ | 805 | $ | 139,335 | |||||||||||
Provision for loan losses | 9,950 | 15,616 | 1,050 | — | — | 26,616 | ||||||||||||||||||
Other income (loss) and security gains | 53,300 | 339 | — | (1,641 | ) | 167 | 52,165 | |||||||||||||||||
Other expense | 72,636 | 15,599 | 1,216 | 32 | 3,870 | 93,353 | ||||||||||||||||||
Net income (loss) | 63,279 | (11,065 | ) | 1,269 | (1,233 | ) | (1,101 | ) | 51,149 |
Stock Options | Weighted Average Exercise Price Per Share | |||||||
Outstanding at December 31, 2011 | 74,020 | $ | 74.96 | |||||
Granted | - | - | ||||||
Exercised | - | - | ||||||
Forfeited/Expired | 7,395 | 74.96 | ||||||
Outstanding at March 31 ,2012 | 66,625 | $ | 74.96 |
Stock Options | Weighted Average Exercise Price Per Share | |||||
Outstanding at December 31, 2011 | 74,020 | $ | 74.96 | |||
Granted | — | — | ||||
Exercised | — | — | ||||
Forfeited/Expired | 8,045 | 74.96 | ||||
Outstanding at June 30, 2012 | 65,975 | $ | 74.96 |
(in thousands) | ||||||||||||||||
Securities Available-for-Sale | Amortized Cost | Gross Unrealized Holding Gains | Gross Unrealized Holding Losses | Estimated Fair Value | ||||||||||||
Obligations of U.S. Treasury and other U.S. Government sponsored entities | $ | 599,125 | $ | 478 | $ | 2,128 | $ | 597,475 | ||||||||
Obligations of states and political subdivisions | 2,616 | 39 | - | 2,655 | ||||||||||||
U.S. Government sponsored entities asset-backed securities | 388,444 | 16,734 | - | 405,178 | ||||||||||||
Other equity securities | 1,188 | 1,014 | 29 | 2,173 | ||||||||||||
Total | $ | 991,373 | $ | 18,265 | $ | 2,157 | $ | 1,007,481 |
Securities Held-to-Maturity | Amortized Cost | Gross Unrecognized Holding Gains | Gross Unrecognized Holding Losses | Estimated Fair Value | ||||||||||||
Obligations of states and political subdivisions | $ | 1,427 | $ | 3 | $ | - | $ | 1,430 | ||||||||
U.S. Government sponsored entities asset-backed securities | 780,823 | 13,102 | 280 | 793,645 | ||||||||||||
Total | $ | 782,250 | $ | 13,105 | $ | 280 | $ | 795,075 |
Securities Available-for-Sale (in thousands) | Amortized Cost | Gross Unrealized Holding Gains | Gross Unrealized Holding Losses | Estimated Fair Value | ||||||||||||
Obligations of U.S. Treasury and other U.S. Government sponsored entities | $ | 490,000 | $ | 1,961 | $ | 192 | $ | 491,769 | ||||||||
Obligations of states and political subdivisions | 2,615 | 35 | — | 2,650 | ||||||||||||
U.S. Government sponsored entities asset-backed securities | 352,970 | 17,622 | — | 370,592 | ||||||||||||
Other equity securities | 1,134 | 1,002 | — | 2,136 | ||||||||||||
Total | $ | 846,719 | $ | 20,620 | $ | 192 | $ | 867,147 |
Securities Held-to-Maturity | Amortized Cost | Gross Unrecognized Holding Gains | Gross Unrecognized Holding Losses | Estimated Fair Value | ||||||||||||
Obligations of states and political subdivisions | $ | 1,127 | $ | 3 | $ | — | $ | 1,130 | ||||||||
U.S. Government sponsored entities asset-backed securities | 754,095 | 12,851 | — | 766,946 | ||||||||||||
Total | $ | 755,222 | $ | 12,854 | $ | — | $ | 768,076 |
(in thousands) | Less than 12 months | 12 months or longer | Total | |||||||||||||||||||||
Securities Available-for-Sale | Fair value | Unrealized losses | Fair value | Unrealized losses | Fair value | Unrealized losses | ||||||||||||||||||
Obligations of U.S. Treasury and other U.S. Government agencies | $ | 347,872 | $ | 2,128 | $ | - | $ | - | $ | 347,872 | $ | 2,128 | ||||||||||||
Other equity securities | - | - | 74 | 29 | 74 | 29 | ||||||||||||||||||
Total | $ | 347,872 | $ | 2,128 | $ | 74 | $ | 29 | $ | 347,946 | $ | 2,157 | ||||||||||||
Securities Held-to-Maturity | ||||||||||||||||||||||||
U.S. Government sponsored entities asset-backed securities | $ | 62,420 | $ | 280 | $ | - | $ | - | $ | 62,420 | $ | 280 |
(in thousands) | Less than 12 months | 12 months or longer | Total | |||||||||||||||||||||
Securities Available-for-Sale | Fair value | Unrealized losses | Fair value | Unrealized losses | Fair value | Unrealized losses | ||||||||||||||||||
Obligations of U.S. Treasury and other U.S. Government agencies | $ | 89,808 | $ | 192 | $ | — | $ | — | $ | 89,808 | $ | 192 | ||||||||||||
Total | $ | 89,808 | $ | 192 | $ | — | $ | — | $ | 89,808 | $ | 192 |
(in thousands) | ||||||||||||||||
Securities Available-for-Sale | Amortized cost | Gross unrealized holding gains | Gross unrealized holding losses | Estimated fair value | ||||||||||||
Obligations of U.S. Treasury and other U.S. Government sponsored entities | $ | 370,043 | $ | 1,614 | $ | - | $ | 371,657 | ||||||||
Obligations of states and political subdivisions | 2,616 | 44 | - | 2,660 | ||||||||||||
U.S. Government sponsored entities asset-backed securities | 427,300 | 16,995 | - | 444,295 | ||||||||||||
Other equity securities | 1,188 | 877 | 32 | 2,033 | ||||||||||||
Total | $ | 801,147 | $ | 19,530 | $ | 32 | $ | 820,645 |
Securities Held-to-Maturity | Amortized cost | Gross unrecognized holding gains | Gross unrecognized holding losses | Estimated fair value | ||||||||||||
Obligations of states and political subdivisions | $ | 1,992 | $ | 5 | $ | - | $ | 1,997 | ||||||||
U.S. Government sponsored entities asset-backed securities | 818,232 | 14,377 | 32 | 832,577 | ||||||||||||
Total | $ | 820,224 | $ | 14,382 | $ | 32 | $ | 834,574 |
Securities Available-for-Sale (in thousands) | Amortized cost | Gross unrealized holding gains | Gross unrealized holding losses | Estimated fair value | ||||||||||||
Obligations of U.S. Treasury and other U.S. Government sponsored entities | $ | 370,043 | $ | 1,614 | $ | — | $ | 371,657 | ||||||||
Obligations of states and political subdivisions | 2,616 | 44 | — | 2,660 | ||||||||||||
U.S. Government sponsored entities asset-backed securities | 427,300 | 16,995 | — | 444,295 | ||||||||||||
Other equity securities | 1,188 | 877 | 32 | 2,033 | ||||||||||||
Total | $ | 801,147 | $ | 19,530 | $ | 32 | $ | 820,645 |
Securities Held-to-Maturity | Amortized cost | Gross unrecognized holding gains | Gross unrecognized holding losses | Estimated fair value | ||||||||||||
Obligations of states and political subdivisions | $ | 1,992 | $ | 5 | $ | — | $ | 1,997 | ||||||||
U.S. Government sponsored entities asset-backed securities | 818,232 | 14,377 | 32 | 832,577 | ||||||||||||
Total | $ | 820,224 | $ | 14,382 | $ | 32 | $ | 834,574 |
(in thousands) | Less than 12 months | 12 months or longer | Total | |||||||||||||||||||||
Securities Available-for-Sale | Fair value | Unrealized losses | Fair value | Unrealized losses | Fair value | Unrealized losses | ||||||||||||||||||
Other equity securities | $ | - | $ | - | $ | 80 | $ | 32 | $ | 80 | $ | 32 | ||||||||||||
Securities Held-to-Maturity | ||||||||||||||||||||||||
U.S. Government sponsored entities asset-backed securities | $ | - | $ | - | $ | 38,775 | $ | 32 | $ | 38,775 | $ | 32 |
(in thousands) | Less than 12 months | 12 months or longer | Total | |||||||||||||||||||||
Securities Available-for-Sale | Fair value | Unrealized losses | Fair value | Unrealized losses | Fair value | Unrealized losses | ||||||||||||||||||
Other equity securities | $ | — | $ | — | $ | 80 | $ | 32 | $ | 80 | $ | 32 | ||||||||||||
Securities Held-to-Maturity | ||||||||||||||||||||||||
U.S. Government sponsored entities asset-backed securities | $ | — | $ | — | $ | 38,775 | $ | 32 | $ | 38,775 | $ | 32 |
(in thousands) | Amortized cost | Fair value | ||||||
Securities Available-for-Sale | ||||||||
U.S. Treasury and sponsored entities notes: | ||||||||
Due within one year | $ | 249,125 | $ | 249,604 | ||||
Due one through five years | 275,000 | 273,532 | ||||||
Due five through ten years | 75,000 | 74,339 | ||||||
Total | $ | 599,125 | $ | 597,475 | ||||
Obligations of states and political subdivisions: | ||||||||
Due within one year | $ | 2,121 | $ | 2,130 | ||||
Due one through five years | 495 | 525 | ||||||
$ | 2,616 | $ | 2,655 | |||||
U.S. Government sponsored entities asset-backed securities: | ||||||||
Total | $ | 388,444 | $ | 405,178 |
(in thousands) | Amortized cost | Fair value | ||||||
Securities Held-to-Maturity | ||||||||
Obligations of state and political subdivisions: | ||||||||
Due within one year | $ | 1,427 | $ | 1,430 | ||||
Total | $ | 1,427 | $ | 1,430 | ||||
U.S. Government sponsored entities asset-backed securities: | ||||||||
Total | $ | 780,823 | $ | 793,645 |
(in thousands) | Amortized cost | Fair value | ||||||
Securities Available-for-Sale | ||||||||
U.S. Treasury and sponsored entities notes: | ||||||||
Due within one year | $ | 400,000 | $ | 401,961 | ||||
Due one through five years | — | — | ||||||
Due five through ten years | 90,000 | 89,808 | ||||||
Total | $ | 490,000 | $ | 491,769 | ||||
Obligations of states and political subdivisions: | ||||||||
Due within one year | $ | 2,120 | $ | 2,131 | ||||
Due one through five years | 495 | 519 | ||||||
$ | 2,615 | $ | 2,650 | |||||
U.S. Government sponsored entities asset-backed securities: | ||||||||
Total | $ | 352,970 | $ | 370,592 |
(in thousands) | Amortized cost | Fair value | ||||||
Securities Held-to-Maturity | ||||||||
Obligations of state and political subdivisions: | ||||||||
Due within one year | $ | 1,037 | $ | 1,040 | ||||
Due one through five years | 90 | 90 | ||||||
Total | $ | 1,127 | $ | 1,130 | ||||
U.S. Government sponsored entities asset-backed securities: | ||||||||
Total | $ | 754,095 | $ | 766,946 |
March 31, | December 31, | |||||||
(in thousands) | 2012 | 2011 | ||||||
Federal Home Loan Bank stock | $ | 60,728 | $ | 60,728 | ||||
Federal Reserve Bank stock | 6,876 | 6,876 | ||||||
Total | $ | 67,604 | $ | 67,604 |
June 30, 2012 | December 31, 2011 | |||||||
(in thousands) | ||||||||
Federal Home Loan Bank stock | $ | 59,409 | $ | 60,728 | ||||
Federal Reserve Bank stock | 6,876 | 6,876 | ||||||
Total | $ | 66,285 | $ | 67,604 |
(in thousands) | Three months ended March 31, | |||||||
2012 | 2011 | |||||||
Service cost | $ | 1,068 | $ | 1,139 | ||||
Interest cost | 1,012 | 992 | ||||||
Expected return on plan assets | (2,186 | ) | (1,886 | ) | ||||
Amortization of prior service cost | 5 | 5 | ||||||
Recognized net actuarial loss | 427 | 353 | ||||||
Benefit expense | $ | 326 | $ | 603 |
(in thousands) | Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
Service cost | $ | 1,068 | $ | 1,139 | $ | 2,136 | $ | 2,278 | |||||||
Interest cost | 1,012 | 992 | 2,024 | 1,984 | |||||||||||
Expected return on plan assets | (2,186 | ) | (1,886 | ) | (4,372 | ) | (3,772 | ) | |||||||
Amortization of prior service cost | 5 | 5 | 10 | 10 | |||||||||||
Recognized net actuarial loss | 427 | 352 | 854 | 705 | |||||||||||
Benefit expense | $ | 326 | $ | 602 | $ | 652 | $ | 1,205 |
losses and consideration of the Visa settlement agreement announced on July 13, 2012 to resolve the Federal Multi-District Interchange Litigation.
(in thousands) | Three months ended March 31, 2012 | Three months ended March 31, 2011 | ||||||
Mortgage servicing rights: | ||||||||
Carrying amount, net, beginning of period | $ | 9,301 | $ | 10,488 | ||||
Additions | 562 | 330 | ||||||
Amortization | (888 | ) | (521 | ) | ||||
Changes in valuation inputs & assumptions | - | 68 | ||||||
Carrying amount, net, end of period | $ | 8,975 | $ | 10,365 | ||||
Valuation allowance: | ||||||||
Beginning of period | $ | 1,021 | $ | 748 | ||||
Changes due to fair value adjustments | - | (68 | ) | |||||
End of period | $ | 1,021 | $ | 680 |
Three months ended June 30, | Six months ended June 30, | |||||||||||||||
(in thousands) | 2012 | 2011 | 2012 | 2011 | ||||||||||||
Mortgage servicing rights: | ||||||||||||||||
Carrying amount, net, beginning of period | $ | 8,975 | $ | 10,365 | $ | 9,301 | $ | 10,488 | ||||||||
Additions | 697 | 309 | 1,259 | 638 | ||||||||||||
Amortization | (817 | ) | (415 | ) | (1,705 | ) | (935 | ) | ||||||||
Changes in valuation allowance | (46 | ) | — | (46 | ) | 68 | ||||||||||
Carrying amount, net, end of period | $ | 8,809 | $ | 10,259 | $ | 8,809 | $ | 10,259 | ||||||||
Valuation allowance: | ||||||||||||||||
Beginning of period | $ | 1,021 | $ | 680 | $ | 1,021 | $ | 748 | ||||||||
Changes in valuation allowance | 46 | — | 46 | (68 | ) | |||||||||||
End of period | $ | 1,067 | $ | 680 | $ | 1,067 | $ | 680 |
Fair Value Measurements at March 31, 2012 using: | ||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Balance at March 31, 2012 | ||||||||||||
Assets | ||||||||||||||||
Investment securities | ||||||||||||||||
Obligations of U.S. Treasury and other U.S. Government sponsored entities | $ | - | $ | 597,475 | $ | - | $ | 597,475 | ||||||||
Obligations of states and political subdivisions | - | 2,655 | - | 2,655 | ||||||||||||
U.S. Government sponsored entities’ asset-backed securities | - | 405,178 | - | 405,178 | ||||||||||||
Equity securities | 1,417 | - | 756 | 2,173 | ||||||||||||
Mortgage loans held for sale | - | 11,110 | - | 11,110 | ||||||||||||
Mortgage IRLCs | - | 169 | - | 169 | ||||||||||||
Liabilities | ||||||||||||||||
Interest rate swap | $ | - | $ | 673 | $ | - | $ | 673 | ||||||||
Fair value swap | - | - | 135 | 135 |
Fair Value Measurements at December 31, 2011 using: | ||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Balance at December 31, 2011 | ||||||||||||
Assets | ||||||||||||||||
Investment securities | ||||||||||||||||
Obligations of U.S. Treasury and other U.S. Government sponsored entities | $ | - | $ | 371,657 | $ | - | $ | 371,657 | ||||||||
Obligations of states and political subdivisions | - | 2,660 | - | 2,660 | ||||||||||||
U.S. Government sponsored entities’ asset-backed securities | - | 444,295 | - | 444,295 | ||||||||||||
Equity securities | 1,270 | - | 763 | 2,033 | ||||||||||||
Mortgage loans held for sale | - | 11,535 | - | 11,535 | ||||||||||||
Mortgage IRLCs | - | 251 | - | 251 | ||||||||||||
Liabilities | ||||||||||||||||
Interest rate swap | $ | - | $ | 846 | $ | - | $ | 846 | ||||||||
Fair value swap | - | - | 700 | 700 |
Fair Value Measurements at June 30, 2012 using: | ||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Balance at June 30, 2012 | ||||||||||||
Assets | ||||||||||||||||
Investment securities | ||||||||||||||||
Obligations of U.S. Treasury and other U.S. Government sponsored entities | $ | — | $ | 491,769 | $ | — | $ | 491,769 | ||||||||
Obligations of states and political subdivisions | — | 2,650 | — | 2,650 | ||||||||||||
U.S. Government sponsored entities’ asset-backed securities | — | 370,592 | — | 370,592 | ||||||||||||
Equity securities | 1,398 | — | 738 | 2,136 | ||||||||||||
Mortgage loans held for sale | — | 16,355 | — | 16,355 | ||||||||||||
Mortgage IRLCs | — | 365 | — | 365 | ||||||||||||
Liabilities | ||||||||||||||||
Interest rate swap | $ | — | $ | 448 | $ | — | $ | 448 | ||||||||
Fair value swap | — | — | 135 | 135 |
Fair Value Measurements at December 31, 2011 using: | ||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Balance at December 31, 2011 | ||||||||||||
Assets | ||||||||||||||||
Investment securities | ||||||||||||||||
Obligations of U.S. Treasury and other U.S. Government sponsored entities | $ | — | $ | 371,657 | $ | — | $ | 371,657 | ||||||||
Obligations of states and political subdivisions | — | 2,660 | — | 2,660 | ||||||||||||
U.S. Government sponsored entities’ asset-backed securities | — | 444,295 | — | 444,295 | ||||||||||||
Equity securities | 1,270 | — | 763 | 2,033 | ||||||||||||
Mortgage loans held for sale | — | 11,535 | — | 11,535 | ||||||||||||
Mortgage IRLCs | — | 251 | — | 251 | ||||||||||||
Liabilities | ||||||||||||||||
Interest rate swap | $ | — | $ | 846 | $ | — | $ | 846 | ||||||||
Fair value swap | — | — | 700 | 700 |
inputs as of the end of the reporting period.
(in thousands) | Obligations of states and political subdivisions | Equity Securities | Fair value swap | |||||||||
Balance, at January 1, 2012 | $ | - | $ | 763 | $ | (700 | ) | |||||
Total gains/(losses) | ||||||||||||
Included in earnings – realized | - | - | - | |||||||||
Included in earnings – unrealized | - | - | - | |||||||||
Included in other comprehensive income | - | (7 | ) | - | ||||||||
Purchases, sales, issuances and settlements, other | - | - | - | |||||||||
Periodic settlement of fair value swap | - | - | (565 | ) | ||||||||
Balance March 31, 2012 | $ | - | $ | 756 | $ | (135 | ) | |||||
Balance, at January 1, 2011 | $ | 2,598 | $ | 745 | $ | (60 | ) | |||||
Total gains/(losses) | ||||||||||||
Included in earnings – realized | - | - | - | |||||||||
Included in earnings – unrealized | - | - | - | |||||||||
Included in other comprehensive income | (128 | ) | (5 | ) | - | |||||||
Purchases, sales, issuances and settlements, other | - | - | - | |||||||||
Re-evaluation of fair value swap | - | - | - | |||||||||
Balance March 31, 2011 | $ | 2,470 | $ | 740 | $ | (60 | ) |
(in thousands) | Obligations of states and political subdivisions | Equity Securities | Fair value swap | |||||||||
Balance, at April 1, 2012 | $ | — | $ | 756 | $ | (135 | ) | |||||
Total gains/(losses) | ||||||||||||
Included in earnings – realized | — | — | — | |||||||||
Included in earnings – unrealized | — | — | — | |||||||||
Included in other comprehensive income | — | (18 | ) | — | ||||||||
Purchases, sales, issuances and settlements, other | — | — | — | |||||||||
Periodic settlement of fair value swap | — | — | — | |||||||||
Balance at June 30, 2012 | $ | — | $ | 738 | $ | (135 | ) | |||||
Balance, at April 1, 2011 | $ | 2,470 | $ | 740 | $ | (60 | ) | |||||
Total gains/(losses) | ||||||||||||
Included in earnings – realized | — | — | — | |||||||||
Included in earnings – unrealized | — | — | — | |||||||||
Included in other comprehensive income | — | 1 | — | |||||||||
Purchases, sales, issuances and settlements, other | (2,470 | ) | — | (140 | ) | |||||||
Re-evaluation of fair value swap | — | — | — | |||||||||
Balance at June 30, 2011 | $ | — | $ | 741 | $ | (200 | ) |
(in thousands) | Obligations of states and political subdivisions | Equity Securities | Fair value swap | |||||||||
Balance, at January 1, 2012 | $ | — | $ | 763 | $ | (700 | ) | |||||
Total gains/(losses) | ||||||||||||
Included in earnings – realized | — | — | — | |||||||||
Included in earnings – unrealized | — | — | — | |||||||||
Included in other comprehensive income | — | (25 | ) | — | ||||||||
Purchases, sales, issuances and settlements, other | — | — | — | |||||||||
Periodic settlement of fair value swap | — | — | (565 | ) | ||||||||
Balance at June 30, 2012 | $ | — | $ | 738 | $ | (135 | ) | |||||
Balance, at January 1, 2011 | $ | 2,598 | $ | 745 | $ | (60 | ) | |||||
Total gains/(losses) | ||||||||||||
Included in earnings – realized | — | — | — | |||||||||
Included in earnings – unrealized | (128 | ) | — | — | ||||||||
Included in other comprehensive income | — | (4 | ) | — | ||||||||
Purchases, sales, issuances and settlements, other | (2,470 | ) | — | (140 | ) | |||||||
Re-evaluation of fair value swap | — | — | — | |||||||||
Balance at June 30, 2011 | $ | — | $ | 741 | $ | (200 | ) |
Fair Value Measurements at March 31, 2012 using: | ||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Balance at March 31, 2012 | ||||||||||||
Impaired loans: | ||||||||||||||||
Commercial, financial and agricultural | $ | - | $ | - | $ | 18,476 | $ | 18,476 | ||||||||
Commercial real estate | - | - | 25,445 | 25,445 | ||||||||||||
Construction real estate: | ||||||||||||||||
SE LLC commercial land and development | - | - | 18,468 | 18,468 | ||||||||||||
Remaining commercial | - | - | 8,665 | 8,665 | ||||||||||||
Residential real estate | - | - | 12,270 | 12,270 | ||||||||||||
Total impaired loans | $ | - | $ | - | $ | 83,324 | $ | 83,324 | ||||||||
Mortgage servicing rights | - | 7,138 | 7,138 | |||||||||||||
Other real estate owned | - | - | 41,965 | 41,965 |
Fair Value Measurements at December 31, 2011 using: | ||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Balance at December 31, 2011 | ||||||||||||
Impaired loans: | ||||||||||||||||
Commercial, financial and agricultural | $ | - | $ | - | $ | 19,931 | $ | 19,931 | ||||||||
Commercial real estate | - | - | 24,859 | 24,859 | ||||||||||||
Construction real estate: | ||||||||||||||||
Vision commercial land and development | - | - | 21,228 | 21,228 | ||||||||||||
Remaining commercial | - | - | 8,860 | 8,860 | ||||||||||||
Residential real estate | - | - | 12,935 | 12,935 | ||||||||||||
Total impaired loans | $ | - | $ | - | $ | 87,813 | $ | 87,813 | ||||||||
Mortgage servicing rights | - | 5,815 | - | 5,815 | ||||||||||||
Other real estate owned | - | - | 42,272 | 42,272 |
Fair Value Measurements at June 30, 2012 using: | ||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Balance at June 30, 2012 | ||||||||||||
Impaired loans: | ||||||||||||||||
Commercial real estate | $ | — | $ | — | $ | 25,534 | $ | 25,534 | ||||||||
Construction real estate: | ||||||||||||||||
SEPH commercial land and development | — | — | 16,738 | 16,738 | ||||||||||||
Remaining commercial | — | — | 8,564 | 8,564 | ||||||||||||
Residential real estate | — | — | 10,430 | 10,430 | ||||||||||||
Total impaired loans | $ | — | $ | — | $ | 61,266 | $ | 61,266 | ||||||||
Mortgage servicing rights | — | 5,027 | — | 5,027 | ||||||||||||
Other real estate owned | — | — | 38,424 | 38,424 |
Fair Value Measurements at December 31, 2011 using: | ||||||||||||||||
(in thousands) | Level 1 | Level 2 | Level 3 | Balance at December 31, 2011 | ||||||||||||
Impaired loans: | ||||||||||||||||
Commercial real estate | $ | — | $ | — | $ | 24,859 | $ | 24,859 | ||||||||
Construction real estate: | ||||||||||||||||
Vision commercial land and development | — | — | 21,228 | 21,228 | ||||||||||||
Remaining commercial | — | — | 8,860 | 8,860 | ||||||||||||
Residential real estate | — | — | 12,935 | 12,935 | ||||||||||||
Total impaired loans | $ | — | $ | — | $ | 67,882 | $ | 67,882 | ||||||||
Mortgage servicing rights | — | 5,815 | — | 5,815 | ||||||||||||
Other real estate owned | — | — | 42,272 | 42,272 |
Expense related to impaired loans carried at fair value during the six month period ended June 30, 2012 was
$6.8 million.At March 31,
(in thousands) | Fair Value | Valuation Technique | Unobservable Input(s) | Range (Weighted Average) | |||||
Impaired loans: | |||||||||
Commercial real estate | 25,534 | Sales comparison approach | Adj to comparables | 0.0 % - 59.0% (25.8%) | |||||
Income approach | Capitalization rate | 9.0% - 12.5% (11.7%) | |||||||
Construction real estate: | |||||||||
SEPH commercial land and development | 16,738 | Sales comparison approach | Adj to comparables | 0.0 % - 68.6 % (30.8%) | |||||
Bulk sale approach | Discount rate | 25.0% - 35.0% (26.9%) | |||||||
Remaining commercial | 8,564 | Bulk sale approach | Discount rate | 28.0% - 45.0% (37.5%) | |||||
Residential real estate | 10,430 | Sales comparison approach | Adj to comparables | 0.0% - 43.0% (3.7%) | |||||
Other real estate owned | 38,424 | Sales comparison approach | Adj to comparables | 0.0% - 49.0% (14.9%) | |||||
Income approach | Capitalization rate | 10.0% - 14.3% (12.7%) |
(in thousands) | March 31, 2012 | |||||||||||||||||||
Fair Value Measurements | ||||||||||||||||||||
Financial assets: | Carrying value | Level 1 | Level 2 | Level 3 | Total fair value | |||||||||||||||
Cash and money market instruments | $ | 161,130 | $ | 161,130 | $ | - | $ | - | $ | 161,130 | ||||||||||
Investment securities | 1,789,731 | 1,417 | 1,800,383 | 756 | 1,802,556 | |||||||||||||||
Accrued interest receivable - securities | 7,027 | - | 7,027 | - | 7,027 | |||||||||||||||
Accrued interest receivable - loans | 14,200 | - | 1 | 14,199 | 14,200 | |||||||||||||||
Mortgage loans held for sale | 11,110 | - | 11,110 | - | 11,110 | |||||||||||||||
Impaired loans carried at fair value | 83,324 | - | - | 83,324 | 83,324 | |||||||||||||||
Other loans | 4,170,191 | - | - | 4,188,265 | 4,188,265 | |||||||||||||||
Loans receivable, net | $ | 4,264,625 | $ | - | $ | 11,110 | $ | 4,271,589 | $ | 4,282,699 | ||||||||||
Financial liabilities: | ||||||||||||||||||||
Noninterest bearing checking accounts | $ | 1,055,745 | $ | 1,055,745 | $ | - | $ | $ | 1,055,745 | |||||||||||
Interest bearing transactions accounts | 1,215,562 | 1,215,562 | - | - | 1,215,562 | |||||||||||||||
Savings accounts | 1,001,789 | 1,001,789 | - | 1,001,789 | ||||||||||||||||
Time deposits | 1,541,374 | - | 1,547,748 | - | 1,547,748 | |||||||||||||||
Other | 2,918 | 2,918 | - | - | 2,918 | |||||||||||||||
Total deposits | $ | 4,817,388 | $ | 3,276,014 | $ | 1,547,748 | $ | - | $ | 4,823,762 | ||||||||||
Short-term borrowings | $ | 236,687 | $ | - | $ | 236,687 | $ | - | $ | 236,687 | ||||||||||
Long-term debt | 821,801 | - | 907,995 | - | 907,995 | |||||||||||||||
Subordinated debentures/notes | 75,250 | - | 68,475 | - | 68,475 | |||||||||||||||
Accrued interest payable – deposits | 2,824 | 36 | 2,788 | - | 2,824 | |||||||||||||||
Accrued interest payable – debt/borrowings | 2,210 | - | 2,210 | - | 2,210 | |||||||||||||||
Derivative financial instruments: | ||||||||||||||||||||
Interest rate swap | $ | 673 | $ | - | $ | 673 | $ | - | $ | 673 | ||||||||||
Fair value swap | 135 | - | - | 135 | 135 |
(in thousands) | December 31, 2011 | |||||||
Carrying value | Fair value | |||||||
Financial assets: | ||||||||
Cash and money market instruments | $ | 157,486 | $ | 157,486 | ||||
Investment securities | 1,640,869 | 1,655,219 | ||||||
Accrued interest receivable | 19,697 | 19,697 | ||||||
Mortgage loans held for sale | 11,535 | 11,535 | ||||||
Impaired loans carried at fair value | 87,813 | 87,813 | ||||||
Other loans | 4,149,307 | 4,167,224 | ||||||
Loans receivable, net | $ | 4,248,655 | $ | 4,266,572 | ||||
Assets held for sale | $ | 382,462 | $ | 382,462 | ||||
Financial liabilities: | ||||||||
Noninterest bearing checking accounts | $ | 995,733 | $ | 995,733 | ||||
Interest bearing transactions accounts | 1,037,385 | 1,037,385 | ||||||
Savings accounts | 931,526 | 931,526 | ||||||
Time deposits | 1,499,105 | 1,506,075 | ||||||
Other | 1,365 | 1,365 | ||||||
Total deposits | $ | 4,465,114 | $ | 4,472,084 | ||||
Short-term borrowings | $ | 263,594 | $ | 263,594 | ||||
Long-term debt | 823,182 | 915,274 | ||||||
Subordinated debentures/notes | 75,250 | 68,601 | ||||||
Accrued interest payable | 4,916 | 4,916 | ||||||
Liabilities held for sale | 536,186 | 536,991 | ||||||
Derivative financial instruments: | ||||||||
Interest rate swap | $ | 846 | $ | 846 | ||||
Fair value swap | 700 | 700 |
(in thousands) | June 30, 2012 | |||||||||||||||||||
Fair Value Measurements | ||||||||||||||||||||
Financial assets: | Carrying value | Level 1 | Level 2 | Level 3 | Total fair value | |||||||||||||||
Cash and money market instruments | $ | 208,062 | $ | 208,062 | $ | — | $ | — | $ | 208,062 | ||||||||||
Investment securities | 1,622,369 | 1,398 | 1,633,087 | 738 | 1,635,223 | |||||||||||||||
Accrued interest receivable - securities | 6,129 | — | 6,129 | — | 6,129 | |||||||||||||||
Accrued interest receivable - loans | 14,091 | — | 4 | 14,087 | 14,091 | |||||||||||||||
Mortgage loans held for sale | 16,355 | — | 16,355 | — | 16,355 | |||||||||||||||
Impaired loans carried at fair value | 61,266 | — | — | 61,266 | 61,266 | |||||||||||||||
Other loans | 4,250,534 | — | — | 4,365,807 | 4,365,807 | |||||||||||||||
Loans receivable, net | $ | 4,328,155 | $ | — | $ | 16,355 | $ | 4,427,073 | $ | 4,443,428 | ||||||||||
Financial liabilities: | ||||||||||||||||||||
Noninterest bearing checking accounts | $ | 1,034,952 | $ | 1,034,952 | $ | — | — | $ | 1,034,952 | |||||||||||
Interest bearing transactions accounts | 1,244,586 | 1,244,586 | — | — | 1,244,586 | |||||||||||||||
Savings accounts | 997,603 | 997,603 | — | — | 997,603 | |||||||||||||||
Time deposits | 1,541,535 | — | 1,546,889 | — | 1,546,889 | |||||||||||||||
Other | 4,299 | 4,299 | — | — | 4,299 | |||||||||||||||
Total deposits | $ | 4,822,975 | $ | 3,281,440 | $ | 1,546,889 | $ | — | $ | 4,828,329 | ||||||||||
Short-term borrowings | $ | 240,602 | $ | — | $ | 240,602 | $ | — | $ | 240,602 | ||||||||||
Long-term debt | 806,287 | — | 899,321 | — | 899,321 | |||||||||||||||
Subordinated debentures/notes | 105,250 | — | 100,744 | — | 100,744 | |||||||||||||||
Accrued interest payable – deposits | 2,527 | 35 | 2,492 | — | 2,527 | |||||||||||||||
Accrued interest payable – debt/borrowings | 2,133 | 23 | 2,110 | — | 2,133 | |||||||||||||||
Derivative financial instruments: | ||||||||||||||||||||
Interest rate swap | $ | 448 | $ | — | $ | 448 | $ | — | $ | 448 | ||||||||||
Fair value swap | 135 | — | — | 135 | 135 |
(in thousands) | December 31, 2011 | |||||||
Carrying value | Fair value | |||||||
Financial assets: | ||||||||
Cash and money market instruments | $ | 157,486 | $ | 157,486 | ||||
Investment securities | 1,640,869 | 1,655,219 | ||||||
Accrued interest receivable | 19,697 | 19,697 | ||||||
Mortgage loans held for sale | 11,535 | 11,535 | ||||||
Impaired loans carried at fair value | 67,882 | 67,882 | ||||||
Other loans | 4,169,238 | 4,187,155 | ||||||
Loans receivable, net | $ | 4,248,655 | $ | 4,266,572 | ||||
Assets held for sale | $ | 382,462 | $ | 382,462 | ||||
Financial liabilities: | ||||||||
Noninterest bearing checking accounts | $ | 995,733 | $ | 995,733 | ||||
Interest bearing transactions accounts | 1,037,385 | 1,037,385 | ||||||
Savings accounts | 931,526 | 931,526 | ||||||
Time deposits | 1,499,105 | 1,506,075 | ||||||
Other | 1,365 | 1,365 | ||||||
Total deposits | $ | 4,465,114 | $ | 4,472,084 | ||||
Short-term borrowings | $ | 263,594 | $ | 263,594 | ||||
Long-term debt | 823,182 | 915,274 | ||||||
Subordinated debentures/notes | 75,250 | 68,601 | ||||||
Accrued interest payable | 4,916 | 4,916 | ||||||
Liabilities held for sale | 536,186 | 536,991 | ||||||
Derivative financial instruments: | ||||||||
Interest rate swap | $ | 846 | $ | 846 | ||||
Fair value swap | 700 | 700 |
$
2,842,400, or $12.50 per Park common share.Three months ended March 31, (in thousands) | Before-tax amount | Tax effect | Net-of-tax amount | |||||||||
2012: | ||||||||||||
Change in pension plan assets and benefit obligations | $ | 634 | $ | 222 | $ | 412 | ||||||
Unrealized losses on available-for-sale securities | (3,390 | ) | (1,188 | ) | (2,202 | ) | ||||||
Unrealized net holding gain on cash flow hedge | 173 | 60 | 113 | |||||||||
Other comprehensive loss | $ | (2,583 | ) | $ | (906 | ) | $ | (1,677 | ) | |||
2011: | ||||||||||||
Unrealized (losses) on available-for-sale securities | $ | (3,166 | ) | $ | (1,108 | ) | $ | (2,058 | ) | |||
Reclassification adjustment for gains realized in net income | (6,635 | ) | (2,322 | ) | (4,313 | ) | ||||||
Unrealized net holding gain on cash flow hedge | 204 | 71 | 133 | |||||||||
Other comprehensive loss | $ | (9,597 | ) | $ | (3,359 | ) | $ | (6,238 | ) |
Six months ended June 30, (in thousands) | Before-tax amount | Tax effect | Net-of-tax amount | |||||||||
2012 | ||||||||||||
Change in pension plan assets and benefit obligations | $ | 634 | $ | 222 | $ | 412 | ||||||
Unrealized gains on available-for-sale securities | 930 | 326 | 604 | |||||||||
Unrealized net holding gain on cash flow hedge | 398 | 139 | 259 | |||||||||
Other comprehensive income | $ | 1,962 | $ | 687 | $ | 1,275 | ||||||
2011 | ||||||||||||
Unrealized gains on available-for-sale securities | $ | 8,919 | $ | 3,121 | $ | 5,798 | ||||||
Reclassification adjustment for gains realized in net income | (21,997 | ) | (7,699 | ) | (14,298 | ) | ||||||
Unrealized net holding gain on cash flow hedge | 297 | 104 | 193 | |||||||||
Other comprehensive loss | $ | (12,781 | ) | $ | (4,474 | ) | $ | (8,307 | ) |
Three months ended June 30, (in thousands) | Before-tax amount | Tax effect | Net-of-tax amount | |||||||||
2012 | ||||||||||||
Change in pension plan assets and benefit obligations | $ | — | $ | — | $ | — | ||||||
Unrealized gains on available-for-sale securities | 4,320 | 1,514 | 2,806 | |||||||||
Unrealized net holding gain on cash flow hedge | 225 | 79 | 146 | |||||||||
Other comprehensive income | $ | 4,545 | $ | 1,593 | $ | 2,952 | ||||||
2011 | ||||||||||||
Unrealized gains on available-for-sale securities | $ | 12,085 | $ | 4,229 | $ | 7,856 | ||||||
Reclassification adjustment for gains realized in net income | (15,362 | ) | (5,377 | ) | (9,985 | ) | ||||||
Unrealized net holding gain on cash flow hedge | 93 | 33 | 60 | |||||||||
Other comprehensive loss | $ | (3,184 | ) | $ | (1,115 | ) | $ | (2,069 | ) |
(in thousands) | Before-tax amount | Tax effect | Net-of-tax amount | |||||||||
March 31, 2012: | ||||||||||||
Changes in pension plan assets and benefit obligations | $ | (31,603 | ) | $ | (11,061 | ) | $ | (20,542 | ) | |||
Unrealized gains on available-for-sale securities | 16,108 | 5,637 | 10,471 | |||||||||
Unrealized net holding loss on cash flow hedge | (673 | ) | (236 | ) | (437 | ) | ||||||
Total accumulated other comprehensive loss | $ | (16,168 | ) | $ | (5,660 | ) | $ | (10,508 | ) | |||
December 31, 2011: | ||||||||||||
Changes in pension plan assets and benefit obligations | $ | (32,237 | ) | $ | (11,283 | ) | $ | (20,954 | ) | |||
Unrealized gains on available-for-sale securities | 19,498 | 6,825 | 12,673 | |||||||||
Unrealized net holding loss on cash flow hedge | (846 | ) | (296 | ) | (550 | ) | ||||||
Total accumulated other comprehensive loss | $ | (13,585 | ) | $ | (4,754 | ) | $ | (8,831 | ) | |||
March 31, 2011: | ||||||||||||
Changes in pension plan assets and benefit obligations | $ | (24,503 | ) | $ | (8,576 | ) | $ | (15,927 | ) | |||
Unrealized gains on available-for-sale securities | 13,462 | 4,712 | 8,750 | |||||||||
Unrealized net holding loss on cash flow hedge | (1,430 | ) | (501 | ) | (929 | ) | ||||||
Total accumulated other comprehensive loss | $ | (12,471 | ) | $ | (4,365 | ) | $ | (8,106 | ) |
(in thousands) | Before-tax amount | Tax effect | Net-of-tax amount | |||||||||
June 30, 2012 | ||||||||||||
Changes in pension plan assets and benefit obligations | $ | (31,603 | ) | $ | (11,061 | ) | $ | (20,542 | ) | |||
Unrealized gains on available-for-sale securities | 20,428 | 7,151 | 13,277 | |||||||||
Unrealized net holding loss on cash flow hedge | (448 | ) | (157 | ) | (291 | ) | ||||||
Total accumulated other comprehensive loss | $ | (11,623 | ) | $ | (4,067 | ) | $ | (7,556 | ) | |||
December 31, 2011 | ||||||||||||
Changes in pension plan assets and benefit obligations | $ | (32,237 | ) | $ | (11,283 | ) | $ | (20,954 | ) | |||
Unrealized gains on available-for-sale securities | 19,498 | 6,825 | 12,673 | |||||||||
Unrealized net holding loss on cash flow hedge | (846 | ) | (296 | ) | (550 | ) | ||||||
Total accumulated other comprehensive loss | $ | (13,585 | ) | $ | (4,754 | ) | $ | (8,831 | ) | |||
June 30, 2011 | ||||||||||||
Changes in pension plan assets and benefit obligations | $ | (24,503 | ) | $ | (8,576 | ) | $ | (15,927 | ) | |||
Unrealized gains on available-for-sale securities | 10,186 | 3,565 | 6,621 | |||||||||
Unrealized net holding loss on cash flow hedge | (1,337 | ) | (468 | ) | (869 | ) | ||||||
Total accumulated other comprehensive loss | $ | (15,654 | ) | $ | (5,479 | ) | $ | (10,175 | ) |
2011
.In connection with the application submitted by Park to the U.S. Treasury for approval to repurchase from the U.S. Treasury the 100,000 Series A Preferred Shares, Park provided a proposed capital plan which included the issuance of an aggregate principal amount of $30 million of subordinated notes, which are intended to qualify as “Tier 2 Capital” under applicable rules and regulations of the Board of Governors of the Federal Reserve System (the “Federal Reserve Board”).
—
Subordinated Debentures/NotesOn The Notes may not be prepaid by Park prior to
As a result of the transaction, Park recorded a pre-tax gain of $22.2 million (after actual expenses directly related to the transaction). The transaction also decreased Park’s total assets during the first quarter
Table - Park – Summary Income Statement | ||||||||||||
Three months ended March 31, | ||||||||||||
(In thousands) | 2012 | 2011 | % Change | |||||||||
Net interest income | $ | 61,728 | $ | 69,313 | -10.94 | % | ||||||
Provision for loan losses | 9,000 | 14,100 | -36.17 | % | ||||||||
Other income | 17,453 | 15,030 | 16.12 | % | ||||||||
Gain on sale of Vision business | 22,167 | - | N.M. | |||||||||
Security gains | - | 6,635 | N.M. | |||||||||
Operating expenses | 47,808 | 46,346 | 3.15 | % | ||||||||
Income before taxes | $ | 44,540 | $ | 30,532 | 45.88 | % | ||||||
Income taxes | 13,065 | 8,336 | 56.73 | % | ||||||||
Net income | $ | 31,475 | $ | 22,196 | 41.80 | % |
Table - PNB – Summary Income Statement | ||||||||||||
Three months ended March 31, | ||||||||||||
(In thousands) | 2012 | 2011 | % Change | |||||||||
Net interest income | $ | 55,846 | $ | 60,236 | -7.29 | % | ||||||
Provision for loan losses | 4,672 | 4,975 | -6.09 | % | ||||||||
Other income | 16,661 | 16,262 | 2.45 | % | ||||||||
Security gains | - | 6,635 | N.M. | |||||||||
Operating expenses | 38,056 | 36,321 | 4.78 | % | ||||||||
Income before taxes | $ | 29,779 | $ | 41,837 | -28.82 | % | ||||||
Income taxes | 8,218 | 12,808 | -35.84 | % | ||||||||
Net income | $ | 21,561 | $ | 29,029 | -25.73 | % |
Table - Guardian – Summary Income Statement Three months ended March 31, | ||||||||||||
(In thousands) | 2012 | 2011 | % Change | |||||||||
Net interest income | $ | 2,211 | $ | 2,025 | 9.19 | % | ||||||
Provision for loan losses | 250 | 525 | -52.38 | % | ||||||||
Other income | - | - | - | |||||||||
Security gains | - | - | - | |||||||||
Operating expenses | 721 | 577 | 24.96 | % | ||||||||
Income before taxes | $ | 1,240 | $ | 923 | 34.34 | % | ||||||
Income taxes | 434 | 323 | 34.37 | % | ||||||||
Net income | $ | 806 | $ | 600 | 34.33 | % |
Table - SE LLC – Summary Income Statement Three months ended March 31, | ||||||||||||
(In thousands) | 2012 | 2011 | % Change | |||||||||
Net interest income | $ | 2,610 | - | N.M. | ||||||||
Provision for loan losses | 4,078 | - | N.M. | |||||||||
Other income | 724 | - | N.M. | |||||||||
Gain on sale of Vision business | 22,167 | - | N.M. | |||||||||
Security gains | - | - | N.M. | |||||||||
Operating expenses | 7,503 | - | N.M. | |||||||||
Income before taxes | $ | 13,920 | - | N.M. | ||||||||
Income taxes | 4,861 | - | N.M. | |||||||||
Net income | $ | 9,059 | - | N.M. |
Vision.
Table - Park – Summary Income Statement | ||||||||||||||||||||||
Three months ended June 30, | Six months ended June 30, | |||||||||||||||||||||
(In thousands) | 2012 | 2011 | % Change | 2012 | 2011 | % Change | ||||||||||||||||
Net interest income | $ | 58,680 | $ | 70,022 | (16.20 | )% | $ | 120,408 | $ | 139,335 | (13.58 | )% | ||||||||||
Provision for loan losses | 5,238 | 12,516 | (58.15 | )% | 13,576 | 26,616 | (48.99 | )% | ||||||||||||||
Other income | 17,508 | 15,138 | 15.66 | % | 34,961 | 30,168 | 15.89 | % | ||||||||||||||
Gain on sale of Vision business | — | — | N.M. | 22,167 | — | N.M. | ||||||||||||||||
Security gains | — | 15,362 | N.M. | — | 21,997 | N.M. | ||||||||||||||||
Operating expenses | 45,804 | 47,007 | (2.56 | )% | 94,274 | 93,353 | 0.99 | % | ||||||||||||||
Income before taxes | $ | 25,146 | $ | 40,999 | (38.67 | )% | $ | 69,686 | $ | 71,531 | (2.58 | )% | ||||||||||
Income taxes | 6,260 | 12,046 | (48.03 | )% | 19,325 | 20,382 | (5.19 | )% | ||||||||||||||
Net income | $ | 18,886 | $ | 28,953 | (34.77 | )% | $ | 50,361 | $ | 51,149 | (1.54 | )% |
Table - PNB – Summary Income Statement | ||||||||||||||||||||||
Three months ended June 30, | Six months ended June 30, | |||||||||||||||||||||
(In thousands) | 2012 | 2011 | % Change | 2012 | 2011 | % Change | ||||||||||||||||
Net interest income | $ | 56,022 | $ | 60,542 | (7.47 | )% | $ | 111,868 | $ | 120,779 | (7.38 | )% | ||||||||||
Provision for loan losses | 3,756 | 4,975 | (24.50 | )% | 8,428 | 9,950 | (15.30 | )% | ||||||||||||||
Other income | 17,700 | 16,869 | 4.93 | % | 34,361 | 33,131 | 3.71 | % | ||||||||||||||
Security gains | — | 13,534 | N.M. | — | 20,169 | N.M. | ||||||||||||||||
Operating expenses | 37,260 | 36,315 | 2.60 | % | 75,316 | 72,636 | 3.69 | % | ||||||||||||||
Income before taxes | $ | 32,706 | $ | 49,655 | (34.13 | )% | $ | 62,485 | $ | 91,493 | (31.71 | )% | ||||||||||
Income taxes | 9,223 | 15,405 | (40.13 | )% | 17,441 | 28,213 | (38.18 | )% | ||||||||||||||
Net income | $ | 23,483 | $ | 34,250 | (31.44 | )% | $ | 45,044 | $ | 63,280 | (28.82 | )% |
Table - GFSC – Summary Income Statement | ||||||||||||||||||||||
Three months ended June 30, | Six months ended June 30, | |||||||||||||||||||||
(In thousands) | 2012 | 2011 | % Change | 2012 | 2011 | % Change | ||||||||||||||||
Net interest income | $ | 2,305 | $ | 2,195 | 5.01 | % | $ | 4,516 | $ | 4,220 | 7.01 | % | ||||||||||
Provision for loan losses | 200 | 525 | (61.90 | )% | 450 | 1,050 | (57.14 | )% | ||||||||||||||
Other income | — | — | — | % | — | — | — | % | ||||||||||||||
Security gains | — | — | — | % | — | — | — | % | ||||||||||||||
Operating expenses | 706 | 639 | 10.49 | % | 1,427 | 1,216 | 17.35 | % | ||||||||||||||
Income before taxes | $ | 1,399 | $ | 1,031 | 35.69 | % | $ | 2,639 | $ | 1,954 | 35.06 | % | ||||||||||
Income taxes | 490 | 362 | 35.36 | % | 924 | 685 | 34.89 | % | ||||||||||||||
Net income | $ | 909 | $ | 669 | 35.87 | % | $ | 1,715 | $ | 1,269 | 35.15 | % |
Table - SEPH – Summary Income Statement | ||||||||||||||||||||
Three months ended June 30, | Six months ended June 30, | |||||||||||||||||||
(In thousands) | 2012 | 2011 | % Change | 2012 | 2011 | % Change | ||||||||||||||
Net interest income (expense) | $ | (1,125 | ) | $ | (224 | ) | N.M. | $ | 1,485 | $ | (224 | ) | N.M. | |||||||
Provision for loan losses | 1,282 | — | N.M. | 4,698 | — | N.M. | ||||||||||||||
Other income (expense) | (275 | ) | (1,641 | ) | N.M. | 449 | (1,641 | ) | N.M. | |||||||||||
Gain on sale of Vision business | — | — | N.M. | 22,167 | — | N.M. | ||||||||||||||
Operating expenses | 5,999 | 32 | N.M. | 14,164 | 32 | N.M. | ||||||||||||||
Income (loss) before taxes | $ | (8,681 | ) | $ | (1,897 | ) | N.M. | $ | 5,239 | $ | (1,897 | ) | N.M. | |||||||
Income taxes (benefit) | (3,041 | ) | (664 | ) | N.M. | 1,820 | (664 | ) | N.M. | |||||||||||
Net income (loss) | $ | (5,640 | ) | $ | (1,233 | ) | N.M. | $ | 3,419 | $ | (1,233 | ) | N.M. |
Table - Vision – Summary Income Statement | ||||||||||||||||||||
Three months ended June 30, | Six months ended June 30, | |||||||||||||||||||
(In thousands) | 2012 | 2011 | % Change | 2012 | 2011 | % Change | ||||||||||||||
Net interest income | $ | — | $ | 7,000 | N.M. | $ | — | $ | 13,755 | N.M. | ||||||||||
Provision for loan losses | — | 7,016 | N.M. | — | 15,616 | N.M. | ||||||||||||||
Other income (expense) | — | (171 | ) | N.M. | — | (1,489 | ) | N.M. | ||||||||||||
Security gains | — | 1,828 | N.M. | — | 1,828 | N.M. | ||||||||||||||
Operating expenses | — | 8,174 | N.M. | — | 15,599 | N.M. | ||||||||||||||
Loss before income tax benefit | $ | — | $ | (6,533 | ) | N.M. | $ | — | $ | (17,121 | ) | N.M. | ||||||||
Income tax benefit | — | (2,315 | ) | N.M. | — | (6,057 | ) | N.M. | ||||||||||||
Net loss | $ | — | $ | (4,218 | ) | N.M. | $ | — | $ | (11,064 | ) | N.M. |
(In thousands) | Q1 2012 | Q2 2012 | Projected second half 2012 | Projection 2012 | 2011 | 2010 | 2009 | ||||||||||||||
PNB | $ | 21,561 | $ | 23,483 | $ | 45,011 | $ | 90,055 | $ | 106,851 | $ | 102,948 | $ | 101,458 | |||||||
GFSC | 806 | 909 | 1,769 | 3,484 | 2,721 | 2,006 | 1,752 | ||||||||||||||
Park Parent Company | 49 | 134 | 158 | 341 | (1,595 | ) | (1,439 | ) | 1,092 | ||||||||||||
Ongoing operations | $ | 22,416 | $ | 24,526 | $ | 46,938 | $ | 93,880 | $ | 107,977 | $ | 103,515 | $ | 104,302 | |||||||
Vision Bank | — | — | — | — | (22,526 | ) | (45,414 | ) | (30,110 | ) | |||||||||||
SEPH | 9,059 | (5,640 | ) | (7,080 | ) | (3,661 | ) | (3,311 | ) | — | — | ||||||||||
Total Park | $ | 31,475 | $ | 18,886 | $ | 39,858 | $ | 90,219 | $ | 82,140 | $ | 58,101 | $ | 74,192 |
(in thousands) | Projected results for 2012 | 25% of annual projection | Actual results for the first three months of 2012 | ||||||||
Net interest income | $ | 240,000 to $250,000 | $ | 60,000 - $62,500 | $ | 61,728 | |||||
Provision for loan losses | $ | 20,000 to $27,000 | $ | 5,000 - $6,750 | $ | 9,000 | |||||
Total other income | $ | 62,000 to $66,000 | $ | 15,500 - $16,500 | $ | 17,453 | |||||
Total other expense | $ | 170,000 to $175,000 | $ | 42,500- $43,750 | $ | 47,808 |
Park’s management believes Additionally, the table below provides the projected results for the second half of 2012 and the current projection for the 2012 year.
(in thousands) | 2011 Annual Report projection of results for 2012 | 50% of 2011 Annual Report projection | Actual results for the first six months of 2012 | Projected second half of 2012 | 2012 Projection | ||||||
Net interest income | $240,000 to $250,000 | $120,000 - $125,000 | $ | 120,408 | $ | 117,074 | $ | 237,482 | |||
Provision for loan losses | $20,000 to $27,000 | $10,000 - $13,500 | $ | 13,576 | $ | 10,851 | $ | 24,427 | |||
Total other income | $62,000 to $66,000 | $31,000 - $33,000 | $ | 34,961 | $ | 32,470 | $ | 67,431 | |||
Total other expense | $170,000 to $175,000 | $85,000- $87,500 | $ | 94,274 | $ | 84,724 | $ | 178,998 |
(In thousands) | YTD 2012 | Projected second half 2012 | 2012 Projection | 2011 | 2010 | 2009 | ||||||||||||
Net interest income | $ | 111,868 | $ | 112,114 | $ | 223,982 | $ | 236,282 | $ | 237,281 | $ | 236,107 | ||||||
Provision for loan losses | 8,428 | 7,652 | 16,080 | 30,220 | 23,474 | 22,339 | ||||||||||||
Fee income | 34,361 | 33,310 | 67,671 | 67,348 | 68,648 | 75,430 | ||||||||||||
Security gains | — | — | — | 23,634 | 11,864 | 7,340 | ||||||||||||
Total other expense | 75,316 | 75,281 | 150,597 | 146,235 | 144,051 | 148,048 | ||||||||||||
Income before income taxes | $ | 62,485 | $ | 62,491 | $ | 124,976 | $ | 150,809 | $ | 150,268 | $ | 148,490 | ||||||
Federal income taxes | 17,441 | 17,480 | 34,921 | 43,958 | 47,320 | 47,032 | ||||||||||||
Net income | $ | 45,044 | $ | 45,011 | $ | 90,055 | $ | 106,851 | $ | 102,948 | $ | 101,458 | ||||||
Net income excluding security gains | $ | 45,044 | $ | 45,011 | $ | 90,055 | $ | 91,489 | $ | 95,236 | $ | 96,687 |
(In thousands) | June 30, 2012 | December 31, 2011 | June 30, 2011 | % change from 12/31/11 | % change from 6/30/11 | ||||||||
Loans | $ | 4,281,430 | $ | 4,172,424 | $ | 4,125,919 | 2.61 | % | 3.77 | % | |||
Allowance for loan losses | 56,288 | 55,409 | 71,043 | 1.59 | % | (20.77 | )% | ||||||
Net loans | 4,225,142 | 4,117,015 | 4,054,876 | 2.63 | % | 4.20 | % | ||||||
Total assets | 6,535,709 | 6,281,747 | 6,565,419 | 4.04 | % | (0.45 | )% | ||||||
Average assets (YTD) | 6,491,751 | 6,453,404 | 6,519,081 | 0.59 | % | (0.42 | )% | ||||||
Deposits | 4,917,327 | 4,611,646 | 4,816,002 | 6.63 | % | 2.10 | % | ||||||
Return on average assets * | 1.40 | % | 1.42 | % | 1.55 | % | |||||||
* Annualized for the six months ended June 30, 2012 and 2011. Excludes gains on the sale of investment securities for the six months ended June 30, 2011 and the year ended December 31, 2011. |
(In thousands) | YTD 2012 | Projected second half 2012 | 2012 Projection | 2011 | 2010 | 2009 | ||||||||||||
Net interest income | $ | 4,516 | $ | 4,735 | $ | 9,251 | $ | 8,693 | $ | 7,611 | $ | 7,010 | ||||||
Provision for loan losses | 450 | 600 | 1,050 | 2,000 | 2,200 | 2,052 | ||||||||||||
Fee income | — | 1 | 1 | — | 2 | 3 | ||||||||||||
Total other expense | 1,427 | 1,414 | 2,841 | 2,506 | 2,325 | 2,264 | ||||||||||||
Income before income taxes | $ | 2,639 | $ | 2,722 | $ | 5,361 | $ | 4,187 | $ | 3,088 | $ | 2,697 | ||||||
Federal income taxes | 924 | 953 | 1,877 | 1,466 | 1,082 | 945 | ||||||||||||
Net income | $ | 1,715 | $ | 1,769 | $ | 3,484 | $ | 2,721 | $ | 2,006 | $ | 1,752 |
(In thousands) | June 30, 2012 | December 31, 2011 | June 30, 2011 | % change from 12/31/11 | % change from 6/30/11 | ||||||||
Loans | $ | 49,160 | $ | 47,111 | $ | 46,301 | 4.35 | % | 6.17 | % | |||
Allowance for loan losses | 2,407 | 2,297 | 1,886 | 4.79 | % | 27.62 | % | ||||||
Net loans | 46,753 | 44,814 | 44,415 | 4.33 | % | 5.26 | % | ||||||
Total assets | 48,763 | 46,682 | 45,912 | 4.46 | % | 6.21 | % | ||||||
Average assets (YTD) | 47,032 | 45,588 | 44,948 | 3.17 | % | 4.64 | % | ||||||
Return on average assets * | 7.33 | % | 5.97 | % | 5.70 | % | |||||||
* Annualized for the six months ended June 30, 2012 and 2011. |
(In thousands) | YTD 2012 | Projected second half 2012 | 2012 Projection | 2011 | 2010 | 2009 | ||||||||||||
Net interest income | $ | 2,539 | $ | 2,905 | $ | 5,444 | $ | 2,155 | $ | 1,285 | $ | 4,740 | ||||||
Provision for loan losses | — | — | — | — | — | — | ||||||||||||
Fee income | 151 | 161 | 312 | 350 | 390 | 464 | ||||||||||||
Total other expense | 3,367 | 3,362 | 6,729 | 7,115 | 9,107 | 10,322 | ||||||||||||
Income (loss) before income taxes | $ | (677 | ) | $ | (296 | ) | $ | (973 | ) | $ | (4,610 | ) | $ | (7,432 | ) | $ | (5,118 | ) |
Federal income tax (benefit) | (860 | ) | (454 | ) | (1,314 | ) | (3,015 | ) | (5,993 | ) | (6,210 | ) | ||||||
Net income (loss) | $ | 183 | $ | 158 | $ | 341 | $ | (1,595 | ) | $ | (1,439 | ) | $ | 1,092 |
Net interest incomebusiness to Centennial Bank (“Centennial”) on February 16, 2012. SEPH holds the remaining assets and liabilities retained by Vision subsequent to the sale. SEPH's assets consist primarily of performing and nonperforming loans and other real estate owned (“OREO”). This segment represents a run off portfolio of the legacy Vision assets.
(In thousands) | YTD 2012 | Projected second half 2012 | 2012 Projection | SEPH 2011 | Vision 2011 | Vision 2010 | |||||||||||||
Net interest income | $ | 1,485 | $ | (2,680 | ) | $ | (1,195 | ) | $ | (974 | ) | $ | 27,078 | $ | 27,867 | ||||
Provision for loan losses | 4,698 | 2,599 | 7,297 | — | 31,052 | 61,407 | |||||||||||||
Fee income | 449 | (1,002 | ) | (553 | ) | (3,039 | ) | 1,422 | (6,024 | ) | |||||||||
Security gains | — | — | — | — | 5,195 | — | |||||||||||||
Gain on sale of Vision business | 22,167 | — | 22,167 | — | — | — | |||||||||||||
Total other expense | 14,164 | 4,667 | 18,831 | 1,082 | 31,379 | 31,623 | |||||||||||||
Income (loss) before income taxes | $ | 5,239 | $ | (10,948 | ) | $ | (5,709 | ) | $ | (5,095 | ) | $ | (28,736 | ) | $ | (71,187 | ) | ||
Federal income taxes/(benefit) | 1,820 | (3,868 | ) | (2,048 | ) | (1,784 | ) | (6,210 | ) | (25,773 | ) | ||||||||
Net income (loss) | $ | 3,419 | $ | (7,080 | ) | $ | (3,661 | ) | $ | (3,311 | ) | $ | (22,526 | ) | $ | (45,414 | ) | ||
Net income (loss) excluding security gains | $ | 3,419 | $ | (7,080 | ) | $ | (3,661 | ) | $ | (3,311 | ) | $ | (25,903 | ) | $ | (45,414 | ) |
SEPH - Retained Vision Loan Portfolio | |||||||||||
(In thousands) | Unpaid Principal Balance | Charge-Offs | Net Book Balance | Charge-off Percentage | |||||||
Nonperforming loans - retained by SEPH | $ | 150,284 | $ | 76,184 | $ | 74,100 | 51 | % | |||
Performing loans - retained by SEPH | 9,179 | 669 | 8,510 | 7 | % | ||||||
Total SEPH loan exposure | $ | 159,463 | $ | 76,853 | $ | 82,610 | 48 | % |
(In thousands) | SEPH 3/31/2012 | SEPH 6/30/2012 | Change from linked quarter | ||||||
Nonperforming loans - retained by SEPH | $ | 82,326 | $ | 74,100 | $ | (8,226 | ) | ||
OREO - retained by SEPH | 28,578 | 24,985 | (3,593 | ) | |||||
Total nonperforming assets | $ | 110,904 | $ | 99,085 | $ | (11,819 | ) | ||
Performing loans - retained by SEPH | $ | 16,123 | $ | 8,510 | $ | (7,613 | ) | ||
Total SEPH - Legacy Vision assets | $ | 127,027 | $ | 107,595 | $ | (19,432 | ) |
(In thousands) | YTD 2012 | Projected second half 2012 | 2012 Projection | 2011 | 2010 | 2009 | ||||||||||||
Net interest income | $ | 120,408 | $ | 117,074 | $ | 237,482 | $ | 273,234 | $ | 274,044 | $ | 273,491 | ||||||
Provision for loan losses | 13,576 | 10,851 | 24,427 | 63,272 | 87,081 | 68,821 | ||||||||||||
Fee income | 34,961 | 32,470 | 67,431 | 66,081 | 63,016 | 73,850 | ||||||||||||
Security gains | — | — | — | 28,829 | 11,864 | 7,340 | ||||||||||||
Gain on sale of Vision business | 22,167 | — | 22,167 | — | — | — | ||||||||||||
Total other expense | 94,274 | 84,724 | 178,998 | 188,317 | 187,106 | 188,725 | ||||||||||||
Income before income taxes | $ | 69,686 | $ | 53,969 | $ | 123,655 | $ | 116,555 | $ | 74,737 | $ | 97,135 | ||||||
Federal income taxes | 19,325 | 14,111 | 33,436 | 34,415 | 16,636 | 22,943 | ||||||||||||
Net income | $ | 50,361 | $ | 39,858 | $ | 90,219 | $ | 82,140 | $ | 58,101 | $ | 74,192 | ||||||
Net income excluding security gains | $ | 50,361 | $ | 39,858 | $ | 90,219 | $ | 63,401 | $ | 50,389 | $ | 69,421 |
SEPH.
$7.0 million.
Three months ended March 31, | ||||||||||||||||
2012 | 2011 | |||||||||||||||
(in thousands) | Average balance | Tax equivalent % | Average balance | Tax equivalent % | ||||||||||||
Loans (1) | $ | 4,485,074 | 5.52 | % | $ | 4,743,075 | 5.63 | % | ||||||||
Taxable investments | 1,639,775 | 3.33 | % | 1,939,873 | 3.98 | % | ||||||||||
Tax exempt investments | 4,043 | 7.05 | % | 12,240 | 7.63 | % | ||||||||||
Money market instruments | 168,880 | 0.25 | % | 26,948 | 0.10 | % | ||||||||||
Interest earning assets | $ | 6,297,772 | 4.81 | % | $ | 6,722,136 | 5.14 | % | ||||||||
Interest bearing deposits | $ | 3,891,482 | 0.56 | % | $ | 4,245,255 | 0.74 | % | ||||||||
Short-term borrowings | 241,329 | 0.29 | % | 391,366 | 0.28 | % | ||||||||||
Long-term debt | 897,699 | 3.38 | % | 847,800 | 3.52 | % | ||||||||||
Interest bearing liabilities | $ | 5,030,510 | 1.05 | % | $ | 5,484,421 | 1.14 | % | ||||||||
Excess interest earning assets | $ | 1,267,262 | $ | 1,237,715 | ||||||||||||
Net interest spread | 3.76 | % | 4.00 | % | ||||||||||||
Net interest margin | 3.97 | % | 4.21 | % |
Three months ended June 30, 2012 | Three months ended June 30, 2011 | |||||||||||||
(in thousands) | Average balance | Tax equivalent % | Average balance | Tax equivalent % | ||||||||||
Loans (1) | $ | 4,353,181 | 5.36 | % | $ | 4,743,696 | 5.61 | % | ||||||
Taxable investments | 1,685,019 | 3.29 | % | 1,972,676 | 3.86 | % | ||||||||
Tax exempt investments | 3,743 | 7.05 | % | 8,179 | 7.01 | % | ||||||||
Money market instruments | 92,854 | 0.25 | % | 21,239 | 0.15 | % | ||||||||
Interest earning assets | $ | 6,134,797 | 4.71 | % | $ | 6,745,790 | 5.08 | % | ||||||
Interest bearing deposits | $ | 3,761,781 | 0.51 | % | $ | 4,301,872 | 0.67 | % | ||||||
Short-term borrowings | 237,181 | 0.28 | % | 290,293 | 0.27 | % | ||||||||
Long-term debt | 918,932 | 3.47 | % | 881,534 | 3.44 | % | ||||||||
Interest bearing liabilities | $ | 4,917,894 | 1.05 | % | $ | 5,473,699 | 1.09 | % | ||||||
Excess interest earning assets | $ | 1,216,903 | $ | 1,272,091 | ||||||||||
Net interest spread | 3.66 | % | 3.99 | % | ||||||||||
Net interest margin | 3.87 | % | 4.19 | % |
the quarter to 1.65% at the end of the quarter.
The decrease in the average yield on the loan portfolio was primarily due to interest rate changes associated with the variable rate portion of the loan portfolio and management's decision to continue to retain 15-year, fixed-rate mortgage loans on the balance sheet.
The decline in deposit balances compared to prior year was primarily due to the assumption of Vision deposits by Centennial on February 16, 2012 of approximately $523 million.
Six months ended June 30, 2012 | Six months ended June 30, 2011 | |||||||||||||
(in thousands) | Average balance | Tax equivalent % | Average balance | Tax equivalent % | ||||||||||
Loans (1) | $ | 4,419,128 | 5.44 | % | $ | 4,743,387 | 5.62 | % | ||||||
Taxable investments | 1,662,397 | 3.31 | % | 1,956,365 | 3.92 | % | ||||||||
Tax exempt investments | 3,893 | 7.05 | % | 10,198 | 7.38 | % | ||||||||
Money market instruments | 130,867 | 0.25 | % | 24,078 | 0.12 | % | ||||||||
Interest earning assets | $ | 6,216,285 | 4.76 | % | $ | 6,734,028 | 5.11 | % | ||||||
Interest bearing deposits | $ | 3,826,632 | 0.53 | % | $ | 4,273,720 | 0.70 | % | ||||||
Short-term borrowings | 239,255 | 0.28 | % | 340,550 | 0.27 | % | ||||||||
Long-term debt | 908,315 | 3.42 | % | 864,760 | 3.48 | % | ||||||||
Interest bearing liabilities | $ | 4,974,202 | 1.05 | % | $ | 5,479,030 | 1.11 | % | ||||||
Excess interest earning assets | $ | 1,242,083 | $ | 1,254,998 | ||||||||||
Net interest spread | 3.71 | % | 4.00 | % | ||||||||||
Net interest margin | 3.92 | % | 4.20 | % |
(in thousands) | Average interest earning assets | Net interest income | Tax equivalent net interest margin | |||||||||
March 2011 | $ | 6,722,136 | $ | 69,313 | 4.21 | % | ||||||
June 2011 | $ | 6,745,790 | $ | 70,022 | 4.19 | % | ||||||
September 2011 | $ | 6,610,953 | $ | 67,620 | 4.09 | % | ||||||
December 2011 | $ | 6,487,958 | $ | 66,279 | 4.08 | % | ||||||
March 2012 | $ | 6,297,772 | $ | 61,728 | 3.97 | % |
(in thousands) | Average interest earning assets | Net interest income | Tax equivalent net interest margin | ||||||||
June 2011 | $ | 6,745,790 | $ | 70,022 | 4.19 | % | |||||
September 2011 | $ | 6,610,953 | $ | 67,620 | 4.09 | % | |||||
December 2011 | $ | 6,487,958 | $ | 66,279 | 4.08 | % | |||||
March 2012 | $ | 6,297,772 | $ | 61,728 | 3.97 | % | |||||
June 2012 | $ | 6,134,797 | $ | 58,680 | 3.87 | % |
3.78%.
(dollars in thousands) | Loans | Investments | Money Market Instruments | Total | ||||||||||||
2009 - year | $ | 4,594,436 | $ | 1,877,303 | $ | 52,658 | $ | 6,524,397 | ||||||||
Percentage | 70.42 | % | 28.77 | % | 0.81 | % | 100.00 | % | ||||||||
2010 - year | $ | 4,642,478 | $ | 1,746,356 | $ | 93,009 | $ | 6,481,843 | ||||||||
Percentage | 71.62 | % | 26.94 | % | 1.44 | % | 100.00 | % | ||||||||
2011 - year | $ | 4,713,511 | $ | 1,848,880 | $ | 78,593 | $ | 6,640,984 | ||||||||
Percentage | 70.98 | % | 27.84 | % | 1.18 | % | 100.00 | % | ||||||||
2012 - first quarter | $ | 4,485,074 | $ | 1,643,818 | $ | 168,880 | $ | 6,297,772 | ||||||||
Percentage | 71.22 | % | 26.10 | % | 2.68 | % | 100.00 | % |
(dollars in thousands) | Loans | Investments | Money Market Instruments | Total | ||||||||||||
2009 - year | $ | 4,594,436 | $ | 1,877,303 | $ | 52,658 | $ | 6,524,397 | ||||||||
Percentage | 70.42 | % | 28.77 | % | 0.81 | % | 100.00 | % | ||||||||
2010 - year | $ | 4,642,478 | $ | 1,746,356 | $ | 93,009 | $ | 6,481,843 | ||||||||
Percentage | 71.62 | % | 26.94 | % | 1.44 | % | 100.00 | % | ||||||||
2011 - year | $ | 4,713,511 | $ | 1,848,880 | $ | 78,593 | $ | 6,640,984 | ||||||||
Percentage | 70.98 | % | 27.84 | % | 1.18 | % | 100.00 | % | ||||||||
2012 - first six months | $ | 4,419,128 | $ | 1,666,290 | $ | 130,867 | $ | 6,216,285 | ||||||||
Percentage | 71.09 | % | 26.81 | % | 2.10 | % | 100.00 | % |
The average loans of $4,714 million for all of 2011 included, for the entire year, loan balances at the former Vision subsidiary.
Loans | Investments | Money Market Instruments | Total | |||||||||||||
2009 - year | 6.03 | % | 4.94 | % | 0.22 | % | 5.67 | % | ||||||||
2010 - year | 5.80 | % | 4.47 | % | 0.22 | % | 5.36 | % | ||||||||
2011 - year | 5.60 | % | 3.76 | % | 0.23 | % | 5.03 | % | ||||||||
2012 - first quarter | 5.52 | % | 3.34 | % | 0.25 | % | 4.81 | % |
Loans | Investments | Money Market Instruments | Total | ||||||||
2009 - year | 6.03 | % | 4.94 | % | 0.22 | % | 5.67 | % | |||
2010 - year | 5.80 | % | 4.47 | % | 0.22 | % | 5.36 | % | |||
2011 - year | 5.60 | % | 3.76 | % | 0.23 | % | 5.03 | % | |||
2012 - first six months | 5.44 | % | 3.32 | % | 0.25 | % | 4.76 | % |
SE LLC, as a non-bank subsidiary, is not permitted to carry an ALLL, but instead must record
SEPH – Retained Vision Loan Portfolio | |||||||||||||||
Charge-offs as a percentage of unpaid principal balance | |||||||||||||||
June 30, 2012 | |||||||||||||||
(In thousands) | Unpaid Principal Balance | Charge-Offs | Net Book Balance | Charge-off Percentage | |||||||||||
Nonperforming loans - retained by SEPH | $ | 150,284 | $ | 76,184 | $ | 74,100 | 51 | % | |||||||
Performing loans - retained by SEPH | 9,179 | 669 | 8,510 | 7 | % | ||||||||||
Total SEPH loan exposure | $ | 159,463 | $ | 76,853 | $ | 82,610 | 48 | % |
Park National Corporation - Allowance for Loan & Lease Losses | ||||||||
(In thousands) | June 30, 2012 | December 31, 2011 | ||||||
Total ALLL | $ | 58,696 | $ | 68,444 | ||||
Specific reserves | 10,946 | 15,935 | ||||||
General reserves | $ | 47,750 | $ | 52,509 | ||||
Total loans | $ | 4,386,851 | $ | 4,317,099 | ||||
Impaired commercial loans | 170,224 | 187,074 | ||||||
Non-impaired loans | $ | 4,216,627 | $ | 4,130,025 | ||||
Total ALLL to total loan ratio | 1.34 | % | 1.59 | % | ||||
General reserves as a % of non-impaired loans | 1.13 | % | 1.27 | % |
Commercial loans * (In thousands) | June 30, 2012 | December 31, 2011 | ||||
Pass rated | $ | 2,167,745 | $ | 2,131,007 | ||
Special Mention | 59,568 | 66,254 | ||||
Substandard | 10,265 | 29,604 | ||||
Impaired | 103,126 | 95,109 | ||||
Total | $ | 2,340,704 | $ | 2,321,974 | ||
* Commercial loans include: (1) Commercial, financial and agricultural loans, (2) Commercial real estate loans, (3) Commercial related loans in the construction real estate portfolio and (4) Commercial related loans in the residential real estate portfolio. |
SE LLC – Retained Vision Loan Portfolio | ||||||||||||||||
Charge-offs as a percentage of unpaid principal balance | ||||||||||||||||
March 31, 2012 | ||||||||||||||||
(In thousands) | Unpaid Principal Balance | Charge-Offs | Net Book Balance | Charge-off Percentage | ||||||||||||
Nonperforming loans - retained by SE LLC | $ | 160,858 | $ | 78,532 | $ | 82,326 | 49 | % | ||||||||
Performing loans - retained by SE LLC | 17,348 | 1,225 | 16,123 | 7 | % | |||||||||||
Total SE LLC loan exposure | $ | 178,206 | $ | 79,757 | $ | 98,449 | 45 | % |
shows new nonaccrual loans for the first six months of 2012 and the four previous years.
New nonaccrual loan information (in thousands): | June 30, 2012 | 2011 | 2010 | 2009 | 2008 | |||||||||||||||
Nonaccrual loans, beginning of period | $ | 195,106 | $ | 289,268 | $ | 233,544 | $ | 159,512 | $ | 101,128 | ||||||||||
New nonaccrual loans - Ohio-based operations | 35,463 | 78,316 | 85,081 | 57,641 | 58,161 | |||||||||||||||
New nonaccrual loans - Vision/SEPH | 4,450 | 45,842 | 90,094 | 126,540 | 83,588 | |||||||||||||||
Resolved nonaccrual loans | 54,638 | 218,320 | 119,451 | 110,149 | 83,365 | |||||||||||||||
Nonaccrual loans, end of period | $ | 180,381 | $ | 195,106 | $ | 289,268 | $ | 233,544 | $ | 159,512 |
(in thousands) | March 31, 2012 | December 31, 2011 | March 31, 2011 | |||||||||
Nonaccrual loans | $ | 183,227 | $ | 195,106 | $ | 278,819 | ||||||
Renegotiated loans on accrual status | 34,436 | 28,607 | 260 | |||||||||
Loans past due 90 days or more | 2,281 | 3,489 | 2,228 | |||||||||
Total nonperforming loans | $ | 219,944 | $ | 227,202 | $ | 281,307 | ||||||
Other real estate owned – PNB | 13,387 | 13,240 | 9,788 | |||||||||
Other real estate owned – SE LLC | 28,578 | 29,032 | 13,004 | |||||||||
Other real estate owned – Vision | - | - | 22,476 | |||||||||
Total nonperforming assets | $ | 261,909 | $ | 269,474 | $ | 326,575 | ||||||
Percentage of nonaccrual loans to total loans | 4.24 | % | 4.52 | % | 5.87 | % | ||||||
Percentage of nonperforming loans to total loans | 5.09 | % | 5.26 | % | 5.92 | % | ||||||
Percentage of nonperforming assets to total loans | 6.06 | % | 6.24 | % | 6.87 | % | ||||||
Percentage of nonperforming assets to total assets | 3.86 | % | 3.86 | % | 4.46 | % |
(in thousands) | June 30, 2012 | December 31, 2011 | June 30, 2011 | |||||||||
Nonaccrual loans | $ | 180,381 | $ | 195,106 | $ | 238,690 | ||||||
Accruing TDRs | 27,250 | 28,607 | 33 | |||||||||
Loans past due 90 days or more | 1,870 | 3,489 | 3,142 | |||||||||
Total nonperforming loans | $ | 209,501 | $ | 227,202 | $ | 241,865 | ||||||
Other real estate owned – PNB | 13,439 | 13,240 | 10,309 | |||||||||
Other real estate owned – SEPH | 24,985 | 29,032 | 32,638 | |||||||||
Other real estate owned – Vision | — | — | 4,787 | |||||||||
Total nonperforming assets | $ | 247,925 | $ | 269,474 | $ | 289,599 | ||||||
Percentage of nonaccrual loans to total loans | 4.11 | % | 4.52 | % | 5.07 | % | ||||||
Percentage of nonperforming loans to total loans | 4.78 | % | 5.26 | % | 5.13 | % | ||||||
Percentage of nonperforming assets to total loans | 5.65 | % | 6.24 | % | 6.15 | % | ||||||
Percentage of nonperforming assets to total assets | 3.70 | % | 3.86 | % | 3.96 | % |
(in thousands) | March 31, 2012 | December 31, 2011 | March 31, 2011 | |||||||||
Nonaccrual loans | $ | 102,886 | $ | 96,113 | $ | 115,476 | ||||||
Renegotiated loans on accrual status | 32,451 | 26,342 | 260 | |||||||||
Loans past due 90 days or more | 2,281 | 3,367 | 2,228 | |||||||||
Total nonperforming loans | $ | 137,618 | $ | 125,822 | $ | 117,964 | ||||||
Other real estate owned – Park National Bank | 13,387 | 13,240 | 9,788 | |||||||||
Total nonperforming assets | $ | 151,005 | $ | 139,062 | $ | 127,752 | ||||||
Percentage of nonaccrual loans to total loans | 2.43 | % | 2.29 | % | 2.78 | % | ||||||
Percentage of nonperforming loans to total loans | 3.26 | % | 3.00 | % | 2.84 | % | ||||||
Percentage of nonperforming assets to total loans | 3.57 | % | 3.32 | % | 3.08 | % | ||||||
Percentage of nonperforming assets to total assets | 2.29 | % | 2.21 | % | 1.93 | % |
SE LLC/
(in thousands) | June 30, 2012 | December 31, 2011 | June 30, 2011 | |||||||||
Nonaccrual loans | $ | 107,749 | $ | 96,113 | $ | 121,128 | ||||||
Accruing TDRs | 25,782 | 26,342 | 33 | |||||||||
Loans past due 90 days or more | 1,870 | 3,367 | 2,162 | |||||||||
Total nonperforming loans | $ | 135,401 | $ | 125,822 | $ | 123,323 | ||||||
Other real estate owned – PNB | 13,439 | 13,240 | 10,309 | |||||||||
Total nonperforming assets | $ | 148,840 | $ | 139,062 | $ | 133,632 | ||||||
Percentage of nonaccrual loans to total loans | 2.50 | % | 2.29 | % | 2.92 | % | ||||||
Percentage of nonperforming loans to total loans | 3.15 | % | 3.00 | % | 2.97 | % | ||||||
Percentage of nonperforming assets to total loans | 3.46 | % | 3.32 | % | 3.22 | % | ||||||
Percentage of nonperforming assets to total assets | 2.27 | % | 2.21 | % | 2.03 | % |
(in thousands) | March 31, 2012 | December 31, 2011 | March 31, 2011 | |||||||||
Nonaccrual loans | $ | 80,341 | $ | 98,993 | $ | 163,343 | ||||||
Renegotiated loans on accrual status | 1,985 | 2,265 | - | |||||||||
Loans past due 90 days or more | - | 122 | - | |||||||||
Total nonperforming loans | $ | 82,326 | $ | 101,380 | $ | 163,343 | ||||||
Other real estate owned – SE LLC | 28,578 | 29,032 | - | |||||||||
Other real estate owned – Vision | - | - | 22,476 | |||||||||
Total nonperforming assets | $ | 110,904 | $ | 130,412 | $ | 185,819 | ||||||
Percentage of nonaccrual loans to total loans | N.M. | N.M. | 26.06 | % | ||||||||
Percentage of nonperforming loans to total loans | N.M. | N.M. | 26.06 | % | ||||||||
Percentage of nonperforming assets to total loans | N.M. | N.M. | 29.65 | % | ||||||||
Percentage of nonperforming assets to total assets | N.M. | N.M. | 23.62 | % |
SEPH | Vision Bank | |||||||||||
(in thousands) | June 30, 2012 | December 31, 2011 | June 30, 2011 | |||||||||
Nonaccrual loans | $ | 72,632 | $ | 98,993 | $ | 117,562 | ||||||
Renegotiated loans on accrual status | 1,468 | 2,265 | — | |||||||||
Loans past due 90 days or more | — | 122 | 980 | |||||||||
Total nonperforming loans | $ | 74,100 | $ | 101,380 | $ | 118,542 | ||||||
Other real estate owned – SEPH | 24,985 | 29,032 | 32,638 | |||||||||
Other real estate owned – Vision | — | — | 4,787 | |||||||||
Total nonperforming assets | $ | 99,085 | $ | 130,412 | $ | 155,967 |
SEPH.
(In thousands) | Unsold Principal balance (UPB) | Prior charge- offs | Total impaired loans | Specific reserve | Carrying balance | Carrying balance as a % of UPB | ||||||||||||||||||
PNB | $ | 140,338 | $ | 36,157 | $ | 104,181 | $ | 9,505 | $ | 94,676 | 67.46 | % | ||||||||||||
SE LLC - CL&D loans | 67,545 | 48,112 | 19,433 | - | 19,433 | 28.77 | % | |||||||||||||||||
SE LLC - Other loans | 79,740 | 24,061 | 55,679 | - | 55,679 | 69.83 | % | |||||||||||||||||
PRK totals | $ | 287,623 | $ | 108,330 | $ | 179,293 | $ | 9,505 | $ | 169,788 | 59.03 | % |
(In thousands) | Unpaid principal balance (UPB) | Prior charge- offs | Total impaired loans | Specific reserve | Carrying balance | Carrying balance as a % of UPB | |||||||||||||||||
PNB | $ | 140,038 | $ | 36,911 | $ | 103,127 | $ | 10,946 | $ | 92,181 | 65.83 | % | |||||||||||
SEPH - CL&D loans | 63,422 | 46,153 | 17,269 | — | 17,269 | 27.23 | % | ||||||||||||||||
SEPH - Other loans | 73,295 | 24,088 | 49,207 | — | 49,207 | 67.14 | % | ||||||||||||||||
PRK totals | $ | 276,755 | $ | 107,152 | $ | 169,603 | $ | 10,946 | $ | 158,657 | 57.33 | % |
Actual provision for loan losses could be more or less than the projected amount. Refer to Part II, Item 1A, Risk Factors, of this Quarterly Report on Form 10-Q for additional discussion of certain risks related to management's projection of the provision for loan losses.
to $35.0 million for the six months ended June 30, 2012.
(in thousands) | Three months ended March 31, | |||||||||||
2012 | 2011 | Change | ||||||||||
Income from fiduciary activities | $ | 3,828 | $ | 3,722 | $ | 106 | ||||||
Service charges on deposits | 4,071 | 4,245 | (174 | ) | ||||||||
Other service income | 2,734 | 2,301 | 433 | |||||||||
Checkcard fee income | 3,172 | 2,976 | 196 | |||||||||
Bank owned life insurance income | 1,202 | 1,229 | (27 | ) | ||||||||
ATM fees | 608 | 654 | (46 | ) | ||||||||
OREO devaluations | (1,359 | ) | (2,535 | ) | 1,176 | |||||||
Gain on sale of the Vision business | 22,167 | - | 22,167 | |||||||||
Other | 3,197 | 2,438 | 759 | |||||||||
Total other income | $ | 39,620 | $ | 15,030 | $ | 24,590 |
Three months ended June 30, | Six months ended June 30, | |||||||||||||||||||||||
(in thousands) | 2012 | 2011 | Change | 2012 | 2011 | Change | ||||||||||||||||||
Income from fiduciary activities | $ | 4,044 | $ | 3,929 | $ | 115 | $ | 7,872 | $ | 7,651 | $ | 221 | ||||||||||||
Service charges on deposits | 4,154 | 4,525 | (371 | ) | 8,225 | 8,770 | (545 | ) | ||||||||||||||||
Other service income | 3,417 | 2,734 | 683 | 6,151 | 5,035 | 1,116 | ||||||||||||||||||
Checkcard fee income | 3,180 | 3,251 | (71 | ) | 6,352 | 6,227 | 125 | |||||||||||||||||
Bank owned life insurance income | 1,184 | 1,228 | (44 | ) | 2,386 | 2,457 | (71 | ) | ||||||||||||||||
ATM fees | 536 | 682 | (146 | ) | 1,144 | 1,336 | (192 | ) | ||||||||||||||||
OREO devaluations | (2,648 | ) | (3,355 | ) | 707 | (4,007 | ) | (5,890 | ) | 1,883 | ||||||||||||||
Gain/loss on the sale of OREO, net | 2,203 | 330 | 1,873 | 3,248 | 482 | 2,766 | ||||||||||||||||||
Gain on sale of the Vision business | — | — | — | 22,167 | — | 22,167 | ||||||||||||||||||
Other | 1,438 | 1,814 | (376 | ) | 3,590 | 4,100 | (510 | ) | ||||||||||||||||
Total other income | $ | 17,508 | $ | 15,138 | $ | 2,370 | $ | 57,128 | $ | 30,168 | $ | 26,960 |
Checkcard fee income, which is generated from debit card transactions, increased $196,000, or 6.6%,
OREO devaluations decreased by $1.2$1.9 million to $1.4$4.0 million, for the three months ended March 31, 2012, compared to $2.5$5.9 million for the same period in 2011. Approximately $1.1$3.3 million of the devaluations were at SE LLCSEPH and $0.3 million$700,000 were at PNB during the first quarterhalf of 2012.
total other income between Park’s Ohio-based operations and SEPH/Vision Bank.
Three months ended June 30 | Six months ended June 30 | |||||||||||||||||||||||
(in thousands) | Ohio based operations | SEPH/VB | Total | Ohio based operations | SEPH/VB | Total | ||||||||||||||||||
Income from fiduciary activities | $ | 146 | $ | (31 | ) | $ | 115 | $ | 278 | $ | (57 | ) | $ | 221 | ||||||||||
Service charges on deposits | (95 | ) | (276 | ) | (371 | ) | (178 | ) | (367 | ) | (545 | ) | ||||||||||||
Other service income | 1,081 | (398 | ) | 683 | 1,708 | (592 | ) | 1,116 | ||||||||||||||||
Checkcard fee income | 155 | (226 | ) | (71 | ) | 435 | (310 | ) | 125 | |||||||||||||||
Bank owned life insurance income | (17 | ) | (27 | ) | (44 | ) | (35 | ) | (36 | ) | (71 | ) | ||||||||||||
ATM fees | (128 | ) | (18 | ) | (146 | ) | (164 | ) | (28 | ) | (192 | ) | ||||||||||||
OREO devaluations | (337 | ) | 1,044 | 707 | (506 | ) | 2,389 | 1,883 | ||||||||||||||||
Gain/loss on sale of OREO, net | 313 | 1,560 | 1,873 | 520 | 2,246 | 2,766 | ||||||||||||||||||
Gain on sale of the Vision business | — | — | — | — | 22,167 | 22,167 | ||||||||||||||||||
Other | (285 | ) | (91 | ) | (376 | ) | (844 | ) | 334 | (510 | ) | |||||||||||||
Total other income | $ | 833 | $ | 1,537 | $ | 2,370 | $ | 1,214 | $ | 25,746 | $ | 26,960 |
Three months ended March 31, | ||||||||||||
(in thousands) | 2012 | 2011 | Change | |||||||||
Salaries and employee benefits | $ | 24,823 | $ | 25,064 | $ | (241 | ) | |||||
Occupancy expense | 2,670 | 3,000 | (330 | ) | ||||||||
Furniture and equipment expense | 2,621 | 2,657 | (36 | ) | ||||||||
Data processing fees | 1,200 | 1,253 | (53 | ) | ||||||||
Professional fees and services | 5,581 | 4,874 | 707 | |||||||||
Amortization of intangibles | 1,754 | 669 | 1,085 | |||||||||
Marketing | 843 | 623 | 220 | |||||||||
Insurance | 1,490 | 2,269 | (779 | ) | ||||||||
Communication | 1,537 | 1,556 | (19 | ) | ||||||||
Other | 5,289 | 4,381 | 908 | |||||||||
Total other expense | $ | 47,808 | $ | 46,346 | $ | 1,462 |
Three months ended June 30, | Six months ended June 30, | |||||||||||||||||||||||
(in thousands) | 2012 | 2011 | Change | 2012 | 2011 | Change | ||||||||||||||||||
Salaries and employee benefits | $ | 22,813 | $ | 25,253 | $ | (2,440 | ) | $ | 47,636 | $ | 50,317 | $ | (2,681 | ) | ||||||||||
Occupancy expense | 2,249 | 2,764 | (515 | ) | 4,919 | 5,764 | (845 | ) | ||||||||||||||||
Furniture and equipment expense | 2,727 | 2,785 | (58 | ) | 5,348 | 5,442 | (94 | ) | ||||||||||||||||
Data processing fees | 899 | 1,135 | (236 | ) | 2,099 | 2,388 | (289 | ) | ||||||||||||||||
Professional fees and services | 5,800 | 5,320 | 480 | 11,381 | 10,194 | 1,187 | ||||||||||||||||||
Amortization of intangibles | 140 | 669 | (529 | ) | 1,894 | 1,338 | 556 | |||||||||||||||||
Marketing | 705 | 728 | (23 | ) | 1,548 | 1,351 | 197 | |||||||||||||||||
Insurance | 1,400 | 2,345 | (945 | ) | 2,890 | 4,614 | (1,724 | ) | ||||||||||||||||
Communication | 1,494 | 1,485 | 9 | 3,031 | 3,041 | (10 | ) | |||||||||||||||||
Loan put provision | 2,701 | — | 2,701 | 3,363 | — | 3,363 | ||||||||||||||||||
Other | 4,876 | 4,523 | 353 | 10,165 | 8,904 | 1,261 | ||||||||||||||||||
Total other expense | $ | 45,804 | $ | 47,007 | $ | (1,203 | ) | $ | 94,274 | $ | 93,353 | $ | 921 |
business.
in an attempt to resolve nonperforming assets.
$179.0 million for 2012.
Other Expense - Quarterly 2011 | ||||||||||||
Park | Vision | Park, less Vision | ||||||||||
Q1 2011 | $ | 46,346 | $ | 7,425 | $ | 38,921 | ||||||
Q2 2011 | 47,007 | 8,174 | 38,833 | |||||||||
Q3 2011 | 45,599 | 7,267 | 38,332 | |||||||||
Q4 2011 | 49,365 | 8,513 | 40,852 | |||||||||
Total 2011 | $ | 188,317 | $ | 31,379 | $ | 156,938 | ||||||
Average quarterly expense | $ | 47,079 | $ | 7,845 | $ | 39,234 |
2011 and 2012 to date:
Other Expense - Quarterly 2011 and 2012 | ||||||||||||||||||||||||
PNB | GSFC | All Other | Vision | SEPH | Total PRK | |||||||||||||||||||
Q1 2011 | $ | 36,321 | 576 | $ | 2,024 | $ | 7,425 | $ | — | $ | 46,346 | |||||||||||||
Q2 2011 | 36,315 | 639 | 1,847 | 8,174 | 32 | 47,007 | ||||||||||||||||||
Q3 2011 | 35,936 | 646 | 1,510 | 7,267 | 240 | 45,599 | ||||||||||||||||||
Q4 2011 | 37,663 | 645 | 1,735 | 8,513 | 809 | 49,365 | ||||||||||||||||||
Total 2011 | $ | 146,235 | $ | 2,506 | $ | 7,116 | $ | 31,379 | $ | 1,081 | $ | 188,317 | ||||||||||||
Q1 2012 | $ | 38,056 | 721 | $ | 1,528 | $ | — | $ | 8,165 | $ | 48,470 | |||||||||||||
Q2 2012 | $ | 37,260 | 706 | $ | 1,839 | $ | — | $ | 5,999 | $ | 45,804 | |||||||||||||
YTD 2012 | $ | 75,316 | $ | 1,427 | $ | 3,367 | $ | — | $ | 14,164 | $ | 94,274 |
Three months ended June 30 | Six months ended June 30 | |||||||||||||||||||||||
(in thousands) | Ohio based operations | SEPH/Vision | Total | Ohio based operations | SEPH/Vision | Total | ||||||||||||||||||
Salaries and employee benefits | $ | 456 | $ | (2,896 | ) | $ | (2,440 | ) | $ | 1,299 | $ | (3,980 | ) | $ | (2,681 | ) | ||||||||
Occupancy expense | (26 | ) | (489 | ) | (515 | ) | (166 | ) | (679 | ) | (845 | ) | ||||||||||||
Furniture and equipment expense | 194 | (252 | ) | (58 | ) | 322 | (416 | ) | (94 | ) | ||||||||||||||
Data processing fees | 170 | (406 | ) | (236 | ) | 311 | (600 | ) | (289 | ) | ||||||||||||||
Professional fees and services | 187 | 293 | 480 | 332 | 855 | 1,187 | ||||||||||||||||||
Amortization of intangibles | 1 | (530 | ) | (529 | ) | 1 | 555 | 556 | ||||||||||||||||
Marketing | 32 | (55 | ) | (23 | ) | 282 | (85 | ) | 197 | |||||||||||||||
Insurance | (665 | ) | (280 | ) | (945 | ) | (1,260 | ) | (464 | ) | (1,724 | ) | ||||||||||||
Communication | 78 | (69 | ) | 9 | 75 | (85 | ) | (10 | ) | |||||||||||||||
Other | 576 | (223 | ) | 353 | 1,191 | 70 | 1,261 | |||||||||||||||||
Total other expense | $ | 1,003 | $ | (4,907 | ) | $ | (3,904 | ) | $ | 2,387 | $ | (4,829 | ) | $ | (2,442 | ) |
Park issued $30.0 million in subordinated notes during the second quarter of 2012 (see Note 20 of the Notes to Unaudited Consolidated Condensed Financial Statements.)
Leverage | Tier 1 Risk Based | Total Risk-Based | ||||||||||
The Park National Bank | 6.53 | % | 9.43 | % | 11.37 | % | ||||||
Park National Corporation | 10.35 | % | 15.35 | % | 17.92 | % | ||||||
Minimum capital ratio | 4.00 | % | 4.00 | % | 8.00 | % | ||||||
Well capitalized ratio | 5.00 | % | 6.00 | % | 10.00 | % |
On April 25, 2012, Park entered into a Letter Agreement with the U.S. Treasury (the “Preferred Shares Repurchase Letter Agreement”) pursuant to which Park purchased from the U.S. Treasury all 100,000 of Park’s Series A Preferred Shares for a purchase price of $100 million plus final prorated accrued and unpaid dividends of $972,000. On May 2, 2012, Park entered into a second Letter Agreement with the U.S. Treasury (the “Warrant Repurchase Letter Agreement”) pursuant to which Park purchased from the U.S. Treasury the Warrant to purchase 227,376 Park common shares (the “Warrant”) which had been issued to the U.S. Treasury on December 23, 2008 in connection with Park’s sale to the U.S. Treasury of the Series A Preferred Shares. Park repurchased the Warrant for a purchase price of $2,842,400, or $12.50 per Park common share. The table below provides Park’s capital ratios as of March 31, 2012, excluding the $100 million related to the Series A Preferred Shares.
Leverage | Tier 1 Risk Based | Total Risk-Based | ||||||||||
Park National Corporation | 8.89 | % | 13.18 | % | 15.75 | % |
Leverage | Tier 1 Risk Based | Total Risk-Based | ||||||
The Park National Bank | 6.53 | % | 9.31 | % | 11.22 | % | ||
Park National Corporation | 9.15 | % | 13.17 | % | 16.38 | % | ||
Minimum capital ratio | 4.00 | % | 4.00 | % | 8.00 | % | ||
Well capitalized ratio | 5.00 | % | 6.00 | % | 10.00 | % |
business and the sale of subordinated notes in April 2012.
(in thousands) | March 31, 2012 | December 31, 2011 | ||||||
Loan commitments | $ | 773,014 | $ | 809,140 | ||||
Standby letters of credit | $ | 24,175 | $ | 18,772 |
(in thousands) | June 30, 2012 | December 31, 2011 | ||||||
Loan commitments | $ | 769,657 | $ | 809,140 | ||||
Standby letters of credit | $ | 23,363 | $ | 18,772 |
PARK NATIONAL CORPORATION
(a) | Not applicable |
(b) | Not applicable |
(c) | No purchases of Park’s common shares were made by or on behalf of Park or any “affiliated purchaser” as defined in Rule 10b-18(a)(3) under the Securities Exchange Act of 1934, as amended, during the three months ended |
Period | Total number of common shares purchased | Average price paid per common share | Total number of common shares purchased as part of publicly announced plans or programs | Maximum number of common shares that may yet be purchased under the plans or programs (1) | ||||||||||||||
April 1 through April 30, 2012 | — | — | — | 982,267 | ||||||||||||||
— | — | 754,891 | ||||||||||||||||
— | — | 754,891 | ||||||||||||||||
Total | — | — | 754,891 |
(1) | The number shown represents, as of the end of each period, the maximum number of common shares that may yet be purchased as part of Park’s publicly announced stock repurchase authorization to fund the Park National Corporation 2005 Incentive Stock Option Plan (the “2005 Plan”). |
2.1(a) | Purchase and Assumption Agreement, made and entered into on November 16, 2011, by and between Vision Bank and Park National Corporation (collectively, “Seller”) and Centennial Bank and Home BancShares, Inc. (collectively, “Buyer”) (Incorporated herein by reference to Exhibit 2.1 to Park National Corporation’s Current Report on Form 8-K, dated and filed November 17, 2011 (File No. 1-13006)) |
Note: The disclosure schedules and other schedules (with the exception
Note: The disclosure schedules and other schedules (with the exception of Schedule S) referenced in the Purchase and Assumption Agreement have been omitted pursuant to Item 601(b)(2) of SEC Regulation S-K. Park National Corporation hereby undertakes to furnish a copy of the omitted disclosure schedules and other schedules upon request by the SEC. | ||
2.1(b) | First Amendment to Purchase and Assumption Agreement by and between Vision Bank and Park National Corporation and Centennial Bank and Home BancShares, Inc., effective as of January 25, 2012 (Incorporated herein by reference to Exhibit 2.1(b) to Park National Corporation’s Current Report on Form 8-K, dated and filed February 16, 2012 (File No. 1-13006)) |
2.1(c) | Second Amendment to Purchase and Assumption Agreement by and between SE Property Holdings, LLC (as successor to Vision |
2.2 | Agreement and Plan of Merger, entered into as of January 25, 2012, by and between Vision Bank and SE Property Holdings, LLC (Incorporated herein by reference to Exhibit 2.2 to Park National Corporation’s Annual Report on Form 10-K for the fiscal year ended December 31, 2011 (File No. 1-13006)) |
3.1(a) | Articles of Incorporation of Park National Corporation as filed with the Ohio Secretary of State on March 24, 1992 (Incorporated herein by reference to Exhibit 3(a) to Park National Corporation’s Form 8-B, filed on May 20, 1992 (File No. 0-18772) (“Park’s Form 8-B”)) |
3.1(b) | Certificate of Amendment to the Articles of Incorporation of Park National Corporation as filed with the Ohio Secretary of State on May 6, 1993 (Incorporated herein by reference to Exhibit 3(b) to Park National Corporation’s Annual Report on Form 10-K for the fiscal year ended December 31, 1993 (File No. 0-18772)) |
3.1(c) | Certificate of Amendment to the Articles of Incorporation of Park National Corporation as filed with the Ohio Secretary of State on April 16, 1996 (Incorporated herein by reference to Exhibit 3(a) to Park National Corporation’s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 1996 (File No. 1-13006)) |
3.1(d) | Certificate of Amendment by Shareholders to the Articles of Incorporation of Park National Corporation as filed with the Ohio Secretary of State on April 22, 1997 (Incorporated herein by reference to Exhibit 3(a)(1) to Park National Corporation’s Quarterly Report on Form 10-Q for the quarterly period ended June 30, 1997 (File No. 1-13006) (“Park’s June 30, 1997 Form 10-Q”)) |
3.1(e) | Certificate of Amendment by Shareholders or Members as filed with the Ohio Secretary of State on December 18, 2008 in order to evidence the adoption by the shareholders of Park National Corporation on December 18, 2008 of an amendment to Article FOURTH of Park National Corporation’s Articles of Incorporation to authorize Park National Corporation to issue up to 200,000 preferred shares, without par value (Incorporated herein by reference to Exhibit 3.1 to Park National Corporation’s Current Report on Form 8-K dated and filed December 19, 2008 (File No. 1-13006)) |
3.1(f) | Certificate of Amendment by Directors or Incorporators to Articles as filed with the Ohio Secretary of State on December 19, 2008, evidencing adoption of amendment by Board of Directors of Park National Corporation to Article FOURTH of Articles of Incorporation to establish express terms of Fixed Rate Cumulative Perpetual Preferred Shares, Series A, each without par value, of Park National Corporation (Incorporated herein by reference to Exhibit 3.1 to Park National Corporation’s Current Report on Form 8-K dated and filed December 23, 2008 (File No. 1-13006)) | |
3.1(g) | Certificate of Amendment by Shareholders or Members filed with the Ohio Secretary of State on April 18, 2011 in order to evidence the adoption by Park National Corporation’s shareholders of an amendment to Article SIXTH of Park National Corporation’s Articles of Incorporation in order to provide that shareholders do not have preemptive rights (Incorporated herein by reference to Exhibit 3.1 to Park National Corporation’s Current Report on Form 8-K dated and filed April 19, 2011 (File No. 1-13006)) |
3.1(h) | Articles of Incorporation of Park National Corporation (reflecting amendments through April 18, 2011) [for SEC reporting compliance purposes only – not filed with Ohio Secretary of State] (Incorporated herein by reference to Exhibit 3.1(h) to Park National Corporation’s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2011 (File No. 1-13006)) |
3.2(a) | Regulations of Park National Corporation (Incorporated herein by reference to Exhibit 3(b) to Park’s Form 8-B) |
3.2(b) | Certified Resolution regarding Adoption of Amendment to Subsection 2.02(A) of the Regulations of Park National Corporation by Shareholders on April 21, 1997 (Incorporated herein by reference to Exhibit 3(b)(1) to Park’s June 30, 1997 Form 10-Q) |
3.2(c) | Certificate Regarding Adoption of Amendments to Sections 1.04 and 1.11 of Park National Corporation’s Regulations by the Shareholders on April 17, 2006 (Incorporated herein by reference to Exhibit 3.1 to Park National Corporation’s Current Report on Form 8-K dated and filed on April 18, 2006 (File No. 1-13006)) |
3.2(d) | Certificate Regarding Adoption by the Shareholders of Park National Corporation on April 21, 2008 of Amendment to Regulations to Add New Section 5.10 to Article Five (Incorporated herein by reference to Exhibit 3.2(d) to Park National Corporation’s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2008 (File No. 1-13006) (“Park’s March 31, 2008 Form 10-Q”)) |
3.2(e) | Regulations of Park National Corporation (reflecting amendments through April 21, 2008) [For purposes of SEC reporting compliance only] (Incorporated herein by reference to Exhibit 3.2(e) to Park’s March 31, 2008 Form 10-Q) |
4.1 | Note Purchase Agreement, dated April 20, 2012, between Park National Corporation and a group of 56 accredited investors (Incorporated herein by reference to Exhibit 4.1 to Park National Corporation’s Current Report on Form 8-K, dated and filed April 20, 2012 (File No. 1-13006) (“Park’s April 20, 2012 Form 8-K”)) |
4.2 | Form of 7% Subordinated Note due April 20, 2022 (Incorporated herein by reference to Exhibit 4.2 to Park’s April 20, 2012 for 8-K) |
10.1 | Letter Agreement, dated April 25, 2012, between Park National Corporation and the United States Department of the Treasury related to the repurchase of the 100,000 Fixed Rate Cumulative Perpetual Preferred Shares, Series A, issued by Park National Corporation (Incorporated herein by reference to Exhibit 10.1 to Park National Corporation’s Current Report on Form 8-K, dated and filed April 25, 2012 (File No. 1-13006)) |
10.2 | Letter Agreement, dated May 2, 2012, between Park National Corporation and the United States Department of the Treasury related to the repurchase of the Warrant to purchase 227,376 Common Shares issued by Park National Corporation (Incorporated herein by reference to Exhibit 10.1 to Park National Corporation’s Current Report on Form 8-K, dated and filed May 2, 2012 (File No. 1-13006)) |
12 | Computation of Ratios of Earnings to Fixed Charges and of Earnings to Fixed Charges and Preferred Share Dividends (filed herewith) |
31.1 | Rule 13a – 14(a) / 15d – 14(a) Certifications (Principal Executive Officer) (filed herewith) | |
31.2 | Rule 13a – 14(a) / 15d – 14(a) Certifications (Principal Financial Officer) (filed herewith) |
32.1 | Certifications Pursuant to Section 1350 of Chapter 63 of Title 18 of the United States Code (Principal Executive Officer) (furnished herewith) |
32.2 | Certifications Pursuant to Section 1350 of Chapter 63 of Title 18 of the United States Code (Principal Financial Officer) (furnished herewith) |
101 | The following information from Park’s Quarterly Report on Form 10-Q for the quarterly period ended |
Pursuant to Rule 406T
PARK NATIONAL CORPORATION | ||
DATE: | /s/ C. Daniel DeLawder | |
C. Daniel DeLawder | ||
Chairman of the Board and | ||
Chief Executive Officer | ||
DATE: | /s/ John W. Kozak | |
John W. Kozak | ||
Chief Financial Officer |