Exhibit 99.1 |
PSLA Disclaimer This presentation includes forward-looking statements which AmericanWest intends to be covered by the safe harbor provisions of the Private Securities Litigation Act of 1995. These forward-looking statements describe management’s expectations regarding future events. Future events are difficult to predict and subject to risk and uncertainty which could cause actual results to differ materially and adversely. Additional information regarding risks and uncertainties is included in AmericanWest’s periodic filings on Forms 10-K and 10-Q with the Securities and Exchange Commission. AmericanWest undertakes no obligation to revise or amend any forward-looking statements to reflect subsequent events or circumstances. |
Overview $2.1 billion single-bank holding company based in Spokane, Washington Traded on NASDAQ Global Select Market under symbol “AWBC” Market Capitalization of $73 million as of April 28, 2008 Operates 64 full-service financial centers offices throughout Eastern/Central Washington, Northern Idaho and Utah Unique Inner Mountain region community bank franchise |
Market opportunities Many key AWBC markets have excellent long-term growth prospects that will provide a foundation for future growth despite current cyclical challenges MSA # Branches 2000 - 2007 2007 - 2012 Provo-Orem, UT 8 29.9% 21.1% Kennewick-Pasco-Richland, WA 4 22.8% 16.4% Moses Lake, WA 2 10.9% 7.4% Spokane, WA 10 8.6% 5.1% Coeur d'Alene, ID 2 26.1% 20.3% Salt Lake City, UT 3 10.8% 7.4% Weighted average MSA (13) 49 15.1% 9.7% National average 8.9% 6.3% Source: SNL Financial Population Growth % |
Markets – Utah Expansion Niche opportunity for a larger service focused community bank given current competitive composition in Utah banking market New financial center opened in Salt Lake City financial district in Q4 2007 Utah Deposits as of June 30, 2007 * Deposits in millions Number of Banks Total Deposits Deposit % Average Deposits National/Regional 8 36,505 82% 4,563 Community 42 7,889 18% 187 50 44,394 100% * Excludes $137 billion of brokerage/specialty deposits. Source: FDIC. |
Strategic Initiatives – Mortgage Lending Recent results include: Q1 2008 mortgage revenue of $862,000 comparable to Q4 2007 and 150% above Q1 2007 level 145% increase in mortgage lending staff since Q1 2007 April mortgage revenues over $500,000 12 lenders hired in past 90 days, with 8+ average years of experience Consumer construction loan product with secondary market take-out are fully underwritten to secondary market standards Substantially all permanent mortgage loans sold on a servicing-released basis Only 3 of 144 loans on non-accrual status as of March 31, with no delinquent loans |
Strategic Initiatives – SBA/C&I Lending SBA lending group formed in Q2 2007 Over 90% of 2007 volume produced in Q3-4 Q1 2008 production was 40% of full-year 2007 level New SBA Lending Manager hired in April 2008, with over 20 years of experience Bank-wide referral incentive program Salt Lake City C&I lending group formed in Q1 2007 with opening of Walker Center LPO Over $40MM of C&I loan production generated by the Walker Center and South Jordan LPOs in 2007 Total annualized C&I loan growth rate of 19% for the second half of 2007 |
Strategic Initiatives Corporate Cash Management and Deposit Service New Director of Cash Management Services hired in Q4 2007 with over 20 years of experience. 14 new cash management clients added in Q1 2008 28 new client remote deposit capture installations in Q1 2008, up 33% over Q4 2007 Analysis fee revenue for April 2008 of $85,000, up 95% over year ago level 1,800 new debit cards added in Q1 2008, increasing penetration rate to 53% April debit card revenue up $47,000, or 21% over prior year level |
Tactical Focus – Expense Control Recently initiated expense management initiatives include: Consolidation of lending support functions completed in January 2008, resulting in net annualized staff savings of $450,000 Utilization of new financial center staffing models expected to reduce FTE count by 35 during Q2, or $1MM in pre-tax savings (excluding severance costs) Targeted other staff reduction annualized savings of $1MM (excluding severance costs) to be identified by end of Q2 2008 Evaluation of financial centers is ongoing and has resulted in the decision to close an under-performing financial center in Walla Walla, WA Evaluating the sale/leaseback and consolidation of excess and administrative support office space |
Tactical Focus – Asset Quality and Loan Workouts AWBC has had a dedicated special assets group since 2004 and has a demonstrated ability resolve and/or liquidate problem credits Additional experienced staff recently reassigned to unit Conservative approach to classifying problem credits, focused on cash flow and primary repayment sources Interest reserves and guarantees do not warrant continuance of accrual on weak projects No interest in holding projects on a speculative basis Executive management meets with special assets staff weekly to review the status of all significant non-performing loans |
Executive Management Team Joined Years in Prior Industry Name Title Age AWBC Industry Experience Robert M. Daugherty President & CEO 54 Sep-04 30 Humboldt Bancorp, Draper Bank & Trust, US Bank Patrick J. Rusnak EVP/COO/CFO 44 Sep-06 20 Western Sierra Bancorp, Humboldt Bancorp, United Community Banks, Inc. Rick E. Shamberger EVP/CCO 46 Oct-03 20 US Bank Nicole Sherman EVP/Retail Banking 37 Dec-04 16 Zions Bank Robert M. Bowen EVP/Director of Commercial Lending Utah 54 May-06 30 US Bank Robert A. Harris EVP/Director of Commercial Lending WA/ID 45 Mar-05 21 US Bank |