Exhibit 99.2
FULTON FINANCIAL CORPORATION
FINANCIAL HIGHLIGHTS (UNAUDITED)
dollars in thousands, except per-share data
| December 31 | % Change | ||||||||
| 2009 | 2008 | ||||||||
BALANCE SHEET DATA | |||||||||
Total assets | $ | 16,635,635 | $ | 16,185,106 | 2.8 | % | |||
Loans, net of unearned income | 11,972,424 | 12,042,620 | (0.6 | )% | |||||
Investment securities | 3,267,086 | 2,724,841 | 19.9 | % | |||||
Deposits | 12,097,914 | 10,551,916 | 14.7 | % | |||||
Shareholders’ equity | 1,936,482 | 1,859,647 | 4.1 | % | |||||
| Quarter Ended December 31 | % Change | Year Ended December 31 | % Change | |||||||||||||||||||
| 2009 | 2008 | 2009 | 2008 | |||||||||||||||||||
INCOME SUMMARY | ||||||||||||||||||||||
Interest income | $ | 194,942 | $ | 209,073 | (6.8 | )% | $ | 786,467 | $ | 867,494 | (9.3 | )% | ||||||||||
Interest expense | (58,849 | ) | (76,732 | ) | (23.3 | )% | (265,513 | ) | (343,346 | ) | (22.7 | )% | ||||||||||
Net interest income | 136,093 | 132,341 | 2.8 | % | 520,954 | 524,148 | (0.6 | )% | ||||||||||||||
Provision for loan losses | (45,020 | ) | (65,000 | ) | (30.7 | )% | (190,020 | ) | (119,626 | ) | 58.8 | % | ||||||||||
Investment securities gains (losses) | (1,872 | ) | (28,339 | ) | 93.4 | % | 1,079 | (58,241 | ) | N/M | ||||||||||||
Gain on sale of credit card portfolio | — | — | — | — | 13,910 | N/A | ||||||||||||||||
Other income | 41,157 | 38,750 | 6.2 | % | 171,677 | 155,387 | 10.5 | % | ||||||||||||||
Goodwill impairment | — | (90,000 | ) | N/A | — | (90,000 | ) | N/A | ||||||||||||||
Other expenses | (100,370 | ) | (100,874 | ) | (0.5 | )% | (414,358 | ) | (406,625 | ) | 1.9 | % | ||||||||||
Income (loss) before income taxes | 29,988 | (113,122 | ) | N/M | 89,332 | 18,953 | 371.3 | % | ||||||||||||||
Income tax (expense) benefit | (5,606 | ) | 11,255 | N/M | (15,408 | ) | (24,570 | ) | (37.3 | )% | ||||||||||||
Net income (loss) | 24,382 | (101,867 | ) | N/M | 73,924 | (5,617 | ) | N/M | ||||||||||||||
Preferred stock dividends and discount accretion | (5,046 | ) | (463 | ) | N/M | (20,169 | ) | (463 | ) | N/M | ||||||||||||
Net income (loss) available to common shareholders | $ | 19,336 | $ | (102,330 | ) | N/M | $ | 53,755 | $ | (6,080 | ) | N/M | ||||||||||
PER COMMON SHARE: | ||||||||||||||||||||||
Net income (loss): | ||||||||||||||||||||||
Basic | $ | 0.11 | $ | (0.58 | ) | N/M | $ | 0.31 | $ | (0.03 | ) | N/M | ||||||||||
Diluted | 0.11 | (0.58 | ) | N/M | 0.31 | (0.03 | ) | N/M | ||||||||||||||
Cash dividends | 0.03 | 0.15 | (80.0 | )% | 0.12 | 0.60 | (80.0 | )% | ||||||||||||||
Shareholders’ equity | 8.88 | 8.52 | 4.2 | % | 8.88 | 8.52 | 4.2 | % | ||||||||||||||
Shareholders’ equity (tangible) | 5.75 | 5.33 | 7.9 | % | 5.75 | 5.33 | 7.9 | % | ||||||||||||||
SELECTED FINANCIAL RATIOS: | ||||||||||||||||||||||
Return on average assets | 0.59 | % | (2.51 | )% | 0.45 | % | (0.04 | )% | ||||||||||||||
Return on average common shareholders’ equity | 4.91 | % | (25.56 | )% | 3.54 | % | (0.38 | )% | ||||||||||||||
Return on average common shareholders’ equity (tangible) | 7.96 | % | (4.71 | )% | 5.96 | % | 9.33 | % | ||||||||||||||
Net interest margin | 3.67 | % | 3.68 | % | 3.52 | % | 3.70 | % | ||||||||||||||
Efficiency ratio | 54.61 | % | 56.57 | % | 57.70 | % | 56.31 | % | ||||||||||||||
Tangible common equity to tangible assets | 6.30 | % | 5.97 | % | 6.30 | % | 5.97 | % | ||||||||||||||
Non-performing assets to total assets | 1.83 | % | 1.35 | % | 1.83 | % | 1.35 | % | ||||||||||||||
N/A - Not applicable
N/M - Not meaningful
1
FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED ENDING BALANCE SHEETS (UNAUDITED)
dollars in thousands
| % Change from | ||||||||||||||||||
| December 31 2009 | December 31 2008 | September 30 2009 | December 31 2008 | September 30 2009 | ||||||||||||||
ASSETS | ||||||||||||||||||
Cash and due from banks | $ | 284,508 | $ | 331,164 | $ | 252,004 | (14.1 | )% | 12.9 | % | ||||||||
Loans held for sale | 85,384 | 95,840 | 84,766 | (10.9 | )% | 0.7 | % | |||||||||||
Other interest-earning assets | 16,591 | 21,710 | 24,048 | (23.6 | )% | (31.0 | )% | |||||||||||
Investment securities | 3,267,086 | 2,724,841 | 3,274,399 | 19.9 | % | (0.2 | )% | |||||||||||
Loans, net of unearned income | 11,972,424 | 12,042,620 | 11,968,246 | (0.6 | )% | — | ||||||||||||
Allowance for loan losses | (256,698 | ) | (173,946 | ) | (234,511 | ) | 47.6 | % | 9.5 | % | ||||||||
Net Loans | 11,715,726 | 11,868,674 | 11,733,735 | (1.3 | )% | (0.2 | )% | |||||||||||
Premises and equipment | 204,203 | 202,657 | 204,520 | 0.8 | % | (0.2 | )% | |||||||||||
Accrued interest receivable | 58,515 | 58,566 | 60,433 | (0.1 | )% | (3.2 | )% | |||||||||||
Goodwill and intangible assets | 552,563 | 557,833 | 554,041 | (0.9 | )% | (0.3 | )% | |||||||||||
Other assets | 451,059 | 323,821 | 338,763 | 39.3 | % | 33.1 | % | |||||||||||
Total Assets | $ | 16,635,635 | $ | 16,185,106 | $ | 16,526,709 | 2.8 | % | 0.7 | % | ||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||
Deposits | $ | 12,097,914 | $ | 10,551,916 | $ | 12,032,680 | 14.7 | % | 0.5 | % | ||||||||
Short-term borrowings | 868,940 | 1,762,770 | 722,618 | (50.7 | )% | 20.2 | % | |||||||||||
Federal Home Loan Bank advances and long-term debt | 1,540,773 | 1,787,797 | 1,650,870 | (13.8 | )% | (6.7 | )% | |||||||||||
Other liabilities | 191,526 | 222,976 | 196,778 | (14.1 | )% | (2.7 | )% | |||||||||||
Total Liabilities | 14,699,153 | 14,325,459 | 14,602,946 | 2.6 | % | 0.7 | % | |||||||||||
Preferred stock | 370,290 | 368,944 | 369,950 | 0.4 | % | 0.1 | % | |||||||||||
Common shareholders’ equity | 1,566,192 | 1,490,703 | 1,553,813 | 5.1 | % | 0.8 | % | |||||||||||
Total Shareholders’ Equity | 1,936,482 | 1,859,647 | 1,923,763 | 4.1 | % | 0.7 | % | |||||||||||
Total Liabilities and Shareholders’ Equity | $ | 16,635,635 | $ | 16,185,106 | $ | 16,526,709 | 2.8 | % | 0.7 | % | ||||||||
LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL: | ||||||||||||||||||
Loans, by type: | ||||||||||||||||||
Real estate - commercial mortgage | $ | 4,292,300 | $ | 4,016,700 | $ | 4,186,654 | 6.9 | % | 2.5 | % | ||||||||
Commercial - industrial, financial and agricultural | 3,699,198 | 3,635,544 | 3,719,966 | 1.8 | % | (0.6 | )% | |||||||||||
Real estate - home equity | 1,644,260 | 1,695,398 | 1,651,711 | (3.0 | )% | (0.5 | )% | |||||||||||
Real estate - construction | 978,267 | 1,269,330 | 1,029,079 | (22.9 | )% | (4.9 | )% | |||||||||||
Real estate - residential mortgage | 921,741 | 972,797 | 930,207 | (5.2 | )% | (0.9 | )% | |||||||||||
Consumer | 360,698 | 365,692 | 375,685 | (1.4 | )% | (4.0 | )% | |||||||||||
Leasing and other | 75,960 | 87,159 | 74,944 | (12.8 | )% | 1.4 | % | |||||||||||
Total Loans, net of unearned income | $ | 11,972,424 | $ | 12,042,620 | $ | 11,968,246 | (0.6 | )% | — | |||||||||
Deposits, by type: | ||||||||||||||||||
Noninterest-bearing demand | $ | 2,012,837 | $ | 1,653,440 | $ | 1,932,382 | 21.7 | % | 4.2 | % | ||||||||
Interest-bearing demand | 2,022,746 | 1,789,833 | 1,922,648 | 13.0 | % | 5.2 | % | |||||||||||
Savings deposits | 2,748,467 | 2,010,526 | 2,732,284 | 36.7 | % | 0.6 | % | |||||||||||
Time deposits | 5,313,864 | 5,098,117 | 5,445,366 | 4.2 | % | (2.4 | )% | |||||||||||
Total Deposits | $ | 12,097,914 | $ | 10,551,916 | $ | 12,032,680 | 14.7 | % | 0.5 | % | ||||||||
Short-term borrowings, by type: | ||||||||||||||||||
Federal funds purchased | $ | 378,067 | $ | 1,147,673 | $ | 210,865 | (67.1 | )% | 79.3 | % | ||||||||
Customer repurchase agreements | 259,459 | 255,796 | 252,842 | 1.4 | % | 2.6 | % | |||||||||||
Customer short-term promissory notes | 231,414 | 356,788 | 258,911 | (35.1 | )% | (10.6 | )% | |||||||||||
Overnight borrowings and other | — | 2,513 | — | N/A | N/A | |||||||||||||
Total Short-term borrowings | $ | 868,940 | $ | 1,762,770 | $ | 722,618 | (50.7 | )% | 20.2 | % | ||||||||
N/A - Not Applicable
2
FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATION (UNAUDITED)
dollars in thousands, except per-share data
| Quarter Ended | % Change from | Year Ended December 31 | % Change | ||||||||||||||||||||||||||
| Dec 31 2009 | Dec 31 2008 | Sep 30 2009 | Dec 31 2008 | Sep 30 2009 | |||||||||||||||||||||||||
| 2009 | 2008 | ||||||||||||||||||||||||||||
Interest Income: | |||||||||||||||||||||||||||||
Interest income | $ | 194,942 | $ | 209,073 | $ | 197,861 | (6.8 | )% | (1.5 | )% | $ | 786,467 | $ | 867,494 | (9.3 | )% | |||||||||||||
Interest expense | 58,849 | 76,732 | 65,060 | (23.3 | )% | (9.5 | )% | 265,513 | 343,346 | (22.7 | )% | ||||||||||||||||||
Net Interest Income | 136,093 | 132,341 | 132,801 | 2.8 | % | 2.5 | % | 520,954 | 524,148 | (0.6 | )% | ||||||||||||||||||
Provision for loan losses | 45,020 | 65,000 | 45,000 | (30.7 | )% | — | 190,020 | 119,626 | 58.8 | % | |||||||||||||||||||
Net Interest Income after Provision | 91,073 | 67,341 | 87,801 | 35.2 | % | 3.7 | % | 330,934 | 404,522 | (18.2 | )% | ||||||||||||||||||
Other Income: | |||||||||||||||||||||||||||||
Service charges on deposit accounts | 15,174 | 16,177 | 15,321 | (6.2 | )% | (1.0 | )% | 60,450 | 61,640 | (1.9 | )% | ||||||||||||||||||
Other service charges and fees | 9,369 | 8,927 | 10,003 | 5.0 | % | (6.3 | )% | 37,321 | 36,247 | 3.0 | % | ||||||||||||||||||
Investment management and trust services | 8,106 | 7,541 | 8,191 | 7.5 | % | (1.0 | )% | 32,076 | 32,734 | (2.0 | )% | ||||||||||||||||||
Gains on sales of mortgage loans | 3,880 | 3,085 | 2,778 | 25.8 | % | 39.7 | % | 22,644 | 10,332 | 119.2 | % | ||||||||||||||||||
Investment securities gains (losses) | (1,872 | ) | (28,339 | ) | (45 | ) | 93.4 | % | N/M | 1,079 | (58,241 | ) | N/M | ||||||||||||||||
Gain on sale of credit card portfolio | — | — | — | — | — | — | 13,910 | N/A | |||||||||||||||||||||
Other | 4,628 | 3,020 | 4,932 | 53.2 | % | (6.2 | )% | 19,186 | 14,434 | 32.9 | % | ||||||||||||||||||
Total Other Income | 39,285 | 10,411 | 41,180 | 277.3 | % | (4.6 | )% | 172,756 | 111,056 | 55.6 | % | ||||||||||||||||||
Other Expenses: | |||||||||||||||||||||||||||||
Salaries and employee benefits | 53,623 | 48,771 | 54,086 | 9.9 | % | (0.9 | )% | 218,812 | 213,557 | 2.5 | % | ||||||||||||||||||
Net occupancy expense | 10,612 | 11,240 | 10,165 | (5.6 | )% | 4.4 | % | 42,040 | 42,239 | (0.5 | )% | ||||||||||||||||||
FDIC insurance expense | 4,841 | 1,878 | 5,244 | 157.8 | % | (7.7 | )% | 26,579 | 4,562 | 482.6 | % | ||||||||||||||||||
Equipment expense | 3,160 | 3,425 | 3,281 | (7.7 | )% | (3.7 | )% | 12,820 | 13,332 | (3.8 | )% | ||||||||||||||||||
Marketing | 2,638 | 3,746 | 1,982 | (29.6 | )% | 33.1 | % | 8,915 | 13,267 | (32.8 | )% | ||||||||||||||||||
Data processing | 2,228 | 3,209 | 3,121 | (30.6 | )% | (28.6 | )% | 11,328 | 12,813 | (11.6 | )% | ||||||||||||||||||
Intangible amortization | 1,421 | 1,776 | 1,429 | (20.0 | )% | (0.6 | )% | 5,747 | 7,162 | (19.8 | )% | ||||||||||||||||||
Operating risk loss | 867 | 5,200 | 338 | (83.3 | )% | 156.5 | % | 7,550 | 24,308 | (68.9 | )% | ||||||||||||||||||
Goodwill impairment | — | 90,000 | — | N/A | — | — | 90,000 | N/A | |||||||||||||||||||||
Other | 20,980 | 21,629 | 20,164 | (3.0 | )% | 4.0 | % | 80,567 | 75,385 | 6.9 | % | ||||||||||||||||||
Total Other Expenses | 100,370 | 190,874 | 99,810 | (47.4 | )% | 0.6 | % | 414,358 | 496,625 | (16.6 | )% | ||||||||||||||||||
Income (Loss) Before Income Taxes | 29,988 | (113,122 | ) | 29,171 | N/M | 2.8 | % | 89,332 | 18,953 | 371.3 | % | ||||||||||||||||||
Income tax expense (benefit) | 5,606 | (11,255 | ) | 5,825 | N/M | (3.8 | )% | 15,408 | 24,570 | (37.3 | )% | ||||||||||||||||||
Net Income (Loss) | 24,382 | (101,867 | ) | 23,346 | N/M | 4.4 | % | 73,924 | (5,617 | ) | N/M | ||||||||||||||||||
Preferred stock dividends and discount accretion | (5,046 | ) | (463 | ) | (5,046 | ) | N/M | — | (20,169 | ) | (463 | ) | N/M | ||||||||||||||||
Net Income (Loss) Available to Common Shareholders | $ | 19,336 | $ | (102,330 | ) | $ | 18,300 | N/M | 5.7 | % | $ | 53,755 | $ | (6,080 | ) | N/M | |||||||||||||
PER COMMON SHARE: | |||||||||||||||||||||||||||||
Net income (loss): | |||||||||||||||||||||||||||||
Basic | $ | 0.11 | $ | (0.58 | ) | $ | 0.10 | N/M | 10.0 | % | $ | 0.31 | $ | (0.03 | ) | N/M | |||||||||||||
Diluted | 0.11 | (0.58 | ) | 0.10 | N/M | 10.0 | % | 0.31 | (0.03 | ) | N/M | ||||||||||||||||||
Cash dividends | $ | 0.03 | $ | 0.15 | $ | 0.03 | (80.0 | )% | — | $ | 0.12 | $ | 0.60 | (80.0 | )% | ||||||||||||||
Shareholders’ equity | 8.88 | 8.52 | 8.82 | 4.2 | % | 0.7 | % | 8.88 | 8.52 | 4.2 | % | ||||||||||||||||||
Shareholders’ equity (tangible) | 5.75 | 5.33 | 5.68 | 7.9 | % | 1.2 | % | 5.75 | 5.33 | 7.9 | % | ||||||||||||||||||
Weighted average shares (basic) | 175,988 | 174,889 | 175,783 | 0.6 | % | 0.1 | % | 175,662 | 174,236 | 0.8 | % | ||||||||||||||||||
Weighted average shares (diluted) | 176,413 | 174,889 | 176,078 | 0.9 | % | 0.2 | % | 175,943 | 174,236 | 1.0 | % | ||||||||||||||||||
Shares outstanding, end of period | 176,364 | 175,044 | 176,149 | 0.8 | % | 0.1 | % | 176,364 | 175,044 | 0.8 | % | ||||||||||||||||||
SELECTED FINANCIAL RATIOS: | |||||||||||||||||||||||||||||
Return on average assets | 0.59 | % | (2.51 | )% | 0.56 | % | 0.45 | % | (0.04 | )% | |||||||||||||||||||
Return on average common shareholders’ equity | 4.91 | % | (25.56 | )% | 4.78 | % | 3.54 | % | (0.38 | )% | |||||||||||||||||||
Return on average common shareholders’ equity (tangible) | 7.96 | % | (4.71 | )% | 7.91 | % | 5.96 | % | 9.33 | % | |||||||||||||||||||
Net interest margin | 3.67 | % | 3.68 | % | 3.55 | % | 3.52 | % | 3.70 | % | |||||||||||||||||||
Efficiency ratio | 54.61 | % | 56.57 | % | 55.33 | % | 57.70 | % | 56.31 | % | |||||||||||||||||||
N/A - Not applicable
N/M - Not meaningful
3
FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)
dollars in thousands
| Quarter Ended | |||||||||||||||||||||||||||||||||
| December 31, 2009 | December 31, 2008 | September 30, 2009 | |||||||||||||||||||||||||||||||
| Average Balance | Interest (1) | Yield/ Rate | Average Balance | Interest (1) | Yield/ Rate | Average Balance | Interest (1) | Yield/ Rate | |||||||||||||||||||||||||
| ASSETS | |||||||||||||||||||||||||||||||||
Interest-earning assets: | |||||||||||||||||||||||||||||||||
Loans, net of unearned income | $ | 11,989,314 | $ | 163,972 | 5.43 | % | $ | 11,960,067 | $ | 178,096 | 5.93 | % | $ | 11,913,581 | $ | 163,915 | 5.46 | % | |||||||||||||||
Taxable investment securities | 2,580,754 | 27,297 | 4.23 | % | 2,086,808 | 26,106 | 5.00 | % | 2,722,751 | 29,376 | 4.31 | % | |||||||||||||||||||||
Tax-exempt investment securities | 406,088 | 5,767 | 5.68 | % | 516,045 | 7,073 | 5.48 | % | 436,209 | 6,101 | 5.59 | % | |||||||||||||||||||||
Equity securities | 144,071 | 851 | 2.35 | % | 154,660 | 797 | 2.05 | % | 132,176 | 632 | 1.90 | % | |||||||||||||||||||||
Total Investment Securities | 3,130,913 | 33,915 | 4.33 | % | 2,757,513 | 33,976 | 4.93 | % | 3,291,136 | 36,109 | 4.39 | % | |||||||||||||||||||||
Loans held for sale | 74,438 | 951 | 5.11 | % | 64,096 | 975 | 6.08 | % | 102,367 | 1,550 | 6.06 | % | |||||||||||||||||||||
Other interest-earning assets | 22,745 | 56 | 0.98 | % | 23,889 | 124 | 2.08 | % | 24,348 | 51 | 0.83 | % | |||||||||||||||||||||
Total Interest-earning Assets | 15,217,410 | 198,894 | 5.20 | % | 14,805,565 | 213,171 | 5.74 | % | 15,331,432 | 201,625 | 5.23 | % | |||||||||||||||||||||
Noninterest-earning assets: | |||||||||||||||||||||||||||||||||
Cash and due from banks | 318,472 | 317,571 | 301,875 | ||||||||||||||||||||||||||||||
Premises and equipment | 203,699 | 200,918 | 204,416 | ||||||||||||||||||||||||||||||
Other assets | 987,094 | 960,606 | 959,628 | ||||||||||||||||||||||||||||||
Less: allowance for loan losses | (250,871 | ) | (150,266 | ) | (234,446 | ) | |||||||||||||||||||||||||||
Total Assets | $ | 16,475,804 | $ | 16,134,394 | $ | 16,562,905 | |||||||||||||||||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||||||||||||||||||||
Interest-bearing liabilities: | |||||||||||||||||||||||||||||||||
Demand deposits | $ | 1,969,681 | $ | 2,099 | 0.42 | % | $ | 1,727,874 | $ | 2,630 | 0.61 | % | $ | 1,883,087 | $ | 2,119 | 0.45 | % | |||||||||||||||
Savings deposits | 2,772,340 | 5,546 | 0.79 | % | 2,070,931 | 6,124 | 1.18 | % | 2,556,717 | 5,187 | 0.80 | % | |||||||||||||||||||||
Time deposits | 5,415,169 | 31,454 | 2.30 | % | 4,818,068 | 41,553 | 3.43 | % | 5,554,349 | 36,519 | 2.61 | % | |||||||||||||||||||||
Total Interest-bearing Deposits | 10,157,190 | 39,099 | 1.53 | % | 8,616,873 | 50,307 | 2.32 | % | 9,994,153 | 43,825 | 1.74 | % | |||||||||||||||||||||
Short-term borrowings | 618,087 | 584 | 0.37 | % | 2,251,571 | 5,998 | 1.05 | % | 863,281 | 835 | 0.38 | % | |||||||||||||||||||||
Federal Home Loan Bank advances and long-term debt | 1,589,839 | 19,166 | 4.78 | % | 1,798,688 | 20,427 | 4.53 | % | 1,695,427 | 20,400 | 4.77 | % | |||||||||||||||||||||
Total Interest-bearing Liabilities | 12,365,116 | 58,849 | 1.89 | % | 12,667,132 | 76,732 | 2.41 | % | 12,552,861 | 65,060 | 2.06 | % | |||||||||||||||||||||
Noninterest-bearing liabilities: | |||||||||||||||||||||||||||||||||
Demand deposits | 1,991,210 | 1,643,118 | 1,922,460 | ||||||||||||||||||||||||||||||
Other | 185,817 | 196,004 | 198,314 | ||||||||||||||||||||||||||||||
Total Liabilities | 14,542,143 | 14,506,254 | 14,673,635 | ||||||||||||||||||||||||||||||
Shareholders’ equity | 1,933,661 | 1,628,140 | 1,889,270 | ||||||||||||||||||||||||||||||
Total Liabilities and Shareholders’ Equity | $ | 16,475,804 | $ | 16,134,394 | $ | 16,562,905 | |||||||||||||||||||||||||||
Net interest income/net interest margin (fully taxable equivalent) | 140,045 | 3.67 | % | 136,439 | 3.68 | % | 136,565 | 3.55 | % | ||||||||||||||||||||||||
Tax equivalent adjustment | (3,952 | ) | (4,098 | ) | (3,764 | ) | |||||||||||||||||||||||||||
Net interest income | $ | 136,093 | $ | 132,341 | $ | 132,801 | |||||||||||||||||||||||||||
| (1) | Presented on a tax-equivalent basis using a 35% Federal tax rate and statutory interest expense disallowances. |
AVERAGE LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL:
| Quarter Ended | % Change from | ||||||||||||||
| December 31 2009 | December 31 2008 | September 30 2009 | December 31 2008 | September 30 2009 | |||||||||||
Loans, by type: | |||||||||||||||
Real estate - commercial mortgage | $ | 4,240,436 | $ | 3,965,734 | $ | 4,158,802 | 6.9 | % | 2.0 | % | |||||
Commercial - industrial, financial and agricultural | 3,713,926 | 3,588,657 | 3,667,854 | 3.5 | % | 1.3 | % | ||||||||
Real estate - home equity | 1,645,524 | 1,673,570 | 1,651,400 | (1.7 | )% | (0.4 | )% | ||||||||
Real estate - construction | 1,018,057 | 1,284,289 | 1,050,359 | (20.7 | )% | (3.1 | )% | ||||||||
Real estate - residential mortgage | 925,660 | 977,582 | 933,943 | (5.3 | )% | (0.9 | )% | ||||||||
Consumer | 370,258 | 378,686 | 371,676 | (2.2 | )% | (0.4 | )% | ||||||||
Leasing and other | 75,453 | 91,549 | 79,547 | (17.6 | )% | (5.1 | )% | ||||||||
Total Loans, net of unearned income | $ | 11,989,314 | $ | 11,960,067 | $ | 11,913,581 | 0.2 | % | 0.6 | % | |||||
Deposits, by type: | |||||||||||||||
Noninterest-bearing demand | $ | 1,991,210 | $ | 1,643,118 | $ | 1,922,460 | 21.2 | % | 3.6 | % | |||||
Interest-bearing demand | 1,969,681 | 1,727,874 | 1,883,087 | 14.0 | % | 4.6 | % | ||||||||
Savings deposits | 2,772,340 | 2,070,931 | 2,556,717 | 33.9 | % | 8.4 | % | ||||||||
Time deposits | 5,415,169 | 4,818,068 | 5,554,349 | 12.4 | % | (2.5 | )% | ||||||||
Total Deposits | $ | 12,148,400 | $ | 10,259,991 | $ | 11,916,613 | 18.4 | % | 1.9 | % | |||||
Short-term borrowings, by type: | |||||||||||||||
Federal funds purchased | $ | 101,349 | $ | 1,426,618 | $ | 348,444 | (92.9 | )% | (70.9 | )% | |||||
Customer repurchase agreements | 260,962 | 244,633 | 254,789 | 6.7 | % | 2.4 | % | ||||||||
Customer short-term promissory notes | 255,776 | 391,781 | 259,534 | (34.7 | )% | (1.4 | )% | ||||||||
Overnight borrowings and other | — | 188,539 | 514 | N/A | N/A | ||||||||||
Total Short-term borrowings | $ | 618,087 | $ | 2,251,571 | $ | 863,281 | (72.5 | )% | (28.4 | )% | |||||
N/A - Not applicable
4
FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)
dollars in thousands
| Year Ended December 31 | ||||||||||||||||||||||
| 2009 | 2008 | |||||||||||||||||||||
| Average Balance | Interest (1) | Yield/Rate | Average Balance | Interest (1) | Yield/Rate | |||||||||||||||||
| ASSETS | ||||||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||||||
Loans, net of unearned income | $ | 11,975,899 | $ | 655,384 | 5.47 | % | $ | 11,595,243 | $ | 732,533 | 6.32 | % | ||||||||||
Taxable investment securities | 2,548,810 | 112,945 | 4.43 | % | 2,228,204 | 110,220 | 4.95 | % | ||||||||||||||
Tax-exempt investment securities | 451,828 | 25,180 | 5.57 | % | 512,920 | 27,904 | 5.44 | % | ||||||||||||||
Equity securities | 137,070 | 2,917 | 2.13 | % | 183,216 | 6,520 | 3.56 | % | ||||||||||||||
Total Investment Securities | 3,137,708 | 141,042 | 4.50 | % | 2,924,340 | 144,644 | 4.95 | % | ||||||||||||||
Loans held for sale | 105,067 | 5,390 | 5.13 | % | 93,085 | 5,701 | 6.12 | % | ||||||||||||||
Other interest-earning assets | 21,255 | 196 | 0.92 | % | 21,503 | 586 | 2.71 | % | ||||||||||||||
Total Interest-earning Assets | 15,239,929 | 802,012 | 5.27 | % | 14,634,171 | 883,464 | 6.04 | % | ||||||||||||||
Noninterest-earning assets: | ||||||||||||||||||||||
Cash and due from banks | 305,410 | 318,524 | ||||||||||||||||||||
Premises and equipment | 203,865 | 197,967 | ||||||||||||||||||||
Other assets | 952,597 | 951,270 | ||||||||||||||||||||
Less: allowance for loan losses | (221,128 | ) | (125,061 | ) | ||||||||||||||||||
Total Assets | $ | 16,480,673 | $ | 15,976,871 | ||||||||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||||||
Demand deposits | $ | 1,857,081 | $ | 7,995 | 0.43 | % | $ | 1,714,029 | $ | 13,168 | 0.77 | % | ||||||||||
Savings deposits | 2,425,864 | 19,487 | 0.80 | % | 2,152,158 | 28,520 | 1.32 | % | ||||||||||||||
Time deposits | 5,507,090 | 153,344 | 2.78 | % | 4,502,399 | 170,426 | 3.79 | % | ||||||||||||||
Total Interest-bearing Deposits | 9,790,035 | 180,826 | 1.85 | % | 8,368,586 | 212,114 | 2.53 | % | ||||||||||||||
Short-term borrowings | 1,043,279 | 3,777 | 0.36 | % | 2,336,526 | 50,091 | 2.12 | % | ||||||||||||||
Federal Home Loan Bank advances and long-term debt | 1,712,630 | 80,910 | 4.72 | % | 1,822,115 | 81,141 | 4.45 | % | ||||||||||||||
Total Interest-bearing Liabilities | 12,545,944 | 265,513 | 2.12 | % | 12,527,227 | 343,346 | 2.74 | % | ||||||||||||||
Noninterest-bearing liabilities: | ||||||||||||||||||||||
Demand deposits | 1,847,090 | 1,647,942 | ||||||||||||||||||||
Other | 198,078 | 191,874 | ||||||||||||||||||||
Total Liabilities | 14,591,112 | 14,367,043 | ||||||||||||||||||||
Shareholders’ equity | 1,889,561 | 1,609,828 | ||||||||||||||||||||
Total Liabilities and Shareholders’ Equity | $ | 16,480,673 | $ | 15,976,871 | ||||||||||||||||||
Net interest income/net interest margin (fully taxable equivalent) | 536,499 | 3.52 | % | 540,118 | 3.70 | % | ||||||||||||||||
Tax equivalent adjustment | (15,545 | ) | (15,970 | ) | ||||||||||||||||||
Net interest income | $ | 520,954 | $ | 524,148 | ||||||||||||||||||
| (1) | Presented on a tax-equivalent basis using a 35% Federal tax rate and statutory interest expense disallowances. |
AVERAGE LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL:
| Year Ended December 31 | |||||||||
| 2009 | 2008 | % Change | |||||||
Loans, by type: | |||||||||
Real estate - commercial mortgage | $ | 4,135,486 | $ | 3,747,240 | 10.4 | % | |||
Commercial - industrial, financial and agricultural | 3,673,654 | 3,525,629 | 4.2 | % | |||||
Real estate - home equity | 1,665,834 | 1,597,207 | 4.3 | % | |||||
Real estate - construction | 1,111,863 | 1,320,418 | (15.8 | )% | |||||
Real estate - residential mortgage | 938,187 | 918,658 | 2.1 | % | |||||
Consumer | 368,651 | 399,281 | (7.7 | )% | |||||
Leasing and other | 82,224 | 86,810 | (5.3 | )% | |||||
Total Loans, net of unearned income | $ | 11,975,899 | $ | 11,595,243 | 3.3 | % | |||
Deposits, by type: | |||||||||
Noninterest-bearing demand | $ | 1,847,090 | $ | 1,647,942 | 12.1 | % | |||
Interest-bearing demand | 1,857,081 | 1,714,029 | 8.3 | % | |||||
Savings deposits | 2,425,864 | 2,152,158 | 12.7 | % | |||||
Time deposits | 5,507,090 | 4,502,399 | 22.3 | % | |||||
Total Deposits | $ | 11,637,125 | $ | 10,016,528 | 16.2 | % | |||
Short-term borrowings, by type: | |||||||||
Federal funds purchased | $ | 453,268 | $ | 1,328,888 | (65.9 | )% | |||
Customer short-term promissory notes | 287,231 | 454,473 | (36.8 | )% | |||||
Customer repurchase agreements | 254,662 | 227,130 | 12.1 | % | |||||
Federal Reserve Bank borrowings | 46,137 | — | N/A | ||||||
Overnight borrowings and other | 1,981 | 326,035 | (99.4 | )% | |||||
Total Short-term borrowings | $ | 1,043,279 | $ | 2,336,526 | (55.3 | )% | |||
N/A - Not applicable
5
FULTON FINANCIAL CORPORATION
ASSET QUALITY INFORMATION (UNAUDITED)
dollars in thousands
| Quarter Ended | Year Ended December 31 | |||||||||||||||||||
| December 31 | December 31 | September 30 | ||||||||||||||||||
| 2009 | 2008 | 2009 | 2009 | 2008 | ||||||||||||||||
ALLOWANCE FOR CREDIT LOSSES: | ||||||||||||||||||||
Balance at beginning of period | $ | 241,721 | $ | 141,829 | $ | 220,954 | $ | 180,137 | $ | 112,209 | ||||||||||
Loans charged off: | ||||||||||||||||||||
Real estate - construction | (12,017 | ) | (11,877 | ) | (9,356 | ) | (44,909 | ) | (14,891 | ) | ||||||||||
Commercial - industrial, agricultural and financial | (10,078 | ) | (6,392 | ) | (7,787 | ) | (34,761 | ) | (18,592 | ) | ||||||||||
Real estate - commercial mortgage | (2,055 | ) | (4,688 | ) | (3,554 | ) | (15,530 | ) | (7,516 | ) | ||||||||||
Real estate - residential mortgage and home equity | (2,224 | ) | (2,899 | ) | (1,065 | ) | (7,056 | ) | (5,868 | ) | ||||||||||
Consumer | (3,103 | ) | (1,450 | ) | (2,527 | ) | (10,770 | ) | (5,188 | ) | ||||||||||
Leasing and other | (1,366 | ) | (1,033 | ) | (1,637 | ) | (6,048 | ) | (4,804 | ) | ||||||||||
Total loans charged off | (30,843 | ) | (28,339 | ) | (25,926 | ) | (119,074 | ) | (56,859 | ) | ||||||||||
Recoveries of loans charged off: | ||||||||||||||||||||
Real estate - construction | 842 | — | 26 | 1,194 | 17 | |||||||||||||||
Commercial - industrial, agricultural and financial | 25 | 770 | 444 | 1,679 | 1,795 | |||||||||||||||
Real estate - commercial mortgage | 8 | 56 | 493 | 536 | 286 | |||||||||||||||
Real estate - residential mortgage and home equity | 1 | 5 | 1 | 150 | 143 | |||||||||||||||
Consumer | 384 | 465 | 354 | 1,678 | 1,487 | |||||||||||||||
Leasing and other | 395 | 351 | 375 | 1,233 | 1,433 | |||||||||||||||
Recoveries of loans previously charged off | 1,655 | 1,647 | 1,693 | 6,470 | 5,161 | |||||||||||||||
Net loans charged off | (29,188 | ) | (26,692 | ) | (24,233 | ) | (112,604 | ) | (51,698 | ) | ||||||||||
Provision for loan losses | 45,020 | 65,000 | 45,000 | 190,020 | 119,626 | |||||||||||||||
Balance at end of period | $ | 257,553 | $ | 180,137 | $ | 241,721 | $ | 257,553 | $ | 180,137 | ||||||||||
Net charge-offs to average loans (annualized) | 0.97 | % | 0.89 | % | 0.81 | % | 0.94 | % | 0.45 | % | ||||||||||
NON-PERFORMING ASSETS: | ||||||||||||||||||||
Non-accrual loans | $ | 238,360 | $ | 161,962 | $ | 228,961 | ||||||||||||||
Loans 90 days past due and accruing | 43,359 | 35,177 | 52,797 | |||||||||||||||||
Total non-performing loans | 281,719 | 197,139 | 281,758 | |||||||||||||||||
Other real estate owned | 23,309 | 21,855 | 19,151 | |||||||||||||||||
Total non-performing assets | $ | 305,028 | $ | 218,994 | $ | 300,909 | ||||||||||||||
NON-PERFORMING LOANS, BY TYPE: | ||||||||||||||||||||
Real estate - construction | $ | 92,841 | $ | 80,083 | $ | 104,789 | ||||||||||||||
Commercial - industrial, agricultural and financial | 69,604 | 40,294 | 63,217 | |||||||||||||||||
Real estate - commercial mortgage | 61,052 | 41,745 | 54,930 | |||||||||||||||||
Real estate - residential mortgage and home equity | 45,748 | 26,304 | 46,192 | |||||||||||||||||
Consumer | 12,319 | 8,374 | 12,292 | |||||||||||||||||
Leasing | 155 | 339 | 338 | |||||||||||||||||
Total non-performing loans | $ | 281,719 | $ | 197,139 | $ | 281,758 | ||||||||||||||
ASSET QUALITY RATIOS: | ||||||||||||||||||||
Non-accrual loans to total loans | 1.99 | % | 1.34 | % | 1.91 | % | ||||||||||||||
Non-performing assets to total loans and OREO | 2.54 | % | 1.82 | % | 2.51 | % | ||||||||||||||
Non-performing assets to total assets | 1.83 | % | 1.35 | % | 1.82 | % | ||||||||||||||
Allowance for credit losses to loans outstanding | 2.15 | % | 1.50 | % | 2.02 | % | ||||||||||||||
Allowance for credit losses to non-performing loans | 91.42 | % | 91.38 | % | 85.79 | % | ||||||||||||||
Non-performing assets to tangible common shareholders’ equity and allowance for credit losses | 23.99 | % | 19.68 | % | 24.24 | % | ||||||||||||||
6
