NEWS RELEASE
FOR MORE INFORMATION CONTACT: | Hal Brown | Michael A. Reynolds | ||
CEO | Executive Vice President/CFO | |||
541 686-8685 | 541 686-8685 | |||
http://www.therightbank.com | ||||
E-mail: banking@therightbank.com |
FOR IMMEDIATE RELEASE
PACIFIC CONTINENTAL REPORTS THIRD QUARTER 2008 RESULTS
Continued Profitability, Improved Credit Quality, Strong Deposit and Loan Growth Highlight the Quarter
EUGENE, Ore., October 14, 2008 - ---Pacific Continental Corporation (NASDAQ: PCBK), the bank holding company for Pacific Continental Bank, today reported financial results for the third quarter and nine months ended
September 30, 2008.
Net income for the third quarter and year-to-date 2008 were $3.0 million and $9.1 million, respectively. Operating revenue, which consists of net interest income plus noninterest income, was $13.4 million during the third quarter 2008, up 11.7% from the $12.0 million reported during the third quarter 2007. Improvement in operating revenue resulted from increases in noninterest income, plus loan and core deposit growth while maintaining a strong net interest margin. Contributing to the continued strong profitability was a better than expected net interest margin, declining nonperforming assets, improved credit quality statistics, and excellent growth in both loans and core deposits. These results were achieved while providing provisions to the allowance for loan losses to support the loan growth while prudently strengthening unallocated reserves. The Company’s capital condition improved during the quarter strengthening its “well capitalized” position.
“The results achieved by Pacific Continental during a time of serious and unprecedented financial industry disruption are in sharp contrast to many of our peers,” said Hal Brown, chief executive officer. “Our disciplined credit practices, improved credit quality and capital position provides a strong and safe financial institution for our many depositors and will allow Pacific Continental Bank to continue to meet the lending needs of our clients and the markets we serve,” added Brown.
During the third quarter 2008, core deposits averaged $626.5 million, an increase of $32.3 million from the average core deposits reported for the second quarter 2008. At September 30, 2008, period end loans, including loans held for sale, totaled $924.5 million, an increase of $120.6 million over outstanding loans of $803.9 million at September 30, 2007, and up $27.1 million during the third quarter 2008.
The third quarter 2008 net interest margin was 5.08%, and while still strong, compressed sixteen basis points when compared to the second quarter 2008 margin of 5.24%. The year-to-date September 30, 2008 net interest margin of 5.18% was down six basis points from the 5.24% net interest margin reported for the same period last year. The margin compression experienced in the third quarter and year-to-date 2008 was primarily due to the continued liquidity squeeze that keeps wholesale borrowing costs relatively high, the expiration and lower renewal rates of active floors on a portion of the bank’s variable rate loan portfolio, and a highly competitive market for core deposits creating somewhat higher deposit rates.
Credit quality of the bank’s loan portfolio improved during the third quarter 2008. Nonperforming assets at September 30, 2008, were $6.3 million, a decrease of $1.3 million from June 30, 2008, levels, and represent 0.60% of period-end assets compared to 0.74% at June 30, 2008. The decline in nonperforming assets was primarily attributable to the loan pay offs and the disposition of residential construction properties that were previously classified as nonaccrual loans or other real estate owned. Nonperforming assets at September 30, 2008, consist of $3.1 million of loans on nonaccrual status, net of government guarantees, and $3.2 million in other real estate owned. The $3.1 million of nonaccrual loans at September 30, 2008, consist of nine consumer residential construction loans totaling approximately $1.3 million, one commercial real estate loan for $1.7 million, and one business loan for $100 thousand. The $3.2 million in other real estate owned consists of twenty consumer construction residential properties. Losses on these properties and current and possible future nonperforming loans in the residential consumer construction loan portfolio are not expected to be significant due to a cash-secured 20% principal guarantee supporting the majority of these loans.
For the third quarter 2008, the bank provided $1.05 million to the allowance for loan losses compared to $125 thousand for third quarter 2007. Year-to-date provisions to the allowance for loan loss totaled $2.55 million and $450 thousand for the years 2008 and 2007, respectively. The increase in the provision for loan losses during the third quarter and the first nine months of 2008 were primarily to support the nearly $100 million in loan growth year-to-date and, in light of the current economic conditions, to provide prudent additions to the bank’s unallocated reserves. At September 30, 2008, unallocated reserves were 7.7% and at the high end of the approved range. At September 30, 2008, the ratio of the allowance for loan losses to total loans was 1.15%, compared to 1.05% and 1.09% at December 31, 2007, and September 30, 2007, respectively. For the third quarter and first nine months of 2008, the bank had net charge offs of $274 and $552 thousand, respectively. Based on the analysis of classified loan migration trends and independent third-party reviews of the loan portfolio, management believes that its calculation of the adequacy of the allowance for loan losses has accurately captured the inherent risk in the bank’s portfolio.
“In line with our projections at the end of last quarter, our total nonperforming assets declined during third quarter 2008. We are disposing of our foreclosed properties in an orderly and efficient fashion with no significant impact on the Bank’s earnings,” stated Casey Hogan, executive vice president and chief credit officer. “Nevertheless, and despite minimal losses and the reduction in nonperforming assets during the quarter, we determined it was prudent to continue to add to the allowance to maintain an appropriate unallocated reserve level. The uncertainty and apparent weakening in the regional and national economies combined with our conservative and cautious risk rating discipline, underscore the need for additional reserves.” added Hogan.
Improvement in operating revenue resulted from increases in noninterest income and the loan growth while maintaining a strong net interest margin. Growth in noninterest expense abated during the quarter and on a linked-quarter basis was $7.5 million for third quarter 2008, the same as reported for second quarter 2008.
Net income for the third quarter 2008 was $3.0 million, a decline from 2007 third quarter net income of $3.4 million. Earnings per diluted share were $0.25 for the third quarter 2008, the same as reported for second quarter 2008, but down from the $0.29 reported for the prior year third quarter. Return on average assets, return on average equity, and return on average tangible equity for the third quarter 2008 were 1.16%, 10.68% and 13.42%, respectively, compared to 1.51%, 13.03% and 16.77%, respectively, for the comparable period in 2007.
Net income for the first nine months of 2008 was $9.1 million, a decline from the $9.6 million reported for the comparable period of 2007. Earnings per diluted share were $0.76 for the first nine months of 2008, compared to $0.80 per diluted share for the first nine months of 2007. Return on average assets for year-to-date September 30, 2008 and 2007 were 1.21% and 1.44%, respectively. Year-to-date September 30, 2008, return on average book equity and return on average tangible equity were 10.97% and 13.86%, respectively, compared to 12.66% and 16.46%, respectively, for the comparable period of 2007.
Pacific Continental Bank manages its capital to maintain a “well-capitalized” designation from the FDIC (the FDIC’s highest designation). At September 30, 2008, the Bank’s risk-weighted capital ratio was 10.81% at September 30, 2008 compared to 10.69% and 10.96% at June 30, 2008 and December 31, 2007.
Third Quarter 2008 Highlights:
· | Through disciplined credit practices reported improved credit quality statistics with nonperforming assets to total assets of 0.60%. |
· | Strong core deposit growth with average core deposits up $32.3 million on a linked-quarter basis. |
· | Excellent loan growth of $26.6 million for the quarter and $101.8 million year-to-date. |
· | Continued payment of the $0.10 per share quarterly dividend that when annualized represents a 14.3% increase over 2007 cash dividends. |
· | Achieved strong net interest margin of 5.08% for the third quarter 2008 and 5.18% for the first nine months of 2008. |
Conference Call and Audio Webcast:
Pacific Continental Corporation will conduct a live conference call and audio Webcast for interested parties relating to its results for the third quarter and nine months ended September 30, 2008, on Wednesday, October 15th at 2:00 p.m. Eastern Time / 11:00 a.m. Pacific Time. To listen to the conference call, interested parties should call (866) 292-1418 and provide the pass code: “Pacific Continental third quarter earnings.” The Webcast will be available via the Internet at Pacific Continental’s Website (http://www.therightbank.com/). To listen to the live audio Webcast, click on the Webcast presentation link on the company’s home page a few minutes before the presentation is scheduled to begin.
An audio Webcast replay will be available within twenty-four hours following the live Webcast and archived for one year on the Pacific Continental Web site. Any questions regarding the conference call presentation or Webcast should be directed to Michael Reynolds at (541) 686-8685.
About Pacific Continental Bank
Pacific Continental Bank, the operating subsidiary of Pacific Continental Corporation, delivers highly personalized services through fourteen banking offices in Oregon and Washington. Pacific Continental has established one of the most unique and attractive metropolitan branch networks in the Pacific Northwest with offices in three of the region's largest metropolitan areas including Seattle, Portland, and Eugene. Pacific Continental targets the banking needs of community-based businesses, professional service providers, and nonprofit organizations; and provides private banking services for business owners and executives. Pacific Continental has rewarded its shareholders with consecutive cash dividends for twenty-four years.
Since its founding in 1972 Pacific Continental Bank has been honored with numerous awards from business and community organizations: in June 2008 – for the seventh consecutive year - the Seattle Times named Pacific Continental to its “Northwest 100” ranking of top publicly rated companies in the Pacific Northwest; in February 2008, Oregon Business magazine recognized Pacific Continental as the top ranked financial institution to work for in the state, marking the eighth consecutive year Pacific Continental has been recognized as one of the Top 100 Companies to Work for In Oregon; and in 2007, The Portland Business Journal recognized Pacific Continental as One of the Ten Most Admired Companies in Oregon.
Pacific Continental Corporation's shares are listed on the NASDAQ Global Select Market under the symbol "PCBK”; additionally, PCBK is listed in the Russell 2000 Index. Supplementary information about Pacific Continental can be found online at www.therightbank.com.
Pacific Continental Safe Harbor
This release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 ("PSLRA"). Such forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those projected, including but not limited to the following: the concentration of loans of the company's banking subsidiary, particularly with respect to commercial and residential real estate lending; a continued decline in the housing and real estate market, changes in the regulatory environment and increases in associated costs, particularly ongoing compliance expenses and resource allocation needs in response to the Sarbanes-Oxley Act and related rules and regulations; vendor quality and efficiency; employee recruitment and retention, specifically in the Bank's Portland and Seattle markets; the company's ability to control risks associated with rapidly changing technology both from an internal perspective as well as for external providers; increased competition among financial institutions; fluctuating interest rate environments; a tightening of available credit, and similar matters. Readers are cautioned not to place undue reliance on the forward-looking statements. Pacific Continental Corporation undertakes no obligation to publicly revise or update the forward-looking statements to reflect events or circumstances that arise after the date of this release. Readers should carefully review any risk factors described in Pacific Continental’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and other documents, including any Current Reports on Form 8-K furnished to or filed from time to time with the Securities Exchange Commission. This statement is included for the express purpose of invoking PSLRA's safe harbor provisions.
###
PACIFIC CONTINENTAL CORPORATION
CONSOLIDATED INCOME STATEMENTS
Amounts in $ 000's, Except for Per Share Data
(Unaudited)
Three months ended | Nine months ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2008 | 2007 | 2008 | 2007 | |||||||||||||
Interest and dividend income | ||||||||||||||||
Loans | $ | 16,019 | $ | 16,931 | $ | 47,181 | $ | 50,453 | ||||||||
Securities | 647 | 472 | 2,070 | 1,310 | ||||||||||||
Dividends on Federal Home Loan Bank stock | 9 | 5 | 132 | 14 | ||||||||||||
Federal funds sold & Interest-bearing deposits with banks | 5 | 11 | 18 | 40 | ||||||||||||
16,680 | 17,419 | 49,401 | 51,817 | |||||||||||||
Interest expense | ||||||||||||||||
Deposits | 2,696 | 4,946 | 7,844 | 14,350 | ||||||||||||
Federal Home Loan Bank & Federal Reserve borrowings | 1,463 | 1,160 | 4,552 | 4,549 | ||||||||||||
Junior subordinated debentures | 127 | 128 | 373 | 380 | ||||||||||||
Federal funds purchased | 91 | 207 | 555 | 304 | ||||||||||||
4,377 | 6,441 | 13,324 | 19,583 | |||||||||||||
Net interest income | 12,303 | 10,978 | 36,077 | 32,234 | ||||||||||||
Provision for loan losses | 1,050 | 125 | 2,550 | 450 | ||||||||||||
Net interest income after provision for loan losses | 11,253 | 10,853 | 33,527 | 31,784 | ||||||||||||
Noninterest income | ||||||||||||||||
Service charges on deposit accounts | 421 | 342 | 1,217 | 1,032 | ||||||||||||
Other fee income, principally bankcard | 470 | 426 | 1,378 | 1,206 | ||||||||||||
Loan servicing fees | 20 | 25 | 68 | 74 | ||||||||||||
Mortgage banking income | 72 | 90 | 291 | 279 | ||||||||||||
Other noninterest income | 64 | 114 | 273 | 303 | ||||||||||||
1,047 | 997 | 3,227 | 2,894 | |||||||||||||
Noninterest expense | ||||||||||||||||
Salaries and employee benefits | 4,670 | 3,938 | 13,705 | 11,773 | ||||||||||||
Premises and equipment | 995 | 799 | 2,967 | 2,331 | ||||||||||||
Bankcard processing | 143 | 141 | 421 | 397 | ||||||||||||
Business development | 315 | 308 | 966 | 1,130 | ||||||||||||
Other noninterest expense | 1,374 | 1,213 | 4,068 | 3,639 | ||||||||||||
7,497 | 6,399 | 22,127 | 19,270 | |||||||||||||
Income before provision for income taxes | 4,803 | 5,451 | 14,627 | 15,408 | ||||||||||||
Provision for income taxes | 1,783 | 2,030 | 5,521 | 5,781 | ||||||||||||
Net income | $ | 3,020 | $ | 3,421 | $ | 9,106 | $ | 9,627 | ||||||||
Earnings per share | ||||||||||||||||
Basic | $ | 0.25 | $ | 0.29 | $ | 0.76 | $ | 0.82 | ||||||||
Diluted | $ | 0.25 | $ | 0.29 | $ | 0.76 | $ | 0.80 | ||||||||
Weighted average shares outstanding | ||||||||||||||||
Basic | 11,978 | 11,848 | 11,960 | 11,808 | ||||||||||||
Common stock equivalents | ||||||||||||||||
attributable to stock-based awards | 55 | 133 | 60 | 153 | ||||||||||||
Diluted | 12,033 | 11,981 | 12,020 | 11,961 | ||||||||||||
PERFORMANCE RATIOS | ||||||||||||||||
Return on average assets | 1.16 | % | 1.51 | % | 1.21 | % | 1.44 | % | ||||||||
Return on average equity (book) | 10.68 | % | 13.03 | % | 10.97 | % | 12.66 | % | ||||||||
Return on average equity (tangible) (1) | 13.42 | % | 16.77 | % | 13.86 | % | 16.46 | % | ||||||||
Net interest margin | 5.08 | % | 5.25 | % | 5.18 | % | 5.24 | % | ||||||||
Efficiency ratio (2) | 56.16 | % | 53.44 | % | 56.30 | % | 54.86 | % |
PACIFIC CONTINENTAL CORPORATION
CONSOLIDATED BALANCE SHEETS
Amounts in $ 000’s
(Unaudited)
September 30, | December 31, | September 30, | ||||||||||
2008 | 2007 | 2007 | ||||||||||
ASSETS | ||||||||||||
Cash and due from banks | $ | 21,510 | $ | 23,809 | $ | 20,357 | ||||||
Federal funds sold | 290 | 410 | 410 | |||||||||
Interest-bearing deposits with banks | - | 1,857 | 130 | |||||||||
Total cash and cash equivalents | 21,800 | 26,076 | 20,897 | |||||||||
Securities available-for-sale | 49,848 | 53,994 | 50,345 | |||||||||
Loans held for sale | 447 | - | - | |||||||||
Loans, less allowance for loan losses | 913,430 | 813,647 | 795,184 | |||||||||
Interest receivable | 4,096 | 3,652 | 4,277 | |||||||||
Federal Home Loan Bank stock | 9,198 | 3,795 | 3,480 | |||||||||
Property, net of accumulated depreciation | 21,000 | 20,876 | 19,934 | |||||||||
Goodwill and other intangible assets | 22,960 | 23,127 | 23,182 | |||||||||
Other assets | 9,105 | 4,104 | 3,590 | |||||||||
Total assets | $ | 1,051,884 | $ | 949,271 | $ | 920,889 | ||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||||
Deposits | ||||||||||||
Noninterest-bearing demand | $ | 178,632 | $ | 175,941 | $ | 175,932 | ||||||
Savings and interest-bearing checking | 413,688 | 401,714 | 405,578 | |||||||||
Time $100,000 and over | 61,850 | 31,856 | 47,025 | |||||||||
Other time | 57,470 | 34,913 | 54,679 | |||||||||
Total deposits | 711,640 | 644,424 | 683,214 | |||||||||
Federal funds purchased | 38,460 | 5,360 | 13,500 | |||||||||
Federal Home Loan Bank and Federal Reserve borrowings | 176,000 | 179,500 | 107,500 | |||||||||
Junior subordinated debentures | 8,248 | 8,248 | 8,248 | |||||||||
Accrued interest and other payables | 4,338 | 4,230 | 4,010 | |||||||||
Total liabilities | 938,686 | 841,762 | 816,472 | |||||||||
Stockholders' equity | ||||||||||||
Common stock, 25,000,000 shares authorized | 62,037 | 77,909 | 60,304 | |||||||||
Retained earnings | 52,003 | 29,622 | 44,251 | |||||||||
Accumulated other comprehensive loss | (842 | ) | (22 | ) | (138 | ) | ||||||
113,198 | 107,509 | 104,417 | ||||||||||
Total liabilities and stockholders’ equity | $ | 1,051,884 | $ | 949,271 | $ | 920,889 | ||||||
OTHER FINANCIAL DATA | ||||||||||||
Shares outstanding at end of period | 11,994,363 | 11,934,866 | 11,865,541 | |||||||||
Stockholder's equity (tangible) (1) | $ | 90,238 | $ | 84,382 | $ | 81,235 | ||||||
Book value | $ | 9.44 | $ | 9.01 | $ | 8.80 | ||||||
Tangible book value | $ | 7.52 | $ | 7.07 | $ | 6.85 |
PACIFIC CONTINENTAL CORPORATION
SELECTED OTHER FINANCIAL INFORMATION AND RATIOS
Amounts in $ 000’s
(Unaudited)
Quarters Ended | Nine Months Ended | |||||||||||||||||||
September 30, | December 31, | September 30, | September 30, | September 30, | ||||||||||||||||
2008 | 2007 | 2007 | 2008 | 2007 | ||||||||||||||||
LOANS BY TYPE (net of fees) | ||||||||||||||||||||
Real estate secured loans: | ||||||||||||||||||||
Multifamily residential | $ | 53,812 | $ | 39,925 | $ | 38,066 | ||||||||||||||
Residential 1-4 family | 70,702 | 51,959 | 47,123 | |||||||||||||||||
Residential 1-4 family construction | 86,382 | 96,918 | 98,804 | |||||||||||||||||
Other construction | 155,986 | 126,809 | 120,287 | |||||||||||||||||
Commercial real estate | 329,688 | 306,161 | 302,892 | |||||||||||||||||
Other | 3,801 | 3,999 | 4,177 | |||||||||||||||||
Total real estate loans | 700,371 | 625,771 | 611,349 | |||||||||||||||||
Commercial loans | 209,710 | 186,619 | 185,253 | |||||||||||||||||
Consumer loans | 8,001 | 8,225 | 7,153 | |||||||||||||||||
Other loans | 6,020 | 1,707 | 163 | |||||||||||||||||
Total Loans | $ | 924,102 | $ | 822,322 | $ | 803,918 | ||||||||||||||
ALLOWANCE FOR LOAN LOSSES | ||||||||||||||||||||
Balance at beginning of period | $ | 9,896 | $ | 8,734 | $ | 8,595 | $ | 8,675 | $ | 8,284 | ||||||||||
Provision for loan losses | 1,050 | 275 | 125 | 2,550 | 450 | |||||||||||||||
Loan charge offs | (310 | ) | (335 | ) | (18 | ) | (723 | ) | (61 | ) | ||||||||||
Loan recoveries | 36 | 1 | 32 | 171 | 61 | |||||||||||||||
Net (charge offs) recoveries | (274 | ) | (334 | ) | 14 | (552 | ) | - | ||||||||||||
Balance at end of period | $ | 10,672 | $ | 8,675 | $ | 8,734 | $ | 10,673 | $ | 8,734 | ||||||||||
NONPERFORMING ASSETS | ||||||||||||||||||||
Non-accrual loans | $ | 3,316 | $ | 4,122 | $ | 1,325 | ||||||||||||||
90-day past due loans | - | - | 229 | |||||||||||||||||
Gross nonperforming loans | 3,316 | 4,122 | 1,554 | |||||||||||||||||
Government guarantees on non-accrual and 90-day | ||||||||||||||||||||
past due loans | (239 | ) | (451 | ) | - | |||||||||||||||
Nonperforming loans, net of government guarantees | 3,077 | 3,671 | 1,554 | |||||||||||||||||
Other real estate owned | 3,186 | 423 | - | |||||||||||||||||
Nonperforming assets, net of government guarantees | $ | 6,263 | $ | 4,094 | $ | 1,554 | ||||||||||||||
LOAN QUALITY RATIOS | ||||||||||||||||||||
Allowance for loan losses as a percentage of total loans | ||||||||||||||||||||
outstanding, net of loans held for sale | 1.15 | % | 1.05 | % | 1.09 | % | ||||||||||||||
Allowance for loan losses as a percentage of total | ||||||||||||||||||||
nonperforming loans, net of government guarantees | 346.83 | % | 236.31 | % | 562.03 | % | ||||||||||||||
Net loan charge offs (recoveries) as a percentage of | ||||||||||||||||||||
average loans, annualized | 0.12 | % | 0.16 | % | -0.01 | % | 0.08 | % | 0.00 | % | ||||||||||
Nonperforming loans as a percentage of total loans | 0.36 | % | 0.50 | % | 0.16 | % | ||||||||||||||
Nonperforming assets as a percentage of total assets | 0.60 | % | 0.43 | % | 0.17 | % |
PACIFIC CONTINENTAL CORPORATION
SELECTED OTHER FINANCIAL INFORMATION AND RATIOS (Continued)
Amounts in $ 000’s
(Unaudited)
Quarters Ended | Nine Months Ended | |||||||||||||||||||
September 30, | December 31, | September 30, | September 30, | September 30, | ||||||||||||||||
2008 | 2007 | 2007 | 2008 | 2007 | ||||||||||||||||
BALANCE SHEET AVERAGES | ||||||||||||||||||||
Loans | $ | 913,356 | $ | 812,870 | $ | 793,551 | $ | 876,491 | $ | 787,325 | ||||||||||
Allowance for loan losses | (10,115 | ) | (8,871 | ) | (8,649 | ) | (9,456 | ) | (8,551 | ) | ||||||||||
Loans, net of allowance | 903,241 | 803,999 | 784,902 | 867,035 | 778,774 | |||||||||||||||
Securities and short-term deposits | 59,862 | 58,812 | 45,053 | 62,932 | 43,446 | |||||||||||||||
Earning assets | 963,103 | 862,811 | 829,955 | 929,967 | 822,220 | |||||||||||||||
Non-interest-earning assets | 74,112 | 70,563 | 69,942 | 72,037 | 71,790 | |||||||||||||||
Assets | $ | 1,037,215 | $ | 933,374 | $ | 899,897 | $ | 1,002,004 | $ | 894,010 | ||||||||||
Interest-bearing core deposits (3) | $ | 455,363 | $ | 437,808 | $ | 435,294 | $ | 441,931 | $ | 416,242 | ||||||||||
Non-interest-bearing core deposits (3) | 171,103 | 173,706 | 171,624 | 169,421 | 167,461 | |||||||||||||||
Core deposits (3) | 626,466 | 611,514 | 606,918 | 611,352 | 583,703 | |||||||||||||||
Non-core interest-bearing deposits | 71,799 | 49,588 | 67,525 | 51,118 | 68,747 | |||||||||||||||
Deposits | 698,265 | 661,102 | 674,443 | 662,470 | 652,450 | |||||||||||||||
Borrowings | 222,003 | 160,575 | 116,788 | 224,504 | 135,704 | |||||||||||||||
Non-interest-bearing liabilities | 4,416 | 4,326 | 4,502 | 4,200 | 4,210 | |||||||||||||||
Liabilities | 924,684 | 826,003 | 795,733 | 891,174 | 792,364 | |||||||||||||||
Stockholders' equity (book) | 112,531 | 107,371 | 104,164 | 110,830 | 101,646 | |||||||||||||||
Liabilities and equity | $ | 1,037,215 | $ | 933,374 | $ | 899,897 | $ | 1,002,004 | $ | 894,010 | ||||||||||
Stockholders' equity (tangible) (1) | $ | 89,540 | $ | 84,213 | $ | 80,951 | $ | 87,784 | $ | 78,197 | ||||||||||
SELECTED MARKET DATA | ||||||||||||||||||||
Eugene market loans, net of fees | $ | 224,327 | $ | 217,962 | $ | 216,602 | ||||||||||||||
Portland market loans, net of fees | 423,194 | 389,053 | 390,186 | |||||||||||||||||
Seattle market loans, net of fees | 276,581 | 215,307 | 197,130 | |||||||||||||||||
Total loans, net of fees | $ | 924,102 | $ | 822,322 | $ | 803,918 | ||||||||||||||
Eugene market core deposits (3) | $ | 413,240 | $ | 405,351 | $ | 398,190 | ||||||||||||||
Portland market core deposits (3) | 122,310 | 109,698 | 125,458 | |||||||||||||||||
Seattle market core deposits (3) | 103,889 | 100,843 | 95,817 | |||||||||||||||||
Total core deposits (3) | 639,439 | 615,892 | 619,465 | |||||||||||||||||
Other deposits | 72,201 | 28,532 | 63,750 | |||||||||||||||||
Total | $ | 711,640 | $ | 644,424 | $ | 683,215 | ||||||||||||||
Eugene market core deposits, average (3) | $ | 400,461 | $ | 393,030 | $ | 387,334 | $ | 402,132 | $ | 382,843 | ||||||||||
Portland market core deposits, average (3) | 117,472 | 121,687 | 129,648 | 113,364 | 119,261 | |||||||||||||||
Seattle market core deposits, average (3) | 108,533 | 96,797 | 89,936 | 95,856 | 81,599 | |||||||||||||||
Total core deposits, average (3) | 626,466 | 611,514 | 606,918 | 611,352 | 583,703 | |||||||||||||||
Other deposits, average | 71,799 | 49,588 | 67,525 | 51,118 | 68,747 | |||||||||||||||
Total | $ | 698,265 | $ | 661,102 | $ | 674,443 | $ | 662,470 | $ | 652,450 | ||||||||||
NET INTEREST MARGIN RECONCILIATION | ||||||||||||||||||||
Yield on average loans | 7.06 | % | 8.23 | % | 8.56 | % | 7.27 | % | 8.66 | % | ||||||||||
Yield on average securities | 4.39 | % | 4.59 | % | 4.30 | % | 4.71 | % | 4.20 | % | ||||||||||
Yield on average earning assets | 6.89 | % | 7.98 | % | 8.33 | % | 7.10 | % | 8.43 | % | ||||||||||
Rate on average interest-bearing core deposits | 1.85 | % | 3.24 | % | 3.69 | % | 1.94 | % | 3.74 | % | ||||||||||
Rate on average interest-bearing non-core deposits | 3.21 | % | 5.21 | % | 5.29 | % | 3.69 | % | 5.24 | % | ||||||||||
Rate on average interest-bearing deposits | 2.03 | % | 4.03 | % | 6.19 | % | 3.89 | % | 1.42 | % | ||||||||||
Rate on average borrowings | 3.01 | % | 4.78 | % | 5.08 | % | 3.26 | % | 5.16 | % | ||||||||||
Cost of interest-bearing funds | 2.32 | % | 3.77 | % | 4.12 | % | 2.48 | % | 4.22 | % | ||||||||||
Interest rate spread | 4.57 | % | 4.21 | % | 4.21 | % | 4.62 | % | 4.21 | % | ||||||||||
Net interest margin | 5.08 | % | 5.15 | % | 5.25 | % | 5.18 | % | 5.24 | % | ||||||||||
(1) Tangible equity excludes goodwill and core deposit intangible related to acquisitions. | ||||||||||||||||||||
(2) Efficiency ratio is noninterest expense divided by operating revenues. Operating revenues are net interest income plus noninterest income. | ||||||||||||||||||||
(3) Core deposits include all demand, savings, & interest checking accounts, plus all local time deposits including local time deposits in excess of $100,000. |