Exhibit 99.1
News Release
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Contact: | ||
L. Nash Allen, Jr. | Gary C. Bonds | |
Treasurer and Chief Financial Officer | Senior Vice President and Controller | |
662/680-2330 | 662/680-2332 |
BancorpSouth Reports Fourth Quarter 2006 Earnings of $0.27 per Diluted Share
Earns $1.57 per Diluted Share for Full-Year 2006
TUPELO, Miss., Jan. 18, 2007/PRNewswire-FirstCall via COMTEX/ — BancorpSouth, Inc. (NYSE: BXS) today announced financial results for the fourth quarter and year ended December 31, 2006.
Salient points of the announcement include:
• | Earnings per diluted share for 2006 of $1.57, an increase of 6.8 percent compared with $1.47 for 2005. | ||
• | Growth in net interest revenue of 8.5 percent for 2006 compared with 2005. | ||
• | An increase in the net interest margin for 2006 to 3.70 percent from 3.64 percent for 2005. | ||
• | Continuing high credit quality with an 18.6 percent reduction in non-performing loans and leases at the end of 2006 from the end of 2005. | ||
• | Substantial growth in insurance commission revenues, which increased 15.1 percent for 2006 from 2005 and 19.2 percent for the fourth quarter of 2006 from the fourth quarter of 2005. | ||
• | Additional non-recurring income tax expense for the fourth quarter of 2006 of $6.8 million, or $0.08 per diluted share. | ||
• | The signing of a definitive agreement to acquire City Bancorp, the parent company of The Signature Bank headquartered in Springfield, Missouri, which has assets in excess of $800 million and which, with offices in Springfield and the suburbs of St. Louis, brings BancorpSouth its initial access to strong markets in its eighth contiguous state. The announcement of this agreement complemented the fourth-quarter opening of a loan |
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Box 789• Tupelo, MS 38802-0789• (662) 680-2000
BancorpSouth, Inc.is a financial holding company.
BancorpSouth, Inc.is a financial holding company.
BXS Announces Fourth Quarter Results
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production office in Lafayette, Louisiana and the expansion of BancorpSouth’s insurance operations to a fourth state with the opening of a new office in Mobile, Alabama.
Fourth Quarter 2006 Summary Results
BancorpSouth’s net income was $21.3 million, or $0.27 per diluted share, for the fourth quarter of 2006, compared with $34.8 million, or $0.44 per diluted share, for the fourth quarter of 2005. The Company’s earnings for the fourth quarter of 2006 included a pre-tax negative impact of $4.0 million, or $0.03 per diluted share after tax, related to a decline in value of its mortgage servicing asset while earnings for the fourth quarter of 2005 included a pre-tax negative impact of $1.1 million, or $0.01 per diluted share after tax, as a result of a decline in the value of the mortgage servicing asset. The fourth quarter of 2006 was also negatively impacted by $6.8 million, or $0.08 per diluted share, in additional income tax expense. This non-recurring provision for income taxes is the result of a statutory limitation identified in the fourth quarter of 2006 that prevents the Company from recovering excess income taxes paid in a prior year. In addition, the Company’s earnings for the fourth quarter of 2005 benefited from a pre-tax gain of $6.9 million from insurance proceeds related to Hurricane Katrina and a $2.8 million reduction in the Company’s previous provision for credit losses related to the hurricane. The impact of these two non-recurring items increased earnings for the fourth quarter of 2005 by $0.07 per diluted share.
2006 Summary Results
BancorpSouth’s net income for 2006 was $125.2 million, or $1.57 per diluted share, up from $115.2 million, or $1.47 per diluted share, for 2005. The Company’s earnings for 2006 when compared with 2005 included a net pre-tax negative impact of $2.6 million, or $0.02 per diluted share after tax, related to changes in value of the Company’s mortgage servicing asset and $6.8 million, or $0.08 per diluted share, in additional income tax expense as discussed above.
Commenting on the announcement, Aubrey Patterson, Chairman and Chief Executive Officer of BancorpSouth, said, “BancorpSouth produced profitable results for the fourth quarter of 2006, contributing to our 8.7% earnings growth for the full year. While fourth quarter growth in our traditional banking business did not keep pace with the rest of the year — reflecting a difficult interest rate environment and mixed economic signals — our insurance business produced a fourth consecutive comparable quarter of accelerating revenue growth. We were also pleased with the continued successful implementation of our organic and acquisition expansion strategies, which, as most recently demonstrated by our agreement to acquire The Signature Bank, enhance our Company’s potential for long-term profitable growth and increased shareholder value.”
Net Interest Revenue
Interest revenue for the fourth quarter of 2006 increased 19.6 percent, or $29.4 million, to $179.4 million from $150.0 million for the fourth quarter of 2005 and increased 2.4 percent from $175.2 million for the third quarter of 2006. Interest expense increased 44.0 percent, or $25.4 million,
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BXS Announces Fourth Quarter Results
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to $83.1 million for the fourth quarter of 2006 from $57.7 million for the fourth quarter of 2005 and 5.4 percent from $78.8 million for the third quarter of 2006.
The average taxable equivalent yield on earning assets increased to 6.70 percent for the fourth quarter of 2006 from 5.86 percent for the fourth quarter of 2005 and 6.58 percent for the third quarter of 2006. The average rate paid on interest bearing liabilities was 3.67 percent for the fourth quarter of 2006, compared with 2.69 percent for the fourth quarter of 2005 and 3.49 percent for the third quarter of 2006.
Net interest revenue increased 4.3 percent to $96.3 million for the fourth quarter of 2006 from $92.3 million for the fourth quarter of 2005 and declined 0.2 percent from $96.4 million for the third quarter of 2006. Net interest margin was 3.64 percent for the fourth quarter of 2006 compared with 3.64 percent for the fourth quarter of 2005 and 3.66 percent for the third quarter of 2006.
Patterson continued, “While we experienced a 4.3 percent growth in net interest revenue, our flat net interest margin illustrates the challenge posed by an inverted yield curve to our asset/liability management. With interest rates generally higher for shorter maturities than for longer maturities, the average rate paid on our interest-bearing liabilities rose at a faster pace than the average yield on our earning assets. As a result of our ongoing efforts to manage our balance sheet to reduce our interest rate sensitivity, our fourth quarter net interest margin was the same as the net interest margin for the fourth quarter of 2005 and essentially level with that for the third quarter of 2006. We will continue to implement our asset/liability management strategies throughout the interest rate cycle, focusing on loan growth, careful and competitive pricing of interest-bearing liabilities and maintaining relatively short-term maturities in our investment portfolio.”
Deposit and Loan Activity
Total assets at December 31, 2006 increased 2.2 percent to $12.0 billion from $11.8 billion at December 31, 2005. Total deposits grew 1.1 percent to $9.7 billion at December 31, 2006 from $9.6 billion at December 31, 2005. Loans and leases, net of unearned income, increased 6.9 percent to $7.9 billion at December 31, 2006 from $7.4 billion at December 31, 2005.
Patterson added, “We were pleased with BancorpSouth’s loan growth for the fourth quarter of 2006, a historically slow quarter for us because of the holiday season. Loan demand continued to be driven by many of our higher growth and more urban markets, supporting our positive expectations about the acquisition of The Signature Bank, which, when complete, will take BancorpSouth into both the largest and the third largest markets in Missouri. We also continue to expect significant long-term loan demand from the rebuilding of the Mississippi Gulf Coast, where BancorpSouth remains well positioned to play a significant role in that market in the years ahead.
“Consistent with our experience for the third quarter of 2006, our deposit base continued to be affected by increased interest rates. While we produced a 1.0 percent increase in non-interest
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BXS Announces Fourth Quarter Results
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bearing demand deposits for the fourth quarter of 2006 from the fourth quarter of 2005, interest-bearing demand deposits decreased 3.7 percent and savings and other time deposits increased 4.0 percent over the same periods. This shift was the result of consumers seeking higher yields, as well as our competitive response to the needs of our core customers.”
Provision for Credit Losses and Allowance for Credit Losses
For the fourth quarter of 2006, the provision for credit losses was $6.3 million compared with $2.0 million for the fourth quarter of 2005 and $2.5 million for the third quarter of 2006. Annualized actual net charge-offs were 0.25 percent of average loans and leases for the fourth quarter of 2006 compared with 0.16 percent for the fourth quarter of 2005 and 0.07 percent for the third quarter of 2006.
Non-performing loans and leases decreased 18.6 percent to $23.5 million, or 0.30 percent of loans and leases, at December 31, 2006, from $28.8 million, or 0.39 percent of loans and leases, at December 31, 2005, and decreased 6.5 percent from $25.1 million, or 0.32 percent of loans and leases, at September 30, 2006. The allowance for credit losses was 1.26 percent of loans and leases at December 31, 2006, compared with 1.38 percent of loans and leases at December 31, 2005 and 1.25 percent of loans and leases at September 30, 2006.
“BancorpSouth’s credit quality strengthened during 2006,” said Patterson, “highlighted by the decline in non-performing loans and leases to 0.30 percent of total loans and leases at the end of the year from 0.39 percent at the end of 2005. While we increased our provision for credit losses in the fourth quarter of 2006 in response to increased charge-offs and expansion of our loan portfolio, we completed the year with strong credit reserves. We are confident that high credit quality will continue to be a hallmark of BancorpSouth.”
Noninterest Revenue
Noninterest revenue was $50.5 million for the fourth quarter of 2006 compared with $53.7 million for the fourth quarter of 2005. As previously noted, these results include the impact of a $2.9 million net decline in mortgage revenue related to changes in the value of BancorpSouth’s mortgage servicing asset for the fourth quarter of 2006 compared with the fourth quarter of 2005, as well as the $6.9 million gain in the fourth quarter of 2005 from insurance proceeds related to Hurricane Katrina.
“BancorpSouth’s noninterest revenue performance for the fourth quarter was again driven by the expansion of our insurance operations,” stated Patterson. “Insurance commission revenues increased 19.2 percent for the fourth quarter of 2006 from the fourth quarter of 2005. We attribute this growth primarily to the expansion in our Mississippi and Louisiana insurance operations in the aftermath of Hurricane Katrina. Our long-term commitment to building our market-share on the Gulf Coast was evidenced by the launch of our insurance business in Mobile, Alabama during the fourth quarter, the fourth state in which we now conduct insurance operations.”
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BXS Announces Fourth Quarter Results
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Noninterest Expense
Noninterest expense increased 8.5 percent to $100.1 million for the fourth quarter of 2006 from $92.3 million for the fourth quarter of 2005 and increased 2.5 percent from $98.7 million for the third quarter of 2006. The growth in noninterest expense primarily resulted from additional salaries, employee benefits and occupancy expense associated with the acquisition of American State Bank Corporation in the fourth quarter of 2005, the opening of seven new loan production offices and seven new full-service branch bank offices since the start of the fourth quarter of 2005 and the launch of insurance operations in Mobile, Alabama.
Capital Management
BancorpSouth repurchased 25,000 shares of its common stock during the fourth quarter of 2006. The Company has repurchased 760,500 shares under the stock repurchase plan authorized in April 2005 for the repurchase of up to three million shares. Combined with the shares repurchased under earlier plans, BancorpSouth has repurchased approximately 11.3 million shares of its common stock since its original share repurchase program was initiated in 2001. BancorpSouth will continue to evaluate additional share repurchase opportunities under the April 2005 plan, which authorizes repurchases during a two-year period expiring April 30, 2007.
Summary
Patterson concluded, “For the fourth quarter and full-year 2006, BancorpSouth encountered many of the challenges and opportunities we face in 2007 and beyond. As an interest-rate spread dependent financial institution, we must continue our disciplined approach in our asset/liability management strategies, always cognizant and responsive to our customers’ needs. In addition, we will continue to pursue profitable growth in both existing and new markets. As evidenced by our full-service and loan production office openings in 2006, as well as the expansion of our insurance business in Alabama, we remain focused on leveraging organic growth opportunities in existing and contiguous markets. We also have the ability to compliment this strategy through acquisitions that contribute to our long-term operating and financial goals.
“As a result, we have entered 2007 with confidence in both BancorpSouth’s market position and the resources we have to leverage the opportunities our market strength provides. We remain committed to our business model of providing our retail and small-to-midsize customers with high quality, community style service, backed by the sophisticated products and services of a large, integrated financial institution. We will also continue to manage our operations based on conservative policies and principles. We expect this proven approach will enable BancorpSouth to fulfill its potential for long-term profitable growth, which, combined with our share repurchase and dividend programs, will continue to build shareholder value.”
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Conference Call
BancorpSouth will conduct a conference call to discuss its fourth quarter and 2006 results tomorrow, January 19, 2007, 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 the implementation of our asset/liability management strategies, long-term loan demand from the rebuilding of the Mississippi Gulf Coast, our high credit quality, repurchases under our common stock repurchase plan, our ability to pursue profitable growth in existing and new markets, our ability to manage our operations based on conservative policies and principles, our ability to fulfill our potential for long-term profitable growth and our ability to build shareholder value.
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, the rate of economic recovery in the region affected by Hurricane Katrina, changes in economic conditions and government fiscal and monetary policies, fluctuations in prevailing interest rates and the ability of BancorpSouth to manage its assets and liabilities to limit exposure to changing interest rates, the ability of BancorpSouth to increase noninterest revenue and expand noninterest revenue business, the ability of BancorpSouth to maintain credit quality, changes in laws and regulations affecting financial service companies in general, the ability of BancorpSouth to compete with other financial services companies, the ability of BancorpSouth to provide and market competitive services and products, changes in BancorpSouth’s operating or expansion strategy, geographic concentration of BancorpSouth’s assets, the ability of BancorpSouth to manage its growth and effectively serve an expanding customer and market base, the ability of BancorpSouth to achieve profitable growth and increase shareholder value, the ability of BancorpSouth to attract, train and retain qualified personnel, the ability of BancorpSouth to repurchase its common stock on favorable terms, the ability of BancorpSouth to identify, close and effectively integrate potential acquisitions, the ability of BancorpSouth to expand geographically and enter growing markets, changes in consumer preferences, 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.
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BancorpSouth, Inc. is a financial holding company headquartered in Tupelo, Mississippi with approximately $12.0 billion in assets. BancorpSouth Bank, a wholly-owned subsidiary of BancorpSouth, Inc., operates approximately 283 commercial banking, mortgage, insurance, trust and broker/dealer locations in Alabama, Arkansas, Florida, Louisiana, Mississippi, Tennessee and Texas.
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BancorpSouth, Inc.
Selected Financial Data
Selected Financial Data
Three Months Ended | Twelve Months Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2006 | 2005 | 2006 | 2005 | |||||||||||||
(Dollars in thousands, except per share amounts) | ||||||||||||||||
Earnings Summary: | ||||||||||||||||
Net interest revenue | $ | 96,251 | $ | 92,270 | $ | 385,799 | $ | 355,557 | ||||||||
Provision for credit losses | 6,325 | 1,975 | 8,577 | 24,467 | ||||||||||||
Noninterest revenue | 50,490 | 53,708 | 206,094 | 198,812 | ||||||||||||
Noninterest expense | 100,141 | 92,326 | 393,154 | 362,102 | ||||||||||||
Income before income taxes | 40,275 | 51,677 | 190,162 | 167,800 | ||||||||||||
Income tax provision | 18,952 | 16,871 | 64,968 | 52,601 | ||||||||||||
Net income | $ | 21,323 | $ | 34,806 | $ | 125,194 | $ | 115,199 | ||||||||
Earning per share: Basic | $ | 0.27 | $ | 0.44 | $ | 1.58 | $ | 1.47 | ||||||||
Diluted | $ | 0.27 | $ | 0.44 | $ | 1.57 | $ | 1.47 | ||||||||
Balance sheet data at December 31: | ||||||||||||||||
Total assets | $ | 12,038,807 | $ | 11,768,674 | ||||||||||||
Total earning assets | 10,879,587 | 10,622,578 | ||||||||||||||
Loans and leases, net of unearned income | 7,871,471 | 7,365,555 | ||||||||||||||
Allowance for credit losses | 98,834 | 101,500 | ||||||||||||||
Total deposits | 9,710,578 | 9,607,258 | ||||||||||||||
Common shareholders’ equity | 1,022,538 | 977,166 | ||||||||||||||
Book value per share | 12.93 | 12.33 | ||||||||||||||
Average balance sheet data: | ||||||||||||||||
Total assets | $ | 11,854,667 | $ | 11,312,104 | $ | 11,798,007 | $ | 10,968,874 | ||||||||
Total earning assets | 10,771,897 | 10,314,889 | 10,712,327 | 10,023,974 | ||||||||||||
Loans and leases, net of unearned income | 7,797,381 | 7,165,025 | 7,579,935 | 7,026,009 | ||||||||||||
Total deposits | 9,479,773 | 9,336,366 | 9,554,441 | 9,110,411 | ||||||||||||
Common shareholders’ equity | 1,013,082 | 959,680 | 999,989 | 934,563 | ||||||||||||
Non-performing assets at December 31: | ||||||||||||||||
Non-accrual loans and leases | $ | 6,603 | $ | 8,816 | ||||||||||||
Loans and leases 90+ days past due | 15,282 | 17,744 | ||||||||||||||
Restructured loans and leases | 1,571 | 2,239 | ||||||||||||||
Other real estate owned | 10,463 | 15,947 | ||||||||||||||
Net charge-offs as a percentage of average loans (annualized) | 0.25 | % | 0.16 | % | 0.15 | % | 0.23 | % | ||||||||
Performance ratios (annualized): | ||||||||||||||||
Return on average assets | 0.71 | % | 1.22 | % | 1.06 | % | 1.05 | % | ||||||||
Return on common equity | 8.35 | % | 14.38 | % | 12.52 | % | 12.33 | % | ||||||||
Net interest margin | 3.64 | % | 3.64 | % | 3.70 | % | 3.64 | % | ||||||||
Average shares outstanding — basic | 79,098,187 | 78,415,796 | 79,140,379 | 78,266,018 | ||||||||||||
Average shares outstanding — diluted | 79,513,993 | 78,707,893 | 79,542,734 | 78,596,899 |
BancorpSouth, Inc.
Consolidated Balance Sheet
(Unaudited)
Consolidated Balance Sheet
(Unaudited)
December 31, | ||||||||||||
% | ||||||||||||
2006 | 2005 | Change | ||||||||||
(Dollars in thousands) | ||||||||||||
Assets | ||||||||||||
Cash and due from banks | $ | 444,033 | $ | 461,659 | (3.82 | %) | ||||||
Interest bearing deposits with other banks | 7,418 | 6,809 | 8.94 | % | ||||||||
Held-to-maturity securities, at amortized cost | 1,723,420 | 1,412,529 | 22.01 | % | ||||||||
Available-for-sale securities, at fair value | 1,041,999 | 1,353,882 | (23.04 | %) | ||||||||
Federal funds sold and securities purchased under agreement to resell | 145,957 | 409,531 | (64.36 | %) | ||||||||
Loans and leases | 7,917,523 | 7,401,212 | 6.98 | % | ||||||||
Less: Unearned income | 46,052 | 35,657 | 29.15 | % | ||||||||
Allowance for credit losses | 98,834 | 101,500 | (2.63 | %) | ||||||||
Net loans and leases | 7,772,637 | 7,264,055 | 7.00 | % | ||||||||
Loans held for sale | 89,323 | 74,271 | 20.27 | % | ||||||||
Premises and equipment, net | 287,215 | 261,172 | 9.97 | % | ||||||||
Accrued interest receivable | 89,090 | 78,730 | 13.16 | % | ||||||||
Goodwill | 143,718 | 138,754 | 3.58 | % | ||||||||
Other assets | 293,997 | 307,282 | (4.32 | %) | ||||||||
Total Assets | $ | 12,038,807 | $ | 11,768,674 | 2.30 | % | ||||||
Liabilities | ||||||||||||
Deposits: | ||||||||||||
Demand: Noninterest bearing | $ | 1,817,223 | $ | 1,798,892 | 1.02 | % | ||||||
Interest bearing | 2,856,295 | 2,965,057 | (3.67 | %) | ||||||||
Savings | 715,587 | 729,279 | (1.88 | %) | ||||||||
Other time | 4,321,473 | 4,114,030 | 5.04 | % | ||||||||
Total deposits | 9,710,578 | 9,607,258 | 1.08 | % | ||||||||
Federal funds purchased and securities sold under agreement to repurchase | 672,438 | 748,139 | (10.12 | %) | ||||||||
Other short-term borrowings | 200,000 | 2,000 | N/A | |||||||||
Accrued interest payable | 36,270 | 24,435 | 48.43 | % | ||||||||
Junior subordinated debt securities | 144,847 | 144,847 | 0.00 | % | ||||||||
Long-term debt | 135,707 | 137,228 | (1.11 | %) | ||||||||
Other liabilities | 116,429 | 127,601 | (8.76 | %) | ||||||||
Total Liabilities | 11,016,269 | 10,791,508 | 2.08 | % | ||||||||
Shareholders’ Equity | ||||||||||||
Common stock | 197,774 | 198,093 | (0.16 | %) | ||||||||
Capital surplus | 113,723 | 108,961 | 4.37 | % | ||||||||
Accumulated other comprehensive income (loss) | (28,789 | ) | (16,233 | ) | 77.35 | % | ||||||
Retained earnings | 739,830 | 686,345 | 7.79 | % | ||||||||
Total Shareholders’ Equity | 1,022,538 | 977,166 | 4.64 | % | ||||||||
Total Liabilities & Shareholders’ Equity | $ | 12,038,807 | $ | 11,768,674 | 2.30 | % | ||||||
BancorpSouth, Inc.
Consolidated Statements of Income
(In thousands, except per share data)
(Unaudited)
Consolidated Statements of Income
(In thousands, except per share data)
(Unaudited)
Quarter Ended | Year To Date | |||||||||||||||||||||||||||
Dec 2006 | Sept 2006 | Jun 2006 | Mar 2006 | Dec 2005 | Dec 2006 | Dec 2005 | ||||||||||||||||||||||
INTEREST REVENUE: | ||||||||||||||||||||||||||||
Loans and leases | $ | 147,784 | $ | 143,712 | $ | 134,569 | $ | 127,200 | $ | 121,243 | $ | 553,265 | $ | 450,722 | ||||||||||||||
Deposits with other banks | 217 | 295 | 176 | 141 | 177 | 829 | 593 | |||||||||||||||||||||
Federal funds sold and securities purchased under agreement to resell | 635 | 609 | 976 | 2,846 | 3,052 | 5,066 | 4,701 | |||||||||||||||||||||
Held-to-maturity securities: | ||||||||||||||||||||||||||||
Taxable | 16,532 | 16,107 | 16,048 | 14,323 | 10,461 | 63,010 | 38,839 | |||||||||||||||||||||
Tax-exempt | 2,012 | 2,017 | 2,077 | 1,887 | 1,696 | 7,993 | 6,518 | |||||||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||||||||||
Taxable | 9,653 | 10,405 | 11,389 | 10,904 | 11,048 | 42,351 | 49,319 | |||||||||||||||||||||
Tax-exempt | 1,170 | 1,215 | 1,276 | 1,363 | 1,400 | 5,024 | 6,049 | |||||||||||||||||||||
Loans held for sale | 1,366 | 878 | 871 | 1,238 | 920 | 4,353 | 3,195 | |||||||||||||||||||||
Total interest revenue | 179,369 | 175,238 | 167,382 | 159,902 | 149,997 | 681,891 | 559,936 | |||||||||||||||||||||
INTEREST EXPENSE: | ||||||||||||||||||||||||||||
Deposits | 66,973 | 62,964 | 57,430 | 53,133 | 47,970 | 240,500 | 171,097 | |||||||||||||||||||||
Federal funds purchased and securities sold under agreement to repurchase | 8,940 | 8,498 | 6,549 | 5,902 | 4,896 | 29,889 | 13,339 | |||||||||||||||||||||
Other | 7,205 | 7,378 | 6,182 | 4,938 | 4,861 | 25,703 | 19,943 | |||||||||||||||||||||
Total interest expense | 83,118 | 78,840 | 70,161 | 63,973 | 57,727 | 296,092 | 204,379 | |||||||||||||||||||||
Net interest revenue | 96,251 | 96,398 | 97,221 | 95,929 | 92,270 | 385,799 | 355,557 | |||||||||||||||||||||
Provision for credit losses | 6,325 | 2,526 | 3,586 | (3,860 | ) | 1,975 | 8,577 | 24,467 | ||||||||||||||||||||
Net interest revenue, after provision for credit losses | 89,926 | 93,872 | 93,635 | 99,789 | 90,295 | 377,222 | 331,090 | |||||||||||||||||||||
NONINTEREST REVENUE: | ||||||||||||||||||||||||||||
Mortgage lending | (820 | ) | 41 | 3,720 | 3,176 | 2,191 | 6,117 | 9,573 | ||||||||||||||||||||
Service charges | 17,343 | 17,354 | 17,489 | 15,450 | 15,852 | 67,636 | 62,849 | |||||||||||||||||||||
Trust income | 3,703 | 2,344 | 2,325 | 2,016 | 2,412 | 10,388 | 8,466 | |||||||||||||||||||||
Security gains, net | 4 | 9 | 17 | 10 | 11 | 40 | 472 | |||||||||||||||||||||
Insurance commissions | 17,175 | 17,556 | 16,411 | 17,445 | 14,411 | 68,587 | 59,598 | |||||||||||||||||||||
Other | 13,085 | 11,930 | 13,638 | 14,673 | 18,831 | 53,326 | 57,854 | |||||||||||||||||||||
Total noninterest revenue | 50,490 | 49,234 | 53,600 | 52,770 | 53,708 | 206,094 | 198,812 | |||||||||||||||||||||
NONINTEREST EXPENSES: | ||||||||||||||||||||||||||||
Salaries and employee benefits | 60,178 | 58,453 | 58,376 | 57,573 | 53,959 | 234,580 | 211,950 | |||||||||||||||||||||
Occupancy, net of rental income | 8,173 | 8,598 | 7,759 | 7,442 | 7,133 | 31,972 | 27,137 | |||||||||||||||||||||
Equipment | 5,941 | 5,896 | 5,822 | 5,763 | 5,592 | 23,422 | 22,179 | |||||||||||||||||||||
Other | 25,849 | 25,714 | 26,387 | 25,230 | 25,642 | 103,180 | 100,836 | |||||||||||||||||||||
Total noninterest expenses | 100,141 | 98,661 | 98,344 | 96,008 | 92,326 | 393,154 | 362,102 | |||||||||||||||||||||
Income before income taxes | 40,275 | 44,445 | 48,891 | 56,551 | 51,677 | 190,162 | 167,800 | |||||||||||||||||||||
Income tax expense | 18,952 | 13,818 | 13,392 | 18,806 | 16,871 | 64,968 | 52,601 | |||||||||||||||||||||
Net income | $ | 21,323 | $ | 30,627 | $ | 35,499 | $ | 37,745 | $ | 34,806 | $ | 125,194 | $ | 115,199 | ||||||||||||||
Net income per share: Basic | $ | 0.27 | $ | 0.39 | $ | 0.45 | $ | 0.48 | $ | 0.44 | $ | 1.58 | $ | 1.47 | ||||||||||||||
Diluted | $ | 0.27 | $ | 0.38 | $ | 0.45 | $ | 0.47 | $ | 0.44 | $ | 1.57 | $ | 1.47 | ||||||||||||||
BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
Quarter Ended | ||||||||||||
December 31, 2006 | ||||||||||||
Average | Yield/ | |||||||||||
(Taxable equivalent basis) | Balance | Interest | Rate | |||||||||
ASSETS | ||||||||||||
Loans, loans held for sale, and leases net of unearned income | $ | 7,876,801 | $ | 149,992 | 7.55 | % | ||||||
Held-to-maturity securities: | ||||||||||||
Taxable | 1,533,105 | 16,532 | 4.28 | % | ||||||||
Tax-exempt | 185,158 | 3,096 | 6.63 | % | ||||||||
Available-for-sale securities: | ||||||||||||
Taxable | 1,018,403 | 9,653 | 3.76 | % | ||||||||
Tax-exempt | 98,101 | 1,800 | 7.28 | % | ||||||||
Short-term investments | 60,329 | 853 | 5.61 | % | ||||||||
Total interest earning assets and revenue | 10,771,897 | 181,926 | 6.70 | % | ||||||||
Other assets | 1,182,664 | |||||||||||
Less: allowance for credit losses | (99,894 | ) | ||||||||||
Total | $ | 11,854,667 | ||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||
Deposits: | ||||||||||||
Demand — interest bearing | $ | 2,765,276 | $ | 16,228 | 2.33 | % | ||||||
Savings | 718,623 | 2,160 | 1.19 | % | ||||||||
Other time | 4,292,368 | 48,585 | 4.49 | % | ||||||||
Short-term borrowings | 925,273 | 11,197 | 4.80 | % | ||||||||
Junior subordinated debt | 144,847 | 2,965 | 8.12 | % | ||||||||
Long-term debt | 135,838 | 1,983 | 5.79 | % | ||||||||
Total interest bearing liabilities and expense | 8,982,225 | 83,118 | 3.67 | % | ||||||||
Demand deposits - noninterest bearing | 1,703,506 | |||||||||||
Other liabilities | 155,854 | |||||||||||
Total liabilities | 10,841,585 | |||||||||||
Shareholders’ equity | 1,013,082 | |||||||||||
Total | $ | 11,854,667 | ||||||||||
Net interest revenue | $ | 98,808 | ||||||||||
Net interest margin | 3.64 | % | ||||||||||
Net interest rate spread | 3.03 | % | ||||||||||
Interest bearing liabilities to interest earning assets | 83.39 | % | ||||||||||
Net interest tax equivalent adjustment | $ | 2,557 |
BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
Quarter Ended | ||||||||||||
December 31, 2005 | ||||||||||||
Average | Yield/ | |||||||||||
(Taxable equivalent basis) | Balance | Interest | Rate | |||||||||
ASSETS | ||||||||||||
Loans, loans held for sale, and leases net of unearned income | $ | 7,242,759 | $ | 122,802 | 6.73 | % | ||||||
Held-to-maturity securities: | ||||||||||||
Taxable | 1,180,429 | 10,462 | 3.52 | % | ||||||||
Tax-exempt | 154,869 | 2,609 | 6.68 | % | ||||||||
Available-for-sale securities: | ||||||||||||
Taxable | 1,303,933 | 11,048 | 3.36 | % | ||||||||
Tax-exempt | 120,821 | 2,154 | 7.07 | % | ||||||||
Short-term investments | 312,078 | 3,227 | 4.10 | % | ||||||||
Total interest earning assets and revenue | 10,314,889 | 152,302 | 5.86 | % | ||||||||
Other assets | 1,099,623 | |||||||||||
Less: allowance for credit losses | (102,408 | ) | ||||||||||
Total | $ | 11,312,104 | ||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||
Deposits: | ||||||||||||
Demand — interest bearing | $ | 2,888,641 | $ | 11,697 | 1.61 | % | ||||||
Savings | 722,108 | 1,451 | 0.80 | % | ||||||||
Other time | 4,029,764 | 34,822 | 3.43 | % | ||||||||
Short-term borrowings | 601,703 | 4,915 | 3.24 | % | ||||||||
Junior subordinated debt | 140,403 | 2,835 | 8.01 | % | ||||||||
Long-term debt | 137,353 | 2,008 | 5.80 | % | ||||||||
Total interest bearing liabilities and expense | 8,519,972 | 57,728 | 2.69 | % | ||||||||
Demand deposits - noninterest bearing | 1,695,853 | |||||||||||
Other liabilities | 136,599 | |||||||||||
Total liabilities | 10,352,424 | |||||||||||
Shareholders’ equity | 959,680 | |||||||||||
Total | $ | 11,312,104 | ||||||||||
Net interest revenue | $ | 94,574 | ||||||||||
Net interest margin | 3.64 | % | ||||||||||
Net interest rate spread | 3.17 | % | ||||||||||
Interest bearing liabilities to interest earning assets | 82.60 | % | ||||||||||
Net interest tax equivalent adjustment | $ | 2,305 |
BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
Year to Date | ||||||||||||
December 31, 2006 | ||||||||||||
Average | Yield/ | |||||||||||
(Taxable equivalent basis) | Balance | Interest | Rate | |||||||||
ASSETS | ||||||||||||
Loans, loans held for sale, and leases net of unearned income | $ | 7,647,131 | $ | 560,673 | 7.33 | % | ||||||
Held-to-maturity securities: | ||||||||||||
Taxable | 1,517,430 | 63,010 | 4.15 | % | ||||||||
Tax-exempt | 183,986 | 12,297 | 6.68 | % | ||||||||
Available-for-sale securities: | ||||||||||||
Taxable | 1,135,506 | 42,351 | 3.73 | % | ||||||||
Tax-exempt | 106,635 | 7,730 | 7.25 | % | ||||||||
Short-term investments | 121,639 | 5,895 | 4.85 | % | ||||||||
Total interest earning assets and revenue | 10,712,327 | 691,956 | 6.46 | % | ||||||||
Other assets | 1,184,497 | |||||||||||
Less: allowance for credit losses | (98,817 | ) | ||||||||||
Total | $ | 11,798,007 | ||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||
Deposits: | ||||||||||||
Demand — interest bearing | $ | 2,886,030 | $ | 60,145 | 2.08 | % | ||||||
Savings | 744,106 | 7,987 | 1.07 | % | ||||||||
Other time | 4,211,371 | 172,368 | 4.09 | % | ||||||||
Short-term borrowings | 807,860 | 35,835 | 4.44 | % | ||||||||
Junior subordinated debt | 144,847 | 11,791 | 8.14 | % | ||||||||
Long-term debt | 136,411 | 7,966 | 5.84 | % | ||||||||
Total interest bearing liabilities and expense | 8,930,625 | 296,092 | 3.32 | % | ||||||||
Demand deposits - noninterest bearing | 1,712,934 | |||||||||||
Other liabilities | 154,460 | |||||||||||
Total liabilities | 10,798,018 | |||||||||||
Shareholders’ equity | 999,989 | |||||||||||
Total | $ | 11,798,007 | ||||||||||
Net interest revenue | $ | 395,864 | ||||||||||
Net interest margin | 3.70 | % | ||||||||||
Net interest rate spread | 3.14 | % | ||||||||||
Interest bearing liabilities to interest earning assets | 83.37 | % | ||||||||||
Net interest tax equivalent adjustment | $ | 10,065 |
BancorpSouth, Inc.
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
Average Balances, Interest Income and Expense,
and Average Yields and Rates
(Dollars in thousands)
(Unaudited)
Year to Date | ||||||||||||
December 31, 2005 | ||||||||||||
Average | Yield/ | |||||||||||
(Taxable equivalent basis) | Balance | Interest | Rate | |||||||||
ASSETS | ||||||||||||
Loans, loans held for sale, and leases net of unearned income | $ | 7,098,300 | $ | 456,289 | 6.43 | % | ||||||
Held-to-maturity securities: | ||||||||||||
Taxable | 1,100,432 | 38,839 | 3.53 | % | ||||||||
Tax-exempt | 143,679 | 10,027 | 6.98 | % | ||||||||
Available-for-sale securities: | ||||||||||||
Taxable | 1,412,600 | 49,319 | 3.49 | % | ||||||||
Tax-exempt | 129,519 | 9,307 | 7.19 | % | ||||||||
Short-term investments | 139,444 | 5,294 | 3.80 | % | ||||||||
Total interest earning assets and revenue | 10,023,974 | 569,075 | 5.68 | % | ||||||||
Other assets | 1,040,527 | |||||||||||
Less: allowance for credit losses | (95,627 | ) | ||||||||||
Total | $ | 10,968,874 | ||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||
Deposits: | ||||||||||||
Demand — interest bearing | $ | 2,849,199 | $ | 38,947 | 1.37 | % | ||||||
Savings | 738,555 | 5,967 | 0.81 | % | ||||||||
Other time | 3,998,864 | 126,183 | 3.16 | % | ||||||||
Short-term borrowings | 526,274 | 14,080 | 2.68 | % | ||||||||
Junior subordinated debt | 138,714 | 11,142 | 8.03 | % | ||||||||
Long-term debt | 137,902 | 8,060 | 5.84 | % | ||||||||
Total interest bearing liabilities and expense | 8,389,508 | 204,379 | 2.44 | % | ||||||||
Demand deposits - noninterest bearing | 1,523,793 | |||||||||||
Other liabilities | 121,010 | |||||||||||
Total liabilities | 10,034,311 | |||||||||||
Shareholders’ equity | 934,563 | |||||||||||
Total | $ | 10,968,874 | ||||||||||
Net interest revenue | $ | 364,696 | ||||||||||
Net interest margin | 3.64 | % | ||||||||||
Net interest rate spread | 3.24 | % | ||||||||||
Interest bearing liabilities to interest earning assets | 83.69 | % | ||||||||||
Net interest tax equivalent adjustment | $ | 9,139 |