![]() KBW Community Bank Conference July 2010 EXHIBIT 99.1 |
![]() Cautionary Statements Cautionary Statements 2 This presentation contains certain performance measures determined by methods other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Management of Ameris Bancorp (the “Company”) uses these non-GAAP measures in its analysis of the Company’s performance. These measures are useful when evaluating the underlying performance and efficiency of the Company’s operations and balance sheet. The Company’s management believes that these non-GAAP measures provide a greater understanding of ongoing operations, enhance comparability of results with prior periods and demonstrate the effects of significant gains and charges in the current period. The Company’s management believes that investors may use these non- GAAP financial measures to evaluate the Company’s financial performance without the impact of unusual items that may obscure trends in the Company’s underlying performance. These disclosures should not be viewed as a substitute for financial measures determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Tangible common equity and Tier 1 capital ratios are non-GAAP measures. The Company calculates the Tier 1 capital using current call report instructions. The Company’s management uses these measures to assess the quality of capital and believes that investors may find them useful in their evaluation of the Company. These capital measures may, or may not be necessarily comparable to similar capital measures that may be presented by other companies. This presentation may contain statements that constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The words “believe”, “estimate”, “expect”, “intend”, “anticipate” and similar expressions and variations thereof identify certain of such forward-looking statements, which speak only as of the dates which they were made. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties and that actual results may differ materially from those indicated in the forward-looking statements as a result of various factors. Readers are cautioned not to place undue reliance on these forward-looking statements and are referred to the Company’s periodic filings with the Securities and Exchange Commission for a summary of certain factors that may impact the Company’s results of operations and financial condition. |
![]() Corporate Profile Corporate Profile 3 • Headquartered in Moultrie, Georgia • Founded in 1971 as the American Banking Company • Historically grown through acquisitions of smaller banks in areas close to existing operations • Recent growth through de novo expansion strategy and 3 FDIC-assisted transactions • Four state footprint with 53 offices • Approximately 581 FTEs managing 150,000 core customer accounts • Assets – $2.4 billion Loans – $1.7 billion Deposits – $2.1 billion Alabama Alabama Huntsville Birmingham Mobile Columbus Georgia Georgia Tallahassee Moultrie Moultrie Macon Atlanta Augusta Jacksonville Orlando Tampa Ft. Myers Miami Savannah Charleston Columbia Spartanburg Montgomery Greenville South Carolina South Carolina Florida Florida |
![]() Experienced Management Team Experienced Management Team 4 NAME / POSITION EXPERIENCE (Banking / Ameris) PREVIOUS EXPERIENCE Edwin W. Hortman Jr. President & Chief Executive Officer 30/12 Colony Bankcorp, Inc. Dennis J. Zember Jr. EVP & Chief Financial Officer 14/5 Flag Financial Corporation Jon S. Edwards EVP & Director of Credit Administration 26/11 NationsBank, Federal Reserve Andrew B. Cheney EVP & Banking Group President 35/1 Barnett Bank, Mercantile Bank Marc J. Bogan EVP & Chief Operating Officer 19/2 South Carolina Bank and Trust Cindi H. Lewis EVP, Chief Administrative Officer & Corporate Secretary 31/31 Officer at Ameris Bank since 1987 Management and Board Ownership of Approximately 15% |
![]() Current Focus Current Focus 5 Remain Well-Positioned to Capitalize on Opportunities One of only a handful of southeastern banks able to participate in FDIC transactions Significant opportunities in and around our footprint Aggressively Deal with Credit Issues Continue to be aggressive in recognizing and charging off problem credits Aggressively value problem loans and OREO Improve Core Earnings & Build Deposit Reserves Continue to tweak funding costs and operating expense burden Amassing large base of low cost deposit reserves for future investment Maintain core earnings at a level that covers anticipated credit costs |
![]() • Diversified loan portfolio across five regions – Inland Georgia – 42% – Coastal Georgia – 12% – Alabama – 14% • In-house lending limit of $5 million versus $75 million legal limit – 2 loans above $5 million • Loan participations less than 1.00% of total loans • Low average loan size ($86k) • Aggressive management of concentrations of credit Loan Portfolio Detail Loan Portfolio Detail 6 Loan Portfolio Detail – 6/30/10 – South Carolina – 18% – Florida – 14% Loan Type Average Loan Size Average Rate Commercial R/E $ 367,433 5.84 % C&D 143,912 5.11 Residential 66,501 6.16 C&I 53,046 5.45 Consumer 7,347 7.40 Agriculture 118,697 6.09 Total $ 86,620 6.06 % |
![]() C&D and CRE Detail C&D and CRE Detail (in millions) (in millions) 7 C&D Portfolio C&D Portfolio CRE Portfolio (Non Owner-Occupied) CRE Portfolio (Non Owner-Occupied) - 45% of our CRE portfolio is owner-occupied - Average CRE loan is $367k Data as of 6/30/10; excludes covered loans - Reduced outstandings 31% in last 12 months - Average LTV is 72% - Average appraisal age is 7 months - 44% of all YTD NCO’s |
![]() Managing Asset Quality Managing Asset Quality 8 Nonperforming Loans vs. OREO ($MM) Nonperforming Loans vs. OREO ($MM) All Classified Assets – Peaked in 11/09 A C&D as a Percentage of Capital Data as of 6/30/10; excludes covered loans A- includes the effect of the note sale affected after quarter end. |
![]() Credit Cycle Credit Cycle 9 • Only $32.5 million of accruing substandard loans. Down 56% from the peak in June 2009. • Non-Accrual loans held at 49.8% of original appraisal. • OREO held at 47.1% of original appraisal (82.5% of current appraisal) • Values are appropriate for sale to end users. Investor sales require more discounts. Cumulative losses in Current Economic Cycle (1) Conservative Carrying Values of Classified Assets (2) • Analysis shows that Ameris Bank is 65% - 70% through the current cycle with no dilution to TBV or capital levels. • Forecasted cumulative losses for remainder of cycle is $66 million. • Forecasted pre-tax, pre-credit earnings for remainder of cycle is $71.9 million. • ABCB forecasts 10% - 11% cumulative charge-offs (1) Cumulative losses defined as provision for loan losses plus (gains)/losses on the sale of OREO (2) Net Book balance of classified loans and non-accruing loans is net of LLR totaling $5.2 million and $14.9 million, respectively |
![]() Second Quarter Update Second Quarter Update 10 (1) Excludes covered assets, where applicable dollars in millions, except per share data Q2 '09 Q3 '09 Q4 '09 Q1 '10 Q2 '10 BALANCE SHEET Assets $ 2,285 $ 2,207 $ 2,424 $ 2,352 $ 2,422 Loans, net 1,632 1,611 1,686 1,627 1,651 Tangible Common Equity / Assets 5.65% 5.84% 5.86% 5.97% 9.17% Tangible book value $ 9.00 $ 9.00 $ 10.13 $ 9.94 $ 9.43 PERFORMANCE Pre-tax, pre-credit earnings $ 7,324 $ 9,441 $ 9,588 $ 10,513 $ 11,876 Diluted earnings per share (0.25) (0.06) (2.84) (0.17) (0.20) Net interest margin (TE) 3.59 % 3.65 % 3.66 % 3.92 % 4.43 % Efficiency ratio 76.63 65.83 85.10 66.93 63.35 CREDIT QUALITY (1) NPAs / Loans + OREO 5.19% 6.32% 6.71% 7.15% 7.75% NCOs / Avg loans 1.63 2.75 5.67 3.42 4.21 Reserves / Loans 2.68 2.54 2.26 2.18 2.24 Reserves / NPLs 65.35 49.99 37.20 37.44 36.37 |
![]() Local Deposit Customers drive Profitability Local Deposit Customers drive Profitability 11 • Strategy produces 20% more funding from local deposits than our peer group • Much less rate sensitive, produces lower COF and higher margins • Sales culture focuses solely on driving more retail and business transaction accounts Retail Funding as a % of total Funding Retail Funding as a % of total Funding Deposit Composition – 6/30/10 |
![]() Strong Core Operating Performance Strong Core Operating Performance 12 “Project 2010” • A comprehensive plan covering numerous cost saving initiatives • Expect to improve pre-tax, pre-credit income by approximately $9.6 million in 2010 – Increase net interest income by $2.6 million – Improve non-interest income by $0.9 million – Reduce operating expense by $6.1 million Pre-Tax, Pre-Credit Earnings (1) ($000s) Net Interest Margin (2) (%) Source: SNL Financial (1) Credit expenses include provision, OREO losses, problem loan expense and interest reversals on non-accrual loans Excludes non-recurring charges for goodwill impairment of $54.8 million (2) ABCB net interest margin on a fully taxable-equivalent basis * Peer group includes BTFG, CCBG, CSFL, FBNC, FCBC, FFCH, GRNB, LION, RNST, SCBT and UCBI |
![]() Recent Successes Recent Successes FDIC-Assisted Acquisitions • Announced purchase and assumption agreements with FDIC loss sharing to acquire – American United Bank (10/23/09) - $125 million in assets, $12.1 million gain – United Security Bank (11/6/09) - $150 million in assets, $26.5 million gain – Satilla Community Bank (5/14/10) $105 million in assets, $8.2 million gain • Consolidating 2 of the 4 branches acquired – 2010 contribution to pre-tax, pre-credit earnings of approx $8.6 million – Keeping only profitable, core deposit relationships • Significant capacity to continue acquiring – Current capital and operating resources allow for significant participation in FDIC transactions – Covered assets are only 11.6% of total assets – Experienced 20 person Special Assets Division 13 |
![]() Protected Tangible Book Value Protected Tangible Book Value 14 (1) Tangible book value per share adjusted for stock dividends -No dilution during economic downturn - Capital raise completed at 99% of pro-forma TBV - Core earnings stream covers anticipated credit costs and protects TCE going forward |
![]() Potential FDIC-Assisted Opportunities Potential FDIC-Assisted Opportunities Potential Opportunities Headquartered Within 75 Miles of an ABCB Branch (1) Potential Opportunity Asset Size Distribution (1) Number of Number of Deposits State Institutions Branches ($MM) Alabama 2 6 151 $ Florida 14 71 3,082 Georgia 67 268 16,091 South Carolina 9 70 2,887 Total 92 415 22,211 $ 21 4 63 2 2 0 20 40 60 80 < $250 $250 - $500 $500 - $750 $750 - $1,000 > $1,000 Asset Range ($MM) Source: SNL Financial Data as of 3/31/10 (1) Potential Opportunities include banks and thrifts with Texas Ratios greater than 100%, headquartered within 75 miles of an ABCB branch 15 |
![]() Opportunity Universe Opportunity Universe Unassisted Opportunities (1) Banks with Texas Ratios > 100% in AL, FL, GA and SC Ameris is well-positioned to take advantage of significant unassisted and FDIC-assisted opportunities Source: SNL Financial Data as of 3/31/10 (1) Unassisted Opportunities include banks and thrifts with Texas Ratios less than 75%, tangible common equity / tangible assets less than 7% and assets less than $2.0 billion Number of Number of Deposits State Institutions Branches ($MM) Alabama 4 8 394 $ Florida 6 40 2,753 Georgia 5 17 812 South Carolina 5 32 1,583 Total 20 97 5,542 $ 16 $4 $54 $70 $104 $85 $96 $78 172 11 72 101 133 159 180 $0 $30 $60 $90 $120 2007 2008 Q1 '09 Q2 '09 Q3 '09 Q4 '09 Q1 '10 0 50 100 150 200 Assets ($B) Number of Banks |
![]() KBW Community Bank Conference July 2010 |