Exhibit 99.1
Contact: | Dan M. Quinn | Paul W. Taylor |
| Chief Executive Officer | Chief Financial Officer |
| 1331 Seventeenth Street, Suite 300 | 1331 Seventeenth Street, Suite 300 |
| Denver, CO 80202 | Denver, CO 80202 |
| 303/296-9600 | 303/296-9600 |
FOR IMMEDIATE RELEASE:
Centennial Bank Holdings, Inc. Announces Second Quarter 2006 Earnings
Denver, Colorado, July 25, 2006 — Centennial Bank Holdings, Inc. (Nasdaq: CBHI) today reported second quarter 2006 net income of $5.7 million, or 10 cents per basic and diluted share, compared to second quarter 2005 net income of $3.6 million, or 7 cents per basic and diluted share, and first quarter 2006 net income of $7.4 million, or 13 cents per basic and diluted share. Excluding after-tax intangible asset amortization of $1.9 million, cash net income for the quarter was $7.6 million, or 13 cents per basic and diluted share, compared to the second quarter 2005 cash net income of $5.5 million, or 11 cents per basic and diluted share, and first quarter 2006 cash net income of $9.3 million, or 16 cents per basic and diluted share.
For the first six months of 2006, net income was $13.2 million or 22 cents per basic and diluted share, with cash net income of $16.9 million or 29 cents per basic and diluted share excluding after-tax intangible asset amortization of $3.7 million.
Second quarter 2006 net income was impacted by an increase in noninterest expense of $3.3 million, consisting of costs associated with the management transition announced in May 2006, new employee hirings and compliance with the Sarbanes-Oxley Act.
The comparability of the company’s financial information to periods prior to the fourth quarter 2005 is affected by the company’s fourth quarter 2005 acquisitions of First MainStreet Financial, Ltd. and Foothills Bank.
“We continue to be disappointed by the lack of loan and deposit growth,” stated Dan Quinn, Chief Executive Officer. “However, with the recent management transition, we have renewed our efforts on improving both loan and deposit growth. With the addition of key experienced bankers in the past few months, our consistently strong net interest margin, and our commitment to outstanding profitability, we believe we are well-positioned for long-term future growth and improved profitability.”
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| | Quarter Ended
June 30, 2006 | | Quarter Ended
March 31, 2006 | | %
Change | | Quarter Ended
June 30, 2005 | | %
Change | |
Earnings per share-basic & diluted | | $ | 0.10 | | $ | 0.13 | | (23.1 | )% | $ | 0.07 | | 42.9 | % |
Cash earnings per share-basic & diluted | | $ | 0.13 | | $ | 0.16 | | (18.8 | )% | $ | 0.11 | | 18.2 | % |
Return on average assets | | 0.81 | % | 1.03 | % | (21.4 | )% | 0.60 | % | 35.0 | % |
Return on tangible average assets (cash) | | 1.27 | % | 1.52 | % | (16.4 | )% | 1.08 | % | 16.5 | % |
Net Interest Margin | | 5.51 | % | 5.44 | % | 1.3 | % | 5.63 | % | (2.1 | )% |
Efficiency Ratio | | 66.70 | % | 56.76 | % | 17.5 | % | 64.24 | % | 3.8 | % |
Balance Sheet
At June 30, 2006, the company had total assets of $2.9 billion, compared to $3.0 billion at December 31, 2005, and $2.9 billion at March 31, 2006.
(In thousands) | | June 30,
2006 | | March 31,
2006 | | December 31,
2005 | | September 30,
2005 | | June 30,
2005 | |
| | | | | | | | | | | |
Total loans, net of unearned discount | | $ | 1,931,810 | | $ | 2,010,881 | | $ | 2,074,413 | | $ | 1,769,548 | | $ | 1,724,243 | |
Allowance for loan losses | | (25,297 | ) | (26,999 | ) | (27,475 | ) | (25,019 | ) | (25,535 | ) |
Total assets | | 2,850,281 | | 2,916,510 | | 2,980,757 | | 2,540,169 | | 2,461,842 | |
Average assets | | 2,836,432 | | 2,929,712 | | 2,873,828 | | 2,472,939 | | 2,413,517 | |
Total deposits | | 1,998,055 | | 2,077,076 | | 2,048,352 | | 1,721,609 | | 1,589,180 | |
| | | | | | | | | | | | | | | | |
Total loans, net of unearned discount, decreased $142.6 million from December 31, 2005. Total loans, net of unearned discount, were $1.9 billion at June 30, 2006, a decrease of $79.1 million from March 31, 2006. The decline in the loan portfolio was primarily due to the increased pace of loan repayments in the company’s real estate portfolio. However, $40.0 million of loan growth in the second quarter was structured as an investment security, which is carried on the balance sheet as a security available for sale.
At the end of the second quarter 2006, deposits were $2.0 billion, which reflects a decrease of $50.3 million from December 31, 2005 and a decrease of $79.0 million from March 31, 2006. Since December 31, 2005, certificates of deposits declined $69.1 million. Certificates of deposit represented 28.2% of total deposits at June 30, 2006 and 30.9% at December 31, 2005. The decline in deposits is partially due to the continued reduction in the use of certificates of deposit as a funding source and a seasonal fluctuation caused by customer use of deposits to pay tax liabilities in the second quarter.
Net Interest Income and Margin
Net interest income for second quarter 2006 was $29.4 million, compared to first quarter 2006 net interest income of $29.9 million. This decrease of $0.5 million, or 2% of first quarter 2006 net interest income, was caused in part by a contraction in the company’s loan portfolio.
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| | Quarter Ended | |
(Dollars in thousands) | | June 30, 2006 | | March 31, 2006 | | December 31,
2005 | | September 30,
2005 | | June 30, 2005 | |
| | | | | | | | | | | |
Net interest income | | $ | 29,388 | | $ | 29,907 | | $ | 30,797 | | $ | 25,873 | | $ | 25,870 | |
Interest rate spread | | 4.66 | % | 4.67 | % | 4.54 | % | 4.72 | % | 5.06 | % |
Net interest margin | | 5.51 | % | 5.44 | % | 5.39 | % | 5.41 | % | 5.63 | % |
| | | | | | | | | | | | | | | | |
The net interest margin for second quarter 2006 was 5.51%, an increase over first quarter 2006 of 7 basis points. The improvement in the net interest margin is due mainly to the continued increase in our prime lending rate in response to the rise in market interest rates combined with our disciplined approach to deposit pricing.
Net interest income and net interest margin increased for second quarter 2006 from the same period of the previous year by $3.5 million and 11 basis points, respectively. The change in net interest income was significantly impacted by the fourth quarter 2005 acquisitions of First MainStreet and Foothills Bank.
Noninterest Income
The following table presents the noninterest income for the quarter ended June 30, 2006 and the four previous quarters.
| | Quarter Ended | |
(In thousands) | | June 30,
2006 | | March 31,
2006 | | December 31,
2005 | | September 30,
2005 | | June 30,
2005 | |
| | | | | | | | | | | |
Noninterest income: | | | | | | | | | | | |
Customer service and other fees | | $ | 2,993 | | $ | 2,632 | | $ | 2,524 | | $ | 2,035 | | $ | 1,993 | |
Gain (loss) on sale of securities | | — | | (5 | ) | (16 | ) | — | | (14 | ) |
Gain (loss) on sale of loans | | 230 | | 314 | | 256 | | 433 | | 257 | |
Gain (loss) on sale of assets | | 179 | | (91 | ) | (195 | ) | 260 | | 95 | |
Other | | 203 | | 262 | | 97 | | 4 | | 8 | |
| | | | | | | | | | | |
Total noninterest income | | $ | 3,605 | | $ | 3,112 | | $ | 2,666 | | $ | 2,732 | | $ | 2,339 | |
Noninterest income for second quarter 2006 was $3.6 million, an increase of $0.5 million from first quarter 2006. Customer service and other fees increased steadily in the first and second quarters of 2006 due to new deposit products and corresponding service charges implemented in early 2006.
Second quarter 2006 noninterest income increased by $1.3 million from second quarter 2005 primarily due to the First MainStreet and Foothills Bank acquisitions during the fourth quarter 2005 and new deposit products and corresponding service charges implemented in early 2006.
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Noninterest Expense
The following table presents the noninterest expense for the quarter ended June 30, 2006 and the previous four quarters.
| | Quarter Ended | |
(In thousands) | | June 30,
2006 | | March 31,
2006 | | December 31,
2005 | | September 30,
2005 | | June 30,
2005 | |
| | | | | | | | | | | |
Noninterest expense: | | | | | | | | | | | |
Salaries and employee benefits | | $ | 12,082 | | $ | 11,435 | | $ | 11,202 | | $ | 9,828 | | $ | 10,088 | |
Occupancy expense | | 1,995 | | 2,052 | | 1,947 | | 1,651 | | 1,660 | |
Furniture and equipment | | 1,230 | | 1,165 | | 1,188 | | 924 | | 881 | |
Amortization of intangible assets | | 2,998 | | 2,998 | | 3,232 | | 2,968 | | 3,095 | |
Merger, acquisition and transition expenses | | 1,540 | | 88 | | 1,995 | | 752 | | 2,762 | |
Other general and administrative | | 5,159 | | 4,002 | | 5,492 | | 4,604 | | 2,731 | |
| | | | | | | | | | | |
Total noninterest expense | | $ | 25,004 | | $ | 21,740 | | $ | 25,056 | | $ | 20,727 | | $ | 21,217 | |
Noninterest expense for second quarter 2006 was $25.0 million, compared to $21.7 million for first quarter 2006. The largest factor for the $3.3 million increase was a transition expense of $1.4 million due to contractual severance obligations incurred by the company due to its management transition announced in May 2006. Additionally, salary and benefit expenses increased by $0.6 million, $0.4 million of which was associated with the hiring of new employees, and professional services increased by $0.8 million, which included fees relating to the implementation of Sarbanes-Oxley Act Section 404 requirements.
Second quarter 2006 noninterest expense was $3.8 million greater than noninterest expense for second quarter 2005. This increase in noninterest expense is due primarily to the factors mentioned above and additional expenses resulting from the First MainStreet and Foothills Bank acquisitions.
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Asset Quality
The following table presents selected asset quality data as of the dates indicated.
| | June 30, | | March 31, | | December 31, | | September 30, | | June 30, | |
(In thousands, except ratios) | | 2006 | | 2006 | | 2005 | | 2005 | | 2005 | |
| | | | | | | | | | | |
Nonaccrual loans | | $ | 30,684 | | $ | 28,746 | | $ | 29,608 | | $ | 8,352 | | $ | 9,975 | |
Accruing loans past due 90 days or more | | 84 | | 1 | | 131 | | 1,806 | | 280 | |
| | | | | | | | | | | |
Total nonperforming loans (NPLs) | | 30,768 | | 28,747 | | 29,739 | | 10,158 | | 10,255 | |
Other real estate owned | | 1,041 | | 1,267 | | 1,465 | | 2,532 | | 4,438 | |
| | | | | | | | | | | |
Total nonperforming assets (NPAs) | | $ | 31,809 | | $ | 30,014 | | $ | 31,204 | | $ | 12,690 | | $ | 14,693 | |
| | | | | | | | | | | |
Selected ratios: | | | | | | | | | | | |
NPLs to total loans held for investment | | 1.60 | % | 1.43 | % | 1.44 | % | 0.58 | % | 0.60 | % |
NPAs to total assets | | 1.12 | % | 1.03 | % | 1.05 | % | 0.50 | % | 0.60 | % |
Nonperforming assets of $31.8 million at June 30, 2006 reflected increases of $1.8 million from March 31, 2006 and $0.6 million from December 31, 2005. At June 30, 2006 and March 31, 2006, seven lending relationships at each date accounted for 57.6% and 65.1%, respectively, of the total nonperforming assets.
The company did not record a provision for loan loss expense during second quarter 2006 or second quarter 2005, as was the case for first quarter 2006. At June 30, 2006, the allowance for loan losses was $25.3 million, compared to $27.0 million at March 31, 2006 and $27.5 million at December 31, 2005. The ratio of the allowance for loan losses to loans, net of unearned discount, was 1.3% at June 30, 2006, March 31, 2006 and December 31, 2005. The allowance for loan losses to total nonperforming assets was 79.5% at June 30, 2006 compared to 90.0% and 88.1% at March 31, 2006 and December 31, 2005, respectively. Management believes that the allowance for loan losses is adequate to cover potential losses in the company’s loan portfolio based on its analysis of loans, including the collateral position of identified substandard loans.
Stock Repurchase Program
During the second quarter 2006, the company repurchased 1,245,000 shares at an approximate cost of $13.5 million, or an average price of $10.87 per share. The cumulative share repurchases during the first six months of 2006 was 1,533,600 shares at an approximate cost of $16.9 million, or an average price of $11.01 per share. As of June 30, 2006, the company had 59,189,674 shares outstanding, including 1,565,343 shares of unvested restricted stock.
Divestitures
On June 19, 2006, the company signed a definitive agreement to sell its Collegiate Peaks Bank subsidiary to a new group of investors. The company expects the transaction to close in the fourth quarter 2006, subject to the receipt of regulatory approvals.
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Non-GAAP Financial Measures
This press release includes non-GAAP financial measures, cash net income and cash earnings per share, which exclude the after-tax impact of intangible asset amortization expense, and return on average tangible assets (cash), which excludes the after-tax impact of intangible asset amortization expense and average intangible assets. The company discloses these non-GAAP financial measures to provide meaningful supplemental information regarding the company’s operational performance and to enhance investors’ overall understanding of the company’s core financial performance. Management believes that these non-GAAP financial measures allow for additional transparency and are used by some investors, analysts and other users of the company’s financial information as performance measures. These non-GAAP financial measures are presented for supplemental informational purposes only for understanding the company’s operating results and should not be considered a substitute for financial information presented in accordance with GAAP. These non-GAAP financial measures presented by the company may be different from non-GAAP financial measures used by other companies.
| | Quarter Ended | | Six Months
Ended | |
(In thousands, except per share data) | | June 30,
2006 | | March 31,
2006 | | June 30,
2005 | | June 30,
2006 | |
| | | | | | | | | |
GAAP net income | | $ | 5,726 | | $ | 7,429 | | $ | 3,590 | | $ | 13,155 | |
Add: Amortization of intangible assets | | 2,998 | | 2,998 | | 3,095 | | 5,997 | |
Less: Income tax effect | | (1,140 | ) | (1,139 | ) | (1,176 | ) | (2,279 | ) |
Cash net income | | $ | 7,584 | | $ | 9,288 | | $ | 5,509 | | $ | 16,873 | |
| | | | | | | | | |
Weighted average shares – diluted | | 58,352 | | 59,057 | | 52,180 | | 58,849 | |
| | | | | | | | | |
Earnings per share – diluted | | $ | 0.10 | | $ | 0.13 | | $ | 0.07 | | $ | 0.22 | |
Add: Amortization of intangible assets (after tax effect) | | $ | 0.03 | | $ | 0.03 | | $ | 0.04 | | $ | 0.07 | |
Cash earnings per share | | $ | 0.13 | | $ | 0.16 | | $ | 0.11 | | $ | 0.29 | |
| | | | | | | | | |
Return on tangible net assets (cash) | | | | | | | | | |
Cash net income | | $ | 7,584 | | $ | 9,288 | | $ | 5,509 | | $ | 16,873 | |
| | | | | | | | | |
Average total assets | | $ | 2,836,432 | | $ | 2,929,712 | | $ | 2,413,517 | | $ | 2,884,741 | |
Less average intangible assets | | (440,197 | ) | (444,351 | ) | (376,827 | ) | (442,616 | ) |
Average tangible assets | | $ | 2,396,235 | | $ | 2,485,361 | | $ | 2,036,690 | | $ | 2,442,125 | |
| | | | | | | | | |
Return on average tangible assets (cash) - cash net income divided by average tangible assets | | 1.27 | % | 1.52 | % | 1.09 | % | 1.39 | % |
| | | | | | | | | |
Return on average assets - GAAP net income divided by total average assets | | 0.81 | % | 1.03 | % | 0.60 | % | 0.92 | % |
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About Centennial Bank Holdings, Inc.
Centennial Bank Holdings, Inc. is a bank holding company that operates 37 branches in Colorado through its three bank subsidiaries, Centennial Bank of the West, Guaranty Bank and Trust Company and Collegiate Peaks Bank. The company provides banking and other financial services including real estate, construction, commercial and industrial, and consumer and agricultural loans throughout its targeted Colorado markets to consumers and small to medium-sized businesses, including the owners and employees of those businesses. Centennial Bank of the West also provides trust services, including personal trust administration, estate settlement, investment management accounts and self-directed IRAs. More information about Centennial Bank Holdings, Inc. can be found at www.cbhi.com.
Forward-Looking Statements
Certain statements contained in this press release, including, without limitation, statements containing the words “believes”, “anticipates”, “intends”, “expects”, and words of similar import, constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the company’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following: general economic and business conditions in those areas in which the company operates; demographic changes; competition; fluctuations in interest rates; continued ability to attract and employ qualified personnel; costs and uncertainties related to the outcome of pending litigation; changes in business strategy or development plans; changes that occur in the securities markets; changes in governmental legislation or regulation; changes in credit quality; the availability of capital to fund the expansion of the company’s business; economic, political and global changes arising from natural disasters; the war on terrorism and conflicts in the Middle East; and additional “Risk Factors” referenced in the company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission, as supplemented from time to time. When relying on forward-looking statements to make decisions with respect to the company, investors and others are cautioned to consider these and other risks and uncertainties. The company can give no assurance that any goal or plan or expectation set forth in forward-looking statements can be achieved and readers are cautioned not to place undue reliance on such statements, which speak only as of the date made. The forward-looking statements are made as of the date of this press release, and the company does not intend, and assumes no obligation, to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements.
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Centennial Bank Holdings, Inc.
Unaudited Consolidated Balance Sheets
| | June 30, 2006 | | December 31, 2005 | |
| | (In thousands) | |
Assets | | | | | |
Cash and due from banks | | $ | 86,073 | | $ | 88,852 | |
Federal funds sold | | 4,626 | | 10,090 | |
Cash and cash equivalents | | 90,699 | | 98,942 | |
Securities available for sale, at fair value | | 170,433 | | 143,081 | |
Securities held to maturity | | 7,012 | | 5,798 | |
Bank stocks, at cost | | 30,265 | | 26,874 | |
Total investments | | 207,710 | | 175,753 | |
Loans held for sale | | 4,588 | | 6,820 | |
Loans, net of unearned discount | | 1,927,222 | | 2,067,593 | |
Less allowance for loan losses | | (25,297 | ) | (27,475 | ) |
Net loans | | 1,906,513 | | 2,046,938 | |
Premises and equipment, net | | 76,604 | | 73,429 | |
Goodwill | | 391,346 | | 392,507 | |
Other intangible assets, net | | 47,417 | | 54,922 | |
Other assets | | 35,582 | | 39,996 | |
Assets held for sale | | 94,410 | | 98,270 | |
Total assets | | $ | 2,850,281 | | $ | 2,980,757 | |
| | | | | |
Liabilities and Stockholders’ Equity | | | | | |
Liabilities: | | | | | |
Deposits: | | | | | |
Noninterest-bearing demand | | $ | 528,943 | | $ | 593,811 | |
Interest-bearing demand | | 810,686 | | 722,030 | |
Savings | | 94,480 | | 99,496 | |
Time | | 563,945 | | 633,015 | |
Total deposits | | 1,998,054 | | 2,048,352 | |
Securities sold under agreements to repurchase and federal fund purchases | | 30,371 | | 44,399 | |
Borrowings | | 76,376 | | 130,198 | |
Subordinated debentures | | 41,239 | | 41,275 | |
Other liabilities | | 30,759 | | 37,368 | |
Liabilities associated with assets held for sale | | 77,518 | | 80,417 | |
Total liabilities | | 2,254,317 | | 2,382,009 | |
| | | | | |
Stockholders’ equity: | | | | | |
Common stock | | 62 | | 63 | |
Additional paid-in capital | | 613,598 | | 612,089 | |
Retained earnings | | 31,633 | | 18,478 | |
Accumulated other comprehensive income (loss) | | (475 | ) | 93 | |
| | 644,818 | | 630,723 | |
Less cost of shares in treasury | | (48,854 | ) | (31,975 | ) |
Total stockholders’ equity | | 595,964 | | 598,748 | |
Total liabilities and stockholders’ equity | | $ | 2,850,281 | | $ | 2,980,757 | |
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Centennial Bank Holdings, Inc.
Unaudited Consolidated Income Statements
| | Quarter Ended | | Six Months Ended | |
| | June 30, 2006 | | March 31, 2006 | | June 30, 2005 | | June 30, 2006 | | June 30, 2005 | |
| | | | | | | | | | | |
Interest income: | | | | | | | | | | | |
Loans, including fees | | $ | 40,644 | | $ | 40,521 | | $ | 30,583 | | $ | 81,165 | | $ | 59,080 | |
Investment securities: | | | | | | | | | | | |
Taxable | | 718 | | 776 | | 348 | | 1,494 | | 648 | |
Tax-exempt | | 1,055 | | 911 | | 591 | | 1,966 | | 1,083 | |
Dividends | | 433 | | 427 | | 199 | | 860 | | 369 | |
Federal funds sold and other | | 116 | | 75 | | 647 | | 191 | | 1,231 | |
Total interest income | | 42,966 | | 42,710 | | 32,368 | | 85,676 | | 62,411 | |
Interest expense: | | | | | | | | | | | |
Deposits | | 11,533 | | 10,147 | | 4,765 | | 21,680 | | 8,393 | |
Federal funds purchased and repurchase agreements | | 293 | | 261 | | 267 | | 554 | | 444 | |
Subordinated debentures | | 901 | | 847 | | 596 | | 1,748 | | 1,170 | |
Borrowings | | 851 | | 1,548 | | 870 | | 2,399 | | 1,206 | |
Total interest expense | | 13,578 | | 12,803 | | 6,498 | | 26,381 | | 11,213 | |
Net interest income | | 29,388 | | 29,907 | | 25,870 | | 59,295 | | 51,198 | |
Provision for loan losses | | — | | — | | — | | — | | 1,700 | |
| | | | | | | | | | | |
Net interest income, after provision for loan losses | | 29,388 | | 29,907 | | 25,870 | | 59,295 | | 49,498 | |
Noninterest income: | | | | | | | | | | | |
Customer service and other fees | | 2,993 | | 2,632 | | 1,993 | | 5,625 | | 3,922 | |
Gain (loss) on sale of securities | | — | | (5 | ) | (14 | ) | (5 | ) | 9 | |
Gain on sale of loans | | 231 | | 314 | | 257 | | 545 | | 627 | |
Gain (loss) on sale of assets | | 179 | | (91 | ) | 95 | | 88 | | 341 | |
Other | | 202 | | 262 | | 8 | | 464 | | 18 | |
Total noninterest income | | 3,605 | | 3,112 | | 2,339 | | 6,717 | | 4,917 | |
Noninterest expense: | | | | | | | | | | | |
Salaries and employee benefits | | 12,082 | | 11,435 | | 5,609 | | 23,517 | | 20,396 | |
Occupancy expense | | 1,994 | | 2,052 | | 1,660 | | 4,046 | | 3,288 | |
Furniture and equipment | | 1,231 | | 1,165 | | 881 | | 2,396 | | 1,666 | |
Amortization of intangible assets | | 2,999 | | 2,998 | | 3,095 | | 5,997 | | 6,189 | |
Merger, acquisition and transition expenses | | 1,539 | | 88 | | 5,005 | | 1,627 | | 5,448 | |
Other general and administrative | | 5,159 | | 4,002 | | 4,967 | | 9,161 | | 9,213 | |
Total noninterest expense | | 25,004 | | 21,740 | | 21,217 | | 46,744 | | 46,200 | |
Income before income taxes | | 7,989 | | 11,279 | | 6,992 | | 19,268 | | 8,215 | |
Income tax expense | | 2,612 | | 3,990 | | 2,431 | | 6,602 | | 2,734 | |
Income from continuing operations | | 5,377 | | 7,289 | | 4,561 | | 12,666 | | 5,481 | |
| | | | | | | | | | | |
Income (Loss) from discontinued operations, net of tax | | 349 | | 140 | | (971 | ) | 489 | | (794 | ) |
| | | | | | | | | | | |
Net income | | $ | 5,726 | | $ | 7,429 | | $ | 3,590 | | $ | 13,155 | | $ | 4,687 | |
| | | | | | | | | | | |
Earnings per share - basic and diluted | | | | | | | | | | | |
Income from continuing operations | | $ | 0.09 | | $ | 0.13 | | $ | 0.09 | | $ | 0.22 | | $ | 0.10 | |
Net income (loss) from discontinued operations, net of tax | | 0.01 | | — | | (0.02 | ) | — | | (0.01 | ) |
Net income | | 0.10 | | 0.13 | | 0.07 | | 0.22 | | 0.09 | |
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Centennial Bank Holdings, Inc.
Unaudited Consolidated Average Balance Sheets
| | Year to Date Average | |
| | June 30, 2006 | | June 30, 2005 | |
| | (In thousands) | |
Assets | | | | | |
Loans, net of unearned discount | | $ | 1,999,164 | | $ | 1,658,523 | |
Loans held for sale | | 3,889 | | 4,273 | |
Interest bearing deposits at banks and federal funds sold | | 6,359 | | 21,177 | |
Investment securities | | 176,219 | | 150,662 | |
Average earning assets | | 2,185,631 | | 1,834,635 | |
Intangible assets | | 391,603 | | 375,728 | |
Other assets | | 307,507 | | 192,883 | |
| | | | | |
Total average assets | | $ | 2,884,741 | | $ | 2,403,246 | |
| | | | | |
Liabilities and Stockholders’ Equity | | | | | |
Average liabilities: | | | | | |
Average deposits: | | | | | |
Noninterest-bearing deposits | | $ | 529,433 | | $ | 479,144 | |
Interest-bearing deposits | | 1,474,949 | | 1,158,358 | |
Average deposits | | 2,004,382 | | 1,637,502 | |
Other interest-bearing liabilities | | 167,830 | | 152,743 | |
Other liabilities | | 110,702 | | 94,828 | |
Total average liabilities | | 2,282,914 | | 1,885,073 | |
Average stockholders’ equity | | 601,827 | | 518,173 | |
Total average liabilities and stockholders’ equity | | $ | 2,884,741 | | $ | 2,403,246 | |
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Centennial Bank Holdings, Inc.
Unaudited Asset Quality Measures
| | Quarter Ended | |
| | June 30,
2006 | | March 31,
2006 | | December 31,
2005 | | September 30,
2005 | | June 30,
2005 | |
| | | | | | | | | | | |
Nonaccrual loans | | $ | 30,684 | | $ | 28,746 | | $ | 29,608 | | $ | 8,352 | | $ | 9,975 | |
Accruing loans past due 90 days or more | | 84 | | 1 | | 131 | | 1,806 | | 280 | |
Other real estate owned | | 1,041 | | 1,267 | | 1,465 | | 2,532 | | 4,438 | |
Total nonperforming assets | | $ | 31,809 | | $ | 30,014 | | $ | 31,204 | | $ | 12,690 | | $ | 14,693 | |
| | | | | | | | | | | |
Total impaired loans | | $ | 46,934 | | $ | 40,588 | | $ | 50,290 | | $ | 27,757 | | $ | 32,677 | |
Allocated allowance for loan losses | | (5,685 | ) | (9,296 | ) | (10,360 | ) | (10,445 | ) | (17,556 | ) |
Net investment in impaired loans | | $ | 41,249 | | $ | 31,292 | | $ | 39,930 | | $ | 17,312 | | $ | 15,121 | |
| | | | | | | | | | | |
Charged-off loans | | $ | (3,103 | ) | $ | (1,091 | ) | $ | (3,060 | ) | $ | (592 | ) | $ | (1,206 | ) |
Recoveries | | 1,208 | | 615 | | 679 | | 76 | | 180 | |
Net recoveries (charge-offs) | | $ | (1,895 | ) | $ | (476 | ) | $ | (2,381 | ) | $ | (516 | ) | $ | (1,026 | ) |
| | | | | | | | | | | |
Allowance for loan losses to loans, net of unearned discount | | 1.31 | % | 1.35 | % | 1.33 | % | 1.43 | % | 1.50 | % |
Allowance for credit losses to loans, net of unearned discount | | 1.36 | % | 1.38 | % | 1.36 | % | 1.43 | % | 1.50 | % |
Allowance for loan losses to nonaccrual loans | | 82.44 | % | 93.92 | % | 92.80 | % | 299.56 | % | 255.99 | % |
Allowance for credit losses to nonaccrual loans | | 85.71 | % | 96.42 | % | 95.22 | % | 299.56 | % | 255.99 | % |
Allowance for loan losses to nonperforming assets | | 79.53 | % | 89.95 | % | 88.05 | % | 197.16 | % | 173.79 | % |
Allowance for credit losses to nonperforming assets | | 82.68 | % | 92.35 | % | 90.35 | % | 197.16 | % | 173.79 | % |
Allowance for loan losses to impaired loans | | 53.90 | % | 66.52 | % | 54.63 | % | 90.14 | % | 78.14 | % |
| | | | | | | | | | | |
Nonperforming assets to loans, net of unearned discount, and other real estate owned | | 1.65 | % | 1.50 | % | 1.51 | % | 0.73 | % | 0.86 | % |
Annualized net recoveries (charge-offs) to average loans | | (0.39 | )% | (0.09 | )% | (0.53 | )% | (0.12 | )% | (0.25 | )% |
Nonaccrual loans to loans, net of unearned discount | | 1.59 | % | 1.43 | % | 1.43 | % | 0.48 | % | 0.59 | % |
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