Exhibit 99.1
***FOR IMMEDIATE RELEASE***
For: ZIONS BANCORPORATION |
| Contact: Clark Hinckley |
One South Main, Suite 1134 |
| Tel: (801) 524-4787 |
Salt Lake City, Utah |
| October 19, 2004 |
Harris H. Simmons |
|
|
Chairman/Chief Executive Officer |
|
|
ZIONS BANCORPORATION REPORTS RECORD EARNINGS OF
$1.13 PER DILUTED SHARE FOR THIRD QUARTER 2004
Earnings Driven by Strong Loan Originations and Deposit Growth
SALT LAKE CITY, October 19, 2004 – Zions Bancorporation (“Zions” or “the Company”) (Nasdaq: ZION) today reported record third-quarter net income of $102.5 million, or $1.13 per diluted share. Net income and earnings per diluted share increased 65.1% and 66.2% over the $62.1 million, or $0.68 per diluted share for the third quarter of 2003. The return on average common equity was 15.23% in the third quarter of 2004, up from 9.89% for the same period in 2003. Earnings for the third quarter of 2003 included the impact of several strategic actions including the restructuring of Vectra Bank Colorado, the rationalization of branches in Zions Bank, the restructuring of certain debt instruments and the final disposition of certain strategic investments. As reflected in the table presented in the third quarter 2003 earnings release, in aggregate these 2003 events resulted in a net decrease in earnings for that quarter and year to date of $0.37 per diluted share.
“We are pleased to again report record quarterly earnings,” stated Harris H. Simmons, chairman and chief executive officer, noting “For the first time in Zions’ history quarterly earnings exceeded $100 million. Earnings were driven by continued strong loan originations and strong deposit growth, coupled with an improvement in the net interest margin. Credit quality remains excellent with net charge-offs under $10 million for the third consecutive quarter and the ratio of nonperforming assets to net loans and leases and other real estate owned at the lowest level in 26 quarters.”
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ZIONS BANCORPORATION
Press Release – Page 2
October 19, 2004
“This strong earnings performance was achieved in spite of significant investments in our business,” added Simmons. “We added significantly to our commercial loan origination capabilities with the hiring of an experienced commercial lending team of 39 in Utah and Idaho, and we continued to invest in our nascent wealth management business and in NetDeposit, our Check 21 Act subsidiary.”
Year-to-date net income for 2004 increased 24.3% to $301.0 million, or $3.31 per diluted share, compared to $242.2 million, or $2.67 per diluted share for the comparable period of 2003. The return on average common equity for the first nine months of 2004 was 15.32%, compared to 13.21% for the same period in 2003.
Loan and Deposit Growth
On-balance-sheet net loans and leases at September 30, 2004 were $21.5 billion, essentially unchanged from the June 30, 2004 balance, and an increase of 10.7% from $19.4 billion at September 30, 2003. During the quarter, a total of $743 million of loans were removed from the balance sheet through securitizations and sales and offset by a similar amount of new loan originations. Zions First National Bank securitized $640 million of small business loans, while $103 million of loans were sold in connection with branch sales at Vectra Bank Colorado. Partially offsetting the effects of the securitization, Zions First National Bank added approximately $360 million of new loans to its portfolio during the quarter. In addition, strong loan growth in Arizona and Nevada continued during the third quarter, adding approximately $270 million in on-balance sheet loans. Further, loan demand continues to show strength in California where approximately $140 million in loans were added to the balance sheet during the quarter.
Total deposits at the end of the third quarter 2004 increased to $23.2 billion, or an annualized rate of 12.4% over the balances reported at June 30, 2004, and 11.0% from the balances reported one year ago. Core deposits increased 12.9%, annualized, for the quarter and 12.0% year-over-year.
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ZIONS BANCORPORATION
Press Release – Page 3
October 19, 2004
Net Interest Income
Taxable-equivalent net interest income increased 6.1% for the quarter to $300.0 million compared to $282.8 million for the third quarter of 2003. The increase reflects the previously discussed loan and deposit growth, partially offset by the effects of the securitization and branch sales noted earlier. For the third quarter of 2004, the net interest margin was 4.25%, compared to 4.20% for the second quarter of 2004 and 4.39% for the third quarter of 2003.
Noninterest Income
For the third quarter of 2004, noninterest income increased 2.1% to $109.5 million compared with $107.3 million for the second quarter of 2004, and decreased 42.4% compared to $190.2 million for the third quarter of 2003. However, noninterest income for the third quarter of 2003 includes $77.4 million in net equity securities gains, which resulted primarily from management’s decision to sell certain of the Company’s equity security investments.
Loan sales and servicing income for the quarter decreased $3.9 million compared to the third quarter of 2003 due in part to reduced residential mortgage originations. However, loan sales and servicing income for the third quarter of 2004 increased $1.2 million over the second quarter primarily as a result of the previously discussed small business loan securitization, which generated a gain on sale of $0.8 million. Market making, trading and nonhedge derivative income declined $4.8 million compared with the same period in 2003. The decrease was caused primarily by a $4.3 million decline in trading income resulting primarily from lower average spreads realized on each trade. Net equity securities gains were $4.3 million for the third quarter of 2004 and include $3.3 million in net gains on venture capital investments, while for the same period in 2003 net venture capital losses were $7.8 million. Adjusted for expenses, minority interest and income taxes, venture capital investments increased net income by $0.9 million in the third quarter of 2004 and decreased net income by $3.5 million in the third quarter of 2003.
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ZIONS BANCORPORATION
Press Release – Page 4
October 19, 2004
Noninterest Expense
Noninterest expense for the third quarter of 2004 was $232.8 million, an increase of 1.2% from the $230.0 million in the second quarter of 2004, and a decrease of 5.2% from $245.5 million for the third quarter of 2003. However, noninterest expense for the third quarter of 2003 includes $24.2 million of debt extinguishment costs.
Salaries and employee benefits increased from the second quarter of 2004, primarily as the result of an extra work day in the third quarter, increased incentive plan costs, and additional staffing related to the build out of our wealth management business, the hiring of the commercial lending team in Utah and Idaho and other business expansion. Legal and professional services decreased compared with the second quarter of 2004, primarily as a result of the completion of a major systems conversion project during the second quarter of 2004.
The efficiency ratio for the third quarter of 2004 was 56.8% compared to 57.9% for the second quarter of 2004 and 52.1% for the third quarter of 2003. The efficiency ratio was unusually low in the third quarter of 2003 as a result of the previously mentioned large gains from equity securities.
Asset Quality
The ratio of nonperforming assets to net loans and leases and other real estate owned improved to 0.42% at September 30, 2004, which is the lowest that this ratio has been since March 1998. This compares to 0.50% at June 30, 2004 and 0.56% at September 30, 2003.
Net loan and lease losses were slightly below $10.0 million or 0.19% of average loans on an annualized basis for both the second and third quarters of 2004. This compares with $18.4 million or 0.38%, annualized, for the third quarter of 2003. At September 30, 2004, the allowance for loan losses was $269.4 million or 1.25% of total loans and 350.4% of nonperforming loans. In addition, continued strong originations led to an increase in the allowance for unfunded lending commitments to $12.0 million at September 30, 2004 from $11.1 million at June 30, 2004.
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ZIONS BANCORPORATION
Press Release – Page 5
October 19, 2004
The provision for loan losses for the third quarter of 2004 was $9.4 million compared to $10.3 million provided during the second quarter of 2004 and $18.3 million for the third quarter of 2003. The declining trend in the provision since last year corresponds with improvements in credit quality experienced in the loan portfolio. Including the provision for unfunded lending commitments that is included in noninterest expense, the aggregate provisions for credit losses were $10.3 million for the third quarter of 2004 compared to $10.9 million for the second quarter.
Restructuring
During the third quarter of 2004, the Company made the decision to reorganize the operations at Zions Bank International Ltd. (formerly Van der Moolen UK Ltd.) as a result of disappointing operating performance. The decision resulted in terminating the Euro denominated bond trading operations and moving substantially all of the U.S. dollar bond trading operations from the United Kingdom to the Company’s existing U.S. operations. This reorganization also resulted in restructuring charges of $370 thousand, an impairment write-down of goodwill of $602 thousand and impairment of other intangibles of $160 thousand.
Capital Management
During the third quarter of 2004, Zions repurchased 404,338 shares of its common stock at an average price of $61.83 per share. For the nine months ended September 30, 2004, the Company repurchased 1,347,441 shares at an average per share price of $59.28. As of September 30, 2004, approximately $25 million of the current repurchase program was available for share repurchases.
Weighted average common and common-equivalent shares outstanding for the third quarter of 2004 were 90,956,674 compared to 90,658,259 for the second quarter of 2004 and 90,810,743 for the third quarter of 2003. The increase in shares from the second quarter of 2004 reflects the effects of the higher average stock price for the quarter, which increased common-equivalent shares.
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ZIONS BANCORPORATION
Press Release – Page 6
October 19, 2004
The Company’s tangible common equity ratio was 6.74% at September 30, 2004, compared to 6.37% at June 30, 2004 and 6.55% at September 30, 2003. The improvement in the ratio at September 30, 2004 was principally due to retained earnings and a $23.5 million increase in accumulated other comprehensive income, which resulted primarily from increases in the market value of investment securities and derivatives.
Conference Call
Zions will host a conference call to discuss these third quarter results at 5:30 p.m. EDT this afternoon (October 19, 2004). Media representatives, analysts and the public are invited to listen to this discussion by calling 1-800-299-0433, or via on-demand webcast. A link to the webcast will be available on the Zions Bancorporation Web site at www.zionsbancorporation.com. A replay of the call will be available from approximately 7:30 p.m. EDT on Tuesday, October 19 through midnight EDT on Tuesday, October 26, by dialing 1-888-286-8010 and entering the passcode (55006837). The webcast of the conference call will also be archived and available until October 26.
About Zions Bancorporation
Zions Bancorporation is one of the nation’s premier financial services companies, consisting of a collection of great banks in select high growth markets. Under local management teams and community identities, Zions operates approximately 400 full-service banking offices in Arizona, California, Colorado, Idaho, Nevada, New Mexico, Utah and Washington. In addition, Zions is a national leader in SBA lending, public finance advisory services, agricultural finance and electronic bond trading. The Company is included in the S&P 500 Index. Investor information and links to subsidiary banks can be accessed at www.zionsbancorporation.com.
Forward-Looking Information
Statements in this news release that are based on other than historical data are forward-looking, within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements provide current expectations or forecasts of future events. These forward-looking statements are not
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ZIONS BANCORPORATION
Press Release – Page 7
October 19, 2004
guarantees of future performance, nor should they be relied upon as representing management’s views as of any subsequent date. Forward-looking statements involve significant risks and uncertainties and actual results may differ materially from those presented, either expressed or implied, in this news release. Factors that might cause such differences include, but are not limited to: changes in general economic and financial market conditions, either nationally or locally in areas in which the Company conducts its operations; changes in interest rates; continuing consolidation in the financial services industry; new litigation or changes in existing litigation; increased competitive pressures among financial institutions; legislation or regulatory changes which adversely affect the Company’s operations or business; and changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board or other regulatory agencies. The Company specifically disclaims any obligation to update any factors or to publicly announce the result of revisions to any of the forward-looking statements included herein to reflect future events or developments.
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ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 8
FINANCIAL HIGHLIGHTS
(Unaudited)
(In thousands, except per share and ratio data) |
|
| Three Months Ended |
|
| Nine Months Ended |
|
| |||||||||||||||||||
|
|
| 2004 |
|
|
| 2003 |
|
| % Change |
|
| 2004 |
|
|
| 2003 |
|
| % Change |
|
| |||||
EARNINGS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Taxable-equivalent net interest income |
|
| $ | 300,047 |
|
|
| $ | 282,776 |
|
| 6.11 % |
|
|
| $ | 877,291 |
|
|
| $ | 834,550 |
|
| 5.12 % |
|
|
Taxable-equivalent revenue |
|
| 409,540 |
|
|
| 472,952 |
|
| (13.41)% |
|
|
| 1,200,113 |
|
|
| 1,221,892 |
|
| (1.78)% |
|
| ||||
Net interest income |
|
| 294,778 |
|
|
| 277,079 |
|
| 6.39 % |
|
|
| 861,206 |
|
|
| 817,240 |
|
| 5.38 % |
|
| ||||
Noninterest income |
|
| 109,493 |
|
|
| 190,176 |
|
| (42.43)% |
|
|
| 322,822 |
|
|
| 387,342 |
|
| (16.66)% |
|
| ||||
Provision for loan losses |
|
| 9,363 |
|
|
| 18,260 |
|
| (48.72)% |
|
|
| 30,908 |
|
|
| 53,960 |
|
| (42.72)% |
|
| ||||
Noninterest expense |
|
| 232,813 |
|
|
| 245,506 |
|
| (5.17)% |
|
|
| 685,127 |
|
|
| 675,895 |
|
| 1.37 % |
|
| ||||
Impairment loss on goodwill |
|
| 602 |
|
|
| 75,628 |
|
| (99.20)% |
|
|
| 602 |
|
|
| 75,628 |
|
| (99.20)% |
|
| ||||
Income before income taxes and minority interest |
|
| 161,493 |
|
|
| 127,861 |
|
| 26.30 % |
|
|
| 467,391 |
|
|
| 399,099 |
|
| 17.11 % |
|
| ||||
Income taxes |
|
| 58,140 |
|
|
| 66,511 |
|
| (12.59)% |
|
|
| 167,485 |
|
|
| 161,861 |
|
| 3.47 % |
|
| ||||
Minority interest |
|
| 858 |
|
|
| (2,849 | ) |
| (130.12)% |
|
|
| (1,100 | ) |
|
| (6,745 | ) |
| (83.69)% |
|
| ||||
Income from continuing operations |
|
| 102,495 |
|
|
| 64,199 |
|
| 59.65 % |
|
|
| 301,006 |
|
|
| 243,983 |
|
| 23.37 % |
|
| ||||
Loss on discontinued operations |
|
| – |
|
|
| (2,115 | ) |
| (100.00)% |
|
|
| – |
|
|
| (1,770 | ) |
| (100.00)% |
|
| ||||
Net income |
|
| 102,495 |
|
|
| 62,084 |
|
| 65.09 % |
|
|
| 301,006 |
|
|
| 242,213 |
|
| 24.27 % |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
PER COMMON SHARE |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Net income (diluted) |
|
| 1.13 |
|
|
| 0.68 |
|
| 66.18 % |
|
|
| 3.31 |
|
|
| 2.67 |
|
| 23.97 % |
|
| ||||
Income from continuing operations (diluted) |
|
| 1.13 |
|
|
| 0.71 |
|
| 59.15 % |
|
|
| 3.31 |
|
|
| 2.69 |
|
| 23.05 % |
|
| ||||
Loss on discontinued operations (diluted) |
|
| – |
|
|
| (0.03 | ) |
| (100.00)% |
|
|
| – |
|
|
| (0.02 | ) |
| (100.00)% |
|
| ||||
Dividends |
|
| 0.32 |
|
|
| 0.30 |
|
| 6.67 % |
|
|
| 0.94 |
|
|
| 0.72 |
|
| 30.56 % |
|
| ||||
Book value |
|
|
|
|
|
|
|
|
|
|
|
|
| 30.39 |
|
|
| 27.66 |
|
| 9.87 % |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
SELECTED RATIOS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Return on average assets |
|
| 1.30 % |
|
|
| 0.86 % |
|
|
|
|
|
| 1.31 % |
|
|
| 1.16 % |
|
|
|
|
| ||||
Return on average common equity |
|
| 15.23 % |
|
|
| 9.89 % |
|
|
|
|
|
| 15.32 % |
|
|
| 13.21 % |
|
|
|
|
| ||||
Efficiency ratio |
|
| 56.85 % |
|
|
| 52.08 % |
|
|
|
|
|
| 57.09 % |
|
|
| 55.42 % |
|
|
|
|
| ||||
Net interest margin |
|
| 4.25 % |
|
|
| 4.39 % |
|
|
|
|
|
| 4.26 % |
|
|
| 4.48 % |
|
|
|
|
| ||||
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ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 9
FINANCIAL HIGHLIGHTS (Continued)
(Unaudited)
(In thousands, except share and ratio data) |
| Three Months Ended |
| Nine Months Ended |
| ||||||||||||||||||||||||
|
|
| 2004 |
|
|
| 2003 |
|
| % Change |
|
| 2004 |
|
|
| 2003 |
|
| % Change |
| ||||||||
AVERAGE BALANCES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total assets |
|
| $ | 31,368,578 |
|
|
| $ | 28,696,504 |
|
|
| 9.31 % |
|
|
| $ | 30,746,329 |
|
|
| $ | 28,015,477 |
|
|
| 9.75 % |
|
|
Securities |
|
| 5,232,188 |
|
|
| 4,644,337 |
|
|
| 12.66 % |
|
|
| 5,181,732 |
|
|
| 4,308,192 |
|
|
| 20.28 % |
|
| ||||
Net loans and leases |
|
| 21,220,481 |
|
|
| 19,577,780 |
|
|
| 8.39 % |
|
|
| 20,770,913 |
|
|
| 19,252,293 |
|
|
| 7.89 % |
|
| ||||
Goodwill |
|
| 645,462 |
|
|
| 729,149 |
|
|
| (11.48)% |
|
|
| 649,751 |
|
|
| 729,769 |
|
|
| (10.96)% |
|
| ||||
Core deposit and other intangibles |
|
| 62,923 |
|
|
| 76,457 |
|
|
| (17.70)% |
|
|
| 66,622 |
|
|
| 79,148 |
|
|
| (15.83)% |
|
| ||||
Total deposits |
|
| 22,729,540 |
|
|
| 20,425,204 |
|
|
| 11.28 % |
|
|
| 21,754,978 |
|
|
| 20,074,737 |
|
|
| 8.37 % |
|
| ||||
Core deposits (1) |
|
| 21,463,026 |
|
|
| 19,129,253 |
|
|
| 12.20 % |
|
|
| 20,521,173 |
|
|
| 18,775,337 |
|
|
| 9.30 % |
|
| ||||
Minority interest |
|
| 23,791 |
|
|
| 20,930 |
|
|
| 13.67 % |
|
|
| 22,456 |
|
|
| 22,293 |
|
|
| 0.73 % |
|
| ||||
Shareholders’ equity |
|
| 2,677,404 |
|
|
| 2,489,613 |
|
|
| 7.54 % |
|
|
| 2,625,039 |
|
|
| 2,450,617 |
|
|
| 7.12 % |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Weighted average common and common-equivalent shares outstanding |
|
| 90,956,674 |
|
|
| 90,810,743 |
|
|
| 0.16 % |
|
|
| 90,819,586 |
|
|
| 90,621,048 |
|
|
| 0.22 % |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
AT PERIOD END |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
| $ | 30,731,040 |
|
|
| $ | 27,604,188 |
|
|
| 11.33 % |
|
| ||
Securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 5,058,691 |
|
|
| 4,339,956 |
|
|
| 16.56 % |
|
| ||||
Net loans and leases |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 21,507,043 |
|
|
| 19,434,101 |
|
|
| 10.67 % |
|
| ||||
Sold loans being serviced (2) |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 3,152,924 |
|
|
| 2,894,638 |
|
|
| 8.92 % |
|
| ||||
Allowance for loan losses |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 269,413 |
|
|
| 281,311 |
|
|
| (4.23)% |
|
| ||||
Allowance for unfunded lending commitments |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 12,030 |
|
|
| – |
|
|
| – |
|
| ||||
Goodwill |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 642,645 |
|
|
| 654,161 |
|
|
| (1.76)% |
|
| ||||
Core deposit and other intangibles |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 57,665 |
|
|
| 72,265 |
|
|
| (20.20)% |
|
| ||||
Total deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 23,165,131 |
|
|
| 20,874,124 |
|
|
| 10.98 % |
|
| ||||
Core deposits (1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 21,883,851 |
|
|
| 19,546,495 |
|
|
| 11.96 % |
|
| ||||
Minority interest |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 24,481 |
|
|
| 20,216 |
|
|
| 21.10 % |
|
| ||||
Shareholders’ equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 2,724,261 |
|
|
| 2,485,971 |
|
|
| 9.59 % |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Common shares outstanding |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 89,638,753 |
|
|
| 89,864,022 |
|
|
| (0.25)% |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Average equity to average assets |
|
| 8.54% |
|
|
| 8.68% |
|
|
|
|
|
|
| 8.54% |
|
|
| 8.75% |
|
|
|
|
|
| ||||
Common dividend payout |
|
| 28.10% |
|
|
| 43.39% |
|
|
|
|
|
|
| 28.49% |
|
|
| 26.79% |
|
|
|
|
|
| ||||
Tangible common equity ratio |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 6.74% |
|
|
| 6.55% |
|
|
|
|
|
| ||||
Nonperforming assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 91,105 |
|
|
| 109,566 |
|
|
| (16.85)% |
|
| ||||
Loans past due 90 days or more |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 18,182 |
|
|
| 36,752 |
|
|
| (50.53)% |
|
| ||||
Nonperforming assets to net loans and leases and other real estate owned at period end |
|
|
|
|
|
|
|
|
|
|
|
|
|
| 0.42% |
|
|
| 0.56% |
|
|
|
|
|
| ||||
(1) Amount consists of total deposits excluding time deposits $100,000 and over.
(2) Amount represents the outstanding balance of loans sold and being serviced by the Company, excluding conforming first mortgage residential real estate loans.
- more -
ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 10
FINANCIAL HIGHLIGHTS (Continued)
(Unaudited)
|
|
| Three Months Ended |
| |||||||||||||||||||||
(In thousands, except per share and ratio data) |
| September 30, |
|
| June 30, |
|
|
| March 31, |
|
| December 31, |
| September 30, |
| ||||||||||
|
|
| 2004 |
|
|
| 2003 |
| |||||||||||||||||
EARNINGS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Taxable-equivalent net interest income |
|
| $ | 300,047 |
|
|
| $ | 289,630 |
|
|
| $ | 287,614 |
|
|
| $ | 283,866 |
|
|
| $ | 282,776 |
|
Taxable-equivalent revenue |
|
| 409,540 |
|
|
| 396,909 |
|
|
| 393,664 |
|
|
| 386,619 |
|
|
| 472,952 |
| |||||
Net interest income |
|
| 294,778 |
|
|
| 284,245 |
|
|
| 282,183 |
|
|
| 278,254 |
|
|
| 277,079 |
| |||||
Noninterest income |
|
| 109,493 |
|
|
| 107,279 |
|
|
| 106,050 |
|
|
| 102,753 |
|
|
| 190,176 |
| |||||
Provision for loan losses |
|
| 9,363 |
|
|
| 10,301 |
|
|
| 11,244 |
|
|
| 15,980 |
|
|
| 18,260 |
| |||||
Noninterest expense |
|
| 232,813 |
|
|
| 229,976 |
|
|
| 222,338 |
|
|
| 217,967 |
|
|
| 245,506 |
| |||||
Impairment loss on goodwill |
|
| 602 |
|
|
| – |
|
|
| – |
|
|
| – |
|
|
| 75,628 |
| |||||
Income before income taxes and minority interest |
|
| 161,493 |
|
|
| 151,247 |
|
|
| 154,651 |
|
|
| 147,060 |
|
|
| 127,861 |
| |||||
Income taxes |
|
| 58,140 |
|
|
| 54,631 |
|
|
| 54,714 |
|
|
| 51,890 |
|
|
| 66,511 |
| |||||
Minority interest |
|
| 858 |
|
|
| (2,226 | ) |
|
| 268 |
|
|
| (440 | ) |
|
| (2,849 |
| |||||
Income from continuing operations |
|
| 102,495 |
|
|
| 98,842 |
|
|
| 99,669 |
|
|
| 95,610 |
|
|
| 64,199 |
| |||||
Loss on discontinued operations |
|
| – |
|
|
| – |
|
|
| – |
|
|
| – |
|
|
| (2,115 |
| |||||
Net income |
|
| 102,495 |
|
|
| 98,842 |
|
|
| 99,669 |
|
|
| 95,610 |
|
|
| 62,084 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
PER COMMON SHARE |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Net income (diluted) |
|
| 1.13 |
|
|
| 1.09 |
|
|
| 1.10 |
|
|
| 1.05 |
|
|
| 0.68 |
| |||||
Income from continuing operations (diluted) |
|
| 1.13 |
|
|
| 1.09 |
|
|
| 1.10 |
|
|
| 1.05 |
|
|
| 0.71 |
| |||||
Loss on discontinued operations (diluted) |
|
| – |
|
|
| – |
|
|
| – |
|
|
| – |
|
|
| (0.03 |
| |||||
Dividends |
|
| 0.32 |
|
|
| 0.32 |
|
|
| 0.30 |
|
|
| 0.30 |
|
|
| 0.30 |
| |||||
Book value |
|
| 30.39 |
|
|
| 29.37 |
|
|
| 29.23 |
|
|
| 28.27 |
|
|
| 27.66 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
SELECTED RATIOS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Return on average assets |
|
| 1.30% |
|
|
| 1.28% |
|
|
| 1.34% |
|
|
| 1.32% |
|
|
| 0.86% |
| |||||
Return on average common equity |
|
| 15.23% |
|
|
| 15.18% |
|
|
| 15.54% |
|
|
| 15.05% |
|
|
| 9.89% |
| |||||
Efficiency ratio |
|
| 56.85% |
|
|
| 57.94% |
|
|
| 56.48% |
|
|
| 56.38% |
|
|
| 52.08% |
| |||||
Net interest margin |
|
| 4.25% |
|
|
| 4.20% |
|
|
| 4.32% |
|
|
| 4.39% |
|
|
| 4.39% |
| |||||
- more -
ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 11
FINANCIAL HIGHLIGHTS (Continued)
(Unaudited)
|
|
| Three Months Ended |
| |||||||||||||||||||||
(In thousands, except share and ratio data) |
| September 30, |
|
| June 30, |
|
|
| March 31, |
|
|
| December 31, |
|
| September 30, |
| ||||||||
|
|
| 2004 |
|
|
| 2003 |
| |||||||||||||||||
AVERAGE BALANCES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Total assets |
|
| $ | 31,368,578 |
|
|
| $ | 31,040,639 |
|
|
| $ | 29,822,933 |
|
|
| $ | 28,761,614 |
|
|
| $ | 28,696,504 |
|
Securities |
|
| 5,232,188 |
|
|
| 5,224,576 |
|
|
| 5,087,878 |
|
|
| 4,858,930 |
|
|
| 4,644,337 |
| |||||
Net loans and leases |
|
| 21,220,481 |
|
|
| 20,969,643 |
|
|
| 20,117,675 |
|
|
| 19,539,294 |
|
|
| 19,577,780 |
| |||||
Goodwill |
|
| 645,462 |
|
|
| 650,160 |
|
|
| 653,678 |
|
|
| 654,151 |
|
|
| 729,149 |
| |||||
Core deposit and other intangibles |
|
| 62,923 |
|
|
| 67,031 |
|
|
| 69,953 |
|
|
| 72,499 |
|
|
| 76,457 |
| |||||
Total deposits |
|
| 22,729,540 |
|
|
| 21,640,762 |
|
|
| 20,883,922 |
|
|
| 20,782,912 |
|
|
| 20,425,204 |
| |||||
Core deposits (1) |
|
| 21,463,026 |
|
|
| 20,409,823 |
|
|
| 19,680,319 |
|
|
| 19,521,067 |
|
|
| 19,129,253 |
| |||||
Minority interest |
|
| 23,791 |
|
|
| 21,750 |
|
|
| 21,812 |
|
|
| 20,297 |
|
|
| 20,930 |
| |||||
Shareholders’ equity |
|
| 2,677,404 |
|
|
| 2,618,259 |
|
|
| 2,578,879 |
|
|
| 2,520,280 |
|
|
| 2,489,613 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Weighted average common and common- equivalent shares outstanding |
|
| 90,956,674 |
|
|
| 90,658,259 |
|
|
| 90,905,218 |
|
|
| 91,407,363 |
|
|
| 90,810,743 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
AT PERIOD END |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Total assets |
|
| $ | 30,731,040 |
|
|
| $ | 30,894,325 |
|
|
| $ | 29,789,703 |
|
|
| $ | 28,558,238 |
|
|
| $ | 27,604,188 |
|
Securities |
|
| 5,058,691 |
|
|
| 5,028,173 |
|
|
| 4,857,025 |
|
|
| 4,818,017 |
|
|
| 4,339,956 |
| |||||
Net loans and leases |
|
| 21,507,043 |
|
|
| 21,497,058 |
|
|
| 20,620,718 |
|
|
| 19,920,361 |
|
|
| 19,434,101 |
| |||||
Sold loans being serviced (2) |
|
| 3,152,924 |
|
|
| 2,643,927 |
|
|
| 2,707,128 |
|
|
| 2,782,175 |
|
|
| 2,894,638 |
| |||||
Allowance for loan losses |
|
| 269,413 |
|
|
| 271,554 |
|
|
| 271,226 |
|
|
| 268,506 |
|
|
| 281,311 |
| |||||
Allowance for unfunded lending commitments |
|
| 12,030 |
|
|
| 11,098 |
|
|
| 10,476 |
|
|
| 12,215 |
|
|
| – |
| |||||
Goodwill |
|
| 642,645 |
|
|
| 650,557 |
|
|
| 649,354 |
|
|
| 654,152 |
|
|
| 654,161 |
| |||||
Core deposit and other intangibles |
|
| 57,665 |
|
|
| 62,221 |
|
|
| 65,245 |
|
|
| 68,747 |
|
|
| 72,265 |
| |||||
Total deposits |
|
| 23,165,131 |
|
|
| 22,470,488 |
|
|
| 21,485,880 |
|
|
| 20,896,695 |
|
|
| 20,874,124 |
| |||||
Core deposits (1) |
|
| 21,883,851 |
|
|
| 21,198,263 |
|
|
| 20,283,721 |
|
|
| 19,669,582 |
|
|
| 19,546,495 |
| |||||
Minority interest |
|
| 24,481 |
|
|
| 21,721 |
|
|
| 23,847 |
|
|
| 19,776 |
|
|
| 20,216 |
| |||||
Shareholders’ equity |
|
| 2,724,261 |
|
|
| 2,636,451 |
|
|
| 2,621,965 |
|
|
| 2,540,023 |
|
|
| 2,485,971 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Common shares outstanding |
|
| 89,638,753 |
|
|
| 89,752,384 |
|
|
| 89,693,704 |
|
|
| 89,840,638 |
|
|
| 89,864,022 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Average equity to average assets |
|
| 8.54% |
|
|
| 8.43% |
|
|
| 8.65% |
|
|
| 8.76% |
|
|
| 8.68% |
| |||||
Common dividend payout |
|
| 28.10% |
|
|
| 29.12% |
|
|
| 28.26% |
|
|
| 28.24% |
|
|
| 43.39% |
| |||||
Tangible common equity ratio |
|
| 6.74% |
|
|
| 6.37% |
|
|
| 6.56% |
|
|
| 6.53% |
|
|
| 6.55% |
| |||||
Nonperforming assets |
|
| 91,105 |
|
|
| 106,750 |
|
|
| 109,487 |
|
|
| 97,964 |
|
|
| 109,566 |
| |||||
Loans past due 90 days or more |
|
| 18,182 |
|
|
| 18,109 |
|
|
| 26,307 |
|
|
| 24,231 |
|
|
| 36,752 |
| |||||
Nonperforming assets to net loans and leases and other real estate owned at period end |
|
| 0.42% |
|
|
| 0.50% |
|
|
| 0.53% |
|
|
| 0.49% |
|
|
| 0.56% |
| |||||
(1) Amount consists of total deposits excluding time deposits $100,000 and over.
(2) Amount represents the outstanding balance of loans sold and being serviced by the Company, excluding conforming first mortgage residential real estate loans.
- more -
ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 12
CONSOLIDATED BALANCE SHEETS
|
| September 30, |
|
| June 30, |
|
| December 31, |
| September 30, |
| |||||||||
(In thousands, except share amounts) |
|
| (Unaudited) |
|
|
| (Unaudited) |
|
|
|
|
|
|
| (Unaudited) |
| ||||
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Cash and due from banks |
|
| $ | 1,066,516 |
|
|
| $ | 1,124,832 |
|
|
| $ | 1,119,351 |
|
|
| $ | 1,168,611 |
|
Money market investments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Interest-bearing deposits |
|
| 2,893 |
|
|
| 3,767 |
|
|
| 884 |
|
|
| 618 |
| ||||
Federal funds sold |
|
| 106,957 |
|
|
| 57,115 |
|
|
| 54,850 |
|
|
| 9,349 |
| ||||
Security resell agreements |
|
| 698,569 |
|
|
| 770,139 |
|
|
| 512,960 |
|
|
| 479,465 |
| ||||
Investment securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Held to maturity, at cost (approximate market value $640,462, $634,127, $0 and $0) |
|
| 639,372 |
|
|
| 642,504 |
|
|
| – |
|
|
| – |
| ||||
Available for sale, at market |
|
| 3,986,046 |
|
|
| 3,784,086 |
|
|
| 4,437,793 |
|
|
| 3,946,261 |
| ||||
Trading account, at market (includes $120,825, $369,883, $211,943 and $108,772 transferred as collateral under repurchase agreements) |
|
| 433,273 |
|
|
| 601,583 |
|
|
| 380,224 |
|
|
| 393,695 |
| ||||
|
|
| 5,058,691 |
|
|
| 5,028,173 |
|
|
| 4,818,017 |
|
|
| 4,339,956 |
| ||||
Loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Loans held for sale |
|
| 151,199 |
|
|
| 140,982 |
|
|
| 176,886 |
|
|
| 216,026 |
| ||||
Loans, leases and other receivables |
|
| 21,459,920 |
|
|
| 21,457,499 |
|
|
| 19,839,755 |
|
|
| 19,313,092 |
| ||||
|
|
| 21,611,119 |
|
|
| 21,598,481 |
|
|
| 20,016,641 |
|
|
| 19,529,118 |
| ||||
Less: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Unearned income and fees, net of related costs |
|
| 104,076 |
|
|
| 101,423 |
|
|
| 96,280 |
|
|
| 95,017 |
| ||||
Allowance for loan losses |
|
| 269,413 |
|
|
| 271,554 |
|
|
| 268,506 |
|
|
| 281,311 |
| ||||
Net loans |
|
| 21,237,630 |
|
|
| 21,225,504 |
|
|
| 19,651,855 |
|
|
| 19,152,790 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Other noninterest bearing investments |
|
| 666,214 |
|
|
| 640,471 |
|
|
| 584,377 |
|
|
| 573,726 |
| ||||
Premises and equipment, net |
|
| 404,226 |
|
|
| 402,203 |
|
|
| 407,825 |
|
|
| 403,090 |
| ||||
Goodwill |
|
| 642,645 |
|
|
| 650,557 |
|
|
| 654,152 |
|
|
| 654,161 |
| ||||
Core deposit and other intangibles |
|
| 57,665 |
|
|
| 62,221 |
|
|
| 68,747 |
|
|
| 72,265 |
| ||||
Other real estate owned |
|
| 14,222 |
|
|
| 13,590 |
|
|
| 18,596 |
|
|
| 27,424 |
| ||||
Other assets |
|
| 774,812 |
|
|
| 915,753 |
|
|
| 666,624 |
|
|
| 722,733 |
| ||||
|
|
| $ | 30,731,040 |
|
|
| $ | 30,894,325 |
|
|
| $ | 28,558,238 |
|
|
| $ | 27,604,188 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Noninterest-bearing demand |
|
| $ | 6,656,856 |
|
|
| $ | 6,585,035 |
|
|
| $ | 5,882,929 |
|
|
| $ | 5,726,664 |
|
Interest-bearing: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Savings and money market |
|
| 13,446,840 |
|
|
| 12,838,974 |
|
|
| 12,044,499 |
|
|
| 12,065,766 |
| ||||
Time under $100,000 |
|
| 1,388,649 |
|
|
| 1,419,984 |
|
|
| 1,507,628 |
|
|
| 1,553,127 |
| ||||
Time $100,000 and over |
|
| 1,281,280 |
|
|
| 1,272,225 |
|
|
| 1,227,113 |
|
|
| 1,327,629 |
| ||||
Foreign |
|
| 391,506 |
|
|
| 354,270 |
|
|
| 234,526 |
|
|
| 200,938 |
| ||||
|
|
| 23,165,131 |
|
|
| 22,470,488 |
|
|
| 20,896,695 |
|
|
| 20,874,124 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Securities sold, not yet purchased |
|
| 376,150 |
|
|
| 517,176 |
|
|
| 263,379 |
|
|
| 262,439 |
| ||||
Federal funds purchased |
|
| 1,069,430 |
|
|
| 1,056,695 |
|
|
| 1,370,619 |
|
|
| 904,839 |
| ||||
Security repurchase agreements |
|
| 723,000 |
|
|
| 1,024,427 |
|
|
| 841,170 |
|
|
| 690,910 |
| ||||
Other liabilities |
|
| 539,694 |
|
|
| 607,676 |
|
|
| 442,020 |
|
|
| 474,665 |
| ||||
Commercial paper |
|
| 168,344 |
|
|
| 188,612 |
|
|
| 126,144 |
|
|
| 109,771 |
| ||||
Federal Home Loan Bank advances and other borrowings: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
One year or less |
|
| 18,106 |
|
|
| 416,630 |
|
|
| 215,354 |
|
|
| 15,790 |
| ||||
Over one year |
|
| 228,733 |
|
|
| 230,128 |
|
|
| 231,440 |
|
|
| 233,027 |
| ||||
Long-term debt |
|
| 1,693,710 |
|
|
| 1,724,321 |
|
|
| 1,611,618 |
|
|
| 1,532,436 |
| ||||
Total liabilities |
|
| 27,982,298 |
|
|
| 28,236,153 |
|
|
| 25,998,439 |
|
|
| 25,098,001 |
| ||||
Minority interest |
|
| 24,481 |
|
|
| 21,721 |
|
|
| 19,776 |
|
|
| 20,216 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Shareholders’ equity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Capital stock: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Preferred stock, without par value; authorized 3,000,000 shares; issued and outstanding, none |
|
| – |
|
|
| – |
|
|
| – |
|
|
| – |
| ||||
Common stock, without par value; authorized 350,000,000 shares; issued and outstanding 89,638,753, 89,752,384, 89,840,638 and 89,864,022 shares |
|
| 965,166 |
|
|
| 974,479 |
|
|
| 985,904 |
|
|
| 991,866 |
| ||||
Retained earnings |
|
| 1,753,934 |
|
|
| 1,680,240 |
|
|
| 1,538,677 |
|
|
| 1,470,063 |
| ||||
Accumulated other comprehensive income (loss) |
|
| 9,240 |
|
|
| (14,238 | ) |
|
| 19,041 |
|
|
| 27,028 |
| ||||
Shares held in trust for deferred compensation, at cost |
|
| (4,079 | ) |
|
| (4,030 | ) |
|
| (3,599 | ) |
|
| (2,986 | ) | ||||
Total shareholders’ equity |
|
| 2,724,261 |
|
|
| 2,636,451 |
|
|
| 2,540,023 |
|
|
| 2,485,971 |
| ||||
|
|
| $ | 30,731,040 |
|
|
| $ | 30,894,325 |
|
|
| $ | 28,558,238 |
|
|
| $ | 27,604,188 |
|
- more -
ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 13
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
|
| Three Months Ended |
| Nine Months Ended |
| |||||||||||||||||||||
(In thousands, except per share amounts) |
| September 30, |
|
| June 30, |
|
| September 30, |
| September 30, |
| September 30, |
| |||||||||||||
Interest income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Interest and fees on loans |
|
| $ | 315,590 |
|
|
| $ | 299,678 |
|
|
| $ | 293,997 |
|
|
| $ | 906,405 |
|
|
| $ | 889,212 |
|
|
Interest on loans held for sale |
|
| 932 |
|
|
| 1,383 |
|
|
| 2,005 |
|
|
| 3,595 |
|
|
| 6,735 |
|
| |||||
Lease financing |
|
| 4,213 |
|
|
| 4,230 |
|
|
| 5,512 |
|
|
| 12,652 |
|
|
| 14,525 |
|
| |||||
Interest on money market investments |
|
| 4,994 |
|
|
| 3,077 |
|
|
| 2,762 |
|
|
| 11,529 |
|
|
| 10,310 |
|
| |||||
Interest on securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Held to maturity – taxable |
|
| 1,765 |
|
|
| 1,731 |
|
|
| – |
|
|
| 3,724 |
|
|
| – |
|
| |||||
Held to maturity – nontaxable |
|
| 6,000 |
|
|
| 5,872 |
|
|
| – |
|
|
| 12,770 |
|
|
| – |
|
| |||||
Available for sale – taxable |
|
| 39,784 |
|
|
| 37,169 |
|
|
| 31,669 |
|
|
| 114,822 |
|
|
| 91,592 |
|
| |||||
Available for sale – nontaxable |
|
| 897 |
|
|
| 1,208 |
|
|
| 7,167 |
|
|
| 8,197 |
|
|
| 21,919 |
|
| |||||
Trading account |
|
| 8,884 |
|
|
| 8,131 |
|
|
| 6,280 |
|
|
| 23,227 |
|
|
| 18,035 |
|
| |||||
Total interest income |
|
| 383,059 |
|
|
| 362,479 |
|
|
| 349,392 |
|
|
| 1,096,921 |
|
|
| 1,052,328 |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Interest on savings and money market deposits |
|
| 33,048 |
|
|
| 27,470 |
|
|
| 24,926 |
|
|
| 85,988 |
|
|
| 86,086 |
|
| |||||
Interest on time and foreign deposits |
|
| 15,692 |
|
|
| 14,091 |
|
|
| 16,896 |
|
|
| 43,825 |
|
|
| 56,630 |
|
| |||||
Interest on borrowed funds |
|
| 39,541 |
|
|
| 36,673 |
|
|
| 30,491 |
|
|
| 105,902 |
|
|
| 92,372 |
|
| |||||
Total interest expense |
|
| 88,281 |
|
|
| 78,234 |
|
|
| 72,313 |
|
|
| 235,715 |
|
|
| 235,088 |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Net interest income |
|
| 294,778 |
|
|
| 284,245 |
|
|
| 277,079 |
|
|
| 861,206 |
|
|
| 817,240 |
|
| |||||
Provision for loan losses |
|
| 9,363 |
|
|
| 10,301 |
|
|
| 18,260 |
|
|
| 30,908 |
|
|
| 53,960 |
|
| |||||
Net interest income after provision for loan losses |
|
| 285,415 |
|
|
| 273,944 |
|
|
| 258,819 |
|
|
| 830,298 |
|
|
| 763,280 |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Noninterest income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Service charges and fees on deposit accounts |
|
| 33,486 |
|
|
| 33,419 |
|
|
| 33,747 |
|
|
| 99,660 |
|
|
| 97,266 |
|
| |||||
Loan sales and servicing income |
|
| 21,633 |
|
|
| 20,459 |
|
|
| 25,575 |
|
|
| 60,504 |
|
|
| 67,737 |
|
| |||||
Other service charges, commissions and fees |
|
| 23,474 |
|
|
| 23,070 |
|
|
| 22,098 |
|
|
| 68,903 |
|
|
| 63,736 |
|
| |||||
Trust and investment management income |
|
| 3,718 |
|
|
| 4,797 |
|
|
| 5,082 |
|
|
| 12,590 |
|
|
| 15,541 |
|
| |||||
Income from securities conduit |
|
| 9,104 |
|
|
| 8,880 |
|
|
| 7,345 |
|
|
| 26,682 |
|
|
| 21,276 |
|
| |||||
Dividends and other investment income |
|
| 7,157 |
|
|
| 8,545 |
|
|
| 7,008 |
|
|
| 23,797 |
|
|
| 20,836 |
|
| |||||
Market making, trading and nonhedge derivative income |
|
| 2,454 |
|
|
| 6,072 |
|
|
| 7,279 |
|
|
| 14,650 |
|
|
| 24,972 |
|
| |||||
Equity securities gains (losses), net |
|
| 4,277 |
|
|
| (5,302 | ) |
|
| 77,425 |
|
|
| (5,056 | ) |
|
| 65,061 |
|
| |||||
Fixed income securities gains (losses), net |
|
| 307 |
|
|
| 2,220 |
|
|
| (900 | ) |
|
| 2,444 |
|
|
| (546 | ) |
| |||||
Other |
|
| 3,883 |
|
|
| 5,119 |
|
|
| 5,517 |
|
|
| 18,648 |
|
|
| 11,463 |
|
| |||||
Total noninterest income |
|
| 109,493 |
|
|
| 107,279 |
|
|
| 190,176 |
|
|
| 322,822 |
|
|
| 387,342 |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Noninterest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Salaries and employee benefits |
|
| 133,609 |
|
|
| 129,354 |
|
|
| 122,550 |
|
|
| 393,241 |
|
|
| 368,838 |
|
| |||||
Occupancy, net |
|
| 18,734 |
|
|
| 18,658 |
|
|
| 19,488 |
|
|
| 55,205 |
|
|
| 52,999 |
|
| |||||
Furniture and equipment |
|
| 16,612 |
|
|
| 16,768 |
|
|
| 16,612 |
|
|
| 49,328 |
|
|
| 48,296 |
|
| |||||
Legal and professional services |
|
| 6,568 |
|
|
| 9,893 |
|
|
| 6,944 |
|
|
| 23,675 |
|
|
| 17,977 |
|
| |||||
Postage and supplies |
|
| 6,290 |
|
|
| 6,309 |
|
|
| 6,351 |
|
|
| 19,247 |
|
|
| 19,662 |
|
| |||||
Advertising |
|
| 4,789 |
|
|
| 5,186 |
|
|
| 4,188 |
|
|
| 14,817 |
|
|
| 13,109 |
|
| |||||
Debt extinguishment cost |
|
| – |
|
|
| – |
|
|
| 24,210 |
|
|
| – |
|
|
| 24,210 |
|
| |||||
Impairment losses on long-lived assets |
|
| – |
|
|
| 528 |
|
|
| 1,620 |
|
|
| 712 |
|
|
| 2,534 |
|
| |||||
Restructuring charges |
|
| 370 |
|
|
| 66 |
|
|
| 766 |
|
|
| 436 |
|
|
| 1,872 |
|
| |||||
Amortization of core deposit and other intangibles |
|
| 3,682 |
|
|
| 3,501 |
|
|
| 3,568 |
|
|
| 10,686 |
|
|
| 10,671 |
|
| |||||
Provision for unfunded lending commitments |
|
| 932 |
|
|
| 622 |
|
|
| – |
|
|
| (185 | ) |
|
| – |
|
| |||||
Other |
|
| 41,227 |
|
|
| 39,091 |
|
|
| 39,209 |
|
|
| 117,965 |
|
|
| 115,727 |
|
| |||||
Total noninterest expense |
|
| 232,813 |
|
|
| 229,976 |
|
|
| 245,506 |
|
|
| 685,127 |
|
|
| 675,895 |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Impairment loss on goodwill |
|
| 602 |
|
|
| – |
|
|
| 75,628 |
|
|
| 602 |
|
|
| 75,628 |
|
| |||||
Income from continuing operations before income taxes and minority interest |
|
| 161,493 |
|
|
| 151,247 |
|
|
| 127,861 |
|
|
| 467,391 |
|
|
| 399,099 |
|
| |||||
Income taxes |
|
| 58,140 |
|
|
| 54,631 |
|
|
| 66,511 |
|
|
| 167,485 |
|
|
| 161,861 |
|
| |||||
Minority interest |
|
| 858 |
|
|
| (2,226 | ) |
|
| (2,849 | ) |
|
| (1,100 | ) |
|
| (6,745 | ) |
| |||||
Income from continuing operations |
|
| 102,495 |
|
|
| 98,842 |
|
|
| 64,199 |
|
|
| 301,006 |
|
|
| 243,983 |
|
| |||||
- more -
ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 14
CONSOLIDATED STATEMENTS OF INCOME (Continued)
(Unaudited)
|
| Three Months Ended |
| Nine Months Ended |
| |||||||||||||||||||||
(In thousands, except per share amounts) |
| September 30, |
| June 30, |
| September 30, |
| September 30, |
| September 30, |
| |||||||||||||||
Discontinued operations: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Loss from operations of discontinued subsidiaries |
|
| $ | – |
|
|
| $ | – |
|
|
| $ | (1,051 | ) |
|
| $ | – |
|
|
| $ | (466 | ) |
|
Impairment losses and loss on sale |
|
| – |
|
|
| – |
|
|
| (2,407 | ) |
|
| – |
|
|
| (2,407 | ) |
| |||||
Income tax benefit |
|
| – |
|
|
| – |
|
|
| (1,343 | ) |
|
| – |
|
|
| (1,103 | ) |
| |||||
Loss on discontinued operations |
|
| – |
|
|
| – |
|
|
| (2,115 | ) |
|
| – |
|
|
| (1,770 | ) |
| |||||
Net income |
|
| $ | 102,495 |
|
|
| $ | 98,842 |
|
|
| $ | 62,084 |
|
|
| $ | 301,006 |
|
|
| $ | 242,213 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Weighted average shares outstanding during the period: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Basic shares |
|
| 89,617 |
|
|
| 89,589 |
|
|
| 89,754 |
|
|
| 89,643 |
|
|
| 90,094 |
|
| |||||
Diluted shares |
|
| 90,957 |
|
|
| 90,658 |
|
|
| 90,811 |
|
|
| 90,820 |
|
|
| 90,621 |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Net income per common share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Basic: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Income from continuing operations |
|
| $ | 1.14 |
|
|
| $ | 1.10 |
|
|
| $ | 0.72 |
|
|
| $ | 3.36 |
|
|
| $ | 2.71 |
|
|
Loss on discontinued operations |
|
| – |
|
|
| – |
|
|
| (0.03 | ) |
|
| – |
|
|
| (0.02 | ) |
| |||||
Net income |
|
| $ | 1.14 |
|
|
| $ | 1.10 |
|
|
| $ | 0.69 |
|
|
| $ | 3.36 |
|
|
| $ | 2.69 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Diluted: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Income from continuing operations |
|
| $ | 1.13 |
|
|
| $ | 1.09 |
|
|
| $ | 0.71 |
|
|
| $ | 3.31 |
|
|
| $ | 2.69 |
|
|
Loss on discontinued operations |
|
| – |
|
|
| – |
|
|
| (0.03 | ) |
|
| – |
|
|
| (0.02 | ) |
| |||||
Net income |
|
| $ | 1.13 |
|
|
| $ | 1.09 |
|
|
| $ | 0.68 |
|
|
| $ | 3.31 |
|
|
| $ | 2.67 |
|
|
- more -
ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 15
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY
AND COMPREHENSIVE INCOME
(Unaudited)
|
| Nine Months Ended September 30, 2004 |
| ||||||||||||||||||||||
|
|
|
|
|
| Accumulated Other Comprehensive Income (Loss) |
|
|
|
|
| ||||||||||||||
|
|
|
|
|
| Net Unrealized |
| Net |
| Minimum |
|
|
| Shares Held in Trust for |
| Total |
| ||||||||
|
| Common |
| Retained |
| Retained Interests |
| Derivative |
| Pension |
|
|
| Deferred |
| Shareholders’ |
| ||||||||
(In thousands) |
| Stock |
| Earnings |
| and Other |
| Instruments |
| Liability |
| Subtotal |
| Compensation |
| Equity |
| ||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Balance, December 31, 2003 |
| $ | 985,904 |
| $ | 1,538,677 |
| $ | 24,015 |
| $ | 10,716 |
| $ | (15,690 | ) | $ | 19,041 |
| $ | (3,599 | ) | $ | 2,540,023 |
|
Comprehensive income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Net income for the period |
|
|
| 301,006 |
|
|
|
|
|
|
|
|
|
|
| 301,006 |
| ||||||||
Other comprehensive income, net of tax: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Net realized and unrealized holding gains during the period, net of income tax expense of $438 |
|
|
|
|
| 473 |
|
|
|
|
| 473 |
|
|
|
|
| ||||||||
Reclassification for net realized gains recorded in operations, net of income tax expense of $1,218 |
|
|
|
|
| (1,967 | ) |
|
|
|
| (1,967 | ) |
|
|
|
| ||||||||
Net unrealized losses on derivative instruments, net of reclassification to operations of $35,040 and income tax benefit of $5,093 |
|
|
|
|
|
|
| (8,307 | ) |
|
| (8,307 | ) |
|
|
|
| ||||||||
Other comprehensive loss |
|
|
|
|
| (1,494 | ) | (8,307 | ) | – |
| (9,801 | ) |
|
| (9,801 | ) | ||||||||
Total comprehensive income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| 291,205 |
| ||||||||
Stock redeemed and retired |
| (79,881 | ) |
|
|
|
|
|
|
|
|
|
|
|
| (79,881 | ) | ||||||||
Stock options exercised, net of shares tendered and retired |
| 59,143 |
|
|
|
|
|
|
|
|
|
|
|
|
| 59,143 |
| ||||||||
Cash dividends – common, $.94 per share |
|
|
| (85,749 | ) |
|
|
|
|
|
|
|
|
|
| (85,749 | ) | ||||||||
Cost of shares held in trust for deferred compensation |
|
|
|
|
|
|
|
|
|
|
|
|
| (480 | ) | (480 | ) | ||||||||
Balance, September 30, 2004 |
| $ | 965,166 |
| $ | 1,753,934 |
| $ | 22,521 |
| $ | 2,409 |
| $ | (15,690 | ) | $ | 9,240 |
| $ | (4,079 | ) | $ | 2,724,261 |
|
|
| Nine Months Ended September 30, 2004 |
| ||||||||||||||||||||||
|
|
|
|
|
| Accumulated Other Comprehensive Income (Loss) |
|
|
|
|
| ||||||||||||||
|
|
|
|
|
| Net Unrealized |
| Net |
| Minimum |
|
|
| Shares Held in Trust for |
| Total |
| ||||||||
|
| Common |
| Retained |
| Retained Interests |
| Derivative |
| Pension |
|
|
| Deferred |
| Shareholders’ |
| ||||||||
(In thousands) |
| Stock |
| Earnings |
| and Other |
| Instruments |
| Liability |
| Subtotal |
| Compensation |
| Equity |
| ||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Balance, December 31, 2002 |
| $ | 1,034,888 |
| $ | 1,292,741 |
| $ | 44,151 |
| $ | 25,420 |
| $ | (23,357 | ) | $ | 46,214 |
| $ | – |
| $ | 2,373,843 |
|
Comprehensive income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Net income for the period |
|
|
| 242,213 |
|
|
|
|
|
|
|
|
|
|
| 242,213 |
| ||||||||
Other comprehensive income, net of tax: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Net realized and unrealized holding losses during the period, net of income tax benefit of $1,366 |
|
|
|
|
| (2,205 | ) |
|
|
|
| (2,205 | ) |
|
|
|
| ||||||||
Reclassification for net realized gains recorded in operations, net of income tax expense of $8,341 |
|
|
|
|
| (13,465 | ) |
|
|
|
| (13,465 | ) |
|
|
|
| ||||||||
Net unrealized losses on derivative instruments, net of reclassification to operations of $30,941 and income tax benefit of $2,263 |
|
|
|
|
|
|
| (3,516 | ) |
|
| (3,516 | ) |
|
|
|
| ||||||||
Other comprehensive loss |
|
|
|
|
| (15,670 | ) | (3,516 | ) | – |
| (19,186 | ) |
|
| (19,186 | ) | ||||||||
Total comprehensive income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| 223,027 |
| ||||||||
Stock redeemed and retired |
| (75,730 | ) |
|
|
|
|
|
|
|
|
|
|
|
| (75,730 | ) | ||||||||
Stock options exercised, net of shares tendered and retired |
| 32,708 |
|
|
|
|
|
|
|
|
|
|
|
|
| 32,708 |
| ||||||||
Cash dividends – common, $.72 per share |
|
|
| (64,891 | ) |
|
|
|
|
|
|
|
|
|
| (64,891 | ) | ||||||||
Cost of shares held in trust for deferred compensation |
|
|
|
|
|
|
|
|
|
|
|
|
| (2,986 | ) | (2,986 | ) | ||||||||
Balance, September 30, 2003 |
| $ | 991,866 |
| $ | 1,470,063 |
| $ | 28,481 |
| $ | 21,904 |
| $ | (23,357 | ) | $ | 27,028 |
| $ | (2,986 | ) | $ | 2,485,971 |
|
Total comprehensive income for the three months ended September 30, 2004 and 2003 was $125,973 and $28,696, respectively.
- more -
ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 16
Nonperforming Assets
(Unaudited)
(In thousands) |
|
| September 30, |
|
|
| June 30, |
|
|
| March 31, |
|
|
| December 31, |
|
|
| September 30, |
|
| |||||
|
|
| 2004 |
|
|
| 2004 |
|
|
| 2004 |
|
|
| 2003 |
|
|
| 2003 |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Nonaccrual loans |
|
| $ | 76,361 |
|
|
| $ | 92,597 |
|
|
| $ | 91,698 |
|
|
| $ | 78,170 |
|
|
| $ | 80,110 |
|
|
Restructured loans |
|
| 522 |
|
|
| 563 |
|
|
| 572 |
|
|
| 1,198 |
|
|
| 2,032 |
|
| |||||
Other real estate owned |
|
| 14,222 |
|
|
| 13,590 |
|
|
| 17,217 |
|
|
| 18,596 |
|
|
| 27,424 |
|
| |||||
Total |
|
| $ | 91,105 |
|
|
| $ | 106,750 |
|
|
| $ | 109,487 |
|
|
| $ | 97,964 |
|
|
| $ | 109,566 |
|
|
% of net loans and leases* and other real estate owned |
|
| 0.42% |
|
|
| 0.50% |
|
|
| 0.53% |
|
|
| 0.49% |
|
|
| 0.56% |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Accruing loans past due 90 days or more |
|
| $ | 18,182 |
|
|
| $ | 18,109 |
|
|
| $ | 26,307 |
|
|
| $ | 24,231 |
|
|
| $ | 36,752 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
% of net loans and leases* |
|
| 0.08% |
|
|
| 0.08% |
|
|
| 0.13% |
|
|
| 0.12% |
|
|
| 0.19% |
|
| |||||
*Includes loans held for sale.
Allowances for Credit Losses
(Unaudited)
|
| Three Months Ended |
| |||||||||||||||||||||||
(In thousands) |
| September 30, |
| June 30, |
| March 31, |
| December 31, |
| September 30, |
| |||||||||||||||
|
|
| 2004 |
|
|
| 2004 |
|
|
| 2004 |
|
|
| 2003 |
|
|
| 2003 |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Allowance for Loan Losses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Balance at beginning of the period |
|
| $ | 271,554 |
|
|
| $ | 271,226 |
|
|
| $ | 268,506 |
|
|
| $ | 281,311 |
|
|
| $ | 281,486 |
|
|
Allowance of branches sold |
|
| (1,549 | ) |
|
| – |
|
|
| (518 | ) |
|
| – |
|
|
| – |
|
| |||||
Add: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Provision for losses |
|
| 9,363 |
|
|
| 10,301 |
|
|
| 11,244 |
|
|
| 15,980 |
|
|
| 18,260 |
|
| |||||
Deduct: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Loan and lease charge-offs |
|
| (13,617 | ) |
|
| (14,530 | ) |
|
| (11,483 | ) |
|
| (22,436 | ) |
|
| (22,286 | ) |
| |||||
Recoveries |
|
| 3,662 |
|
|
| 4,557 |
|
|
| 3,477 |
|
|
| 5,866 |
|
|
| 3,851 |
|
| |||||
Net loan and lease charge-offs |
|
| (9,955 | ) |
|
| (9,973 | ) |
|
| (8,006 | ) |
|
| (16,570 | ) |
|
| (18,435 | ) |
| |||||
Reclassification of allowance for unfunded lending commitments |
|
| – |
|
|
| – |
|
|
| – |
|
|
| (12,215 | ) |
|
| – |
|
| |||||
Balance at end of the period |
|
| $ | 269,413 |
|
|
| $ | 271,554 |
|
|
| $ | 271,226 |
|
|
| $ | 268,506 |
|
|
| $ | 281,311 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Ratio of allowance for loan losses to net loans and leases outstanding at period end |
|
| 1.25% |
|
|
| 1.26% |
|
|
| 1.32% |
|
|
| 1.35% |
|
|
| 1.45% |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Ratio of allowance for loan losses to nonperforming loans at period end |
|
| 350.42% |
|
|
| 291.49% |
|
|
| 293.95% |
|
|
| 338.31% |
|
|
| 342.47% |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Allowance for Unfunded Lending Commitments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Balance at beginning of the period |
|
| $ | 11,098 |
|
|
| $ | 10,476 |
|
|
| $ | 12,215 |
|
|
| $ | – |
|
|
|
|
|
| |
Reclassification of allowance for loan losses |
|
| – |
|
|
| – |
|
|
| – |
|
|
| 12,215 |
|
|
|
|
|
| |||||
Provision charged (credited) against earnings |
|
| 932 |
|
|
| 622 |
|
|
| (1,739 | ) |
|
| – |
|
|
|
|
|
| |||||
Balance at end of period |
|
| $ | 12,030 |
|
|
| $ | 11,098 |
|
|
| $ | 10,476 |
|
|
| $ | 12,215 |
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Total Allowances for Credit Losses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Allowance for loan losses |
|
| $ | 269,413 |
|
|
| $ | 271,554 |
|
|
| $ | 271,226 |
|
|
| $ | 268,506 |
|
|
| $ | 281,311 |
|
|
Allowance for unfunded lending commitments |
|
| 12,030 |
|
|
| 11,098 |
|
|
| 10,476 |
|
|
| 12,215 |
|
|
| – |
|
| |||||
Total allowances for credit losses |
|
| $ | 281,443 |
|
|
| $ | 282,652 |
|
|
| $ | 281,702 |
|
|
| $ | 280,721 |
|
|
| $ | 281,311 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Ratio of total allowances for credit losses to net loans and leases outstanding at period end |
|
| 1.31% |
|
|
| 1.31% |
|
|
| 1.37% |
|
|
| 1.41% |
|
|
| 1.45% |
|
| |||||
- more -
ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 17
Sold Loans Being Serviced
(Unaudited)
|
| Three Months Ended |
| |||||||||||||||||||||||
(In thousands) |
| September 30, |
| June 30, |
| March 31, |
| December 31, |
| September 30, |
| |||||||||||||||
|
| 2004 |
| 2004 |
| 2004 |
| 2003 |
| 2003 |
| |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Balance at beginning of the period |
|
| $ | 2,643,927 |
|
|
| $ | 2,707,128 |
|
|
| $ | 2,782,175 |
|
|
| $ | 2,894,638 |
|
|
| $ | 2,367,751 |
|
|
New loans sold |
|
| 703,809 |
|
|
| 118,018 |
|
|
| 90,770 |
|
|
| 107,373 |
|
|
| 715,534 |
|
| |||||
Payments and other reductions |
|
| (194,812 | ) |
|
| (181,219 | ) |
|
| (165,817 | ) |
|
| (219,836 | ) |
|
| (188,647 | ) |
| |||||
Balance at end of the period |
|
| $ | 3,152,924 |
|
|
| $ | 2,643,927 |
|
|
| $ | 2,707,128 |
|
|
| $ | 2,782,175 |
|
|
| $ | 2,894,638 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Loan Balances By Portfolio Type |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
(Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
(In millions) |
| September 30, |
|
| June 30, |
|
|
| March 31, |
|
|
| December 31, |
|
|
| September 30, |
|
| |||||||
|
| 2004 |
|
| 2004 |
|
|
| 2004 |
|
|
| 2003 |
|
|
| 2003 |
|
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Loans held for sale |
|
| $ | 151 |
|
|
| $ | 141 |
|
|
| $ | 185 |
|
|
| $ | 177 |
|
|
| $ | 216 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Commercial lending: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Commercial and industrial |
|
| 4,438 |
|
|
| 4,381 |
|
|
| 4,204 |
|
|
| 4,111 |
|
|
| 4,102 |
|
| |||||
Leasing |
|
| 374 |
|
|
| 381 |
|
|
| 363 |
|
|
| 377 |
|
|
| 378 |
|
| |||||
Owner occupied |
|
| 3,453 |
| (1) |
| 3,666 |
|
|
| 3,465 |
|
|
| 3,295 |
|
|
| 3,062 |
|
| |||||
Total commercial lending |
|
| 8,265 |
|
|
| 8,428 |
|
|
| 8,032 |
|
|
| 7,783 |
|
|
| 7,542 |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Commercial real estate: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Construction |
|
| 3,289 |
|
|
| 3,062 |
|
|
| 2,916 |
|
|
| 2,867 |
|
|
| 2,907 |
|
| |||||
Term |
|
| 3,859 |
|
|
| 3,921 |
|
|
| 3,646 |
|
|
| 3,426 |
|
|
| 3,316 |
|
| |||||
Total commercial real estate |
|
| 7,148 |
|
|
| 6,983 |
|
|
| 6,562 |
|
|
| 6,293 |
|
|
| 6,223 |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Consumer: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Home equity credit line |
|
| 1,026 |
|
|
| 965 |
|
|
| 892 |
|
|
| 838 |
|
|
| 780 |
|
| |||||
1-4 family residential |
|
| 4,118 |
|
|
| 4,170 |
|
|
| 4,057 |
|
|
| 3,874 |
|
|
| 3,675 |
|
| |||||
Bankcard and other revolving plans |
|
| 217 |
|
|
| 183 |
|
|
| 183 |
|
|
| 198 |
|
|
| 188 |
|
| |||||
Other |
|
| 573 |
|
|
| 647 |
|
|
| 697 |
|
|
| 749 |
|
|
| 797 |
|
| |||||
Total consumer |
|
| 5,934 |
|
|
| 5,965 |
|
|
| 5,829 |
|
|
| 5,659 |
|
|
| 5,440 |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Foreign loans |
|
| 4 |
|
|
| 6 |
|
|
| 15 |
|
|
| 15 |
|
|
| 15 |
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Other receivables |
|
| 109 |
|
|
| 75 |
|
|
| 91 |
|
|
| 90 |
|
|
| 93 |
|
| |||||
Total loans |
|
| $ | 21,611 |
|
|
| $ | 21,598 |
|
|
| $ | 20,714 |
|
|
| $ | 20,017 |
|
|
| $ | 19,529 |
|
|
(1) Decrease from June 30, 2004 reflects $640 million of small business loans sold to a securitization structure during the quarter.
- more -
ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 18
CONSOLIDATED AVERAGE BALANCE SHEETS, YIELDS AND RATES
(Unaudited)
|
| Three Months Ended |
| Three Months Ended |
| ||||||||||||||||||||||||
(In thousands) |
|
| Average |
|
|
| Amount of |
|
|
| Average |
|
|
| Average |
|
|
| Amount of |
|
|
| Average |
|
| ||||
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Money market investments |
|
| $ | 1,605,277 |
|
|
| $ | 4,994 |
|
|
| 1.24% |
|
|
| $ | 1,346,129 |
|
|
| $ | 2,762 |
|
|
| 0.81% |
|
|
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Held to maturity |
|
| 640,207 |
|
|
| 10,996 |
|
|
| 6.83% |
|
|
| – |
|
|
| – |
|
|
|
|
|
| ||||
Available for sale |
|
| 3,753,811 |
|
|
| 41,164 |
|
|
| 4.36% |
|
|
| 3,896,893 |
|
|
| 42,696 |
|
|
| 4.35% |
|
| ||||
Trading account |
|
| 838,170 |
|
|
| 8,884 |
|
|
| 4.22% |
|
|
| 747,444 |
|
|
| 6,280 |
|
|
| 3.33% |
|
| ||||
Total securities |
|
| 5,232,188 |
|
|
| 61,044 |
|
|
| 4.64% |
|
|
| 4,644,337 |
|
|
| 48,976 |
|
|
| 4.18% |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Loans held for sale |
|
| 124,000 |
|
|
| 932 |
|
|
| 2.99% |
|
|
| 241,064 |
|
|
| 2,005 |
|
|
| 3.30% |
|
| ||||
Net loans and leases (2) |
|
| 21,096,481 |
|
|
| 321,358 |
|
|
| 6.06% |
|
|
| 19,336,716 |
|
|
| 301,346 |
|
|
| 6.18% |
|
| ||||
Total loans and leases |
|
| 21,220,481 |
|
|
| 322,290 |
|
|
| 6.04% |
|
|
| 19,577,780 |
|
|
| 303,351 |
|
|
| 6.15% |
|
| ||||
Total interest-earning assets |
|
| 28,057,946 |
|
|
| 388,328 |
|
|
| 5.51% |
|
|
| 25,568,246 |
|
|
| 355,089 |
|
|
| 5.51% |
|
| ||||
Cash and due from banks |
|
| 1,038,432 |
|
|
|
|
|
|
|
|
|
|
| 949,064 |
|
|
|
|
|
|
|
|
|
| ||||
Allowance for loan losses |
|
| (272,463 | ) |
|
|
|
|
|
|
|
|
|
| (282,344 | ) |
|
|
|
|
|
|
|
|
| ||||
Goodwill |
|
| 645,462 |
|
|
|
|
|
|
|
|
|
|
| 729,149 |
|
|
|
|
|
|
|
|
|
| ||||
Core deposit and other intangibles |
|
| 62,923 |
|
|
|
|
|
|
|
|
|
|
| 76,457 |
|
|
|
|
|
|
|
|
|
| ||||
Other assets |
|
| 1,836,278 |
|
|
|
|
|
|
|
|
|
|
| 1,655,932 |
|
|
|
|
|
|
|
|
|
| ||||
Total assets |
|
| $ | 31,368,578 |
|
|
|
|
|
|
|
|
|
|
| $ | 28,696,504 |
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
LIABILITIES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Interest-bearing deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Savings and NOW |
|
| $ | 3,379,890 |
|
|
| 5,359 |
|
|
| 0.63% |
|
|
| $ | 3,076,281 |
|
|
| 4,530 |
|
|
| 0.58% |
|
| ||
Money market super NOW |
|
| 9,821,968 |
|
|
| 27,689 |
|
|
| 1.12% |
|
|
| 8,827,152 |
|
|
| 20,396 |
|
|
| 0.92% |
|
| ||||
Time under $100,000 |
|
| 1,407,490 |
|
|
| 6,773 |
|
|
| 1.91% |
|
|
| 1,611,590 |
|
|
| 8,487 |
|
|
| 2.09% |
|
| ||||
Time $100,000 and over |
|
| 1,266,514 |
|
|
| 7,557 |
|
|
| 2.37% |
|
|
| 1,295,951 |
|
|
| 8,019 |
|
|
| 2.45% |
|
| ||||
Foreign |
|
| 409,644 |
|
|
| 1,362 |
|
|
| 1.32% |
|
|
| 190,459 |
|
|
| 390 |
|
|
| 0.81% |
|
| ||||
Total interest-bearing deposits |
|
| 16,285,506 |
|
|
| 48,740 |
|
|
| 1.19% |
|
|
| 15,001,433 |
|
|
| 41,822 |
|
|
| 1.11% |
|
| ||||
Borrowed funds: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Securities sold, not yet purchased |
|
| 708,342 |
|
|
| 7,135 |
|
|
| 4.01% |
|
|
| 558,334 |
|
|
| 5,312 |
|
|
| 3.77% |
|
| ||||
Federal funds purchased and security repurchase agreements |
|
| 2,397,862 |
|
|
| 7,959 |
|
|
| 1.32% |
|
|
| 2,756,338 |
|
|
| 6,143 |
|
|
| 0.88% |
|
| ||||
Commercial paper |
|
| 191,767 |
|
|
| 756 |
|
|
| 1.57% |
|
|
| 163,805 |
|
|
| 520 |
|
|
| 1.26% |
|
| ||||
FHLB advances and other borrowings: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
One year or less |
|
| 154,593 |
|
|
| 519 |
|
|
| 1.34% |
|
|
| 249,497 |
|
|
| 753 |
|
|
| 1.20% |
|
| ||||
Over one year |
|
| 229,703 |
|
|
| 2,928 |
|
|
| 5.07% |
|
|
| 233,421 |
|
|
| 3,053 |
|
|
| 5.19% |
|
| ||||
Long-term debt |
|
| 1,697,356 |
|
|
| 20,244 |
|
|
| 4.74% |
|
|
| 1,267,504 |
|
|
| 14,710 |
|
|
| 4.60% |
|
| ||||
Total borrowed funds |
|
| 5,379,623 |
|
|
| 39,541 |
|
|
| 2.92% |
|
|
| 5,228,899 |
|
|
| 30,491 |
|
|
| 2.31% |
|
| ||||
Total interest-bearing liabilities |
|
| 21,665,129 |
|
|
| 88,281 |
|
|
| 1.62% |
|
|
| 20,230,332 |
|
|
| 72,313 |
|
|
| 1.42% |
|
| ||||
Noninterest-bearing deposits |
|
| 6,444,034 |
|
|
|
|
|
|
|
|
|
|
| 5,423,771 |
|
|
|
|
|
|
|
|
|
| ||||
Other liabilities |
|
| 558,220 |
|
|
|
|
|
|
|
|
|
|
| 531,858 |
|
|
|
|
|
|
|
|
|
| ||||
Total liabilities |
|
| 28,667,383 |
|
|
|
|
|
|
|
|
|
|
| 26,185,961 |
|
|
|
|
|
|
|
|
|
| ||||
Minority interest |
|
| 23,791 |
|
|
|
|
|
|
|
|
|
|
| 20,930 |
|
|
|
|
|
|
|
|
|
| ||||
Total shareholders’ equity |
|
| 2,677,404 |
|
|
|
|
|
|
|
|
|
|
| 2,489,613 |
|
|
|
|
|
|
|
|
|
| ||||
Total liabilities and shareholders’ equity |
|
| $ | 31,368,578 |
|
|
|
|
|
|
|
|
|
|
| $ | 28,696,504 |
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Spread on average interest-bearing funds |
|
|
|
|
|
|
|
|
|
| 3.89% |
|
|
|
|
|
|
|
|
|
|
|
4.09% |
|
| ||||
Taxable-equivalent net interest income and net yield on interest-earning assets |
|
|
|
|
|
| $ | 300,047 |
|
|
| 4.25% |
|
|
|
|
|
|
| $ | 282,776 |
|
|
| 4.39% |
|
| ||
(1) Taxable-equivalent rates used where applicable.
(2) Net of unearned income and fees, net of related costs. Loans include nonaccrual and restructured loans.
- more -
ZIONS BANCORPORATION AND SUBSIDIARIES
Press Release – Page 19
CONSOLIDATED AVERAGE BALANCE SHEETS, YIELDS AND RATES
(Unaudited)
|
|
| Nine Months Ended |
|
|
| Nine Months Ended |
|
| ||||||||||||||||||||
(In thousands) |
|
| Average |
|
|
| Amount of |
|
|
| Average |
|
|
| Average |
|
|
| Amount of |
|
|
| Average |
|
| ||||
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Money market investments |
|
| $ | 1,576,519 |
|
|
| $ | 11,529 |
|
|
| 0.98% |
|
|
| $ | 1,365,026 |
|
|
| $ | 10,310 |
|
|
| 1.01% |
|
|
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Held to maturity |
|
| 453,902 |
|
|
| 23,370 |
|
|
| 6.88% |
|
|
| – |
|
|
| – |
|
|
|
|
|
| ||||
Available for sale |
|
| 3,956,116 |
|
|
| 127,433 |
|
|
| 4.30% |
|
|
| 3,609,406 |
|
|
| 125,314 |
|
|
| 4.64% |
|
| ||||
Trading account |
|
| 771,714 |
|
|
| 23,227 |
|
|
| 4.02% |
|
|
| 698,786 |
|
|
| 18,035 |
|
|
| 3.45% |
|
| ||||
Total securities |
|
| 5,181,732 |
|
|
| 174,030 |
|
|
| 4.49% |
|
|
| 4,308,192 |
|
|
| 143,349 |
|
|
| 4.45% |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Loans held for sale |
|
| 157,452 |
|
|
| 3,595 |
|
|
| 3.05% |
|
|
| 236,112 |
|
|
| 6,735 |
|
|
| 3.81% |
|
| ||||
Net loans and leases (2) |
|
| 20,613,461 |
|
|
| 923,852 |
|
|
| 5.99% |
|
|
| 19,016,181 |
|
|
| 909,244 |
|
|
| 6.39% |
|
| ||||
Total loans and leases |
|
| 20,770,913 |
|
|
| 927,447 |
|
|
| 5.96% |
|
|
| 19,252,293 |
|
|
| 915,979 |
|
|
| 6.36% |
|
| ||||
Total interest-earning assets |
|
| 27,529,164 |
|
|
| 1,113,006 |
|
|
| 5.40% |
|
|
| 24,925,511 |
|
|
| 1,069,638 |
|
|
| 5.74% |
|
| ||||
Cash and due from banks |
|
| 1,000,655 |
|
|
|
|
|
|
|
|
|
|
| 934,852 |
|
|
|
|
|
|
|
|
|
| ||||
Allowance for loan losses |
|
| (271,782 | ) |
|
|
|
|
|
|
|
|
|
| (281,710 | ) |
|
|
|
|
|
|
|
|
| ||||
Goodwill |
|
| 649,751 |
|
|
|
|
|
|
|
|
|
|
| 729,769 |
|
|
|
|
|
|
|
|
|
| ||||
Core deposit and other intangibles |
|
| 66,622 |
|
|
|
|
|
|
|
|
|
|
| 79,148 |
|
|
|
|
|
|
|
|
|
| ||||
Other assets |
|
| 1,771,919 |
|
|
|
|
|
|
|
|
|
|
| 1,627,907 |
|
|
|
|
|
|
|
|
|
| ||||
Total assets |
|
| $ | 30,746,329 |
|
|
|
|
|
|
|
|
|
|
| $ | 28,015,477 |
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
LIABILITIES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Interest-bearing deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Savings and NOW |
|
| $ | 3,338,766 |
|
|
| 15,398 |
|
|
| 0.62% |
|
|
| $ | 2,926,942 |
|
|
| 14,379 |
|
|
| 0.66% |
|
| ||
Money market super NOW |
|
| 9,316,936 |
|
|
| 70,590 |
|
|
| 1.01% |
|
|
| 8,871,269 |
|
|
| 71,707 |
|
|
| 1.08% |
|
| ||||
Time under $100,000 |
|
| 1,449,637 |
|
|
| 20,195 |
|
|
| 1.86% |
|
|
| 1,679,640 |
|
|
| 29,469 |
|
|
| 2.35% |
|
| ||||
Time $100,000 and over |
|
| 1,233,805 |
|
|
| 21,015 |
|
|
| 2.28% |
|
|
| 1,299,400 |
|
|
| 25,981 |
|
|
| 2.67% |
|
| ||||
Foreign |
|
| 317,667 |
|
|
| 2,615 |
|
|
| 1.10% |
|
|
| 168,997 |
|
|
| 1,180 |
|
|
| 0.93% |
|
| ||||
Total interest-bearing deposits |
|
| 15,656,811 |
|
|
| 129,813 |
|
|
| 1.11% |
|
|
| 14,946,248 |
|
|
| 142,716 |
|
|
| 1.28% |
|
| ||||
Borrowed funds: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Securities sold, not yet purchased |
|
| 659,441 |
|
|
| 19,152 |
|
|
| 3.88% |
|
|
| 531,914 |
|
|
| 15,070 |
|
|
| 3.79% |
|
| ||||
Federal funds purchased and security repurchase agreements |
|
| 2,750,202 |
|
|
| 21,375 |
|
|
| 1.04% |
|
|
| 2,638,487 |
|
|
| 20,001 |
|
|
| 1.01% |
|
| ||||
Commercial paper |
|
| 205,559 |
|
|
| 2,057 |
|
|
| 1.34% |
|
|
| 247,510 |
|
|
| 2,669 |
|
|
| 1.44% |
|
| ||||
FHLB advances and other borrowings: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
One year or less |
|
| 332,646 |
|
|
| 2,825 |
|
|
| 1.13% |
|
|
| 180,463 |
|
|
| 1,749 |
|
|
| 1.30% |
|
| ||||
Over one year |
|
| 230,338 |
|
|
| 8,758 |
|
|
| 5.08% |
|
|
| 237,346 |
|
|
| 9,308 |
|
|
| 5.24% |
|
| ||||
Long-term debt |
|
| 1,648,176 |
|
|
| 51,735 |
|
|
| 4.19% |
|
|
| 1,181,879 |
|
|
| 43,575 |
|
|
| 4.93% |
|
| ||||
Total borrowed funds |
|
| 5,826,362 |
|
|
| 105,902 |
|
|
| 2.43% |
|
|
| 5,017,599 |
|
|
| 92,372 |
|
|
| 2.46% |
|
| ||||
Total interest-bearing liabilities |
|
| 21,483,173 |
|
|
| 235,715 |
|
|
| 1.47% |
|
|
| 19,963,847 |
|
|
| 235,088 |
|
|
| 1.57% |
|
| ||||
Noninterest-bearing deposits |
|
| 6,098,167 |
|
|
|
|
|
|
|
|
|
|
| 5,128,489 |
|
|
|
|
|
|
|
|
|
| ||||
Other liabilities |
|
| 517,494 |
|
|
|
|
|
|
|
|
|
|
| 450,231 |
|
|
|
|
|
|
|
|
|
| ||||
Total liabilities |
|
| 28,098,834 |
|
|
|
|
|
|
|
|
|
|
| 25,542,567 |
|
|
|
|
|
|
|
|
|
| ||||
Minority interest |
|
| 22,456 |
|
|
|
|
|
|
|
|
|
|
| 22,293 |
|
|
|
|
|
|
|
|
|
| ||||
Total shareholders’ equity |
|
| 2,625,039 |
|
|
|
|
|
|
|
|
|
|
| 2,450,617 |
|
|
|
|
|
|
|
|
|
| ||||
Total liabilities and shareholders’ equity |
|
| $ | 30,746,329 |
|
|
|
|
|
|
|
|
|
|
| $ | 28,015,477 |
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Spread on average interest-bearing funds |
|
|
|
|
|
|
|
|
|
| 3.93% |
|
|
|
|
|
|
|
|
|
|
| 4.17% |
|
| ||||
Taxable-equivalent net interest income and net yield on interest-earning assets |
|
|
|
|
|
| $ | 877,291 |
|
|
| 4.26% |
|
|
|
|
|
|
| $ | 834,550 |
|
|
| 4.48% |
|
| ||
(1) Taxable-equivalent rates used where applicable.
(2) Net of unearned income and fees, net of related costs. Loans include nonaccrual and restructured loans.
# # # # # # #