Exhibit 99.1
| | | | |
| | | | | News Release |
 | | First Midwest Bancorp, Inc. | | First Midwest Bancorp, Inc. One Pierce Place, Suite 1500 Itasca, Illinois 60143 (630) 875-7450 |
| | | | |
FOR IMMEDIATE RELEASE | | CONTACT: | | Paul F. Clemens |
| | | | Chief Financial Officer |
| | | | (630) 875-7347 |
| | | | | | |
| | TRADED: | | NASDAQ Global Select Market | | www.firstmidwest.com |
| | SYMBOL: | | FMBI | | |
FIRST MIDWEST BANCORP, INC. ANNOUNCES
FIRST QUARTER 2009 EARNINGS PER SHARE OF $0.07, UP FROM ($0.57) LOSS PER
SHARE FOR FOURTH QUARTER 2008
Stable Core Operations – Improved Capital Ratios – Higher Loan Loss Reserves
First Quarter 2009 Operating Performance
| | • | | After tax earnings of $3.2 million and diluted EPS of $0.07, as compared to diluted LPS of ($0.57) for fourth quarter 2008 and EPS of $0.51 for first quarter 2008. |
| | • | | Pre-tax earnings, excluding provision expense and net securities gains, improved 6.3% from first quarter 2008. |
| | • | | Net interest margin of 3.67% up 14 basis points versus 3.53% for first quarter 2008 and down 4 basis points from 3.71% for fourth quarter 2008. |
| | • | | Efficiency ratio improved to 52.3% compared to 54.0% for first quarter 2008 and 59.1% for fourth quarter 2008. |
Capital, Credit, and Other
| | • | | Tangible common equity and Tier 1 regulatory capital ratios of 5.36% and 11.85%, respectively, increased from year-end 2008. |
| | • | | Loan loss reserves increased to 2.15% of total loans as compared to 1.75% at December 31, 2008, with first quarter 2009 provision exceeding charge offs by $22 million. |
| | • | | Non-performing loans, including loans past due 90 days, increased to 4.80% of total loans compared to 3.21% at December 31, 2008. |
| | • | | Net securities gains realized of $8.2 million; tax benefits recognized of $4.0 million. |
ITASCA, IL, APRIL 22, 2009 – First Midwest Bancorp, Inc. (the “Company” or “First Midwest”)(NASDAQ NGS: FMBI), the holding company of First Midwest Bank, today reported results of operations and financial condition for first quarter 2009. Net income available to common shareholders was $3.2 million for first quarter 2009, or $0.07 per share, compared to a net loss of $27.6
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million, or ($0.57) per share, for fourth quarter 2008 and net income of $25.0 million, or $0.51 per share, for first quarter 2008. Return on average assets was 0.15% for first quarter 2009 as compared to (1.31%) and 1.25% for fourth quarter and first quarter 2008, respectively. Return on average common equity was 1.78% for first quarter 2009 as compared to (13.92%) and 13.75% for fourth quarter and first quarter 2008, respectively.
In announcing these results, Michael L. Scudder, the Company’s President and Chief Executive Officer said, “Our first quarter operating results reflect both the impact of current economic conditions on our credit costs as well as the implementation of planned initiatives designed to respond to those conditions. Operating performance for the quarter, excluding credit costs, was up from a year ago as we profited from stronger interest margins, the stability of our core funding base, targeted loan growth and lower operating expenses. During the quarter, we made the difficult decision to reduce our dividend and took advantage of improvement in the debt security markets to reduce the size of our securities portfolio. In combination, these actions helped further our objective of enhancing our tangible capital position as well as improve our overall liquidity.”
Mr. Scudder further commented, “Non-performing asset levels are elevated from year-end as we work through a longer and more challenging remediation cycle for real estate and construction-related credits. Recognizing this, and reflective of current conditions, we have increased our level of loan loss provisioning, bringing our level of reserves to 2.15% of total loans, 1.7 times the level existent a year ago.
“Our solid capital base and ability to generate strong core earnings continue to serve as an advantage as we navigate the difficulties of the current credit cycle. This advantage enables First Midwest to continue to meet the financial needs of our customers and communities and leaves us and our shareholders better positioned to benefit as conditions improve.”
Operating Performance
The Company recorded a loss before taxes of $3.8 million for first quarter 2009, as compared to income of $30.1 million for first quarter 2008, with the difference largely due to higher provision for loan losses. Provision for loan losses for first quarter 2009 was $48.4 million as contrasted to $9.1 million for first quarter 2008. Excluding the provision for loan losses and net securities gains from each period, income before taxes was $36.4 million for first quarter 2009 and $34.2 million for first quarter 2008.
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Total loans as of March 31, 2009 were $5.39 billion, up 2.0% annualized compared to fourth quarter 2008, with the increase reflecting net growth in commercial and industrial loans as well as commercial real estate lending offset by a decline in outstanding loans for residential land and development. Total average deposits for first quarter 2009 were $5.51 billion, compared to $5.64 billion for fourth quarter 2008, a 1.76% decline largely reflective of normal seasonality.
Tax equivalent net interest margin was 3.67% for first quarter 2009, down 4 basis points from fourth quarter 2008 and up 14 basis points from first quarter 2008. Over the past 4 quarters, the yield on average earning assets declined 117 basis points while the cost of funds declined 150 basis points.
Fee-based revenues were $20.1 million for first quarter 2009, a decline of approximately $3.0 million, compared to both fourth quarter and first quarter 2008. This decrease largely stems from reduced consumer spending and the impact on overdraft fees as well as card-based fees. Further, trust and investment advisory fees declined 16% as compared to first quarter 2008, resulting from the adverse impact of lower asset values on revenues.
In comparison to first quarter 2008, bank-owned life insurance income declined $1.9 million for first quarter 2009. In the current environment, management elected to accept lower market returns in order to reduce its risk to market volatility through investment in shorter-duration, lower yielding money market instruments.
For first quarter 2009, noninterest expense declined by $0.9 million, or 1.9%, compared to first quarter 2008, largely due to a decline in salaries and benefits expense of $2.9 million and reflective of a 4% decline in full time equivalent employees. This reduction substantially offset a $2.1 million increase in FDIC insurance premiums and a $1.4 million increase in legal and operating costs associated with credit remediation and foreclosed real estate. Overall, the efficiency ratio improved to 52.3% for first quarter 2009, compared to 59.1% for fourth quarter 2008 and 54.0% for first quarter 2008.
Credit Remediation
Non-performing loans as of March 31, 2009 were $258.5 million compared to $172.1 million at December 31, 2008, with residential land and development loans comprising 50% of the March 31, 2009 total. Non-accrual loans at March 31, 2009 totaled $183.5 million compared to $127.8 million at December 31, 2008, while loans 90 days past due and still accruing totaled $73.9 million, up from $37.0 million at December 31, 2008. Restructured loans totaled $1.1 million at March 31, 2009, a decline of $6.3 million from December 31, 2008.
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As of March 31, 2009, loans 30-89 days past due totaled $54.3 million, a decline of $61.9 million from December 31, 2008. The decline reflects the benefits derived from expanded resources focused on the early remediation of potential problem loans as well as the migration of certain loans to other problem categories.
Foreclosed real estate was $39.0 million as of March 31, 2009 as compared to $24.4 million as of December 31, 2008. All properties are recorded at current appraised values, less estimated selling costs.
As of March 31, 2009, the Company increased its reserve for loan losses to $116.0 million, up $22.1 million from December 31, 2008 and $51.2 million from March 31, 2008. The reserve for loan losses represented 2.15% of total loans outstanding at March 31, 2009, compared to 1.75% at December 31, 2008 and 1.28% at March 31, 2008. Net charge offs totaled $26.3 million during first quarter 2009, compared to $18.3 million in fourth quarter 2008 and $6.1 million in first quarter 2008. The provision for loan losses for first quarter 2009 was $48.4 million, compared to $42.4 million and $9.1 million for fourth quarter 2008 and first quarter 2008, respectively.
Securities Portfolio
Net securities gains were $8.2 million for first quarter 2009, compared to a net securities loss of $34.2 million for fourth quarter 2008 and a net securities gain of $5.0 million for first quarter 2008. During first quarter 2009, the Company took advantage of opportunities in the market to sell $323.5 million of mortgage-backed and municipal securities for a gain of $11.1 million. This was partially offset by impairment charges totaling $2.9 million associated with two trust-preferred collateralized debt obligations (“CDOs”). Management elected early adoption of Financial Accounting Standards Board (“FASB”) Staff Position (“FSP”) FAS 115-2 and FAS 124-2,Recognition and Presentation of Other-Than-Temporary Impairments. As a consequence, estimated credit losses were recognized on these two CDOs during the quarter, and a cumulative adjustment of $11.3 million was recorded to retained earnings, representing the estimated liquidity components of previously recorded other-than-temporary impairments associated with its CDOs.
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Income Taxes
In first quarter 2009, the Company increased the amount of benefit recognized with respect to certain previously identified uncertain tax positions under FASB Interpretation No. 48,Accounting for Uncertainty in Income Taxes, an interpretation of FASB Statement No. 109, Accounting for Income Taxes (“FIN 48”) as a result of certain developments in pending tax audits. The increase in recognized tax benefit resulted in a $4.0 million reduction in income tax expense in first quarter 2009.
Capital Management
Regulatory and tangible common equity ratios were improved in comparison to December 31, 2008, with such improvement driven by retention of earnings and a decline in total assets, with the decline primarily due to a reduction in the size of the investment securities portfolio. All regulatory mandated ratios for characterization as “well capitalized” were significantly exceeded as of March 31, 2009:
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| | | March 31,
2009 | | | December 31,
2008 | | | Minimum
“Well-
Capitalized”
Level | | | Excess Over
Required
Minimums at
March 31,
2009 |
| | | | | | | | | | | | (Amounts in millions) |
Regulatory capital ratios: | | | | | | | | | | | | | | | |
Tier 1 Risk Based | | 11.85 | % | | 11.60 | % | | 6.00 | % | | 98 | % | | $ | 386 |
| | | | | |
Total Risk Based Capital | | 14.62 | % | | 14.36 | % | | 10.00 | % | | 46 | % | | $ | 305 |
| | | | | |
Tier 1 Leverage Capital | | 9.60 | % | | 9.41 | % | | 5.00 | % | | 92 | % | | $ | 375 |
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Regulatory capital ratios, excluding preferred equity: | | | | | | | | | | | | | | | |
Tier 1 Risk Based | | 8.93 | % | | 8.68 | % | | 6.00 | % | | 49 | % | | $ | 193 |
| | | | | |
Total Risk Based Capital | | 11.70 | % | | 11.44 | % | | 10.00 | % | | 17 | % | | $ | 112 |
| | | | | |
Tier 1 Leverage Capital | | 7.23 | % | | 7.04 | % | | 5.00 | % | | 45 | % | | $ | 182 |
| | | | | |
Tangible common equity ratios: | | | | | | | | | | | | | | | |
Tangible Common Equity | | 5.36 | % | | 5.23 | % | | N/A | | | N/A | | | | N/A |
| | | | | |
Tangible Common Equity, excluding OCI | | 5.83 | % | | 5.45 | % | | N/A | | | N/A | | | | N/A |
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On March 16, 2009, the Company announced, in an effort to build capital during this period of economic uncertainty, a reduction in its quarterly common stock dividend from $0.225 per share to $0.010 per share. This dividend action will enable the retention of approximately $42 million in capital over the course of a year.
The Board of Directors reviews the Company’s capital plan each quarter, giving cognizance to the current and expected operating environment as well as an evaluation of various capital alternatives. Consistent with its dividend history, First Midwest would look to return to a more normalized dividend level as circumstances permit.
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About the Company
First Midwest is the premier relationship-based banking franchise in the growing Chicagoland banking market. As one of the Chicago metropolitan area’s largest independent bank holding companies, First Midwest provides the full range of both business and retail banking and trust and investment management services through some 100 offices located in 62 communities, primarily in metropolitan Chicago. First Midwest was recently recognized by the Alfred P. Sloan awards for Business Excellence in Workforce Flexibility in the greater Chicago Area.
Safe Harbor Statement
This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are not historical facts but instead represent only the Company’s beliefs regarding future events, many of which, by their nature, are inherently uncertain and outside of the Company’s control. It is possible that actual results and the Company’s financial condition may differ, possibly materially, from the anticipated results and financial condition indicated in these forward-looking statements. For a discussion of some of the risks and important factors that could affect the Company’s future results, see “Risk Factors” in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2008 and other reports filed with the Securities and Exchange Commission. Forward-looking statements represent management’s best judgment as of the date hereof based on currently available information. Except as required by law, the Company undertakes no duty to update the contents of this press release after the date hereof.
Conference Call
A conference call to discuss the Company’s results, outlook and related matters will be held on Wednesday, April 22, 2009 at 10:00 a.m. (ET). Members of the public who would like to listen to the conference call should dial 1-866-713-8395 (U.S. domestic) or 1-617-597-5309 (international) and enter passcode number 697 31 099. The number should be dialed at least 10 minutes prior to the start of the conference call. The conference call will also be accessible as an audio webcast through the Investor Relations section of the Company’s website, www.firstmidwest.com/aboutinvestor_overview.asp. There is no charge to access the call. For those unable to listen to the live broadcast, a replay will be available on the Company’s website or by dialing 1-888-286-8010 (U.S. domestic) or 1-617-801-6888 (international) passcode number 172 71 558, beginning approximately one hour after the event through 11:59 pm (ET) on April 29, 2009. Please direct any questions regarding obtaining access to the conference call to First Midwest Bancorp, Inc. Investor Relations, via e-mail, at investor.relations@firstmidwest.com.
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Accompanying Financial Statements and Tables
Accompanying this press release is the following unaudited financial information:
| • | | Operating Highlights, Balance Sheet Highlights, Stock Performance Data, and Capital Ratios (1 page) |
| • | | Condensed Consolidated Statements of Condition (1 page) |
| • | | Condensed Consolidated Statements of Income (1 page) |
| • | | Loan Portfolio Composition (1 page) |
Press Release and Additional Information Available on Website
This press release, the accompanying financial statements and tables, and certain additional unauditedSelected Financial Information(totaling 3 pages) are available through the “Investor Relations” section of First Midwest’s website atwww.firstmidwest.com.
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| | |
| First Midwest Bancorp, Inc. | | Press Release Dated April 22, 2009 |
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| Operating Highlights | | | | | | | | | |
| Unaudited | | Quarters Ended | |
| (Amounts in thousands except per share data) | | March 31, 2009 | | | December 31, 2008 | | | March 31, 2008 | |
Net income (loss) | | $ | 5,727 | | | $ | (26,890 | ) | | $ | 25,038 | |
Net income (loss) applicable to common shares | | | 3,155 | | | | (27,568 | ) | | | 24,979 | |
Diluted earnings per share | | $ | 0.07 | | | $ | (0.57 | ) | | $ | 0.51 | |
Return on average equity | | | 1.78 | % | | | (13.92 | )% | | | 13.75 | % |
Return on average assets | | | 0.15 | % | | | (1.31 | )% | | | 1.25 | % |
Net interest margin | | | 3.67 | % | | | 3.71 | % | | | 3.53 | % |
Efficiency ratio | | | 52.33 | % | | | 59.06 | % | | | 54.02 | % |
Balance Sheet Highlights | | | |
| Unaudited | | As Of | |
| (Dollar amounts in thousands except per share data) | | March 31, 2009 | | | December 31, 2008 | | | March 31, 2008 | |
Total assets | | $ | 8,252,576 | | | $ | 8,528,341 | | | $ | 8,315,368 | |
Total loans | | | 5,387,128 | | | | 5,360,063 | | | | 5,045,765 | |
Total deposits | | | 5,508,382 | | | | 5,585,754 | | | | 5,721,562 | |
Total stockholders’ equity | | | 903,612 | | | | 908,279 | | | | 737,927 | |
Common stockholders’ equity | | | 710,612 | | | | 715,949 | | | | 737,927 | |
Book value per common share | | $ | 14.61 | | | $ | 14.72 | | | $ | 15.20 | |
Period end common shares outstanding | | | 48,628 | | | | 48,630 | | | | 48,561 | |
Capital Ratios | | | |
| Unaudited | | As Of | |
| | | March 31, 2009 | | | December 31, 2008 | | | March 31, 2008 | |
Regulatory capital ratios: | | | | | | | | | | | | |
Total capital to risk-weighted assets | | | 14.62 | % | | | 14.36 | % | | | 11.63 | % |
Tier 1 capital to risk-weighted assets | | | 11.85 | % | | | 11.60 | % | | | 9.08 | % |
Tier 1 leverage to average assets | | | 9.60 | % | | | 9.41 | % | | | 7.51 | % |
| | | |
Regulatory capital ratios, excluding preferred equity: | | | | | | | | | | | | |
Total capital to risk-weighted assets | | | 11.70 | % | | | 11.44 | % | | | 11.63 | % |
Tier 1 capital to risk-weighted assets | | | 8.93 | % | | | 8.68 | % | | | 9.08 | % |
Tier 1 leverage to average assets | | | 7.23 | % | | | 7.04 | % | | | 7.51 | % |
| | | |
Tangible common equity ratios: | | | | | | | | | | | | |
Tangible common equity to tangible assets | | | 5.36 | % | | | 5.23 | % | | | 5.62 | % |
Tangible common equity, excluding other comprehensive loss, to tangible assets | | | 5.83 | % | | | 5.45 | % | | | 5.73 | % |
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| First Midwest Bancorp, Inc. | | Press Release Dated April 22, 2009 |
Condensed Consolidated Statements of Condition
| | | | | | | | |
| Unaudited | | March 31, | |
| (Amounts in thousands) | �� | 2009 | | | 2008 | |
Assets | | | | | | | | |
Cash and due from banks | | $ | 103,586 | | | $ | 171,037 | |
Funds sold and other short-term investments | | | 3,741 | | | | 1,808 | |
Trading account securities | | | 10,885 | | | | 17,305 | |
Securities available-for-sale | | | 1,901,919 | | | | 2,100,602 | |
Securities held to maturity, at amortized cost | | | 81,566 | | | | 95,651 | |
Federal Home Loan Bank and Federal Reserve Bank stock, at cost | | | 54,768 | | | | 54,767 | |
Loans | | | 5,387,128 | | | | 5,045,765 | |
Reserve for loan losses | | | (116,001 | ) | | | (64,780 | ) |
| | | | | | | | |
| | |
Net loans | | | 5,271,127 | | | | 4,980,985 | |
| | | | | | | | |
Foreclosed real estate | | | 38,984 | | | | 8,607 | |
Premises, furniture, and equipment | | | 117,880 | | | | 123,257 | |
Investment in bank owned life insurance | | | 199,070 | | | | 203,987 | |
Goodwill and other intangible assets | | | 283,570 | | | | 287,141 | |
Accrued interest receivable and other assets | | | 185,480 | | | | 270,221 | |
| | | | | | | | |
| | |
Total assets | | $ | 8,252,576 | | | $ | 8,315,368 | |
| | | | | | | | |
| | |
Liabilities and Stockholders’ Equity | | | | | | | | |
| | |
Deposits | | | | | | | | |
Transactional deposits | | $ | 3,522,289 | | | $ | 3,562,499 | |
Time deposits | | | 1,943,076 | | | | 2,131,759 | |
Brokered deposits | | | 43,017 | | | | 27,304 | |
| | | | | | | | |
| | |
Total deposits | | | 5,508,382 | | | | 5,721,562 | |
Borrowed funds | | | 1,535,752 | | | | 1,413,726 | |
Subordinated debt | | | 232,375 | | | | 232,509 | |
Accrued interest payable and other liabilities | | | 72,455 | | | | 209,644 | |
| | | | | | | | |
| | |
Total liabilities | | | 7,348,964 | | | | 7,577,441 | |
| | | | | | | | |
Preferred stock | | | 189,768 | | | | — | |
Common stock | | | 613 | | | | 613 | |
Additional paid-in capital | | | 211,325 | | | | 206,011 | |
Retained earnings | | | 851,339 | | | | 854,931 | |
Accumulated other comprehensive (loss) | | | (37,470 | ) | | | (9,333 | ) |
Treasury stock, at cost | | | (311,963 | ) | | | (314,295 | ) |
| | | | | | | | |
| | |
Total stockholders’ equity | | | 903,612 | | | | 737,927 | |
| | | | | | | | |
| | |
Total liabilities and stockholders’ equity | | $ | 8,252,576 | | | $ | 8,315,368 | |
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| | |
| First Midwest Bancorp, Inc. | | Press Release Dated April 22, 2009 |
Condensed Consolidated Statements of Income
| | | | | | | | | | | | |
| Unaudited | | Quarters Ended | |
| (Amounts in thousands except per share data) | | March 31,
2009 | | | December 31,
2008 | | | March 31,
2008 | |
Interest Income | | | | | | | | | | | | |
Loans | | $ | 65,447 | | | $ | 71,849 | | | $ | 81,334 | |
Securities | | | 26,030 | | | | 26,024 | | | | 27,120 | |
Other | | | 3 | | | | 60 | | | | 21 | |
| | | | | | | | | | | | |
Total interest income | | | 91,480 | | | | 97,933 | | | | 108,475 | |
| | | | | | | | | | | | |
Interest Expense | | | | | | | | | | | | |
Deposits | | | 18,927 | | | | 22,802 | | | | 34,210 | |
Borrowed funds | | | 4,632 | | | | 6,416 | | | | 12,076 | |
Subordinated debt | | | 3,702 | | | | 3,702 | | | | 3,689 | |
| | | | | | | | | | | | |
Total interest expense | | | 27,261 | | | | 32,920 | | | | 49,975 | |
| | | | | | | | | | | | |
Net interest income | | | 64,219 | | | | 65,013 | | | | 58,500 | |
Provision for loan losses | | | 48,410 | | | | 42,385 | | | | 9,060 | |
| | | | | | | | | | | | |
Net interest income after provision for loan losses | | | 15,809 | | | | 22,628 | | | | 49,440 | |
| | | | | | | | | | | | |
Noninterest Income | | | | | | | | | | | | |
Service charges on deposit accounts | | | 9,044 | | | | 11,206 | | | | 10,422 | |
Trust and investment management fees | | | 3,329 | | | | 3,420 | | | | 3,947 | |
Other service charges, commissions, and fees | | | 4,006 | | | | 4,554 | | | | 5,002 | |
Card-based fees | | | 3,755 | | | | 8,868 | | | | 3,898 | |
Subtotal, fee-based revenues | | | 20,134 | | | | 23,048 | | | | 23,269 | |
Bank owned life insurance income | | | 541 | | | | (8,858 | ) | | | 2,462 | |
Securities gains (losses), net | | | 8,222 | | | | (34,215 | ) | | | 4,968 | |
Other | | | (126 | ) | | | (2,104 | ) | | | (680 | ) |
| | | | | | | | | | | | |
Total noninterest income | | | 28,771 | | | | (22,129 | ) | | | 30,019 | |
| | | | | | | | | | | | |
Noninterest Expense | | | | | | | | | | | | |
Salaries and employee benefits | | | 23,311 | | | | 20,356 | | | | 26,190 | |
Net occupancy expense | | | 6,506 | | | | 5,967 | | | | 6,151 | |
Equipment expense | | | 2,331 | | | | 2,454 | | | | 2,567 | |
Technology and related costs | | | 2,240 | | | | 1,848 | | | | 1,771 | |
Other | | | 14,006 | | | | 15,956 | | | | 12,664 | |
| | | | | | | | | | | | |
Total noninterest expense | | | 48,394 | | | | 46,581 | | | | 49,343 | |
| | | | | | | | | | | | |
(Loss) income before taxes | | | (3,814 | ) | | | (46,082 | ) | | | 30,116 | |
Income tax (benefit) expense | | | (9,541 | ) | | | (19,192 | ) | | | 5,078 | |
| | | | | | | | | | | | |
Net Income (Loss) | | | 5,727 | | | | (26,890 | ) | | | 25,038 | |
Preferred dividends | | | (2,563 | ) | | | (712 | ) | | | — | |
Net income applicable to non-vested restricted shares | | | (9 | ) | | | 33 | | | | (59 | ) |
| | | | | | | | | | | | |
Net Income (Loss) Applicable to Common Shares | | $ | 3,155 | | | $ | (27,568 | ) | | $ | 24,979 | |
| | | | | | | | | | | | |
Diluted Earnings Per Share | | $ | 0.07 | | | | (0.57 | ) | | $ | 0.51 | |
Dividends Declared Per Share | | $ | 0.010 | | | | 0.225 | | | $ | 0.310 | |
Weighted Average Diluted Shares Outstanding | | | 48,493 | | | | 48,508 | | | | 48,537 | |
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| First Midwest Bancorp, Inc. | | Press Release Dated April 22, 2009 |
| | | | | | | | | | | | | | | | | | |
| Unaudited | | As Of | | Percent Change
From | |
| (Dollar amounts in thousands) | | 3/31/09 | | % of
Total | | | 12/31/08 | | 3/31/08 | | 12/31/08 | | | 3/31/08 | |
Loan Portfolio Composition | | | | | | | | | | | | | | | | | | |
Commercial and industrial | | $ | 1,508,175 | | 28.0 | % | | $ | 1,490,101 | | $ | 1,396,665 | | 1.2 | % | | 8.0 | % |
Agricultural | | | 141,190 | | 2.6 | % | | | 142,635 | | | 200,614 | | (1.0 | )% | | (29.6 | )% |
Commercial real estate: | | | | | | | | | | | | | | | | | | |
Office, retail, and industrial | | | 1,211,844 | | 22.5 | % | | | 1,127,689 | | | 1,020,403 | | 7.5 | % | | 18.8 | % |
Residential land and development | | | 466,195 | | 8.7 | % | | | 509,059 | | | 515,052 | | (8.4 | )% | | (9.5 | )% |
Multifamily | | | 257,039 | | 4.8 | % | | | 237,646 | | | 188,474 | | 8.2 | % | | 36.4 | % |
Other commercial real estate | | | 1,073,483 | | 19.9 | % | | | 1,106,952 | | | 952,622 | | (3.0 | )% | | 12.7 | % |
| | | | | | | | | | | | | | | | | | |
Total commercial real estate | | | 3,008,561 | | 55.9 | % | | | 2,981,346 | | | 2,676,551 | | 0.9 | % | | 12.4 | % |
| | | | | | | | | | | | | | | | | | |
Consumer: | | | | | | | | | | | | | | | | | | |
Home equity | | | 480,283 | | 8.9 | % | | | 477,105 | | | 459,068 | | 0.7 | % | | 4.6 | % |
Real estate 1-4 family | | | 185,486 | | 3.4 | % | | | 198,197 | | | 224,895 | | (6.4 | )% | | (17.5 | )% |
Other consumer | | | 63,433 | | 1.2 | % | | | 70,679 | | | 87,972 | | (10.3 | )% | | (27.9 | )% |
| | | | | | | | | | | | | | | | | | |
Total consumer | | | 729,202 | | 13.5 | % | | | 745,981 | | | 771,935 | | (2.2 | )% | | (5.5 | )% |
| | | | | | | | | | | | | | | | | | |
Total loans | | $ | 5,387,128 | | 100.0 | % | | $ | 5,360,063 | | $ | 5,045,765 | | 0.5 | % | | 6.8 | % |
| | | | | | | | | | | | | | | | | | |
| | | | | | |
Commercial Real Estate Detail Office, Retail, and Industrial | | | | | | | | | | | | | | | | | | |
Office | | $ | 404,857 | | 33.4 | % | | $ | 373,272 | | $ | 326,107 | | 8.5 | % | | 24.1 | % |
Retail | | | 338,858 | | 28.0 | % | | | 313,286 | | | 279,612 | | 8.2 | % | | 21.2 | % |
Industrial | | | 468,129 | | 38.6 | % | | | 441,131 | | | 414,684 | | 6.1 | % | | 12.9 | % |
| | | | | | | | | | | | | | | | | | |
Total office, retail, and industrial | | $ | 1,211,844 | | 100.0 | % | | $ | 1,127,689 | | $ | 1,020,403 | | 7.5 | % | | 18.8 | % |
| | | | | | | | | | | | | | | | | | |
| | | | | | |
Residential Land and Development | | | | | | | | | | | | | | | | | | |
Structures | | $ | 143,497 | | 30.8 | % | | $ | 185,929 | | $ | 209,146 | | (22.8 | )% | | (31.4 | )% |
Land | | | 322,698 | | 69.2 | % | | | 323,130 | | | 305,906 | | (0.1 | )% | | 5.5 | % |
| | | | | | | | | | | | | | | | | | |
Total residential land and development | | $ | 466,195 | | 100.0 | % | | $ | 509,059 | | $ | 515,052 | | (8.4 | )% | | (9.5 | )% |
| | | | | | | | | | | | | | | | | | |
| | | | | | |
Other Commercial Real Estate | | | | | | | | | | | | | | | | | | |
Commercial land | | $ | 258,869 | | 24.1 | % | | $ | 280,120 | | $ | 260,502 | | (7.6 | )% | | (0.6 | )% |
1-4 family investors | | | 189,901 | | 17.7 | % | | | 193,227 | | | 169,768 | | (1.7 | )% | | 11.9 | % |
Service stations and truck stops | | | 145,571 | | 13.6 | % | | | 146,891 | | | 117,592 | | (0.9 | )% | | 23.8 | % |
Warehouses and storage | | | 89,541 | | 8.3 | % | | | 85,276 | | | 71,921 | | 5.0 | % | | 24.5 | % |
Hotels | | | 80,365 | | 7.5 | % | | | 79,186 | | | 59,199 | | 1.5 | % | | 35.8 | % |
Restaurants | | | 49,897 | | 4.6 | % | | | 48,106 | | | 48,147 | | 3.7 | % | | 3.6 | % |
Medical | | | 37,929 | | 3.5 | % | | | 42,269 | | | 42,912 | | (10.3 | )% | | (11.6 | )% |
Automobile dealers | | | 37,627 | | 3.5 | % | | | 38,505 | | | 30,934 | | (2.3 | )% | | 21.6 | % |
Mobile home parks | | | 21,559 | | 2.0 | % | | | 36,790 | | | 23,481 | | (41.4 | )% | | (8.2 | )% |
Recreational | | | 12,587 | | 1.2 | % | | | 14,515 | | | 16,348 | | (13.3 | )% | | (23.0 | )% |
Religious | | | 11,121 | | 1.0 | % | | | 11,224 | | | 11,291 | | (0.9 | )% | | (1.5 | )% |
Other | | | 138,516 | | 12.9 | % | | | 130,843 | | | 100,527 | | 5.9 | % | | 37.8 | % |
| | | | | | | | | | | | | | | | | | |
Total other commercial real estate | | $ | 1,073,483 | | 100.0 | % | | $ | 1,106,952 | | $ | 952,622 | | (3.0 | )% | | 12.7 | % |
| | | | | | | | | | | | | | | | | | |
12
| | |
| First Midwest Bancorp, Inc. | | Press Release Dated April 22, 2009 |
| | | | | | | | | | | | | | | | | | |
| Unaudited | | As Of | |
| (Dollar amounts in thousands) | | 3/31/09 | | | % of Loan
Category | | | % of Total | | | 12/31/08 | | | 3/31/08 | |
Asset Quality | | | | | | | | | | | | | | | | | | |
Non-accrual loans: | | | | | | | | | | | | | | | | | | |
Commercial and industrial | | $ | 33,245 | | | 2.20 | % | | 19.8 | % | | $ | 15,586 | | | $ | 6,770 | |
Office, retail, and industrial | | | 12,769 | | | 1.05 | % | | 4.6 | % | | | 2,533 | | | | 730 | |
Residential land and development | | | 107,766 | | | 23.12 | % | | 61.9 | % | | | 97,060 | | | | 4,081 | |
Multi-family | | | 6,989 | | | 2.72 | % | | 4.2 | % | | | 1,387 | | | | 1,361 | |
Other commercial real estate | | | 16,025 | | | 1.49 | % | | 5.5 | % | | | 6,926 | | | | 255 | |
Consumer | | | 6,747 | | | 0.93 | % | | 4.0 | % | | | 4,276 | | | | 3,876 | |
| | | | | | | | | | | | | | | | | | |
| | | | | |
Total non-accrual loans | | | 183,541 | | | 3.41 | % | | 100.0 | % | | | 127,768 | | | | 17,073 | |
| | | | | | | | | | | | | | | | | | |
| | | | | |
Restructured loans | | | 1,063 | | | | | | | | | | 7,344 | | | | 1,942 | |
| | | | | |
90 days past due loans (still accruing interest): | | | | | | | | | | | | | | | | | | |
Commercial and industrial | | | 16,208 | | | 1.07 | % | | 18.1 | % | | $ | 6,818 | | | $ | 3,926 | |
Agricultural | | | 1,751 | | | 1.24 | % | | 1.9 | % | | | 1,751 | | | | — | |
Office, retail, and industrial | | | 12,719 | | | 1.05 | % | | 19.8 | % | | | 3,214 | | | | — | |
Residential land and development | | | 20,593 | | | 4.42 | % | | 27.3 | % | | | 8,489 | | | | 17,438 | |
Multi-family | | | 3,356 | | | 1.31 | % | | 3.7 | % | | | 1,881 | | | | 2,332 | |
Other commercial real estate | | | 8,900 | | | 0.83 | % | | 17.6 | % | | | 6,586 | | | | 2,451 | |
Consumer | | | 10,402 | | | 1.43 | % | | 11.6 | % | | | 8,260 | | | | 5,150 | |
| | | | | | | | | | | | | | | | | | |
| | | | | |
Total 90 days past due loans | | | 73,929 | | | 1.37 | % | | 100.0 | % | | | 36,999 | | | | 31,297 | |
| | | | | | | | | | | | | | | | | | |
| | | | | |
Total non-performing loans | | $ | 258,533 | | | | | | | | | $ | 172,111 | | | $ | 50,252 | |
| | | | | | | | | | | | | | | | | | |
| | | | | |
Foreclosed real estate | | $ | 38,984 | | | | | | | | | | 24,368 | | | | 8,607 | |
30-89 days past due loans | | $ | 54,311 | | | 1.01 | % | | 100.0 | % | | $ | 116,206 | | | $ | 185,186 | |
Reserve for loan losses | | $ | 116,001 | | | — | | | — | | | $ | 93,869 | | | $ | 64,780 | |
| | | | | |
Asset Quality Ratios | | | | | | | | | | | | | | | | | | |
Non-accrual loans to loans | | | 3.41 | % | | — | | | — | | | | 2.38 | % | | | 0.33 | % |
Non-performing loans to loans | | | 4.80 | % | | — | | | — | | | | 3.21 | % | | | 0.96 | % |
Reserve for loan losses to loans | | | 2.15 | % | | — | | | — | | | | 1.75 | % | | | 1.24 | % |
Reserve for loan losses to non-accrual loans | | | 63 | % | | — | | | — | | | | 73 | % | | | 379 | % |
Reserve for loan losses to non-performing loans | | | 45 | % | | — | | | — | | | | 55 | % | | | 129 | % |
| | | | | | | | | | | | | | | | | | |
| | | | | |
| (Dollar amounts in thousands) | | 3/31/09 | | | % of Loan
Category | | | % of Total | | | 12/31/08 | | | 3/31/08 | |
Charge-off Data | | | | | | | | | | | | | | | | | | |
Net loans charged-off: | | | | | | | | | | | | | | | | | | |
Commercial and industrial | | $ | 12,093 | | | 0.80 | % | | 46.0 | % | | $ | 5,601 | | | $ | 3,188 | |
Office, retail, and industrial | | | 878 | | | 0.07 | % | | 3.3 | % | | | 699 | | | | — | |
Residential land and development | | | 10,719 | | | 2.30 | % | | 40.8 | % | | | 9,227 | | | | 559 | |
Multifamily | | | 43 | | | 0.02 | % | | 0.2 | % | | | 164 | | | | 842 | |
Other commercial real estate | | | 69 | | | 0.01 | % | | 0.3 | % | | | 397 | | | | 673 | |
Consumer | | | 2,476 | | | 0.34 | % | | 9.4 | % | | | 2,239 | | | | 818 | |
| | | | | | | | | | | | | | | | | | |
Total net loans charged-off | | $ | 26,278 | | | 1.98 | % | | 100.0 | % | | $ | 18,327 | | | $ | 6,080 | |
| | | | | | | | | | | | | | | | | | |
Net loan charge-offs to average loans (annualized): | | | | | | | | | | | | | | | | | | |
Quarter-to-date | | | 1.98 | % | | — | | | — | | | | 1.38 | % | | | 0.49 | % |
Year-to-date | | | 1.98 | % | | — | | | — | | | | 0.74 | % | | | 0.49 | % |
13
| | |
| First Midwest Bancorp, Inc. | | Press Release Dated April 22, 2009 |
Securities Available-For-Sale
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Unaudited | | U.S.
Treasury | | Collateralized
Mortgage
Obligations | | | Other
Mortgage
Backed | | | State
and
Municipal | | | Collateralized
Debt
Obligations | | | Other | | | Total | |
As of March 31, 2009 | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Amortized cost | | $ | 122 | | $ | 598,367 | | | $ | 344,503 | | | $ | 861,547 | | | $ | 75,922 | | | $ | 56,612 | | | $ | 1,937,073 | |
| | | | | | | |
Gross unrealized gains (losses): | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gross unrealized gains | | | — | | | 14,094 | | | | 11,575 | | | | 9,136 | | | | — | | | | 104 | | | | 34,909 | |
Gross unrealized losses | | | — | | | (3,120 | ) | | | (24 | ) | | | (16,134 | ) | | | (41,395 | ) | | | (9,390 | ) | | | (70,063 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net unrealized gains (losses) | | | — | | | 10,974 | | | | 11,551 | | | | (6,998 | ) | | | (41,395 | ) | | | (9,286 | ) | | | (35,154 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fair value | | $ | 122 | | $ | 609,341 | | | $ | 356,054 | | | $ | 854,549 | | | $ | 34,527 | | | $ | 47,326 | | | $ | 1,901,919 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
As of December 31, 2008 | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Amortized cost | | $ | 1,039 | | $ | 694,285 | | | $ | 504,918 | | | $ | 907,036 | | | $ | 78,883 | | | $ | 51,820 | | | $ | 2,237,981 | |
| | | | | | | |
Gross unrealized gains (losses): | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gross unrealized gains | | | 2 | | | 7,668 | | | | 13,421 | | | | 12,606 | | | | — | | | | 213 | | | | 33,910 | |
Gross unrealized losses | | | — | | | (3,114 | ) | | | (74 | ) | | | (12,895 | ) | | | (36,797 | ) | | | (2,825 | ) | | | (55,705 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net unrealized gains (losses) | | | 2 | | | 4,554 | | | | 13,347 | | | | (289 | ) | | | (36,797 | ) | | | (2,612 | ) | | | (21,795 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fair value | | $ | 1,041 | | $ | 698,839 | | | $ | 518,265 | | | $ | 906,747 | | | $ | 42,086 | | | $ | 49,208 | | | $ | 2,216,186 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
As of March 31, 2008 | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Amortized cost | | $ | 11,533 | | $ | 471,431 | | | $ | 533,373 | | | $ | 949,107 | | | $ | 93,232 | | | $ | 45,630 | | | $ | 2,104,306 | |
| | | | | | | |
Gross unrealized gains (losses): | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gross unrealized gains | | | 124 | | | 4,572 | | | | 6,096 | | | | 12,796 | | | | 348 | | | | 38 | | | | 23,974 | |
Gross unrealized losses | | | — | | | (2,548 | ) | | | (324 | ) | | | (3,164 | ) | | | (18,624 | ) | | | (3,018 | ) | | | (27,678 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net unrealized gains (losses) | | | 124 | | | 2,024 | | | | 5,772 | | | | 9,632 | | | | (18,276 | ) | | | (2,980 | ) | | | (3,704 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fair value | | $ | 11,657 | | $ | 473,455 | | | $ | 539,145 | | | $ | 958,739 | | | $ | 74,956 | | | $ | 42,650 | | | $ | 2,100,602 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
14
