Exhibit 99.2
FULTON FINANCIAL CORPORATION
FINANCIAL HIGHLIGHTS (UNAUDITED)
dollars in thousands, except per-share data
FINANCIAL HIGHLIGHTS (UNAUDITED)
dollars in thousands, except per-share data
December 31 | ||||||||||||
BALANCE SHEET DATA | 2006 | 2005 | % Change | |||||||||
Total assets | $ | 14,919,523 | $ | 12,401,555 | 20.3 | % | ||||||
Loans, net of unearned income | 10,374,323 | 8,424,728 | 23.1 | % | ||||||||
Investment securities | 2,878,238 | 2,562,145 | 12.3 | % | ||||||||
Deposits | 10,232,469 | 8,804,839 | 16.2 | % | ||||||||
Shareholders’ equity | 1,515,272 | 1,282,971 | 18.1 | % |
Year Ended | ||||||||||||||||||||||||
Quarter Ended December 31 | December 31 | |||||||||||||||||||||||
INCOME SUMMARY | 2006 | 2005 | % Change | 2006 | 2005 | % Change | ||||||||||||||||||
Interest income | $ | 229,548 | $ | 172,279 | 33.2 | % | $ | 864,507 | $ | 625,768 | 38.2 | % | ||||||||||||
Interest expense | (107,804 | ) | (64,387 | ) | 67.4 | % | (378,944 | ) | (213,220 | ) | 77.7 | % | ||||||||||||
Net interest income | 121,744 | 107,892 | 12.8 | % | 485,563 | 412,548 | 17.7 | % | ||||||||||||||||
Provision for loan losses | (1,068 | ) | (780 | ) | 36.9 | % | (3,498 | ) | (3,120 | ) | 12.1 | % | ||||||||||||
Investment securities gains | 1,915 | 987 | 94.0 | % | 7,439 | 6,625 | 12.3 | % | ||||||||||||||||
Other income | 38,440 | 32,978 | 16.6 | % | 142,436 | 137,673 | 3.5 | % | ||||||||||||||||
Other expenses | (94,757 | ) | (82,737 | ) | 14.5 | % | (365,991 | ) | (316,291 | ) | 15.7 | % | ||||||||||||
Income before income taxes | 66,274 | 58,340 | 13.6 | % | 265,949 | 237,435 | 12.0 | % | ||||||||||||||||
Income taxes | (19,669 | ) | (17,434 | ) | 12.8 | % | (80,422 | ) | (71,361 | ) | 12.7 | % | ||||||||||||
Net income | $ | 46,605 | $ | 40,906 | 13.9 | % | $ | 185,527 | $ | 166,074 | 11.7 | % | ||||||||||||
PER-SHARE DATA: | ||||||||||||||||||||||||
Net income: | ||||||||||||||||||||||||
Basic | $ | 0.27 | $ | 0.25 | 8.0 | % | $ | 1.07 | $ | 1.01 | 5.9 | % | ||||||||||||
Diluted | 0.27 | 0.25 | 8.0 | % | 1.06 | 1.00 | 6.0 | % | ||||||||||||||||
Cash dividends | 0.1475 | 0.138 | 6.9 | % | 0.581 | 0.540 | 7.6 | % | ||||||||||||||||
Shareholders’ equity | 8.73 | 7.78 | 12.2 | % | ||||||||||||||||||||
Shareholders’ equity (tangible) | 4.90 | 5.06 | (3.2 | %) | ||||||||||||||||||||
SELECTED FINANCIAL RATIOS: | ||||||||||||||||||||||||
Return on average assets | 1.25 | % | 1.32 | % | 1.30 | % | 1.41 | % | ||||||||||||||||
Return on average shareholders’ equity | 12.29 | % | 12.62 | % | 12.84 | % | 13.24 | % | ||||||||||||||||
Return on average shareholders’ equity (tangible) | 22.55 | % | 19.82 | % | 23.87 | % | 20.28 | % | ||||||||||||||||
Net interest margin | 3.68 | % | 3.92 | % | 3.82 | % | 3.93 | % | ||||||||||||||||
Efficiency ratio | 56.83 | % | 56.68 | % | 56.00 | % | 55.53 | % | ||||||||||||||||
Average equity to average assets | 10.14 | % | 10.46 | % | 10.11 | % | 10.65 | % |
1
FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED ENDING BALANCE SHEETS (UNAUDITED)
dollars in thousands
CONDENSED CONSOLIDATED ENDING BALANCE SHEETS (UNAUDITED)
dollars in thousands
% Change from | ||||||||||||||||||||
December 31 | December 31 | September 30 | December 31 | September 30 | ||||||||||||||||
2006 | 2005 | 2006 | 2005 | 2006 | ||||||||||||||||
ASSETS | ||||||||||||||||||||
Cash and due from banks | $ | 355,018 | $ | 368,043 | $ | 338,598 | (3.5 | %) | 4.8 | % | ||||||||||
Loans held for sale | 239,042 | 243,378 | 236,787 | (1.8 | %) | 1.0 | % | |||||||||||||
Other interest-earning assets | 28,188 | 31,932 | 35,884 | (11.7 | %) | (21.4 | %) | |||||||||||||
Investment securities | 2,878,238 | 2,562,145 | 2,950,671 | 12.3 | % | (2.5 | %) | |||||||||||||
Loans, net of unearned | 10,374,323 | 8,424,728 | 10,312,057 | 23.1 | % | 0.6 | % | |||||||||||||
Allowance for loan losses | (106,884 | ) | (92,847 | ) | (107,422 | ) | 15.1 | % | (0.5 | %) | ||||||||||
Net Loans | 10,267,439 | 8,331,881 | 10,204,635 | 23.2 | % | 0.6 | % | |||||||||||||
Premises and equipment | 191,401 | 170,254 | 188,403 | 12.4 | % | 1.6 | % | |||||||||||||
Accrued interest receivable | 71,825 | 53,261 | 70,901 | 34.9 | % | 1.3 | % | |||||||||||||
Goodwill and intangible assets | 663,775 | 448,422 | 661,594 | 48.0 | % | 0.3 | % | |||||||||||||
Other assets | 224,597 | 192,239 | 223,179 | 16.8 | % | 0.6 | % | |||||||||||||
Total Assets | $ | 14,919,523 | $ | 12,401,555 | $ | 14,910,652 | 20.3 | % | 0.1 | % | ||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||
Deposits | $ | 10,232,469 | $ | 8,804,839 | $ | 10,277,028 | 16.2 | % | (0.4 | %) | ||||||||||
Short-term borrowings | 1,680,840 | 1,298,962 | 1,833,644 | 29.4 | % | (8.3 | %) | |||||||||||||
Long-term debt | 1,304,148 | 860,345 | 1,109,220 | 51.6 | % | 17.6 | % | |||||||||||||
Other liabilities | 186,794 | 154,438 | 193,067 | 21.0 | % | (3.2 | %) | |||||||||||||
Total Liabilities | 13,404,251 | 11,118,584 | 13,412,959 | 20.6 | % | (0.1 | %) | |||||||||||||
Shareholders’ equity | 1,515,272 | 1,282,971 | 1,497,693 | 18.1 | % | 1.2 | % | |||||||||||||
Total Liabilities and Shareholders’ Equity | $ | 14,919,523 | $ | 12,401,555 | $ | 14,910,652 | 20.3 | % | 0.1 | % | ||||||||||
LOANS AND DEPOSITS DETAIL: | ||||||||||||||||||||
Loans, by type: | ||||||||||||||||||||
Commercial — industrial and financial | $ | 2,603,224 | $ | 2,044,010 | $ | 2,600,807 | 27.4 | % | 0.1 | % | ||||||||||
Commercial — agricultural | 361,962 | 331,659 | 345,332 | 9.1 | % | 4.8 | % | |||||||||||||
Real estate — commercial mortgage | 3,213,809 | 2,831,405 | 3,174,623 | 13.5 | % | 1.2 | % | |||||||||||||
Real estate — residential mortgage | 696,836 | 567,733 | 677,994 | 22.7 | % | 2.8 | % | |||||||||||||
Real estate — home equity | 1,455,439 | 1,205,523 | 1,465,373 | 20.7 | % | (0.7 | %) | |||||||||||||
Real estate — construction | 1,428,809 | 851,451 | 1,431,535 | 67.8 | % | (0.2 | %) | |||||||||||||
Consumer | 523,066 | 520,098 | 529,741 | 0.6 | % | (1.3 | %) | |||||||||||||
Leasing and other | 91,178 | 72,849 | 86,652 | 25.2 | % | 5.2 | % | |||||||||||||
Total Loans, net of unearned income | $ | 10,374,323 | $ | 8,424,728 | $ | 10,312,057 | 23.1 | % | 0.6 | % | ||||||||||
Deposits, by type: | ||||||||||||||||||||
Noninterest-bearing demand | $ | 1,831,419 | $ | 1,672,637 | $ | 1,886,514 | 9.5 | % | (2.9 | %) | ||||||||||
Interest-bearing demand | 1,683,857 | 1,637,007 | 1,658,545 | 2.9 | % | 1.5 | % | |||||||||||||
Savings deposits | 2,287,146 | 2,125,475 | 2,351,041 | 7.6 | % | (2.7 | %) | |||||||||||||
Time deposits | 4,430,047 | 3,369,720 | 4,380,928 | 31.5 | % | 1.1 | % | |||||||||||||
Total Deposits | $ | 10,232,469 | $ | 8,804,839 | $ | 10,277,028 | 16.2 | % | (0.4 | %) | ||||||||||
SHORT-TERM BORROWINGS DETAIL: | ||||||||||||||||||||
Customer repurchase agreements | $ | 339,207 | $ | 352,937 | $ | 363,561 | (3.9 | %) | (6.7 | %) | ||||||||||
Federal funds purchased | 1,022,351 | 939,096 | 1,183,447 | 8.9 | % | (13.6 | %) | |||||||||||||
Commercial paper | 279,076 | — | 236,701 | NM | 17.9 | % | ||||||||||||||
Other | 40,206 | 6,929 | 49,935 | NM | (19.5 | %) | ||||||||||||||
Total Short-term borrowings | $ | 1,680,840 | $ | 1,298,962 | $ | 1,833,644 | 29.4 | % | (8.3 | %) | ||||||||||
NM — Not meaningful |
2
FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED INCOME STATEMENTS (UNAUDITED)
dollars in thousands, except per-share data
CONDENSED CONSOLIDATED INCOME STATEMENTS (UNAUDITED)
dollars in thousands, except per-share data
Quarter Ended | % Change from | Year Ended | ||||||||||||||||||||||||||||||
December 31 | December 31 | September 30 | December 31 | September 30 | December 31 | |||||||||||||||||||||||||||
2006 | 2005 | 2006 | 2005 | 2006 | 2006 | 2005 | % Change | |||||||||||||||||||||||||
Interest Income: | ||||||||||||||||||||||||||||||||
Interest Income | $ | 229,548 | $ | 172,279 | $ | 229,101 | 33.2 | % | 0.2 | % | $ | 864,507 | $ | 625,768 | 38.2 | % | ||||||||||||||||
Interest Expense | 107,804 | 64,387 | 103,177 | 67.4 | % | 4.5 | % | 378,944 | 213,220 | 77.7 | % | |||||||||||||||||||||
Net Interest Income | 121,744 | 107,892 | 25,924 | 12.8 | % | (3.3 | %) | 485,563 | 412,548 | 17.7 | % | |||||||||||||||||||||
Provision for Loan Losses | 1,068 | 780 | 555 | 36.9 | % | 92.4 | % | 3,498 | 3,120 | 12.1 | % | |||||||||||||||||||||
Net Interest Income after Provision | 120,676 | 107,112 | 125,369 | 12.7 | % | (3.7 | %) | 482,065 | 409,428 | 17.7 | % | |||||||||||||||||||||
Other Income: | ||||||||||||||||||||||||||||||||
Investment management and trust services | 9,466 | 8,954 | 8,887 | 5.7 | % | 6.5 | % | 37,441 | 35,669 | 5.0 | % | |||||||||||||||||||||
Service charges on deposit accounts | 11,289 | 10,418 | 11,345 | 8.4 | % | (0.5 | %) | 43,773 | 40,198 | 8.9 | % | |||||||||||||||||||||
Other service charges and fees | 6,869 | 5,710 | 6,693 | 20.3 | % | 2.6 | % | 26,792 | 24,229 | 10.6 | % | |||||||||||||||||||||
Gain on sale of mortgage loans | 5,647 | 5,499 | 5,480 | 2.7 | % | 3.0 | % | 21,086 | 25,032 | (15.8 | %) | |||||||||||||||||||||
Investment securities gains | 1,915 | 987 | 1,450 | 94.0 | % | 32.1 | % | 7,439 | 6,625 | 12.3 | % | |||||||||||||||||||||
Other | 5,169 | 2,397 | 3,057 | 115.6 | % | 69.1 | % | 13,344 | 12,545 | 6.4 | % | |||||||||||||||||||||
Total Other Income | 40,355 | 33,965 | 36,912 | 18.8 | % | 9.3 | % | 149,875 | 144,298 | 3.9 | % | |||||||||||||||||||||
Other Expenses: | ||||||||||||||||||||||||||||||||
Salaries and employee benefits | 55,546 | 45,595 | 55,048 | 21.8 | % | 0.9 | % | 213,913 | 181,889 | 17.6 | % | |||||||||||||||||||||
Net occupancy expense | 9,637 | 7,769 | 9,260 | 24.0 | % | 4.1 | % | 36,493 | 29,275 | 24.7 | % | |||||||||||||||||||||
Equipment expense | 3,460 | 2,777 | 3,703 | 24.6 | % | (6.6 | %) | 14,251 | 11,938 | 19.4 | % | |||||||||||||||||||||
Data processing | 3,097 | 2,805 | 3,057 | 10.4 | % | 1.3 | % | 12,228 | 12,395 | (1.3 | %) | |||||||||||||||||||||
Advertising | 2,424 | 2,579 | 2,934 | (6.0 | %) | (17.4 | %) | 10,638 | 8,823 | 20.6 | % | |||||||||||||||||||||
Intangible amortization | 2,024 | 1,454 | 2,025 | 39.2 | % | — | 7,907 | 5,311 | 48.9 | % | ||||||||||||||||||||||
Other | 18,569 | 19,758 | 16,398 | (6.0 | %) | 13.2 | % | 70,561 | 66,660 | 5.9 | % | |||||||||||||||||||||
Total Other Expenses | 94,757 | 82,737 | 92,425 | 14.5 | % | 2.5 | % | 365,991 | 316,291 | 15.7 | % | |||||||||||||||||||||
Income Before Income Taxes | 66,274 | 58,340 | 69,856 | 13.6 | % | (5.1 | %) | 265,949 | 237,435 | 12.0 | % | |||||||||||||||||||||
Income Taxes | 19,669 | 17,434 | 21,514 | 12.8 | % | (8.6 | %) | 80,422 | 71,361 | 12.7 | % | |||||||||||||||||||||
Net Income | $ | 46,605 | $ | 40,906 | $ | 48,342 | 13.9 | % | (3.6 | %) | $ | 185,527 | $ | 166,074 | 11.7 | % | ||||||||||||||||
SHARE AND PER-SHARE INFORMATION: | ||||||||||||||||||||||||||||||||
Net income: | ||||||||||||||||||||||||||||||||
Basic | $ | 0.27 | $ | 0.25 | $ | 0.28 | 8.0 | % | (3.6 | %) | $ | 1.07 | $ | 1.01 | 5.9 | % | ||||||||||||||||
Diluted | 0.27 | 0.25 | 0.28 | 8.0 | % | (3.6 | %) | 1.06 | 1.00 | 6.0 | % | |||||||||||||||||||||
Cash dividends | $ | 0.1475 | $ | 0.138 | $ | 0.1475 | 6.9 | % | — | $ | 0.581 | $ | 0.540 | 7.6 | % | |||||||||||||||||
Shareholders’ equity | 8.73 | 7.78 | 8.63 | 12.2 | % | 1.2 | % | |||||||||||||||||||||||||
Shareholders’ equity (tangible) | 4.90 | 5.06 | 4.82 | (3.2 | %) | 1.7 | % | |||||||||||||||||||||||||
Weighted average shares (basic) | 173,529 | 164,827 | 173,439 | 5.3 | % | 0.1 | % | 172,830 | 164,234 | 5.2 | % | |||||||||||||||||||||
Weighted average shares (diluted) | 175,415 | 166,859 | 175,390 | 5.1 | % | — | 174,872 | 166,260 | 5.2 | % | ||||||||||||||||||||||
Shares outstanding, end of period | 173,648 | 164,868 | 173,493 | 5.3 | % | 0.1 | % | |||||||||||||||||||||||||
SELECTED FINANCIAL RATIOS: | ||||||||||||||||||||||||||||||||
Return on average assets | 1.25 | % | 1.32 | % | 1.31 | % | 1.30 | % | 1.41 | % | ||||||||||||||||||||||
Return on average equity | 12.29 | % | 12.62 | % | 13.26 | % | 12.84 | % | 13.24 | % | ||||||||||||||||||||||
Return on average equity (tangible) | 22.55 | % | 19.82 | % | 25.14 | % | 23.87 | % | 20.28 | % | ||||||||||||||||||||||
Net interest margin | 3.68 | % | 3.92 | % | 3.85 | % | 3.82 | % | 3.93 | % | ||||||||||||||||||||||
Efficiency ratio | 56.83 | % | 56.68 | % | 55.04 | % | 56.00 | % | 55.53 | % |
3
FULTON FINANCIAL CORPORATION
CONDENSED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)
dollars in thousands
CONDENSED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)
dollars in thousands
Quarter Ended | ||||||||||||||||||||||||||||||||||||
December 31, 2006 | December 31, 2005 | September 30, 2006 | ||||||||||||||||||||||||||||||||||
Balance | Interest (1) | Rate (1) | Balance | Interest (1) | Rate (1) | Balance | Interest (1) | Rate (1) | ||||||||||||||||||||||||||||
ASSETS | ||||||||||||||||||||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||||||||||||||||||||
Loans and leases | $ | 10,312,354 | $ | 193,776 | 7.46 | % | $ | 8,379,369 | $ | 144,469 | 6.84 | % | $ | 10,167,362 | $ | 194,379 | 7.59 | % | ||||||||||||||||||
Taxable investment securities | 2,332,116 | 26,226 | 4.50 | % | 2,014,984 | 19,620 | 3.89 | % | 2,309,644 | 25,323 | 4.39 | % | ||||||||||||||||||||||||
Tax-exempt investment securities | 472,193 | 5,888 | 4.99 | % | 410,716 | 4,726 | 4.60 | % | 449,181 | 5,496 | 4.89 | % | ||||||||||||||||||||||||
Equity securities | 165,261 | 2,209 | 5.31 | % | 139,407 | 1,502 | 4.29 | % | 155,894 | 1,834 | 4.69 | % | ||||||||||||||||||||||||
Total Investment Securities | 2,969,570 | 34,323 | 4.62 | % | 2,565,107 | 25,848 | 4.03 | % | 2,914,719 | 32,653 | 4.48 | % | ||||||||||||||||||||||||
Loans held for sale | 212,170 | 3,876 | 7.31 | % | 237,854 | 3,967 | 6.67 | % | 227,038 | 4,224 | 7.44 | % | ||||||||||||||||||||||||
Other interest-earning assets | 44,804 | 580 | 5.12 | % | 54,070 | 520 | 3.81 | % | 54,424 | 695 | 5.03 | % | ||||||||||||||||||||||||
Total Interest-earning Assets | 13,538,898 | 232,555 | 6.83 | % | 11,236,400 | 174,804 | 6.19 | % | 13,363,543 | 231,951 | 6.90 | % | ||||||||||||||||||||||||
Noninterest-earning assets: | ||||||||||||||||||||||||||||||||||||
Cash and due from banks | 321,246 | 349,665 | 329,482 | |||||||||||||||||||||||||||||||||
Premises and equipment | 190,932 | 168,239 | 187,876 | |||||||||||||||||||||||||||||||||
Other assets | 897,979 | 631,983 | 859,800 | |||||||||||||||||||||||||||||||||
Less: allowance for loan losses | (107,842 | ) | (94,829 | ) | (107,090 | ) | ||||||||||||||||||||||||||||||
Total Assets | $ | 14,841,213 | $ | 12,291,458 | $ | 14,633,611 | ||||||||||||||||||||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||||||||||||||||||||
Demand deposits | $ | 1,665,453 | $ | 7,000 | 1.67 | % | $ | 1,623,138 | $ | 4,921 | 1.20 | % | $ | 1,689,386 | $ | 6,529 | 1.53 | % | ||||||||||||||||||
Savings deposits | 2,339,493 | 14,214 | 2.41 | % | 2,157,382 | 9,152 | 1.68 | % | 2,370,275 | 14,257 | 2.37 | % | ||||||||||||||||||||||||
Time deposits | 4,406,070 | 49,501 | 4.46 | % | 3,369,231 | 29,309 | 3.45 | % | 4,294,731 | 46,255 | 4.27 | % | ||||||||||||||||||||||||
Total Interest-bearing Deposits | 8,411,016 | 70,715 | 3.34 | % | 7,149,751 | 43,382 | 2.41 | % | 8,354,392 | 67,041 | 3.18 | % | ||||||||||||||||||||||||
Short-term borrowings | 1,790,556 | 22,613 | 4.96 | % | 1,211,397 | 11,021 | 3.57 | % | 1,730,970 | 21,697 | 4.92 | % | ||||||||||||||||||||||||
Long-term debt | 1,177,177 | 14,476 | 4.88 | % | 872,927 | 9,983 | 4.54 | % | 1,093,815 | 14,439 | 5.24 | % | ||||||||||||||||||||||||
Total Interest-bearing Liabilities | 11,378,749 | 107,804 | 3.75 | % | 9,234,075 | 64,386 | 2.76 | % | 11,179,177 | 103,177 | 3.65 | % | ||||||||||||||||||||||||
Noninterest-bearing liabilities: | ||||||||||||||||||||||||||||||||||||
Demand deposits | 1,776,686 | 1,626,565 | 1,826,800 | |||||||||||||||||||||||||||||||||
Other | 180,941 | 144,801 | 181,322 | |||||||||||||||||||||||||||||||||
Total Liabilities | 13,336,376 | 11,005,441 | 13,187,299 | |||||||||||||||||||||||||||||||||
Shareholders’ equity | 1,504,837 | 1,286,017 | 1,446,312 | |||||||||||||||||||||||||||||||||
Total Liabilities and Shareholders’ Equity | $ | 14,841,213 | $ | 12,291,458 | $ | 14,633,611 | ||||||||||||||||||||||||||||||
Net interest income/net interest margin (fully taxable equivalent) | 124,751 | 3.68 | % | 110,418 | 3.92 | % | 128,774 | 3.85 | % | |||||||||||||||||||||||||||
Tax equivalent adjustment | (3,007 | ) | (2,526 | ) | (2,850 | ) | ||||||||||||||||||||||||||||||
Net interest income | $ | 121,744 | $ | 107,892 | $ | 125,924 | ||||||||||||||||||||||||||||||
(1) | Presented on a tax-equivalent basis using a 35% Federal tax rate. |
AVERAGE LOANS AND DEPOSITS DETAIL:
Quarter Ended | % Change from | |||||||||||||||||||
December 31 | December 31 | September 30 | December 31 | September 30 | ||||||||||||||||
2006 | 2005 | 2006 | 2005 | 2006 | ||||||||||||||||
Loans, by type: | ||||||||||||||||||||
Commercial — industrial and financial | $ | 2,578,374 | $ | 2,066,785 | $ | 2,587,869 | 24.8 | % | (0.4 | %) | ||||||||||
Commercial — agricultural | 351,112 | 328,771 | 337,660 | 6.8 | % | 4.0 | % | |||||||||||||
Real estate — commercial mortgage | 3,194,958 | 2,778,906 | 3,113,086 | 15.0 | % | 2.6 | % | |||||||||||||
Real estate — residential mortgage and home equity | 2,151,844 | 1,761,195 | 2,108,792 | 22.2 | % | 2.0 | % | |||||||||||||
Real estate — construction | 1,428,034 | 842,987 | 1,412,678 | 69.4 | % | 1.1 | % | |||||||||||||
Consumer | 523,890 | 526,390 | 527,915 | (0.5 | %) | (0.8 | %) | |||||||||||||
Leasing and other | 84,142 | 74,335 | 79,362 | 13.2 | % | 6.0 | % | |||||||||||||
Total Loans, net of unearned income | $ | 10,312,354 | $ | 8,379,369 | $ | 10,167,362 | 23.1 | % | 1.4 | % | ||||||||||
Deposits, by type: | ||||||||||||||||||||
Noninterest-bearing demand | $ | 1,776,686 | $ | 1,626,565 | $ | 1,826,800 | 9.2 | % | (2.7 | %) | ||||||||||
Interest-bearing demand | 1,665,453 | 1,623,138 | 1,689,386 | 2.6 | % | (1.4 | %) | |||||||||||||
Savings deposits | 2,339,493 | 2,157,382 | 2,370,275 | 8.4 | % | (1.3 | %) | |||||||||||||
Time deposits | 4,406,070 | 3,369,231 | 4,294,731 | 30.8 | % | 2.6 | % | |||||||||||||
Total Deposits | $ | 10,187,702 | $ | 8,776,316 | $ | 10,181,192 | 16.1 | % | 0.1 | % | ||||||||||
SHORT-TERM BORROWINGS DETAIL: | ||||||||||||||||||||
Customer repurchase agreements | $ | 335,762 | $ | 377,292 | $ | 334,759 | (11.0 | %) | 0.3 | % | ||||||||||
Federal funds purchased | 1,128,439 | 807,939 | 1,143,445 | 39.7 | % | (1.3 | %) | |||||||||||||
Commercial paper | 270,864 | — | 201,282 | NM | 34.6 | % | ||||||||||||||
Other | 55,491 | 26,166 | 51,484 | 112.1 | % | 7.8 | % | |||||||||||||
Total Short-term borrowings | $ | 1,790,556 | $ | 1,211,397 | $ | 1,730,970 | 47.8 | % | 3.4 | % | ||||||||||
NM | — Not meaningful |
4
FULTON FINANCIAL CORPORATION
CONDENSED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)
dollars in thousands
CONDENSED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)
dollars in thousands
Year Ended December 31 | ||||||||||||||||||||||||
2006 | 2005 | |||||||||||||||||||||||
Balance | Interest (1) | Rate (1) | Balance | Interest (1) | Rate (1) | |||||||||||||||||||
ASSETS | ||||||||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||||||||
Loans and leases | $ | 9,892,082 | $ | 731,057 | 7.39 | % | $ | 7,981,604 | $ | 520,565 | 6.52 | % | ||||||||||||
Taxable investment securities | 2,268,209 | 97,652 | 4.31 | % | 1,996,240 | 74,921 | 3.75 | % | ||||||||||||||||
Tax-exempt investment securities | 447,000 | 21,770 | 4.87 | % | 368,845 | 17,971 | 4.87 | % | ||||||||||||||||
Equity securities | 154,653 | 7,341 | 4.75 | % | 133,586 | 5,562 | 4.16 | % | ||||||||||||||||
Total Investment Securities | 2,869,862 | 126,763 | 4.42 | % | 2,498,671 | 98,454 | 3.94 | % | ||||||||||||||||
Loans held for sale | 215,255 | 15,564 | 7.23 | % | 241,996 | 14,940 | 6.17 | % | ||||||||||||||||
Other interest-earning assets | 53,211 | 2,530 | 4.73 | % | 48,357 | 1,586 | 3.27 | % | ||||||||||||||||
Total Interest-earning Assets | 13,030,410 | 875,914 | 6.73 | % | 10,770,628 | 635,545 | 5.90 | % | ||||||||||||||||
Noninterest-earning assets: | ||||||||||||||||||||||||
Cash and due from banks | 335,935 | 346,535 | ||||||||||||||||||||||
Premises and equipment | 185,084 | 158,526 | ||||||||||||||||||||||
Other assets | 852,186 | 598,709 | ||||||||||||||||||||||
Less: allowance for loan losses | (105,934 | ) | (92,780 | ) | ||||||||||||||||||||
Total Assets | $ | 14,297,681 | $ | 11,781,618 | ||||||||||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||||||||
Demand deposits | $ | 1,673,407 | $ | 25,112 | 1.50 | % | $ | 1,547,766 | $ | 15,370 | 0.99 | % | ||||||||||||
Savings deposits | 2,340,402 | 51,394 | 2.19 | % | 2,055,503 | 27,116 | 1.32 | % | ||||||||||||||||
Time deposits | 4,134,190 | 170,435 | 4.12 | % | 3,171,901 | 98,288 | 3.10 | % | ||||||||||||||||
Total Interest-bearing Deposits | 8,147,999 | 246,941 | 3.03 | % | 6,775,170 | 140,774 | 2.08 | % | ||||||||||||||||
Short-term borrowings | 1,653,974 | 78,043 | 4.67 | % | 1,186,464 | 34,414 | 2.87 | % | ||||||||||||||||
Long-term debt | 1,069,868 | 53,960 | 5.04 | % | 839,827 | 38,031 | 4.53 | % | ||||||||||||||||
Total Interest-bearing Liabilities | 10,871,841 | 378,944 | 3.48 | % | 8,801,461 | 213,219 | 2.42 | % | ||||||||||||||||
Noninterest-bearing liabilities: | ||||||||||||||||||||||||
Demand deposits | 1,807,248 | 1,589,265 | ||||||||||||||||||||||
Other | 173,799 | 136,416 | ||||||||||||||||||||||
Total Liabilities | 12,852,888 | 10,527,142 | ||||||||||||||||||||||
Shareholders’ equity | 1,444,793 | 1,254,476 | ||||||||||||||||||||||
Total Liabilities and Shareholders’ Equity | $ | 14,297,681 | $ | 11,781,618 | ||||||||||||||||||||
Net interest income/net interest margin (fully taxable equivalent) | 496,970 | 3.82 | % | 422,326 | 3.93 | % | ||||||||||||||||||
Tax equivalent adjustment | (11,407 | ) | (9,778 | ) | ||||||||||||||||||||
Net interest income | $ | 485,563 | $ | 412,548 | ||||||||||||||||||||
(1) | Presented on a tax-equivalent basis using a 35% Federal tax rate. |
Year Ended | ||||||||||||
December 31 | ||||||||||||
2006 | 2005 | % Change | ||||||||||
AVERAGE LOANS AND DEPOSITS DETAIL: | ||||||||||||
Loans, by type: | ||||||||||||
Commercial — industrial and financial | $ | 2,478,893 | $ | 2,022,615 | 22.6 | % | ||||||
Commercial — agricultural | 335,596 | 324,637 | 3.4 | % | ||||||||
Real estate — commercial mortgage | 3,073,830 | 2,621,730 | 17.2 | % | ||||||||
Real estate — residential mortgage and home equity | 2,058,034 | 1,710,736 | 20.3 | % | ||||||||
Real estate — construction | 1,345,191 | 732,847 | 83.6 | % | ||||||||
Consumer | 522,761 | 501,926 | 4.2 | % | ||||||||
Leasing and other | 77,777 | 67,113 | 15.9 | % | ||||||||
Total Loans, net of unearned income | $ | 9,892,082 | $ | 7,981,604 | 23.9 | % | ||||||
Deposits, by type: | ||||||||||||
Noninterest-bearing demand | $ | 1,807,248 | $ | 1,589,265 | 13.7 | % | ||||||
Interest-bearing demand | 1,673,407 | 1,547,766 | 8.1 | % | ||||||||
Savings deposits | 2,340,402 | 2,055,503 | 13.9 | % | ||||||||
Time deposits | 4,134,190 | 3,171,901 | 30.3 | % | ||||||||
Total Deposits | $ | 9,955,247 | $ | 8,364,435 | 19.0 | % | ||||||
SHORT-TERM BORROWINGS DETAIL: | ||||||||||||
Customer repurchase agreements | $ | 352,454 | $ | 385,688 | (8.6 | %) | ||||||
Federal funds purchased | 1,095,875 | 731,793 | 49.8 | % | ||||||||
Commercial paper | 163,199 | — | NM | |||||||||
Other | 42,446 | 68,983 | (38.5 | %) | ||||||||
Total Short-term borrowings | $ | 1,653,974 | $ | 1,186,464 | 39.4 | % | ||||||
NM — Not meaningful |
5
FULTON FINANCIAL CORPORATION
ASSET QUALITY INFORMATION (UNAUDITED)
dollars in thousands
ASSET QUALITY INFORMATION (UNAUDITED)
dollars in thousands
Quarter Ended | Year Ended | |||||||||||||||||||
December 31 | December 31 | September 30 | December 31 | |||||||||||||||||
2006 | 2005 | 2006 | 2006 | 2005 | ||||||||||||||||
ALLOWANCE FOR LOAN LOSSES: | ||||||||||||||||||||
Balance at beginning of period | $ | 107,422 | $ | 93,936 | $ | 106,544 | $ | 92,847 | $ | 89,627 | ||||||||||
Loans charged off | (2,722 | ) | (3,100 | ) | (1,068 | ) | (6,969 | ) | (8,204 | ) | ||||||||||
Recoveries of loans previously charged off | 1,116 | 1,231 | 1,391 | 4,517 | 5,196 | |||||||||||||||
Net loans (charged off) recovered | (1,606 | ) | (1,869 | ) | 323 | (2,452 | ) | (3,008 | ) | |||||||||||
Provision for loan losses | 1,068 | 780 | 555 | 3,498 | 3,120 | |||||||||||||||
Allowance purchased | — | — | — | 12,991 | 3,108 | |||||||||||||||
Balance at end of period | $ | 106,884 | $ | 92,847 | $ | 107,422 | $ | 106,884 | $ | 92,847 | ||||||||||
Net charge-offs (recoveries) to average loans (annualized) | 0.06 | % | 0.09 | % | (0.01 | %) | 0.02 | % | 0.04 | % | ||||||||||
NON-PERFORMING ASSETS: | ||||||||||||||||||||
Non-accrual loans | $ | 33,113 | $ | 36,560 | $ | 26,591 | ||||||||||||||
Accruing loans 90+ days overdue | 20,632 | 9,012 | 16,704 | |||||||||||||||||
Other real estate owned | 4,103 | 2,072 | 3,489 | |||||||||||||||||
Total non-performing assets | $ | 57,848 | $ | 47,644 | $ | 46,784 | ||||||||||||||
ASSET QUALITY RATIOS: | ||||||||||||||||||||
Non-accrual loans to total loans | 0.32 | % | 0.43 | % | 0.26 | % | ||||||||||||||
Non-performing assets to total loans and OREO | 0.56 | % | 0.57 | % | 0.45 | % | ||||||||||||||
Non-performing assets to total assets | 0.39 | % | 0.38 | % | 0.31 | % | ||||||||||||||
Allowance for loan losses to loans outstanding | 1.03 | % | 1.10 | % | 1.04 | % | ||||||||||||||
Allowance/nonperforming loans | 199 | % | 204 | % | 248 | % |
6