Exhibit 99.2
| | | | |
![(OLD NATIONAL BANCORP LOGO)](https://capedge.com/proxy/8-K/0000950123-09-052957/c91375c9137502.gif) | | Old National Bancorp
Financial Trends Third Quarter 2009 October 26, 2009 | | |
Please direct inquiries to:
Christopher A. Wolking, Senior Executive Vice President & Chief Financial Officer (812) 464-1322 orJoan M. Kissel, Senior Vice President & Corporate Controller (812) 465-7290
Notes: -Summations may not equal due to rounding.
Old National Bancorp
Financial Summary
Third Quarter 2009
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | 2008 | | | 2009 | |
2006 | | | 2007 | | | 2008 | | | | | 1st Qtr | | | 2nd Qtr | | | 3rd Qtr | | | 4th Qtr | | | 1st Qtr | | | 2nd Qtr | | | 3rd Qtr | | | 4th Qtr | |
| | | | | | | | | | | | Profitability (in millions) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 79.4 | | | $ | 74.9 | | | $ | 62.5 | | | Net Income | | $ | 19.3 | | | $ | 19.5 | | | $ | 17.0 | | | $ | 6.6 | | | $ | 9.4 | | | $ | 9.6 | | | $ | 4.0 | | | | | |
| — | | | | — | | | | 0.3 | | | Preferred Dividend and Amort on Preferred Stock | | | — | | | | — | | | | — | | | | 0.3 | | | | 3.9 | | | | — | | | | — | | | | | |
| 79.4 | | | | 74.9 | | | | 62.2 | | | Net Income Available to Common Shareholders | | | 19.3 | | | | 19.5 | | | | 17.0 | | | | 6.3 | | | | 5.5 | | | | 9.6 | | | | 4.0 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Diluted EPS | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 1.20 | | | $ | 1.14 | | | $ | 0.95 | | | Net Income Available to Common Shareholders | | $ | 0.29 | | | $ | 0.30 | | | $ | 0.26 | | | $ | 0.10 | | | $ | 0.08 | | | $ | 0.15 | | | $ | 0.06 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Ratios — Net Income | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12.43 | % | | | 11.67 | % | | | 9.49 | % | | Return on Average Common Equity | | | 11.51 | % | | | 11.58 | % | | | 10.50 | % | | | 4.05 | % | | | 3.43 | % | | | 6.02 | % | | | 2.53 | % | | | | |
| 0.97 | % | | | 0.94 | % | | | 0.82 | % | | Return on Average Assets | | | 1.01 | % | | | 1.03 | % | | | 0.90 | % | | | 0.35 | % | | | 0.47 | % | | | 0.47 | % | | | 0.21 | % | | | | |
| 68.54 | % | | | 71.01 | % | | | 69.18 | % | | Efficiency Ratio | | | 63.87 | % | | | 68.37 | % | | | 70.03 | % | | | 74.79 | % | | | 72.20 | % | | | 77.50 | % | | | 83.39 | % | | | | |
| 3.15 | % | | | 3.28 | % | | | 3.82 | % | | Net Interest Margin (FTE) | | | 3.68 | % | | | 3.85 | % | | | 3.79 | % | | | 3.96 | % | | | 3.63 | % | | | 3.59 | % | | | 3.53 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Capital Ratios: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Risk-Based Capital Ratios (EOP): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 11.1 | % | | | 10.6 | % | | | 12.7 | % | | Tier 1 | | | 11.0 | % | | | 11.2 | % | | | 11.4 | % | | | 12.7 | % | | | 9.9 | % | | | 10.2 | % | | | 14.1 | % | | | | |
| 14.5 | % | | | 13.3 | % | | | 15.1 | % | | Total | | | 13.8 | % | | | 14.1 | % | | | 14.3 | % | | | 15.1 | % | | | 12.2 | % | | | 12.6 | % | | | 16.5 | % | | | | |
| 8.0 | % | | | 7.7 | % | | | 9.5 | % | | Leverage Ratio (to Average Assets) | | | 8.0 | % | | | 8.2 | % | | | 8.3 | % | | | 9.5 | % | | | 7.3 | % | | | 7.1 | % | | | 10.0 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 7.81 | % | | | 8.04 | % | | | 8.67 | % | | Total Equity to Assets (Averages) | | | 8.75 | % | | | 8.86 | % | | | 8.57 | % | | | 8.48 | % | | | 9.32 | % | | | 7.79 | % | | | 8.11 | % | | | | |
| 6.34 | % | | | 6.03 | % | | | 5.81 | % | | Tangible Common Equity to Tangible Assets (3) | | | 6.44 | % | | | 6.21 | % | | | 6.06 | % | | | 5.81 | % | | | 5.23 | % | | | 5.51 | % | | | 8.53 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Per Common Share Data: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 0.84 | | | | 1.11 | | | | 0.69 | | | Cash Dividends Declared (1) | | | — | | | | 0.23 | | | | 0.23 | | | | 0.23 | | | | 0.23 | | | | 0.07 | | | | 0.07 | | | | | |
| 70 | % | | | 97 | % | | | 73 | % | | Dividend Payout Ratio (1) | | | — | | | | 77 | % | | | 89 | % | | | 228 | % | | | 274 | % | | | 48 | % | | | 117 | % | | | | |
| 9.66 | | | | 9.86 | | | | 9.55 | | | Common Book Value (EOP) | | | 10.20 | | | | 9.80 | | | | 9.59 | | | | 9.56 | | | | 9.51 | | | | 9.55 | | | | 9.93 | | | | | |
| 18.92 | | | | 14.96 | | | | 18.16 | | | Market Value (EOP) | | | 18.00 | | | | 14.26 | | | | 20.02 | | | | 18.16 | | | | 11.17 | | | | 9.82 | | | | 11.20 | | | | | |
| 7.64 | | | | 6.98 | | | | 6.74 | | | Tangible Common Book Value (3) | | | 7.33 | | | | 6.95 | | | | 6.75 | | | | 6.74 | | | | 6.42 | | | | 6.48 | | | | 7.61 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Other Statistics | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 2,568 | | | | 2,494 | | | | 2,507 | | | Full Time Equivalent Employees (2) | | | 2,478 | | | | 2,499 | | | | 2,489 | | | | 2,507 | | | | 2,513 | | | | 2,875 | | | | 2,828 | | | | | |
FTE — Fully taxable equivalent basis
EOP — End of period actual balances
| | |
(1) | | The 1st Qtr 2008 dividend was declared in December 2007 and is included in the 2007 totals. |
|
(2) | | 1st quarter 2009 doesn’t include Charter associates who joined on March 20, 2009. |
|
(3) | | See Non-GAAP Reconciliation on Page 8. |
PAGE 1
Old National Bancorp
INCOME STATEMENT
($ In Millions except EPS information)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Nine Months | | | Change | | | | | Third Quarter | | | Change | |
2009 | | | 2008 | | | $ | | | % | | | | | 2009 | | | 2008 | | | $ | | | % | |
$ | 277.3 | | | $ | 311.1 | | | $ | (33.8 | ) | | | -10.9 | % | | Interest Income (FTE) | | $ | 88.7 | | | $ | 100.6 | | | $ | (11.9 | ) | | | -11.8 | % |
| 84.2 | | | | 116.4 | | | | (32.2 | ) | | | -27.7 | % | | Less: Interest Expense | | | 27.0 | | | | 36.1 | | | | (9.1 | ) | | | -25.1 | % |
| | | | | | | | | | | | | | | | | | | | | | | | |
| 193.1 | | | | 194.6 | | | | (1.5 | ) | | | -0.8 | % | | Net Interest Income (FTE) | | | 61.7 | | | | 64.5 | | | | (2.8 | ) | | | -4.3 | % |
| 11.9 | | | | 13.6 | | | | (1.7 | ) | | | -12.5 | % | | Wealth Management Fees | | | 3.9 | | | | 4.2 | | | | (0.3 | ) | | | -7.5 | % |
| 41.4 | | | | 33.4 | | | | 8.1 | | | | 24.2 | % | | Service Charges on Deposit Accounts | | | 15.1 | | | | 11.8 | | | | 3.2 | | | | 27.3 | % |
| 15.0 | | | | 13.0 | | | | 2.0 | | | | 15.1 | % | | ATM Fees | | | 5.4 | | | | 4.5 | | | | 0.9 | | | | 20.3 | % |
| 5.0 | | | | 4.0 | | | | 1.0 | | | | 25.7 | % | | Mortgage Banking Revenue | | | 1.5 | | | | 1.4 | | | | 0.1 | | | | 9.8 | % |
| 29.1 | | | | 30.2 | | | | (1.1 | ) | | | -3.5 | % | | Insurance Premiums and Commissions | | | 8.8 | | | | 8.8 | | | | 0.0 | | | | 0.0 | % |
| 6.9 | | | | 7.5 | | | | (0.6 | ) | | | -8.0 | % | | Investment Product Fees | | | 2.4 | | | | 2.3 | | | | 0.0 | | | | 1.6 | % |
| 1.6 | | | | 8.4 | | | | (6.8 | ) | | | -81.0 | % | | Company-owned Life Insurance | | | 0.5 | | | | 2.9 | | | | (2.4 | ) | | | -83.3 | % |
| 9.9 | | | | 13.9 | | | | (3.9 | ) | | | -28.3 | % | | Other Income | | | 2.1 | | | | 3.2 | | | | (1.1 | ) | | | -33.4 | % |
| | | | | | | | | | | | | | | | | | | | | | | | |
| 120.9 | | | | 123.9 | | | | (3.1 | ) | | | -2.5 | % | | Total Fees, Service Charges & Other Rev. | | | 39.6 | | | | 39.1 | | | | 0.5 | | | | 1.3 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.7 | | | | 6.6 | | | | (1.0 | ) | | | -14.6 | % | | Gains (Losses) Sales of Securities (1) | | | 0.0 | | | | 0.0 | | | | (0.0 | ) | | | -10.0 | % |
| 0.3 | | | | (1.2 | ) | | | 1.5 | | | | N/M | | | Gains (Losses) Derivatives | | | (0.7 | ) | | | (0.2 | ) | | | (0.5 | ) | | | N/M | |
| | | | | | | | | | | | | | | | | | | | | | | | |
| 126.8 | | | | 129.4 | | | | (2.5 | ) | | | -2.0 | % | | Total Noninterest Income | | | 39.0 | | | | 39.0 | | | | 0.0 | | | | 0.0 | % |
| 319.9 | | | | 324.0 | | | | (4.1 | ) | | | -1.3 | % | | Total Revenues (FTE) | | | 100.7 | | | | 103.5 | | | | (2.8 | ) | | | -2.7 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 134.4 | | | | 126.0 | | | | 8.4 | | | | 6.7 | % | | Salaries and Employee Benefits | | | 46.5 | | | | 40.5 | | | | 6.0 | | | | 14.9 | % |
| 34.7 | | | | 29.0 | | | | 5.6 | | | | 19.4 | % | | Occupancy | | | 12.0 | | | | 9.8 | | | | 2.2 | | | | 22.3 | % |
| 7.9 | | | | 7.4 | | | | 0.5 | | | | 6.7 | % | | Equipment | | | 2.9 | | | | 2.4 | | | | 0.6 | | | | 24.5 | % |
| 6.9 | | | | 7.8 | | | | (0.9 | ) | | | -11.4 | % | | Marketing | | | 2.3 | | | | 3.1 | | | | (0.8 | ) | | | -26.0 | % |
| 15.6 | | | | 14.3 | | | | 1.2 | | | | 8.7 | % | | Data Processing | | | 5.3 | | | | 4.8 | | | | 0.6 | | | | 11.6 | % |
| 8.1 | | | | 6.8 | | | | 1.3 | | | | 19.3 | % | | Communication | | | 2.7 | | | | 2.3 | | | | 0.4 | | | | 18.2 | % |
| 6.8 | | | | 5.3 | | | | 1.5 | | | | 29.1 | % | | Professional Fees | | | 2.1 | | | | 1.7 | | | | 0.3 | | | | 19.3 | % |
| 3.2 | | | | 4.9 | | | | (1.7 | ) | | | -34.4 | % | | Loan Expenses | | | 1.2 | | | | 1.9 | | | | (0.7 | ) | | | -37.7 | % |
| 3.4 | | | | 2.4 | | | | 1.0 | | | | 39.7 | % | | Supplies | | | 0.9 | | | | 0.8 | | | | 0.1 | | | | 14.0 | % |
| 10.2 | | | | 0.9 | | | | 9.3 | | | | N/M | | | FDIC Assessment | | | 1.8 | | | | 0.3 | | | | 1.5 | | | | N/M | |
| 17.0 | | | | 13.4 | | | | 3.6 | | | | 26.7 | % | | Other Expense | | | 6.3 | | | | 5.0 | | | | 1.3 | | | | 26.6 | % |
| | | | | | | | | | | | | | | | | | | | | | | | |
| 248.2 | | | | 218.2 | | | | 29.9 | | | | 13.7 | % | | Total Noninterest Expense | | | 84.0 | | | | 72.5 | | | | 11.5 | | | | 15.9 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 41.5 | | | | 34.4 | | | | 7.0 | | | | 20.4 | % | | Provision for loan losses | | | 12.2 | | | | 6.8 | | | | 5.3 | | | | 78.2 | % |
| | | | | | | | | | | | | | | | | | | | | | | | |
| 30.3 | | | | 71.3 | | | | (41.0 | ) | | | -57.5 | % | | Income before Income Taxes (FTE) | | | 4.5 | | | | 24.2 | | | | (19.6 | ) | | | -81.3 | % |
| | | | | | | | | | | | | | | | | | | | | | | | |
| (9.5 | ) | | | 1.6 | | | | (11.1 | ) | | | N/M | | | Income Taxes | | | (4.8 | ) | | | 2.3 | | | | (7.0 | ) | | | N/M | |
| 16.7 | | | | 13.9 | | | | 2.8 | | | | 20.3 | % | | FTE Adjustment | | | 5.3 | | | | 4.9 | | | | 0.4 | | | | 8.1 | % |
| | | | | | | | | | | | | | | | | | | | | | | | |
| 7.2 | | | | 15.5 | | | | (8.3 | ) | | | -53.4 | % | | Total Taxes (FTE) | | | 0.5 | | | | 7.1 | | | | (6.6 | ) | | | -92.8 | % |
| | | | | | | | | | | | | | | | | | | | | | | | |
$ | 23.1 | | | $ | 55.8 | | | $ | (32.8 | ) | | | -58.7 | % | | Net Income | | $ | 4.0 | | | $ | 17.0 | | | $ | (13.0 | ) | | | -76.4 | % |
| | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | Diluted EPS | | | | | | | | | | | | | | | | |
$ | 0.29 | | | $ | 0.85 | | | $ | (0.56 | ) | | | -65.8 | % | | Net Income Avail to Common Shareholders | | $ | 0.06 | | | $ | 0.26 | | | $ | (0.20 | ) | | | -76.8 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | Average Common Shares Outstanding (000’s) | | | | | | | | | | | | | | | | |
| 66,129 | | | | 65,636 | | | | 493 | | | | 0.8 | % | | Basic | | | 66,635 | | | | 65,645 | | | | 990 | | | | 1.5 | % |
| 66,173 | | | | 65,738 | | | | 435 | | | | 0.7 | % | | Diluted | | | 66,706 | | | | 65,790 | | | | 916 | | | | 1.4 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 87,173 | | | | 66,285 | | | | 20,888 | | | | 31.5 | % | | Common Shares Outstanding (EOP) (000’s) | | | 87,173 | | | | 66,285 | | | | 20,888 | | | | 31.5 | % |
| | |
(1) | | Includes $5.1 million of gains and $5.1 million of OTTI in 3Q09 and $21.9 million of gains, $.9 million of losses and $15.3 million of OTTI in YTD09, respectively. |
OTTI — Other Than Temporary Impairment
FTE — Fully taxable equivalent basis
EOP — End of period actual balances
N/M = Not meaningful
PAGE 2
Old National Bancorp
NET INCOME TRENDS
Third Quarter 2009
($ In Millions except EPS information)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | 2008 | | | 2009 | |
2006 | | | 2007 | | | 2008 | | | | | 1st Qtr | | | 2nd Qtr | | | 3rd Qtr | | | 4th Qtr | | | 1st Qtr | | | 2nd Qtr | | | 3rd Qtr | | | 4th Qtr | |
$ | 471.2 | | | $ | 478.5 | | | $ | 411.8 | | | Interest Income (FTE) | | $ | 108.5 | | | $ | 102.0 | | | $ | 100.6 | | | $ | 100.8 | | | $ | 93.8 | | | $ | 94.7 | | | $ | 88.7 | | | | | |
| 239.0 | | | | 242.2 | | | | 149.2 | | | Less: Interest Expense | | | 44.3 | | | | 36.0 | | | | 36.1 | | | | 32.7 | | | | 28.8 | | | | 28.4 | | | | 27.0 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 232.2 | | | | 236.4 | | | | 262.7 | | | Net Interest Income (FTE) | | | 64.2 | | | | 65.9 | | | | 64.5 | | | | 68.0 | | | | 65.1 | | | | 66.3 | | | | 61.7 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 19.5 | | | | 18.7 | | | | 17.4 | | | Wealth Management Fees | | | 4.6 | | | | 4.9 | | | | 4.2 | | | | 3.7 | | | | 3.8 | | | | 4.3 | | | | 3.9 | | | | | |
| 42.3 | | | | 44.8 | | | | 45.2 | | | Service Charges on Deposit Accounts | | | 10.2 | | | | 11.3 | | | | 11.8 | | | | 11.8 | | | | 10.7 | | | | 15.7 | | | | 15.1 | | | | | |
| 12.1 | | | | 14.5 | | | | 17.2 | | | ATM Fees | | | 4.0 | | | | 4.5 | | | | 4.5 | | | | 4.2 | | | | 4.1 | | | | 5.4 | | | | 5.4 | | | | | |
| 4.1 | | | | 4.4 | | | | 5.1 | | | Mortgage Banking Revenue | | | 1.2 | | | | 1.4 | | | | 1.4 | | | | 1.1 | | | | 1.7 | | | | 1.8 | | | | 1.5 | | | | | |
| 41.5 | | | | 39.0 | | | | 39.2 | | | Insurance Premiums and Commissions | | | 12.1 | | | | 9.3 | | | | 8.8 | | | | 9.0 | | | | 11.4 | | | | 8.9 | | | | 8.8 | | | | | |
| 8.7 | | | | 10.7 | | | | 9.5 | | | Investment Product Fees | | | 2.7 | | | | 2.4 | | | | 2.3 | | | | 2.0 | | | | 2.2 | | | | 2.2 | | | | 2.4 | | | | | |
| 9.0 | | | | 9.8 | | | | 9.2 | | | Company-owned Life Insurance | | | 2.8 | | | | 2.8 | | | | 2.9 | | | | 0.7 | | | | 0.7 | | | | 0.4 | | | | 0.5 | | | | | |
| 13.8 | | | | 16.1 | | | | 17.9 | | | Other Income | | | 5.3 | | | | 5.2 | | | | 3.2 | | | | 4.0 | | | | 3.8 | | | | 4.0 | | | | 2.1 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 150.9 | | | | 158.0 | | | | 160.6 | | | Total Fees, Service Charges & Other Rev. | | | 43.0 | | | | 41.7 | | | | 39.1 | | | | 36.6 | | | | 38.6 | | | | 42.7 | | | | 39.6 | | | | | |
| 1.5 | | | | (3.0 | ) | | | 7.6 | | | Gains (Losses) Sales of Securities (1) | | | 4.5 | | | | 2.1 | | | | 0.0 | | | | 0.9 | | | | 3.2 | | | | 2.4 | | | | 0.0 | | | | | |
| 1.5 | | | | 0.2 | | | | (1.1 | ) | | Gains (Losses) Derivatives | | | (0.6 | ) | | | (0.3 | ) | | | (0.2 | ) | | | 0.0 | | | | 0.5 | | | | 0.5 | | | | (0.7 | ) | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 153.9 | | | | 155.1 | | | | 167.0 | | | Total Noninterest Income | | | 46.9 | | | | 43.5 | | | | 39.0 | | | | 37.6 | | | | 42.2 | | | | 45.6 | | | | 39.0 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 386.2 | | | | 391.5 | | | | 429.6 | | | Total Revenues (FTE) | | | 111.1 | | | | 109.5 | | | | 103.5 | | | | 105.6 | | | | 107.3 | | | | 111.9 | | | | 100.7 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 157.6 | | | | 163.7 | | | | 167.8 | | | Salaries and Employee Benefits | | | 42.3 | | | | 43.2 | | | | 40.5 | | | | 41.8 | | | | 42.7 | | | | 45.2 | | | | 46.5 | | | | | |
| 19.9 | | | | 26.5 | | | | 39.7 | | | Occupancy | | | 9.6 | | | | 9.6 | | | | 9.8 | | | | 10.6 | | | | 10.6 | | | | 12.0 | | | | 12.0 | | | | | |
| 12.7 | | | | 11.1 | | | | 9.5 | | | Equipment | | | 2.6 | | | | 2.5 | | | | 2.4 | | | | 2.0 | | | | 2.3 | | | | 2.7 | | | | 2.9 | | | | | |
| 10.4 | | | | 8.4 | | | | 9.6 | | | Marketing | | | 2.0 | | | | 2.7 | | | | 3.1 | | | | 1.8 | | | | 2.0 | | | | 2.6 | | | | 2.3 | | | | | |
| 18.0 | | | | 19.2 | | | | 19.0 | | | Data Processing | | | 4.6 | | | | 4.9 | | | | 4.8 | | | | 4.7 | | | | 4.9 | | | | 5.4 | | | | 5.3 | | | | | |
| 9.2 | | | | 9.3 | | | | 9.3 | | | Communication | | | 2.3 | | | | 2.2 | | | | 2.3 | | | | 2.4 | | | | 2.6 | | | | 2.9 | | | | 2.7 | | | | | |
| 7.6 | | | | 7.7 | | | | 7.2 | | | Professional Fees | | | 1.7 | | | | 1.9 | | | | 1.7 | | | | 1.9 | | | | 2.6 | | | | 2.1 | | | | 2.1 | | | | | |
| 5.7 | | | | 6.0 | | | | 6.6 | | | Loan Expenses | | | 1.3 | | | | 1.7 | | | | 1.9 | | | | 1.7 | | | | 0.9 | | | | 1.2 | | | | 1.2 | | | | | |
| 3.4 | | | | 3.5 | | | | 3.3 | | | Supplies | | | 0.9 | | | | 0.7 | | | | 0.8 | | | | 0.9 | | | | 1.3 | | | | 1.2 | | | | 0.9 | | | | | |
| 0.9 | | | | 0.9 | | | | 1.5 | | | FDIC Assessment | | | 0.3 | | | | 0.3 | | | | 0.3 | | | | 0.6 | | | | 2.1 | | | | 6.3 | | | | 1.8 | | | | | |
| 19.3 | | | | 21.7 | | | | 23.9 | | | Other Expense | | | 3.3 | | | | 5.1 | | | | 5.0 | | | | 10.5 | | | | 5.5 | | | | 5.2 | | | | 6.3 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 264.7 | | | | 278.0 | | | | 297.2 | | | Total Noninterest Expense | | | 70.9 | | | | 74.8 | | | | 72.5 | | | | 79.0 | | | | 77.5 | | | | 86.8 | | | | 84.0 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 7.0 | | | | 4.1 | | | | 51.5 | | | Provision for Loan Losses | | | 21.9 | | | | 5.7 | | | | 6.8 | | | | 17.0 | | | | 17.3 | | | | 12.0 | | | | 12.2 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 114.5 | | | | 109.4 | | | | 80.9 | | | Income before Income Taxes (FTE) | | | 18.2 | | | | 28.9 | | | | 24.2 | | | | 9.6 | | | | 12.5 | | | | 13.2 | | | | 4.5 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 15.6 | | | | 17.3 | | | | (0.9 | ) | | Income Taxes | | | (5.5 | ) | | | 4.8 | | | | 2.3 | | | | (2.5 | ) | | | (2.7 | ) | | | (2.0 | ) | | | (4.8 | ) | | | | |
| 19.5 | | | | 17.2 | | | | 19.3 | | | FTE Adjustment | | | 4.4 | | | | 4.6 | | | | 4.9 | | | | 5.5 | | | | 5.9 | | | | 5.6 | | | | 5.3 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 35.1 | | | | 34.5 | | | | 18.4 | | | Total Taxes (FTE) | | | (1.1 | ) | | | 9.4 | | | | 7.1 | | | | 3.0 | | | | 3.1 | | | | 3.6 | | | | 0.5 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 79.4 | | | $ | 74.9 | | | $ | 62.5 | | | Net Income | | $ | 19.3 | | | $ | 19.5 | | | $ | 17.0 | | | $ | 6.6 | | | $ | 9.4 | | | $ | 9.6 | | | $ | 4.0 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Diluted EPS | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 1.20 | | | $ | 1.14 | | | $ | 0.95 | | | Net Income Avail to Common Shareholders | | $ | 0.29 | | | $ | 0.30 | | | $ | 0.26 | | | $ | 0.10 | | | $ | 0.08 | | | $ | 0.15 | | | $ | 0.06 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 66,226 | | | | 65,684 | | | | 65,660 | | | Average Basic Common Shares (000’s) | | | 65,623 | | | | 65,640 | | | | 65,645 | | | | 65,730 | | | | 65,793 | | | | 65,950 | | | | 66,635 | | | | | |
| 66,261 | | | | 65,750 | | | | 65,776 | | | Average Diluted Common Shares (000’s) | | | 65,754 | | | | 65,812 | | | | 65,790 | | | | 65,922 | | | | 65,882 | | | | 65,999 | | | | 66,706 | | | | | |
FTE — Fully taxable equivalent basis
| | |
(1) | | Includes $2.4 million, $7.9 million and $5.1 million in 1Q09, 2Q09 and 3Q09, respectively, for OTTI. |
PAGE 3
Old National Bancorp
Balance Sheet (EOP)
Third Quarter 2009
($ in Millions)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | Change from Prior Year | | | | | | | |
| | 9/30/2009 | | | 6/30/2009 | | | 3/31/2009 | | | 12/31/2008 | | | 9/30/2008 | | | 9/30/2009 vs. 9/30/2008 | | | 12/31/2007 | | | 12/31/2006 | |
| | | | | | | | | | | | | | | | | | | | | | $ | | | % | | | | | | | | | |
Assets | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Investments: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Treasury & Gov’t Sponsored Agencies | | $ | 1,305.7 | | | $ | 831.6 | | | $ | 1,019.6 | | | $ | 389.3 | | | $ | 319.8 | | | $ | 985.9 | | | | 308.3 | % | | $ | 688.9 | | | $ | 680.2 | |
Mortgage-backed Securities | | | 941.7 | | | | 1,029.7 | | | | 1,131.2 | | | | 1,172.6 | | | | 1,203.6 | | | | (261.9 | ) | | | -21.8 | % | | | 1,048.8 | | | | 1,147.0 | |
States & Political Subdivisions | | | 494.2 | | | | 522.7 | | | | 485.1 | | | | 482.2 | | | | 327.4 | | | | 166.8 | | | | 50.9 | % | | | 294.9 | | | | 273.3 | |
Other Securities | | | 218.9 | | | | 215.6 | | | | 208.5 | | | | 221.7 | | | | 219.4 | | | | (0.5 | ) | | | -0.2 | % | | | 275.9 | | | | 275.7 | |
Fed Funds Sold & Resell Agreements | | | — | | | | — | | | | — | | | | 0.0 | | | | 9.3 | | | | (9.3 | ) | | | -100.0 | % | | | — | | | | 283.5 | |
Money Market Investments | | | 28.8 | | | | 62.5 | | | | 42.6 | | | | 30.1 | | | | 18.6 | | | | 10.2 | | | | 55.0 | % | | | 8.5 | | | | 4.1 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Investments | | | 2,989.3 | | | | 2,662.2 | | | | 2,887.0 | | | | 2,295.9 | | | | 2,098.0 | | | | 891.2 | | | | 42.5 | % | | | 2,317.0 | | | | 2,663.7 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Residential Real Estate Loans Held for Sale | | | 11.4 | | | | 25.2 | | | | 19.6 | | | | 17.2 | | | | 11.1 | | | | 0.2 | | | | 2.2 | % | | | 13.0 | | | | 16.6 | |
Leases Held for Sale | | | 58.4 | | | | 370.2 | | | | — | | | | — | | | | — | | | | 58.4 | | | | N/M | | | | — | | | | — | |
Loans: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Commercial Loans & Leases | | | 1,397.0 | | | | 1,422.6 | | | | 1,809.4 | | | | 1,898.0 | | | | 1,799.8 | | | | (402.8 | ) | | | -22.4 | % | | | 1,694.7 | | | | 1,629.9 | |
Commercial & Agriculture Real Estate | | | 1,091.5 | | | | 1,124.4 | | | | 1,133.9 | | | | 1,154.9 | | | | 1,170.8 | | | | (79.3 | ) | | | -6.8 | % | | | 1,270.4 | | | | 1,386.4 | |
Consumer: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Home Equity | | | 275.6 | | | | 271.9 | | | | 270.5 | | | | 270.0 | | | | 262.0 | | | | 13.6 | | | | 5.2 | % | | | 250.1 | | | | 284.8 | |
Other Consumer Loans | | | 849.9 | | | | 883.9 | | | | 919.2 | | | | 941.0 | | | | 941.3 | | | | (91.4 | ) | | | -9.7 | % | | | 937.6 | | | | 914.1 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Subtotal of Commercial & Consumer Loans | | | 3,614.0 | | | | 3,702.8 | | | | 4,133.0 | | | | 4,263.8 | | | | 4,173.8 | | | | (559.8 | ) | | | -13.4 | % | | | 4,152.9 | | | | 4,215.1 | |
Residential Real Estate | | | 421.7 | | | | 448.4 | | | | 488.5 | | | | 496.5 | | | | 508.1 | | | | (86.4 | ) | | | -17.0 | % | | | 533.4 | | | | 484.9 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Loans | | | 4,035.7 | | | | 4,151.2 | | | | 4,621.5 | | | | 4,760.4 | | | | 4,681.9 | | | | (646.3 | ) | | | -13.8 | % | | | 4,686.4 | | | | 4,700.0 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Earning Assets | | | 7,094.7 | | | | 7,208.9 | | | | 7,528.1 | | | | 7,073.4 | | | | 6,791.1 | | | | 303.6 | | | | 4.5 | % | | | 7,016.3 | | | | 7,380.3 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Allowance for Loan Losses | | | (69.6 | ) | | | (70.1 | ) | | | (71.8 | ) | | | (67.1 | ) | | | (63.5 | ) | | | 6.1 | | | | 9.6 | % | | | (56.5 | ) | | | (67.8 | ) |
Nonearning Assets: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash and Due from Banks | | | 196.9 | | | | 146.7 | | | | 131.5 | | | | 162.9 | | | | 166.1 | | | | 30.8 | | | | 18.6 | % | | | 255.2 | | | | 210.3 | |
Premises & Equipment | | | 56.5 | | | | 58.7 | | | | 58.6 | | | | 44.6 | | | | 46.7 | | | | 9.9 | | | | 21.2 | % | | | 48.7 | | | | 122.9 | |
Goodwill & Intangible Assets | | | 202.4 | | | | 204.0 | | | | 205.6 | | | | 186.8 | | | | 187.8 | | | | 14.6 | | | | 7.8 | % | | | 191.0 | | | | 134.2 | |
Company-owned Life Insurance | | | 223.9 | | | | 224.2 | | | | 223.8 | | | | 223.1 | | | | 222.4 | | | | 1.5 | | | | 0.7 | % | | | 214.5 | | | | 198.0 | |
Other Assets | | | 268.6 | | | | 239.7 | | | | 280.2 | | | | 250.1 | | | | 217.8 | | | | 50.8 | | | | 23.3 | % | | | 176.9 | | | | 171.6 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Nonearning Assets | | | 948.4 | | | | 873.4 | | | | 899.7 | | | | 867.6 | | | | 840.7 | | | | 107.7 | | | | 12.8 | % | | | 886.3 | | | | 837.0 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Assets | | $ | 7,973.5 | | | $ | 8,012.2 | | | $ | 8,356.1 | | | $ | 7,873.9 | | | $ | 7,568.3 | | | $ | 405.2 | | | | 5.4 | % | | $ | 7,846.1 | | | $ | 8,149.5 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Liabilities & Equity | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Noninterest-bearing Demand Deposits | | $ | 1,045.9 | | | $ | 1,045.6 | | | $ | 1,039.3 | | | $ | 888.6 | | | $ | 845.7 | | | $ | 200.2 | | | | 23.7 | % | | $ | 855.4 | | | $ | 877.9 | |
NOW Accounts | | | 1,220.2 | | | | 1,297.2 | | | | 1,257.5 | | | | 1,292.6 | | | | 1,223.0 | | | | (2.7 | ) | | | -0.2 | % | | | 1,410.7 | | | | 1,449.2 | |
Savings Accounts | | | 971.5 | | | | 928.9 | | | | 918.8 | | | | 874.6 | | | | 923.2 | | | | 48.3 | | | | 5.2 | % | | | 774.1 | | | | 437.7 | |
Money Market Accounts | | | 418.8 | | | | 452.0 | | | | 522.8 | | | | 420.8 | | | | 448.7 | | | | (29.8 | ) | | | -6.6 | % | | | 562.1 | | | | 925.3 | |
Other Time under $100,000 | | | 1,298.7 | | | | 1,340.3 | | | | 1,335.2 | | | | 1,224.2 | | | | 1,209.8 | | | | 89.0 | | | | 7.4 | % | | | 1,283.0 | | | | 1,369.0 | |
Other Time $100,000 & over | | | 669.2 | | | | 664.7 | | | | 671.7 | | | | 550.0 | | | | 504.6 | | | | 164.6 | | | | 32.6 | % | | | 562.1 | | | | 932.6 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Core Deposits | | | 5,624.4 | | | | 5,728.6 | | | | 5,745.4 | | | | 5,250.8 | | | | 5,155.0 | | | | 469.5 | | | | 9.1 | % | | | 5,447.4 | | | | 5,991.6 | |
Brokered CD’s | | | 69.9 | | | | 69.9 | | | | 109.4 | | | | 171.5 | | | | 191.3 | | | | (121.3 | ) | | | -63.4 | % | | | 216.0 | | | | 329.9 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Deposits | | | 5,694.4 | | | | 5,798.5 | | | | 5,854.7 | | | | 5,422.3 | | | | 5,346.2 | | | | 348.1 | | | | 6.5 | % | | | 5,663.4 | | | | 6,321.5 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Short-term Borrowings | | | 326.1 | | | | 542.4 | | | | 827.1 | | | | 649.6 | | | | 541.6 | | | | (215.6 | ) | | | -39.8 | % | | | 638.2 | | | | 312.9 | |
Long-term Borrowings | | | 808.6 | | | | 810.3 | | | | 810.0 | | | | 834.9 | | | | 837.3 | | | | (28.7 | ) | | | -3.4 | % | | | 656.7 | | | | 747.5 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Borrowed Funds | | | 1,134.7 | | | | 1,352.7 | | | | 1,637.0 | | | | 1,484.5 | | | | 1,379.0 | | | | (244.3 | ) | | | -17.7 | % | | | 1,295.0 | | | | 1,060.5 | |
Accrued Expenses & Other Liabilities | | | 279.0 | | | | 226.4 | | | | 232.5 | | | | 236.2 | | | | 207.8 | | | | 71.3 | | | | 34.3 | % | | | 234.9 | | | | 125.2 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Liabilities | | | 7,108.1 | | | | 7,377.6 | | | | 7,724.3 | | | | 7,143.0 | | | | 6,932.9 | | | | 175.1 | | | | 2.5 | % | | | 7,193.2 | | | | 7,507.1 | |
Preferred Stock & Surplus | | | — | | | | — | | | | — | | | | 97.4 | | | | — | | | | — | | | | N/M | | | | — | | | | — | |
Common Stock, Surplus & Retained Earnings | | | 880.3 | | | | 683.3 | | | | 679.2 | | | | 687.0 | | | | 692.0 | | | | 188.3 | | | | 27.2 | % | | | 664.2 | | | | 667.5 | |
Other Comprehensive Income | | | (14.9 | ) | | | (48.7 | ) | | | (47.5 | ) | | | (53.5 | ) | | | (56.7 | ) | | | 41.8 | | | | 73.7 | % | | | (11.3 | ) | | | (25.1 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Shareholders Equity | | | 865.4 | | | | 634.6 | | | | 631.8 | | | | 730.9 | | | | 635.4 | | | | 230.1 | | | | 36.2 | % | | | 652.9 | | | | 642.4 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Liabilities & Shareholders Equity | | $ | 7,973.5 | | | $ | 8,012.2 | | | $ | 8,356.1 | | | $ | 7,873.9 | | | $ | 7,568.3 | | | $ | 405.2 | | | | 5.4 | % | | $ | 7,846.1 | | | $ | 8,149.5 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
EOP — End of period actual balances
N/M = Not meaningful
PAGE 4
Old National Bancorp
Balance Sheet Trends
PERIOD AVERAGES
($ in Millions)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | 2008 | | | 2009 | |
2006 | | | 2007 | | | 2008 | | | | | 1st Qtr | | | 2nd Qtr | | | 3rd Qtr | | | 4th Qtr | | | 1st Qtr | | | 2nd Qtr | | | 3rd Qtr | | | 4th Qtr | |
| | | | | | | | | | | | Assets | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Investments: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 584.3 | | | $ | 636.8 | | | $ | 439.1 | | | Treasury & Gov’t Sponsored Agencies | | $ | 653.4 | | | $ | 405.7 | | | $ | 356.5 | | | $ | 340.9 | | | $ | 551.0 | | | $ | 935.8 | | | $ | 872.8 | | | | | |
| 1,215.0 | | | | 1,112.9 | | | | 1,130.7 | | | Mortgage-backed Securities | | | 1,059.5 | | | | 1,132.1 | | | | 1,146.8 | | | | 1,184.2 | | | | 1,163.5 | | | | 1,087.0 | | | | 996.9 | | | | | |
| 408.5 | | | | 263.7 | | | | 329.4 | | | States & Political Subdivisions | | | 287.6 | | | | 310.6 | | | | 327.4 | | | | 392.0 | | | | 504.9 | | | | 511.5 | | | | 498.4 | | | | | |
| 254.6 | | | | 268.6 | | | | 251.4 | | | Other Securities | | | 276.2 | | | | 265.8 | | | | 252.1 | | | | 211.7 | | | | 220.7 | | | | 212.9 | | | | 219.7 | | | | | |
| 72.8 | | | | 109.5 | | | | 1.6 | | | Fed Funds Sold & Resell Agreements | | | 0.0 | | | | 0.4 | | | | 3.5 | | | | 2.5 | | | | 0.0 | | | | — | | | | — | | | | | |
| 14.8 | | | | 7.7 | | | | 20.3 | | | Money Market Investments | | | 12.4 | | | | 31.6 | | | | 18.1 | | | | 19.3 | | | | 33.2 | | | | 39.5 | | | | 42.8 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 2,550.0 | | | | 2,399.1 | | | | 2,172.6 | | | Total Investments | | | 2,289.1 | | | | 2,146.2 | | | | 2,104.3 | | | | 2,150.7 | | | | 2,473.4 | | | | 2,786.8 | | | | 2,630.6 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Loans: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 1,592.3 | | | | 1,679.6 | | | | 1,779.4 | | | Commercial Loans & Leases (1) | | | 1,710.3 | | | | 1,772.9 | | | | 1,800.9 | | | | 1,833.6 | | | | 1,840.1 | | | | 1,813.1 | | | | 1,664.2 | | | | | |
| 1,466.2 | | | | 1,374.7 | | | | 1,205.1 | | | Commercial & Agriculture Real Estate | | | 1,251.2 | | | | 1,218.7 | | | | 1,182.3 | | | | 1,168.2 | | | | 1,148.9 | | | | 1,132.0 | | | | 1,108.7 | | | | | |
| | | | | | | | | | | | Consumer: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 307.1 | | | | 267.1 | | | | 254.9 | | | Home Equity | | | 248.3 | | | | 249.6 | | | | 256.2 | | | | 265.5 | | | | 271.2 | | | | 271.8 | | | | 274.1 | | | | | |
| 929.7 | | | | 937.4 | | | | 935.7 | | | Other Consumer Loans | | | 933.0 | | | | 932.3 | | | | 937.7 | | | | 939.8 | | | | 933.4 | | | | 900.9 | | | | 867.2 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 4,295.3 | | | | 4,258.8 | | | | 4,175.1 | | | Subtotal of Commercial & Consumer Loans | | | 4,142.9 | | | | 4,173.5 | | | | 4,177.0 | | | | 4,207.1 | | | | 4,193.7 | | | | 4,117.8 | | | | 3,914.2 | | | | | |
| 527.9 | | | | 556.0 | | | | 528.0 | | | Residential Real Estate (1) | | | 542.0 | | | | 535.9 | | | | 523.2 | | | | 511.2 | | | | 510.4 | | | | 491.3 | | | | 450.2 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 4,823.1 | | | | 4,814.9 | | | | 4,703.1 | | | Total Loans (1) | | | 4,684.9 | | | | 4,709.3 | | | | 4,700.1 | | | | 4,718.3 | | | | 4,704.1 | | | | 4,609.1 | | | | 4,364.4 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 7,373.1 | | | | 7,214.0 | | | | 6,875.7 | | | Total Earning Assets | | | 6,973.9 | | | | 6,855.5 | | | | 6,804.5 | | | | 6,868.9 | | | | 7,177.4 | | | | 7,395.9 | | | | 6,995.0 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| (76.5 | ) | | | (68.2 | ) | | | (62.0 | ) | | Allowance for Loan Losses | | | (56.1 | ) | | | (67.9 | ) | | | (62.0 | ) | | | (62.0 | ) | | | (67.2 | ) | | | (72.2 | ) | | | (70.1 | ) | | | | |
| 876.7 | | | | 839.2 | | | | 804.1 | | | Nonearning Assets | | | 764.1 | | | | 806.3 | | | | 821.2 | | | | 824.8 | | | | 813.6 | | | | 887.7 | | | | 908.0 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 8,173.4 | | | $ | 7,985.0 | | | $ | 7,617.8 | | | Total Assets | | $ | 7,682.0 | | | $ | 7,594.0 | | | $ | 7,563.6 | | | $ | 7,631.7 | | | $ | 7,923.9 | | | $ | 8,211.4 | | | $ | 7,832.9 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Liabilities & Equity | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 800.7 | | | $ | 828.5 | | | $ | 835.0 | | | Noninterest-bearing Demand Deposits | | $ | 811.2 | | | $ | 824.9 | | | $ | 841.9 | | | $ | 861.8 | | | $ | 904.1 | | | $ | 1,026.8 | | | $ | 1,046.8 | | | | | |
| 1,429.8 | | | | 1,490.4 | | | | 1,249.5 | | | NOW Accounts | | | 1,310.8 | | | | 1,264.7 | | | | 1,204.7 | | | | 1,217.7 | | | | 1,239.0 | | | | 1,261.6 | | | | 1,260.0 | | | | | |
| 441.3 | | | | 622.4 | | | | 886.4 | | | Savings Accounts | | | 828.4 | | | | 906.3 | | | | 922.6 | | | | 888.1 | | | | 878.2 | | | | 933.9 | | | | 960.6 | | | | | |
| 886.2 | | | | 758.6 | | | | 487.5 | | | Money Market Accounts | | | 541.0 | | | | 498.1 | | | | 473.4 | | | | 437.5 | | | | 425.5 | | | | 483.0 | | | | 432.7 | | | | | |
| 2,277.9 | | | | 2,134.9 | | | | 1,696.4 | | | Other Time | | | 1,737.3 | | | | 1,593.5 | | | | 1,694.6 | | | | 1,760.2 | | | | 1,854.1 | | | | 2,011.2 | | | | 1,991.9 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 5,835.8 | | | | 5,834.7 | | | | 5,154.7 | | | Total Core Deposits | | | 5,228.7 | | | | 5,087.6 | | | | 5,137.2 | | | | 5,165.4 | | | | 5,300.8 | | | | 5,716.5 | | | | 5,691.9 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 338.4 | | | | 291.5 | | | | 170.7 | | | Brokered CD’s | | | 196.8 | | | | 112.8 | | | | 187.0 | | | | 186.2 | | | | 161.4 | | | | 90.0 | | | | 69.9 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 6,174.2 | | | | 6,126.2 | | | | 5,325.4 | | | Total Deposits | | | 5,425.5 | | | | 5,200.4 | | | | 5,324.2 | | | | 5,351.6 | | | | 5,462.2 | | | | 5,806.5 | | | | 5,761.8 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 402.2 | | | | 461.8 | | | | 616.9 | | | Short-term Borrowings | | | 625.4 | | | | 679.6 | | | | 568.4 | | | | 594.4 | | | | 660.5 | | | | 721.6 | | | | 401.0 | | | | | |
| 835.6 | | | | 615.9 | | | | 810.1 | | | Long-term Borrowings | | | 754.7 | | | | 832.5 | | | | 817.8 | | | | 835.2 | | | | 834.6 | | | | 809.9 | | | | 808.6 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 1,237.8 | | | | 1,077.7 | | | | 1,427.0 | | | Total Borrowed Funds | | | 1,380.1 | | | | 1,512.1 | | | | 1,386.2 | | | | 1,429.6 | | | | 1,495.1 | | | | 1,531.4 | | | | 1,209.6 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 123.0 | | | | 139.3 | | | | 205.2 | | | Accrued Expenses & Other Liabilities | | | 204.2 | | | | 208.6 | | | | 205.1 | | | | 203.0 | | | | 227.9 | | | | 233.5 | | | | 225.9 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 7,535.1 | | | | 7,343.1 | | | | 6,957.7 | | | Total Liabilities | | | 7,009.7 | | | | 6,921.1 | | | | 6,915.5 | | | | 6,984.3 | | | | 7,185.2 | | | | 7,571.4 | | | | 7,197.3 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| — | | | | — | | | | 5.2 | | | Preferred Stock & Surplus | | | — | | | | — | | | | — | | | | 21.0 | | | | 96.4 | | | | — | | | | — | | | | | |
| 666.2 | | | | 666.8 | | | | 688.7 | | | Common Stock, Surplus & Retained Earnings | | | 675.9 | | | | 688.7 | | | | 695.0 | | | | 695.2 | | | | 687.5 | | | | 680.9 | | | | 676.0 | | | | | |
| (27.8 | ) | | | (25.0 | ) | | | (33.7 | ) | | Other Comprehensive Income | | | (3.6 | ) | | | (15.8 | ) | | | (46.9 | ) | | | (68.7 | ) | | | (45.2 | ) | | | (41.0 | ) | | | (40.4 | ) | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 638.4 | | | | 641.8 | | | | 660.2 | | | Total Shareholders Equity | | | 672.3 | | | | 672.9 | | | | 648.1 | | | | 647.5 | | | | 738.7 | | | | 640.0 | | | | 635.6 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 8,173.4 | | | $ | 7,985.0 | | | $ | 7,617.8 | | | Total Liabilities & Shareholders Equity | | $ | 7,682.0 | | | $ | 7,594.0 | | | $ | 7,563.6 | | | $ | 7,631.7 | | | $ | 7,923.9 | | | $ | 8,211.4 | | | $ | 7,832.9 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
(1) | | Includes residential loans and leases held for sale. |
PAGE 5
Old National Bancorp
Interest Rate Trends (FTE basis)
PERIOD AVERAGES
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | 2008 | | | 2009 | |
2006 | | | 2007 | | | 2008 | | | | | 1st Qtr | | | 2nd Qtr | | | 3rd Qtr | | | 4th Qtr | | | 1st Qtr | | | 2nd Qtr | | | 3rd Qtr | | | 4th Qtr | |
| | | | | | | | | | | | Earning Assets: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Investments: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.55 | % | | | 5.07 | % | | | 4.90 | % | | Treasury & Gov’t Sponsored Agencies | | | 4.66 | % | | | 4.97 | % | | | 5.03 | % | | | 5.14 | % | | | 4.80 | % | | | 4.52 | % | | | 4.15 | % | | | | |
| 4.55 | % | | | 4.68 | % | | | 5.01 | % | | Mortgage-backed Securities | | | 4.79 | % | | | 5.03 | % | | | 5.07 | % | | | 5.14 | % | | | 5.16 | % | | | 5.18 | % | | | 4.78 | % | | | | |
| 6.93 | % | | | 7.07 | % | | | 6.91 | % | | States & Political Subdivisions | | | 6.85 | % | | | 6.76 | % | | | 6.80 | % | | | 7.15 | % | | | 6.92 | % | | | 6.53 | % | | | 6.83 | % | | | | |
| 5.14 | % | | | 5.25 | % | | | 5.54 | % | | Other Securities | | | 5.31 | % | | | 5.30 | % | | | 5.47 | % | | | 6.22 | % | | | 5.31 | % | | | 4.95 | % | | | 4.98 | % | | | | |
| 5.20 | % | | | 5.35 | % | | | 3.40 | % | | Fed Funds Sold, Resell Agr & Money Mkt | | | 10.74 | % | | | 2.42 | % | | | 2.74 | % | | | 1.34 | % | | | 0.75 | % | | | 0.37 | % | | | 0.25 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.01 | % | | | 5.14 | % | | | 5.32 | % | | Total Investments | | | 5.11 | % | | | 5.26 | % | | | 5.36 | % | | | 5.58 | % | | | 5.39 | % | | | 5.12 | % | | | 4.90 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Loans: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 7.32 | % | | | 7.47 | % | | | 5.88 | % | | Commercial Loans & Leases (1) | | | 6.64 | % | | | 5.86 | % | | | 5.63 | % | | | 5.44 | % | | | 4.52 | % | | | 4.54 | % | | | 4.52 | % | | | | |
| 7.27 | % | | | 7.56 | % | | | 6.22 | % | | Commercial & Agriculture Real Estate | | | 6.70 | % | | | 6.25 | % | | | 6.01 | % | | | 5.90 | % | | | 4.79 | % | | | 4.60 | % | | | 4.57 | % | | | | |
| | | | | | | | | | | | Consumer: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 8.04 | % | | | 8.17 | % | | | 5.51 | % | | Home Equity | | | 6.71 | % | | | 5.49 | % | | | 5.30 | % | | | 4.60 | % | | | 3.59 | % | | | 3.55 | % | | | 3.55 | % | | | | |
| 7.13 | % | | | 7.61 | % | | | 7.66 | % | | Other Consumer Loans | | | 7.79 | % | | | 7.66 | % | | | 7.60 | % | | | 7.57 | % | | | 7.30 | % | | | 7.24 | % | | | 7.28 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 7.31 | % | | | 7.57 | % | | | 6.35 | % | | Subtotal of Commercial & Consumer Loans | | | 6.92 | % | | | 6.35 | % | | | 6.16 | % | | | 5.99 | % | | | 5.15 | % | | | 5.08 | % | | | 5.08 | % | | | | |
| 5.54 | % | | | 5.86 | % | | | 5.87 | % | | Residential Real Estate Loans (1) | | | 5.92 | % | | | 5.85 | % | | | 5.87 | % | | | 5.84 | % | | | 5.68 | % | | | 5.61 | % | | | 5.65 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 7.12 | % | | | 7.38 | % | | | 6.30 | % | | Total Loans (1) | | | 6.81 | % | | | 6.29 | % | | | 6.11 | % | | | 5.97 | % | | | 5.21 | % | | | 5.14 | % | | | 5.14 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 6.39 | % | | | 6.63 | % | | | 5.99 | % | | Total Earning Assets | | | 6.25 | % | | | 5.97 | % | | | 5.89 | % | | | 5.85 | % | | | 5.27 | % | | | 5.13 | % | | | 5.05 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Interest-bearing Liabilities: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 1.92 | % | | | 2.12 | % | | | 0.51 | % | | NOW Accounts | | | 0.84 | % | | | 0.52 | % | | | 0.45 | % | | | 0.21 | % | | | 0.03 | % | | | 0.04 | % | | | 0.04 | % | | | | |
| 1.28 | % | | | 2.43 | % | | | 1.46 | % | | Savings Accounts | | | 2.03 | % | | | 1.50 | % | | | 1.46 | % | | | 0.88 | % | | | 0.40 | % | | | 0.39 | % | | | 0.39 | % | | | | |
| 3.32 | % | | | 3.11 | % | | | 1.12 | % | | Money Market Accounts | | | 1.71 | % | | | 1.14 | % | | | 1.04 | % | | | 0.47 | % | | | 0.11 | % | | | 0.10 | % | | | 0.10 | % | | | | |
| 4.15 | % | | | 4.64 | % | | | 3.74 | % | | Other Time | | | 4.26 | % | | | 3.67 | % | | | 3.52 | % | | | 3.50 | % | | | 3.29 | % | | | 3.10 | % | | | 2.92 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 3.12 | % | | | 3.38 | % | | | 2.04 | % | | Total Interest-bearing Deposits | | | 2.51 | % | | | 1.98 | % | | | 1.94 | % | | | 1.72 | % | | | 1.49 | % | | | 1.43 | % | | | 1.35 | % | | | | |
| 4.57 | % | | | 4.72 | % | | | 4.25 | % | | Brokered CD’s | | | 4.32 | % | | | 4.01 | % | | | 4.26 | % | | | 4.30 | % | | | 4.16 | % | | | 4.19 | % | | | 4.44 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 3.21 | % | | | 3.46 | % | | | 2.13 | % | | Total Interest-bearing Deposits & CD’s | | | 2.59 | % | | | 2.03 | % | | | 2.04 | % | | | 1.83 | % | | | 1.58 | % | | | 1.48 | % | | | 1.40 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 3.98 | % | | | 3.94 | % | | | 1.77 | % | | Short-term Borrowings | | | 2.53 | % | | | 1.81 | % | | | 1.79 | % | | | 0.92 | % | | | 0.24 | % | | | 0.25 | % | | | 0.31 | % | | | | |
| 6.03 | % | | | 6.64 | % | | | 5.29 | % | | Long-term Borrowings | | | 5.69 | % | | | 5.25 | % | | | 5.13 | % | | | 5.11 | % | | | 5.15 | % | | | 5.11 | % | | | 4.93 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.37 | % | | | 5.48 | % | | | 3.77 | % | | Total Borrowed Funds | | | 4.27 | % | | | 3.70 | % | | | 3.76 | % | | | 3.37 | % | | | 2.98 | % | | | 2.82 | % | | | 3.40 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 3.61 | % | | | 3.80 | % | | | 2.52 | % | | Total Interest-bearing Liabilities | | | 2.98 | % | | | 2.46 | % | | | 2.45 | % | | | 2.20 | % | | | 1.93 | % | | | 1.81 | % | | | 1.81 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 2.78 | % | | | 2.83 | % | | | 3.47 | % | | Net Interest Rate Spread | | | 3.27 | % | | | 3.51 | % | | | 3.45 | % | | | 3.65 | % | | | 3.34 | % | | | 3.33 | % | | | 3.24 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 3.15 | % | | | 3.28 | % | | | 3.82 | % | | Net Interest Margin | | | 3.68 | % | | | 3.85 | % | | | 3.79 | % | | | 3.96 | % | | | 3.63 | % | | | 3.59 | % | | | 3.53 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
FTE — Fully taxable equivalent basis |
|
(1) | | Includes residential loans and leases held for sale. |
PAGE 6
Old National Bancorp
Asset Quality (EOP)
($ in Millions)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | 2008 | | | 2009 | |
2006 | | | 2007 | | | 2008 | | | | | 1st Qtr | | | 2nd Qtr | | | 3rd Qtr | | | 4th Qtr | | | 1st Qtr | | | 2nd Qtr | | | 3rd Qtr | | | 4th Qtr | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 78.8 | | | $ | 67.8 | | | $ | 56.5 | | | Beginning Allowance for Loan Losses | | $ | 56.5 | | | $ | 72.2 | | | $ | 62.1 | | | $ | 63.5 | | | $ | 67.1 | | | $ | 71.8 | | | $ | 70.1 | | | | | |
| 7.0 | | | | 4.1 | | | | 51.5 | | | Provision for Loan Losses | | | 21.9 | | | | 5.7 | | | | 6.8 | | | | 17.0 | | | | 17.3 | | | | 12.0 | | | | 12.2 | | | | | |
| — | | | | 5.7 | | | | — | | | Acquired from acquisition | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | | | | | |
| (27.9 | ) | | | (26.9 | ) | | | (51.2 | ) | | Gross Charge-offs | | | (8.7 | ) | | | (18.0 | ) | | | (8.7 | ) | | | (15.9 | ) | | | (15.9 | ) | | | (16.0 | ) | | | (19.1 | ) | | | | |
| (2.8 | ) | | | (5.3 | ) | | | — | | | Write-downs from Loans Sold | | | — | | | | — | | | | — | | | | — | | | | — | | | | (0.6 | ) | | | — | | | | | |
| 12.7 | | | | 11.1 | | | | 10.4 | | | Gross Recoveries | | | 2.6 | | | | 2.1 | | | | 3.2 | | | | 2.5 | | | | 3.3 | | | | 2.9 | | | | 6.3 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| (18.1 | ) | | | (21.1 | ) | | | (40.8 | ) | | Net Charge-offs | | | (6.1 | ) | | | (15.9 | ) | | | (5.5 | ) | | | (13.4 | ) | | | (12.6 | ) | | | (13.6 | ) | | | (12.7 | ) | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 67.8 | | | $ | 56.5 | | | $ | 67.1 | | | Ending Allowance for Loan Losses | | $ | 72.2 | | | $ | 62.1 | | | $ | 63.5 | | | $ | 67.1 | | | $ | 71.8 | | | $ | 70.1 | | | $ | 69.6 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 0.37 | % | | | 0.44 | % | | | 0.87 | % | | Net Charge-offs / Average Loans (1) | | | 0.52 | % | | | 1.35 | % | | | 0.46 | % | | | 1.14 | % | | | 1.07 | % | | | 1.18 | % | | | 1.17 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | �� | | | | | | | | | | | | | | | | | | | |
$ | 4,823.1 | | | $ | 4,814.9 | | | $ | 4,703.1 | | | Average Loans Outstanding (1) | | $ | 4,684.9 | | | $ | 4,709.3 | | | $ | 4,700.1 | | | $ | 4,718.3 | | | $ | 4,704.1 | | | $ | 4,609.1 | | | $ | 4,364.4 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 4,716.6 | | | $ | 4,699.4 | | | $ | 4,777.5 | | | EOP Loans Outstanding (1) | | $ | 4,691.0 | | | $ | 4,743.4 | | | $ | 4,693.0 | | | $ | 4,777.5 | | | $ | 4,641.1 | | | $ | 4,546.7 | | | $ | 4,105.4 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 1.44 | % | | | 1.20 | % | | | 1.41 | % | | Allowance for Loan Loss / EOP Loans (2) | | | 1.54 | % | | | 1.31 | % | | | 1.36 | % | | | 1.41 | % | | | 1.55 | % | | | 1.69 | % | | | 1.72 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Underperforming Assets: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 2.1 | | | $ | 1.5 | | | $ | 2.9 | | | Loans 90 Days & over (still accruing) | | $ | 1.5 | | | $ | 1.6 | | | $ | 1.9 | | | $ | 2.9 | | | $ | 2.4 | | | $ | 2.3 | | | $ | 2.7 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Non-performing Loans: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 41.5 | | | | 40.8 | | | | 64.0 | | | Nonaccrual Loans (3) | | | 70.2 | | | | 68.1 | | | | 68.4 | | | | 64.0 | | | | 77.4 | | | | 77.7 | | | | 73.7 | | | | | |
| 0.1 | | | | — | | | | — | | | Renegotiated Loans | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | | | | — | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 41.6 | | | | 40.8 | | | | 64.0 | | | Total Non-performing Loans | | | 70.2 | | | | 68.1 | | | | 68.4 | | | | 64.0 | | | | 77.4 | | | | 77.7 | | | | 73.7 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 3.3 | | | | 2.9 | | | | 2.9 | | | Foreclosed properties | | | 2.3 | | | | 3.3 | | | | 3.2 | | | | 2.9 | | | | 6.9 | | | | 4.8 | | | | 4.2 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 47.0 | | | $ | 45.2 | | | $ | 69.9 | | | Total Underperforming Assets | | $ | 74.1 | | | $ | 72.9 | | | $ | 73.6 | | | $ | 69.9 | | | $ | 86.7 | | | $ | 84.8 | | | $ | 80.6 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 153.2 | | | $ | 115.1 | | | $ | 180.1 | | | Classified Loans — “Problem Loans” | | $ | 153.7 | | | $ | 149.8 | | | $ | 173.8 | | | $ | 180.1 | | | $ | 199.8 | | | $ | 191.3 | | | $ | 174.7 | | | | | |
| — | | | | — | | | | 34.5 | | | Other Classified Assets | | | — | | | | — | | | | — | | | | 34.5 | | | | 96.5 | | | | 145.3 | | | | 174.6 | | | | | |
| 119.8 | | | | 103.2 | | | | 124.9 | | | Criticized Loans — “Special Mention Loans” | | | 103.8 | | | | 97.5 | | | | 114.3 | | | | 124.9 | | | | 86.6 | | | | 101.0 | | | | 94.6 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 273.0 | | | $ | 218.3 | | | $ | 339.5 | | | Total Classified & Criticized Assets | | $ | 257.5 | | | $ | 247.3 | | | $ | 288.2 | | | $ | 339.5 | | | $ | 382.9 | | | $ | 437.6 | | | $ | 443.9 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 0.88 | % | | | 0.87 | % | | | 1.34 | % | | Non-performing loans / EOP Loans (1) | | | 1.50 | % | | | 1.43 | % | | | 1.46 | % | | | 1.34 | % | | | 1.67 | % | | | 1.71 | % | | | 1.80 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 163 | % | | | 138 | % | | | 105 | % | | Allowance to Non-performing Loans | | | 103 | % | | | 91 | % | | | 93 | % | | | 105 | % | | | 93 | % | | | 90 | % | | | 94 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 1.00 | % | | | 0.96 | % | | | 1.46 | % | | Under-performing Assets / EOP Loans (1) | | | 1.58 | % | | | 1.54 | % | | | 1.57 | % | | | 1.46 | % | | | 1.87 | % | | | 1.87 | % | | | 1.96 | % | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 8,149.5 | | | $ | 7,846.1 | | | $ | 7,873.9 | | | EOP Total Assets | | $ | 7,723.5 | | | $ | 7,601.8 | | | $ | 7,568.3 | | | $ | 7,873.9 | | | $ | 8,356.1 | | | $ | 8,012.2 | | | $ | 7,973.5 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 0.58 | % | | | 0.58 | % | | | 0.89 | % | | Under-performing Assets / EOP Assets | | | 0.96 | % | | | 0.96 | % | | | 0.97 | % | | | 0.89 | % | | | 1.04 | % | | | 1.06 | % | | | 1.01 | % | | | | |
| | |
EOP — End of period actual balances |
|
(1) | | Includes residential loans and leases held for sale. |
|
(2) | | Excludes residential loans and leases held for sale. |
|
(3) | | Includes $.6 million in 2Q09 and $4.8 million in 3Q09 of renegotiated loans. |
PAGE 7
Old National Bancorp
NON-GAAP MEASURES
Third Quarter 2009
($ In Millions except EPS information)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | 2008 | | | 2009 | |
2006 | | | 2007 | | | 2008 | | | | | 1st Qtr | | | 2nd Qtr | | | 3rd Qtr | | | 4th Qtr | | | 1st Qtr | | | 2nd Qtr | | | 3rd Qtr | | | 4th Qtr | |
| | | | | | | | | | | | Actual EOP Balances | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 642.4 | | | $ | 652.9 | | | $ | 730.9 | | | GAAP Shareholders’ Equity | | $ | 675.4 | | | $ | 649.0 | | | $ | 635.4 | | | $ | 730.9 | | | $ | 631.8 | | | $ | 634.6 | | | $ | 865.4 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Deduct: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 113.4 | | | | 159.2 | | | | 159.2 | | | Goodwill | | | 159.2 | | | | 159.2 | | | | 159.2 | | | | 159.2 | | | | 167.8 | | | | 167.9 | | | | 167.9 | | | | | |
| 20.8 | | | | 31.8 | | | | 27.6 | | | Intangibles | | | 31.1 | | | | 29.5 | | | | 28.6 | | | | 27.6 | | | | 37.8 | | | | 36.1 | | | | 34.5 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 134.2 | | | | 191.0 | | | | 186.8 | | | | | | 190.3 | | | | 188.7 | | | | 187.8 | | | | 186.8 | | | | 205.6 | | | | 204.0 | | | | 202.4 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
$ | 508.2 | | | $ | 461.9 | | | $ | 544.0 | | | Tangible Shareholders’ Equity | | $ | 485.1 | | | $ | 460.3 | | | $ | 447.6 | | | $ | 544.0 | | | $ | 426.2 | | | $ | 430.6 | | | $ | 663.0 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Deduct: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| — | | | | — | | | | 97.4 | | | Preferred Stock, Surplus & Retained Earnings | | | — | | | | — | | | | — | | | | 97.4 | | | | — | | | | — | | | | — | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
$ | 508.2 | | | $ | 461.9 | | | $ | 446.7 | | | Tangible Common Shareholders’ Equity | | $ | 485.1 | | | $ | 460.3 | | | $ | 447.6 | | | $ | 446.7 | | | $ | 426.2 | | | $ | 430.6 | | | $ | 663.0 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Actual EOP Balances | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 8,149.5 | | | $ | 7,846.1 | | | $ | 7,873.9 | | | GAAP Assets | | $ | 7,723.5 | | | $ | 7,601.8 | | | $ | 7,568.3 | | | $ | 7,873.9 | | | $ | 8,356.1 | | | $ | 8,012.2 | | | $ | 7,973.5 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Add: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 0.8 | | | | 1.7 | | | | 1.0 | | | Trust Overdrafts | | | 0.1 | | | | 0.1 | | | | 0.3 | | | | 1.0 | | | | 0.1 | | | | 0.0 | | | | 0.4 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Deduct: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 113.4 | | | | 159.2 | | | | 159.2 | | | Goodwill | | | 159.2 | | | | 159.2 | | | | 159.2 | | | | 159.2 | | | | 167.8 | | | | 167.9 | | | | 167.9 | | | | | |
| 20.8 | | | | 31.8 | | | | 27.6 | | | Intangibles | | | 31.1 | | | | 29.5 | | | | 28.6 | | | | 27.6 | | | | 37.8 | | | | 36.1 | | | | 34.5 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 134.2 | | | | 191.0 | | | | 186.8 | | | | | | 190.3 | | | | 188.7 | | | | 187.8 | | | | 186.8 | | | | 205.6 | | | | 204.0 | | | | 202.4 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 8,016.2 | | | $ | 7,656.8 | | | $ | 7,688.0 | | | Tangible Assets | | $ | 7,533.2 | | | $ | 7,413.1 | | | $ | 7,380.9 | | | $ | 7,688.0 | | | $ | 8,150.5 | | | $ | 7,808.2 | | | $ | 7,771.6 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 5,695.6 | | | | 5,483.0 | | | | 5,555.2 | | | Risk Weighted Assets | | | 5,496.4 | | | | 5,415.9 | | | | 5,385.5 | | | | 5,555.2 | | | | 5,680.4 | | | | 5,529.0 | | | | 5,410.9 | | | | | |
|
| | | | | | | | | | | | Actual EOP Balances | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 79.4 | | | $ | 74.9 | | | $ | 62.5 | | | GAAP Net Income | | $ | 19.3 | | | $ | 19.5 | | | $ | 17.0 | | | $ | 6.6 | | | $ | 9.4 | | | $ | 9.6 | | | $ | 4.0 | | | | | |
|
| | | | | | | | | | | | Add: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 1.8 | | | | 3.0 | | | | 3.6 | | | Intangible Amortization (net of tax) | | | 0.8 | | | | 1.2 | | | | 0.8 | | | | 0.8 | | | | 0.8 | | | | 1.2 | | | | 1.2 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ | 81.2 | | | $ | 77.9 | | | $ | 66.1 | | | Tangible Net Income | | $ | 20.1 | | | $ | 20.7 | | | $ | 17.8 | | | $ | 7.5 | | | $ | 10.3 | | | $ | 10.9 | | | $ | 5.3 | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | Tangible Ratios | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 15.98 | % | | | 16.87 | % | | | 12.15 | % | | Return on Tangible Equity | | | 16.58 | % | | | 17.96 | % | | | 15.94 | % | | | 5.49 | % | | | 9.62 | % | | | 10.11 | % | | | 3.17 | % | | | | |
| 15.98 | % | | | 16.87 | % | | | 14.79 | % | | Return on Tangible Common Equity | | | 16.58 | % | | | 17.96 | % | | | 15.94 | % | | | 6.69 | % | | | 9.62 | % | | | 10.11 | % | | | 3.17 | % | | | | |
| 1.01 | % | | | 1.02 | % | | | 0.86 | % | | Return on Tangible Assets | | | 1.07 | % | | | 1.12 | % | | | 0.97 | % | | | 0.39 | % | | | 0.50 | % | | | 0.56 | % | | | 0.27 | % | | | | |
| 6.34 | % | | | 6.03 | % | | | 7.08 | % | | Tangible Equity to Tangible Assets | | | 6.44 | % | | | 6.21 | % | | | 6.06 | % | | | 7.08 | % | | | 5.23 | % | | | 5.51 | % | | | 8.53 | % | | | | |
| 8.92 | % | | | 8.42 | % | | | 9.79 | % | | Tangible Equity to Risk Weighted Assets | | | 8.83 | % | | | 8.50 | % | | | 8.31 | % | | | 9.79 | % | | | 7.50 | % | | | 7.79 | % | | | 12.25 | % | | | | |
| 6.34 | % | | | 6.03 | % | | | 5.81 | % | | Tangible Common Equity to Tangible Assets | | | 6.44 | % | | | 6.21 | % | | | 6.06 | % | | | 5.81 | % | | | 5.23 | % | | | 5.51 | % | | | 8.53 | % | | | | |
| 8.92 | % | | | 8.42 | % | | | 8.04 | % | | Tangible Common Equity to Risk Wgt Assets | | | 8.83 | % | | | 8.50 | % | | | 8.31 | % | | | 8.04 | % | | | 7.50 | % | | | 7.79 | % | | | 12.25 | % | | | | |
| 7.64 | | | | 6.98 | | | | 8.20 | | | Tangible Book Value (1) | | | 7.33 | | | | 6.95 | | | | 6.75 | | | | 8.20 | | | | 6.42 | | | | 6.48 | | | | 7.61 | | | | | |
| 7.64 | | | | 6.98 | | | | 6.74 | | | Tangible Common Book Value (2) | | | 7.33 | | | | 6.95 | | | | 6.75 | | | | 6.74 | | | | 6.42 | | | | 6.48 | | | | 7.61 | | | | | |
Tangible Common Equity is defined as GAAP Shareholders’ Equity less Preferred Stock, Goodwill and Intangibles.
Tangible Common Equity presentation includes Other Comprehensive Income (OCI) as is common in other company releases.
| | |
(1) | | Tangible Shareholders’ Equity Divided By Common Shares Issued and Outstanding at Period-End. |
|
(2) | | Tangible Common Shareholders’ Equity Divided By Common Shares Issued and Outstanding at Period-End. |
PAGE 8