Exhibit 99.1
FIRST FINANCIAL HOLDINGS, INC.
2440 Mall Drive – Charleston, S.C. 29406
843-529-5933 – FAX: 843-529-5883
| | Contact: | Dorothy B. Wright |
| | | Senior Vice President/Investor Relations and Corporate Secretary |
| | | (843) 529-5931 / (843) 729-7005 |
| | | dwright@firstfinancialholdings.com |
FIRST FINANCIAL HOLDINGS, INC.
ANNOUNCES THIRD QUARTER FISCAL 2010 RESULTS
AND QUARTERLY DIVIDEND PAYMENT
Charleston, South Carolina (July 26, 2010) – First Financial Holdings, Inc. (“First Financial” or the “Company”) (NASDAQ GSM: FFCH), the holding company for First Federal Savings and Loan Association of Charleston (“First Federal” or the “Association”), today reported results for the third quarter of its fiscal year ending September 30, 2010. The net loss for the quarter ended June 30, 2010 was ($12.0) million compared to net income before extraordinary item of $5.2 million from the comparative quarter ended June 30, 2009. Basic and diluted loss per share was ($0.73) for the current quarter, compared to $0.44 income per basic and diluted share before the extraordinary item for the quarter ended June 30, 2009. Including the preferred stock dividend an d related accretion, the net loss to common shareholders was ($13.0) million, or ($0.79) per diluted share, for the third quarter, compared to net income of $33.1 million, or $2.83 per diluted share, for the third quarter one year ago. Net loss and diluted loss per share for the nine months ended June 30, 2010 totaled ($35.6) million or ($2.16) compared with a net income before extraordinary item of $1.7 million or $0.15 per diluted share, for the nine months ended June 30, 2009.
President and Chief Executive Officer R. Wayne Hall commented, “As planned, we completed our targeted reviews of commercial real estate and business loans greater than $1 million this quarter. As in previous quarters, our earnings continued to be reduced by our provision for loan losses. We are encouraged by the decline in delinquencies and net charge-offs during the third quarter and by signs of stabilization in real estate values.” On July 8, 2010, the Company announced asset quality and operating results estimates. The Company recognized a provision for loan losses of $36.4 million for the quarter ended June 30, 2010 compared to $45.9 million for the quarter ended March 31, 2010, and $12.4 million for the quarter ended June 30, 2009. Hall explained, “Losses in curred during the quarter as a result of both our regular ongoing loan review and our targeted reviews have been charged-off or reserved.” The allowance for loan losses was 3.36% of gross loans at June 30, 2010. Problem assets, which include non-accrual loans, accruing loans 90 days or more past due and real estate owned, as a percentage of total assets were 4.35% at June 30, 2010 compared with 4.37% at March 31, 2010 and 2.20% at June 30, 2009.
Compared with the quarter ended March 31, 2010, the net interest margin remained flat at 3.92% for the quarter ended June 30, 2010. Net interest income for the quarter ended June 30, 2010 was $31.2 million, decreasing slightly from $31.5 million for the linked quarter ended March 31, 2010. Total deposits also remained relatively stable at $2.45 billion at June 30, 2010 compared to $2.44 billion at March 31, 2010.
Mortgage banking income was $2.4 million for the third quarter of fiscal 2010, an increase of $369 thousand or 17.8% from the linked quarter ended March 31, 2010 and an increase of $1.5 million or 147.2% from the comparative quarter ended June 30, 2009. The linked and comparable quarter increases are the result of increases in the volume of loans sold due to the lower mortgage rate environment combined with the positive impact of the hedging strategies utilized to protect the value of our capitalized mortgage servicing asset from interest rate risk.
During the quarter ended June 30, 2010, the Company recognized a credit-related other than temporary impairment (“OTTI”) charge totaling $311 thousand on seven collateralized debt obligation (“CDO”) investments. This was down considerably from credit-related OTTI charges of $1.8 million for the linked quarter as there has been some stabilization in the CDO market. In addition, we have a recovery in value through Other Comprehensive Income from one significant corporate security previously charged off as OTTI. Total CDOs, comprised of financial institution trust preferred securities, were $4.0 million or less than 1.0% of our total investment portfolio at June 30, 2010.
Core other income, excluding impairment on investment securities and gains on disposition of assets, was $17.5 million for the third quarter of fiscal 2010 compared to $15.7 million for the second quarter of fiscal 2010 and $13.3 million for the quarter ended June 30, 2009. The linked quarter difference was primarily attributable to a one-time $1.5 million final settlement received from the Federal Deposit Insurance Corporation (“FDIC”) in conjunction with the Cape Fear Bank acquisition. Total revenues, defined as net interest income plus core other income was $48.8 million for the quarter ended June 30, 2010, a slight decrease from $48.9 million during the comparable quarter ended June 30, 2009.
Insurance revenues for the quarter ended June 30, 2010 were $6.3 million compared to $6.5 million for the comparable quarter one year ago. Insurance revenues have been under stress as a result of current market conditions. However, this segment continues to be a strong contributor to our total non-interest income.
Total other expense increased by $735 thousand, or 2.4%, to $31.6 million for the quarter ended June 30, 2010 compared to $30.9 million for the quarter ended March 31, 2010. Decreases in salaries and benefits, occupancy and marketing were offset by increases attributable to higher legal and professional fees during the quarter as compared to the prior quarter, and premium deficiency reserve increases for our reinsurance subsidiary.
The Company also announced today that its Board of Directors has declared a regular quarterly cash dividend of $0.05 per share. The dividend is payable August 27, 2010 to stockholders of record as of August 13, 2010.
“As we finish fiscal 2010 and move into fiscal 2011, our priorities will continue to be the resolution of our problem assets and a return to profitability. We are also focused on the roll-out of our Business Banking model in fiscal 2011 and enhancing overall efficiencies throughout the organization.” Hall stated.
Hall concluded, “During the coming weeks, we will be evaluating the impact of The Financial Reform and Consumer Protection Act on our operations. Our board of directors, officers and staff remain focused on executing our strategies and delivering long-term value to our clients and stakeholders.”
As of June 30, 2010, First Financial’s total assets were $3.3 billion, net loans receivable totaled $2.5 billion and deposits were $2.4 billion. Stockholders’ equity was $323.8 million and book value per common share totaled $15.66 at June 30, 2010. Our consolidated equity-to-assets ratio was 9.7% at June 30, 2010, compared to 9.9% and 8.1% at March 31, 2010 and June 30, 2009, respectively. On May 21, 2010 First Financial contributed $30 million of holding company funds to First Federal as regulatory capital. As of June 30, 2010, First Federal remained categorized as “well capitalized” under regulatory standards. First Federal’s total risk based capital ratio was 12.46% at June 30, 2010, compared to 11.10% and 10.80% at March 31, 2010 and June 30, 2009, respecti vely.
As a participant in the Treasury’s Capital Purchase Program, the Company continues to use this capital to help borrowers avoid foreclosure in our markets, and to expand our loan and investment portfolios. The Company paid a dividend of $813 thousand to the U.S. Treasury for its investment during the third quarter of fiscal 2010.
First Federal operates 65 offices located in the Charleston metropolitan area, Horry, Georgetown, Florence and Beaufort counties in South Carolina and Brunswick, New Hanover and Pender counties in coastal North Carolina offering banking, trust and pension administration services. The Company also provides insurance and brokerage services through First Southeast Insurance Services, The Kimbrell Insurance Group and First Southeast Investor Services. In addition, the Company provides retirement plan consulting and administrative services through First Southeast 401(k) Fiduciaries, Inc.
NOTE: R. Wayne Hall, President and CEO of the Company, and Blaise B. Bettendorf, Executive Vice President and CFO, will discuss these results in a conference call at 2:00 PM (EDT), July 26, 2010. The call can be accessed via a webcast available on First Financial’s website at www.firstfinancialholdings.com.
Forward Looking Statements
Certain matters in this news release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to, among others, expectations of the business environment in which the Company operates, projections of future performance, including operating efficiencies, perceived opportunities in the market, potential future credit experience, and statements regarding the Company’s mission and vision. These forward-looking statements are based upon current management expectations, and may, therefore, involve risks and uncertainties. Management’s ability to predict results or the effect of future plans or strategies is inherently uncertain. The Company’s actual results, per formance or achievements may differ materially from those suggested, expressed or implied by these forward-looking statements as a result of a wide range of factors. These factors include, but are not limited to, the general business environment, general economic conditions nationally and in the States of North and South Carolina, interest rates, the North and South Carolina real estate markets, the demand for mortgage loans, the credit risk of lending activities, including changes in the level and trend of loan delinquencies and charge-offs, changes in our allowance for loan losses and provision for loan losses that may be affected by deterioration in the housing and real estate markets; results of examinations by our banking regulators, including the possibility that any such regulatory authority may, among other things, require us to increase our reserve for loan losses, write-down assets, change our regulatory capital position or affect our ability to borrow funds or maintain or increase deposits, which could adversely affect our liquidity and earnings; our ability to control operating costs and expenses, our ability to successfully integrate any assets, liabilities, customers, systems, and management personnel we have acquired or may in the future acquire into our operations and our ability to realize related revenue synergies and cost savings within expected time frames and any goodwill charges related thereto, competitive conditions between banks and non-bank financial services providers, regulatory changes and other risks detailed in the Company’s reports filed with the Securities and Exchange Commission (“SEC”), including the Annual Report on Form 10-K for the fiscal year ended September 30, 2009. Accordingly, these factors should be considered in evaluating the forward-looking statements, and undue reliance should not be placed on these statements.
Such forward-looking statements may include projections. Such projections were not prepared in accordance with published guidelines of the American Institute of Certified Public Accountants or the SEC regarding projections and forecasts nor have such projections been audited, examined or otherwise reviewed by independent auditors of the Company. In addition, such projections are based upon many estimates and inherently subject to significant economic and competitive uncertainties and contingencies, many of which are beyond the control of management of the Company. Accordingly, actual results may be materially higher or lower than those projected. The inclusion of such projections herein should not be regarded as a representa tion by the Company that the projections will prove to be correct. The Company does not undertake to update any forward-looking statement that may be made on behalf of the Company.
For additional information about First Financial, please visit our web site at www.firstfinancialholdings.com or contact Dorothy B. Wright, Senior Vice President-Investor Relations and Corporate Secretary, (843) 529-5931 or (843) 729-7005.
| FIRST FINANCIAL HOLDINGS, INC. | |
| UNAUDITED CONSOLIDATED FINANCIAL HIGHLIGHTS | |
| (in thousands, except share data) | |
| | | | | | | | | | | | | |
| | | | | | | | | | | | | |
| | | | | | | | | | | | | |
| | | | | | | | | | | | Fiscal Year | |
| STATEMENT OF FINANCIAL CONDITION | | 06/30/10 | | | 03/31/10 | | | 06/30/09 | | | 09/30/09 | |
| | | | | | | | | | | | (audited) | |
| ASSETS | | | | | | | | | | | | |
| Cash and cash equivalents | | $ | 62,008 | | | $ | 62,087 | | | $ | 92,097 | | | $ | 78,070 | |
| Investments available for sale, at fair value | | | 12,843 | | | | 12,105 | | | | 16,857 | | | | 13,756 | |
| Investments held to maturity | | | 22,512 | | | | 22,496 | | | | 22,074 | | | | 22,401 | |
| Investments in capital stock of FHLB | | | 46,141 | | | | 46,141 | | | | 46,093 | | | | 46,141 | |
| Mortgage-backed securities available for sale, at fair value | | | 400,774 | | | | 434,309 | | | | 522,355 | | | | 478,980 | |
| Loans receivable, gross | | | 2,590,819 | | | | 2,612,215 | | | | 2,663,997 | | | | 2,661,742 | |
| Less: allowance for loan losses | | | 86,945 | | | | 82,731 | | | | 54,499 | | | | 68,473 | |
| Loans receivable, net | | | 2,503,874 | | | | 2,529,484 | | | | 2,609,498 | | | | 2,593,269 | |
| Loans held for sale | | | 15,030 | | | | 12,681 | | | | 63,311 | | | | 25,603 | |
| Accrued interest receivable | | | 10,333 | | | | 10,808 | | | | 12,509 | | | | 12,058 | |
| Office properties and equipment, net | | | 83,529 | | | | 83,417 | | | | 81,136 | | | | 81,021 | |
| Real estate and other assets acquired in settlement of loans | | | 12,543 | | | | 11,957 | | | | 12,927 | | | | 22,002 | |
| Goodwill | | | 28,260 | | | | 28,024 | | | | 27,996 | | | | 29,278 | |
| Intangible assets | | | 9,997 | | | | 10,228 | | | | 7,783 | | | | 8,683 | |
| Residential mortgage servicing rights, at fair value | | | 10,593 | | | | 12,279 | | | | 10,703 | | | | 11,166 | |
| FDIC indemnification receivable, net | | | 66,794 | | | | 65,461 | | | | 61,541 | | | | 62,754 | |
| Other assets | | | 39,113 | | | | 39,390 | | | | 20,186 | | | | 25,105 | |
| Total assets | | $ | 3,324,344 | | | $ | 3,380,867 | | | $ | 3,607,066 | | | $ | 3,510,287 | |
| | | | | | | | | | | | | | | | | |
| LIABILITIES AND STOCKHOLDERS' EQUITY | | | | | | | | | | | | | | | | |
| Liabilities: | | | | | | | | | | | | | | | | |
| Deposits accounts | | | | | | | | | | | | | | | | |
| Noninterest-bearing | | $ | 207,196 | | | $ | 203,937 | | | $ | 203,354 | | | $ | 190,159 | |
| Interest bearing | | | 2,240,599 | | | | 2,233,655 | | | | 2,137,701 | | | | 2,113,452 | |
| Total deposits | | | 2,447,795 | | | | 2,437,592 | | | | 2,341,055 | | | | 2,303,611 | |
| Advances from FHLB | | | 478,364 | | | | 530,493 | | | | 492,880 | | | | 492,751 | |
| Other short-term borrowings | | | 813 | | | | 812 | | | | 373,812 | | | | 258,813 | |
| Long-term debt | | | 46,392 | | | | 46,392 | | | | 46,392 | | | | 46,392 | |
| Advances by borrowers for taxes and insurance | | | 4,857 | | | | 3,889 | | | | 4,316 | | | | 5,193 | |
| Outstanding checks | | | 11,005 | | | | 12,549 | | | | 10,144 | | | | 10,729 | |
| Accounts payable and other liabilities | | | 11,321 | | | | 14,139 | | | | 45,438 | | | | 41,149 | |
| Total liabilities | | | 3,000,547 | | | | 3,045,866 | | | | 3,314,037 | | | | 3,158,638 | |
| | | | | | | | | | | | | | | | | |
| Stockholders’ equity: | | | | | | | | | | | | | | | | |
| Series A preferred stock | | | 1 | | | | 1 | | | | 1 | | | | 1 | |
| Common stock | | | 215 | | | | 215 | | | | 166 | | | | 208 | |
| Additional paid-in capital | | | 195,175 | | | | 194,851 | | | | 124,252 | | | | 185,249 | |
| Retained income, substantially restricted | | | 224,871 | | | | 238,678 | | | | 269,792 | | | | 265,821 | |
| Accumulated other comprehensive income, net of income taxes | | | 7,098 | | | | 4,819 | | | | 2,381 | | | | 3,933 | |
| Treasury stock, at cost | | | (103,563 | ) | | | (103,563 | ) | | | (103,563 | ) | | | (103,563 | ) |
| Total stockholders’ equity | | | 323,797 | | | | 335,001 | | | | 293,029 | | | | 351,649 | |
| Total liabilities and stockholders’ equity | | $ | 3,324,344 | | | $ | 3,380,867 | | | $ | 3,607,066 | | | $ | 3,510,287 | |
| | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | |
| Stockholders’ equity to total assets | | | 9.74 | % | | | 9.91 | % | | | 8.12 | % | | | 10.02 | % |
| | | | | | | | | | | | | | | | | |
| Common shares outstanding at period end | | | 16,527 | | | | 16,527 | | | | 11,699 | | | | 15,897 | |
| | | | | | | | | | | | | | | | | |
| Book value per common share | | $ | 15.66 | | | $ | 16.34 | | | $ | 19.49 | | | $ | 18.03 | |
| FIRST FINANCIAL HOLDINGS, INC. | |
| UNAUDITED CONSOLIDATED FINANCIAL HIGHLIGHTS | |
| (in thousands, except share data) | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | |
| | | Quarter Ended (Unaudited) | | | | | | Nine Months Ended | |
| STATEMENT OF INCOME | | 06/30/10 | | | 03/31/10 | | | 06/30/09 | | | 06/30/10 | | | 06/30/09 | |
| | | | | | | | | | | | | | | | |
| INTEREST INCOME | | | | | | | | | | | | | | | |
| Interest and fees on loans | | $ | 37,485 | | | $ | 38,267 | | | $ | 42,092 | | | $ | 115,770 | | | $ | 115,733 | |
| Interest on mortgaged-backed securities | | | 5,434 | | | | 6,027 | | | | 8,317 | | | | 17,894 | | | | 21,748 | |
| Interest and dividends on investments | | | 458 | | | | 113 | | | | 848 | | | | 1,105 | | | | 1,472 | |
| Other | | | 904 | | | | 1,009 | | | | 9 | | | | 3,028 | | | | 28 | |
| Total interest income | | | 44,281 | | | | 45,416 | | | | 51,266 | | | | 137,797 | | | | 138,981 | |
| INTEREST EXPENSE | | | | | | | | | | | | | | | | | | | | |
| Interest on deposits | | | 8,189 | | | | 7,835 | | | | 9,457 | | | | 24,742 | | | | 31,486 | |
| Interest on borrowed money | | | 4,863 | | | | 6,085 | | | | 6,270 | | | | 17,442 | | | | 19,864 | |
| Total interest expense | | | 13,052 | | | | 13,920 | | | | 15,727 | | | | 42,184 | | | | 51,350 | |
| NET INTEREST INCOME | | | 31,229 | | | | 31,496 | | | | 35,539 | | | | 95,613 | | | | 87,631 | |
| Provision for loan losses | | | 36,373 | | | | 45,915 | | | | 12,367 | | | | 107,615 | | | | 45,602 | |
| Net interest (loss) income after provision for loan losses | | | (5,144 | ) | | | (14,419 | ) | | | 23,172 | | | | (12,002 | ) | | | 42,029 | |
| NON-INTEREST INCOME | | | | | | | | | | | | | | | | | | | | |
| Net impairment losses recognized in earnings | | | (311 | ) | | | (1,818 | ) | | | (377 | ) | | | (2,623 | ) | | | (3,379 | ) |
| Brokerage fees | | | 644 | | | | 550 | | | | 383 | | | | 1,690 | | | | 1,496 | |
| Insurance revenues | | | 6,292 | | | | 7,502 | | | | 6,535 | | | | 19,217 | | | | 18,747 | |
| Service charges and fees on deposit accounts | | | 6,109 | | | | 5,708 | | | | 5,688 | | | | 17,634 | | | | 16,636 | |
| Mortgage banking income | | | 2,437 | | | | 2,068 | | | | 986 | | | | 6,916 | | | | 5,398 | |
| Gains on disposition of assets | | | 33 | | | | 46 | | | | 37 | | | | 1,354 | | | | 125 | |
| Other | | | 2,039 | | | | (83 | ) | | | (280 | ) | | | 2,122 | | | | (152 | ) |
| Total non-interest income | | | 17,243 | | | | 13,973 | | | | 12,972 | | | | 46,310 | | | | 38,871 | |
| NON-INTEREST EXPENSE | | | | | | | | | | | | | | | | | | | | |
| Salaries and employee benefits | | | 19,060 | | | | 19,139 | | | | 15,640 | | | | 56,077 | | | | 46,439 | |
| Occupancy costs | | | 2,306 | | | | 2,439 | | | | 2,215 | | | | 7,189 | | | | 6,489 | |
| Marketing | | | 528 | | | | 559 | | | | 479 | | | | 1,655 | | | | 1,551 | |
| Furniture and equipment expense | | | 2,256 | | | | 2,052 | | | | 2,202 | | | | 6,447 | | | | 5,269 | |
| Amortization of intangibles | | | 231 | | | | 243 | | | | 202 | | | | 717 | | | | 608 | |
| Other | | | 7,260 | | | | 6,474 | | | | 7,409 | | | | 21,013 | | | | 18,231 | |
| Total non-interest expense | | | 31,641 | | | | 30,906 | | | | 28,147 | | | | 93,098 | | | | 78,587 | |
| (Loss) income before income taxes | | | (19,542 | ) | | | (31,352 | ) | | | 7,997 | | | | (58,790 | ) | | | 2,313 | |
| Income tax (benefit) expense | | | (7,513 | ) | | | (12,296 | ) | | | 2,842 | | | | (23,173 | ) | | | 584 | |
| (Loss) income before extraordinary item | | | (12,029 | ) | | | (19,056 | ) | | | 5,155 | | | | (35,617 | ) | | | 1,729 | |
| EXTRAORDINARY ITEM | | | | | | | | | | | | | | | | | | | | |
| Gain on acquisition, less income taxes of $18,833 | | | - | | | | - | | | | 28,857 | | | | - | | | | 28,857 | |
| NET (LOSS) INCOME | | $ | (12,029 | ) | | $ | (19,056 | ) | | $ | 34,012 | | | $ | (35,617 | ) | | $ | 30,586 | |
| Preferred stock dividends | | | 813 | | | | 813 | | | | 813 | | | | 2,439 | | | | 1,851 | |
| Accretion on preferred stock discount | | | 140 | | | | 138 | | | | 132 | | | | 414 | | | | 297 | |
| NET (LOSS) INCOME AVAILABLE TO COMMON SHAREHOLDERS | | $ | (12,982 | ) | | $ | (20,007 | ) | | $ | 33,067 | | | $ | (38,470 | ) | | $ | 28,438 | |
| | | | | | | | | | | | | | | | | | | | | |
| Net (loss) income per common share before extraordinary item: | | | | | | | | | | | | | | | | | | | | |
| Basic | | $ | (0.73 | ) | | $ | (1.15 | ) | | $ | 0.44 | | | $ | (2.16 | ) | | $ | 0.15 | |
| Diluted | | $ | (0.73 | ) | | $ | (1.15 | ) | | $ | 0.44 | | | $ | (2.16 | ) | | $ | 0.15 | |
| Net (loss) income per common share: | | | | | | | | | | | | | | | | | | | | |
| Basic | | $ | (0.73 | ) | | $ | (1.15 | ) | | $ | 2.91 | | | $ | (2.16 | ) | | $ | 2.61 | |
| Diluted | | $ | (0.73 | ) | | $ | (1.15 | ) | | $ | 2.91 | | | $ | (2.16 | ) | | $ | 2.61 | |
| Net (loss) income per common share available to common shareholders: | | | | | | | | | | | | | | | | | | | | |
| Basic | | $ | (0.79 | ) | | $ | (1.21 | ) | | $ | 2.83 | | | $ | (2.33 | ) | | $ | 2.43 | |
| Diluted | | $ | (0.79 | ) | | $ | (1.21 | ) | | $ | 2.83 | | | $ | (2.33 | ) | | $ | 2.43 | |
| | | | | | | | | | | | | | | | | | | | | |
| Average number shares outstanding | | | 16,527 | | | | 16,526 | | | | 11,699 | | | | 16,506 | | | | 11,697 | |
| Average number diluted shares outstanding | | | 16,527 | | | | 16,526 | | | | 11,699 | | | | 16,506 | | | | 11,697 | |
| | | | | | | | | | | | | | | | | | | | | |
| Ratios: | | | | | | | | | | | | | | | | | | | | |
| Return on average equity (1) | | | (14.54 | %) | | | (22.02 | %) | | | 7.16 | % | | | (13.78 | %) | | | 0.94 | % |
| Return on average assets (1) | | | (1.43 | %) | | | (2.22 | %) | | | 0.57 | % | | | (1.39 | %) | | | 0.07 | % |
| Net interest margin | | | 3.92 | % | | | 3.92 | % | | | 4.16 | % | | | 3.93 | % | | | 3.81 | % |
| Total other expense / average assets | | | 3.77 | % | | | 3.61 | % | | | 3.12 | % | | | 3.62 | % | | | 3.17 | % |
| Efficiency ratio (2) | | | 63.19 | % | | | 62.87 | % | | | 56.42 | % | | | 62.02 | % | | | 59.32 | % |
| Net charge-offs / average gross loans, annualized | | | 4.94 | % | | | 5.56 | % | | | 1.43 | % | | | 4.51 | % | | | 1.02 | % |
(1) Calculated using income before extraordinary items.
(2) Excludes from income gains / (losses) on sales of securities, net real estate operations, and realized impairment on investments.
Excludes from expenses amortization of intangibles.Please Note: Certain prior period amounts have been reclassified to conform to current period presentation.
| | | FIRST FINANCIAL HOLDINGS, INC. (dollars in thousands) Quarter Ended (Unaudited) |
| BALANCE SHEET | | 06/30/10 | | | 03/31/10 | | | 12/31/09 | | | 09/30/09 | | | 06/30/09 | | | 03/31/09 | | | 12/31/08 | | | 09/30/08 | | | 06/30/08 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| ASSETS | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Cash and cash equivalents | | $ | 62,008 | | | $ | 62,087 | | | $ | 66,429 | | | $ | 78,070 | | | $ | 92,097 | | | $ | 66,007 | | | $ | 62,334 | | | $ | 62,949 | | | $ | 72,735 | |
| Investments available for sale, at fair value | | | 12,843 | | | | 12,105 | | | | 12,785 | | | | 13,756 | | | | 16,857 | | | | 12,240 | | | | 16,259 | | | | 17,094 | | | | 21,080 | |
| Investments held to maturity | | | 22,512 | | | | 22,496 | | | | 22,481 | | | | 22,401 | | | | 22,074 | | | | 2,733 | | | | 2,633 | | | | 2,043 | | | | 2,043 | |
| Investments in capital stock of FHLB | | | 46,141 | | | | 46,141 | | | | 46,141 | | | | 46,141 | | | | 46,093 | | | | 37,575 | | | | 38,693 | | | | 41,832 | | | | 38,637 | |
| Mortgage-backed securities available for sale, at fair value | | | 400,774 | | | | 434,309 | | | | 465,983 | | | | 478,980 | | | | 522,355 | | | | 538,402 | | | | 403,797 | | | | 351,110 | | | | 353,257 | |
| Loans receivable, gross | | | 2,590,819 | | | | 2,612,215 | | | | 2,644,202 | | | | 2,661,742 | | | | 2,663,997 | | | | 2,381,336 | | | | 2,375,782 | | | | 2,348,527 | | | | 2,284,988 | |
| Less allowance for loan losses | | | 86,945 | | | | 82,731 | | | | 73,534 | | | | 68,473 | | | | 54,499 | | | | 47,490 | | | | 41,528 | | | | 23,990 | | | | 21,023 | |
| Loans receivable, net | | | 2,503,874 | | | | 2,529,484 | | | | 2,570,668 | | | | 2,593,269 | | | | 2,609,498 | | | | 2,333,846 | | | | 2,334,254 | | | | 2,324,537 | | | | 2,263,965 | |
| Loans held for sale | | | 15,030 | | | | 12,681 | | | | 22,903 | | | | 25,603 | | | | 63,311 | | | | 48,319 | | | | 11,804 | | | | 8,731 | | | | 4,519 | |
| Accrued interest receivable | | | 10,333 | | | | 10,808 | | | | 11,460 | | | | 12,058 | | | | 12,509 | | | | 11,570 | | | | 11,908 | | | | 12,035 | | | | 12,302 | |
| Office properties and equipment, net | | | 83,529 | | | | 83,417 | | | | 80,113 | | | | 81,021 | | | | 81,136 | | | | 81,751 | | | | 82,322 | | | | 78,796 | | | | 77,673 | |
| Real estate and other assets acquired in settlement of loans | | | 12,543 | | | | 11,957 | | | | 20,864 | | | | 22,002 | | | | 12,927 | | | | 6,312 | | | | 5,346 | | | | 4,286 | | | | 5,442 | |
| Goodwill | | | 28,260 | | | | 28,024 | | | | 28,025 | | | | 29,278 | | | | 27,996 | | | | 27,996 | | | | 27,996 | | | | 27,892 | | | | 31,869 | |
| Intangible assets | | | 9,997 | | | | 10,228 | | | | 10,470 | | | | 8,683 | | | | 7,783 | | | | 7,972 | | | | 8,160 | | | | 8,349 | | | | 8,532 | |
| Residential mortgage servicing rights, at fair value | | | 10,593 | | | | 12,279 | | | | 12,411 | | | | 11,166 | | | | 10,703 | | | | 8,221 | | | | 8,225 | | | | 12,550 | | | | 12,754 | |
| FDIC indemnification receivable, net | | | 66,794 | | | | 65,461 | | | | 64,130 | | | | 62,754 | | | | 61,541 | | | | - | | | | - | | | | - | | | | - | |
| Other assets | | | 39,113 | | | | 39,390 | | | | 41,285 | | | | 25,105 | | | | 20,186 | | | | 23,595 | | | | 23,562 | | | | 21,790 | | | | 19,220 | |
| Total assets | | $ | 3,324,344 | | | $ | 3,380,867 | | | $ | 3,476,148 | | | $ | 3,510,287 | | | $ | 3,607,066 | | | $ | 3,206,539 | | | $ | 3,037,293 | | | $ | 2,973,994 | | | $ | 2,924,028 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| LIABILITIES AND STOCKHOLDERS' EQUITY | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Liabilities: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Deposit accounts | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Noninterest-bearing | | $ | 207,196 | | | $ | 203,937 | | | $ | 200,233 | | | $ | 190,159 | | | $ | 203,354 | | | $ | 184,451 | | | $ | 159,770 | | | $ | 175,681 | | | $ | 190,895 | |
| Interest bearing | | | 2,240,599 | | | | 2,233,655 | | | | 2,077,206 | | | | 2,113,452 | | | | 2,137,701 | | | | 1,810,606 | | | | 1,766,854 | | | | 1,675,421 | | | | 1,674,366 | |
| Total deposits | | | 2,447,795 | | | | 2,437,592 | | | | 2,277,439 | | | | 2,303,611 | | | | 2,341,055 | | | | 1,995,057 | | | | 1,926,624 | | | | 1,851,102 | | | | 1,865,261 | |
| Advances from FHLB | | | 478,364 | | | | 530,493 | | | | 565,622 | | | | 492,751 | | | | 492,880 | | | | 609,000 | | | | 746,000 | | | | 818,000 | | | | 747,000 | |
| Other short-term borrowings | | | 813 | | | | 812 | | | | 181,812 | | | | 258,813 | | | | 373,812 | | | | 263,812 | | | | 78,812 | | | | 28,813 | | | | 22,812 | |
| Long-term debt | | | 46,392 | | | | 46,392 | | | | 46,392 | | | | 46,392 | | | | 46,392 | | | | 46,392 | | | | 46,392 | | | | 46,392 | | | | 46,392 | |
| Advance by borrowers for taxes and insurance | | | 4,857 | | | | 3,889 | | | | 1,645 | | | | 5,193 | | | | 4,316 | | | | 3,077 | | | | 1,658 | | | | 5,152 | | | | 4,416 | |
| Outstanding checks | | | 11,005 | | | | 12,549 | | | | 14,343 | | | | 10,729 | | | | 10,144 | | | | 16,139 | | | | 12,076 | | | | 11,872 | | | | 12,257 | |
| Accounts payable and other liabilities | | | 11,321 | | | | 14,139 | | | | 34,441 | | | | 41,149 | | | | 45,438 | | | | 18,827 | | | | 5,653 | | | | 29,185 | | | | 37,912 | |
| Total liabilities | | | 3,000,547 | | | | 3,045,866 | | | | 3,121,694 | | | | 3,158,638 | | | | 3,314,037 | | | | 2,952,304 | | | | 2,817,215 | | | | 2,790,516 | | | | 2,736,050 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Stockholders' equity: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Series A preferred stock | | | 1 | | | | 1 | | | | 1 | | | | 1 | | | | 1 | | | | 1 | | | | 1 | | | | - | | | | - | |
| Common stock | | | 215 | | | | 215 | | | | 214 | | | | 208 | | | | 166 | | | | 166 | | | | 166 | | | | 166 | | | | 166 | |
| Additional paid in capital | | | 195,175 | | | | 194,851 | | | | 194,654 | | | | 185,249 | | | | 124,252 | | | | 124,084 | | | | 123,775 | | | | 58,338 | | | | 57,677 | |
| Retained income, substantially restricted | | | 224,871 | | | | 238,678 | | | | 259,511 | | | | 265,821 | | | | 269,792 | | | | 237,308 | | | | 234,566 | | | | 244,327 | | | | 240,992 | |
| Accumulated other comprehensive income(loss), net of income taxes | | | 7,098 | | | | 4,819 | | | | 3,637 | | | | 3,933 | | | | 2,381 | | | | (3,761 | ) | | | (34,867 | ) | | | (15,966 | ) | | | (7,583 | ) |
| Treasury stock, at cost | | | (103,563 | ) | | | (103,563 | ) | | | (103,563 | ) | | | (103,563 | ) | | | (103,563 | ) | | | (103,563 | ) | | | (103,563 | ) | | | (103,387 | ) | | | (103,274 | ) |
| Total shareholders' equity | | | 323,797 | | | | 335,001 | | | | 354,454 | | | | 351,649 | | | | 293,029 | | | | 254,235 | | | | 220,078 | | | | 183,478 | | | | 187,978 | |
| Total liabilities and stockholders' equity | | $ | 3,324,344 | | | $ | 3,380,867 | | | $ | 3,476,148 | | | $ | 3,510,287 | | | $ | 3,607,066 | | | $ | 3,206,539 | | | $ | 3,037,293 | | | $ | 2,973,994 | | | $ | 2,924,028 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Shareholders' equity to total assets | | | 9.74 | % | | | 9.91 | % | | | 10.20 | % | | | 10.02 | % | | | 8.12 | % | | | 7.93 | % | | | 7.25 | % | | | 6.17 | % | | | 6.43 | % |
| Common shares outstanding | | | 16,527 | | | | 16,527 | | | | 16,526 | | | | 15,897 | | | | 11,699 | | | | 11,699 | | | | 11,697 | | | | 11,692 | | | | 11,674 | |
| Book value per common share | | $ | 15.66 | | | $ | 16.34 | | | $ | 17.52 | | | $ | 18.03 | | | $ | 19.49 | | | $ | 16.18 | | | $ | 13.26 | | | $ | 15.69 | | | $ | 16.10 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| AVERAGE BALANCES | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Total assets | | $ | 3,358,635 | | | $ | 3,429,172 | | | $ | 3,487,674 | | | $ | 3,563,973 | | | $ | 3,338,110 | | | $ | 3,130,253 | | | $ | 3,005,644 | | | $ | 2,949,011 | | | $ | 2,906,266 | |
| Earning assets | | | 3,192,199 | | | | 3,256,664 | | | | 3,311,040 | | | | 3,382,326 | | | | 3,427,813 | | | | 3,004,582 | | | | 2,867,614 | | | | 2,763,247 | | | | 2,714,252 | |
| Gross loans | | | 2,605,316 | | | | 2,643,273 | | | | 2,663,543 | | | | 2,666,444 | | | | 2,632,478 | | | | 2,413,270 | | | | 2,371,209 | | | | 2,317,902 | | | | 2,264,167 | |
| Costing liabilities | | | 2,997,459 | | | | 3,057,686 | | | | 3,057,530 | | | | 3,262,178 | | | | 3,232,640 | | | | 2,950,628 | | | | 2,807,944 | | | | 2,730,439 | | | | 2,671,260 | |
| Total deposits | | | 2,449,730 | | | | 2,318,184 | | | | 2,293,892 | | | | 2,347,331 | | | | 2,233,984 | | | | 1,963,862 | | | | 1,888,863 | | | | 1,858,182 | | | | 1,870,180 | |
| Equity | | | 330,829 | | | | 346,194 | | | | 356,897 | | | | 309,287 | | | | 265,445 | | | | 230,051 | | | | 201,778 | | | | 185,728 | | | | 187,302 | |
| FIRST FINANCIAL HOLDINGS, INC. | |
| (dollars in thousands) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Quarter Ended (Unaudited) | | | Fiscal Year | |
| STATEMENT OF INCOME | | 06/30/10 | | | 03/31/10 | | | 12/31/09 | | | 09/30/09 | | | 06/30/09 | | | 03/31/09 | | | 12/31/08 | | | 09/30/08 | | | 06/30/08 | | | 09/30/09 | | | 09/30/08 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| INTEREST INCOME | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Interest and fees on loans | | $ | 37,485 | | | $ | 38,267 | | | $ | 40,018 | | | $ | 39,941 | | | $ | 42,092 | | | $ | 36,084 | | | $ | 37,557 | | | $ | 37,885 | | | $ | 37,715 | | | $ | 155,674 | | | $ | 153,539 | |
| Interest on mortgage-backed securities | | | 5,434 | | | | 6,027 | | | | 6,433 | | | | 6,675 | | | | 8,317 | | | | 7,526 | | | | 5,904 | | | | 4,824 | | | | 4,682 | | | | 28,422 | | | | 17,560 | |
| Interest and dividends on investments | | | 458 | | | | 113 | | | | 534 | | | | 817 | | | | 848 | | | | 114 | | | | 510 | | | | 624 | | | | 801 | | | | 2,289 | | | | 3,434 | |
| Other | | | 904 | | | | 1,009 | | | | 1,115 | | | | 2,382 | | | | 9 | | | | 7 | | | | 13 | | | | 37 | | | | 31 | | | | 2,411 | | | | 239 | |
| Total interest income | | | 44,281 | | | | 45,416 | | | | 48,100 | | | | 49,815 | | | | 51,266 | | | | 43,731 | | | | 43,984 | | | | 43,370 | | | | 43,229 | | | | 188,796 | | | | 174,772 | |
| INTEREST EXPENSE | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Interest on deposits | | | 8,189 | | | | 7,835 | | | | 8,718 | | | | 9,407 | | | | 9,457 | | | | 10,486 | | | | 11,544 | | | | 11,113 | | | | 11,673 | | | | 40,894 | | | | 50,646 | |
| Interest on borrowed money | | | 4,863 | | | | 6,085 | | | | 6,494 | | | | 6,357 | | | | 6,270 | | | | 6,284 | | | | 7,309 | | | | 8,103 | | | | 7,547 | | | | 26,220 | | | | 32,762 | |
| Total interest expense | | | 13,052 | | | | 13,920 | | | | 15,212 | | | | 15,764 | | | | 15,727 | | | | 16,770 | | | | 18,853 | | | | 19,216 | | | | 19,220 | | | | 67,114 | | | | 83,408 | |
| NET INTEREST INCOME | | | 31,229 | | | | 31,496 | | | | 32,888 | | | | 34,051 | | | | 35,539 | | | | 26,961 | | | | 25,131 | | | | 24,154 | | | | 24,009 | | | | 121,682 | | | | 91,364 | |
| Provision for loan losses | | | 36,373 | | | | 45,915 | | | | 25,327 | | | | 21,280 | | | | 12,367 | | | | 12,765 | | | | 20,471 | | | | 5,217 | | | | 4,907 | | | | 66,883 | | | | 16,939 | |
| Net interest (loss) income after provision for loan losses | | | (5,144 | ) | | | (14,419 | ) | | | 7,561 | | | | 12,771 | | | | 23,172 | | | | 14,196 | | | | 4,660 | | | | 18,937 | | | | 19,102 | | | | 54,799 | | | | 74,425 | |
| NON-INTEREST INCOME | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Net impairment losses recognized in earnings | | | (311 | ) | | | (1,818 | ) | | | (494 | ) | | | (615 | ) | | | (377 | ) | | | (857 | ) | | | (2,144 | ) | | | (486 | ) | | | - | | | | (3,993 | ) | | | (486 | ) |
| Gain on sale of investment securities | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | 4 | | | | - | | | | 750 | |
| Brokerage fees | | | 644 | | | | 550 | | | | 496 | | | | 533 | | | | 383 | | | | 632 | | | | 480 | | | | 672 | | | | 665 | | | | 2,028 | | | | 2,923 | |
| Insurance revenues | | | 6,292 | | | | 7,502 | | | | 5,423 | | | | 5,921 | | | | 6,535 | | | | 6,966 | | | | 5,245 | | | | 6,342 | | | | 7,432 | | | | 24,667 | | | | 24,830 | |
| Service charges and fees on deposit accounts | | | 6,109 | | | | 5,708 | | | | 5,817 | | | | 5,864 | | | | 5,688 | | | | 5,280 | | | | 5,669 | | | | 6,132 | | | | 5,912 | | | | 22,501 | | | | 23,901 | |
| Mortgage banking income | | | 2,437 | | | | 2,068 | | | | 2,411 | | | | 2,672 | | | | 986 | | | | 2,652 | | | | 1,760 | | | | 818 | | | | 1,828 | | | | 8,070 | | | | 7,456 | |
| Gains on disposition of assets | | | 33 | | | | 46 | | | | 1,275 | | | | 37 | | | | 37 | | | | 36 | | | | 52 | | | | 913 | | | | 43 | | | | 162 | | | | 1,052 | |
| Other | | | 2,039 | | | | (83 | ) | | | 166 | | | | 978 | | | | (280 | ) | | | (69 | ) | | | 197 | | | | 681 | | | | 504 | | | | 826 | | | | 2,475 | |
| Total non-interest income | | | 17,243 | | | | 13,973 | | | | 15,094 | | | | 15,390 | | | | 12,972 | | | | 14,640 | | | | 11,259 | | | | 15,072 | | | | 16,388 | | | | 54,261 | | | | 62,901 | |
| NON-INTEREST EXPENSE | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Salaries & employee benefits | | | 19,060 | | | | 19,139 | | | | 17,878 | | | | 18,227 | | | | 15,640 | | | | 13,637 | | | | 17,162 | | | | 14,675 | | | | 16,625 | | | | 64,666 | | | | 65,271 | |
| Occupancy costs | | | 2,306 | | | | 2,439 | | | | 2,444 | | | | 2,446 | | | | 2,215 | | | | 2,129 | | | | 2,145 | | | | 2,148 | | | | 2,016 | | | | 8,935 | | | | 8,210 | |
| Marketing | | | 528 | | | | 559 | | | | 568 | | | | 586 | | | | 479 | | | | 422 | | | | 650 | | | | 459 | | | | 685 | | | | 2,137 | | | | 2,408 | |
| Furniture and equipment expense | | | 2,256 | | | | 2,052 | | | | 2,139 | | | | 2,277 | | | | 2,202 | | | | 1,572 | | | | 1,495 | | | | 1,622 | | | | 1,445 | | | | 7,546 | | | | 5,867 | |
| Amortization of intangibles | | | 231 | | | | 243 | | | | 243 | | | | 222 | | | | 202 | | | | 203 | | | | 189 | | | | 244 | | | | 216 | | | | 816 | | | | 673 | |
| Other | | | 7,260 | | | | 6,474 | | | | 7,279 | | | | 6,866 | | | | 7,409 | | | | 5,882 | | | | 4,955 | | | | 4,764 | | | | 4,728 | | | | 25,112 | | | | 17,900 | |
| Total non-interest expense | | | 31,641 | | | | 30,906 | | | | 30,551 | | | | 30,624 | | | | 28,147 | | | | 23,845 | | | | 26,596 | | | | 23,912 | | | | 25,715 | | | | 109,212 | | | | 100,329 | |
| (Loss) income before income taxes | | | (19,542 | ) | | | (31,352 | ) | | | (7,896 | ) | | | (2,463 | ) | | | 7,997 | | | | 4,991 | | | | (10,677 | ) | | | 10,097 | | | | 9,775 | | | | (152 | ) | | | 36,997 | |
| Income tax (benefit) expense | | | (7,513 | ) | | | (12,296 | ) | | | (3,364 | ) | | | (1,199 | ) | | | 2,842 | | | | 1,872 | | | | (4,130 | ) | | | 3,788 | | | | 3,873 | | | | (615 | ) | | | 14,359 | |
| (Loss) income before extraordinary item | | | (12,029 | ) | | | (19,056 | ) | | | (4,532 | ) | | | (1,264 | ) | | | 5,155 | | | | 3,119 | | | | (6,547 | ) | | $ | 6,309 | | | $ | 5,902 | | | $ | 463 | | | $ | 22,638 | |
| EXTRAORDINARY ITEM | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Gain on acquisition, less income tax of $18,833 | | | - | | | | - | | | | - | | | | - | | | | 28,857 | | | | - | | | | - | | | | - | | | | - | | | | 28,857 | | | | - | |
| NET (LOSS) INCOME | | | (12,029 | ) | | | (19,056 | ) | | | (4,532 | ) | | | (1,264 | ) | | | 34,012 | | | | 3,119 | | | | (6,547 | ) | | | 6,309 | | | | 5,902 | | | | 29,320 | | | | 22,638 | |
| Preferred stock dividends | | | 813 | | | | 813 | | | | 813 | | | | 802 | | | | 813 | | | | 813 | | | | 235 | | | | - | | | | - | | | | 2,663 | | | | - | |
| Accretion on preferred stock discount | | | 140 | | | | 138 | | | | 136 | | | | 127 | | | | 132 | | | | 130 | | | | 42 | | | | - | | | | - | | | | 431 | | | | - | |
| NET (LOSS) INCOME AVAILABLE TO COMMON SHAREHOLDERS | | $ | (12,982 | ) | | $ | (20,007 | ) | | $ | (5,481 | ) | | $ | (2,193 | ) | | $ | 33,067 | | | $ | 2,176 | | | $ | (6,824 | ) | | $ | 6,309 | | | $ | 5,902 | | | $ | 26,226 | | | $ | 22,638 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Pre-tax, pre-provision earnings | | $ | 16,831 | | | $ | 14,563 | | | $ | 17,431 | | | $ | 18,817 | | | $ | 20,364 | | | $ | 17,756 | | | $ | 9,794 | | | $ | 15,314 | | | $ | 14,682 | | | $ | 66,731 | | | $ | 53,936 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Note: Certain prior period amounts have been reclassified to conform to current period presentation. |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Average shares outstanding, basic | | | 16,527 | | | | 16,526 | | | | 16,464 | | | | 11,791 | | | | 11,699 | | | | 11,699 | | | | 11,694 | | | | 11,683 | | | | 11,668 | | | | 11,721 | | | | 11,664 | |
| Average shares outstanding, diluted | | | 16,527 | | | | 16,526 | | | | 16,464 | | | | 11,791 | | | | 11,699 | | | | 11,699 | | | | 11,694 | | | | 11,688 | | | | 11,679 | | | | 11,721 | | | | 11,692 | |
| (Loss) income per common share before extraordinary item - basic | | $ | (0.73 | ) | | $ | (1.15 | ) | | $ | (0.28 | ) | | $ | (0.11 | ) | | $ | 0.44 | | | $ | 0.27 | | | $ | (0.56 | ) | | $ | 0.54 | | | $ | 0.51 | | | $ | 0.04 | | | $ | 1.94 | |
| (Loss) income per common share before extraordinary item - diluted | | $ | (0.73 | ) | | $ | (1.15 | ) | | $ | (0.28 | ) | | $ | (0.11 | ) | | $ | 0.44 | | | $ | 0.27 | | | $ | (0.56 | ) | | $ | 0.54 | | | $ | 0.51 | | | $ | 0.04 | | | $ | 1.94 | |
| (Loss) income per common share - basic | | $ | (0.73 | ) | | $ | (1.15 | ) | | $ | (0.28 | ) | | $ | (0.11 | ) | | $ | 2.91 | | | $ | 0.27 | | | $ | (0.56 | ) | | $ | 0.54 | | | $ | 0.51 | | | $ | 2.50 | | | $ | 1.94 | |
| (Loss) income per common share - diluted | | $ | (0.73 | ) | | $ | (1.15 | ) | | $ | (0.28 | ) | | $ | (0.11 | ) | | $ | 2.91 | | | $ | 0.27 | | | $ | (0.56 | ) | | $ | 0.54 | | | $ | 0.51 | | | $ | 2.50 | | | $ | 1.94 | |
| (Loss) income per common share available to common shareholders - basic | | $ | (0.79 | ) | | $ | (1.21 | ) | | $ | (0.33 | ) | | $ | (0.19 | ) | | $ | 2.83 | | | $ | 0.19 | | | $ | (0.58 | ) | | $ | 0.54 | | | $ | 0.51 | | | $ | 2.24 | | | $ | 1.94 | |
| (Loss) income per common share available to common shareholders - diluted | | $ | (0.79 | ) | | $ | (1.21 | ) | | $ | (0.33 | ) | | $ | (0.19 | ) | | $ | 2.83 | | | $ | 0.19 | | | $ | (0.58 | ) | | $ | 0.54 | | | $ | 0.51 | | | $ | 2.24 | | | $ | 1.94 | |
| Dividends paid per common share, authorized | | $ | 0.05 | | | $ | 0.05 | | | $ | 0.05 | | | $ | 0.05 | | | $ | 0.05 | | | $ | 0.05 | | | $ | 0.255 | | | $ | 0.255 | | | $ | 0.255 | | | $ | 0.41 | | | $ | 1.02 | |
| First Financial Holdings, Inc. | |
| (dollars in thousands) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Quarter Ended (unaudited) | | | Fiscal Year | |
| | | 06/30/10 | | | 03/31/10 | | | 12/31/09 | | | 09/30/09 | | | 06/30/09 | | | 03/31/09 | | | 12/31/08 | | | 09/30/08 | | | 06/30/08 | | | 09/30/09 | | | 09/30/08 | |
| OTHER RATIOS | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Return on average equity | | | (14.54 | %) | | | (22.02 | %) | | | (5.08 | %) | | | (1.57 | %) | | | 7.16 | % | | | 5.26 | % | | | (12.98 | %) | | | 13.59 | % | | | 12.60 | % | | | 0.17 | % | | | 12.16 | % |
| Return on average assets | | | (1.43 | %) | | | (2.22 | %) | | | (0.52 | %) | | | (0.14 | %) | | | 0.57 | % | | | 0.40 | % | | | (0.87 | %) | | | 0.86 | % | | | 0.81 | % | | | 0.01 | % | | | 0.79 | % |
| Average yield on earning assets | | | 5.56 | % | | | 5.66 | % | | | 5.76 | % | | | 5.84 | % | | | 6.00 | % | | | 5.90 | % | | | 6.08 | % | | | 6.24 | % | | | 6.40 | % | | | 5.89 | % | | | 6.53 | % |
| Average cost of paying liabilities | | | 1.75 | % | | | 1.85 | % | | | 1.97 | % | | | 1.90 | % | | | 1.94 | % | | | 2.29 | % | | | 2.64 | % | | | 2.80 | % | | | 2.89 | % | | | 2.22 | % | | | 3.17 | % |
| Gross spread | | | 3.82 | % | | | 3.81 | % | | | 3.79 | % | | | 3.94 | % | | | 4.06 | % | | | 3.61 | % | | | 3.44 | % | | | 3.44 | % | | | 3.51 | % | | | 3.68 | % | | | 3.36 | % |
| Net interest margin | | | 3.92 | % | | | 3.92 | % | | | 3.94 | % | | | 3.99 | % | | | 4.16 | % | | | 3.64 | % | | | 3.48 | % | | | 3.48 | % | | | 3.56 | % | | | 3.79 | % | | | 3.41 | % |
| Operating expenses/average assets | | | 3.77 | % | | | 3.61 | % | | | 3.50 | % | | | 3.44 | % | | | 3.12 | % | | | 3.05 | % | | | 3.54 | % | | | 3.24 | % | | | 3.54 | % | | | 3.31 | % | | | 3.50 | % |
| Efficiency ratio | | | 63.19 | % | | | 62.87 | % | | | 60.20 | % | | | 60.46 | % | | | 56.42 | % | | | 55.74 | % | | | 68.20 | % | | | 61.36 | % | | | 63.47 | % | | | 59.62 | % | | | 64.33 | % |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Note: Average yields, costs and margins for prior periods adjusted to actual days | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| COMPOSITION OF GROSS LOAN PORTFOLIO | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Residential mortgages (1-4 Family) | | $ | 997,345 | | | $ | 973,670 | | | $ | 966,211 | | | $ | 949,518 | | | $ | 927,296 | | | $ | 882,511 | | | $ | 882,857 | | | $ | 886,488 | | | $ | 874,173 | | | | | | | | | |
| Residential construction (1-4 Family) | | | 20,017 | | | | 31,593 | | | | 32,804 | | | | 41,133 | | | | 56,683 | | | | 56,438 | | | | 67,980 | | | | 70,396 | | | | 73,064 | | | | | | | | | |
| Commercial real estate | | | 439,646 | | | | 434,310 | | | | 436,842 | | | | 435,298 | | | | 435,923 | | | | 322,663 | | | | 314,516 | | | | 307,903 | | | | 291,712 | | | | | | | | | |
| Commercial construction | | | 29,893 | | | | 44,176 | | | | 48,439 | | | | 53,219 | | | | 47,397 | | | | 41,490 | | | | 39,380 | | | | 40,827 | | | | 36,791 | | | | | | | | | |
| Commercial business | | | 86,423 | | | | 86,017 | | | | 88,728 | | | | 96,559 | | | | 106,053 | | | | 93,024 | | | | 95,638 | | | | 89,764 | | | | 90,070 | | | | | | | | | |
| Land | | | 222,564 | | | | 250,925 | | | | 278,982 | | | | 300,130 | | | | 306,810 | | | | 251,103 | | | | 252,713 | | | | 247,862 | | | | 243,395 | | | | | | | | | |
| Home equity lines of credit | | | 398,366 | | | | 401,340 | | | | 400,803 | | | | 394,075 | | | | 394,794 | | | | 356,281 | | | | 344,526 | | | | 325,354 | | | | 301,184 | | | | | | | | | |
| Manufactured housing | | | 264,652 | | | | 255,819 | | | | 250,124 | | | | 244,214 | | | | 239,043 | | | | 232,515 | | | | 227,698 | | | | 223,476 | | | | 218,312 | | | | | | | | | |
| Credit cards | | | 18,069 | | | | 17,797 | | | | 18,471 | | | | 17,483 | | | | 16,949 | | | | 16,128 | | | | 16,790 | | | | 16,125 | | | | 15,824 | | | | | | | | | |
| Marine | | | 68,666 | | | | 70,756 | | | | 73,799 | | | | 76,748 | | | | 77,819 | | | | 77,836 | | | | 79,901 | | | | 83,464 | | | | 83,964 | | | | | | | | | |
| Other consumer | | | 45,178 | | | | 45,812 | | | | 48,999 | | | | 53,365 | | | | 55,230 | | | | 51,347 | | | | 53,783 | | | | 56,868 | | | | 56,499 | | | | | | | | | |
| | | | 2,590,819 | | | | 2,612,215 | | | | 2,644,202 | | | | 2,661,742 | | | | 2,663,997 | | | | 2,381,336 | | | | 2,375,782 | | | | 2,348,527 | | | | 2,284,988 | | | | | | | | | |
| Less: Allowance for loan losses | | | 86,945 | | | | 82,731 | | | | 73,534 | | | | 68,473 | | | | 54,499 | | | | 47,490 | | | | 41,528 | | | | 23,990 | | | | 21,023 | | | | | | | | | |
| Total | | $ | 2,503,874 | | | $ | 2,529,484 | | | $ | 2,570,668 | | | $ | 2,593,269 | | | $ | 2,609,498 | | | $ | 2,333,846 | | | $ | 2,334,254 | | | $ | 2,324,537 | | | $ | 2,263,965 | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Loans held for sale | | $ | 15,030 | | | $ | 12,681 | | | $ | 22,903 | | | $ | 25,603 | | | $ | 63,311 | | | $ | 48,319 | | | $ | 11,804 | | | $ | 8,731 | | | $ | 4,519 | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| LOAN AND REO LOSS RESERVES | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Total allowance for loan losses | | $ | 86,945 | | | $ | 82,731 | | | $ | 73,534 | | | $ | 68,473 | | | $ | 54,499 | | | $ | 47,490 | | | $ | 41,528 | | | $ | 23,990 | | | $ | 21,023 | | | | | | | | | |
| Loan loss reserves/gross loans | | | 3.36 | % | | | 3.17 | % | | | 2.78 | % | | | 2.57 | % | | | 2.05 | % | | | 1.99 | % | | | 1.74 | % | | | 1.02 | % | | | 0.92 | % | | | | | | | | |
| Provision for loan losses | | | 36,373 | | | | 45,915 | | | | 25,327 | | | | 21,280 | | | | 12,367 | | | | 12,765 | | | | 20,471 | | | | 5,217 | | | | 4,907 | | | | | | | | | |
| Net loan charge-offs | | | 32,159 | | | | 36,718 | | | | 20,266 | | | | 7,307 | | | | 9,490 | | | | 6,803 | | | | 2,933 | | | | 2,251 | | | | 1,785 | | | | | | | | | |
| Net charge-offs/average gross loans | | | 1.23 | % | | | 1.39 | % | | | 0.76 | % | | | 0.27 | % | | | 0.36 | % | | | 0.28 | % | | | 0.12 | % | | | 0.10 | % | | | 0.08 | % | | | | | | | | |
| Annualized net charge-offs/average gross loans | | | 4.94 | % | | | 5.56 | % | | | 3.04 | % | | | 1.10 | % | | | 1.43 | % | | | 1.13 | % | | | 0.49 | % | | | 0.39 | % | | | 0.32 | % | | | | | | | | |
| Loan loss reserves/non-performing loans | | | 65.75 | % | | | 60.94 | % | | | 67.55 | % | | | 85.00 | % | | | 82.01 | % | | | 86.57 | % | | | 118.02 | % | | | 116.27 | % | | | 126.33 | % | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| COMPOSITION OF DEPOSITS | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Checking | | $ | 592,934 | | | $ | 570,872 | | | $ | 562,060 | | | $ | 527,795 | | | $ | 543,232 | | | $ | 500,619 | | | $ | 461,179 | | | $ | 474,301 | | | $ | 488,595 | | | | | | | | | |
| Savings | | | 163,468 | | | | 163,451 | | | | 153,674 | | | | 154,342 | | | | 145,541 | | | | 137,854 | | | | 126,261 | | | | 129,466 | | | | 133,414 | | | | | | | | | |
| Money Market | | | 346,535 | | | | 345,752 | | | | 338,930 | | | | 344,220 | | | | 341,209 | | | | 296,557 | | | | 303,866 | | | | 345,327 | | | | 372,617 | | | | | | | | | |
| Core Deposits | | | 1,102,937 | | | | 1,080,075 | | | | 1,054,664 | | | | 1,026,357 | | | | 1,029,982 | | | | 935,030 | | | | 891,306 | | | | 949,094 | | | | 994,626 | | | | | | | | | |
| Time Deposits | | | 1,344,858 | | | | 1,357,517 | | | | 1,222,775 | | | | 1,277,254 | | | | 1,311,073 | | | | 1,060,027 | | | | 1,035,318 | | | | 902,008 | | | | 870,635 | | | | | | | | | |
| Total Deposits | | $ | 2,447,795 | | | $ | 2,437,592 | | | $ | 2,277,439 | | | $ | 2,303,611 | | | $ | 2,341,055 | | | $ | 1,995,057 | | | $ | 1,926,624 | | | $ | 1,851,102 | | | $ | 1,865,261 | | | | | | | | | |
| First Financial Holdings, Inc. | |
| (dollars in thousands) | |
| | | | | | | | | | | | | |
| | | Quarter Ended (unaudited) | |
| | | 06/30/10 | | | 03/31/10 | | | 12/31/09 | | | 09/30/09 | |
| | | | | | | | | | | | | |
DELINQUENT LOANS (30 - 89 days past due, not on nonaccrual) | | | | | | | | | | | | |
| Residential mortgages (1-4 Family) | | $ | 8,622 | | | $ | 12,253 | | | $ | 12,754 | | | $ | 13,603 | |
| Residential construction (1-4 Family) | | | - | | | | 181 | | | | 947 | | | | 662 | |
| Commercial real estate | | | 4,158 | | | | 10,148 | | | | 6,577 | | | | 4,249 | |
| Commercial construction | | | - | | | | 1,420 | | | | - | | | | - | |
| Commercial business | | | 1,543 | | | | 2,769 | | | | 2,778 | | | | 586 | |
| Land | | | 2,049 | | | | 3,105 | | | | 8,474 | | | | 9,242 | |
| Home equity lines of credit | | | 5,320 | | | | 5,217 | | | | 4,721 | | | | 2,231 | |
| Manufactured housing | | | 2,992 | | | | 3,807 | | | | 3,697 | | | | 3,132 | |
| Credit cards | | | 306 | | | | 277 | | | | 239 | | | | 103 | |
| Marine | | | 425 | | | | 981 | | | | 1,755 | | | | 811 | |
| Other consumer | | | 221 | | | | 317 | | | | 1,057 | | | | 793 | |
| | | $ | 25,636 | | | $ | 40,475 | | | $ | 42,999 | | | $ | 35,412 | |
| | | | | | | | | | | | | | | | | |
| DELINQUENT LOANS TO GROSS LOAN BALANCE | | | | | | | | | | | | | | | | |
| Residential mortgages (1-4 Family) | | | 0.86 | % | | | 1.26 | % | | | 1.32 | % | | | 1.43 | % |
| Residential construction (1-4 Family) | | | - | | | | 0.57 | % | | | 2.89 | % | | | 1.61 | % |
| Commercial real estate | | | 0.95 | % | | | 2.34 | % | | | 1.51 | % | | | 0.98 | % |
| Commercial construction | | | - | | | | 3.21 | % | | | - | | | | - | |
| Commercial business | | | 1.79 | % | | | 3.22 | % | | | 3.13 | % | | | 0.61 | % |
| Land | | | 0.92 | % | | | 1.24 | % | | | 3.04 | % | | | 3.08 | % |
| Home equity lines of credit | | | 1.34 | % | | | 1.30 | % | | | 1.18 | % | | | 0.57 | % |
| Manufactured housing | | | 1.13 | % | | | 1.49 | % | | | 1.48 | % | | | 1.28 | % |
| Credit cards | | | 1.69 | % | | | 1.56 | % | | | 1.29 | % | | | 0.59 | % |
| Marine | | | 0.62 | % | | | 1.39 | % | | | 2.38 | % | | | 1.06 | % |
| Other consumer | | | 0.49 | % | | | 0.69 | % | | | 2.16 | % | | | 1.49 | % |
| | | | 0.99 | % | | | 1.55 | % | | | 1.63 | % | | | 1.33 | % |
| | | | | | | | | | | | | | | | | |
| PROBLEM ASSETS | | | | | | | | | | | | | | | | |
| Residential mortgages (1-4 Family) | | $ | 29,019 | | | $ | 27,692 | | | $ | 25,731 | | | $ | 19,820 | |
| Residential construction (1-4 Family) | | | 2,256 | | | | 4,028 | | | | 4,041 | | | | 4,448 | |
| Commercial real estate | | | 23,917 | | | | 20,885 | | | | 19,217 | | | | 6,795 | |
| Commercial construction | | | 3,481 | | | | 3,353 | | | | - | | | | 2,284 | |
| Commercial business | | | 3,706 | | | | 4,270 | | | | 3,315 | | | | 678 | |
| Land | | | 57,807 | | | | 62,881 | | | | 45,314 | | | | 38,438 | |
| Home equity lines of credit | | | 8,531 | | | | 9,341 | | | | 7,996 | | | | 5,466 | |
| Manufactured housing | | | 3,189 | | | | 2,899 | | | | 2,715 | | | | 2,280 | |
| Marine | | | 136 | | | | 166 | | | | 245 | | | | 142 | |
| Other consumer | | | 16 | | | | 143 | | | | 168 | | | | 81 | |
| Total nonaccrual loans | | | 132,058 | | | | 135,658 | | | | 108,742 | | | | 80,432 | |
| Accruing loans 90 days or more delinquent | | | 170 | | | | 104 | | | | 124 | | | | 121 | |
| Real estate and other assets acquired in settlement of loans | | | 12,543 | | | | 11,957 | | | | 20,864 | | | | 22,002 | |
| | | $ | 144,771 | | | $ | 147,719 | | | $ | 129,730 | | | $ | 102,555 | |
| As a percent of gross loans and REO and repossed assets | | | 5.56 | % | | | 5.63 | % | | | 4.87 | % | | | 3.82 | % |
| As a percent of total assets | | | 4.35 | % | | | 4.37 | % | | | 3.73 | % | | | 2.92 | % |
| | | | | | | | | | | | | | | | | |
| COMPOSITION OF NET CHARGE OFFS | | | | | | | | | | | | | | | | |
| Residential mortgages (1-4 Family) | | $ | 5,801 | | | $ | 3,821 | | | $ | 1,328 | | | $ | 943 | |
| Residential construction (1-4 Family) | | | 907 | | | | 1,096 | | | | 807 | | | | 569 | |
| Commercial real estate | | | 2,307 | | | | 7,131 | | | | 1,022 | | | | 166 | |
| Commercial construction | | | 1,264 | | | | - | | | | 953 | | | | - | |
| Commercial business | | | 1,980 | | | | 1,027 | | | | 652 | | | | 654 | |
| Land | | | 13,153 | | | | 18,313 | | | | 10,657 | | | | 1,501 | |
| Home equity lines of credit | | | 4,966 | | | | 3,309 | | | | 2,618 | | | | 1,549 | |
| Manufactured housing | | | 950 | | | | 638 | | | | 745 | | | | 866 | |
| Credit cards | | | 187 | | | | 264 | | | | 254 | | | | 228 | |
| Marine | | | 401 | | | | 621 | | | | 612 | | | | 377 | |
| Other consumer | | | 243 | | | | 498 | | | | 618 | | | | 454 | |
| | | $ | 32,159 | | | $ | 36,718 | | | $ | 20,266 | | | $ | 7,307 | |
