![]() Investor Presentation Second Quarter 2010 Exhibit 99.1 |
![]() This presentation contains forward-looking statements, as defined by Federal Securities Laws, relating to present or future trends or factors affecting the operations, markets and products of CenterState Banks, Inc. (CSFL). These statements are provided to assist in the understanding of future financial performance. Any such statements are based on current expectations and involve a number of risks and uncertainties. For a discussion of factors that may cause such forward-looking statements to differ materially from actual results, please refer to CSFL’s most recent Form 10-Q and Form 10-K filed with the Securities Exchange Commission. CSFL undertakes no obligation to release revisions to these forward-looking statements or reflect events or circumstances after the date of this presentation. Forward Looking Statement 2 |
![]() Birmingham Atlanta Winston-Salem Tampa Winter Haven Corporate Overview Headquartered in Davenport, FL $2.0 billion in assets $1.6 billion in deposits Company formed: June 2000 4 Subsidiary Banks; 45 banking offices in 13 counties throughout Central Florida 6 of 13 counties of operation rank in the top 15 fastest growing counties in Florida 3 CenterState Bank Central Florida, N.A. CenterState Bank, N.A. CenterState Bank of Florida, N.A. Valrico State Bank Data pro forma for Olde Cypress Community Bank acquisition, excluding purchase accounting adjustments. |
![]() Recent Initiatives 4 June 2010 – Opened branch in Vero Beach, Florida to house recently hired team – Team led by Andy Beindorf, former CEO of ALAB subsidiary Indian River National Bank July 16, 2010 – Announced the acquisition of Olde Cypress Community Bank, Clewiston, FL ($163mm in assets) from the FDIC – Will serve as base for team led by John Williams, former CEO of Riverside National Bank and Okeechobee Market President July 22, 2010 – Capital Raise - $30 Million Capital Ratios CSFL 6/30/10 w/ Cap. Raise Peer Average Leverage Ratio 11.30 % 12.69 % 8.01 % Tang. Common Equity / Tang. Assets 11.06 12.46 5.47 Total Risk-Based Capital Ratio 18.88 21.37 14.71 Source: SNL Financial, data as of most recent quarter available. Florida peers include publicly traded banks and thrifts headquartered in Florida with $1 billion or more in total assets. Assumes net proceeds from capital raise are initially invested in 0% risk-weighted assets. |
![]() 5 Management Lift Outs – Team Building RETAIL/COMMERCIAL BANKING Vero Beach – Andy Beindorf (former CEO of the $800 million Indian River National Bank ,subsidiary of ALAB) and team of commercial, retail, and residential lenders – 1Q 2010 Okeechobee – John Williams (former CEO of the $3 billion Riverside National Bank and Market President of Okeechobee Region) and team of commercial, retail, and residential lenders – 2Q 2010 Lakeland - Mike Crowell (former Chief Credit Officer of the $800 million Citrus & Chemical Bank in Lakeland, FL) – 1Q 2010 Residential Mortgage – Dave Kopec (former director of residential lending at an $800 million thrift in Lakeland) – 1Q 2010 CORRESPONDENT DIVISION Silverton Capital Markets and Operations Team – Atlanta, GA and Winston-Salem, NC – 3Q 2009 WEALTH MANAGEMENT Joe Keating (former CIO of ALAB) and team of two private bankers in Orlando. Joe is a regular contributor to CNBC and Bloomberg, and previously was responsible for the Broker Dealer, Trust Dept. and Correspondent Banking divisions at Alabama National Bank – 2Q 2010 SPECIAL ASSETS Dan Brockhorst – former special assets manager for the State of Florida for RBC Bank FINANCE Jennifer Gechler – former CFO of Bank of Florida Southeast and Bank of Florida Southwest and Treasurer of holding company (BOFL) – 3Q 2010 PREPAID CARD BUSINESS Tommy McCulley – President of Prepaid Technologies with nearly a decade of experience in prepaid card space – 2Q 2010 |
![]() Deposits per Deposits Market Branch Rank Institution ($000) Share Branches ($000) 1 Wells Fargo & Co. $1,106,210 28.96 % 8 $138,276 2 PNC Financial Services Group Inc. 486,570 12.74 7 69,510 3 Bank of America Corp. 426,851 11.18 7 60,979 4 SunTrust Banks Inc. 309,454 8.10 6 51,576 5 Royal Bank of Canada 308,047 8.06 6 51,341 6 Northern Trust Corp. 288,825 7.56 2 144,413 7 Seacoast Banking Corp. of Florida 207,751 5.44 8 25,969 8 Riverside Banking Co. 184,591 4.83 4 46,148 9 BU Financial Corp. 169,623 4.44 2 84,812 10 Marine Bank & Trust Co. 120,832 3.16 2 60,416 CSFL Combined Counties of Operation Market Share Opportunity 6 Source: FDIC and SNL Financial. Deposit data as of 6/30/09. Market share data for CSFL's combined counties of operation, excluding Orange County. Excludes Orange County in which CSFL has $20.0 million in deposits and 1 branch. Indian River County, FL Okeechobee County, FL Deposits per Deposits Market Branch Rank Institution ($000) Share Branches ($000) 1 Bank of America Corp. $111,795 22.13 % 2 $55,898 2 Seacoast Banking Corp. of Florida 106,171 21.01 3 35,390 3 Riverside Banking Co. 97,898 19.38 1 97,898 4 PNC Financial Services Group Inc. 79,337 15.70 1 79,337 5 SunTrust Banks Inc. 69,003 13.66 1 69,003 6 Regions Financial Corp. 32,668 6.47 1 32,668 7 First Bank and Trust Co. of Indiantown 8,356 1.65 1 8,356 Deposits per Deposits Market Branch Rank Institution ($000) Share Branches ($000) 1 Bank of America Corp. $10,728,405 19.45 % 120 $89,403 2 SunTrust Banks Inc. 9,505,483 17.23 151 62,950 3 Wells Fargo & Co. 9,226,693 16.72 114 80,936 4 BB&T Corp. 3,930,810 7.13 73 53,847 5 Regions Financial Corp. 3,296,423 5.98 82 40,200 6 CenterState Banks Inc. 1,370,178 2.48 43 31,865 7 Toronto-Dominion Bank 1,280,249 2.32 31 41,298 8 Fifth Third Bancorp 1,131,031 2.05 30 37,701 9 Villages BanCorp. Inc. 817,150 1.48 9 90,794 10 Tampa Banking Co. 786,536 1.43 8 98,317 |
![]() Priorities and Goals Achieve Return on Average Assets of 1.00% Surpass $5 billion in assets Expand into new markets with demographics similar to Central Florida Remain highly capitalized Strategic Goals (3 – 5 Years) Near-Term (18 – 24 Months) Acquire banking institutions through FDIC assisted transactions Reduce the level of problem assets Leverage Correspondent Banking Division Evaluating future strategic whole-bank opportunities 7 |
![]() NEAR-TERM DRIVERS 1. Home sales up significantly 2. Foreclosure filings down 3. Consumer and commercial deleveraging continues Florida Outlook – Long Slow Recovery Source: Florida Legislature Office of Economic and Demographic Research 8 Florida Home Sales - YoY % Change 1995-2009 Debt Overhang + Low Loan Growth Opportunities = Bank Consolidation |
![]() Positioned for FDIC Transaction Opportunities 9 Source: SNL Financial, data as of most recent quarter available. (1)FDIC Opportunities include banks and thrifts in Florida with Texas Ratios greater than 100%. (2)Unassisted Opportunities include banks and thrifts in Florida with Texas Ratios between 50% and 100%. Prior FDIC acquisition experience – Ocala National Bank – Olde Cypress 4 existing executive teams within the Holding Company Recent hires with significant executive and workout experience Deposits Branches ($bn) 481 30.6 Deposits Branches ($bn) 506 34.1 FDIC Opportunities (1) Unassisted Opportunities (2) Institutions 58 Institutions 64 |
![]() LONG-TERM DRIVERS 1. Housing more affordable 2. Baby-Boomers nearing retirement age 3. Net migration to return 4. 72 degrees in January Florida Outlook Long-Term Future Still Bright Source: Florida Legislature Office of Economic and Demographic Research 10 Florida’s Population Growth |
![]() Birmingham Atlanta Winston-Salem Tampa Winter Haven Correspondent Banking Division Primary business lines – Bond Sales – Fed funds – Safekeeping, bond accounting, and asset/liability consulting services Customer base – 497 community banks Opportunity – Bank Clearing & Cash Management – Talent Recruiting / M&A Division Contribution 11 ($000s, except per share) 2Q09 3Q09 4Q09 1Q10 2Q10 Net Interest Income $1,975 $1,813 $1,656 $1,526 $1,319 Non-Interest Income 2,670 6,011 7,468 6,622 7,758 Non-Interest Expense (2,038) (5,312) (6,512) (6,164) (6,740) Income Tax Expense (881) (967) (1,006) (764) (900) Net Income Impact $1,726 $1,545 $1,606 $1,220 $1,437 EPS Impact $0.14 $0.07 $0.06 $0.05 $0.05 Management lift out from RBC (formerly ALAB) and Capital Markets Division of Silverton (66 employees) |
![]() Core Deposit Focus Approximately 70,239 total accounts - $20,322 average balance per account Ocala National Bank (FDIC assisted) – Core deposits up 22% 25% 16% 24% 13% 22% Total Deposits ($MM) Number of Deposit Accounts Core deposits defined as non-time deposits. 12 |
![]() Loan Portfolio Total Loans by Type (%) Total Loans Detail Construction, Development, & land represents only 11% of the total portfolio 13 Loan Type No. of Loans 6/30/10 Balance Avg Loan Balance Residential Real Estate 2,619 $249MM $95,000 Commercial Real Estate 1,073 442MM 412,000 Construction, A&D, & Land 565 106MM 188,000 Commercial & Industrial 971 88MM 90,000 Consumer /Other 2,117 57MM 27,000 Total 7,345 $942MM $128,000 |
![]() Commercial Real Estate & Construction Loans Commercial Real Estate by Type Construction Loans by Type $442 million (47% of total loan portfolio) 5% Non-Accrual 55% owner-occupied * CRE concentration – 143% vs 300% $106 million (11% of total loan portfolio) 10% Non-Accrual * C&D concentration – 40% vs 100% 14 Data as of 6/30/10. % of Average Total Size Loans ($000) 0.0 % $294 0.0 332 0.1 135 0.2 130 0.3 1,186 0.4 315 0.4 1,285 0.9 288 1.0 715 3.5 93 4.5 333 11.3 % $188 $42.4 $33.3 $9.3 $8.4 $3.9 $3.5 $2.4 $2.1 $0.8 $0.3 $0.3 $0mm $10mm $20mm $30mm $40mm $50mm Raw Land – Commercial SF Building Lots Developed Land Raw Land – Residential Const. – Church/Education Const. – SF Owner Const. – Industrial Raw Land – Agriculture Const. – Spec Home Const. – Other Const. – Restaurant % of Average Total Size Loans ($000) 0.4 % $709 0.4 831 0.5 360 0.9 246 1.4 612 1.4 357 1.9 253 2.6 540 3.0 493 3.1 600 3.5 547 4.3 583 4.9 457 7.5 400 10.9 318 46.9 % $412 $3.5 $4.2 $4.7 $8.9 $12.9 $12.9 $18.2 $24.8 $28.1 $29.4 $32.8 $40.8 $46.6 $71.1 $102.8 $0mm $25mm $50mm $75mm $100mm $125mm Office Buildings Retail All Other CRE Church and Education Warehouse Strip Center Industrial Medical Multi-family Residential Restaurant Mini Warehouse Agriculture Mobile Home Park Hotel/Lodging Aviation |
![]() Credit Quality Trends NPAs / Loans & OREO (%) Net Charge-Offs / Avg. Loans (%) Problem Loan Trends ($MM) Reserves / Loans (%) • ALLL / NPL ratio of 46% versus 36% for Florida Peers (MRQ) 15 Source: SNL Financial and Company filings. Nonperforming assets include 90 days or more past due. Southeastern peers include ABCB, BTFG, GRNB, PNFP, RNST, SCBT, UBSH and UCBI. Florida peers include publicly traded banks and thrifts headquartered in Florida with $1 billion or more in total assets. |
![]() Non-Performing Loans Other Real Estate Owned $52,070,000 (5.53% of Gross Loans) 30% of NPLs are current 79% of legal unpaid loan balance, net of specific reserves $11,144,000 57% of legal unpaid loan balance at repossession date Residential Real Estate $14,844K (87 loans) Commercial Real Estate $24,848K (55 loans) Construction, A&D, & Land $11,401K (46 loans) Commercial $512K (19 loans) Consumer / Other $465K (27 loans) 16 Commercial Buildings (15) $5,609K Mobile Homes w/ Land (6) $151K Vacant Land (14 parcels of land) $2,185K Mixed Properties $187K Single Family Homes (22) $1,783K Residential Lots (50) $1,229K Data as of 6/30/10 NonPerforming Assets |
![]() 17 Organic Growth & Earnings Potential Total Asset Growth Loans / Deposits (%) Loans / Deposits ratio CenterState Banks, Inc. – 66% Southeastern Peers Average – 86% Florida Peers Average – 84% 1,077 Loans $517 $658 $841 $892 $959 $942 Deposits 717 893 973 994 1,305 1,427 Source: SNL Financial and Company filings, data as of most recent quarter available. Southeastern peers include ABCB, BTFG, GRNB, PNFP, RNST, SCBT, UBSH and UCBI. Florida peers include publicly traded banks and thrifts headquartered in Florida with $1 billion or more in total assets. 1,217 1,751 |
![]() Profitability Pre- Tax, Pre-Provision Income & ROAA (%) Non Interest Inc / Op. Revenue (%) Net Income ($MM) Net Interest Margin (%) 18 Source: SNL Financial and Company filings. Southeastern peers include ABCB, BTFG, GRNB, PNFP, RNST, SCBT, UBSH and UCBI. Florida peers include publicly traded banks and thrifts headquartered in Florida with $1 billion or more in total assets. *Annualized |
![]() Conservative Balance Sheet Loans / Assets of 52% as of 06/30/10 Constr/A&D/Land loans represent 11% of total loans versus 21% for Southeastern peers and 12% for Florida peers NPAs / Assets of 3.51% versus 4.44% for Southeastern peers and 5.77% for Florida peers Robust capital position * • TCE and Tier 1 leverage ratios of 12.5% and 12.7% at 06/30/10 Source: SNL Financial and Company filings, data as of most recent quarter available. Southeastern peers include ABCB, BTFG, GRNB, PNFP, RNST, SCBT, UBSH and UCBI. Florida peers include publicly traded banks and thrifts headquartered in Florida with $1 billion or more in total assets. *Proforma to include capital raise of $30 million 19 |
![]() Summary Energetic, experienced local management team taking advantage of opportunities Significant organic growth opportunities Increased FDIC-assisted deals coming to our market in the next 6 – 9 months Unprecedented opportunities to add shareholder value 20 |