Exhibit 99.1
NEWS from Summit Bancshares, Inc.
For Immediate Release | For Information Contact: |
October 12, 2004 | Bob G. Scott, COO |
| (817) 877-2660 |
SUMMIT BANCSHARES REPORTS
THIRD QUARTER 2004 EARNINGS
Fort Worth, Texas - Summit Bancshares, Inc. (NASDAQ: SBIT), a community-oriented bank holding company in Fort Worth, reported third quarter earnings today. Philip E. Norwood, Chairman, President and Chief Executive Officer stated, “We are pleased to again report positive financial performance of the Company. The completion of the acquisition of Arlington National Bank and the addition of a branch in Euless, Texas during the second quarter of 2004, excellent internal growth from the Company’s existing locations and positive increases in market interest rates during the third quarter were the catalysts of this positive performance. As of September 30th, the Company has twelve banking locations throughout Tarrant County resulting in the Company’s assets reaching $990 million as of the end of the quarter, a $213 million or 27% increase in the last twelve months.”
He further stated, “Earnings per diluted share for the quarter increased 12.8% compared to the same quarter last year. The third quarter results reflect the acquisition of Arlington National following purchase accounting rules, therefore you will note double digit increases in most of the categories of income and expense when comparing this quarter’s results to prior quarters. In addition, the Arlington locations made a positive contribution to the Company’s financial performance for the quarter.”
Results of Operations
For the quarter ended September 30, 2004, net income was $2,796,000 compared to $2,475,000 for the same period in 2003. Net income per diluted share was $0.44 for the three months ended September 30, 2004, compared to $0.39 for the three months ended September 30, 2003. Return on average assets and return on average shareholders’ equity for the third quarter of 2004 were 1.14% and 15.66%, respectively. The Company’s average shareholders’ equity-to-assets ratio was 7.3% for the quarter ended September 30, 2004. The Arlington National acquisition was partially financed with the proceeds of the issuance of $12 million of Trust Preferred securities giving the Company a Tier One capital ratio of 10.0%.
Net income for the nine months ended September 30, 2004 was $7,843,000 or $1.24 per diluted share, compared to $7,365,000, or $1.17 per diluted share for the same period last year. Return on average assets and return on average shareholders’ equity for the nine months ended September 30, 2004 were 1.15% and 14.82%, respectively.
Financial Results
Net interest income (tax equivalent) for the third quarter of 2004 was $9.9 million compared to $7.9 million in the third quarter of last year. The increase reflects the inclusion of Arlington National’s financial results for the entire quarter following its acquisition on May 1st. Since the Company is somewhat more sensitive to market interest rate changes than other community banks due to its heavier commercial lending focus, the net interest margin declined to 4.29% for the quarter compared to 4.37% for the third quarter of the prior year. However, the impact of the decline in the net interest margin was partially offset by asset growth. The growth in net interest income resulted from a 27.3% growth in average earning assets compared to the third quarter of the prior year (primarily in higher yielding loans) and a 41 basis points increase in the average prime lending rate for the quarter compared to the same quarter of the prior year. The increase in prime lending rate is positive to only a portion of the earning assets as less than 45% of earning assets will benefit immediately from changes in market interest rates.
If market interest rates continue to rise, the Company believes that its current asset sensitive position will enhance earnings growth assuming deposit rates do not increase significantly faster than interest rates on earning assets. Also, the Company believes that the impact on net interest income for that portion of earning assets supported by the Company’s high levels of non-interest bearing deposits and shareholders’ equity will improve.
Non-interest income increased $558,000 or 35.2% for the third quarter of 2004 compared to the same quarter of the prior year and includes the impact of the Arlington National acquisition. This increase included a gain of $176,000 on sale of student loans during the quarter. In addition, there were increases in service charges on deposit accounts and increases in several other fee based services, including trust fees which is a new service being offered to the Company’s customers as a result of the Arlington National acquisition. These increases were somewhat offset by lower investment brokerage fees. Growth of non-interest income continues to be one of the areas of the Company’s focus.
Non-interest expenses for the third quarter increased $1,453,000 or 25.7% over the same quarter of the previous year. This increase includes the impacts of: a) the addition of Arlington National which contributed $1,103,000 of expense to the current quarter and b) a full quarter of expense of opening the Euless Branch in the second quarter of this year.
The provision for loan losses was $495,000 in the third quarter of 2004. This was an increase of $449,000 over the same quarter last year. In the third quarter, the Company had net loan charge-offs of $260,000. The Allowance for Loan Losses as a percent of outstanding loans was 1.46% (or 1.52% when loans are reflected net of the guaranteed portion of SBA loans and student guaranteed loans) at September 30, 2004 as compared to 1.45% at the end of the third quarter of 2003. For the first nine months of 2004, the Company recorded net loan charge-offs of $459,000, or .07% of average loans.
Non performing assets totaled $4.8 million or 0.70% ($2.3 million of which was collected after the close of the quarter) of loans and foreclosed assets at September 30, 2004, compared to $1.5 million or .29% at September 30, 2003. The Allowance for Loan Losses was 396% of non-performing loans at September 30, 2004. The Company believes that it continues to maintain positive measures of asset quality.
The Company’s loans were $690 million at September 30, 2004, an increase of $172 million, or 33.2%, from September 30, 2003. Deposits increased over the past year from $637 million at September 30, 2003 to $791 million at September 30, 2004, an increase of $154 million, or 24.2%. Shareholders’ equity at September 30, 2004 was $73.5 million, an increase of $5.5 million, or 8.1% from a year ago.
The Company will host a conference call Wednesday, October 13th at 10:00 a.m. (CT). To access the live call, please call (800) 289-0504 and enter code 847798. A toll free replay of the call will be available for two weeks beginning at 1:30 p.m. (CT), October 13, 2004 through midnight, October 27, 2004. You may access this replay by calling (888) 203-1112 and entering code 847798. Additional information regarding the Company is available on the Company’s website at www.summitbank.net.
Certain statements contained in this press release that are not historical in nature, including statements regarding the Company’s and/or management’s intentions, strategies, beliefs, expectations, representations, plans, projections, or predictions of the future, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and are intended to be covered by the safe harbor provisions for forward-looking statements contained in such Act. We are including this statement for purposes of invoking these safe harbor provisions. Forward-looking statements are based on assumptions involving certain known and unknown risks and uncertainties, many of which are beyond the Company’s control, and other important factors that could cause actual results, performance or achievements to differ materially from the expectations expressed or implied by such forward-looking statements. These risks and uncertainties are listed from time to time in the Company’s filings with the Securities and Exchange Commission, including but not limited to, those set forth under the heading “Factors That May Affect Future Results” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2003.
Summit Bancshares, Inc. · 3880 Hulen, Ste. 300 · Fort Worth, Texas 76107
Telephone (817) 336-6817 · FAX (817) 877-2672 · Web Site: www.summitbank.net
SUMMIT BANCSHARES, INC.
(Unaudited)
(Dollars in thousands, except per share data)
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| Quarter Ended |
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| Nine Months Ended |
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| % |
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| % |
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| 2004 |
| 2003 |
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| 2004 |
| 2003 |
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EARNINGS SUMMARY |
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Interest income |
| $ | 12,361 |
| $ | 9,709 |
|
| 27.3 | % | $ | 33,862 |
| $ | 28,507 |
|
| 18.8 | % |
Interest expense |
|
| 2,533 |
|
| 1,834 |
|
| 38.1 | % |
| 6,723 |
|
| 5,584 |
|
| 20.4 | % |
|
|
|
|
|
|
|
| ||||||||||||
Net interest income |
|
| 9,828 |
|
| 7,875 |
|
| 24.8 | % |
| 27,139 |
|
| 22,923 |
|
| 18.4 | % |
Provision for loan losses |
|
| 495 |
|
| 46 |
|
| 976.1 | % |
| 1,500 |
|
| 586 |
|
| 156.0 | % |
Service charges on deposits |
|
| 1,180 |
|
| 914 |
|
| 29.1 | % |
| 3,164 |
|
| 2,562 |
|
| 23.5 | % |
Gain on Sale of Investment Securities |
|
| 32 |
|
| 89 |
|
| -64.0 | % |
| 32 |
|
| 101 |
|
| -68.3 | % |
Other Income |
|
| 929 |
|
| 580 |
|
| 60.2 | % |
| 2,235 |
|
| 1,865 |
|
| 19.8 | % |
Salaries and benefits expense |
|
| 4,029 |
|
| 3,336 |
|
| 20.8 | % |
| 11,169 |
|
| 9,332 |
|
| 19.7 | % |
Occupancy and equipment expense |
|
| 1,180 |
|
| 1,064 |
|
| 10.9 | % |
| 3,230 |
|
| 2,628 |
|
| 22.9 | % |
Other expense |
|
| 1,900 |
|
| 1,256 |
|
| 51.3 | % |
| 4,590 |
|
| 3,739 |
|
| 22.8 | % |
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|
|
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|
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| ||||||||||||
Earnings before income taxes |
|
| 4,365 |
|
| 3,756 |
|
| 16.2 | % |
| 12,081 |
|
| 11,166 |
|
| 8.2 | % |
Provision for income taxes |
|
| 1,569 |
|
| 1,281 |
|
| 22.5 | % |
| 4,238 |
|
| 3,801 |
|
| 11.5 | % |
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|
|
|
|
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| ||||||||||||
Net earnings |
| $ | 2,796 |
| $ | 2,475 |
|
| 13.0 | % | $ | 7,843 |
| $ | 7,365 |
|
| 6.5 | % |
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|
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| ||||||||||||
Basic earnings per share |
| $ | 0.45 |
| $ | 0.40 |
|
| 12.5 | % | $ | 1.27 |
| $ | 1.19 |
|
| 6.7 | % |
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|
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|
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| ||||||||||||
Basic weighted average shares outstanding |
|
| 6,166 |
|
| 6,160 |
|
|
|
|
| 6,159 |
|
| 6,163 |
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|
|
|
Diluted earnings per share |
| $ | 0.44 |
| $ | 0.39 |
|
| 12.8 | % | $ | 1.24 |
| $ | 1.17 |
|
| 6.0 | % |
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|
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| ||||||||||||
Diluted weighted average shares outstanding |
|
| 6,335 |
|
| 6,341 |
|
|
|
|
| 6,333 |
|
| 6,310 |
|
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| Average for Quarter Ended |
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|
| September 30, |
| June 30, |
| March 31, |
| December 31, |
| September 30, |
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BALANCE SHEET SUMMARY |
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Total loans |
| $ | 678,915 |
| $ | 642,935 |
| $ | 573,862 |
| $ | 537,635 |
| $ | 503,936 |
|
Total investment securities |
|
| 218,831 |
|
| 196,972 |
|
| 187,988 |
|
| 205,162 |
|
| 199,367 |
|
Earning assets |
|
| 914,595 |
|
| 871,084 |
|
| 767,274 |
|
| 746,066 |
|
| 718,601 |
|
Total assets |
|
| 976,911 |
|
| 925,830 |
|
| 808,009 |
|
| 788,426 |
|
| 761,278 |
|
Noninterest bearing deposits |
|
| 226,462 |
|
| 207,815 |
|
| 179,396 |
|
| 184,106 |
|
| 176,478 |
|
Interest bearing deposits |
|
| 557,329 |
|
| 521,812 |
|
| 454,352 |
|
| 450,401 |
|
| 452,325 |
|
Total deposits |
|
| 783,791 |
|
| 729,628 |
|
| 633,748 |
|
| 634,507 |
|
| 628,803 |
|
Other borrowings |
|
| 118,083 |
|
| 121,193 |
|
| 101,349 |
|
| 82,160 |
|
| 61,199 |
|
Shareholders’ equity |
|
| 71,038 |
|
| 70,583 |
|
| 70,116 |
|
| 68,399 |
|
| 68,273 |
|
|
| Average for Nine Months |
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| ||||
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|
| % |
| ||||||
|
| 2004 |
| 2003 |
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| ||||
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BALANCE SHEET SUMMARY |
|
|
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|
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Total loans |
| $ | 632,076 |
| $ | 493,361 |
|
| 28.1 | % |
Total investment securities |
|
| 201,327 |
|
| 178,631 |
|
| 12.7 | % |
Earning assets |
|
| 851,216 |
|
| 681,468 |
|
| 24.9 | % |
Total assets |
|
| 903,851 |
|
| 723,223 |
|
| 25.0 | % |
Noninterest bearing deposits |
|
| 204,638 |
|
| 168,968 |
|
| 21.1 | % |
Interest bearing deposits |
|
| 511,333 |
|
| 431,169 |
|
| 18.6 | % |
Total deposits |
|
| 715,971 |
|
| 600,137 |
|
| 19.3 | % |
Other borrowings |
|
| 113,559 |
|
| 52,741 |
|
| 115.3 | % |
Shareholders’ equity |
|
| 70,581 |
|
| 67,429 |
|
| 4.7 | % |
|
| Ending Balance |
| |||||||||||||
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| ||||||||||||||
|
| September 30, |
| June 30, |
| March 31, |
| December 31, |
| September 30, |
| |||||
|
|
|
|
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| ||||||||||
BALANCE SHEET SUMMARY |
|
|
|
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|
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|
|
Total loans |
| $ | 689,906 |
| $ | 672,686 |
| $ | 593,271 |
| $ | 553,769 |
| $ | 517,994 |
|
Total investment securities |
|
| 219,264 |
|
| 214,991 |
|
| 181,879 |
|
| 195,959 |
|
| 210,048 |
|
Total earning assets |
|
| 928,638 |
|
| 905,228 |
|
| 818,393 |
|
| 751,063 |
|
| 728,766 |
|
Allowance for loan losses |
|
| (10,079 | ) |
| (9,844 | ) |
| (8,320 | ) |
| (7,784 | ) |
| (7,483 | ) |
Premises and equipment |
|
| 15,643 |
|
| 15,145 |
|
| 12,755 |
|
| 12,920 |
|
| 13,237 |
|
Total assets |
|
| 990,406 |
|
| 969,708 |
|
| 860,361 |
|
| 795,478 |
|
| 777,558 |
|
Noninterest bearing deposits |
|
| 232,586 |
|
| 218,343 |
|
| 186,198 |
|
| 192,877 |
|
| 180,765 |
|
Interest bearing deposits |
|
| 558,938 |
|
| 557,347 |
|
| 470,186 |
|
| 448,504 |
|
| 456,706 |
|
Total deposits |
|
| 791,524 |
|
| 775,690 |
|
| 656,384 |
|
| 641,381 |
|
| 637,471 |
|
Other borrowings |
|
| 121,355 |
|
| 121,785 |
|
| 129,691 |
|
| 82,234 |
|
| 69,230 |
|
Total liabilities |
|
| 916,858 |
|
| 901,009 |
|
| 788,786 |
|
| 726,794 |
|
| 709,546 |
|
Shareholders’ equity |
|
| 73,548 |
|
| 68,699 |
|
| 71,575 |
|
| 68,684 |
|
| 68,012 |
|
SUMMIT BANCSHARES, INC.
(Unaudited)
(Dollars in thousands)
|
| September 30, |
| June 30, |
| March 31, |
| December 31, |
| September 30, |
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NONPERFORMING ASSETS |
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|
|
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Nonaccrual loans |
| $ | 2,545 |
| $ | 2,832 |
| $ | 2,405 |
| $ | 2,351 |
| $ | 1,514 |
|
Restructured loans |
|
| — |
|
| — |
|
| — |
|
| — |
|
| — |
|
Other real estate & foreclosed assets |
|
| 4 |
|
| 369 |
|
| 7 |
|
| — |
|
| — |
|
Accruing loans past due 90 days or more |
|
| 2,300 |
|
| 111 |
|
| — |
|
| 55 |
|
| — |
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|
|
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|
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| ||||||||||
Total nonperforming assets |
| $ | 4,849 |
| $ | 3,312 |
| $ | 2,412 |
| $ | 2,406 |
| $ | 1,514 |
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|
|
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|
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| ||||||||||
Total nonperforming assets as a percentage of loans and foreclosed assets |
|
| 0.70 | % |
| 0.49 | % |
| 0.41 | % |
| 0.43 | % |
| 0.29 | % |
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| Quarter Ended |
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|
| September 30, |
| June 30, |
| March 31, |
| December 31, |
| September 30, |
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ALLOWANCE FOR LOAN LOSSES |
|
|
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Balance at beginning of period |
| $ | 9,844 |
| $ | 9,574 |
| $ | 7,784 |
| $ | 7,483 |
| $ | 7,412 |
|
Loans charged off |
|
| (415 | ) |
| (196 | ) |
| (137 | ) |
| (163 | ) |
| (24 | ) |
Loan recoveries |
|
| 155 |
|
| 66 |
|
| 68 |
|
| 170 |
|
| 49 |
|
|
|
|
|
|
|
| ||||||||||
Net (charge-offs) recoveries |
|
| (260 | ) |
| (130 | ) |
| (69 | ) |
| 7 |
|
| 25 |
|
Provision for loan losses |
|
| 495 |
|
| 400 |
|
| 605 |
|
| 294 |
|
| 46 |
|
|
|
|
|
|
|
| ||||||||||
Balance at end of period |
| $ | 10,079 |
| $ | 9,844 |
| $ | 8,320 |
| $ | 7,784 |
| $ | 7,483 |
|
|
|
|
|
|
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| ||||||||||
Allowance for loan losses as a percentage of total loans |
|
| 1.46 | % |
| 1.46 | % |
| 1.40 | % |
| 1.41 | % |
| 1.45 | % |
|
|
|
|
|
|
| ||||||||||
Allowance for loan losses as a percentage of nonperforming loans |
|
| 396.03 | % |
| 347.60 | % |
| 345.95 | % |
| 323.57 | % |
| 494.39 | % |
|
|
|
|
|
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| ||||||||||
Net charge-offs (recoveries) as a percentage of average loans |
|
| 0.04 | % |
| 0.02 | % |
| 0.01 | % |
| 0.00 | % |
| -0.01 | % |
|
|
|
|
|
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| ||||||||||
Provision for loan losses as a percentage of average loans |
|
| 0.07 | % |
| 0.06 | % |
| 0.11 | % |
| 0.05 | % |
| 0.01 | % |
|
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| Quarter Ended |
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|
| September 30, |
| June 30, |
| March 31, |
| December 31, |
| September 30, |
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SELECTED RATIOS |
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Return on average assets (annualized) |
|
| 1.14 | % |
| 1.13 | % |
| 1.22 | % |
| 1.21 | % |
| 1.29 | % |
|
|
|
|
|
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| ||||||||||
Return on average equity (annualized) |
|
| 15.66 | % |
| 14.79 | % |
| 14.06 | % |
| 13.93 | % |
| 14.38 | % |
|
|
|
|
|
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| ||||||||||
Average shareholders’ equity to average assets |
|
| 7.27 | % |
| 7.62 | % |
| 8.68 | % |
| 8.68 | % |
| 8.97 | % |
|
|
|
|
|
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| ||||||||||
Yield on earning assets |
|
| 5.39 | % |
| 5.23 | % |
| 5.36 | % |
| 5.35 | % |
| 5.38 | % |
|
|
|
|
|
|
| ||||||||||
Cost of interest bearing funds |
|
| 1.49 | % |
| 1.42 | % |
| 1.39 | % |
| 1.38 | % |
| 1.42 | % |
|
|
|
|
|
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| ||||||||||
Net interest margin (tax equivalent) |
|
| 4.29 | % |
| 4.18 | % |
| 4.36 | % |
| 4.36 | % |
| 4.37 | % |
|
|
|
|
|
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| ||||||||||
Efficiency ratio |
|
| 59.23 | % |
| 58.90 | % |
| 55.94 | % |
| 59.29 | % |
| 59.57 | % |
|
|
|
|
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| ||||||||||
End of period book value per common share |
| $ | 11.93 |
| $ | 11.14 |
| $ | 11.63 |
| $ | 11.17 |
| $ | 11.04 |
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End of period common shares outstanding |
|
| 6,167 |
|
| 6,186 |
|
| 6,154 |
|
| 6,152 |
|
| 6,165 |
|
|
|
|
|
|
|
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SUMMIT BANCSHARES, INC.
(Unaudited)
(Dollars in thousands)
|
| Three Months Ended |
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|
| September 30, 2004 |
| September 30, 2003 |
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| Average |
| Interest |
| Yield |
| Average |
| Interest |
| Yield |
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YIELD ANALYSIS |
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|
|
Interest Earning Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal funds sold & due from time |
| $ | 16,849 |
| $ | 51 |
|
| 1.21 | % | $ | 15,298 |
| $ | 37 |
|
| 0.97 | % |
Investment securities (taxable) |
|
| 211,298 |
|
| 1,939 |
|
| 3.65 | % |
| 193,232 |
|
| 1,865 |
|
| 3.83 | % |
Investment securities (tax-exempt) |
|
| 7,533 |
|
| 113 |
|
| 5.98 | % |
| 6,135 |
|
| 82 |
|
| 5.27 | % |
Loans |
|
| 678,915 |
|
| 10,297 |
|
| 6.03 | % |
| 503,936 |
|
| 7,762 |
|
| 6.11 | % |
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Total Interest Earning Assets |
|
| 914,595 |
|
| 12,400 |
|
| 5.39 | % |
| 718,601 |
|
| 9,746 |
|
| 5.38 | % |
Noninterest Earning Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from banks |
|
| 31,213 |
|
|
|
|
|
|
|
| 26,189 |
|
|
|
|
|
|
|
Other assets |
|
| 41,022 |
|
|
|
|
|
|
|
| 23,926 |
|
|
|
|
|
|
|
Allowance for loan losses |
|
| (9,919 | ) |
|
|
|
|
|
|
| (7,438 | ) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total Noninterest Earning Assets |
|
| 62,316 |
|
|
|
|
|
|
|
| 42,677 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total Assets |
| $ | 976,911 |
|
|
|
|
|
|
| $ | 761,278 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Interest Bearing Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction and money market accounts |
| $ | 253,642 |
|
| 672 |
|
| 1.05 | % | $ | 207,787 |
|
| 566 |
|
| 1.08 | % |
Savings deposits |
|
| 154,980 |
|
| 462 |
|
| 1.19 | % |
| 120,124 |
|
| 380 |
|
| 1.26 | % |
Certificates and other time deposits |
|
| 148,707 |
|
| 862 |
|
| 2.31 | % |
| 124,414 |
|
| 779 |
|
| 2.48 | % |
Other borrowings |
|
| 118,083 |
|
| 537 |
|
| 1.81 | % |
| 61,199 |
|
| 109 |
|
| 0.70 | % |
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Total Interest Bearing Liabilities |
|
| 675,412 |
|
| 2,533 |
|
| 1.49 | % |
| 513,524 |
|
| 1,834 |
|
| 1.42 | % |
Noninterest Bearing Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Demand deposits |
|
| 226,462 |
|
|
|
|
|
|
|
| 176,478 |
|
|
|
|
|
|
|
Other liabilities |
|
| 3,999 |
|
|
|
|
|
|
|
| 3,003 |
|
|
|
|
|
|
|
Shareholders’ equity |
|
| 71,038 |
|
|
|
|
|
|
|
| 68,273 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total Noninterest Bearing Liabilities |
|
| 301,499 |
|
|
|
|
|
|
|
| 247,754 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total Liabilities and Shareholders’ Equity |
| $ | 976,911 |
|
|
|
|
|
|
| $ | 761,278 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||
Net Interest Income and Margin (tax equivalent) |
|
|
|
| $ | 9,867 |
|
| 4.29 | % |
|
|
| $ | 7,912 |
|
| 4.37 | % |
|
|
|
|
|
|
|
|
|
|
|
|
SUMMIT BANCSHARES, INC.
(Unaudited)
(Dollars in thousands)
|
| Nine Months Ended |
| ||||||||||||||||
|
|
| |||||||||||||||||
|
| September 30, 2004 |
| September 30, 2003 |
| ||||||||||||||
|
|
|
| ||||||||||||||||
|
| Average |
| Interest |
| Yield |
| Average |
| Interest |
| Yield |
| ||||||
|
|
|
|
|
|
|
| ||||||||||||
YIELD ANALYSIS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest Earning Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal funds sold & due from time |
| $ | 17,813 |
| $ | 139 |
|
| 1.04 | % | $ | 9,476 |
| $ | 74 |
|
| 1.05 | % |
Investment securities (taxable) |
|
| 194,295 |
|
| 5,435 |
|
| 3.73 | % |
| 173,216 |
|
| 5,175 |
|
| 3.99 | % |
Investment securities (tax-exempt) |
|
| 7,032 |
|
| 291 |
|
| 5.51 | % |
| 5,415 |
|
| 224 |
|
| 5.53 | % |
Loans |
|
| 632,076 |
|
| 28,102 |
|
| 5.94 | % |
| 493,361 |
|
| 23,139 |
|
| 6.27 | % |
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Total Interest Earning Assets |
|
| 851,216 |
|
| 33,967 |
|
| 5.33 | % |
| 681,468 |
|
| 28,612 |
|
| 5.61 | % |
Noninterest Earning Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from banks |
|
| 28,398 |
|
|
|
|
|
|
|
| 26,601 |
|
|
|
|
|
|
|
Other assets |
|
| 33,314 |
|
|
|
|
|
|
|
| 22,428 |
|
|
|
|
|
|
|
Allowance for loan losses |
|
| (9,077 | ) |
|
|
|
|
|
|
| (7,274 | ) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total Noninterest Earning Assets |
|
| 52,635 |
|
|
|
|
|
|
|
| 41,755 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total Assets |
| $ | 903,851 |
|
|
|
|
|
|
| $ | 723,223 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Interest Bearing Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction and money market accounts |
| $ | 229,841 |
|
| 1,827 |
|
| 1.06 | % | $ | 192,650 |
|
| 1,599 |
|
| 1.11 | % |
Savings deposits |
|
| 143,237 |
|
| 1,255 |
|
| 1.17 | % |
| 116,997 |
|
| 1,187 |
|
| 1.36 | % |
Certificates and other time deposits |
|
| 138,255 |
|
| 2,392 |
|
| 2.31 | % |
| 121,522 |
|
| 2,380 |
|
| 2.62 | % |
Other borrowings |
|
| 113,559 |
|
| 1,249 |
|
| 1.47 | % |
| 52,741 |
|
| 418 |
|
| 1.06 | % |
|
|
|
|
|
|
|
|
|
|
|
| ||||||||
Total Interest Bearing Liabilities |
|
| 624,892 |
|
| 6,723 |
|
| 1.44 | % |
| 483,910 |
|
| 5,584 |
|
| 1.54 | % |
Noninterest Bearing Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Demand deposits |
|
| 204,638 |
|
|
|
|
|
|
|
| 168,968 |
|
|
|
|
|
|
|
Other liabilities |
|
| 3,740 |
|
|
|
|
|
|
|
| 2,916 |
|
|
|
|
|
|
|
Shareholders’ equity |
|
| 70,581 |
|
|
|
|
|
|
|
| 67,429 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total Noninterest Bearing Liabilities |
|
| 278,959 |
|
|
|
|
|
|
|
| 239,313 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Total Liabilities and Shareholders’ Equity |
| $ | 903,851 |
|
|
|
|
|
|
| $ | 723,223 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Net Interest Income and Margin (tax equivalent) |
|
|
|
| $ | 27,244 |
|
| 4.28 | % |
|
|
| $ | 23,028 |
|
| 4.52 | % |
|
|
|
|
|
|
|
|
|
|
|
|
SUMMIT BANCSHARES, INC.
(Unaudited)
(Dollars in thousands, except per share data)
|
| September 30, |
| % |
| September 30, |
| % |
| ||||
|
|
|
|
|
| ||||||||
LOAN PORTFOLIO |
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and industrial |
| $ | 257,721 |
|
| 37.4 | % | $ | 211,616 |
|
| 40.8 | % |
Real estate: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial |
|
| 198,796 |
|
| 28.8 | % |
| 142,317 |
|
| 27.5 | % |
Residential |
|
| 81,318 |
|
| 11.8 | % |
| 61,676 |
|
| 11.9 | % |
Construction and development |
|
| 111,641 |
|
| 16.2 | % |
| 69,840 |
|
| 13.5 | % |
Consumer |
|
| 40,430 |
|
| 5.8 | % |
| 32,545 |
|
| 6.3 | % |
|
|
|
|
|
| ||||||||
Total loans (gross) |
|
| 689,906 |
|
| 100.0 | % |
| 517,994 |
|
| 100.0 | % |
Unearned discounts |
|
| — |
|
| 0.0 | % |
| — |
|
| 0.0 | % |
|
|
|
|
|
| ||||||||
Total loans (net) |
|
| 689,906 |
|
| 100.0 | % |
| 517,994 |
|
| 100.0 | % |
|
|
|
|
|
|
|
| September 30, |
| September 30, |
| ||
|
|
|
| ||||
REGULATORY CAPITAL DATA |
|
|
|
|
|
|
|
Tier 1 Capital |
| $ | 74,338 |
| $ | 66,856 |
|
Tier 1 Ratio |
|
| 9.99 | % |
| 11.90 | % |
Total Capital (Tier 1 + Tier 2) |
| $ | 83,645 |
| $ | 73,887 |
|
Total Capital Ratio |
|
| 11.25 | % |
| 13.15 | % |
Total Risk-Adjusted Assets |
| $ | 743,810 |
| $ | 562,020 |
|
Tier 1 Leverage Ratio |
|
| 7.69 | % |
| 8.78 | % |
|
| September 30, |
| September 30, |
| ||
|
|
|
| ||||
OTHER DATA |
|
|
|
|
|
|
|
Full Time Equivalent Employees (FTE’s) |
|
| 253 |
|
| 218 |
|
Stock Price Range (For the Quarter Ended): |
|
|
|
|
|
|
|
High |
| $ | 33.25 |
| $ | 28.50 |
|
Low |
| $ | 28.60 |
| $ | 23.47 |
|
Close |
| $ | 33.25 |
| $ | 27.00 |
|