Exhibit 99.1
News Release
| | | |
|
Contact: | | |
| William L. Prater | | Gary C. Bonds |
| Treasurer and Chief Financial | | Senior Vice President and |
| Officer | | Principal Accounting Officer |
| 662/680-2000 | | 662/680-2332 |
BancorpSouth Reports Fourth Quarter 2010 Earnings of $0.19 per Diluted Share
TUPELO, Miss., January 27, 2011/PRNewswire-FirstCall via COMTEX/ — BancorpSouth, Inc. (NYSE: BXS) today announced financial results for the quarter ended December 31, 2010. The Company had net income of $15.8 million, or $0.19 per diluted share, for the quarter compared with a net loss of $2.1 million, or $0.03 per diluted share, for the fourth quarter of 2009.
Aubrey Patterson, Chairman and Chief Executive Officer of BancorpSouth, commented, “We are encouraged by the improvement in the Company’s performance during the fourth quarter. While the credit market remains challenging, we experienced a 3.7% decline in non-performing loans, 30 — 89 day past due loans continued to decline, and we saw a decline in the provision for credit losses as required reserves for impaired loans declined and levels of adversely classified loans decreased. While we still have far to go to return to the level of financial performance we expect at BancorpSouth, we feel that we are moving in the right direction.
“The increase in earnings for the fourth quarter of 2010 compared with the net loss for the fourth quarter of 2009 primarily resulted from a $19.0 million, or 30.5 percent, decline in the provision for credit losses to $43.3 million for the fourth quarter of 2010 from $62.3 million for the fourth quarter of 2009. In addition, noninterest revenue increased $9.5 million, or 14.7 percent, for the fourth quarter of 2010 from the fourth quarter of 2009. Mortgage lending revenue, excluding the fair value adjustments to the Company’s mortgage servicing rights (MSRs), increased 32.7% for the fourth quarter of 2010 compared to the same quarter of 2009, $9.2 million versus $7.0 million, respectively.
“Non-performing loans and leases (NPLs) declined to $394.4 million at December 31, 2010 from $409.4 million at September 30, 2010. This decrease was primarily attributable to a decrease in non-accrual construction, acquisition and development (CAD) loans of $17.5 million. This loan category has been the segment most significantly affected by the economic downturn, particularly those loans related to housing. This category has also accounted for over 60% of net charge-offs in 2010. As in prior quarters, the Company’s NPLs remain concentrated in certain geographic areas. The Alabama, Nashville and Greater Memphis, Tennessee markets continue to be affected by the slow housing markets while several larger loans are reflected in our Missouri Region’s NPLs.”
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Box 789• Tupelo, MS 38802-0789• (662) 680-2000
BancorpSouth, Inc.is a financial holding company.
BXS Announces Fourth Quarter Results
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January 27, 2011
Patterson added, “We believe that we remain appropriately reserved for losses inherent in our loan portfolio. At December 31, 2010, approximately 79 percent of our non-accrual loans had been determined to be collaterally dependent and had either been charged down or had a specific reserve to reflect values obtained from appraisals. Net of these write-downs and reserves, the remaining book balance of impaired loans was 67 percent of the unpaid principal balance. The allowance for credit losses not specifically allocated to impaired loans represented 211 percent of the remaining unimpaired non-accrual loan balance.
“BancorpSouth’s pre-tax, pre-provision earnings for the fourth quarter of 2010 increased to $60.8 million from $53.5 million for the fourth quarter of 2009 and $56.3 million for the third quarter of 2010. We attribute the relative consistency of these operating results to the stability reflected in our net interest revenue, the strength of our mortgage production and servicing operations, effective cost management and the steadiness of the aggregate results from our other noninterest revenue streams.
“Based on this performance, we continue to be encouraged about BancorpSouth’s ability to produce stronger financial results as our credit metrics continue to improve. While the improvement in our fourth quarter NPLs is an important step in returning to a more normalized level of financial performance, we realize that there is much work yet to be completed to realize that goal. We must build on this momentum in the quarters to come. We do not underestimate the challenges to returning our credit metrics to their historical levels, but with the progress achieved throughout 2010 and with continuing strong capital and liquidity, we enter 2011 confident that we are on the right path to achieve that goal.”
Net Interest Revenue
Net interest revenue was $110.3 million for the fourth quarter of 2010, a decrease of 1.9 percent from $112.3 million for the fourth quarter of 2009 and a 0.5 percent increase from $109.7 million for the third quarter of 2010. The fully taxable equivalent net interest margin was 3.59 percent for the fourth quarter of 2010, compared with 3.81 percent for the fourth quarter of 2009 and 3.64 percent for the third quarter of 2010.
The Company continues to manage through the prolonged low interest rate environment very effectively. The decline in net interest margin for the fourth quarter of 2010 from the third quarter of 2010 was primarily the result of lower yields on the investment portfolio. Yields on loans have remained relatively stable, and overall rates on interest bearing liabilities have continued to decline. Weak loan demand continues to challenge growth in earning assets.
Asset, Deposit and Loan Activity
Total assets at December 31, 2010 were $13.6 billion, an increase of 3.4 percent compared with $13.2 billion at December 31, 2009. Total deposits were $11.5 billion at December 31, 2010, an increase of 7.6 percent from $10.7 billion at December 31, 2009. Loans and leases, net of unearned income, were $9.3 billion at December 31, 2010, a decrease of 4.5 percent from $9.8 billion at December 31, 2009.
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BXS Announces Fourth Quarter Results
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January 27, 2011
The decline in loans and leases remained concentrated in the construction, acquisition and development loan portfolio, which decreased $311.3 million, or 21.3 percent, during 2010. Excluding the impact of the CAD loan portfolio, net loans and leases declined $130.7 million, or 1.6 percent, for the year ended December 31, 2010.
The significant growth in BancorpSouth’s deposits during 2010 reflected an increase of 8.3 percent and 14.1 percent in noninterest bearing and interest bearing demand deposits, respectively, and a 19.0 percent increase in savings deposits. While the present economic environment has limited the Company’s ability to invest this additional funding in loans, the Company has continued to capitalize on the opportunity to grow core deposits by both increasing new relationships and strengthening existing relationships.
Provision for Credit Losses and Allowance for Credit Losses
For the fourth quarter of 2010, the provision for credit losses was $43.3 million, compared with $62.3 million for the fourth quarter of 2009 and $54.9 million for the third quarter of 2010. Annualized net charge-offs were 2.19 percent of average loans and leases for the fourth quarter of 2010, compared with 1.27 percent for the fourth quarter of 2009 and 2.10 percent for the third quarter of 2010.
NPLs were $394.4 million, or 4.23 percent of net loans and leases, at December 31, 2010 compared to $186.5 million, or 1.91 percent of net loans and leases, at December 30, 2009 and $409.4 million, or 4.30 percent of net loans and leases, at September 30, 2010. The allowance for credit losses was 2.11 percent of net loans and leases at December 31, 2010 compared to 1.80 percent at December 30, 2009 and 2.16 percent at September 30, 2010.
Total NPLs at December 31, 2010 consisted of: $347.5 million of loans on nonaccrual status, virtually unchanged from $347.2 million at September 30, 2010; $8.5 million of loans 90 days or more past due and still accruing, a decrease from $9.9 million at September 30, 2010; and restructured loans still accruing of $38.4 million, a decrease from $52.3 million at September 30, 2010. Loans and leases 30 to 89 days past due decreased 18.2 percent to $60.4 million at December 31, 2010 from $73.8 million at September 30, 2010.
At the end of the fourth quarter of 2010, $111.9 million of NPLs were residential CAD loans, $89.5 million were other CAD loans, $74.1 million were commercial real estate mortgage loans and $56.3 million were consumer mortgages. NPLs from all other loan types totaled $62.6 million.
Other real estate owned increased during the fourth quarter to $133.4 million, compared to $59.3 million at December 31, 2009 and $82.6 million at September 30, 2010. This net increase from the third quarter reflected $62.7 million added through foreclosure, less sales of other real estate owned of $8.5 million, and write-downs in value of existing properties of $3.4 million.
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BXS Announces Fourth Quarter Results
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January 27, 2011
Noninterest Revenue
Noninterest revenue was $74.0 million for the fourth quarter of 2010, compared with $64.5 million for the fourth quarter of 2009 and $69.8 million for the third quarter of 2010. This growth was primarily related to mortgage production and servicing operations. Mortgage origination volume was $452 million for the fourth quarter of 2010 and mortgage lending revenue was $18.1 million, which included an $8.9 million positive MSR fair value adjustment. For the fourth quarter of 2009, mortgage origination volume was $314 million and mortgage lending revenue was $8.6 million, including a $1.6 million positive MSR fair value adjustment, and for the third quarter of 2010, mortgage origination volume was $490 million and mortgage lending revenue was $8.9 million, including a $4.6 million negative MSR fair value adjustment.
Noninterest revenue for the fourth quarter of 2010 from credit and debit card fees and trust income increased on a comparable and sequential quarter basis. Insurance commission revenue increased from the comparable quarter in 2009, but declined $2.8 million from the third quarter of 2010, which was attributable to seasonality in that line of business. Service charge income declined $1.8 million from the third quarter of 2010 to $16.9 million as the first full quarter of mandated changes in overdraft regulations were in effect. The Company recorded a security loss of $0.5 million for the fourth quarter of 2010, compared with a loss of $0.1 million for the fourth quarter of 2009 and a gain of $2.3 million for the third quarter of 2010.
Noninterest Expense
Noninterest expense for the fourth quarter of 2010 was $123.4 million, unchanged from the fourth quarter of 2009 and comparable to $123.1 million for the third quarter of 2010. Included in these results, FDIC insurance expense was $5.9 million for the fourth quarter of 2010 compared with $3.8 million for the fourth quarter of 2009 and $4.8 million for the third quarter of 2010. Foreclosed property expense decreased to $6.1 million for the fourth quarter of 2010 from $6.3 million for the fourth quarter of 2009 and increased from $4.9 million for the third quarter of 2010. Salaries and employee benefits, net occupancy and equipment expenses for the fourth quarter of 2010 declined on both a comparable and sequential quarter basis.
Capital Management
BancorpSouth’s commitment to a strong capital base is one of its fundamental strengths. The Company’s equity capitalization is 100 percent common stock. BancorpSouth’s ratio of shareholders’ equity to assets was 8.98 percent at December 31, 2010, compared with 9.69 percent at December 31, 2009. The ratio of tangible equity to tangible assets was 7.00 percent at December 31, 2010, compared with 7.63 percent at December 31, 2009. BancorpSouth remains a “well capitalized” financial holding company, as defined by federal regulations, with Tier 1 risk-based capital of 10.61 percent at December 31, 2010 and total risk based capital of 11.87 percent, compared with required minimum levels of 6 percent and 10 percent, respectively, to be classified as “well capitalized.”
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BXS Announces Fourth Quarter Results
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January 27, 2011
Summary
Patterson concluded, “After a most challenging year, BancorpSouth entered 2011 with strong capital and ample liquidity, a growing and demographically appealing eight-state franchise, a relatively attractive net interest margin and stable pre-tax, pre-provision earnings. While we expect to continue our primary focus on providing superior service to customers within our existing network, we have the expertise, financial resources and strategic clarity to leverage current industry turmoil and consolidation in support of our long-term growth objectives.
“Our challenges for 2011 are clear. With high unemployment and modest economic growth, we are cautious about our ability to expand our loan portfolio with high quality credits. In this environment, we are highly focused on continuing to work through any remaining credit issues to sustain the positive trends evident in our fourth quarter results.
“We believe BancorpSouth is well positioned strategically, especially if early indications of economic growth prove sustainable. Although uncertain about the strength of the economy in 2011, we are confident that we will continue to manage effectively and conservatively in the coming year, maintain a strong capital base and strong liquidity, remain appropriately reserved against losses inherent in our loan portfolio and build the value of our banking franchise.”
Conference Call
BancorpSouth will conduct a conference call to discuss its fourth quarter 2010 results tomorrow, January 28, 2011, at 10:00 a.m. (Central Time). Investors may listen via the Internet by accessing BancorpSouth’s website athttp://www.bancorpsouth.com. A replay of the conference call will be available at BancorpSouth’s website for at least two weeks following the call.
Forward-Looking Statements
Certain statements contained in this news release may not be based on historical facts and are “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. These forward-looking statements may be identified by their reference to a future period or periods or by the use of forward-looking terminology such as “anticipate,” “believe,” “estimate,” “expect,” “may,” “might,” “will,” “would,” “could” or “intend.” These forward-looking statements include, without limitation, statements relating to our financial performance, our reserve for losses, returning our credit metrics to historic levels, our ability to provide superior services to our customers, our economic growth, our ability to manage, our capital and liquidity, our ability to build the value of our franchise and our use of non-GAAP financial measures.
We caution you not to place undue reliance on the forward-looking statements contained in this news release in that actual results could differ materially from those indicated in such forward-looking statements because of a variety of factors. These factors may include, but are not limited to, conditions in the financial markets and economic conditions generally, the soundness of other financial institutions, levels of market volatility, the availability of capital if the Company elects or is compelled to seek additional capital, liquidity risk, the credit risk associated with real estate
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BXS Announces Fourth Quarter Results
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January 27, 2011
construction, acquisition and development loans, estimates of costs and values associated with real estate construction, acquisition and development loans in the Company’s loan portfolio, the adequacy of the Company’s allowance for credit losses to cover actual credit losses, governmental regulation and supervision of the Company’s operations, changes in interest rates, the impact of monetary policies and economic factors on the Company’s ability to attract deposits or make loans, the impact of hurricanes or other adverse weather events, risks in connection with completed or potential acquisitions, dilution caused by the Company’s issuance of any additional shares of its common stock to acquire other banks, bank holding companies, financial holding companies and insurance agencies, restrictions on the Company’s ability to declare and pay dividends, the Company’s growth strategy, diversification in the types of financial services the Company offers, competition with other financial services companies, interruptions or breaches in security of the Company’s information systems, the Company’s ability to improve its internal controls adequately, any requirement that the Company write down goodwill or other intangible assets, other factors generally understood to affect the financial results of financial services companies, and other factors described from time to time in BancorpSouth’s filings with the Securities and Exchange Commission. We undertake no obligation to update these forward-looking statements to reflect events or circumstances that occur after the date on which such statements were made.
BancorpSouth, Inc. is a financial holding company headquartered in Tupelo, Mississippi, with $13.6 billion in assets. BancorpSouth Bank, a wholly-owned subsidiary of BancorpSouth, Inc., operates approximately 312 commercial banking, mortgage, insurance, trust and broker/dealer locations in Alabama, Arkansas, Florida, Louisiana, Mississippi, Missouri, Tennessee and Texas. BancorpSouth Bank also operates an insurance location in Illinois.
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BXS Announces Fourth Quarter Results
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January 27, 2011
BancorpSouth, Inc.
Selected Financial Data
| | | | | | | | | | | | | | | | | |
| | | Three Months Ended | | | Twelve Months Ended | |
| | | December 31, | | | December 31, | |
| (Dollars in thousands, except per share amounts) | | 2010 | | | 2009 | | | 2010 | | | 2009 | |
Earnings Summary: | | | | | | | | | | | | | | | | |
| Net interest revenue | | $ | 110,253 | | | $ | 112,347 | | | $ | 441,142 | | | $ | 444,899 | |
| Provision for credit losses | | | 43,293 | | | | 62,271 | | | | 204,016 | | | | 117,324 | |
| Noninterest revenue | | | 73,974 | | | | 64,505 | | | | 264,144 | | | | 275,276 | |
| Noninterest expense | | | 123,447 | | | | 123,361 | | | | 487,033 | | | | 490,017 | |
| | | | | | | | | | | | | |
| Income (loss) before income taxes | | | 17,487 | | | | (8,780 | ) | | | 14,237 | | | | 112,834 | |
| Income tax provision (benefit) | | | 1,641 | | | | (6,634 | ) | | | (8,705 | ) | | | 30,105 | |
| | | | | | | | | | | | | |
| Net income (loss) | | $ | 15,846 | | | | ($2,146 | ) | | $ | 22,942 | | | $ | 82,729 | |
| | | | | | | | | | | | | |
| Earning (loss) per share: Basic | | $ | 0.19 | | | | ($0.03 | ) | | $ | 0.28 | | | $ | 0.99 | |
| | | | | | | | | | | | | |
| Diluted | | $ | 0.19 | | | | ($0.03 | ) | | $ | 0.27 | | | $ | 0.99 | |
| | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | |
Balance sheet data at December 31: | | | | | | | | | | | | | | | | |
| Total assets | | | | | | | | | | $ | 13,615,010 | | | $ | 13,167,867 | |
| Total earning assets | | | | | | | | | | | 12,458,055 | | | | 11,939,776 | |
| Loans and leases, net of unearned income | | | | | | | | | | | 9,333,107 | | | | 9,775,136 | |
| Allowance for credit losses | | | | | | | | | | | 196,913 | | | | 176,043 | |
| Total deposits | | | | | | | | | | | 11,490,021 | | | | 10,677,702 | |
| Common shareholders’ equity | | | | | | | | | | | 1,222,244 | | | | 1,276,296 | |
| Book value per share | | | | | | | | | | | 14.64 | | | | 15.29 | |
| | | | | | | | | | | | | | | | | |
Average balance sheet data: | | | | | | | | | | | | | | | | |
| Total assets | | $ | 13,559,038 | | | $ | 13,065,172 | | | $ | 13,304,836 | | | $ | 13,203,659 | |
| Total earning assets | | | 12,510,705 | | | | 11,966,504 | | | | 12,223,933 | | | | 12,078,437 | |
| Loans and leases, net of unearned interest | | | 9,418,687 | | | | 9,750,989 | | | | 9,621,529 | | | | 9,734,580 | |
| Total deposits | | | 11,292,903 | | | | 10,448,617 | | | | 11,107,445 | | | | 10,155,730 | |
| Common shareholders’ equity | | | 1,225,514 | | | | 1,266,989 | | | | 1,241,321 | | | | 1,255,605 | |
| | | | | | | | | | | | | | | | | |
Non-performing assets at December 31: | | | | | | | | | | | | | | | | |
| Non-accrual loans and leases | | | | | | | | | | $ | 347,499 | | | $ | 144,013 | |
| Loans and leases 90+ days past due, still accruing | | | | | | | | | | | 8,500 | | | | 36,301 | |
| Restructured loans and leases, still accruing | | | | | | | | | | | 38,376 | | | | 6,161 | |
| Other real estate owned | | | | | | | | | | | 133,412 | | | | 59,265 | |
| | | | | | | | | | | | | | | |
| Total non-performing assets | | | | | | | | | | | 527,787 | | | | 245,740 | |
| | | | | | | | | | | | | | | | | |
| Net charge-offs as a percentage of average loans (annualized) | | | 2.19 | % | | | 1.27 | % | | | 1.90 | % | | | 0.76 | % |
| | | | | | | | | | | | | | | | | |
Performance ratios (annualized): | | | | | | | | | | | | | | | | |
| Return on average assets | | | 0.46 | % | | | (0.07 | %) | | | 0.17 | % | | | 0.63 | % |
| Return on common equity | | | 5.13 | % | | | (0.67 | %) | | | 1.85 | % | | | 6.59 | % |
| Total shareholders’ equity to total assets | | | 8.98 | % | | | 9.69 | % | | | 8.98 | % | | | 9.69 | % |
| Tangible shareholders’ equity to tangible assets | | | 7.00 | % | | | 7.63 | % | | | 7.00 | % | | | 7.63 | % |
| Net interest margin | | | 3.59 | % | | | 3.81 | % | | | 3.70 | % | | | 3.77 | % |
| | | | | | | | | | | | | | | | | |
| Average shares outstanding — basic | | | 83,435,268 | | | | 83,399,113 | | | | 83,425,183 | | | | 83,295,461 | |
| Average shares outstanding — diluted | | | 83,471,420 | | | | 83,527,596 | | | | 83,515,040 | | | | 83,430,505 | |
| Cash dividends per share | | $ | 0.22 | | | $ | 0.22 | | | $ | 0.88 | | | $ | 0.88 | |
| | | | | | | | | | | | | | | | | |
| Tier I capital | | | 10.61 | %(1) | | | 11.17 | % | | | 10.61 | %(1) | | | 11.17 | % |
| Total Capital | | | 11.87 | %(1) | | | 12.42 | % | | | 11.87 | %(1) | | | 12.42 | % |
| Tier I leverage capital | | | 8.07 | %(1) | | | 8.95 | % | | | 8.07 | %(1) | | | 8.95 | % |
| | |
| (1) | | Estimated as of earnings release date |
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BXS Announces Fourth Quarter Results
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January 27, 2011
BancorpSouth, Inc.
Consolidated Balance Sheets
(Unaudited)
| | | | | | | | | | | | | | | | | | | | | |
| | | Dec-10 | | Sep-10 | | Jun-10 | | Mar-10 | | Dec-09 |
| | | (Dollars in thousands) |
| Assets | | | | | | | | | | | | | | | | | | | | |
| Cash and due from banks | | $ | 99,916 | | | $ | 128,160 | | | $ | 370,499 | | | $ | 187,115 | | | $ | 222,741 | |
| Interest bearing deposits with other banks | | | 172,170 | | | | 211,189 | | | | 111,040 | | | | 9,943 | | | | 15,704 | |
| Held-to-maturity securities, at amortized cost | | | 1,613,019 | | | | 1,357,888 | | | | 1,147,157 | | | | 1,219,983 | | | | 1,032,822 | |
| Available-for-sale securities, at fair value | | | 1,096,062 | | | | 915,877 | | | | 962,692 | | | | 891,221 | | | | 960,772 | |
| Federal funds sold and securities purchased under agreement to resell | | | 150,000 | | | | 325,000 | | | | 75,000 | | | | 120,000 | | | | 75,000 | |
| Loans and leases | | | 9,376,351 | | | | 9,556,962 | | | | 9,691,623 | | | | 9,756,081 | | | | 9,822,986 | |
| Less: Unearned income | | | 43,244 | | | | 42,033 | | | | 44,721 | | | | 45,259 | | | | 47,850 | |
| Allowance for credit losses | | | 196,913 | | | | 205,081 | | | | 200,744 | | | | 188,884 | | | | 176,043 | |
| | | |
| Net loans and leases | | | 9,136,194 | | | | 9,309,848 | | | | 9,446,158 | | | | 9,521,938 | | | | 9,599,093 | |
| Loans held for sale | | | 93,697 | | | | 125,815 | | | | 95,987 | | | | 80,312 | | | | 80,343 | |
| Premises and equipment, net | | | 332,890 | | | | 335,618 | | | | 336,645 | | | | 339,860 | | | | 343,877 | |
| Accrued interest receivable | | | 61,025 | | | | 63,797 | | | | 63,862 | | | | 69,022 | | | | 68,651 | |
| Goodwill | | | 270,097 | | | | 270,097 | | | | 270,097 | | | | 270,097 | | | | 270,097 | |
| Bank owned life insurance | | | 194,064 | | | | 192,459 | | | | 190,828 | | | | 189,022 | | | | 187,770 | |
| Other real estate owned | | | 133,412 | | | | 82,647 | | | | 67,560 | | | | 59,269 | | | | 59,265 | |
| Other assets | | | 262,464 | | | | 264,621 | | | | 283,479 | | | | 272,408 | | | | 251,732 | |
| | | |
| Total Assets | | $ | 13,615,010 | | | $ | 13,583,016 | | | $ | 13,421,004 | | | $ | 13,230,190 | | | $ | 13,167,867 | |
| | | |
| Liabilities | | | | | | | | | | | | | | | | | | | | |
| Deposits: | | | | | | | | | | | | | | | | | | | | |
| Demand: Noninterest bearing | | $ | 2,060,145 | | | $ | 1,967,635 | | | $ | 1,897,977 | | | $ | 1,860,579 | | | $ | 1,901,663 | |
| Interest bearing | | | 4,931,518 | | | | 4,623,103 | | | | 4,725,457 | | | | 4,589,029 | | | | 4,323,646 | |
| Savings | | | 863,034 | | | | 801,153 | | | | 770,112 | | | | 768,302 | | | | 725,192 | |
| Other time | | | 3,635,324 | | | | 3,804,973 | | | | 3,827,095 | | | | 3,776,251 | | | | 3,727,201 | |
| | | |
| Total deposits | | | 11,490,021 | | | | 11,196,864 | | | | 11,220,641 | | | | 10,994,161 | | | | 10,677,702 | |
| Federal funds purchased and securities sold under agreement to repurchase | | | 440,593 | | | | 501,175 | | | | 481,109 | | | | 480,795 | | | | 539,870 | |
| Short-term Federal Home Loan Bank borrowings and other short-term borrowing | | | 2,727 | | | | 152,738 | | | | 3,500 | | | | 2,500 | | | | 203,500 | |
| Accrued interest payable | | | 14,336 | | | | 16,574 | | | | 17,508 | | | | 17,972 | | | | 19,588 | |
| Junior subordinated debt securities | | | 160,312 | | | | 160,312 | | | | 160,312 | | | | 160,312 | | | | 160,312 | |
| Long-term Federal Home Loan Bank borrowings | | | 110,000 | | | | 110,000 | | | | 110,749 | | | | 112,760 | | | | 112,771 | |
| Other liabilities | | | 174,777 | | | | 209,648 | | | | 186,926 | | | | 196,806 | | | | 177,828 | |
| | | |
| Total Liabilities | | | 12,392,766 | | | | 12,347,311 | | | | 12,180,745 | | | | 11,965,306 | | | | 11,891,571 | |
| Shareholders’ Equity | | | | | | | | | | | | | | | | | | | | |
| Common stock | | | 208,704 | | | | 208,704 | | | | 208,704 | | | | 208,655 | | | | 208,626 | |
| Capital surplus | | | 224,976 | | | | 224,170 | | | | 223,922 | | | | 223,307 | | | | 222,547 | |
| Accumulated other comprehensive income (loss) | | | (14,453 | ) | | | (2,705 | ) | | | (5,008 | ) | | | (10,645 | ) | | | (8,409 | ) |
| Retained earnings | | | 803,017 | | | | 805,536 | | | | 812,641 | | | | 843,567 | | | | 853,532 | |
| | | |
| Total Shareholders’ Equity | | | 1,222,244 | | | | 1,235,705 | | | | 1,240,259 | | | | 1,264,884 | | | | 1,276,296 | |
| | | |
| Total Liabilities & Shareholders’ Equity | | $ | 13,615,010 | | | $ | 13,583,016 | | | $ | 13,421,004 | | | $ | 13,230,190 | | | $ | 13,167,867 | |
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BXS Announces Fourth Quarter Results
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January 27, 2011
BancorpSouth, Inc.
Consolidated Condensed Statements of Income
(Dollars in thousands, except per share data)
(Unaudited)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Quarter Ended | | | Year To Date | |
| | | Dec-10 | | | Sep-10 | | | Jun-10 | | | Mar-10 | | | Dec-09 | | | Dec-10 | | | Dec-09 | |
| INTEREST REVENUE: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Loans and leases | | $ | 121,672 | | | $ | 123,533 | | | $ | 124,621 | | | $ | 126,956 | | | $ | 129,086 | | | $ | 496,782 | | | $ | 517,013 | |
| Deposits with other banks | | | 222 | | | | 79 | | | | 33 | | | | 21 | | | | 19 | | | | 355 | | | | 131 | |
| Federal funds sold and securities purchased under agreement to resell | | | 168 | | | | 213 | | | | 143 | | | | 82 | | | | 43 | | | | 606 | | | | 74 | |
| Held-to-maturity securities: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Taxable | | | 8,490 | | | | 9,010 | | | | 9,363 | | | | 9,415 | | | | 10,128 | | | | 36,278 | | | | 46,957 | |
| Tax-exempt | | | 2,952 | | | | 2,584 | | | | 2,412 | | | | 2,461 | | | | 2,393 | | | | 10,409 | | | | 8,852 | |
| Available-for-sale securities: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Taxable | | | 7,836 | | | | 7,782 | | | | 8,030 | | | | 8,385 | | | | 8,675 | | | | 32,033 | | | | 35,026 | |
| Tax-exempt | | | 815 | | | | 795 | | | | 833 | | | | 832 | | | | 875 | | | | 3,275 | | | | 3,396 | |
| Loans held for sale | | | 902 | | | | 889 | | | | 727 | | | | 506 | | | | 777 | | | | 3,024 | | | | 3,965 | |
| | | | | | | | | | | | | | | | | | | | | | |
| Total interest revenue | | | 143,057 | | | | 144,885 | | | | 146,162 | | | | 148,658 | | | | 151,996 | | | | 582,762 | | | | 615,414 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| INTEREST EXPENSE: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Interest bearing demand | | | 7,462 | | | | 8,582 | | | | 9,751 | | | | 9,392 | | | | 9,023 | | | | 35,187 | | | | 40,047 | |
| Savings | | | 891 | | | | 881 | | | | 915 | | | | 889 | | | | 900 | | | | 3,576 | | | | 3,700 | |
| Other time | | | 19,827 | | | | 21,108 | | | | 21,535 | | | | 21,529 | | | | 23,445 | | | | 83,999 | | | | 101,308 | |
| Federal funds purchased and securities sold under agreement to repurchase | | | 189 | | | | 209 | | | | 215 | | | | 228 | | | | 305 | | | | 841 | | | | 1,629 | |
| FHLB borrowings | | | 1,569 | | | | 1,543 | | | | 1,553 | | | | 1,880 | | | | 3,012 | | | | 6,545 | | | | 11,597 | |
| Junior subordinated debt | | | 2,864 | | | | 2,880 | | | | 2,862 | | | | 2,855 | | | | 2,863 | | | | 11,461 | | | | 11,630 | |
| Other | | | 2 | | | | 4 | | | | 2 | | | | 3 | | | | 101 | | | | 11 | | | | 604 | |
| | | | | | | | | | | | | | | | | | | | | | |
| Total interest expense | | | 32,804 | | | | 35,207 | | | | 36,833 | | | | 36,776 | | | | 39,649 | | | | 141,620 | | | | 170,515 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net interest revenue | | | 110,253 | | | | 109,678 | | | | 109,329 | | | | 111,882 | | | | 112,347 | | | | 441,142 | | | | 444,899 | |
| Provision for credit losses | | | 43,293 | | | | 54,850 | | | | 62,354 | | | | 43,519 | | | | 62,271 | | | | 204,016 | | | | 117,324 | |
| | | | | | | | | | | | | | | | | | | | | | |
| Net interest revenue, after provision for credit losses | | | 66,960 | | | | 54,828 | | | | 46,975 | | | | 68,363 | | | | 50,076 | | | | 237,126 | | | | 327,575 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| NONINTEREST REVENUE: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Mortgage lending | | | 18,126 | | | | 8,898 | | | | (2,304 | ) | | | 5,025 | | | | 8,602 | | | | 29,745 | | | | 32,225 | |
| Credit card, debit card and merchant fees | | | 9,951 | | | | 9,569 | | | | 9,333 | | | | 8,810 | | | | 7,883 | | | | 37,663 | | | | 34,244 | |
| Service charges | | | 16,854 | | | | 18,621 | | | | 18,953 | | | | 16,262 | | | | 18,689 | | | | 70,690 | | | | 72,864 | |
| Trust income | | | 3,072 | | | | 2,783 | | | | 2,707 | | | | 2,587 | | | | 3,014 | | | | 11,149 | | | | 9,698 | |
| Security gains (losses), net | | | (470 | ) | | | 2,327 | | | | (585 | ) | | | 1,297 | | | | (102 | ) | | | 2,569 | | | | (55 | ) |
| Insurance commissions | | | 18,013 | | | | 20,825 | | | | 21,666 | | | | 21,668 | | | | 17,583 | | | | 82,172 | | | | 80,937 | |
| Other | | | 8,428 | | | | 6,729 | | | | 7,316 | | | | 7,683 | | | | 8,836 | | | | 30,156 | | | | 45,363 | |
| | | | | | | | | | | | | | | | | | | | | | |
| Total noninterest revenue | | | 73,974 | | | | 69,752 | | | | 57,086 | | | | 63,332 | | | | 64,505 | | | | 264,144 | | | | 275,276 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| NONINTEREST EXPENSES: | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Salaries and employee benefits | | | 65,980 | | | | 68,232 | | | | 68,189 | | | | 69,287 | | | | 66,926 | | | | 271,688 | | | | 278,734 | |
| Occupancy, net of rental income | | | 10,668 | | | | 11,038 | | | | 10,527 | | | | 10,775 | | | | 10,897 | | | | 43,008 | | | | 42,108 | |
| Equipment | | | 5,459 | | | | 5,523 | | | | 5,877 | | | | 5,739 | | | | 5,578 | | | | 22,598 | | | | 23,508 | |
| Deposit insurance assessments | | | 5,895 | | | | 4,752 | | | | 4,362 | | | | 4,250 | | | | 3,786 | | | | 19,259 | | | | 19,672 | |
| Other | | | 35,445 | | | | 33,542 | | | | 31,061 | | | | 30,432 | | | | 36,174 | | | | 130,480 | | | | 125,995 | |
| | | | | | | | | | | | | | | | | | | | | | |
| Total noninterest expenses | | | 123,447 | | | | 123,087 | | | | 120,016 | | | | 120,483 | | | | 123,361 | | | | 487,033 | | | | 490,017 | |
| | | | | | | | | | | | | | | | | | | | | | |
| Income (loss) before income taxes | | | 17,487 | | | | 1,493 | | | | (15,955 | ) | | | 11,212 | | | | (8,780 | ) | | | 14,237 | | | | 112,834 | |
| Income tax expense (benefit) | | | 1,641 | | | | (9,767 | ) | | | (3,395 | ) | | | 2,816 | | | | (6,634 | ) | | | (8,705 | ) | | | 30,105 | |
| | | | | | | | | | | | | | | | | | | | | | |
| Net income (loss) | | $ | 15,846 | | | $ | 11,260 | | | | ($12,560 | ) | | $ | 8,396 | | | | ($2,146 | ) | | $ | 22,942 | | | $ | 82,729 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net income (loss) per share: Basic | | $ | 0.19 | | | $ | 0.13 | | | | ($0.15 | ) | | $ | 0.10 | | | | ($0.03 | ) | | $ | 0.28 | | | $ | 0.99 | |
| | | | | | | | | | | | | | | | | | | | | | |
| Diluted | | $ | 0.19 | | | $ | 0.13 | | | | ($0.15 | ) | | $ | 0.10 | | | | ($0.03 | ) | | $ | 0.27 | | | $ | 0.99 | |
| | | | | | | | | | | | | | | | | | | | | | |
-MORE-
BXS Announces Fourth Quarter Results
Page 10
January 27, 2011
BancorpSouth, Inc.
Selected Loan Data
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | | | | | | | | | |
| | | Quarter Ended | |
| | | Dec-10 | | | Sep-10 | | | Jun-10 | | | Mar-10 | | | Dec-09 | |
| LOAN AND LEASE PORTFOLIO: | | | | | | | | | | | | | | | | | | | | |
| Commercial and industrial | | $ | 1,491,183 | | | $ | 1,438,415 | | | $ | 1,483,335 | | | $ | 1,470,145 | | | $ | 1,466,569 | |
| Real estate | | | | | | | | | | | | | | | | | | | | |
| Consumer mortgages | | | 1,978,145 | | | | 2,001,077 | | | | 2,019,187 | | | | 2,014,085 | | | | 2,017,067 | |
| Home equity | | | 543,272 | | | | 552,095 | | | | 555,281 | | | | 549,924 | | | | 550,085 | |
| Agricultural | | | 252,292 | | | | 262,083 | | | | 260,489 | | | | 266,649 | | | | 262,069 | |
| Commercial and industrial-owner occupied | | | 1,331,473 | | | | 1,375,466 | | | | 1,407,704 | | | | 1,423,098 | | | | 1,449,554 | |
| Construction, acquisition and development | | | 1,148,161 | | | | 1,307,242 | | | | 1,381,591 | | | | 1,428,882 | | | | 1,459,503 | |
| Commercial | | | 1,816,951 | | | | 1,810,626 | | | | 1,794,644 | | | | 1,809,660 | | | | 1,806,766 | |
| Credit cards | | | 106,345 | | | | 102,672 | | | | 102,784 | | | | 101,464 | | | | 108,086 | |
| All other | | | 665,285 | | | | 665,253 | | | | 641,888 | | | | 646,915 | | | | 655,437 | |
| | | | | | | | | | | | | | | | |
| Total loans | | $ | 9,333,107 | | | $ | 9,514,929 | | | $ | 9,646,903 | | | $ | 9,710,822 | | | $ | 9,775,136 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| ALLOWANCE FOR CREDIT LOSSES: | | | | | | | | | | | | | | | | | | | | |
| Balance, beginning of period | | $ | 205,081 | | | $ | 200,744 | | | $ | 188,884 | | | $ | 176,043 | | | $ | 144,791 | |
| | | | | | | | | | | | | | | | | | | | | |
| Loans and leases charged off: | | | | | | | | | | | | | | | | | | | | |
| Commercial and industrial | | | (1,782 | ) | | | (2,822 | ) | | | (5,106 | ) | | | (2,169 | ) | | | (3,404 | ) |
| Real estate | | | | | | | | | | | | | | | | | | | �� | |
| Consumer mortgages | | | (8,809 | ) | | | (7,573 | ) | | | (4,659 | ) | | | (4,598 | ) | | | (2,298 | ) |
| Home equity | | | (1,138 | ) | | | (1,792 | ) | | | (602 | ) | | | (1,683 | ) | | | (1,835 | ) |
| Agricultural | | | (487 | ) | | | (33 | ) | | | (473 | ) | | | (207 | ) | | | (401 | ) |
| Commercial and industrial-owner occupied | | | (1,659 | ) | | | (1,231 | ) | | | (3,845 | ) | | | (2,465 | ) | | | (753 | ) |
| Construction, acquisition and development | | | (31,471 | ) | | | (34,342 | ) | | | (31,655 | ) | | | (15,769 | ) | | | (20,766 | ) |
| Commercial | | | (6,327 | ) | | | (2,887 | ) | | | (2,593 | ) | | | (2,278 | ) | | | (568 | ) |
| Credit cards | | | (990 | ) | | | (1,046 | ) | | | (1,363 | ) | | | (1,160 | ) | | | (1,118 | ) |
| All other | | | (2,093 | ) | | | (798 | ) | | | (2,067 | ) | | | (1,050 | ) | | | (954 | ) |
| | | | | | | | | | | | | | | | |
| Total loans charged off | | | (54,756 | ) | | | (52,524 | ) | | | (52,363 | ) | | | (31,379 | ) | | | (32,097 | ) |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Recoveries: | | | | | | | | | | | | | | | | | | | | |
| Commercial and industrial | | | 707 | | | | 318 | | | | 242 | | | | 63 | | | | 194 | |
| Real estate | | | | | | | | | | | | | | | | | | | | |
| Consumer mortgages | | | 423 | | | | 143 | | | | 818 | | | | 64 | | | | 209 | |
| Home equity | | | 60 | | | | 23 | | | | 43 | | | | 52 | | | | 76 | |
| Agricultural | | | 4 | | | | 8 | | | | — | | | | — | | | | — | |
| Commercial and industrial-owner occupied | | | 195 | | | | 154 | | | | 44 | | | | 7 | | | | 10 | |
| Construction, acquisition and development | | | 776 | | | | 663 | | | | 211 | | | | 56 | | | | 7 | |
| Commercial | | | 707 | | | | 98 | | | | 27 | | | | 12 | | | | 25 | |
| Credit cards | | | 143 | | | | 317 | | | | 219 | | | | 150 | | | | 216 | |
| All other | | | 280 | | | | 287 | | | | 265 | | | | 297 | | | | 341 | |
| | | | | | | | | | | | | | | | |
| Total recoveries | | | 3,295 | | | | 2,011 | | | | 1,869 | | | | 701 | | | | 1,078 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Net charge-offs | | | (51,461 | ) | | | (50,513 | ) | | | (50,494 | ) | | | (30,678 | ) | | | (31,019 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Provision charged to operating expense | | | 43,293 | | | | 54,850 | | | | 62,354 | | | | 43,519 | | | | 62,271 | |
| Other, net | | | — | | | | — | | | | — | | | | — | | | | — | |
| | | | | | | | | | | | | | | | |
| Balance, end of period | | $ | 196,913 | | | $ | 205,081 | | | $ | 200,744 | | | $ | 188,884 | | | $ | 176,043 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Average loans for period | | $ | 9,418,687 | | | $ | 9,601,142 | | | $ | 9,703,253 | | | $ | 9,767,088 | | | $ | 9,750,989 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Ratios: | | | | | | | | | | | | | | | | | | | | |
| Net charge-offs to average loans (annualized) | | | 2.19 | % | | | 2.10 | % | | | 2.08 | % | | | 1.26 | % | | | 1.27 | % |
| | | | | | | | | | | | | | | | |
-MORE-
BXS Announces Fourth Quarter Results
Page 11
January 27, 2011
BancorpSouth, Inc.
Selected Loan Data
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | | | | | | | | | |
| | | Quarter Ended | |
| | | Dec-10 | | | Sep-10 | | | Jun-10 | | | Mar-10 | | | Dec-09 | |
NON-PERFORMING ASSETS | | | | | | | | | | | | | | | | | | | | |
| NON-PERFORMING LOANS AND LEASES: | | | | | | | | | | | | | | | | | | | | |
| Nonaccrual Loans and Leases | | | | | | | | | | | | | | | | | | | | |
| Commercial and industrial | | $ | 13,075 | | | $ | 12,339 | | | $ | 6,280 | | | $ | 6,306 | | | $ | 4,852 | |
| Real estate | | | | | | | | | | | | | | | | | | | | |
| Consumer mortgages | | | 46,496 | | | | 40,962 | | | | 37,514 | | | | 24,047 | | | | 20,731 | |
| Home equity | | | 811 | | | | 1,361 | | | | 1,565 | | | | 761 | | | | 1,642 | |
| Agricultural | | | 7,589 | | | | 4,986 | | | | 3,972 | | | | 3,049 | | | | 1,136 | |
| Commercial and industrial-owner occupied | | | 20,338 | | | | 15,004 | | | | 12,061 | | | | 15,083 | | | | 7,039 | |
| Construction, acquisition and development | | | 199,072 | | | | 216,586 | | | | 159,829 | | | | 116,191 | | | | 82,170 | |
| Commercial | | | 57,766 | | | | 51,590 | | | | 38,921 | | | | 30,094 | | | | 23,209 | |
| Credit cards | | | 720 | | | | 724 | | | | 726 | | | | 1,072 | | | | 1,044 | |
| All other | | | 1,632 | | | | 3,629 | | | | 2,890 | | | | 3,034 | | | | 2,190 | |
| | | | | | | | | | | | | | | | |
| Total nonaccrual loans and leases | | | 347,499 | | | | 347,181 | | | | 263,758 | | | | 199,637 | | | | 144,013 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Loans and Leases 90+ Days Past Due, Still Accruing: | | | | | | | | | | | | | | | | | | | | |
| Commercial and industrial | | | 675 | | | | 1,571 | | | | 7,093 | | | | 1,405 | | | | 1,797 | |
| Real estate | | | | | | | | | | | | | | | | | | | | |
| Consumer mortgages | | | 6,521 | | | | 6,241 | | | | 4,754 | | | | 10,984 | | | | 9,905 | |
| Home equity | | | 173 | | | | 146 | | | | — | | | | 320 | | | | 810 | |
| Agricultural | | | 123 | | | | 330 | | | | — | | | | 199 | | | | 1,015 | |
| Commercial and industrial-owner occupied | | | 20 | | | | 192 | | | | 733 | | | | 1,482 | | | | 4,511 | |
| Construction, acquisition and development | | | 197 | | | | 526 | | | | 1,490 | | | | 3,339 | | | | 13,482 | |
| Commercial | | | — | | | | 115 | | | | 3,068 | | | | 1,671 | | | | 2,558 | |
| Credit cards | | | 330 | | | | 396 | | | | 228 | | | | 296 | | | | 355 | |
| All other | | | 461 | | | | 393 | | | | 330 | | | | 756 | | | | 1,868 | |
| | | | | | | | | | | | | | | | |
| Total loans and leases 90+ past due, still accruing | | | 8,500 | | | | 9,910 | | | | 17,696 | | | | 20,452 | | | | 36,301 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Restructured Loans and Leases, Still Accruing | | | 38,376 | | | | 52,325 | | | | 20,813 | | | | 15,576 | | | | 6,161 | |
| | | | | | |
| Total non-performing loans and leases | | | 394,375 | | | | 409,416 | | | | 302,267 | | | | 235,665 | | | | 186,475 | |
| | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| OTHER REAL ESTATE OWNED: | | | 133,412 | | | | 82,647 | | | | 67,560 | | | | 59,269 | | | | 59,265 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Total Non-performing Assets | | $ | 527,787 | | | $ | 492,063 | | | $ | 369,827 | | | $ | 294,934 | | | $ | 245,740 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Loans and Leases 30-89 Days Past Due, Still Accruing: | | | | | | | | | | | | | | | | | | | | |
| Commercial and industrial | | $ | 13,654 | | | $ | 10,581 | | | $ | 10,081 | | | $ | 17,248 | | | $ | 7,220 | |
| Real estate | | | | | | | | | | | | | | | | | | | | |
| Consumer mortgages | | | 19,147 | | | | 22,490 | | | | 30,286 | | | | 22,917 | | | | 24,263 | |
| Home equity | | | 1,906 | | | | 3,088 | | | | 2,664 | | | | 2,568 | | | | 2,000 | |
| Agricultural | | | 1,122 | | | | 1,101 | | | | 2,312 | | | | 3,814 | | | | 1,010 | |
| Commercial and industrial-owner occupied | | | 10,183 | | | | 16,385 | | �� | | 20,975 | | | | 21,798 | | | | 29,186 | |
| Construction, acquisition and development | | | 6,758 | | | | 11,538 | | | | 50,759 | | | | 58,385 | | | | 39,795 | |
| Commercial | | | 3,823 | | | | 4,657 | | | | 8,084 | | | | 11,627 | | | | 5,623 | |
| Credit cards | | | 1,023 | | | | 799 | | | | 1,220 | | | | 1,185 | | | | 1,457 | |
| All other | | | 2,766 | | | | 3,143 | | | | 4,472 | | | | 3,240 | | | | 3,061 | |
| | | | | | | | | | | | | | | | |
| Total Loans and Leases 30-89 days past due, still accruing | | $ | 60,382 | | | $ | 73,782 | | | $ | 130,853 | | | $ | 142,782 | | | $ | 113,615 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Credit Quality Ratios: | | | | | | | | | | | | | | | | | | | | |
| Provision for credit losses to average loans and leases (annualized) | | | 1.84 | % | | | 2.29 | % | | | 2.57 | % | | | 1.78 | % | | | 2.55 | % |
| Allowance for credit losses to net loans and leases | | | 2.11 | % | | | 2.16 | % | | | 2.08 | % | | | 1.95 | % | | | 1.80 | % |
| Allowance for credit losses to non-performing assets | | | 37.31 | % | | | 41.68 | % | | | 54.28 | % | | | 64.04 | % | | | 71.64 | % |
| Allowance for credit losses to non-performing loans and leases | | | 49.93 | % | | | 50.09 | % | | | 66.41 | % | | | 80.15 | % | | | 94.41 | % |
| Non-performing loans and leases to net loans and leases | | | 4.23 | % | | | 4.30 | % | | | 3.13 | % | | | 2.43 | % | | | 1.91 | % |
| Non-performing assets to net loans and leases | | | 5.65 | % | | | 5.17 | % | | | 3.83 | % | | | 3.04 | % | | | 2.51 | % |
-MORE-
BXS Announces Fourth Quarter Results
Page 12
January 27, 2011
BancorpSouth, Inc.
Selected Loan Data
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | | | | | | | | | |
| | | Quarter Ended | |
| | | Dec-10 | | | Sep-10 | | | Jun-10 | | | Mar-10 | | | Dec-09 | |
REAL ESTATE CONSTRUCTION, ACQUISITION AND DEVELOPMENT (“CAD”) PORTFOLIO: | | | | | | | | | | | | | | | | | | | | |
| Outstanding Balance | | | | | | | | | | | | | | | | | | | | |
| Multi-family construction | | $ | 27,992 | | | $ | 28,540 | | | $ | 22,091 | | | $ | 28,598 | | | $ | 25,009 | |
| One-to-four family construction | | | 191,972 | | | | 210,861 | | | | 229,629 | | | | 242,209 | | | | 255,026 | |
| Recreation and all other loans | | | 48,375 | | | | 45,085 | | | | 44,175 | | | | 39,938 | | | | 50,122 | |
| Commercial construction | | | 173,557 | | | | 239,099 | | | | 245,700 | | | | 236,111 | | | | 240,917 | |
| Commercial acquisition and development | | | 250,658 | | | | 260,787 | | | | 270,413 | | | | 280,630 | | | | 282,766 | |
| Residential acquisition and development | | | 455,607 | | | | 522,870 | | | | 569,583 | | | | 601,396 | | | | 605,663 | |
| | | | | | | | | | | | | | | | |
| Total outstanding balance | | $ | 1,148,161 | | | $ | 1,307,242 | | | $ | 1,381,591 | | | $ | 1,428,882 | | | $ | 1,459,503 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Nonaccrual CAD Loans | | | | | | | | | | | | | | | | | | | | |
| Multi-family construction | | $ | 12,517 | | | $ | 10,668 | | | $ | 11,705 | | | $ | 9,071 | | | $ | 9,247 | |
| One-to-four family construction | | | 11,319 | | | | 12,075 | | | | 6,117 | | | | 4,223 | | | | 1,514 | |
| Recreation and all other loans | | | 481 | | | | 1,020 | | | | 685 | | | | — | | | | — | |
| Commercial construction | | | 34,710 | | | | 28,712 | | | | 24,723 | | | | 12,650 | | | | 6,684 | |
| Commercial acquisition and development | | | 29,658 | | | | 34,438 | | | | 15,558 | | | | 463 | | | | 2,527 | |
| Residential acquisition and development | | | 110,387 | | | | 129,673 | | | | 101,041 | | | | 89,783 | | | | 62,198 | |
| | | | | | | | | | | | | | | | |
| Total nonaccrual CAD loans | | | 199,072 | | | | 216,586 | | | | 159,829 | | | | 116,190 | | | | 82,170 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| CAD Loans 90+ Days Past Due, Still Accruing: | | | | | | | | | | | | | | | | | | | | |
| Multi-family construction | | | — | | | | — | | | | — | | | | — | | | | — | |
| One-to-four family construction | | | — | | | | — | | | | 365 | | | | 748 | | | | 1,535 | |
| Recreation and all other loans | | | — | | | | — | | | | — | | | | 146 | | | | 496 | |
| Commercial construction | | | 195 | | | | — | | | | 141 | | | | 16 | | | | — | |
| Commercial acquisition and development | | | — | | | | 150 | | | | 77 | | | | 678 | | | | 4,500 | |
| Residential acquisition and development | | | 2 | | | | 376 | | | | 907 | | | | 1,751 | | | | 6,951 | |
| | | | | | | | | | | | | | | | |
| Total CAD loans 90+ past due, still accruing | | | 197 | | | | 526 | | | | 1,490 | | | | 3,339 | | | | 13,482 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Restructured CAD Loans, Still Accruing | | | | | | | | | | | | | | | | | | | | |
| Multi-family construction | | | — | | | | — | | | | — | | | | — | | | | — | |
| One-to-four family construction | | | 63 | | | | 417 | | | | 1,072 | | | | — | | | | — | |
| Recreation and all other loans | | | — | | | | — | | | | — | | | | — | | | | — | |
| Commercial construction | | | — | | | | 2,244 | | | | — | | | | — | | | | 1,606 | |
| Commercial acquisition and development | | | 604 | | | | 1,735 | | | | 460 | | | | — | | | | — | |
| Residential acquisition and development | | | 1,495 | | | | 7,290 | | | | 946 | | | | 3,234 | | | | — | |
| | | | | | | | | | | | | | | | |
| Total restructured CAD loans, still accruing | | | 2,162 | | | | 11,686 | | | | 2,478 | | | | 3,234 | | | | 1,606 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Total Non-performing CAD loans | | $ | 201,431 | | | $ | 228,798 | | | $ | 163,797 | | | $ | 122,763 | | | $ | 97,258 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| CAD NPL as a % of Outstanding CAD Balance | | | | | | | | | | | | | | | | | | | | |
| Multi-family construction | | | 44.7 | % | | | 37.4 | % | | | 53.0 | % | | | 31.7 | % | | | 37.0 | % |
| One-to-four family construction | | | 5.9 | % | | | 5.9 | % | | | 3.3 | % | | | 2.1 | % | | | 1.2 | % |
| Recreation and all other loans | | | 1.0 | % | | | 2.3 | % | | | 1.6 | % | | | 0.4 | % | | | 1.0 | % |
| Commercial construction | | | 20.1 | % | | | 12.9 | % | | | 10.1 | % | | | 5.4 | % | | | 3.4 | % |
| Commercial acquisition and development | | | 12.1 | % | | | 13.9 | % | | | 6.0 | % | | | 0.4 | % | | | 2.5 | % |
| Residential acquisition and development | | | 24.6 | % | | | 26.3 | % | | | 18.1 | % | | | 15.8 | % | | | 11.4 | % |
| Total CAD NPL as a % of outstanding CAD balance | | | 17.5 | % | | | 17.5 | % | | | 11.9 | % | | | 8.6 | % | | | 6.7 | % |
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BXS Announces Fourth Quarter Results
Page 13
January 27, 2011
BancorpSouth, Inc.
Selected Loan Data
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | | | | | | | | | |
| | | As of | |
| | | Dec-10 | | | Sep-10 | | | Jun-10 | | | Mar-10 | | | Dec-09 | |
| | | | | | | | | | | | | | | | | | | | | |
| Unpaid principal balance of impaired loans | | $ | 345,377 | | | $ | 311,941 | | | $ | 243,221 | | | $ | 209,288 | | | $ | 161,631 | |
| Cumulative charge offs on impaired loans | | | 71,972 | | | | 69,783 | | | | 54,930 | | | | 37,989 | | | | 33,094 | |
| | | | | | | | | | | | | | | | |
| Outstanding balance of impaired loans | | | 273,405 | | | | 242,158 | | | | 188,291 | | | | 171,299 | | | | 128,537 | |
| Other non-accrual loans and leases not impaired | | | 74,094 | | | | 105,023 | | | | 75,467 | | | | 28,338 | | | | 15,476 | |
| | | | | | | | | | | | | | | | |
| Total non-accrual loans and leases | | $ | 347,499 | | | $ | 347,181 | | | $ | 263,758 | | | $ | 199,637 | | | $ | 144,013 | |
| | | | | | | | | | | | | | | | |
| Allowance for impaired loans | | | 40,719 | | | | 43,584 | | | | 40,721 | | | | 30,855 | | | | 22,747 | |
| | | | | | | | | | | | | | | | |
| Nonaccrual loans and leases, net of specific reserves | | $ | 306,780 | | | $ | 303,597 | | | $ | 223,037 | | | $ | 168,782 | | | $ | 121,266 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Loans and leases 90+ past due, still accruing | | | 8,500 | | | | 9,910 | | | | 17,696 | | | | 20,452 | | | | 36,301 | |
| Restructured loans and leases, still accruing | | | 38,376 | | | | 52,325 | | | | 20,813 | | | | 15,576 | | | | 6,161 | |
| | | | | | | | | | | | | | | | |
| Total non-performing loans and leases | | $ | 394,375 | | | $ | 409,416 | | | $ | 302,267 | | | $ | 235,665 | | | $ | 186,475 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Allowance for impaired loans | | | 40,719 | | | | 43,584 | | | | 40,721 | | | | 30,855 | | | | 22,747 | |
| Allowance for all other loans and leases | | | 156,194 | | | | 161,497 | | | | 160,053 | | | | 158,029 | | | | 153,296 | |
| | | | | | | | | | | | | | | | |
| Total Allowance for Credit Losses | | $ | 196,913 | | | $ | 205,081 | | | $ | 200,774 | | | $ | 188,884 | | | $ | 176,043 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Outstanding balance of impaired loans | | $ | 273,405 | | | $ | 242,158 | | | $ | 188,291 | | | $ | 171,299 | | | $ | 128,537 | |
| Allowance for impaired loans | | | 40,719 | | | | 43,584 | | | | 40,721 | | | | 30,855 | | | | 22,747 | |
| | | | | | | | | | | | | | | | |
| Net book value of impaired loans | | $ | 232,686 | | | $ | 198,574 | | | $ | 147,570 | | | $ | 140,444 | | | $ | 105,790 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Net book value of impaired loans as a % of unpaid principal balance | | | 67 | % | | | 64 | % | | | 61 | % | | | 67 | % | | | 65 | % |
| | | | | | | | | | | | | | | | | | | | | |
Coverage of othernon-accrual loans and leasesnot impaired by the allowance for all other loans and leases | | | 211 | % | | | 154 | % | | | 212 | % | | | 558 | % | | | 991 | % |
| | | | | | | | | | | | | | | | | | | | | |
Coverage ofnon-performing loans and leasesnot impaired by the allowance for all other loans and leases | | | 129 | % | | | 97 | % | | | 140 | % | | | 246 | % | | | 265 | % |
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BXS Announces Fourth Quarter Results
Page 14
January 27, 2011
BancorpSouth, Inc.
Noninterest Revenue and Expense
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | | | | | | | | | |
| | | Quarter Ended | |
| | | Dec-10 | | | Sep-10 | | | Jun-10 | | | Mar-10 | | | Dec-09 | |
NONINTEREST REVENUE: | | | | | | | | | | | | | | | | | | | | |
| Mortgage lending | | $ | 18,126 | | | $ | 8,898 | | | $ | (2,304 | ) | | $ | 5,025 | | | $ | 8,602 | |
| Credit card, debit card and merchant fees | | | 9,951 | | | | 9,569 | | | | 9,333 | | | | 8,810 | | | | 7,883 | |
| Service charges | | | 16,854 | | | | 18,621 | | | | 18,953 | | | | 16,262 | | | | 18,689 | |
| Trust income | | | 3,072 | | | | 2,783 | | | | 2,707 | | | | 2,587 | | | | 3,014 | |
| Securities gains (losses), net | | | (470 | ) | | | 2,327 | | | | (585 | ) | | | 1,297 | | | | (102 | ) |
| Insurance commissions | | | 18,013 | | | | 20,825 | | | | 21,666 | | | | 21,668 | | | | 17,583 | |
| Annuity fees | | | 458 | | | | 537 | | | | 698 | | | | 781 | | | | 1,060 | |
| Brokerage commissions and fees | | | 1,436 | | | | 1,340 | | | | 1,419 | | | | 1,317 | | | | 1,390 | |
| Bank-owned life insurance | | | 2,303 | | | | 1,793 | | | | 1,972 | | | | 1,669 | | | | 1,843 | |
| Other miscellaneous income | | | 4,231 | | | | 3,059 | | | | 3,227 | | | | 3,916 | | | | 4,543 | |
| | | | | | | | | | | | | | | | |
| Total noninterest revenue | | $ | 73,974 | | | $ | 69,752 | | | $ | 57,086 | | | $ | 63,332 | | | $ | 64,505 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
NONINTEREST EXPENSE: | | | | | | | | | | | | | | | | | | | | |
| Salaries and employee benefits | | $ | 65,980 | | | $ | 68,232 | | | $ | 68,189 | | | $ | 69,287 | | | $ | 66,926 | |
| Occupancy, net | | | 10,668 | | | | 11,038 | | | | 10,527 | | | | 10,775 | | | | 10,897 | |
| Equipment | | | 5,459 | | | | 5,523 | | | | 5,877 | | | | 5,739 | | | | 5,578 | |
| Deposit insurance assessments | | | 5,895 | | | | 4,752 | | | | 4,362 | | | | 4,250 | | | | 3,786 | |
| Advertising | | | 1,760 | | | | 1,742 | | | | 1,196 | | | | 656 | | | | 1,120 | |
| Foreclosed property expense | | | 6,092 | | | | 4,912 | | | | 3,813 | | | | 3,538 | | | | 6,292 | |
| Telecommunications | | | 2,148 | | | | 2,624 | | | | 2,494 | | | | 2,200 | | | | 2,203 | |
| Public relations | | | 1,361 | | | | 1,423 | | | | 1,656 | | | | 1,648 | | | | 1,304 | |
| Data processing | | | 1,428 | | | | 1,576 | | | | 1,594 | | | | 1,470 | | | | 1,360 | |
| Computer software | | | 1,937 | | | | 1,793 | | | | 1,900 | | | | 1,704 | | | | 1,759 | |
| Amortization of intangibles | | | 950 | | | | 961 | | | | 984 | | | | 1,015 | | | | 1,139 | |
| Legal fees | | | 1,872 | | | | 1,727 | | | | 1,313 | | | | 1,328 | | | | 1,885 | |
| Postage and shipping | | | 1,269 | | | | 1,237 | | | | 1,178 | | | | 1,360 | | | | 1,254 | |
| Other miscellaneous expense | | | 16,628 | | | | 15,547 | | | | 14,933 | | | | 15,513 | | | | 17,858 | |
| | | | | | | | | | | | | | | | |
| Total noninterest expense | | $ | 123,447 | | | $ | 123,087 | | | $ | 120,016 | | | $ | 120,483 | | | $ | 123,361 | |
| | | | | | | | | | | | | | | | |
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BXS Announces Fourth Quarter Results
Page 15
January 27, 2011
BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | |
| | | Quarter Ended | |
| | | December 31, 2010 | |
| | | Average | | | | | | | Yield/ | |
| (Taxable equivalent basis) | | Balance | | | Interest | | | Rate | |
| ASSETS | | | | | | | | | | | | |
| Loans, loans held for sale, and leases net of unearned income | | $ | 9,509,949 | | | $ | 123,491 | | | | 5.15 | % |
| Held-to-maturity securities: | | | | | | | | | | | | |
| Taxable | | | 1,154,939 | | | | 8,600 | | | | 2.95 | % |
| Tax-exempt | | | 281,283 | | | | 4,542 | | | | 6.41 | % |
| Available-for-sale securities: | | | | | | | | | | | | |
| Taxable | | | 923,085 | | | | 7,836 | | | | 3.37 | % |
| Tax-exempt | | | 72,921 | | | | 1,254 | | | | 6.82 | % |
| Short-term investments | | | 568,528 | | | | 391 | | | | 0.27 | % |
| | | | | | | | | | | |
| Total interest earning assets and revenue | | | 12,510,705 | | | | 146,114 | | | | 4.63 | % |
| Other assets | | | 1,263,611 | | | | | | | | | |
| Less: allowance for credit losses | | | (215,278 | ) | | | | | | | | |
| | | | | | | | | | | | |
| Total | | $ | 13,559,038 | | | | | | | | | |
| | | | | | | | | | | | |
| | | | | | | | | | | | | |
| LIABILITIES AND SHAREHOLDERS’ EQUITY | | | | | | | | | | | | |
| Deposits: | | | | | | | | | | | | |
| Demand — interest bearing | | $ | 4,740,734 | | | $ | 7,462 | | | | 0.62 | % |
| Savings | | | 831,805 | | | | 891 | | | | 0.42 | % |
| Other time | | | 3,745,046 | | | | 19,827 | | | | 2.10 | % |
| Short-term borrowings | | | 623,862 | | | | 275 | | | | 0.17 | % |
| Junior subordinated debt | | | 160,312 | | | | 2,864 | | | | 7.09 | % |
| Long-term debt | | | 110,000 | | | | 1,485 | | | | 5.36 | % |
| | | | | | | | | | | |
| Total interest bearing liabilities and expense | | | 10,211,759 | | | | 32,804 | | | | 1.27 | % |
| Demand deposits — noninterest bearing | | | 1,975,318 | | | | | | | | | |
| Other liabilities | | 146,447 | | | | | | | | | |
| Total liabilities | | | 12,333,524 | | | | | | | | | |
| Shareholders’ equity | | 1,225,514 | | | | | | | | | |
| Total | | $ | 13,559,038 | | | | | | | | | |
| | | | | | | | | | | |
| Net interest revenue | | | | | | $ | 113,310 | | | | | |
| | | | | | | | | | | | |
| Net interest margin | | | | | | | | | | | 3.59 | % |
| Net interest rate spread | | | | | | | | | | | 3.36 | % |
| Interest bearing liabilities to interest earning assets | | | | | | | | | | | 81.62 | % |
| | | | | | | | | | | | | |
| Net interest tax equivalent adjustment | | | | | | $ | 3,057 | | | | | |
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BXS Announces Fourth Quarter Results
Page 16
January 27, 2011
BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | |
| | | Quarter Ended | |
| | | September 30, 2010 | |
| | | Average | | | | | | | Yield/ | |
| (Taxable equivalent basis) | | Balance | | | Interest | | | Rate | |
| ASSETS | | | | | | | | | | | | |
| Loans, loans held for sale, and leases net of unearned income | | $ | 9,682,146 | | | $ | 125,211 | | | | 5.13 | % |
| Held-to-maturity securities: | | | | | | | | | | | | |
| Taxable | | | 993,494 | | | | 9,119 | | | | 3.64 | % |
| Tax-exempt | | | 230,182 | | | | 3,975 | | | | 6.85 | % |
| Available-for-sale securities: | | | | | | | | | | | | |
| Taxable | | | 847,942 | | | | 7,782 | | | | 3.64 | % |
| Tax-exempt | | | 69,735 | | | | 1,225 | | | | 6.97 | % |
| Short-term investments | | | 442,927 | | | | 292 | | | | 0.26 | % |
| | | | | | | | | | | |
| Total interest earning assets and revenue | | | 12,266,426 | | | | 147,604 | | | | 4.77 | % |
| Other assets | | | 1,265,657 | | | | | | | | | |
| Less: allowance for credit losses | | | (227,201 | ) | | | | | | | | |
| | | | | | | | | | | | |
| Total | | $ | 13,304,882 | | | | | | | | | |
| | | | | | | | | | | | |
| | | | | | | | | | | | | |
| LIABILITIES AND SHAREHOLDERS’ EQUITY | | | | | | | | | | | | |
| Deposits: | | | | | | | | | | | | |
| Demand — interest bearing | | $ | 4,651,166 | | | $ | 8,582 | | | | 0.73 | % |
| Savings | | | 786,267 | | | | 881 | | | | 0.44 | % |
| Other time | | | 3,829,068 | | | | 21,108 | | | | 2.19 | % |
| Short-term borrowings | | | 483,651 | | | | 257 | | | | 0.21 | % |
| Junior subordinated debt | | | 160,312 | | | | 2,880 | | | | 7.13 | % |
| Long-term debt | | | 110,734 | | | | 1,499 | | | | 5.37 | % |
| | | | | | | | | | | |
| Total interest bearing liabilities and expense | | | 10,021,198 | | | | 35,207 | | | | 1.39 | % |
| Demand deposits — noninterest bearing | | | 1,911,125 | | | | | | | | | |
| Other liabilities | | 143,413 | | | | | | | | | |
| Total liabilities | | | 12,075,736 | | | | | | | | | |
| Shareholders’ equity | | 1,229,146 | | | | | | | | | |
| Total | | $ | 13,304,882 | | | | | | | | | |
| | | | | | | | | | | |
| Net interest revenue | | | | | | $ | 112,397 | | | | | |
| | | | | | | | | | | | |
| Net interest margin | | | | | | | | | | | 3.64 | % |
| Net interest rate spread | | | | | | | | | | | 3.38 | % |
| Interest bearing liabilities to interest earning assets | | | | | | | | | | | 81.70 | % |
| | | | | | | | | | | | | |
| Net interest tax equivalent adjustment | | | | | | $ | 2,719 | | | | | |
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BXS Announces Fourth Quarter Results
Page 17
January 27, 2011
BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | |
| | | Quarter Ended | |
| | | June 30, 2010 | |
| | | Average | | | | | | | Yield/ | |
| (Taxable equivalent basis) | | Balance | | | Interest | | | Rate | |
| ASSETS | | | | | | | | | | | | |
| Loans, loans held for sale, and leases net of unearned income | | $ | 9,763,448 | | | $ | 126,131 | | | | 5.18 | % |
| Held-to-maturity securities: | | | | | | | | | | | | |
| Taxable | | | 939,046 | | | | 9,474 | | | | 4.05 | % |
| Tax-exempt | | | 218,747 | | | | 3,711 | | | | 6.80 | % |
| Available-for-sale securities: | | | | | | | | | | | | |
| Taxable | | | 821,050 | | | | 8,029 | | | | 3.92 | % |
| Tax-exempt | | | 72,440 | | | | 1,281 | | | | 7.09 | % |
| Short-term investments | | | 295,618 | | | | 176 | | | | 0.24 | % |
| | | | | | | | | | | |
| Total interest earning assets and revenue | | | 12,110,349 | | | | 148,802 | | | | 4.93 | % |
| Other assets | | | 1,329,535 | | | | | | | | | |
| Less: allowance for credit losses | | | (216,378 | ) | | | | | | | | |
| | | | | | | | | | | | |
| Total | | $ | 13,223,506 | | | | | | | | | |
| | | | | | | | | | | | |
| | | | | | | | | | | | | |
| LIABILITIES AND SHAREHOLDERS’ EQUITY | | | | | | | | | | | | |
| Deposits: | | | | | | | | | | | | |
| Demand — interest bearing | | $ | 4,635,078 | | | $ | 9,750 | | | | 0.84 | % |
| Savings | | | 770,665 | | | | 915 | | | | 0.48 | % |
| Other time | | | 3,814,314 | | | | 21,536 | | | | 2.26 | % |
| Short-term borrowings | | | 486,350 | | | | 264 | | | | 0.22 | % |
| Junior subordinated debt | | | 160,312 | | | | 2,861 | | | | 7.16 | % |
| Long-term debt | | | 112,731 | | | | 1,506 | | | | 5.36 | % |
| | | | | | | | | | | |
| Total interest bearing liabilities and expense | | | 9,979,450 | | | | 36,832 | | | | 1.48 | % |
| Demand deposits — noninterest bearing | | | 1,855,598 | | | | | | | | | |
| Other liabilities | | 142,672 | | | | | | | | | |
| Total liabilities | | | 11,977,720 | | | | | | | | | |
| Shareholders’ equity | | | 1,245,786 | | | | | | | | | |
| | | | | | | | | | | | |
| Total | | $ | 13,223,506 | | | | | | | | | |
| | | | | | | | | | | |
| Net interest revenue | | | | | | $ | 111,970 | | | | | |
| | | | | | | | | | | | |
| Net interest margin | | | | | | | | | | | 3.71 | % |
| Net interest rate spread | | | | | | | | | | | 3.45 | % |
| Interest bearing liabilities to interest earning assets | | | | | | | | | | | 82.40 | % |
| | | | | | | | | | | | | |
| Net interest tax equivalent adjustment | | | | | | $ | 2,640 | | | | | |
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BXS Announces Fourth Quarter Results
Page 18
January 27, 2011
BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | |
| | | Quarter Ended | |
| | | March 31, 2010 | |
| | | Average | | | | | | | Yield/ | |
| (Taxable equivalent basis) | | Balance | | | Interest | | | Rate | |
| ASSETS | | | | | | | | | | | | |
| Loans, loans held for sale, and leases net of unearned income | | $ | 9,809,884 | | | $ | 128,299 | | | | 5.30 | % |
| Held-to-maturity securities: | | | | | | | | | | | | |
| Taxable | | | 851,525 | | | | 9,525 | | | | 4.54 | % |
| Tax-exempt | | | 215,250 | | | | 3,786 | | | | 7.13 | % |
| Available-for-sale securities: | | | | | | | | | | | | |
| Taxable | | | 859,757 | | | | 8,386 | | | | 3.96 | % |
| Tax-exempt | | | 72,396 | | | | 1,279 | | | | 7.16 | % |
| Short-term investments | | | 170,734 | | | | 103 | | | | 0.24 | % |
| | | | | | | | | | | |
| Total interest earning assets and revenue | | | 11,979,546 | | | | 151,378 | | | | 5.12 | % |
| Other assets | | | 1,340,608 | | | | | | | | | |
| Less: allowance for credit losses | | (192,983 | ) | | | | | | | | |
| Total | | $ | 13,127,171 | | | | | | | | | |
| | | | | | | | | | | | |
| | | | | | | | | | | | | |
| LIABILITIES AND SHAREHOLDERS’ EQUITY | | | | | | | | | | | | |
| Deposits: | | | | | | | | | | | | |
| Demand — interest bearing | | $ | 4,568,045 | | | $ | 9,392 | | | | 0.83 | % |
| Savings | | | 748,342 | | | | 889 | | | | 0.48 | % |
| Other time | | | 3,741,938 | | | | 21,529 | | | | 2.33 | % |
| Short-term borrowings | | | 564,191 | | | | 587 | | | | 0.42 | % |
| Junior subordinated debt | | | 160,312 | | | | 2,855 | | | | 7.22 | % |
| Long-term debt | | | 112,764 | | | | 1,524 | | | | 5.48 | % |
| | | | | | | | | | | |
| Total interest bearing liabilities and expense | | | 9,895,592 | | | | 36,776 | | | | 1.51 | % |
| Demand deposits — noninterest bearing | | | 1,819,945 | | | | | | | | | |
| Other liabilities | | 146,225 | | | | | | | | | |
| Total liabilities | | | 11,861,762 | | | | | | | | | |
| Shareholders’ equity | | 1,265,409 | | | | | | | | | |
| Total | | $ | 13,127,171 | | | | | | | | | |
| | | | | | | | | | | |
| Net interest revenue | | | | | | $ | 114,602 | | | | | |
| | | | | | | | | | | | |
| Net interest margin | | | | | | | | | | | 3.88 | % |
| Net interest rate spread | | | | | | | | | | | 3.62 | % |
| Interest bearing liabilities to interest earning assets | | | | | | | | | | | 82.60 | % |
| | | | | | | | | | | | | |
| Net interest tax equivalent adjustment | | | | | | $ | 2,720 | | | | | |
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BXS Announces Fourth Quarter Results
Page 19
January 27, 2011
BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | |
| | | Quarter Ended | |
| | | December 31, 2009 | |
| | | Average | | | | | | | Yield/ | |
| (Taxable equivalent basis) | | Balance | | | Interest | | | Rate | |
| ASSETS | | | | | | | | | | | | |
| Loans, loans held for sale, and leases net of unearned income | | $ | 9,821,066 | | | $ | 130,671 | | | | 5.28 | % |
| Held-to-maturity securities: | | | | | | | | | | | | |
| Taxable | | | 878,452 | | | | 10,239 | | | | 4.62 | % |
| Tax-exempt | | | 209,242 | | | | 3,682 | | | | 6.98 | % |
| Available-for-sale securities: | | | | | | | | | | | | |
| Taxable | | | 892,191 | | | | 8,676 | | | | 3.86 | % |
| Tax-exempt | | | 72,902 | | | | 1,344 | | | | 7.31 | % |
| Short-term investments | | | 92,651 | | | | 61 | | | | 0.26 | % |
| | | | | | | | | | | |
| Total interest earning assets and revenue | | | 11,966,504 | | | | 154,673 | | | | 5.13 | % |
| Other assets | | | 1,267,510 | | | | | | | | | |
| Less: allowance for credit losses | | (168,842 | ) | | | | | | | | |
| Total | | $ | 13,065,172 | | | | | | | | | |
| | | | | | | | | | | | |
| | | | | | | | | | | | | |
| LIABILITIES AND SHAREHOLDERS’ EQUITY | | | | | | | | | | | | |
| Deposits: | | | | | | | | | | | | |
| Demand — interest bearing | | $ | 4,155,330 | | | $ | 9,023 | | | | 0.86 | % |
| Savings | | | 717,630 | | | | 900 | | | | 0.50 | % |
| Other time | | | 3,748,894 | | | | 23,445 | | | | 2.48 | % |
| Short-term borrowings | | | 713,972 | | | | 405 | | | | 0.23 | % |
| Junior subordinated debt | | | 160,312 | | | | 2,865 | | | | 7.09 | % |
| Long-term debt | | | 303,301 | | | | 3,011 | | | | 3.94 | % |
| | | | | | | | | | | |
| Total interest bearing liabilities and expense | | | 9,799,439 | | | | 39,649 | | | | 1.61 | % |
| Demand deposits — noninterest bearing | | | 1,826,763 | | | | | | | | | |
| Other liabilities | | 171,981 | | | | | | | | | |
| Total liabilities | | | 11,798,183 | | | | | | | | | |
| Shareholders’ equity | | 1,266,989 | | | | | | | | | |
| Total | | $ | 13,065,172 | | | | | | | | | |
| | | | | | | | | | | |
| Net interest revenue | | | | | | $ | 115,024 | | | | | |
| | | | | | | | | | | | |
| Net interest margin | | | | | | | | | | | 3.81 | % |
| Net interest rate spread | | | | | | | | | | | 3.52 | % |
| Interest bearing liabilities to interest earning assets | | | | | | | | | | | 81.89 | % |
| | | | | | | | | | | | | |
| Net interest tax equivalent adjustment | | | | | | $ | 2,677 | | | | | |
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BXS Announces Fourth Quarter Results
Page 20
January 27, 2011
BancorpSouth, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in thousands)
(Unaudited)
Reconciliation of Pre-tax, Pre-Provision Earnings (a):
| | | | | | | | | | | | | |
| | | Quarter Ended | |
| | | December 31, | | | September 30, | | | December 31, | |
| | | 2010 | | | 2010 | | | 2009 | |
| | | | | | | | | | | | | |
| Net income | | $ | 15,846 | | | $ | 11,260 | | | $ | (2,146 | ) |
| Plus: Provision for credit losses | | | 43,293 | | | | 54,850 | | | | 62,271 | |
| Income tax expense (benefit) | | | 1,641 | | | | (9,767 | ) | | | (6,634 | ) |
| | | | | | | | | | |
| Pre-tax, Pre-Provision Earnings | | $ | 60,780 | | | $ | 56,343 | | | $ | 53,491 | |
Reconciliation of Tangible assets and Tangible Shareholders’ Equity to
Total Assets and Total Shareholders’ Equity (b):
| | | | | | | | | |
| | | December 31, | |
| | | 2010 | | | 2009 | |
| | | | | | | | | |
| Tangible assets | | | | | | | | |
| Total assets | | $ | 13,615,010 | | | $ | 13,167,867 | |
| Less: Goodwill | | | 270,097 | | | | 270,097 | |
| Other identifiable intangible assets | | | 19,624 | | | | 23,533 | |
| | | | | | | |
| Total tangible assets | | $ | 13,325,289 | | | $ | 12,874,237 | |
| | | | | | | | | |
| Tangible shareholders’ equity | | | | | | | | |
| Total shareholders’ equity | | $ | 1,222,244 | | | $ | 1,276,296 | |
| Less: Goodwill | | | 270,097 | | | | 270,097 | |
| Other identifiable intangible assets | | | 19,624 | | | | 23,533 | |
| | | | | | | |
| Total tangible shareholders’ equity | | $ | 932,523 | | | $ | 982,666 | |
| | | | | | | | | |
| Tangible shareholders’ equity to tangible assets | | | 7.00 | % | | | 7.63 | % |
| (a) | | BancorpSouth, Inc. utilizes pre-tax, pre-provision earnings as an additional measure when evaluating the performance of the Company. Pre-tax, pre-provision earnings are defined as net income plus provision for credit losses and income tax expense. Management believes pre-tax, pre-provision earnings is important to investors as it shows earnings trends without giving effect to provision for credit losses and taxes. |
| |
| (b) | | BancorpSouth, Inc. utilizes the ratio of tangible assets to tangible shareholders’ equity measures when evaluating the performance of the Company. Tangible shareholders’ equity is defined by the Company as total shareholders’ equity less goodwill and other identifiable intangible assets. Tangible assets are defined by the Company as total assets less goodwill and other identifiable intangible assets. Management believes the ratio of tangible equity to tangible assets is important to investors who are interested in evaluating the adequacy of our capital levels. |
-END-
