EXHIBIT 99.1
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| News | | News | | News | | News | | News | | News |
April 20, 2004
First Financial Bancorp Reports Earnings
HAMILTON, Ohio — First Financial Bancorp (Nasdaq: FFBC) chairman of the board and interim president and chief executive officer, Bruce E. Leep, today announced first-quarter 2004 net earnings of $9,948,000 or 23 cents in diluted earnings per share, compared to $10,631,000 or 24 cents in diluted earnings per share for the same period in 2003. This represents a 4.17 percent decrease in earnings per share.
Leep said,“While earnings were slightly less than the comparable quarter last year, they were ahead of the consensus estimates, and we are encouraged by some positive trends in the quarter. Most notably, net interest income and margin increased over fourth quarter 2003, reversing a trend of net interest margin compression, which has negatively impacted much of our industry over the last two years.
“Credit quality indicators were also stable to improved with net charge-offs being at their lowest level since December 2002, while loans 90 days or more past due improved to levels we had not seen in five years.
“Going forward, we may still see some fluctuations in credit quality and margin as we work through the current economic and interest-rate environment. Nonetheless, we are encouraged by the progress we’ve seen in the first quarter.”
Return on assets was 1.03 percent for the first quarter of 2004 compared to 1.16 percent in 2003, while return on average shareholders equity was 10.88 percent compared to 11.52 percent for the first quarter of 2003.
(The preceding overview of First Financial Bancorp’s earnings is supplemented with the following detail:)
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Net Interest Income:
Net interest income for the first quarter of 2004 was $1.1 million or 2.90 percent less than the first quarter of 2003. Bancorp’s net interest margin for 2004 was 4.00 percent compared to 4.37 percent in 2003.
The major contributing factor to the decline in net interest income was the net interest margin compression Bancorp experienced during 2003 due to the asset-sensitive position of Bancorp’s balance sheet. This margin compression was the result of the continued downward repricing of assets without a like decrease in deposit liability rates. The net interest margin began to stabilize in the fourth quarter of 2003 and this positive trend continued into the first quarter of 2004. On a linked-quarter basis (first quarter 2004 compared to fourth quarter 2003), net interest income increased $2.1 million. Of this increase, $1.5 million is attributable to the negative impact of the accelerated amortization in the fourth quarter of 2003 associated with a previously announced mobile home loan sale that closed as planned. Likewise net interest margin on a linked-quarter basis increased 26 basis points to 4.00 percent. Of this increase in margin, 16 basis points is attributable to the fourth quarter 2003 impact of accelerated amortization.
Average outstanding loan balances were 1.94 percent higher than in the first quarter of 2003. The primary area of loan growth from the prior year was the residential real estate category. This increase was achieved notwithstanding the $35 million of loans sold in December related to both the sale of the Sunman, Indiana, banking center and the distressed loan sale that was announced and completed in 2003. On a linked-quarter basis, commercial and real estate construction loans exhibited growth as demand improved primarily in Bancorp’s southwestern Ohio market.
Deposit balances decreased $16.5 million or 0.56 percent from a year ago, while average deposit balances increased $22.4 million or 0.77 percent from a year ago. Deposit balances were impacted by the sale of two banking centers since the first quarter of 2003 which reduced deposit balances by $53 million. Bancorp also opened three new banking centers in 2003, two of which were opened in the fourth quarter. Additionally, Bancorp opened a new banking center in Maineville, Ohio, in April of 2004 and plans to open three to five additional new banking centers in 2004 in growing markets.
Credit Quality:
The provision for loan loss expense for the first quarter of 2004 was $2.6 million or $614,000 less than the comparable period in 2003. Net charge-offs of $2.7 million for the first quarter of 2004 were $387,000 less than the $3.1 million in net charge-offs for the first quarter of 2003. Improvements in the
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level of commercial loans charged-off and strong recoveries on consumer loans previously charged-off positively impacted net charge-offs. The net charge-offs for the first quarter of 2004 were at the lowest level since December of 2002. The percentage of net charge-offs to average loans improved to 0.38 percent for 2004 compared to 0.45 percent for the same period in 2003.
Bancorp continued to maintain appropriate reserves with an allowance to ending loans ratio of 1.68 percent at year-end versus 1.74 percent for the same period last year. It is management’s belief that the allowance for loan losses is adequate to absorb estimated probable credit losses. The nonperforming assets to ending loans ratio decreased to 1.16 percent as of March 31, 2004, from 1.19 percent as of the end of the first quarter of 2003. This is also an improvement from the linked-quarter percentage of 1.18 and a 2003 high of 1.34 percent at the end of the third quarter of 2003.
Total nonperforming assets — which includes nonaccrual loans, restructured loans, and other real estate owned — decreased slightly to $33.0 million at the end of the first quarter of 2004 from $33.2 million at the end of the first quarter of 2003. Loans delinquent over 90 days decreased significantly to $1.3 million in 2004 from $3.6 million in 2003. This represents the lowest level of 90 days past due loans in over five years.
Bancorp’s level of nonperforming assets over the last several quarters has been reflective of the uncertain economy in the corporation’s primary markets in Ohio and Indiana. In the first quarter of 2004, credit quality indicators stabilized and in some cases improved. The stabilization and improvement in regard to credit quality has been positively influenced by signs of economic improvement, strategies such as the fourth-quarter 2003 distressed loan sale, and improved credit risk disciplines. Given the current economic environment, Bancorp expects continued stable to improving credit quality trends through 2004 although moderate fluctuations could occur as Bancorp continues to work through credit issues.
Noninterest Income:
Noninterest income increased $591,000 or 4.27% in the first quarter of 2004 compared to the same period in 2003. Service charges on deposit accounts improved slightly over 2003. Trust revenues increased $185,000 or 4.99% as a result of year-over-year market value improvements. Other noninterest income was positively impacted by a gain of approximately $500,000 on life insurance due to the death of a retired senior executive officer of a Bancorp affiliate in 2003, recapture of impairment on the mortgage-servicing assets of approximately $246,000, and increased insurance agency revenue, partially offset by a decrease on gains on the sale of mortgage loans of $842,000.
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Noninterest Expense:
Total noninterest expense for the first quarter of 2004 increased $1.5 million or 4.68 percent from the first quarter of 2003. Salaries and employee benefits increased $328,000 or 1.80%. In the benefits category, reduced healthcare costs were partially offset by increased pension expense. Net occupancy expenses for 2004 increased $127,000 or 6.11% as a result of increased building rent, depreciation, and related expenses. Data processing expense increased $376,000 or 25.29% due primarily to a reclassification of certain credit-card and merchant processing expenses from other noninterest expense. Other noninterest expense was impacted by costs associated with the mobile home loan sale completed in the quarter, direct consulting work in regard to Sarbanes-Oxley Section 404 internal control documentation and testing, and the executive search.
Other Items:
Bancorp’s search for a new president and chief executive officer is progressing. Selection is expected to be finalized by the end of the second quarter.
Bancorp repurchased 108,000 shares of its common stock during the first quarter of 2004 under a previously approved and ongoing program for general corporate purposes.
A $3.9 billion publicly owned bank holding company with over 4,000 shareholders, First Financial Bancorp currently operates 8 banking affiliates in Ohio, Michigan, Kentucky, and Indiana with a total of 103 retail banking centers, as well as an investment-advisor affiliate and an operations affiliate. Insurance services are offered through Flagstone Insurance and Financial Services.
This release should be read in conjunction with the consolidated financial statements, notes, and tables attached and in the First Financial Bancorp Annual Report on Form 10-K for the year ended December 31, 2003. Management’s analysis may contain forward-looking statements that are provided to assist in the understanding of anticipated future financial performance. However, such performance involves risk and uncertainties that may cause actual results to differ materially. Factors that could cause actual results to differ from those discussed in the forward-looking statements include, but are not limited to, the strength of the local economies in which operations are conducted, the effects of and changes in policies and laws of regulatory agencies, inflation, and interest rates. For further discussion of certain factors that may cause such forward-looking statements to differ materially from actual results, refer to the 2003 Form 10-K.
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| | | First Financial Bancorp |
| | P.O. Box 476 |
| | Hamilton, OH 45012 |
| | Analyst Contact: C. Douglas Lefferson |
| | 513-867-4993 |
| | doug.lefferson@ffbc-oh.com |
| | Media Contact: Cheryl R. Lipp |
| | 513-867-4929 |
| | cheryl.lipp@comfirst.com |
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FIRST FINANCIAL BANCORP.
CONSOLIDATED FINANCIAL DATA
(Unaudited)
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | Three months ended,
| | | | |
| | | Mar. 31, | | Dec. 31, | | Sep. 30, | | Jun. 30, | | Mar. 31, |
| | | 2004
| | 2003
| | 2003
| | 2003
| | 2003
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EARNINGS | | | | | | | | | | | | | | | | | | | | |
| Net interest income | | $ | 36,157 | | | $ | 34,093 | | | $ | 36,373 | | | $ | 37,179 | | | $ | 37,236 | |
| Net earnings | | | 9,948 | | | | 8,841 | | | | 7,824 | | | | 10,610 | | | | 10,631 | |
| Net earnings per share — basic | | $ | 0.23 | | | $ | 0.20 | | | $ | 0.18 | | | $ | 0.24 | | | $ | 0.24 | |
| Net earnings per share — diluted | | $ | 0.23 | | | $ | 0.20 | | | $ | 0.18 | | | $ | 0.24 | | | $ | 0.24 | |
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KEY RATIOS | | | | | | | | | | | | | | | | | | | | |
| Return on average assets | | | 1.03 | % | | | 0.90 | % | | | 0.80 | % | | | 1.11 | % | | | 1.16 | % |
| Return on average shareholders’ equity | | | 10.88 | % | | | 9.62 | % | | | 8.46 | % | | | 11.46 | % | | | 11.52 | % |
| Average shareholders’ equity to average assets | | | 9.44 | % | | | 9.38 | % | | | 9.42 | % | | | 9.66 | % | | | 10.03 | % |
| Net interest margin | | | 4.00 | % | | | 3.74 | % | | | 3.98 | % | | | 4.17 | % | | | 4.37 | % |
| Net interest margin (fully tax equivalent) | | | 4.10 | % | | | 3.84 | % | | | 4.08 | % | | | 4.28 | % | | | 4.48 | % |
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COMMON STOCK DATA | | | | | | | | | | | | | | | | | | | | |
| Average basic shares outstanding | | | 43,924,139 | | | | 43,993,558 | | | | 44,122,446 | | | | 44,486,775 | | | | 44,893,511 | |
| Average diluted shares outstanding | | | 43,967,599 | | | | 44,012,803 | | | | 44,160,906 | | | | 44,519,484 | | | | 45,048,972 | |
| Ending shares outstanding | | | 43,924,139 | | | | 43,939,018 | | | | 44,049,702 | | | | 44,277,529 | | | | 44,709,604 | |
| Market price: | | | | | | | | | | | | | | | | | | | | |
| High | | $ | 18.82 | | | $ | 16.92 | | | $ | 16.60 | | | $ | 17.00 | | | $ | 17.19 | |
| Low | | $ | 16.29 | | | $ | 15.14 | | | $ | 14.67 | | | $ | 15.00 | | | $ | 15.26 | |
| Close | | $ | 18.50 | | | $ | 15.95 | | | $ | 14.75 | | | $ | 15.83 | | | $ | 15.86 | |
| Book value | | $ | 8.44 | | | $ | 8.34 | | | $ | 8.34 | | | $ | 8.40 | | | $ | 8.34 | |
| Common dividend declared | | $ | 0.15 | | | $ | 0.15 | | | $ | 0.15 | | | $ | 0.15 | | | $ | 0.15 | |
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AVERAGE BALANCE SHEET ITEMS | | | | | | | | | | | | | | | | | | | | |
| Loans less unearned income | | $ | 2,819,711 | | | $ | 2,805,667 | | | $ | 2,829,582 | | | $ | 2,811,848 | | | $ | 2,765,970 | |
| Investment securities | | | 799,823 | | | | 798,727 | | | | 778,365 | | | | 747,090 | | | | 650,619 | |
| Other earning assets | | | 12,279 | | | | 13,559 | | | | 15,845 | | | | 13,619 | | | | 40,751 | |
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| | | |
| | | |
| | | |
| | | |
| |
| Total earning assets | | | 3,631,813 | | | | 3,617,953 | | | | 3,623,792 | | | | 3,572,557 | | | | 3,457,340 | |
| Total assets | | | 3,894,900 | | | | 3,886,012 | | | | 3,894,426 | | | | 3,841,251 | | | | 3,730,744 | |
| Noninterest-bearing deposits | | | 395,894 | | | | 399,611 | | | | 392,862 | | | | 406,730 | | | | 416,824 | |
| Interest-bearing deposits | | | 2,530,912 | | | | 2,553,934 | | | | 2,592,383 | | | | 2,536,477 | | | | 2,487,612 | |
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| | | |
| | | |
| | | |
| |
| Total deposits | | | 2,926,806 | | | | 2,953,545 | | | | 2,985,245 | | | | 2,943,207 | | | | 2,904,436 | |
| Borrowings | | | 542,380 | | | | 516,952 | | | | 486,825 | | | | 481,731 | | | | 410,100 | |
| Shareholders’ equity | | | 367,628 | | | | 364,653 | | | | 366,978 | | | | 371,219 | | | | 374,236 | |
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CREDIT QUALITY | | | | | | | | | | | | | | | | | | | | |
| Ending allowance for loan losses | | $ | 47,672 | | | $ | 47,771 | | | $ | 48,680 | | | $ | 48,876 | | | $ | 48,305 | |
| Nonperforming assets: | | | | | | | | | | | | | | | | | | | | |
| Nonaccrual | | | 26,586 | | | | 25,980 | | | | 28,374 | | | | 28,210 | | | | 24,276 | |
| Restructured | | | 3,373 | | | | 3,821 | | | | 6,532 | | | | 7,188 | | | | 6,291 | |
| OREO | | | 3,070 | | | | 3,207 | | | | 3,054 | | | | 2,366 | | | | 2,636 | |
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| | | |
| | | |
| | | |
| | | |
| |
| Total nonperforming assets | | | 33,029 | | | | 33,008 | | | | 37,960 | | | | 37,764 | | | | 33,203 | |
| Loans delinquent over 90 days | | | 1,345 | | | | 1,872 | | | | 3,186 | | | | 3,490 | | | | 3,575 | |
| Gross charge-offs: | | | | | | | | | | | | | | | | | | | | |
| Commercial real estate | | | (631 | ) | | | (3,377 | ) | | | (300 | ) | | | (424 | ) | | | (112 | ) |
| Commercial loans and leases | | | (1,036 | ) | | | (3,650 | ) | | | (2,771 | ) | | | (1,800 | ) | | | (1,699 | ) |
| Consumer | | | (2,588 | ) | | | (2,447 | ) | | | (2,351 | ) | | | (1,957 | ) | | | (2,354 | ) |
| All other | | | (27 | ) | | | (8 | ) | | | (38 | ) | | | (18 | ) | | | 0 | |
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| | | |
| | | |
| | | |
| | | |
| |
| Total gross charge-offs | | | (4,282 | ) | | | (9,482 | ) | | | (5,460 | ) | | | (4,199 | ) | | | (4,165 | ) |
| Recoveries: | | | | | | | | | | | | | | | | | | | | |
| Commercial real estate | | | 34 | | | | 83 | | | | 5 | | | | 45 | | | | 5 | |
| Commercial loans and leases | | | 538 | | | | 561 | | | | 316 | | | | 229 | | | | 432 | |
| Consumer | | | 1,011 | | | | 498 | | | | 576 | | | | 553 | | | | 642 | |
| All other | | | 0 | | | | 9 | | | | 3 | | | | 1 | | | | 0 | |
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| | | |
| | | |
| | | |
| | | |
| |
| Total recoveries | | | 1,583 | | | | 1,151 | | | | 900 | | | | 828 | | | | 1,079 | |
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| | | |
| | | |
| | | |
| | | |
| |
| Total net charge-offs | | | (2,699 | ) | | | (8,331 | ) | | | (4,560 | ) | | | (3,371 | ) | | | (3,086 | ) |
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CREDIT QUALITY RATIOS | | | | | | | | | | | | | | | | | | | | |
| Allowance to ending loans, net of unearned income | | | 1.68 | % | | | 1.71 | % | | | 1.73 | % | | | 1.73 | % | | | 1.74 | % |
| Nonperforming assets to ending loans, net of unearned income plus OREO | | | 1.16 | % | | | 1.18 | % | | | 1.34 | % | | | 1.33 | % | | | 1.19 | % |
| 90 days past due to loans, net of unearned income | | | 0.05 | % | | | 0.07 | % | | | 0.11 | % | | | 0.12 | % | | | 0.13 | % |
| Net charge-offs to average loans, net of unearned income | | | 0.38 | % | | | 1.18 | % | | | 0.64 | % | | | 0.48 | % | | | 0.45 | % |
FIRST FINANCIAL BANCORP.
CONSOLIDATED STATEMENTS OF EARNINGS
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | |
| | | | | | | | | | | Three
months ended, | | | | | | |
| | | Mar. 31, | | Dec. 31, | | Sep. 30, | | Jun. 30, | | Mar. 31, |
| | | 2004
| | 2003
| | 2003
| | 2003
| | 2003
|
| Interest income Loans, including fees | | $ | 42,522 | | | $ | 41,393 | | | $ | 45,256 | | | $ | 46,418 | | | $ | 46,704 | |
| Investment securities Taxable | | | 6,813 | | | | 6,060 | | | | 5,263 | | | | 5,220 | | | | 5,258 | |
| Tax-exempt | | | 1,449 | | | | 1,555 | | | | 1,579 | | | | 1,632 | | | | 1,664 | |
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| | | |
| |
| Total investment securities interest | | | 8,262 | | | | 7,615 | | | | 6,842 | | | | 6,852 | | | | 6,922 | |
| Interest-bearing deposits with other banks | | | 28 | | | | 36 | | | | 26 | | | | 28 | | | | 51 | |
| Federal funds sold and securities purchased under agreements to resell | | | 11 | | | | 11 | | | | 24 | | | | 37 | | | | 74 | |
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| | | |
| | | |
| | | |
| | | |
| |
| Total interest income | | | 50,823 | | | | 49,055 | | | | 52,148 | | | | 53,335 | | | | 53,751 | |
| Interest expense Deposits | | | 9,662 | | | | 10,214 | | | | 10,692 | | | | 11,396 | | | | 12,084 | |
| Short-term borrowings | | | 499 | | | | 471 | | | | 443 | | | | 530 | | | | 380 | |
| Long-term borrowings | | | 4,163 | | | | 4,130 | | | | 4,161 | | | | 4,112 | | | | 3,931 | |
| Subordinated debentures and capital securities | | | 342 | | | | 147 | | | | 479 | | | | 118 | | | | 120 | |
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| | | |
| | | |
| | | |
| | | |
| |
| Total interest expense | | | 14,666 | | | | 14,962 | | | | 15,775 | | | | 16,156 | | | | 16,515 | |
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| | | |
| | | |
| | | |
| |
| Net interest income | | | 36,157 | | | | 34,093 | | | | 36,373 | | | | 37,179 | | | | 37,236 | |
| Provision for loan losses | | | 2,600 | | | | 7,422 | | | | 4,364 | | | | 3,942 | | | | 3,214 | |
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| | | |
| | | |
| | | |
| | | |
| |
| Net interest income after provision for loan losses | | | 33,557 | | | | 26,671 | | | | 32,009 | | | | 33,237 | | | | 34,022 | |
| Noninterest income | | | | | | | | | | | | | | | | | | | | |
| Service charges on deposit accounts | | | 4,613 | | | | 4,917 | | | | 4,984 | | | | 4,923 | | | | 4,598 | |
| Trust revenues | | | 3,892 | | | | 3,648 | | | | 3,623 | | | | 3,522 | | | | 3,707 | |
| Investment securities (losses) gains | | | (2 | ) | | | 4 | | | | 28 | | | | (36 | ) | | | 28 | |
| Other | | | 5,938 | | | | 10,458 | | | | 6,494 | | | | 5,797 | | | | 5,517 | |
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| | | |
| | | |
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| | | |
| |
| Total noninterest income | | | 14,441 | | | | 19,027 | | | | 15,129 | | | | 14,206 | | | | 13,850 | |
| Noninterest expenses | | | | | | | | | | | | | | | | | | | | |
| Salaries and employee benefits | | | 18,519 | | | | 18,625 | | | | 21,664 | | | | 18,028 | | | | 18,191 | |
| Net occupancy | | | 2,205 | | | | 1,872 | | | | 1,899 | | | | 1,816 | | | | 2,078 | |
| Furniture and equipment | | | 1,804 | | | | 1,701 | | | | 1,752 | | | | 1,847 | | | | 1,801 | |
| Data processing | | | 1,863 | | | | 2,037 | | | | 1,690 | | | | 1,516 | | | | 1,487 | |
| Deposit insurance | | | 171 | | | | 140 | | | | 147 | | | | 150 | | | | 100 | |
| State taxes | | | 344 | | | | 442 | | | | 432 | | | | 434 | | | | 460 | |
| Amortization of intangibles | | | 216 | | | | 205 | | | | 207 | | | | 211 | | | | 201 | |
| Other | | | 8,122 | | | | 8,458 | | | | 7,948 | | | | 7,815 | | | | 7,441 | |
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| | | |
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| Total noninterest expenses | | | 33,244 | | | | 33,480 | | | | 35,739 | | | | 31,817 | | | | 31,759 | |
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| Income before income taxes | | | 14,754 | | | | 12,218 | | | | 11,399 | | | | 15,626 | | | | 16,113 | |
| Income tax expense | | | 4,806 | | | | 3,377 | | | | 3,575 | | | | 5,016 | | | | 5,482 | |
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| | | |
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| Net earnings | | $ | 9,948 | | | $ | 8,841 | | | $ | 7,824 | | | $ | 10,610 | | | $ | 10,631 | |
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ADDITIONAL DATA — FULLY TAX EQUIVALENT NET INTEREST INCOME | | | | |
| Interest income | | $ | 50,823 | | | $ | 49,055 | | | $ | 52,148 | | | $ | 53,335 | | | $ | 53,751 | |
| Tax equivalent adjustment | | | 860 | | | | 885 | | | | 900 | | | | 918 | | | | 938 | |
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| | | |
| | | |
| | | |
| | | |
| |
| Interest income — tax equivalent | | | 51,683 | | | | 49,940 | | | | 53,048 | | | | 54,253 | | | | 54,689 | |
| Interest expense | | | 14,666 | | | | 14,962 | | | | 15,775 | | | | 16,156 | | | | 16,515 | |
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| | | |
| | | |
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| Net interest income — tax equivalent | | $ | 37,017 | | | $ | 34,978 | | | $ | 37,273 | | | $ | 38,097 | | | $ | 38,174 | |
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FIRST FINANCIAL BANCORP.
CONSOLIDATED STATEMENTS OF CONDITION
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | |
| | | | | |
| | | (Dollars in thousands)
(Unaudited) | | |
| | | Mar. 31, | | Dec. 31, | | Mar. 31, |
| | | 2004
| | 2003
| | 2003
|
ASSETS | | | | | | | | | | | | |
| Cash and due from banks | | $ | 138,950 | | | $ | 183,612 | | | $ | 179,317 | |
| Interest-bearing deposits with other banks | | | 8,195 | | | | 5,014 | | | | 6,925 | |
| Federal funds sold and securities purchased under agreements to resell | | | 1,987 | | | | 607 | | | | 16,416 | |
| Investment securities, held-to-maturity | | | 12,482 | | | | 18,399 | | | | 20,620 | |
| Investment securities, available-for-sale | | | 771,765 | | | | 794,762 | | | | 673,620 | |
| Loans | | | | | | | | | | | | |
| Commercial | | | 677,918 | | | | 666,315 | | | | 702,042 | |
| Real estate-construction | | | 77,388 | | | | 73,260 | | | | 85,402 | |
| Real estate-mortgage | | | 1,494,663 | | | | 1,466,153 | | | | 1,408,345 | |
| Installment | | | 553,679 | | | | 560,061 | | | | 547,986 | |
| Credit card | | | 20,159 | | | | 21,680 | | | | 20,355 | |
| Lease financing | | | 10,353 | | | | 12,241 | | | | 18,446 | |
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| | | |
| | | |
| |
| Total loans | | | 2,834,160 | | | | 2,799,710 | | | | 2,782,576 | |
| Less | | | | | | | | | | | | |
| Unearned income | | | 48 | | | | 86 | | | | 334 | |
| Allowance for loan losses | | | 47,672 | | | | 47,771 | | | | 48,305 | |
| | | |
| | | |
| | | |
| |
| Net loans | | | 2,786,440 | | | | 2,751,853 | | | | 2,733,937 | |
| Premises and equipment | | | 59,816 | | | | 59,050 | | | | 56,337 | |
| Goodwill | | | 28,344 | | | | 27,379 | | | | 27,379 | |
| Other intangibles | | | 7,943 | | | | 7,530 | | | | 8,818 | |
| Deferred income taxes receivable | | | 4,909 | | | | 6,227 | | | | 6,386 | |
| Other assets | | | 97,794 | | | | 101,629 | | | | 91,233 | |
| | | |
| | | |
| | | |
| |
Total Assets | | $ | 3,918,625 | | | $ | 3,956,062 | | | $ | 3,820,988 | |
| | | |
| | | |
| | | |
| |
LIABILITIES | | | | | | | | | | | | |
| Deposits Noninterest-bearing | | $ | 403,522 | | | $ | 414,785 | | | $ | 431,169 | |
| Interest-bearing | | | 2,528,828 | | | | 2,530,880 | | | | 2,517,665 | |
| | | |
| | | |
| | | |
| |
| Total deposits | | | 2,932,350 | | | | 2,945,665 | | | | 2,948,834 | |
| Short-term borrowings | | | 195,191 | | | | 258,909 | | | | 133,282 | |
| Long-term borrowings | | | 354,615 | | | | 322,979 | | | | 318,053 | |
| Junior subordinated debentures owed to unconsolidated subsidiary trusts | | | 30,930 | | | | 0 | | | | 0 | |
| Corporation-obligated mandatorily redeemable capital securities of subsidiary trusts | | | 0 | | | | 30,000 | | | | 10,000 | |
| Accrued interest and other liabilities | | | 34,724 | | | | 32,026 | | | | 37,729 | |
| | | |
| | | |
| | | |
| |
Total Liabilities | | | 3,547,810 | | | | 3,589,579 | | | | 3,447,898 | |
SHAREHOLDERS’ EQUITY | | | | | | | | | | | | |
| Common stock | | | 395,595 | | | | 395,752 | | | | 395,946 | |
| Retained earnings | | | 53,680 | | | | 50,325 | | | | 42,914 | |
| Accumulated comprehensive income | | | 4,648 | | | | 2,344 | | | | 6,407 | |
| Restricted stock awards | | | (4,403 | ) | | | (3,397 | ) | | | (5,902 | ) |
| Treasury stock, at cost | | | (78,705 | ) | | | (78,541 | ) | | | (66,275 | ) |
| | | |
| | | |
| | | |
| |
Total Shareholders’ Equity | | | 370,815 | | | | 366,483 | | | | 373,090 | |
| | | |
| | | |
| | | |
| |
Total Liabilities and Shareholders’ Equity | | $ | 3,918,625 | | | $ | 3,956,062 | | | $ | 3,820,988 | |
| | | |
| | | |
| | | |
| |
ADDITIONAL DATA — RISK BASED CAPITAL
| | | | | | | | | | | | | | | | | | | | | |
| | | Mar. 31, | | Dec. 31, | | Sep. 30, | | Jun. 30, | | Mar. 31, |
| | | 2004
| | 2003
| | 2003
| | 2003
| | 2003
|
| Tier 1 Capital | | $ | 359,134 | | | $ | 358,616 | | | $ | 358,292 | | | $ | 338,933 | | | $ | 341,739 | |
| Tier 1 Ratio | | | 13.19 | % | | | 13.20 | % | | | 12.92 | % | | | 12.50 | % | | | 12.66 | % |
| Total Capital | | $ | 393,331 | | | $ | 392,735 | | | $ | 393,122 | | | $ | 373,011 | | | $ | 375,662 | |
| Total Capital Ratio | | | 14.45 | % | | | 14.46 | % | | | 14.18 | % | | | 13.76 | % | | | 13.92 | % |
| Total Risk-Adjusted Assets | | $ | 2,722,261 | | | $ | 2,715,858 | | | $ | 2,772,571 | | | $ | 2,711,426 | | | $ | 2,699,431 | |
| Leverage Ratio | | | 9.30 | % | | | 9.30 | % | | | 9.28 | % | | | 8.90 | % | | | 9.24 | % |
FIRST FINANCIAL BANCORP.
AVERAGE CONSOLIDATED STATEMENTS OF CONDITION
(Dollars in thousands)
(Unaudited)
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | Quarterly Averages | | | | |
| | | Mar. 31, | | Dec. 31, | | Sep. 30, | | Jun. 30, | | Mar. 31, |
| | | 2004
| | 2003
| | 2003
| | 2003
| | 2003
|
ASSETS | | | | | | | | | | | | | | | | | | | | |
| Cash and due from banks | | $ | 114,977 | | | $ | 117,810 | | | $ | 129,005 | | | $ | 127,405 | | | $ | 140,351 | |
| Interest-bearing deposits with other banks | | | 7,588 | | | | 9,252 | | | | 5,671 | | | | 7,235 | | | | 9,294 | |
| Federal funds sold and securities purchased under agreements to resell | | | 4,691 | | | | 4,307 | | | | 10,174 | | | | 6,384 | | | | 31,457 | |
| Investment securities | | | 799,823 | | | | 798,727 | | | | 778,365 | | | | 747,090 | | | | 650,619 | |
| Loans | | | | | | | | | | | | | | | | | | | | |
| Commercial | | | 669,188 | | | | 658,205 | | | | 695,980 | | | | 700,439 | | | | 701,288 | |
| Real estate-construction | | | 76,193 | | | | 68,621 | | | | 69,072 | | | | 77,879 | | | | 86,466 | |
| Real estate-mortgage | | | 1,488,463 | | | | 1,480,587 | | | | 1,469,535 | | | | 1,443,940 | | | | 1,388,330 | |
| Installment | | | 554,374 | | | | 564,684 | | | | 559,600 | | | | 552,301 | | | | 549,668 | |
| Credit card | | | 20,274 | | | | 20,402 | | | | 20,169 | | | | 20,077 | | | | 20,692 | |
| Lease financing | | | 11,284 | | | | 13,276 | | | | 15,405 | | | | 17,488 | | | | 19,911 | |
| | | |
| | | |
| | | |
| | | |
| | | |
| |
| Total loans | | | 2,819,776 | | | | 2,805,775 | | | | 2,829,761 | | | | 2,812,124 | | | | 2,766,355 | |
| Less Unearned income | | | 65 | | | | 108 | | | | 179 | | | | 276 | | | | 385 | |
| | | |
| | | |
| | | |
| | | |
| | | |
| |
| Allowance for loan losses | | | 47,877 | | | | 48,754 | | | | 48,849 | | | | 48,168 | | | | 48,625 | |
| Net loans | | | 2,771,834 | | | | 2,756,913 | | | | 2,780,733 | | | | 2,763,680 | | | | 2,717,345 | |
| Premises and equipment | | | 59,271 | | | | 58,863 | | | | 57,825 | | | | 56,675 | | | | 56,468 | |
| Deferred income tax | | | 5,570 | | | | 8,457 | | | | 7,969 | | | | 5,555 | | | | 3,958 | |
| Other assets | | | 131,146 | | | | 131,683 | | | | 124,684 | | | | 127,227 | | | | 121,252 | |
| | | |
| | | |
| | | |
| | | |
| | | |
| |
Total Assets | | $ | 3,894,900 | | | $ | 3,886,012 | | | $ | 3,894,426 | | | $ | 3,841,251 | | | $ | 3,730,744 | |
| | | |
| | | |
| | | |
| | | |
| | | |
| |
LIABILITIES | | | | | | | | | | | | | | | | | | | | |
| Deposits | | | | | | | | | | | | | | | | | | | | |
| Interest-bearing | | $ | 193,256 | | | $ | 182,501 | | | $ | 212,102 | | | $ | 165,275 | | | $ | 298,561 | |
| Savings | | | 1,030,709 | | | | 1,046,180 | | | | 1,023,110 | | | | 1,001,121 | | | | 850,866 | |
| Time | | | 1,306,947 | | | | 1,325,253 | | | | 1,357,171 | | | | 1,370,081 | | | | 1,338,185 | |
| | | |
| | | |
| | | |
| | | |
| | | |
| |
| Total interest-bearing deposits | | | 2,530,912 | | | | 2,553,934 | | | | 2,592,383 | | | | 2,536,477 | | | | 2,487,612 | |
| Noninterest-bearing | | | 395,894 | | | | 399,611 | | | | 392,862 | | | | 406,730 | | | | 416,824 | |
| | | |
| | | |
| | | |
| | | |
| | | |
| |
| Total deposits | | | 2,926,806 | | | | 2,953,545 | | | | 2,985,245 | | | | 2,943,207 | | | | 2,904,436 | |
| Borrowed funds | | | | | | | | | | | | | | | | | | | | |
| Short-term borrowings | | | 209,166 | | | | 193,390 | | | | 161,742 | | | | 157,965 | | | | 102,310 | |
| Long-term borrowings | | | 333,214 | | | | 323,562 | | | | 325,083 | | | | 323,766 | | | | 307,790 | |
| | | |
| | | |
| | | |
| | | |
| | | |
| |
| Total borrowed funds | | | 542,380 | | | | 516,952 | | | | 486,825 | | | | 481,731 | | | | 410,100 | |
| Junior subordinated debentures owed to unconsolidated subsidiary trusts | | | 30,930 | | | | 0 | | | | 0 | | | | 0 | | | | 0 | |
| Corporation-obligated mandatorily redeemable capital securities of subsidiary trust | | | 0 | | | | 30,000 | | | | 26,956 | | | | 10,000 | | | | 10,000 | |
| Accrued interest and other liabilities | | | 27,156 | | | | 20,862 | | | | 28,422 | | | | 35,094 | | | | 31,972 | |
| | | |
| | | |
| | | |
| | | |
| | | |
| |
Total Liabilities | | | 3,527,272 | | | | 3,521,359 | | | | 3,527,448 | | | | 3,470,032 | | | | 3,356,508 | |
SHAREHOLDERS’ EQUITY | | | | | | | | | | | | | | | | | | | | |
| Common stock | | | 395,648 | | | | 395,808 | | | | 395,894 | | | | 395,916 | | | | 396,033 | |
| Retained earnings | | | 51,165 | | | | 47,534 | | | | 48,022 | | | | 43,281 | | | | 38,881 | |
| Accumulated comprehensive income | | | 3,311 | | | | 2,587 | | | | 3,680 | | | | 7,501 | | | | 8,379 | |
| Restricted stock awards | | | (4,220 | ) | | | (3,619 | ) | | | (4,969 | ) | | | (5,613 | ) | | | (5,625 | ) |
| Treasury stock, at cost | | | (78,276 | ) | | | (77,657 | ) | | | (75,649 | ) | | | (69,866 | ) | | | (63,432 | ) |
| | | |
| | | |
| | | |
| | | |
| | | |
| |
Total Shareholders’ Equity | | | 367,628 | | | | 364,653 | | | | 366,978 | | | | 371,219 | | | | 374,236 | |
| | | |
| | | |
| | | |
| | | |
| | | |
| |
Total Liabilities and Shareholders’ Equity | | $ | 3,894,900 | | | $ | 3,886,012 | | | $ | 3,894,426 | | | $ | 3,841,251 | | | $ | 3,730,744 | |
| | | |
| | | |
| | | |
| | | |
| | | |
| |
