EXHIBIT 99.1
First Financial Bancorp Reports Second Quarter 2016 Financial Results
Net Income Increases 14% from First Quarter 2016
Cincinnati, Ohio - July 21, 2016 - First Financial Bancorp (Nasdaq: FFBC) (“First Financial” or the “Company”) announced financial results for the second quarter 2016. For the three months ended June 30, 2016, the Company reported net income of $22.6 million, or $0.36 per diluted common share. These results compare to net income of $19.8 million, or $0.32 per diluted common share, for the first quarter of 2016 and $18.9 million, or $0.31 per diluted common share, for the second quarter of 2015.
Return on average assets for the second quarter of 2016 was 1.11% while return on average tangible common equity was 14.49%. These compare to a return on average assets of 0.98% and return on average tangible common equity of 13.06% in the first quarter of 2016 and a return on average assets of 1.05% and a return on average tangible common equity of 11.60% in the second quarter of 2015.
Second quarter highlights include:
| • | Loan balances increased $196.6 million, or 14.4% on an annualized basis, from the linked quarter |
| • | Stable net interest margin of 3.61%; 3.67% on a fully tax equivalent basis |
| • | Other noninterest income included $2.4 million of previously unrealized income from the redemption of a limited partnership investment and $0.2 million in losses on sales of investment securities |
| • | Other noninterest expense included $0.2 million of expenses related to branch consolidation activities |
| • | Emphasis on expense management reflected in 56.6% efficiency ratio for the quarter |
| • | Provision expense increased $2.4 million as a result of strong loan growth and a moderate increase in classified assets |
Claude Davis, Chief Executive Officer, commented, “We are pleased with another strong quarter of results, which produced our 103rd consecutive quarter of profitability. Strong demand in our metropolitan markets and our specialty finance business resulted in loan growth of 14.4% on an annualized basis during the quarter."
“In addition to strong loan growth during the period, our results reflect a stable net interest margin, disciplined expense management and a steady credit outlook. As we look forward, we remain focused on executing our strategy and raising the performance level of the Company.”
The format of this release announcing our second quarter financial results was updated to include an accompanying slide presentation. Management intends to make reference to the accompanying slides during the earnings conference call on Friday, July 22, 2016.
1
Teleconference / Webcast Information
First Financial’s executive management will host a conference call to discuss the Company’s financial and operating results on Friday, July 22, 2016 at 8:30 a.m. Eastern Standard Time. Members of the public who would like to listen to the conference call should dial (877) 506-6873 (U.S. toll free), (855) 669-9657 (Canada toll free) or +1 (412) 380-2003 (International) (no passcode required). The number should be dialed five to ten minutes prior to the start of the conference call. The conference call will also be accessible as an audio webcast via the Investor Relations section of the Company’s website at www.bankatfirst.com. A replay of the conference call will be available beginning one hour after the completion of the live call at (877) 344-7529 (U.S. toll free), (855) 669-9658 (Canada toll free) and +1 (412) 317-0088 (International); conference number 10084369. The webcast will be archived on the Investor Relations section of the Company’s website for 12 months.
Press Release and Additional Information on Website
This press release as well as supplemental information and any non-GAAP reconciliations related to this release is available to the public through the Investor Relations section of First Financial's website at www.bankatfirst.com.
About First Financial Bancorp
First Financial Bancorp is a Cincinnati, Ohio based bank holding company. As of June 30, 2016, the Company had $8.3 billion in assets, $5.7 billion in loans, $6.1 billion in deposits and $846.7 million in shareholders’ equity. The Company’s subsidiary, First Financial Bank, N.A., founded in 1863, provides banking and financial services products through its five lines of business: commercial, consumer, wealth management, specialty finance and mortgage. The commercial, consumer, specialty finance and mortgage units provide traditional banking services to business and retail clients. First Financial Wealth Management provides wealth planning, portfolio management, trust and estate, brokerage and retirement plan services and had approximately $2.4 billion in assets under management as of June 30, 2016. The Company’s strategic operating markets are located in Ohio, Indiana and Kentucky where it operates 101 banking centers. Additional information about the Company, including its products, services and banking locations is available at www.bankatfirst.com.
Forward-Looking Statement
Certain statements contained in this release which are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act. Examples of forward-looking statements include, but are not limited to, projections of revenues, income or loss, earnings or loss per share, the payment or non-payment of dividends, capital structure and other financial items, statements of plans and objectives of First Financial or its management or board of directors and statements of future economic performances and statements of assumptions underlying such statements. Words such as ‘‘believes,’’ ‘‘anticipates,’’ “likely,” “expected,” ‘‘intends,’’ and other similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements. Management’s analysis contains forward-looking statements that are provided to assist in the understanding of anticipated future financial performance. However, such performance involves risks and uncertainties that may cause actual results to differ materially. These factors include, but are not limited to: economic, market, liquidity, credit, interest rate, operational and technological risks associated with the Company’s business; the effect of and changes in policies and laws or regulatory agencies (notably the recently enacted Dodd-Frank Wall Street Reform and Consumer Protection Act); management’s ability to effectively execute its business plan; mergers and acquisitions, including costs or difficulties related to the integration of acquired companies; the Company’s ability to comply with the terms of loss sharing agreements with the FDIC; the effect of changes in accounting policies and practices; and the costs and effects of litigation and of unexpected or adverse outcomes in such litigation. Please refer to the Company’s Annual Report on Form 10-K for the year ended December 31, 2015, as well as its other filings with the SEC, for a more detailed discussion of these risks, uncertainties and other factors that could cause actual results to differ from those discussed in the forward-looking statements. Such forward-looking statements are meaningful only on the date when such statements are made, and the Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such a statement is made to reflect the occurrence of unanticipated events.
Contact Information
Investors/Analysts Media
John Gavigan Adam Kiefaber
Chief Financial Officer Media Relations
(513) 887-5400 (513) 979-5735
InvestorRelations@bankatfirst.com adam.kiefaber@bankatfirst.com
2
Selected Financial Information
June 30, 2016
(unaudited)
| Contents | Page |
| Consolidated Financial Highlights | 2 |
| Consolidated Statements of Income | 3 |
| Consolidated Quarterly Statements of Income | 4-5 |
| Consolidated Statements of Condition | 6 |
| Average Consolidated Statements of Condition | 7 |
| Net Interest Margin Rate / Volume Analysis | 8-9 |
| Credit Quality | 10 |
| Capital Adequacy | 11 |
| FIRST FINANCIAL BANCORP. | |||||||||||||||||||||||||||
| CONSOLIDATED FINANCIAL HIGHLIGHTS | |||||||||||||||||||||||||||
| (Dollars in thousands, except per share data) | |||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||
| Three Months Ended, | Six months ended, | ||||||||||||||||||||||||||
| Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | Jun. 30, | Jun. 30, | ||||||||||||||||||||||
| 2016 | 2016 | 2015 | 2015 | 2015 | 2016 | 2015 | |||||||||||||||||||||
| RESULTS OF OPERATIONS | |||||||||||||||||||||||||||
| Net income | $ | 22,568 | $ | 19,814 | $ | 19,820 | $ | 18,673 | $ | 18,949 | $ | 42,382 | $ | 36,570 | |||||||||||||
| Net earnings per share - basic | $ | 0.37 | $ | 0.32 | $ | 0.33 | $ | 0.31 | $ | 0.31 | $ | 0.69 | $ | 0.60 | |||||||||||||
| Net earnings per share - diluted | $ | 0.36 | $ | 0.32 | $ | 0.32 | $ | 0.30 | $ | 0.31 | $ | 0.68 | $ | 0.59 | |||||||||||||
| Dividends declared per share | $ | 0.16 | $ | 0.16 | $ | 0.16 | $ | 0.16 | $ | 0.16 | $ | 0.32 | $ | 0.32 | |||||||||||||
| KEY FINANCIAL RATIOS | |||||||||||||||||||||||||||
| Return on average assets | 1.11 | % | 0.98 | % | 0.99 | % | 0.97 | % | 1.05 | % | 1.04 | % | 1.02 | % | |||||||||||||
| Return on average shareholders' equity | 10.84 | % | 9.70 | % | 9.62 | % | 9.12 | % | 9.49 | % | 10.27 | % | 9.28 | % | |||||||||||||
| Return on average tangible shareholders' equity | 14.49 | % | 13.06 | % | 12.98 | % | 12.33 | % | 11.60 | % | 13.78 | % | 11.36 | % | |||||||||||||
| Net interest margin | 3.61 | % | 3.62 | % | 3.63 | % | 3.61 | % | 3.56 | % | 3.62 | % | 3.58 | % | |||||||||||||
Net interest margin (fully tax equivalent) (1) | 3.67 | % | 3.68 | % | 3.69 | % | 3.67 | % | 3.62 | % | 3.67 | % | 3.64 | % | |||||||||||||
| Ending shareholders' equity as a percent of ending assets | 10.19 | % | 10.09 | % | 9.93 | % | 10.32 | % | 10.87 | % | 10.19 | % | 10.87 | % | |||||||||||||
| Ending tangible shareholders' equity as a percent of: | |||||||||||||||||||||||||||
| Ending tangible assets | 7.85 | % | 7.71 | % | 7.53 | % | 7.84 | % | 9.08 | % | 7.85 | % | 9.08 | % | |||||||||||||
| Risk-weighted assets | 9.51 | % | 9.49 | % | 9.47 | % | 9.90 | % | 11.63 | % | 9.51 | % | 11.63 | % | |||||||||||||
| Average shareholders' equity as a percent of average assets | 10.21 | % | 10.12 | % | 10.29 | % | 10.67 | % | 11.05 | % | 10.16 | % | 11.00 | % | |||||||||||||
| Average tangible shareholders' equity as a percent of | |||||||||||||||||||||||||||
| average tangible assets | 7.83 | % | 7.71 | % | 7.83 | % | 8.12 | % | 9.23 | % | 7.78 | % | 9.17 | % | |||||||||||||
| Book value per share | $ | 13.67 | $ | 13.36 | $ | 13.13 | $ | 13.17 | $ | 13.00 | $ | 13.67 | $ | 13.00 | |||||||||||||
| Tangible book value per share | $ | 10.26 | $ | 9.94 | $ | 9.69 | $ | 9.74 | $ | 10.65 | $ | 10.26 | $ | 10.65 | |||||||||||||
Common equity tier 1 ratio (2) | 10.07 | % | 10.16 | % | 10.28 | % | 10.51 | % | 12.34 | % | 10.07 | % | 12.34 | % | |||||||||||||
Tier 1 ratio (2) | 10.07 | % | 10.16 | % | 10.29 | % | 10.52 | % | 12.35 | % | 10.07 | % | 12.35 | % | |||||||||||||
Total capital ratio (2) | 12.70 | % | 12.84 | % | 13.04 | % | 13.37 | % | 13.31 | % | 12.70 | % | 13.31 | % | |||||||||||||
Leverage ratio (2) | 8.38 | % | 8.27 | % | 8.33 | % | 8.58 | % | 9.77 | % | 8.38 | % | 9.77 | % | |||||||||||||
| AVERAGE BALANCE SHEET ITEMS | |||||||||||||||||||||||||||
Loans (3) | $ | 5,569,080 | $ | 5,417,812 | $ | 5,248,465 | $ | 5,032,708 | $ | 4,793,471 | $ | 5,493,446 | $ | 4,782,134 | |||||||||||||
| FDIC indemnification asset | 15,404 | 17,138 | 18,437 | 19,848 | 20,744 | 16,271 | 21,424 | ||||||||||||||||||||
| Investment securities | 1,869,540 | 1,938,772 | 1,934,173 | 1,848,083 | 1,782,785 | 1,904,156 | 1,772,759 | ||||||||||||||||||||
| Interest-bearing deposits with other banks | 21,687 | 24,291 | 18,920 | 37,468 | 19,960 | 22,989 | 20,604 | ||||||||||||||||||||
| Total earning assets | $ | 7,475,711 | $ | 7,398,013 | $ | 7,219,995 | $ | 6,938,107 | $ | 6,616,960 | $ | 7,436,862 | $ | 6,596,921 | |||||||||||||
| Total assets | $ | 8,203,837 | $ | 8,118,945 | $ | 7,950,278 | $ | 7,611,389 | $ | 7,243,886 | $ | 8,161,391 | $ | 7,222,717 | |||||||||||||
| Noninterest-bearing deposits | $ | 1,441,068 | $ | 1,386,768 | $ | 1,402,283 | $ | 1,344,049 | $ | 1,325,485 | $ | 1,413,918 | $ | 1,305,885 | |||||||||||||
| Interest-bearing deposits | 4,867,439 | 4,749,253 | 4,845,056 | 4,615,886 | 4,446,248 | 4,808,346 | 4,404,121 | ||||||||||||||||||||
| Total deposits | $ | 6,308,507 | $ | 6,136,021 | $ | 6,247,339 | $ | 5,959,935 | $ | 5,771,733 | $ | 6,222,264 | $ | 5,710,006 | |||||||||||||
| Borrowings | $ | 965,951 | $ | 1,065,739 | $ | 763,408 | $ | 746,706 | $ | 587,225 | $ | 1,015,845 | $ | 638,832 | |||||||||||||
| Shareholders' equity | $ | 837,412 | $ | 821,588 | $ | 817,756 | $ | 812,396 | $ | 800,598 | $ | 829,500 | $ | 794,588 | |||||||||||||
| CREDIT QUALITY RATIOS | |||||||||||||||||||||||||||
| Allowance to ending loans | 0.99 | % | 0.98 | % | 0.99 | % | 1.02 | % | 1.09 | % | 0.99 | % | 1.09 | % | |||||||||||||
| Allowance to nonaccrual loans | 254.56 | % | 244.16 | % | 190.73 | % | 149.33 | % | 133.28 | % | 254.56 | % | 133.28 | % | |||||||||||||
| Allowance to nonperforming loans | 112.74 | % | 103.07 | % | 93.89 | % | 95.34 | % | 88.49 | % | 112.74 | % | 88.49 | % | |||||||||||||
| Nonperforming loans to total loans | 0.88 | % | 0.95 | % | 1.06 | % | 1.07 | % | 1.23 | % | 0.88 | % | 1.23 | % | |||||||||||||
| Nonperforming assets to ending loans, plus OREO | 1.04 | % | 1.16 | % | 1.30 | % | 1.36 | % | 1.56 | % | 1.04 | % | 1.56 | % | |||||||||||||
| Nonperforming assets to total assets | 0.72 | % | 0.78 | % | 0.86 | % | 0.90 | % | 1.03 | % | 0.72 | % | 1.03 | % | |||||||||||||
| Net charge-offs to average loans (annualized) | 0.08 | % | 0.10 | % | 0.14 | % | 0.17 | % | 0.27 | % | 0.09 | % | 0.23 | % | |||||||||||||
(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest margin and net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.
(2) June 30, 2016 regulatory capital ratios are preliminary.
(3) Includes loans held for sale.
2
| FIRST FINANCIAL BANCORP. | |||||||||||||||||||||
| CONSOLIDATED STATEMENTS OF INCOME | |||||||||||||||||||||
| (Dollars in thousands, except per share data) | |||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||
| Three months ended, | Six months ended, | ||||||||||||||||||||
| Jun. 30, | Jun. 30, | ||||||||||||||||||||
| 2016 | 2015 | % Change | 2016 | 2015 | % Change | ||||||||||||||||
| Interest income | |||||||||||||||||||||
| Loans, including fees | $ | 64,424 | $ | 54,586 | 18.0 | % | $ | 127,823 | $ | 109,050 | 17.2 | % | |||||||||
| Investment securities | |||||||||||||||||||||
| Taxable | 10,706 | 9,281 | 15.4 | % | 22,079 | 18,889 | 16.9 | % | |||||||||||||
| Tax-exempt | 1,156 | 1,139 | 1.5 | % | 2,318 | 2,256 | 2.7 | % | |||||||||||||
| Total investment securities interest | 11,862 | 10,420 | 13.8 | % | 24,397 | 21,145 | 15.4 | % | |||||||||||||
| Other earning assets | (1,103 | ) | (1,162 | ) | 5.1 | % | (2,242 | ) | (2,343 | ) | (4.3 | )% | |||||||||
| Total interest income | 75,183 | 63,844 | 17.8 | % | 149,978 | 127,852 | 17.3 | % | |||||||||||||
| Interest expense | |||||||||||||||||||||
| Deposits | 5,457 | 4,621 | 18.1 | % | 10,987 | 9,441 | 16.4 | % | |||||||||||||
| Short-term borrowings | 1,053 | 253 | 316.2 | % | 2,223 | 556 | 299.8 | % | |||||||||||||
| Long-term borrowings | 1,541 | 296 | 420.6 | % | 3,081 | 595 | 417.8 | % | |||||||||||||
| Total interest expense | 8,051 | 5,170 | 55.7 | % | 16,291 | 10,592 | 53.8 | % | |||||||||||||
| Net interest income | 67,132 | 58,674 | 14.4 | % | 133,687 | 117,260 | 14.0 | % | |||||||||||||
| Provision for loan and lease losses | 4,037 | 3,070 | 31.5 | % | 5,692 | 5,130 | 11.0 | % | |||||||||||||
| Net interest income after provision for loan and lease losses | 63,095 | 55,604 | 13.5 | % | 127,995 | 112,130 | 14.1 | % | |||||||||||||
| Noninterest income | |||||||||||||||||||||
| Service charges on deposit accounts | 4,455 | 4,803 | (7.2 | )% | 8,836 | 9,326 | (5.3 | )% | |||||||||||||
| Trust and wealth management fees | 3,283 | 3,274 | 0.3 | % | 6,723 | 6,908 | (2.7 | )% | |||||||||||||
| Bankcard income | 3,130 | 2,972 | 5.3 | % | 6,012 | 5,592 | 7.5 | % | |||||||||||||
| Client derivative fees | 1,799 | 878 | 104.9 | % | 2,894 | 1,840 | 57.3 | % | |||||||||||||
| Net gains from sales of loans | 1,846 | 1,924 | (4.1 | )% | 3,027 | 3,388 | (10.7 | )% | |||||||||||||
| Net gain on sale of investment securities | (188 | ) | 1,094 | (117.2 | )% | (164 | ) | 1,094 | (115.0 | )% | |||||||||||
| FDIC loss sharing income | 59 | (304 | ) | (119.4 | )% | (506 | ) | (1,350 | ) | (62.5 | )% | ||||||||||
| Accelerated discount on covered / formerly covered loans | 1,191 | 4,094 | (70.9 | )% | 2,162 | 6,186 | (65.1 | )% | |||||||||||||
| Other | 4,619 | 2,680 | 72.4 | % | 6,722 | 6,044 | 11.2 | % | |||||||||||||
| Total noninterest income | 20,194 | 21,415 | (5.7 | )% | 35,706 | 39,028 | (8.5 | )% | |||||||||||||
| Noninterest expenses | |||||||||||||||||||||
| Salaries and employee benefits | 29,526 | 27,451 | 7.6 | % | 59,141 | 54,392 | 8.7 | % | |||||||||||||
| Net occupancy | 4,491 | 4,380 | 2.5 | % | 9,448 | 9,385 | 0.7 | % | |||||||||||||
| Furniture and equipment | 2,130 | 2,219 | (4.0 | )% | 4,343 | 4,372 | (0.7 | )% | |||||||||||||
| Data processing | 2,765 | 2,657 | 4.1 | % | 5,483 | 5,429 | 1.0 | % | |||||||||||||
| Marketing | 801 | 973 | (17.7 | )% | 1,866 | 1,861 | 0.3 | % | |||||||||||||
| Communication | 477 | 558 | (14.5 | )% | 958 | 1,128 | (15.1 | )% | |||||||||||||
| Professional services | 1,299 | 1,727 | (24.8 | )% | 3,112 | 3,697 | (15.8 | )% | |||||||||||||
| State intangible tax | 639 | 577 | 10.7 | % | 1,278 | 1,154 | 10.7 | % | |||||||||||||
| FDIC assessments | 1,112 | 1,114 | (0.2 | )% | 2,244 | 2,204 | 1.8 | % | |||||||||||||
| Loss (gain) - other real estate owned | 43 | 419 | (89.7 | )% | (147 | ) | 893 | (116.5 | )% | ||||||||||||
| Loss sharing expense | (12 | ) | 576 | (102.1 | )% | 285 | 877 | (67.5 | )% | ||||||||||||
| Other | 6,142 | 6,135 | 0.1 | % | 12,122 | 11,462 | 5.8 | % | |||||||||||||
| Total noninterest expenses | 49,413 | 48,786 | 1.3 | % | 100,133 | 96,854 | 3.4 | % | |||||||||||||
| Income before income taxes | 33,876 | 28,233 | 20.0 | % | 63,568 | 54,304 | 17.1 | % | |||||||||||||
| Income tax expense | 11,308 | 9,284 | 21.8 | % | 21,186 | 17,734 | 19.5 | % | |||||||||||||
| Net income | $ | 22,568 | $ | 18,949 | 19.1 | % | $ | 42,382 | $ | 36,570 | 15.9 | % | |||||||||
| ADDITIONAL DATA | |||||||||||||||||||||
| Net earnings per share - basic | $ | 0.37 | $ | 0.31 | $ | 0.69 | $ | 0.60 | |||||||||||||
| Net earnings per share - diluted | $ | 0.36 | $ | 0.31 | $ | 0.68 | $ | 0.59 | |||||||||||||
| Dividends declared per share | $ | 0.16 | $ | 0.16 | $ | 0.32 | $ | 0.32 | |||||||||||||
| Return on average assets | 1.11 | % | 1.05 | % | 1.04 | % | 1.02 | % | |||||||||||||
| Return on average shareholders' equity | 10.84 | % | 9.49 | % | 10.27 | % | 9.28 | % | |||||||||||||
| Interest income | $ | 75,183 | $ | 63,844 | 17.8 | % | $ | 149,978 | $ | 127,852 | 17.3 | % | |||||||||
| Tax equivalent adjustment | 1,058 | 988 | 7.1 | % | 2,110 | 1,971 | 7.1 | % | |||||||||||||
| Interest income - tax equivalent | 76,241 | 64,832 | 17.6 | % | 152,088 | 129,823 | 17.2 | % | |||||||||||||
| Interest expense | 8,051 | 5,170 | 55.7 | % | 16,291 | 10,592 | 53.8 | % | |||||||||||||
| Net interest income - tax equivalent | $ | 68,190 | $ | 59,662 | 14.3 | % | $ | 135,797 | $ | 119,231 | 13.9 | % | |||||||||
| Net interest margin | 3.61 | % | 3.56 | % | 3.62 | % | 3.58 | % | |||||||||||||
Net interest margin (fully tax equivalent) (1) | 3.67 | % | 3.62 | % | 3.67 | % | 3.64 | % | |||||||||||||
| Full-time equivalent employees | 1,403 | 1,366 | |||||||||||||||||||
| (1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons. | |||||||||||||||||||||
| N/M = Not meaningful. | |||||||||||||||||||||
3
| FIRST FINANCIAL BANCORP. | |||||||||||||||
| CONSOLIDATED QUARTERLY STATEMENTS OF INCOME | |||||||||||||||
| (Dollars in thousands, except per share data) | |||||||||||||||
| (Unaudited) | |||||||||||||||
| 2016 | |||||||||||||||
| Second | First | Full | % Change | ||||||||||||
| Quarter | Quarter | Year | Linked Qtr. | ||||||||||||
| Interest income | |||||||||||||||
| Loans, including fees | $ | 64,424 | $ | 63,399 | $ | 127,823 | 1.6 | % | |||||||
| Investment securities | |||||||||||||||
| Taxable | 10,706 | 11,373 | 22,079 | (5.9 | )% | ||||||||||
| Tax-exempt | 1,156 | 1,162 | 2,318 | (0.5 | )% | ||||||||||
| Total investment securities interest | 11,862 | 12,535 | 24,397 | (5.4 | )% | ||||||||||
| Other earning assets | (1,103 | ) | (1,139 | ) | (2,242 | ) | 3.2 | % | |||||||
| Total interest income | 75,183 | 74,795 | 149,978 | 0.5 | % | ||||||||||
| Interest expense | |||||||||||||||
| Deposits | 5,457 | 5,530 | 10,987 | (1.3 | )% | ||||||||||
| Short-term borrowings | 1,053 | 1,170 | 2,223 | (10.0 | )% | ||||||||||
| Long-term borrowings | 1,541 | 1,540 | 3,081 | 0.1 | % | ||||||||||
| Total interest expense | 8,051 | 8,240 | 16,291 | (2.3 | )% | ||||||||||
| Net interest income | 67,132 | 66,555 | 133,687 | 0.9 | % | ||||||||||
| Provision for loan and lease losses | 4,037 | 1,655 | 5,692 | 143.9 | % | ||||||||||
| Net interest income after provision for loan and lease losses | 63,095 | 64,900 | 127,995 | (2.8 | )% | ||||||||||
| Noninterest income | |||||||||||||||
| Service charges on deposit accounts | 4,455 | 4,381 | 8,836 | 1.7 | % | ||||||||||
| Trust and wealth management fees | 3,283 | 3,440 | 6,723 | (4.6 | )% | ||||||||||
| Bankcard income | 3,130 | 2,882 | 6,012 | 8.6 | % | ||||||||||
| Client derivative fees | 1,799 | 1,095 | 2,894 | 64.3 | % | ||||||||||
| Net gains from sales of loans | 1,846 | 1,181 | 3,027 | 56.3 | % | ||||||||||
| Net gain on sale of investment securities | (188 | ) | 24 | (164 | ) | 100.0 | % | ||||||||
| FDIC loss sharing income | 59 | (565 | ) | (506 | ) | (110.4 | )% | ||||||||
| Accelerated discount on covered / formerly covered loans | 1,191 | 971 | 2,162 | 22.7 | % | ||||||||||
| Other | 4,619 | 2,103 | 6,722 | 119.6 | % | ||||||||||
| Total noninterest income | 20,194 | 15,512 | 35,706 | 30.2 | % | ||||||||||
| Noninterest expenses | |||||||||||||||
| Salaries and employee benefits | 29,526 | 29,615 | 59,141 | (0.3 | )% | ||||||||||
| Net occupancy | 4,491 | 4,957 | 9,448 | (9.4 | )% | ||||||||||
| Furniture and equipment | 2,130 | 2,213 | 4,343 | (3.8 | )% | ||||||||||
| Data processing | 2,765 | 2,718 | 5,483 | 1.7 | % | ||||||||||
| Marketing | 801 | 1,065 | 1,866 | (24.8 | )% | ||||||||||
| Communication | 477 | 481 | 958 | (0.8 | )% | ||||||||||
| Professional services | 1,299 | 1,813 | 3,112 | (28.4 | )% | ||||||||||
| State intangible tax | 639 | 639 | 1,278 | 0.0 | % | ||||||||||
| FDIC assessments | 1,112 | 1,132 | 2,244 | (1.8 | )% | ||||||||||
| Loss (gain) - other real estate owned | 43 | (190 | ) | (147 | ) | (122.6 | )% | ||||||||
| Loss sharing expense | (12 | ) | 297 | 285 | (104.0 | )% | |||||||||
| Other | 6,142 | 5,980 | 12,122 | 2.7 | % | ||||||||||
| Total noninterest expenses | 49,413 | 50,720 | 100,133 | (2.6 | )% | ||||||||||
| Income before income taxes | 33,876 | 29,692 | 63,568 | 14.1 | % | ||||||||||
| Income tax expense | 11,308 | 9,878 | 21,186 | 14.5 | % | ||||||||||
| Net income | $ | 22,568 | $ | 19,814 | $ | 42,382 | 13.9 | % | |||||||
| ADDITIONAL DATA | |||||||||||||||
| Net earnings per share - basic | $ | 0.37 | $ | 0.32 | $ | 0.69 | |||||||||
| Net earnings per share - diluted | $ | 0.36 | $ | 0.32 | $ | 0.68 | |||||||||
| Dividends declared per share | $ | 0.16 | $ | 0.16 | $ | 0.32 | |||||||||
| Return on average assets | 1.11 | % | 0.98 | % | 1.04 | % | |||||||||
| Return on average shareholders' equity | 10.84 | % | 9.70 | % | 10.27 | % | |||||||||
| Interest income | $ | 75,183 | $ | 74,795 | $ | 149,978 | 0.5 | % | |||||||
| Tax equivalent adjustment | 1,058 | 1,052 | 2,110 | 0.6 | % | ||||||||||
| Interest income - tax equivalent | 76,241 | 75,847 | 152,088 | 0.5 | % | ||||||||||
| Interest expense | 8,051 | 8,240 | 16,291 | (2.3 | )% | ||||||||||
| Net interest income - tax equivalent | $ | 68,190 | $ | 67,607 | $ | 135,797 | 0.9 | % | |||||||
| Net interest margin | 3.61 | % | 3.62 | % | 3.62 | % | |||||||||
Net interest margin (fully tax equivalent) (1) | 3.67 | % | 3.68 | % | 3.67 | % | |||||||||
| Full-time equivalent employees | 1,403 | 1,390 | |||||||||||||
| (1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons. | |||||||||||||||
| N/M = Not meaningful. | |||||||||||||||
4
| FIRST FINANCIAL BANCORP. | |||||||||||||||||||
| CONSOLIDATED QUARTERLY STATEMENTS OF INCOME | |||||||||||||||||||
| (Dollars in thousands, except per share data) | |||||||||||||||||||
| (Unaudited) | |||||||||||||||||||
| 2015 | |||||||||||||||||||
| Fourth | Third | Second | First | Full | |||||||||||||||
| Quarter | Quarter | Quarter | Quarter | Year | |||||||||||||||
| Interest income | |||||||||||||||||||
| Loans, including fees | $ | 62,502 | $ | 58,694 | $ | 54,586 | $ | 54,464 | $ | 230,246 | |||||||||
| Investment securities | |||||||||||||||||||
| Taxable | 10,702 | 9,986 | 9,281 | 9,608 | 39,577 | ||||||||||||||
| Tax-exempt | 1,192 | 1,163 | 1,139 | 1,117 | 4,611 | ||||||||||||||
| Total investment securities interest | 11,894 | 11,149 | 10,420 | 10,725 | 44,188 | ||||||||||||||
| Other earning assets | (1,164 | ) | (1,168 | ) | (1,162 | ) | (1,181 | ) | (4,675 | ) | |||||||||
| Total interest income | 73,232 | 68,675 | 63,844 | 64,008 | 269,759 | ||||||||||||||
| Interest expense | |||||||||||||||||||
| Deposits | 5,172 | 4,861 | 4,621 | 4,820 | 19,474 | ||||||||||||||
| Short-term borrowings | 434 | 374 | 253 | 303 | 1,364 | ||||||||||||||
| Long-term borrowings | 1,543 | 281 | 296 | 299 | 2,419 | ||||||||||||||
| Total interest expense | 7,149 | 5,516 | 5,170 | 5,422 | 23,257 | ||||||||||||||
| Net interest income | 66,083 | 63,159 | 58,674 | 58,586 | 246,502 | ||||||||||||||
| Provision for loan and lease losses | 1,864 | 2,647 | 3,070 | 2,060 | 9,641 | ||||||||||||||
| Net interest income after provision for loan and lease losses | 64,219 | 60,512 | 55,604 | 56,526 | 236,861 | ||||||||||||||
| Noninterest income | |||||||||||||||||||
| Service charges on deposit accounts | 4,755 | 4,934 | 4,803 | 4,523 | 19,015 | ||||||||||||||
| Trust and wealth management fees | 3,086 | 3,134 | 3,274 | 3,634 | 13,128 | ||||||||||||||
| Bankcard income | 3,077 | 2,909 | 2,972 | 2,620 | 11,578 | ||||||||||||||
| Client derivative fees | 945 | 1,604 | 878 | 962 | 4,389 | ||||||||||||||
| Net gains from sales of loans | 1,325 | 1,758 | 1,924 | 1,464 | 6,471 | ||||||||||||||
| Net gain on sale of investment securities | 2 | 409 | 1,094 | 0 | 1,505 | ||||||||||||||
| FDIC loss sharing income | (164 | ) | (973 | ) | (304 | ) | (1,046 | ) | (2,487 | ) | |||||||||
| Accelerated discount on covered / formerly covered loans | 785 | 3,820 | 4,094 | 2,092 | 10,791 | ||||||||||||||
| Other | 2,008 | 2,760 | 2,680 | 3,364 | 10,812 | ||||||||||||||
| Total noninterest income | 15,819 | 20,355 | 21,415 | 17,613 | 75,202 | ||||||||||||||
| Noninterest expenses | |||||||||||||||||||
| Salaries and employee benefits | 29,632 | 27,768 | 27,451 | 26,941 | 111,792 | ||||||||||||||
| Net occupancy | 4,337 | 4,510 | 4,380 | 5,005 | 18,232 | ||||||||||||||
| Furniture and equipment | 2,185 | 2,165 | 2,219 | 2,153 | 8,722 | ||||||||||||||
| Data processing | 2,843 | 2,591 | 2,657 | 2,772 | 10,863 | ||||||||||||||
| Marketing | 1,052 | 810 | 973 | 888 | 3,723 | ||||||||||||||
| Communication | 502 | 531 | 558 | 570 | 2,161 | ||||||||||||||
| Professional services | 1,833 | 4,092 | 1,727 | 1,970 | 9,622 | ||||||||||||||
| State intangible tax | 598 | 579 | 577 | 577 | 2,331 | ||||||||||||||
| FDIC assessments | 1,139 | 1,103 | 1,114 | 1,090 | 4,446 | ||||||||||||||
| Loss (gain) - other real estate owned | 772 | 196 | 419 | 474 | 1,861 | ||||||||||||||
| Loss sharing expense | 414 | 574 | 576 | 301 | 1,865 | ||||||||||||||
| Other | 5,977 | 8,073 | 6,135 | 5,327 | 25,512 | ||||||||||||||
| Total noninterest expenses | 51,284 | 52,992 | 48,786 | 48,068 | 201,130 | ||||||||||||||
| Income before income taxes | 28,754 | 27,875 | 28,233 | 26,071 | 110,933 | ||||||||||||||
| Income tax expense | 8,934 | 9,202 | 9,284 | 8,450 | 35,870 | ||||||||||||||
| Net income | $ | 19,820 | $ | 18,673 | $ | 18,949 | $ | 17,621 | $ | 75,063 | |||||||||
| ADDITIONAL DATA | |||||||||||||||||||
| Net earnings per share - basic | $ | 0.33 | $ | 0.31 | $ | 0.31 | $ | 0.29 | $ | 1.23 | |||||||||
| Net earnings per share - diluted | $ | 0.32 | $ | 0.30 | $ | 0.31 | $ | 0.29 | $ | 1.21 | |||||||||
| Dividends declared per share | $ | 0.16 | $ | 0.16 | $ | 0.16 | $ | 0.16 | $ | 0.64 | |||||||||
| Return on average assets | 0.99 | % | 0.97 | % | 1.05 | % | 0.99 | % | 1.00 | % | |||||||||
| Return on average shareholders' equity | 9.62 | % | 9.12 | % | 9.49 | % | 9.06 | % | 9.33 | % | |||||||||
| Interest income | $ | 73,232 | $ | 68,675 | $ | 63,844 | $ | 64,008 | $ | 269,759 | |||||||||
| Tax equivalent adjustment | 1,046 | 1,000 | 988 | 983 | 4,017 | ||||||||||||||
| Interest income - tax equivalent | 74,278 | 69,675 | 64,832 | 64,991 | 273,776 | ||||||||||||||
| Interest expense | 7,149 | 5,516 | 5,170 | 5,422 | 23,257 | ||||||||||||||
| Net interest income - tax equivalent | $ | 67,129 | $ | 64,159 | $ | 59,662 | $ | 59,569 | $ | 250,519 | |||||||||
| Net interest margin | 3.63 | % | 3.61 | % | 3.56 | % | 3.61 | % | 3.60 | % | |||||||||
Net interest margin (fully tax equivalent) (1) | 3.69 | % | 3.67 | % | 3.62 | % | 3.67 | % | 3.66 | % | |||||||||
| Full-time equivalent employees | 1,400 | 1,394 | 1,366 | 1,353 | |||||||||||||||
| (1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons. | |||||||||||||||||||
5
| FIRST FINANCIAL BANCORP. | |||||||||||||||||||||||||
| CONSOLIDATED STATEMENTS OF CONDITION | |||||||||||||||||||||||||
| (Dollars in thousands) | |||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||
| Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | Jun. 30, | % Change | % Change | |||||||||||||||||||
| 2016 | 2016 | 2015 | 2015 | 2015 | Linked Qtr. | Comparable Qtr. | |||||||||||||||||||
| ASSETS | |||||||||||||||||||||||||
| Cash and due from banks | $ | 106,174 | $ | 102,675 | $ | 114,841 | $ | 112,298 | $ | 116,318 | 3.4 | % | (8.7 | )% | |||||||||||
| Interest-bearing deposits with other banks | 18,911 | 15,582 | 33,734 | 24,191 | 41,027 | 21.4 | % | (53.9 | )% | ||||||||||||||||
| Investment securities available-for-sale | 1,114,349 | 1,164,319 | 1,190,642 | 1,069,667 | 955,764 | (4.3 | )% | 16.6 | % | ||||||||||||||||
| Investment securities held-to-maturity | 670,111 | 702,315 | 726,259 | 756,035 | 791,839 | (4.6 | )% | (15.4 | )% | ||||||||||||||||
| Other investments | 51,261 | 53,255 | 53,725 | 53,431 | 53,585 | (3.7 | )% | (4.3 | )% | ||||||||||||||||
| Loans held for sale | 10,494 | 15,369 | 20,957 | 26,287 | 21,151 | (31.7 | )% | (50.4 | )% | ||||||||||||||||
| Loans and leases | |||||||||||||||||||||||||
| Commercial and industrial | 1,794,533 | 1,744,732 | 1,663,102 | 1,637,467 | 1,315,087 | 2.9 | % | 36.5 | % | ||||||||||||||||
| Lease financing | 100,263 | 101,135 | 93,986 | 82,679 | 84,723 | (0.9 | )% | 18.3 | % | ||||||||||||||||
| Construction - real estate | 374,949 | 341,453 | 311,712 | 276,240 | 229,256 | 9.8 | % | 63.6 | % | ||||||||||||||||
| Commercial - real estate | 2,363,456 | 2,261,857 | 2,258,297 | 2,169,662 | 2,171,806 | 4.5 | % | 8.8 | % | ||||||||||||||||
| Residential - real estate | 512,800 | 508,512 | 512,311 | 506,653 | 506,391 | 0.8 | % | 1.3 | % | ||||||||||||||||
| Home equity | 467,549 | 466,010 | 466,629 | 463,629 | 463,222 | 0.3 | % | 0.9 | % | ||||||||||||||||
| Installment | 46,917 | 41,627 | 41,506 | 39,974 | 43,073 | 12.7 | % | 8.9 | % | ||||||||||||||||
| Credit card | 40,746 | 39,283 | 41,217 | 39,759 | 39,216 | 3.7 | % | 3.9 | % | ||||||||||||||||
| Total loans | 5,701,213 | 5,504,609 | 5,388,760 | 5,216,063 | 4,852,774 | 3.6 | % | 17.5 | % | ||||||||||||||||
| Less | |||||||||||||||||||||||||
| Allowance for loan and lease losses | 56,708 | 53,732 | 53,398 | 53,332 | 52,876 | 5.5 | % | 7.2 | % | ||||||||||||||||
| Net loans | 5,644,505 | 5,450,877 | 5,335,362 | 5,162,731 | 4,799,898 | 3.6 | % | 17.6 | % | ||||||||||||||||
| Premises and equipment | 133,969 | 138,036 | 136,603 | 139,020 | 139,170 | (2.9 | )% | (3.7 | )% | ||||||||||||||||
| Goodwill and other intangibles | 211,199 | 211,533 | 211,865 | 211,732 | 145,465 | (0.2 | )% | 45.2 | % | ||||||||||||||||
| FDIC indemnification asset | 14,504 | 16,256 | 17,630 | 18,931 | 20,338 | (10.8 | )% | (28.7 | )% | ||||||||||||||||
| Accrued interest and other assets | 334,625 | 323,337 | 305,793 | 306,210 | 298,817 | 3.5 | % | 12.0 | % | ||||||||||||||||
| Total Assets | $ | 8,310,102 | $ | 8,193,554 | $ | 8,147,411 | $ | 7,880,533 | $ | 7,383,372 | 1.4 | % | 12.6 | % | |||||||||||
| LIABILITIES | |||||||||||||||||||||||||
| Deposits | |||||||||||||||||||||||||
| Interest-bearing demand | $ | 1,436,078 | $ | 1,430,963 | $ | 1,414,291 | $ | 1,330,673 | $ | 1,175,219 | 0.4 | % | 22.2 | % | |||||||||||
| Savings | 1,974,449 | 1,922,892 | 1,945,805 | 1,979,627 | 1,947,566 | 2.7 | % | 1.4 | % | ||||||||||||||||
| Time | 1,279,934 | 1,414,313 | 1,406,124 | 1,440,223 | 1,262,881 | (9.5 | )% | 1.4 | % | ||||||||||||||||
| Total interest-bearing deposits | 4,690,461 | 4,768,168 | 4,766,220 | 4,750,523 | 4,385,666 | (1.6 | )% | 6.9 | % | ||||||||||||||||
| Noninterest-bearing | 1,429,163 | 1,408,609 | 1,413,404 | 1,330,905 | 1,330,149 | 1.5 | % | 7.4 | % | ||||||||||||||||
| Total deposits | 6,119,624 | 6,176,777 | 6,179,624 | 6,081,428 | 5,715,815 | (0.9 | )% | 7.1 | % | ||||||||||||||||
| Federal funds purchased and securities sold | |||||||||||||||||||||||||
| under agreements to repurchase | 80,084 | 75,499 | 89,325 | 62,317 | 68,349 | 6.1 | % | 17.2 | % | ||||||||||||||||
| FHLB short-term borrowings | 1,035,000 | 894,400 | 849,100 | 701,200 | 641,700 | 15.7 | % | 61.3 | % | ||||||||||||||||
| Total short-term borrowings | 1,115,084 | 969,899 | 938,425 | 763,517 | 710,049 | 15.0 | % | 57.0 | % | ||||||||||||||||
| Long-term debt | 119,596 | 119,556 | 119,540 | 119,515 | 47,084 | 0.0 | % | 154.0 | % | ||||||||||||||||
| Total borrowed funds | 1,234,680 | 1,089,455 | 1,057,965 | 883,032 | 757,133 | 13.3 | % | 63.1 | % | ||||||||||||||||
| Accrued interest and other liabilities | 109,075 | 100,735 | 100,446 | 103,061 | 108,041 | 8.3 | % | 1.0 | % | ||||||||||||||||
| Total Liabilities | 7,463,379 | 7,366,967 | 7,338,035 | 7,067,521 | 6,580,989 | 1.3 | % | 13.4 | % | ||||||||||||||||
| SHAREHOLDERS' EQUITY | |||||||||||||||||||||||||
| Common stock | 567,687 | 567,497 | 571,155 | 570,025 | 571,501 | 0.0 | % | (0.7 | )% | ||||||||||||||||
| Retained earnings | 410,893 | 398,224 | 388,240 | 378,258 | 369,462 | 3.2 | % | 11.2 | % | ||||||||||||||||
| Accumulated other comprehensive loss | (17,688 | ) | (23,209 | ) | (30,580 | ) | (17,219 | ) | (20,715 | ) | (23.8 | )% | (14.6 | )% | |||||||||||
| Treasury stock, at cost | (114,169 | ) | (115,925 | ) | (119,439 | ) | (118,052 | ) | (117,865 | ) | (1.5 | )% | (3.1 | )% | |||||||||||
| Total Shareholders' Equity | 846,723 | 826,587 | 809,376 | 813,012 | 802,383 | 2.4 | % | 5.5 | % | ||||||||||||||||
| Total Liabilities and Shareholders' Equity | $ | 8,310,102 | $ | 8,193,554 | $ | 8,147,411 | $ | 7,880,533 | $ | 7,383,372 | 1.4 | % | 12.6 | % | |||||||||||
6
| FIRST FINANCIAL BANCORP. | |||||||||||||||||||||||||||
| AVERAGE CONSOLIDATED STATEMENTS OF CONDITION | |||||||||||||||||||||||||||
| (Dollars in thousands) | |||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||
| Quarterly Averages | Year-to-Date Averages | ||||||||||||||||||||||||||
| Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | Jun. 30, | June 30, | ||||||||||||||||||||||
| 2016 | 2016 | 2015 | 2015 | 2015 | 2016 | 2015 | |||||||||||||||||||||
| ASSETS | |||||||||||||||||||||||||||
| Cash and due from banks | $ | 121,426 | $ | 117,782 | $ | 119,881 | $ | 114,279 | $ | 114,024 | $ | 119,604 | $ | 113,436 | |||||||||||||
| Federal funds sold | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
| Interest-bearing deposits with other banks | 21,687 | 24,291 | 18,920 | 37,468 | 19,960 | 22,989 | 20,604 | ||||||||||||||||||||
| Investment securities | 1,869,540 | 1,938,772 | 1,934,173 | 1,848,083 | 1,782,785 | 1,904,156 | 1,772,759 | ||||||||||||||||||||
| Loans held for sale | 11,752 | 13,216 | 18,677 | 15,185 | 9,292 | 12,484 | 8,951 | ||||||||||||||||||||
| Loans and leases | |||||||||||||||||||||||||||
| Commercial and industrial | 1,752,237 | 1,657,279 | 1,612,485 | 1,464,508 | 1,318,408 | 1,704,758 | 1,309,687 | ||||||||||||||||||||
| Lease financing | 100,103 | 94,935 | 89,200 | 83,300 | 82,578 | 97,519 | 220,877 | ||||||||||||||||||||
| Construction - real estate | 348,100 | 322,600 | 295,574 | 259,972 | 226,314 | 335,350 | 2,123,409 | ||||||||||||||||||||
| Commercial - real estate | 2,294,980 | 2,270,686 | 2,180,015 | 2,164,917 | 2,117,450 | 2,282,833 | 496,903 | ||||||||||||||||||||
| Residential - real estate | 510,262 | 509,422 | 505,208 | 500,544 | 497,350 | 509,842 | 44,379 | ||||||||||||||||||||
| Home equity | 466,170 | 466,722 | 465,131 | 462,283 | 459,414 | 466,446 | 458,752 | ||||||||||||||||||||
| Installment | 44,438 | 41,698 | 41,148 | 42,008 | 43,393 | 43,068 | 38,843 | ||||||||||||||||||||
| Credit card | 41,038 | 41,254 | 41,027 | 39,991 | 39,272 | 41,146 | 80,333 | ||||||||||||||||||||
| Total loans | 5,557,328 | 5,404,596 | 5,229,788 | 5,017,523 | 4,784,179 | 5,480,962 | 4,773,183 | ||||||||||||||||||||
| Less | |||||||||||||||||||||||||||
| Allowance for loan and lease losses | 55,504 | 54,882 | 53,731 | 54,398 | 54,662 | 55,193 | 54,158 | ||||||||||||||||||||
| Net loans | 5,501,824 | 5,349,714 | 5,176,057 | 4,963,125 | 4,729,517 | 5,425,769 | 4,719,025 | ||||||||||||||||||||
| Premises and equipment | 137,927 | 138,377 | 138,689 | 139,457 | 140,117 | 138,152 | 140,632 | ||||||||||||||||||||
| Goodwill and other intangibles | 211,363 | 211,707 | 211,722 | 179,333 | 145,500 | 211,535 | 145,594 | ||||||||||||||||||||
| FDIC indemnification asset | 15,404 | 17,138 | 18,437 | 19,848 | 20,744 | 16,271 | 21,424 | ||||||||||||||||||||
| Accrued interest and other assets | 312,914 | 307,948 | 313,722 | 294,611 | 281,947 | 310,431 | 280,292 | ||||||||||||||||||||
| Total Assets | $ | 8,203,837 | $ | 8,118,945 | $ | 7,950,278 | $ | 7,611,389 | $ | 7,243,886 | $ | 8,161,391 | $ | 7,222,717 | |||||||||||||
| LIABILITIES | |||||||||||||||||||||||||||
| Deposits | |||||||||||||||||||||||||||
| Interest-bearing demand | $ | 1,483,025 | $ | 1,391,591 | $ | 1,423,915 | $ | 1,230,621 | $ | 1,220,391 | $ | 1,437,308 | $ | 1,198,449 | |||||||||||||
| Savings | 2,042,188 | 1,938,206 | 2,005,100 | 2,015,373 | 1,950,127 | 1,990,197 | 1,932,523 | ||||||||||||||||||||
| Time | 1,342,226 | 1,419,456 | 1,416,041 | 1,369,892 | 1,275,730 | 1,380,841 | 1,273,149 | ||||||||||||||||||||
| Total interest-bearing deposits | 4,867,439 | 4,749,253 | 4,845,056 | 4,615,886 | 4,446,248 | 4,808,346 | 4,404,121 | ||||||||||||||||||||
| Noninterest-bearing | 1,441,068 | 1,386,768 | 1,402,283 | 1,344,049 | 1,325,485 | 1,413,918 | 1,305,885 | ||||||||||||||||||||
| Total deposits | 6,308,507 | 6,136,021 | 6,247,339 | 5,959,935 | 5,771,733 | 6,222,264 | 5,710,006 | ||||||||||||||||||||
| Federal funds purchased and securities sold | |||||||||||||||||||||||||||
| under agreements to repurchase | 86,457 | 89,349 | 79,354 | 68,505 | 67,664 | 87,903 | 72,440 | ||||||||||||||||||||
| FHLB short-term borrowings | 759,919 | 856,837 | 564,522 | 606,618 | 472,295 | 808,378 | 518,848 | ||||||||||||||||||||
| Total short-term borrowings | 846,376 | 946,186 | 643,876 | 675,123 | 539,959 | 896,281 | 591,288 | ||||||||||||||||||||
| Long-term debt | 119,575 | 119,553 | 119,532 | 71,583 | 47,266 | 119,564 | 47,544 | ||||||||||||||||||||
| Total borrowed funds | 965,951 | 1,065,739 | 763,408 | 746,706 | 587,225 | 1,015,845 | 638,832 | ||||||||||||||||||||
| Accrued interest and other liabilities | 91,967 | 95,597 | 121,775 | 92,352 | 84,330 | 93,782 | 79,291 | ||||||||||||||||||||
| Total Liabilities | 7,366,425 | 7,297,357 | 7,132,522 | 6,798,993 | 6,443,288 | 7,331,891 | 6,428,129 | ||||||||||||||||||||
| SHAREHOLDERS' EQUITY | |||||||||||||||||||||||||||
| Common stock | 567,682 | 570,558 | 570,510 | 570,723 | 571,078 | 569,120 | 572,497 | ||||||||||||||||||||
| Retained earnings | 406,788 | 395,756 | 385,295 | 378,160 | 365,847 | 401,272 | 360,875 | ||||||||||||||||||||
| Accumulated other comprehensive loss | (21,901 | ) | (26,165 | ) | (18,962 | ) | (19,725 | ) | (18,242 | ) | (24,033 | ) | (19,197 | ) | |||||||||||||
| Treasury stock, at cost | (115,157 | ) | (118,561 | ) | (119,087 | ) | (116,762 | ) | (118,085 | ) | (116,859 | ) | (119,587 | ) | |||||||||||||
| Total Shareholders' Equity | 837,412 | 821,588 | 817,756 | 812,396 | 800,598 | 829,500 | 794,588 | ||||||||||||||||||||
| Total Liabilities and Shareholders' Equity | $ | 8,203,837 | $ | 8,118,945 | $ | 7,950,278 | $ | 7,611,389 | $ | 7,243,886 | $ | 8,161,391 | $ | 7,222,717 | |||||||||||||
7
| FIRST FINANCIAL BANCORP. | |||||||||||||||||||||||||||||||||||
NET INTEREST MARGIN RATE/VOLUME ANALYSIS (1) | |||||||||||||||||||||||||||||||||||
| (Dollars in thousands) | |||||||||||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||||||||||
| Quarterly Averages | Year-to-Date Averages | ||||||||||||||||||||||||||||||||||
| June 30, 2016 | March 31, 2016 | June 30, 2015 | June 30, 2016 | June 30, 2015 | |||||||||||||||||||||||||||||||
| Balance | Yield | Balance | Yield | Balance | Yield | Balance | Yield | Balance | Yield | ||||||||||||||||||||||||||
| Earning assets | |||||||||||||||||||||||||||||||||||
| Investments: | |||||||||||||||||||||||||||||||||||
| Investment securities | $ | 1,869,540 | 2.54 | % | $ | 1,938,772 | 2.59 | % | $ | 1,782,785 | 2.34 | % | $ | 1,904,156 | 2.58 | % | $ | 1,772,759 | 2.41 | % | |||||||||||||||
| Interest-bearing deposits with other banks | 21,687 | 0.50 | % | 24,291 | 0.53 | % | 19,960 | 0.26 | % | 22,989 | 0.52 | % | 20,604 | 0.26 | % | ||||||||||||||||||||
Gross loans (2) | 5,584,484 | 4.55 | % | 5,434,950 | 4.59 | % | 4,814,215 | 4.45 | % | 5,509,717 | 4.59 | % | 4,803,558 | 4.48 | % | ||||||||||||||||||||
| Total earning assets | 7,475,711 | 4.03 | % | 7,398,013 | 4.06 | % | 6,616,960 | 3.87 | % | 7,436,862 | 4.07 | % | 6,596,921 | 3.91 | % | ||||||||||||||||||||
| Nonearning assets | |||||||||||||||||||||||||||||||||||
| Allowance for loan and lease losses | (55,504 | ) | (54,882 | ) | (54,662 | ) | (55,193 | ) | (54,158 | ) | |||||||||||||||||||||||||
| Cash and due from banks | 121,426 | 117,782 | 114,024 | 119,604 | 113,436 | ||||||||||||||||||||||||||||||
| Accrued interest and other assets | 662,204 | 658,032 | 567,564 | 660,118 | 566,518 | ||||||||||||||||||||||||||||||
| Total assets | $ | 8,203,837 | $ | 8,118,945 | $ | 7,243,886 | $ | 8,161,391 | $ | 7,222,717 | |||||||||||||||||||||||||
| Interest-bearing liabilities | |||||||||||||||||||||||||||||||||||
| Deposits: | |||||||||||||||||||||||||||||||||||
| Interest-bearing demand | $ | 1,483,025 | 0.13 | % | $ | 1,391,591 | 0.16 | % | $ | 1,220,391 | 0.08 | % | $ | 1,437,308 | 0.14 | % | $ | 1,198,449 | 0.08 | % | |||||||||||||||
| Savings | 2,042,188 | 0.25 | % | 1,938,206 | 0.26 | % | 1,950,127 | 0.19 | % | 1,990,197 | 0.26 | % | 1,932,523 | 0.23 | % | ||||||||||||||||||||
| Time | 1,342,226 | 1.10 | % | 1,419,456 | 1.05 | % | 1,275,730 | 1.08 | % | 1,380,841 | 1.08 | % | 1,273,149 | 1.08 | % | ||||||||||||||||||||
| Total interest-bearing deposits | 4,867,439 | 0.45 | % | 4,749,253 | 0.47 | % | 4,446,248 | 0.42 | % | 4,808,346 | 0.46 | % | 4,404,121 | 0.43 | % | ||||||||||||||||||||
| Borrowed funds | |||||||||||||||||||||||||||||||||||
| Short-term borrowings | 846,376 | 0.50 | % | 946,186 | 0.50 | % | 539,959 | 0.19 | % | 896,281 | 0.50 | % | 591,288 | 0.19 | % | ||||||||||||||||||||
| Long-term debt | 119,575 | 5.17 | % | 119,553 | 5.17 | % | 47,266 | 2.51 | % | 119,564 | 5.20 | % | 47,544 | 2.52 | % | ||||||||||||||||||||
| Total borrowed funds | 965,951 | 1.08 | % | 1,065,739 | 1.02 | % | 587,225 | 0.37 | % | 1,015,845 | 1.05 | % | 638,832 | 0.36 | % | ||||||||||||||||||||
| Total interest-bearing liabilities | 5,833,390 | 0.55 | % | 5,814,992 | 0.57 | % | 5,033,473 | 0.41 | % | 5,824,191 | 0.56 | % | 5,042,953 | 0.42 | % | ||||||||||||||||||||
| Noninterest-bearing liabilities | |||||||||||||||||||||||||||||||||||
| Noninterest-bearing demand deposits | 1,441,068 | 1,386,768 | 1,325,485 | 1,413,918 | 1,305,885 | ||||||||||||||||||||||||||||||
| Other liabilities | 91,967 | 95,597 | 84,330 | 93,782 | 79,291 | ||||||||||||||||||||||||||||||
| Shareholders' equity | 837,412 | 821,588 | 800,598 | 829,500 | 794,588 | ||||||||||||||||||||||||||||||
| Total liabilities & shareholders' equity | $ | 8,203,837 | $ | 8,118,945 | $ | 7,243,886 | $ | 8,161,391 | $ | 7,222,717 | |||||||||||||||||||||||||
Net interest income (1) | $ | 67,132 | $ | 66,555 | $ | 58,674 | $ | 133,687 | $ | 117,260 | |||||||||||||||||||||||||
Net interest spread (1) | 3.48 | % | 3.49 | % | 3.46 | % | 3.51 | % | 3.49 | % | |||||||||||||||||||||||||
Net interest margin (1) | 3.61 | % | 3.62 | % | 3.56 | % | 3.62 | % | 3.58 | % | |||||||||||||||||||||||||
(1) Not tax equivalent. | |||||||||||||||||||||||||||||||||||
(2) Loans held for sale, nonaccrual loans, covered loans, and indemnification asset are included in gross loans. | |||||||||||||||||||||||||||||||||||
8
| FIRST FINANCIAL BANCORP. | ||||||||||||||||||||||||||||||||||||
NET INTEREST MARGIN RATE/VOLUME ANALYSIS (1) | ||||||||||||||||||||||||||||||||||||
| (Dollars in thousands) | ||||||||||||||||||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||||||||||||||||||
| Linked Qtr. Income Variance | Comparable Qtr. Income Variance | Year-to-Date Income Variance | ||||||||||||||||||||||||||||||||||
| Rate | Volume | Total | Rate | Volume | Total | Rate | Volume | Total | ||||||||||||||||||||||||||||
| Earning assets | ||||||||||||||||||||||||||||||||||||
| Investment securities | $ | (234 | ) | $ | (439 | ) | $ | (673 | ) | $ | 892 | $ | 550 | $ | 1,442 | $ | 1,568 | $ | 1,684 | $ | 3,252 | |||||||||||||||
| Interest-bearing deposits with other banks | (2 | ) | (3 | ) | (5 | ) | 12 | 2 | 14 | 26 | 6 | 32 | ||||||||||||||||||||||||
Gross loans (2) | (629 | ) | 1,695 | 1,066 | 1,153 | 8,730 | 9,883 | 2,754 | 16,088 | 18,842 | ||||||||||||||||||||||||||
| Total earning assets | (865 | ) | 1,253 | 388 | 2,057 | 9,282 | 11,339 | 4,348 | 17,778 | 22,126 | ||||||||||||||||||||||||||
| Interest-bearing liabilities | ||||||||||||||||||||||||||||||||||||
| Total interest-bearing deposits | $ | (206 | ) | $ | 133 | $ | (73 | ) | $ | 364 | $ | 472 | $ | 836 | $ | 622 | $ | 924 | $ | 1,546 | ||||||||||||||||
| Borrowed funds | ||||||||||||||||||||||||||||||||||||
| Short-term borrowings | 7 | (124 | ) | (117 | ) | 419 | 381 | 800 | 911 | 756 | 1,667 | |||||||||||||||||||||||||
| Long-term debt | 1 | 0 | 1 | 313 | 932 | 1,245 | 630 | 1,856 | 2,486 | |||||||||||||||||||||||||||
| Total borrowed funds | 8 | (124 | ) | (116 | ) | 732 | 1,313 | 2,045 | 1,541 | 2,612 | 4,153 | |||||||||||||||||||||||||
| Total interest-bearing liabilities | (198 | ) | 9 | (189 | ) | 1,096 | 1,785 | 2,881 | 2,163 | 3,536 | 5,699 | |||||||||||||||||||||||||
Net interest income (1) | $ | (667 | ) | $ | 1,244 | $ | 577 | $ | 961 | $ | 7,497 | $ | 8,458 | $ | 2,185 | $ | 14,242 | $ | 16,427 | |||||||||||||||||
(1) Not tax equivalent. | ||||||||||||||||||||||||||||||||||||
(2) Loans held for sale, nonaccrual loans, covered loans, and indemnification asset are included in gross loans. | ||||||||||||||||||||||||||||||||||||
9
| FIRST FINANCIAL BANCORP. | |||||||||||||||||||||||||||
| CREDIT QUALITY | |||||||||||||||||||||||||||
| (Dollars in thousands) | |||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||
| Six months ended | |||||||||||||||||||||||||||
| Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | Jun. 30, | Jun. 30, | Jun. 30, | |||||||||||||||||||||
| 2016 | 2016 | 2015 | 2015 | 2015 | 2016 | 2015 | |||||||||||||||||||||
| ALLOWANCE FOR LOAN AND LEASE LOSS ACTIVITY | |||||||||||||||||||||||||||
| Balance at beginning of period | $ | 53,732 | $ | 53,398 | $ | 53,332 | $ | 52,876 | $ | 53,076 | $ | 53,398 | $ | 52,858 | |||||||||||||
| Provision for loan and lease losses | 4,037 | 1,655 | 1,864 | 2,647 | 3,070 | 5,692 | 5,130 | ||||||||||||||||||||
| Gross charge-offs | |||||||||||||||||||||||||||
| Commercial and industrial | 189 | 329 | 622 | 536 | 510 | 518 | 1,991 | ||||||||||||||||||||
| Construction - real estate | 0 | 0 | 0 | 85 | 0 | 0 | 0 | ||||||||||||||||||||
| Commercial - real estate | 1,224 | 432 | 1,137 | 941 | 2,515 | 1,656 | 2,723 | ||||||||||||||||||||
| Residential - real estate | 20 | 39 | 31 | 101 | 250 | 59 | 564 | ||||||||||||||||||||
| Home equity | 230 | 273 | 300 | 322 | 163 | 503 | 863 | ||||||||||||||||||||
| Installment | 29 | 54 | 128 | 124 | 12 | 83 | 143 | ||||||||||||||||||||
| Other | 357 | 240 | 242 | 276 | 237 | 597 | 531 | ||||||||||||||||||||
| Covered / formerly covered loans | 653 | 1,075 | 3,818 | 1,577 | 1,585 | 1,728 | 3,501 | ||||||||||||||||||||
| Total gross charge-offs | 2,702 | 2,442 | 6,278 | 3,962 | 5,272 | 5,144 | 10,316 | ||||||||||||||||||||
| Recoveries | |||||||||||||||||||||||||||
| Commercial and industrial | 387 | 163 | 386 | 357 | 185 | 550 | 229 | ||||||||||||||||||||
| Construction - real estate | 0 | 7 | 91 | 0 | 10 | 7 | 39 | ||||||||||||||||||||
| Commercial - real estate | 158 | 346 | 597 | 444 | 179 | 504 | 533 | ||||||||||||||||||||
| Residential - real estate | 78 | 62 | 192 | 87 | 23 | 140 | 87 | ||||||||||||||||||||
| Home equity | 121 | 164 | 102 | 195 | 129 | 285 | 283 | ||||||||||||||||||||
| Installment | 37 | 35 | 36 | 59 | 44 | 72 | 104 | ||||||||||||||||||||
| Other | 64 | 81 | 74 | 52 | 71 | 145 | 116 | ||||||||||||||||||||
| Covered / formerly covered loans | 796 | 263 | 3,002 | 577 | 1,361 | 1,059 | 3,813 | ||||||||||||||||||||
| Total recoveries | 1,641 | 1,121 | 4,480 | 1,771 | 2,002 | 2,762 | 5,204 | ||||||||||||||||||||
| Total net charge-offs | 1,061 | 1,321 | 1,798 | 2,191 | 3,270 | 2,382 | 5,112 | ||||||||||||||||||||
| Ending allowance for loan and lease losses | $ | 56,708 | $ | 53,732 | $ | 53,398 | $ | 53,332 | $ | 52,876 | $ | 56,708 | $ | 52,876 | |||||||||||||
| NET CHARGE-OFFS TO AVERAGE LOANS AND LEASES (ANNUALIZED) | |||||||||||||||||||||||||||
| Commercial and industrial | (0.05 | )% | 0.04 | % | 0.06 | % | 0.05 | % | 0.10 | % | 0.00 | % | 0.27 | % | |||||||||||||
| Construction - real estate | 0.00 | % | (0.01 | )% | (0.12 | )% | 0.13 | % | (0.02 | )% | 0.00 | % | (0.04 | )% | |||||||||||||
| Commercial - real estate | 0.20 | % | 0.02 | % | 0.10 | % | 0.10 | % | 0.48 | % | 0.11 | % | 0.22 | % | |||||||||||||
| Residential - real estate | (0.05 | )% | (0.02 | )% | (0.14 | )% | 0.01 | % | 0.21 | % | (0.04 | )% | 0.22 | % | |||||||||||||
| Home equity | 0.10 | % | 0.10 | % | 0.18 | % | 0.12 | % | 0.03 | % | 0.10 | % | 0.28 | % | |||||||||||||
| Installment | (0.08 | )% | 0.19 | % | 0.94 | % | 0.65 | % | (0.32 | )% | 0.05 | % | 0.19 | % | |||||||||||||
| Other | 0.85 | % | 0.48 | % | 0.52 | % | 0.74 | % | 0.55 | % | 0.66 | % | 0.71 | % | |||||||||||||
| Covered / formerly covered loans | (0.29 | )% | 1.51 | % | 1.40 | % | 1.60 | % | 0.33 | % | 0.64 | % | (0.22 | )% | |||||||||||||
| Total net charge-offs | 0.08 | % | 0.10 | % | 0.14 | % | 0.17 | % | 0.27 | % | 0.09 | % | 0.23 | % | |||||||||||||
| COMPONENTS OF NONPERFORMING LOANS, NONPERFORMING ASSETS, AND UNDERPERFORMING ASSETS | |||||||||||||||||||||||||||
Nonaccrual loans (1) | |||||||||||||||||||||||||||
| Commercial and industrial | $ | 2,870 | $ | 3,757 | $ | 8,231 | $ | 7,191 | $ | 6,683 | $ | 2,870 | $ | 6,683 | |||||||||||||
| Construction - real estate | 0 | 0 | 0 | 79 | 223 | 0 | 223 | ||||||||||||||||||||
| Commercial - real estate | 8,397 | 8,178 | 9,059 | 17,228 | 21,186 | 8,397 | 21,186 | ||||||||||||||||||||
| Residential - real estate | 4,824 | 4,243 | 5,027 | 4,940 | 5,257 | 4,824 | 5,257 | ||||||||||||||||||||
| Home equity | 2,250 | 3,018 | 2,787 | 2,702 | 2,735 | 2,250 | 2,735 | ||||||||||||||||||||
| Installment | 433 | 113 | 127 | 321 | 305 | 433 | 305 | ||||||||||||||||||||
| Lease financing | 1,167 | 121 | 122 | 0 | 0 | 1,167 | 0 | ||||||||||||||||||||
| Covered / formerly covered loans | 2,336 | 2,577 | 2,644 | 3,252 | 3,284 | 2,336 | 3,284 | ||||||||||||||||||||
| Nonaccrual loans | 22,277 | 22,007 | 27,997 | 35,713 | 39,673 | 22,277 | 39,673 | ||||||||||||||||||||
| Accruing troubled debt restructurings (TDRs) | 28,022 | 30,127 | 28,876 | 20,226 | 20,084 | 28,022 | 20,084 | ||||||||||||||||||||
| Total nonperforming loans | 50,299 | 52,134 | 56,873 | 55,939 | 59,757 | 50,299 | 59,757 | ||||||||||||||||||||
| Other real estate owned (OREO) | 9,302 | 11,939 | 13,254 | 15,187 | 16,401 | 9,302 | 16,401 | ||||||||||||||||||||
| Total nonperforming assets | 59,601 | 64,073 | 70,127 | 71,126 | 76,158 | 59,601 | 76,158 | ||||||||||||||||||||
| Accruing loans past due 90 days or more | 981 | 59 | 108 | 58 | 70 | 981 | 70 | ||||||||||||||||||||
| Total underperforming assets | $ | 60,582 | $ | 64,132 | $ | 70,235 | $ | 71,184 | $ | 76,228 | $ | 60,582 | $ | 76,228 | |||||||||||||
| Total classified assets | $ | 143,331 | $ | 133,940 | $ | 132,431 | $ | 130,132 | $ | 139,931 | $ | 143,331 | $ | 151,962 | |||||||||||||
| CREDIT QUALITY RATIOS | |||||||||||||||||||||||||||
| Allowance for loan and lease losses to | |||||||||||||||||||||||||||
| Nonaccrual loans | 254.56 | % | 244.16 | % | 190.73 | % | 149.33 | % | 133.28 | % | 254.56 | % | 133.28 | % | |||||||||||||
| Nonperforming loans | 112.74 | % | 103.07 | % | 93.89 | % | 95.34 | % | 88.49 | % | 112.74 | % | 88.49 | % | |||||||||||||
| Total ending loans | 0.99 | % | 0.98 | % | 0.99 | % | 1.02 | % | 1.09 | % | 0.99 | % | 1.09 | % | |||||||||||||
| Allowance and loan marks, net of indemnification asset, to total loans | 1.06 | % | 1.08 | % | 1.11 | % | 1.17 | % | 1.27 | % | 1.06 | % | 1.27 | % | |||||||||||||
| Nonperforming loans to total loans | 0.88 | % | 0.95 | % | 1.06 | % | 1.07 | % | 1.23 | % | 0.88 | % | 1.23 | % | |||||||||||||
| Nonperforming assets to | |||||||||||||||||||||||||||
| Ending loans, plus OREO | 1.04 | % | 1.16 | % | 1.30 | % | 1.36 | % | 1.56 | % | 1.04 | % | 1.56 | % | |||||||||||||
| Total assets | 0.72 | % | 0.78 | % | 0.86 | % | 0.90 | % | 1.03 | % | 0.72 | % | 1.03 | % | |||||||||||||
| Nonperforming assets, excluding accruing TDRs to | |||||||||||||||||||||||||||
| Ending loans, plus OREO | 0.55 | % | 0.62 | % | 0.76 | % | 0.97 | % | 1.15 | % | 0.55 | % | 1.15 | % | |||||||||||||
| Total assets | 0.38 | % | 0.41 | % | 0.51 | % | 0.65 | % | 0.76 | % | 0.38 | % | 0.76 | % | |||||||||||||
| (1) Nonaccrual loans include nonaccrual TDRs of $8.0 million, $7.5 million, $9.3 million, $13.6 million, and $14.1 million, as of June 30, 2016, March 31, 2016, December 31, 2015, September 30, 2015, and June 30 2015, respectively. | |||||||||||||||||||||||||||
10
| FIRST FINANCIAL BANCORP. | |||||||||||||||||||||||||||
| CAPITAL ADEQUACY | |||||||||||||||||||||||||||
| (Dollars in thousands, except per share data) | |||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||
| Six months ended, | |||||||||||||||||||||||||||
| Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | Jun. 30, | Jun. 30, | Jun. 30, | |||||||||||||||||||||
| 2016 | 2016 | 2015 | 2015 | 2015 | 2016 | 2015 | |||||||||||||||||||||
| PER COMMON SHARE | |||||||||||||||||||||||||||
| Market Price | |||||||||||||||||||||||||||
| High | $ | 20.16 | $ | 18.36 | $ | 20.72 | $ | 19.69 | $ | 18.55 | $ | 20.16 | $ | 18.55 | |||||||||||||
| Low | $ | 17.49 | $ | 14.91 | $ | 17.83 | $ | 17.55 | $ | 16.68 | $ | 14.91 | $ | 16.52 | |||||||||||||
| Close | $ | 19.45 | $ | 18.18 | $ | 18.07 | $ | 19.08 | $ | 17.94 | $ | 19.45 | $ | 17.94 | |||||||||||||
| Average shares outstanding - basic | 61,194,254 | 61,036,797 | 60,985,096 | 61,135,749 | 61,115,802 | 61,115,525 | 61,064,928 | ||||||||||||||||||||
| Average shares outstanding - diluted | 62,027,008 | 61,840,247 | 61,861,182 | 61,987,795 | 61,915,294 | 61,912,366 | 61,824,106 | ||||||||||||||||||||
| Ending shares outstanding | 61,959,529 | 61,855,027 | 61,641,680 | 61,713,633 | 61,707,847 | 61,959,529 | 61,707,847 | ||||||||||||||||||||
| Total shareholders' equity | $ | 846,723 | $ | 826,587 | $ | 809,376 | $ | 813,012 | $ | 802,383 | $ | 846,723 | $ | 802,383 | |||||||||||||
REGULATORY CAPITAL (1) | Preliminary | Preliminary | |||||||||||||||||||||||||
| Common equity tier 1 capital | $ | 673,313 | $ | 658,001 | $ | 648,748 | $ | 638,574 | $ | 697,139 | $ | 673,313 | $ | 697,139 | |||||||||||||
| Common equity tier 1 capital ratio | 10.07 | % | 10.16 | % | 10.28 | % | 10.51 | % | 12.34 | % | 10.07 | % | 12.34 | % | |||||||||||||
| Tier 1 capital | $ | 673,417 | $ | 658,105 | $ | 648,852 | $ | 638,678 | $ | 697,243 | $ | 673,417 | $ | 697,243 | |||||||||||||
| Tier 1 ratio | 10.07 | % | 10.16 | % | 10.29 | % | 10.52 | % | 12.35 | % | 10.07 | % | 12.35 | % | |||||||||||||
| Total capital | $ | 849,303 | $ | 831,924 | $ | 822,431 | $ | 812,029 | $ | 751,818 | $ | 849,303 | $ | 751,818 | |||||||||||||
| Total capital ratio | 12.70 | % | 12.84 | % | 13.04 | % | 13.37 | % | 13.31 | % | 12.70 | % | 13.31 | % | |||||||||||||
| Total capital in excess of minimum | |||||||||||||||||||||||||||
| requirement | $ | 272,708 | $ | 273,135 | $ | 317,780 | $ | 326,117 | $ | 300,006 | $ | 272,708 | $ | 300,006 | |||||||||||||
| Total risk-weighted assets | $ | 6,685,158 | $ | 6,478,716 | $ | 6,308,139 | $ | 6,073,899 | $ | 5,647,658 | $ | 6,685,158 | $ | 5,647,658 | |||||||||||||
| Leverage ratio | 8.38 | % | 8.27 | % | 8.33 | % | 8.58 | % | 9.77 | % | 8.38 | % | 9.77 | % | |||||||||||||
| OTHER CAPITAL RATIOS | |||||||||||||||||||||||||||
| Ending shareholders' equity to ending assets | 10.19 | % | 10.09 | % | 9.93 | % | 10.32 | % | 10.87 | % | 10.19 | % | 10.87 | % | |||||||||||||
| Ending tangible shareholders' equity to ending tangible assets | 7.85 | % | 7.71 | % | 7.53 | % | 7.84 | % | 9.08 | % | 7.85 | % | 9.08 | % | |||||||||||||
| Average shareholders' equity to average assets | 10.21 | % | 10.12 | % | 10.29 | % | 10.67 | % | 11.05 | % | 10.16 | % | 11.00 | % | |||||||||||||
| Average tangible shareholders' equity to average tangible assets | 7.83 | % | 7.71 | % | 7.83 | % | 8.12 | % | 9.23 | % | 7.78 | % | 9.17 | % | |||||||||||||
REPURCHASE PROGRAM (2) | |||||||||||||||||||||||||||
| Shares repurchased | 0 | 0 | 91,032 | 148,935 | 0 | 0 | 0 | ||||||||||||||||||||
| Average share repurchase price | N/A | N/A | $ | 18.85 | $ | 18.68 | N/A | N/A | N/A | ||||||||||||||||||
| Total cost of shares repurchased | N/A | N/A | $ | 1,716 | $ | 2,783 | N/A | N/A | N/A | ||||||||||||||||||
(1) 2015 amounts and ratios are calculated under the Basel III standardized approach | |||||||||||||||||||||||||||
(2) Represents share repurchases as part of publicly announced plans. | |||||||||||||||||||||||||||
| N/A = Not applicable | |||||||||||||||||||||||||||
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