Exhibit 99 (a)
NASD: BOKF
For Further Information Contact:
Steven Nell Andrea Myers
Chief Financial Officer Corporate Communications
(918) 588-6752 (918) 594-7794
BOK Financial Reports Record Earnings of $351 Million for 2012
Fourth Quarter Earnings Total $83 Million
TULSA, Okla. (Wednesday, January 30, 2013) - BOK Financial Corporation reported record net income of $351.2 million or $5.13 per diluted share for the year ended December 31, 2012, up $65.3 million or 23% over 2011. Net income for the year ended December 31, 2011 was $285.9 million or $4.17 per diluted share.
“BOK Financial's results for 2012 reflect the value of our diversified revenue business model,” said President and CEO Stan Lybarger. “Non-interest revenue increased by $103 million or 20% over 2011, led by tremendous growth in mortgage banking revenue. Our mortgage banking professionals originated over $3.7 billion in loans, assisting a record number of customers in the purchase or refinance of their home during this year. In addition to mortgage banking revenue, brokerage and trading revenue was up nearly $23 million over the previous year, which more than offset the full year effect of regulatory limits on interchange fees."
"Our commercial loan portfolio grew by $1.1 billion or 16% and deposits grew by $2.4 billion or 13% over December 31, 2011," said Lybarger. "Additionally, continued improvements in credit quality in 2012 required us to further reduce our combined allowances for credit losses by $45 million through net charge-offs and a $22 million negative provision for credit losses."
"While persistently low interest rates and modest economic growth present a challenge for all banks, including BOK Financial, we expect the Company to continue to perform well," said Lybarger. "Our outlook for the upcoming year includes continued loan growth, increased non-interest revenue and operating expense discipline."
Net income for the fourth quarter of 2012 totaled $82.6 million or $1.21 per diluted share, compared to net income of $87.4 million or $1.27 per diluted share for the third quarter of 2012 and net income of $67.0 million or $0.98 per diluted share for the fourth quarter of 2011.
Highlights of fourth quarter of 2012 included:
| |
| • | Net interest revenue totaled $173.4 million for the fourth quarter of 2012 compared to $176.0 million for the third quarter of 2012. Net interest margin was 2.95% for the fourth quarter of 2012 and 3.12% for the third quarter of 2012. Securities portfolio yield continued to decline as cash flows were reinvested at lower rates. |
| |
| • | Fees and commissions revenue totaled $165.8 million, largely unchanged compared to the third quarter of 2012. Mortgage banking revenue decreased $3.9 million compared to the prior quarter primarily due to seasonal decreases in mortgage commitments and mortgage loans held for sale. Trust fees and commission revenue increased $2.4 million over the prior quarter. All other revenue sources were up $1.3 million over the prior quarter. |
| |
| • | Operating expenses, excluding changes in the fair value of mortgage servicing rights, totaled $226.8 million, up $14.0 million over the previous quarter. Personnel expense increased $8.4 million. Non-personnel expense increased $5.6 million. |
| |
| • | A $14.0 million negative provision for credit losses was recorded in the fourth quarter of 2012. Improving charge-off trends resulted in lower estimated loss rates. Most economic factors are stable or improving in our primary markets. No provision for credit losses was recorded in the third quarter of 2012. Net charge-offs totaled $4.3 million or 0.14% of average loans on an annualized basis in the fourth quarter of 2012 compared to net charge-offs of $5.7 million or 0.19% of average loans on an annualized basis in the third quarter of 2012. Gross charge-offs continue to decline, down $921 thousand from the previous quarter. |
| |
| • | The combined allowance for credit losses totaled $217 million or 1.77% of outstanding loans at December 31, 2012 compared to $236 million or 1.99% of outstanding loans at September 30, 2012. Nonperforming assets totaled $277 million or 2.23% of outstanding loans and repossessed assets at December 31, 2012 and $264 million or 2.21% of outstanding loans and repossessed assets at September 30, 2012. Nonperforming assets increased $31 million due to the implementation of recent regulatory guidance concerning borrowers who have filed for Chapter 7 bankruptcy. Excluding the impact of this new guidance, nonperforming assets decreased $19 million during the fourth quarter of 2012. |
| |
| • | Outstanding loan balances were $12.3 billion at December 31, 2012, up $479 million over the prior quarter. Commercial loan balances grew by $351 million or 19% on an annualized basis over September 30, 2012. Commercial real estate loans grew by $68 million, residential mortgage loans grew by $32 million and consumer loans grew by $28 million. |
| |
| • | Period end deposits totaled $21.2 billion at December 31, 2012 compared to $19.1 billion at September 30, 2012. Demand deposit accounts increased $1.2 billion and interest-bearing transaction accounts increased $885 million, partially offset by a $54 million decrease in time deposits. |
| |
| • | Tangible common equity ratio was 9.25% at December 31, 2012 and 9.67% at September 30, 2012. The tangible common equity ratio is a non-GAAP measure of capital strength used by the Company and investors based on shareholders' equity minus intangible assets and equity that does not benefit common shareholders. The Company and its subsidiary bank continue to exceed the regulatory definition of well capitalized. The Company's Tier 1 capital ratios, as defined by banking regulations, were 12.78% at December 31, 2012 and 13.21% at September 30, 2012. |
| |
| • | The Company paid a regular quarterly cash dividend of $26 million or $0.38 per common share and a special cash dividend of $68 million or $1.00 per common share during the fourth quarter of 2012. On January 29, 2013, the board of directors approved a quarterly cash dividend of $0.38 per common share payable on or about March 1, 2013 to shareholders of record as of February 15, 2013. |
Net Interest Revenue
Net interest revenue decreased $2.7 million compared to the third quarter of 2012. Net interest margin was 2.95% for the fourth quarter of 2012 compared to 3.12% for the third quarter of 2012.
The yield on average earning assets decreased 17 basis points compared to the prior quarter. The available for sale securities portfolio yield decreased 28 basis points to 2.10% due primarily to the continued reinvestment of cash flows from the portfolio at lower current rates. The loan portfolio yield of 4.33% was unchanged compared to the previous quarter.
"In the present low interest rate environment, our ability to further decrease funding costs is limited," said Steven Nell, Chief Financial Officer. "In addition, our ability to bolster near term net interest revenue through continued securities portfolio growth may be constrained by our conservative approach to interest rate risk management. We intend to focus on supporting net interest revenue through continued loan portfolio growth. Based on the current interest rate environment, we see continued pressure on net interest margin in 2013."
Average earning assets increased $741 million during the fourth quarter of 2012. The average balance of the available for sale securities portfolio increased $424 million over the third quarter of 2012 due primarily to growth in residential and commercial mortgage-backed securities issued by U.S. government agencies. Average outstanding loans increased $250 million due primarily to a $209 million increase in commercial loan balances.
Average deposits increased $1.4 billion over the previous quarter. Demand deposit balances were up $787 million and interest-bearing transaction account balances increased $624 million. Time deposit account balances decreased $59 million. The average balance of borrowed funds decreased $328 million compared to the third quarter of 2012.
Fees and Commissions Revenue
Fees and commissions revenue totaled $165.8 million, largely unchanged compared to the third quarter of 2012. Increased revenue from an acquisition made during the third quarter was mostly offset by decreased mortgage banking revenue.
Mortgage banking revenue totaled $46.4 million, down $3.9 million from the prior quarter. Record mortgage loan production volume during the fourth quarter was offset by a seasonal decrease in mortgage loan commitments and loans held for sale. Residential mortgage loans funded for sale totaled $1.1 billion for the fourth quarter of 2012, up $27 million or 3% over the previous quarter. Refinanced mortgage loans were 62% of loans originated for sale in the fourth quarter of 2012 compared to 61% of the loans originated for sale in the third quarter of 2012. Outstanding mortgage loan commitments decreased $95 million and the unpaid principal balance of loans held for sale decreased $25 million compared to September 30, 2012.
"Despite some industry forecasts of a reduction in mortgage lending activity, we expect our mortgage banking revenue to remain strong in 2013," said Nell. "During 2012, we increased the number of mortgage lenders, expanded further into our regional markets and added correspondent loan origination channels. In addition, it does not appear that government policies that stimulate mortgage lending will end anytime soon. We also expect continued revenue growth from our wealth management business in 2013 through a full year's performance from our Milestone acquisition and further expansion throughout our regional markets."
Trust fees and commissions revenue were up $2.4 million primarily related to revenue from The Milestone Group, Inc., a Denver-based Registered Investment Adviser acquired by BOK Financial in the third quarter. Brokerage and trading revenue increased $697 thousand, transaction card revenue increased $221 thousand and deposit service charges and fees decreased $974 thousand.
Operating Expenses
Total operating expenses were $222.1 million for the fourth quarter of 2012 compared to $222.3 million for the third quarter of 2012. Excluding changes in the fair value of mortgage servicing rights, operating expenses totaled $226.8 million, up $14.0 million over the third quarter of 2012.
Personnel costs increased $8.4 million over the third quarter of 2012 due largely to increased incentive compensation and health care costs. Incentive compensation expense increased $5.8 million. Stock-based incentive compensation expense increased $4.8 million primarily due to increased incentive compensation accruals for executive compensation plans. Cash-based incentive compensation, which rewards employees as they generate business opportunities for the Company by growing loans, deposits, customer relationships or other measurable metrics, increased $1.0 million. Employee health care costs increased $3.0 million over the third quarter of 2012 primarily due to an increased level of large dollar claims.
Non-personnel expense increased $5.6 million over the third quarter of 2012. During the fourth quarter, the Company made a $2.1 million discretionary contribution to the BOKF Foundation. The BOKF Foundation partners with various charitable organizations to support needs within our communities. All other non-personnel expenses were up $3.5 million over the previous quarter.
Loans, Deposits and Capital
Loans
Outstanding loans at December 31, 2012 were $12.3 billion, up $479 million over September 30, 2012. All categories of loans experienced growth during the fourth quarter.
Outstanding commercial loan balances grew by $351 million or 19% on an annualized basis over September 30, 2012. Outstanding balances were up in most geographic markets, including $133 million in Oklahoma, $125 million in Texas, $46 million in Kansas/Missouri and $33 million in Colorado. Service sector loans grew by $134 million primarily in the Texas and Oklahoma markets. Energy sector loans increased $57 million. Energy sector loans grew primarily in the Oklahoma and Colorado markets, partially offset by a decrease in the Texas market. Healthcare sector loans increased $56 million primarily in the Texas market. Wholesale/retail sector loans increased $55 million primarily in the Texas and Kansas/Missouri markets, partially offset by a decrease in the Oklahoma market. Other commercial and industrial sector loans increased $33 million and manufacturing sector loans increased $18 million both primarily in the Oklahoma market. Unfunded energy loan commitments increased $170 million during the
fourth quarter to $2.4 billion. All other unfunded commercial loan commitments totaled $3.2 billion at December 31, 2012, up slightly from September 30, 2012.
Commercial real estate loans were up $68 million over September 30, 2012. Loans secured by industrial properties increased by $59 million primarily in the Texas market. Other real estate loans increased $24 million. Growth in the Oklahoma and Colorado markets was partially offset by a decrease in the Texas market. Loans secured by office buildings were up $20 million primarily due to growth in the Texas market, partially offset by a decrease in loans attributed to the Oklahoma market. Growth in these loan classes was partially offset by a $40 million decrease in construction and land development loans primarily in the Oklahoma, Texas and Colorado markets. Unfunded commercial real estate loan commitments totaled $621 million at December 31, 2012, up $47 million over September 30, 2012.
Residential mortgage loans increased $32 million over September 30, 2012. Home equity loans increased $46 million. Growth continues to be primarily focused in first-lien, fully amortizing home equity loans. At December 31, 2012, approximately 63% of our $761 million home equity loan portfolio consisted of first-lien, fully amortizing loans. Non-guaranteed permanent mortgage loans decreased $11.0 million. Permanent mortgage loans guaranteed by U.S. government agencies decreased $2.2 million.
Consumer loans increased $28 million from September 30, 2012. Other consumer loans were up $40 million over September 30, 2012, partially offset by a $13 million decrease primarily related to continued runoff of indirect automobile loans resulting from the previously announced decision to curtail that business in favor of a customer-focused direct approach to consumer lending. Approximately $35 million of indirect automobile loans remain outstanding at December 31, 2012.
Deposits
Deposits totaled $21.2 billion at December 31, 2012 compared to $19.1 billion at September 30, 2012. Demand deposit balances increased $1.2 billion. Interest-bearing transaction account balances increased $885 million and time deposits decreased $54 million. Among the lines of business, commercial deposits increased $1.1 billion, wealth management deposits increased $599 million and consumer deposits increased $80 million. Energy, commercial real estate, treasury services and small business customer account balances all increased over the prior quarter. Commercial customers continue to maintain high account balances due to continued economic uncertainty and persistently low yields available on high-quality investment alternatives. A significant driver of deposit growth in the fourth quarter was sales of businesses or assets by customers. During the first half of January 2013, demand deposit balances decreased by approximately $700 million as customers redeployed these funds.
The temporary unlimited deposit insurance coverage program for noninterest-bearing transaction accounts at all FDIC-insured institutions provided for by the Dodd-Frank Wall Street Reform and Consumer Protection Act expired on December 31, 2012. Noninterest-bearing transaction accounts are now insured up to $250,000.
Capital
The Company and its subsidiary bank exceeded the regulatory definition of well capitalized at December 31, 2012. The Company's Tier 1 capital ratio was 12.78% at December 31, 2012 and 13.21% at September 30, 2012. The total capital ratio was 15.13% at December 31, 2012 and 15.71% at September 30, 2012. In addition, the Company's tangible common equity ratio, a non-GAAP measure, was 9.25% at December 31, 2012 and 9.67% at September 30, 2012. Unrealized securities gains added 48 basis points to the tangible common equity ratio at December 31, 2012. The decrease in Tier 1, total and tangible common equity ratios was largely due to the $1.00 per share special dividend paid in the fourth quarter.
"BOK Financial has increased cash dividends each year since paying its first quarterly cash dividend in 2005," said Nell. "We will consider migrating toward a higher regular dividend payout ratio in the future, subject to attractive capital deployment opportunities."
In June 2012, banking regulators issued a Notice of Proposed Rulemaking that will incorporate Basel III capital changes for substantially all U.S. banking organizations. If adopted as proposed, these changes will establish a 7% threshold for the Tier 1 common equity ratio consisting of a minimum level plus a capital conservation buffer. BOK Financial's Tier 1 common equity ratio based on the existing Basel I standards was 12.59% as of December 31, 2012. Our estimated Tier 1 common equity ratio under a fully phased in Basel III framework is approximately 12.15%, nearly 515 basis points above the 7% regulatory threshold. This estimate is subject to interpretation of rules that are not yet final. Additionally, the proposed definition of Tier 1 common equity includes unrealized gains and losses on available for sale securities which will vary based on market conditions.
Credit Quality
Nonperforming assets increased $13 million during the fourth quarter of 2012 to $277 million or 2.23% of outstanding loans and repossessed assets at December 31, 2012. Excluding the impact of recent regulatory guidance that primarily affected residential mortgage loans, nonperforming assets decreased $19 million. Implementation of this guidance increased nonperforming assets by $31 million in the fourth quarter.
The Office of the Comptroller of the Currency issued interpretive guidance in the third quarter of 2012 regarding accounting for and classification of retail loans to borrowers who have filed for Chapter 7 bankruptcy. This guidance requires that these loans be charged-down to collateral value and classified as nonaccruing and troubled debt restructurings, regardless of current payment status. We have generally been complying with this guidance by charging down such loans to collateral value. Implementation of this guidance in the fourth quarter did not significantly affect charge-offs or provision for credit losses. Nonaccruing loans increased by approximately $19 million. At December 31, 2012, payments on approximately 65% of these newly-identified nonaccruing loans are current. Most of this increase in nonaccruing loans is attributed to residential mortgage loans in the the Oklahoma market. Implementation of this guidance also increased renegotiated residential mortgage loans guaranteed by U.S. government agencies by $12 million.
Nonaccruing loans totaled $134 million or 1.09% of outstanding loans at December 31, 2012 and $132 million or 1.11% of outstanding loans at September 30, 2012. New nonaccruing loans identified in the fourth quarter totaled $38 million, including $19 million identified related to the implementation of the recent regulatory guidance on Chapter 7 bankruptcies. This was offset by $16 million in payments received, $8.0 million in charge-offs and $13 million in foreclosures and repossessions.
Nonaccruing commercial loans increased to $24 million or 0.32% of outstanding commercial loans at December 31, 2012 from $22 million or 0.30% of outstanding commercial loans at September 30, 2012. Nonaccruing commercial real estate loans decreased to $61 million or 2.71% of outstanding commercial real estate loans at December 31, 2012 from $76 million or 3.50% of outstanding commercial real estate loans at September 30, 2012. Nonaccruing commercial real estate loans consist primarily of land development and residential construction loans. Nonaccruing land development and residential construction loans totaled $26 million or 10.49% of all land development and construction loans at December 31, 2012, a decrease of $12 million during the fourth quarter.
Nonaccruing residential mortgage loans increased $17 million during the fourth quarter of 2012 to $47 million or 2.27% of outstanding residential mortgage loans. Principally all non-guaranteed residential mortgage loans past due 90 days or more are nonaccruing. Residential mortgage loans past due 30 to 89 days and still accruing interest, excluding loans guaranteed by U.S. government agencies, totaled $11 million at December 31, 2012 and $21 million at September 30, 2012.
The combined allowance for credit losses totaled $217 million or 1.77% of outstanding loans and 161.76% of nonaccruing loans at December 31, 2012. The allowance for loan losses was $216 million and the accrual for off-balance sheet credit losses was $1.9 million. Gross charge-offs continue to decrease, totaling $8.0 million for the fourth quarter, compared to $8.9 million for the previous quarter. Recoveries totaled $3.7 million for the fourth quarter of 2012. Net charge-offs totaled $4.3 million or 0.14% on an annualized basis for the fourth quarter of 2012 compared with net charge-offs of $5.7 million or 0.19% on an annualized basis for the third quarter of 2012.
After evaluating all credit factors, the Company determined that a $14 million negative provision for credit losses was necessary during the fourth quarter of 2012. Improving trends in gross charge-offs and loan portfolio risk grading across most loan classes resulted in lower estimated loss rates used in developing the combined allowance for credit losses. Most economic factors are stable or improving in our primary markets.
Real estate and other repossessed assets totaled $104 million at December 31, 2012, primarily consisting of $44 million of 1-4 family residential properties (including $22 million guaranteed by U.S. government agencies), $25 million of developed commercial real estate properties, $18 million of undeveloped land and $16 million of residential land and land development properties. The distribution of real estate owned and other repossessed assets among various markets included $29 million attributed to Arizona, $18 million attributed to New Mexico, $16 million attributed to Texas, $15 million attributed to Oklahoma and $13 million attributed to Colorado. Real estate and other repossessed assets decreased by $337 thousand during the fourth quarter of 2012. Additions of $36 million were partially offset by $33 million of sales. Additions included $23 million and sales included $24 million of 1-4 family residential properties guaranteed by U.S. government agencies. Write-downs and net losses on sales of real estate and other repossessed assets totaled $4.1 million.
Securities and Derivatives
The fair value of the available for sale securities portfolio totaled $11.3 billion at December 31, 2012 and $11.5 billion at September 30, 2012. At December 31, 2012, the available for sale portfolio consisted primarily of $9.9 billion of residential mortgage-backed securities fully backed by U.S. government agencies, $895 million of commercial mortgage-backed securities fully backed by U.S. government agencies, and $325 million of residential mortgage-backed securities privately issued by publicly owned financial institutions. Privately issued residential mortgage-backed securities included $202 million
backed by Jumbo-A mortgage loans and $123 million backed by Alt-A mortgage loans. Net unamortized premiums are less than 1% of the securities portfolio amortized cost.
Net unrealized gains on available for sale securities totaled $255 million at December 31, 2012 and $281 million at September 30, 2012. Net unrealized gains on residential mortgage-backed securities issued by U.S. government agencies decreased $34 million during the fourth quarter to $239 million at December 31, 2012. The privately issued residential mortgage-backed securities portfolio has a net unrealized gain of $2.3 million at December 31, 2012 compared to a net unrealized loss of $5.3 million at September 30, 2012.
The amortized cost of privately issued residential mortgage-backed securities totaled $323 million at December 31, 2012, down $14 million since September 30, 2012. All of these securities are rated below investment grade by at least one nationally-recognized rating agency. The amortized cost of these securities was reduced during the fourth quarter of 2012 by $14 million of cash payments received and $197 thousand of credit-related impairment charges during the quarter.
In the fourth quarter of 2012, the Company recognized net gains of $1.1 million from sales of $84 million of available for sale securities. These securities were sold either because they had reached their expected maximum potential total return or to mitigate exposure to prepayment risk. Net gains from sales of $209 million of available for sale securities in the third quarter of 2012 totaled $8.0 million.
The Company also maintains a portfolio of residential mortgage-backed securities issued by U.S. government agencies and interest rate derivative contracts designated as an economic hedge of the changes in the fair value of our mortgage servicing rights. Due to changes in residential mortgage interest rates during the fourth quarter of 2012, prepayment speeds decreased and the value of our mortgage servicing rights increased by $4.7 million. This increase was partially offset by a $2.9 million decrease in the value of securities and interest rate derivative contracts held as an economic hedge.
About BOK Financial Corporation
BOK Financial is a $28 billion regional financial services company based in Tulsa, Oklahoma. The Company's stock is publicly traded on NASDAQ under the Global Select market listings (symbol: BOKF). BOK Financial's holdings include BOKF, NA, BOSC, Inc., The Milestone Group, Inc. and Cavanal Hill Investment Management, Inc. BOKF, NA operates the TransFund electronic funds network and seven banking divisions: Bank of Albuquerque, Bank of Arizona, Bank of Arkansas, Bank of Kansas City, Bank of Oklahoma, Bank of Texas and Colorado State Bank and Trust. Through its subsidiaries, the Company provides commercial and consumer banking, investment and trust services, mortgage origination and servicing, and an electronic funds transfer network. For more information, visit www.bokf.com.
The Company will continue to evaluate critical assumptions and estimates, such as the adequacy of the allowance for credit losses and asset impairment as of December 31, 2012 through the date its financial statements are filed with the Securities and Exchange Commission and will adjust amounts reported if necessary.
This news release contains forward-looking statements that are based on management's beliefs, assumptions, current expectations, estimates and projections about BOK Financial, the financial services industry and the economy generally. Words such as “anticipates,” “believes,” “estimates,” “expects,” “forecasts,” “plans,” “projects,” variations of such words and similar expressions are intended to identify such forward-looking statements. Management judgments relating to and discussion of the provision and allowance for credit losses involve judgments as to future events and are inherently forward-looking statements. Assessments that BOK Financial's acquisitions and other growth endeavors will be profitable are necessary statements of belief as to the outcome of future events based in part on information provided by others which BOK Financial has not independently verified. These statements are not guarantees of future performance and involve certain risks, uncertainties, and assumptions which are difficult to predict with regard to timing, extent, likelihood and degree of occurrence. Therefore, actual results and outcomes may materially differ from what is expected, implied or forecasted in such forward-looking statements. Internal and external factors that might cause such a difference include, but are not limited to (1) the ability to fully realize expected cost savings from mergers within the expected time frames, (2) the ability of other companies on which BOK Financial relies to provide goods and services in a timely and accurate manner, (3) changes in interest rates and interest rate relationships, (4) demand for products and services, (5) the degree of competition by traditional and nontraditional competitors, (6) changes in banking regulations, tax laws, prices, levies and assessments, (7) the impact of technological advances and (8) trends in consumer behavior as well as their ability to repay loans. BOK Financial and its affiliates undertake no obligation to update, amend or clarify forward-looking statements, whether as a result of new information, future events, or otherwise.
BALANCE SHEETS -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands) |
| | | | | | | | | | | | |
| | | December 31,
2012 | | September 30,
2012 | | December 31,
2011 |
| ASSETS | | | | | | |
| Cash and due from banks | | $ | 1,266,834 |
| | $ | 596,590 |
| | $ | 976,191 |
|
| Funds sold and resell agreements | | 19,405 |
| | 18,904 |
| | 10,174 |
|
| Trading securities | | 214,102 |
| | 204,242 |
| | 76,800 |
|
| Investment securities | | 499,534 |
| | 432,114 |
| | 439,236 |
|
| Available for sale securities | | 11,287,221 |
| | 11,506,434 |
| | 10,179,365 |
|
| Fair value option securities | | 284,296 |
| | 331,887 |
| | 651,226 |
|
| Residential mortgage loans held for sale | | 293,762 |
| | 325,102 |
| | 188,125 |
|
| Loans: | | | | | | |
| Commercial | | 7,624,420 |
| | 7,273,217 |
| | 6,555,070 |
|
| Commercial real estate | | 2,233,158 |
| | 2,165,526 |
| | 2,291,303 |
|
| Residential mortgage | | 2,051,354 |
| | 2,018,980 |
| | 1,974,527 |
|
| Consumer | | 402,524 |
| | 374,644 |
| | 448,843 |
|
| Total loans | | 12,311,456 |
| | 11,832,367 |
| | 11,269,743 |
|
| Less allowance for loan losses | | (215,507 | ) | | (233,756 | ) | | (253,481 | ) |
| Loans, net of allowance | | 12,095,949 |
| | 11,598,611 |
| | 11,016,262 |
|
| Premises and equipment, net | | 265,920 |
| | 259,195 |
| | 262,735 |
|
| Receivables | | 114,185 |
| | 116,243 |
| | 123,257 |
|
| Goodwill | | 361,979 |
| | 358,962 |
| | 335,601 |
|
| Intangible assets, net | | 28,192 |
| | 33,196 |
| | 10,219 |
|
| Mortgage servicing rights, net | | 100,812 |
| | 89,653 |
| | 86,783 |
|
| Real estate and other repossessed assets | | 103,791 |
| | 104,128 |
| | 122,753 |
|
| Bankers' acceptances | | 605 |
| | 1,605 |
| | 1,881 |
|
| Derivative contracts | | 338,106 |
| | 435,653 |
| | 293,859 |
|
| Cash surrender value of bank-owned life insurance | | 274,531 |
| | 271,830 |
| | 263,318 |
|
| Receivable on unsettled securities sales | | 211,052 |
| | 32,480 |
| | 75,151 |
|
| Other assets | | 388,355 |
| | 400,812 |
| | 381,010 |
|
| TOTAL ASSETS | | $ | 28,148,631 |
| | $ | 27,117,641 |
| | $ | 25,493,946 |
|
|
| | | | | | | | | | | | |
| LIABILITIES AND EQUITY | | | | | | |
| Deposits: | | | | | | |
| Demand | | $ | 8,038,286 |
| | $ | 6,848,401 |
| | $ | 5,799,785 |
|
| Interest-bearing transaction | | 9,888,038 |
| | 9,002,567 |
| | 9,354,456 |
|
| Savings | | 284,744 |
| | 269,573 |
| | 226,357 |
|
| Time | | 2,967,992 |
| | 3,022,326 |
| | 3,381,982 |
|
| Total deposits | | 21,179,060 |
| | 19,142,867 |
| | 18,762,580 |
|
| Funds purchased | | 1,167,416 |
| | 1,680,626 |
| | 1,063,318 |
|
| Repurchase agreements | | 887,030 |
| | 1,109,696 |
| | 1,233,064 |
|
| Other borrowings | | 651,775 |
| | 639,254 |
| | 74,485 |
|
| Subordinated debentures | | 347,633 |
| | 347,592 |
| | 398,881 |
|
| Accrued interest, taxes, and expense | | 176,678 |
| | 182,410 |
| | 149,508 |
|
| Bankers' acceptances | | 605 |
| | 1,605 |
| | 1,881 |
|
| Due on unsettled securities purchases | | 297,453 |
| | 556,998 |
| | 653,371 |
|
| Derivative contracts | | 283,589 |
| | 254,422 |
| | 236,522 |
|
| Other liabilities | | 163,711 |
| | 189,696 |
| | 133,684 |
|
| TOTAL LIABILITIES | | 25,154,950 |
| | 24,105,166 |
| | 22,707,294 |
|
| Shareholders' equity: | | | | | | |
| Capital, surplus and retained earnings | | 2,807,940 |
| | 2,813,264 |
| | 2,621,489 |
|
| Accumulated other comprehensive income | | 149,920 |
| | 162,393 |
| | 128,979 |
|
| TOTAL SHAREHOLDERS' EQUITY | | 2,957,860 |
| | 2,975,657 |
| | 2,750,468 |
|
| Non-controlling interest | | 35,821 |
| | 36,818 |
| | 36,184 |
|
| TOTAL EQUITY | | 2,993,681 |
| | 3,012,475 |
| | 2,786,652 |
|
| TOTAL LIABILITIES AND EQUITY | | $ | 28,148,631 |
| | $ | 27,117,641 |
| | $ | 25,493,946 |
|
AVERAGE BALANCE SHEETS -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands) |
| | | | | | | | | | | | | | | | | | | |
| | Three Months Ended |
| | December 31,
2012 | | September 30,
2012 | | June 30,
2012 | | March 31,
2012 | | December 31,
2011 |
| ASSETS | | | | | | | | | |
| Funds sold and resell agreements | $ | 19,553 |
| | $ | 17,837 |
| | $ | 19,187 |
| | $ | 11,385 |
| | $ | 12,035 |
|
| Trading securities | 165,109 |
| | 132,213 |
| | 143,770 |
| | 95,293 |
| | 97,972 |
|
| Investment securities | 474,085 |
| | 408,646 |
| | 416,284 |
| | 430,890 |
| | 443,326 |
|
| Available for sale securities | 11,482,212 |
| | 11,058,055 |
| | 10,091,279 |
| | 9,947,227 |
| | 9,914,523 |
|
| Fair value option securities | 292,490 |
| | 336,160 |
| | 335,965 |
| | 555,233 |
| | 660,025 |
|
| Residential mortgage loans held for sale | 272,581 |
| | 264,024 |
| | 191,311 |
| | 182,372 |
| | 201,242 |
|
| Loans: |
| |
| |
| |
| |
|
| Commercial | 7,424,922 |
| | 7,216,232 |
| | 7,075,871 |
| | 6,882,277 |
| | 6,502,981 |
|
| Commercial real estate | 2,174,726 |
| | 2,148,559 |
| | 2,133,247 |
| | 2,198,832 |
| | 2,256,153 |
|
| Residential mortgage | 1,997,679 |
| | 2,003,162 |
| | 2,011,729 |
| | 1,944,462 |
| | 1,949,929 |
|
| Consumer | 391,992 |
| | 371,709 |
| | 393,875 |
| | 411,240 |
| | 443,252 |
|
| Total loans | 11,989,319 |
| | 11,739,662 |
| | 11,614,722 |
| | 11,436,811 |
| | 11,152,315 |
|
| Less allowance for loan losses | (229,095 | ) | | (231,177 | ) | | (242,605 | ) | | (252,538 | ) | | (266,473 | ) |
| Total loans, net | 11,760,224 |
| | 11,508,485 |
| | 11,372,117 |
| | 11,184,273 |
| | 10,885,842 |
|
| Total earning assets | 24,466,254 |
| | 23,725,420 |
| | 22,569,913 |
| | 22,406,673 |
| | 22,214,965 |
|
| Cash and due from banks | 849,614 |
| | 746,364 |
| | 748,811 |
| | 908,628 |
| | 1,234,312 |
|
| Cash surrender value of bank-owned life insurance | 272,778 |
| | 270,084 |
| | 267,246 |
| | 264,354 |
| | 261,496 |
|
| Derivative contracts | 316,579 |
| | 291,965 |
| | 371,690 |
| | 311,178 |
| | 247,411 |
|
| Other assets | 1,591,551 |
| | 1,554,339 |
| | 1,580,857 |
| | 1,625,750 |
| | 1,679,256 |
|
| TOTAL ASSETS | $ | 27,496,776 |
| | $ | 26,588,172 |
| | $ | 25,538,517 |
| | $ | 25,516,583 |
| | $ | 25,637,440 |
|
| | | | | | | | | | |
| LIABILITIES AND EQUITY | | | | | | | | | |
| Deposits: | | | | | | | | | |
| Demand | $ | 7,505,074 |
| | $ | 6,718,572 |
| | $ | 6,278,342 |
| | $ | 5,847,682 |
| | $ | 5,588,596 |
|
| Interest-bearing transaction | 9,343,421 |
| | 8,719,648 |
| | 8,779,659 |
| | 9,319,978 |
| | 9,276,608 |
|
| Savings | 278,714 |
| | 267,498 |
| | 259,386 |
| | 241,442 |
| | 220,236 |
|
| Time | 3,010,367 |
| | 3,068,870 |
| | 3,132,220 |
| | 3,246,362 |
| | 3,485,059 |
|
| Total deposits | 20,137,576 |
| | 18,774,588 |
| | 18,449,607 |
| | 18,655,464 |
| | 18,570,499 |
|
| Funds purchased | 1,295,442 |
| | 1,678,006 |
| | 1,740,354 |
| | 1,337,614 |
| | 1,197,154 |
|
| Repurchase agreements | 900,131 |
| | 1,112,847 |
| | 1,095,298 |
| | 1,183,778 |
| | 1,189,861 |
|
| Other borrowings | 364,425 |
| | 97,003 |
| | 86,667 |
| | 72,911 |
| | 88,489 |
|
| Subordinated debentures | 347,613 |
| | 352,432 |
| | 357,609 |
| | 397,440 |
| | 398,858 |
|
| Derivative contracts | 246,296 |
| | 247,148 |
| | 302,329 |
| | 207,864 |
| | 180,623 |
|
| Other liabilities | 1,233,806 |
| | 1,378,956 |
| | 637,920 |
| | 826,279 |
| | 1,241,469 |
|
| TOTAL LIABILITIES | 24,525,289 |
| | 23,640,980 |
| | 22,669,784 |
| | 22,681,350 |
| | 22,866,953 |
|
| Total equity | 2,971,487 |
| | 2,947,192 |
| | 2,868,733 |
| | 2,835,233 |
| | 2,770,487 |
|
| TOTAL LIABILITIES AND EQUITY | $ | 27,496,776 |
| | $ | 26,588,172 |
| | $ | 25,538,517 |
| | $ | 25,516,583 |
| | $ | 25,637,440 |
|
STATEMENTS OF EARNINGS -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands, except per share data) |
| | | | | | | | | | | | | | | |
| | Three Months Ended | | Year Ended |
| | December 31, | | December 31, |
| | 2012 | | 2011 | | 2012 | | 2011 |
| | | | | | | | |
| Interest revenue | $ | 194,314 |
| | $ | 198,040 |
| | $ | 791,648 |
| | $ | 811,595 |
|
| Interest expense | 20,945 |
| | 26,570 |
| | 87,322 |
| | 120,101 |
|
| Net interest revenue | 173,369 |
| | 171,470 |
| | 704,326 |
| | 691,494 |
|
| Provision for credit losses | (14,000 | ) | | (15,000 | ) | | (22,000 | ) | | (6,050 | ) |
| Net interest revenue after provision for credit losses | 187,369 |
| | 186,470 |
| | 726,326 |
| | 697,544 |
|
| Other operating revenue: | | | | | | | |
| Brokerage and trading revenue | 31,958 |
| | 25,629 |
| | 126,930 |
| | 104,181 |
|
| Transaction card revenue | 28,009 |
| | 25,960 |
| | 107,985 |
| | 116,757 |
|
| Trust fees and commissions | 22,030 |
| | 17,865 |
| | 80,053 |
| | 73,290 |
|
| Deposit service charges and fees | 24,174 |
| | 24,921 |
| | 98,917 |
| | 95,872 |
|
| Mortgage banking revenue | 46,410 |
| | 25,438 |
| | 169,302 |
| | 91,643 |
|
| Bank-owned life insurance | 2,673 |
| | 2,784 |
| | 11,089 |
| | 11,280 |
|
| Other revenue | 10,554 |
| | 9,189 |
| | 37,827 |
| | 35,620 |
|
| Total fees and commissions | 165,808 |
| | 131,786 |
| | 632,103 |
| | 528,643 |
|
| Gain (loss) on other assets, net | 137 |
| | 1,682 |
| | (1,415 | ) | | 4,156 |
|
| Gain (loss) on derivatives, net | (637 | ) | | (174 | ) | | (301 | ) | | 2,686 |
|
| Gain (loss) on fair value option securities, net | (2,081 | ) | | 222 |
| | 9,230 |
| | 24,413 |
|
| Gain on available for sale securities, net | 1,066 |
| | 7,080 |
| | 33,845 |
| | 34,144 |
|
| Total other-than-temporary impairment losses | (504 | ) | | (1,037 | ) | | (1,144 | ) | | (10,578 | ) |
| Portion of loss recognized in (reclassified from) other comprehensive income | (1,163 | ) | | (1,747 | ) | | (6,207 | ) | | (12,929 | ) |
| Net impairment losses recognized in earnings | (1,667 | ) | | (2,784 | ) | | (7,351 | ) | | (23,507 | ) |
| Total other operating revenue | 162,626 |
| | 137,812 |
| | 666,111 |
| | 570,535 |
|
| Other operating expense: | | | | | | | |
| Personnel | 131,192 |
| | 121,129 |
| | 491,033 |
| | 429,986 |
|
| Business promotion | 6,150 |
| | 5,868 |
| | 23,338 |
| | 20,549 |
|
| Contribution to BOKF Charitable Foundation | 2,062 |
| | — |
| | 2,062 |
| | 4,000 |
|
| Professional fees and services | 10,082 |
| | 7,664 |
| | 34,015 |
| | 28,798 |
|
| Net occupancy and equipment | 16,883 |
| | 16,826 |
| | 66,726 |
| | 64,611 |
|
| Insurance | 3,789 |
| | 3,636 |
| | 15,356 |
| | 16,799 |
|
| Data processing and communications | 25,010 |
| | 26,599 |
| | 98,904 |
| | 97,976 |
|
| Printing, postage and supplies | 3,403 |
| | 3,637 |
| | 14,228 |
| | 14,085 |
|
| Net losses and operating expenses of repossessed assets | 6,665 |
| | 6,180 |
| | 20,528 |
| | 23,715 |
|
| Amortization of intangible assets | 1,065 |
| | 895 |
| | 2,927 |
| | 3,583 |
|
| Mortgage banking costs | 8,653 |
| | 10,154 |
| | 38,965 |
| | 34,942 |
|
| Change in fair value of mortgage servicing rights | (4,689 | ) | | 5,261 |
| | 9,210 |
| | 40,447 |
|
| Other expense | 11,820 |
| | 11,133 |
| | 32,281 |
| | 40,253 |
|
| Total other operating expense | 222,085 |
| | 218,982 |
| | 849,573 |
| | 819,744 |
|
| | | | | | | | |
| Net income before taxes | 127,910 |
| | 105,300 |
| | 542,864 |
| | 448,335 |
|
| Federal and state income taxes | 44,293 |
| | 37,396 |
| | 188,740 |
| | 158,511 |
|
| | | | | | | | |
| Net income | 83,617 |
| | 67,904 |
| | 354,124 |
| | 289,824 |
|
| Net income attributable to non-controlling interest | 1,051 |
| | 911 |
| | 2,933 |
| | 3,949 |
|
| Net income attributable to BOK Financial Corporation shareholders | $ | 82,566 |
| | $ | 66,993 |
| | $ | 351,191 |
| | $ | 285,875 |
|
| | | | | | | | |
| Average shares outstanding: | | | | | | | |
| Basic | 67,622,777 |
| | 67,526,009 |
| | 67,684,043 |
| | 67,787,676 |
|
| Diluted | 67,914,717 |
| | 67,774,721 |
| | 67,964,940 |
| | 68,038,763 |
|
| | | | | | | | |
| Net income per share: | | | | | | | |
| Basic | $ | 1.21 |
| | $ | 0.98 |
| | $ | 5.15 |
| | $ | 4.18 |
|
| Diluted | $ | 1.21 |
| | $ | 0.98 |
| | $ | 5.13 |
| | $ | 4.17 |
|
FINANCIAL HIGHLIGHTS -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands, except ratio and share data) |
| | | | | | | | | | | | | | | | | | | |
| | Three Months Ended |
| | December 31,
2012 | | September 30,
2012 | | June 30,
2012 | | March 31,
2012 | | December 31,
2011 |
| Capital: | | | | | | | | | |
| Period-end shareholders' equity | $ | 2,957,860 |
| | $ | 2,975,657 |
| | $ | 2,885,934 |
| | $ | 2,834,419 |
| | $ | 2,750,468 |
|
| Risk weighted assets | $ | 19,016,673 |
| | $ | 18,448,854 |
| | $ | 17,758,118 |
| | $ | 17,993,379 |
| | $ | 17,291,105 |
|
| Risk-based capital ratios: | | | | | | | | | |
| Tier 1 | 12.78 | % | | 13.21 | % | | 13.62 | % | | 13.03 | % | | 13.27 | % |
| Total capital | 15.13 | % | | 15.71 | % | | 16.19 | % | | 16.16 | % | | 16.49 | % |
| Leverage ratio | 9.01 | % | | 9.34 | % | | 9.64 | % | | 9.35 | % | | 9.15 | % |
Tangible common equity ratio1 | 9.25 | % | | 9.67 | % | | 10.07 | % | | 9.75 | % | | 9.56 | % |
Tier 1 common equity ratio2 | 12.59 | % | | 13.01 | % | | 13.41 | % | | 12.83 | % | | 13.06 | % |
| | | | | | | | | | |
| Common stock: | | | | | | | | | |
| Book value per share | $ | 43.29 |
| | $ | 43.62 |
| | $ | 42.35 |
| | $ | 41.61 |
| | $ | 40.36 |
|
| Market value per share: | | | | | | | | | |
| High | $ | 59.77 |
| | $ | 59.47 |
| | $ | 58.12 |
| | $ | 59.02 |
| | $ | 55.90 |
|
| Low | $ | 54.19 |
| | $ | 55.63 |
| | $ | 53.34 |
| | $ | 52.56 |
| | $ | 45.68 |
|
| Cash dividends paid | $ | 94,231 |
| | $ | 25,912 |
| | $ | 25,904 |
| | $ | 22,571 |
| | $ | 22,451 |
|
| Dividend payout ratio | 114.13 | % | | 29.65 | % | | 26.53 | % | | 26.99 | % | | 33.51 | % |
| Shares outstanding, net | 68,327,351 |
| | 68,215,354 |
| | 68,144,159 |
| | 68,116,893 |
| | 68,153,044 |
|
| Stock buy-back program: | | | | | | | | | |
| Shares repurchased | — |
| | — |
| | 39,496 |
| | 345,300 |
| | 69,581 |
|
| Amount | $ | — |
| | $ | — |
| | $ | 2,125 |
| | $ | 18,432 |
| | $ | 3,579 |
|
| Average price per share | $ | — |
| | $ | — |
| | $ | 53.81 |
| | $ | 53.38 |
| | $ | 51.44 |
|
| | | | | | | | | | |
| Performance ratios (quarter annualized): |
| Return on average assets | 1.19 | % | | 1.31 | % | | 1.54 | % | | 1.32 | % | | 1.04 | % |
| Return on average equity | 11.05 | % | | 11.80 | % | | 13.69 | % | | 11.86 | % | | 9.59 | % |
| Net interest margin | 2.95 | % | | 3.12 | % | | 3.30 | % | | 3.19 | % | | 3.20 | % |
| Efficiency ratio | 66.00 | % | | 61.18 | % | | 61.98 | % | | 58.76 | % | | 69.66 | % |
| | | | | | | | | | |
| Reconciliation of non-GAAP measures: |
1 Tangible common equity ratio: | | | | | | | | | |
| Total shareholders' equity | $ | 2,957,860 |
| | $ | 2,975,657 |
| | $ | 2,885,934 |
| | $ | 2,834,419 |
| | $ | 2,750,468 |
|
| Less: Goodwill and intangible assets, net | (390,171 | ) | | (392,158 | ) | | (344,699 | ) | | (345,246 | ) | | (345,820 | ) |
| Tangible common equity | $ | 2,567,689 |
| | $ | 2,583,499 |
| | $ | 2,541,235 |
| | $ | 2,489,173 |
| | $ | 2,404,648 |
|
| | | | | | | | | | |
| Total assets | $ | 28,148,631 |
| | $ | 27,117,641 |
| | $ | 25,576,046 |
| | $ | 25,884,173 |
| | $ | 25,493,946 |
|
| Less: Goodwill and intangible assets, net | (390,171 | ) | | (392,158 | ) | | (344,699 | ) | | (345,246 | ) | | (345,820 | ) |
| Tangible assets | $ | 27,758,460 |
| | $ | 26,725,483 |
| | $ | 25,231,347 |
| | $ | 25,538,927 |
| | $ | 25,148,126 |
|
| | | | | | | | | | |
| Tangible common equity ratio | 9.25 | % | | 9.67 | % | | 10.07 | % | | 9.75 | % | | 9.56 | % |
| | | | | | | | | | |
2 Tier 1 common equity ratio: | | | | | | | | | |
| Tier 1 capital | $ | 2,430,671 |
| | $ | 2,436,791 |
| | $ | 2,418,985 |
| | $ | 2,344,779 |
| | $ | 2,295,061 |
|
| Less: Non-controlling interest | (35,821 | ) | | (36,818 | ) | | (36,787 | ) | | (35,982 | ) | | (36,184 | ) |
| Tier 1 common equity | $ | 2,394,850 |
| | $ | 2,399,973 |
| | $ | 2,382,198 |
| | $ | 2,308,797 |
| | $ | 2,258,877 |
|
| | | | | | | | | | |
| Risk weighted assets | $ | 19,016,673 |
| | $ | 18,448,854 |
| | $ | 17,758,118 |
| | $ | 17,993,379 |
| | $ | 17,291,105 |
|
| | | | | | | | | | |
| Tier 1 common equity ratio | 12.59 | % | | 13.01 | % | | 13.41 | % | | 12.83 | % | | 13.06 | % |
FINANCIAL HIGHLIGHTS -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands, except ratio and share data) |
| | | | | | | | | | | | | | | | | | | |
| | Three Months Ended |
| | December 31,
2012 | | September 30,
2012 | | June 30,
2012 | | March 31,
2012 | | December 31,
2011 |
| Other data: | | | | | | | | | |
| Fiduciary assets | $ | 25,829,038 |
| | $ | 25,208,276 |
| | $ | 23,136,625 |
| | $ | 23,774,788 |
| | $ | 22,821,813 |
|
| Mortgage servicing portfolio | $ | 11,981,624 |
| | $ | 11,756,350 |
| | $ | 11,564,643 |
| | $ | 11,378,806 |
| | $ | 11,300,986 |
|
| Mortgage loans funded for sale | $ | 1,073,541 |
| | $ | 1,046,608 |
| | $ | 841,960 |
| | $ | 746,241 |
| | $ | 753,215 |
|
| Mortgage loan refinances to total fundings | 62 | % | | 61 | % | | 51 | % | | 67 | % | | 66 | % |
| Tax equivalent adjustment | $ | 2,472 |
| | $ | 2,509 |
| | $ | 2,252 |
| | $ | 2,094 |
| | $ | 2,274 |
|
| Net unrealized gain on available for sale securities | $ | 254,587 |
| | $ | 281,455 |
| | $ | 242,253 |
| | $ | 277,277 |
| | $ | 222,160 |
|
| | | | | | | | | | |
| Gain (loss) on mortgage servicing rights, net of economic hedge: |
| Gain (loss) on mortgage hedge derivative contracts | $ | (707 | ) | | $ | 645 |
| | $ | 2,623 |
| | $ | (2,445 | ) | | $ | 121 |
|
| Gain (loss) on mortgage trading securities | (2,177 | ) | | 5,455 |
| | 6,908 |
| | (2,393 | ) | | 222 |
|
| Gain (loss) on economic hedge of mortgage servicing rights | (2,884 | ) | | 6,100 |
| | 9,531 |
| | (4,838 | ) | | 343 |
|
| Gain (loss) on changes in fair value of mortgage servicing rights | 4,689 |
| | (9,576 | ) | | (11,450 | ) | | 7,127 |
| | (5,261 | ) |
| Gain (loss) on changes in fair value of mortgage servicing rights, net of economic hedges | $ | 1,805 |
| | $ | (3,476 | ) | | $ | (1,919 | ) | | $ | 2,289 |
| | $ | (4,918 | ) |
| | | | | | | | | | |
| Net interest revenue on mortgage trading securities | $ | 748 |
| | $ | 1,750 |
| | $ | 2,148 |
| | $ | 3,165 |
| | $ | 4,436 |
|
QUARTERLY EARNINGS TREND -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands, except ratio and per share data) |
| | | | | | | | | | | | | | | | | | | |
| | Three Months Ended |
| | December 31,
2012 | | September 30,
2012 | | June 30,
2012 | | March 31,
2012 | | December 31,
2011 |
| Interest revenue | $ | 194,314 |
| | $ | 196,071 |
| | $ | 203,055 |
| | $ | 198,208 |
| | $ | 198,040 |
|
| Interest expense | 20,945 |
| | 20,044 |
| | 21,694 |
| | 24,639 |
| | 26,570 |
|
| Net interest revenue | 173,369 |
| | 176,027 |
| | 181,361 |
| | 173,569 |
| | 171,470 |
|
| Provision for credit losses | (14,000 | ) | | — |
| | (8,000 | ) | | — |
| | (15,000 | ) |
| Net interest revenue after provision for credit losses | 187,369 |
| | 176,027 |
| | 189,361 |
| | 173,569 |
| | 186,470 |
|
| Other operating revenue: | | | | | | | | | |
| Brokerage and trading revenue | 31,958 |
| | 31,261 |
| | 32,600 |
| | 31,111 |
| | 25,629 |
|
| Transaction card revenue | 28,009 |
| | 27,788 |
| | 26,758 |
| | 25,430 |
| | 25,960 |
|
| Trust fees and commissions | 22,030 |
| | 19,654 |
| | 19,931 |
| | 18,438 |
| | 17,865 |
|
| Deposit service charges and fees | 24,174 |
| | 25,148 |
| | 25,216 |
| | 24,379 |
| | 24,921 |
|
| Mortgage banking revenue | 46,410 |
| | 50,266 |
| | 39,548 |
| | 33,078 |
| | 25,438 |
|
| Bank-owned life insurance | 2,673 |
| | 2,707 |
| | 2,838 |
| | 2,871 |
| | 2,784 |
|
| Other revenue | 10,554 |
| | 9,149 |
| | 8,860 |
| | 9,264 |
| | 9,189 |
|
| Total fees and commissions | 165,808 |
| | 165,973 |
| | 155,751 |
| | 144,571 |
| | 131,786 |
|
| Gain (loss) on other assets, net | 137 |
| | 452 |
| | 1,689 |
| | (3,693 | ) | | 1,682 |
|
| Gain (loss) on derivatives, net | (637 | ) | | 464 |
| | 2,345 |
| | (2,473 | ) | | (174 | ) |
| Gain (loss) on fair value option securities, net | (2,081 | ) | | 6,192 |
| | 6,852 |
| | (1,733 | ) | | 222 |
|
| Gain on available for sale securities, net | 1,066 |
| | 7,967 |
| | 20,481 |
| | 4,331 |
| | 7,080 |
|
| Total other-than-temporary impairment losses | (504 | ) | | — |
| | (135 | ) | | (505 | ) | | (1,037 | ) |
| Portion of loss recognized in (reclassified from) other comprehensive income | (1,163 | ) | | (1,104 | ) | | (723 | ) | | (3,217 | ) | | (1,747 | ) |
| Net impairment losses recognized in earnings | (1,667 | ) | | (1,104 | ) | | (858 | ) | | (3,722 | ) | | (2,784 | ) |
| Total other operating revenue | 162,626 |
| | 179,944 |
| | 186,260 |
| | 137,281 |
| | 137,812 |
|
| Other operating expense: | | | | | | | | | |
| Personnel | 131,192 |
| | 122,775 |
| | 122,297 |
| | 114,769 |
| | 121,129 |
|
| Business promotion | 6,150 |
| | 6,054 |
| | 6,746 |
| | 4,388 |
| | 5,868 |
|
| Contribution to BOKF Charitable Foundation | 2,062 |
| | — |
| | — |
| | — |
| | — |
|
| Professional fees and services | 10,082 |
| | 7,991 |
| | 8,343 |
| | 7,599 |
| | 7,664 |
|
| Net occupancy and equipment | 16,883 |
| | 16,914 |
| | 16,906 |
| | 16,023 |
| | 16,826 |
|
| Insurance | 3,789 |
| | 3,690 |
| | 4,011 |
| | 3,866 |
| | 3,636 |
|
| Data processing and communications | 25,010 |
| | 26,486 |
| | 25,264 |
| | 22,144 |
| | 26,599 |
|
| Printing, postage and supplies | 3,403 |
| | 3,611 |
| | 3,903 |
| | 3,311 |
| | 3,637 |
|
| Net losses and operating expenses of repossessed assets | 6,665 |
| | 5,706 |
| | 5,912 |
| | 2,245 |
| | 6,180 |
|
| Amortization of intangible assets | 1,065 |
| | 742 |
| | 545 |
| | 575 |
| | 895 |
|
| Mortgage banking costs | 8,653 |
| | 11,566 |
| | 11,173 |
| | 7,573 |
| | 10,154 |
|
| Change in fair value of mortgage servicing rights | (4,689 | ) | | 9,576 |
| | 11,450 |
| | (7,127 | ) | | 5,261 |
|
| Other expense | 11,820 |
| | 7,229 |
| | 6,461 |
| | 6,771 |
| | 11,133 |
|
| Total other operating expense | 222,085 |
| | 222,340 |
| | 223,011 |
| | 182,137 |
| | 218,982 |
|
| Net income before taxes | 127,910 |
| | 133,631 |
| | 152,610 |
| | 128,713 |
| | 105,300 |
|
| Federal and state income taxes | 44,293 |
| | 45,778 |
| | 53,149 |
| | 45,520 |
| | 37,396 |
|
| Net income | 83,617 |
| | 87,853 |
| | 99,461 |
| | 83,193 |
| | 67,904 |
|
| Net income (loss) attributable to non-controlling interest | 1,051 |
| | 471 |
| | 1,833 |
| | (422 | ) | | 911 |
|
| Net income attributable to BOK Financial Corporation shareholders | $ | 82,566 |
| | $ | 87,382 |
| | $ | 97,628 |
| | $ | 83,615 |
| | $ | 66,993 |
|
| | | | | | | | | | |
| Average shares outstanding: | | | | | | | | | |
| Basic | 67,622,777 |
| | 67,966,700 |
| | 67,472,665 |
| | 67,665,300 |
| | 67,526,009 |
|
| Diluted | 67,914,717 |
| | 68,334,989 |
| | 67,744,828 |
| | 67,941,895 |
| | 67,774,721 |
|
| Net income per share: | | | | | | | | | |
| Basic | $ | 1.21 |
| | $ | 1.28 |
| | $ | 1.43 |
| | $ | 1.22 |
| | $ | 0.98 |
|
| Diluted | $ | 1.21 |
| | $ | 1.27 |
| | $ | 1.43 |
| | $ | 1.22 |
| | $ | 0.98 |
|
LOANS BY PRINCIPAL MARKET AREA -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands) |
| | | | | | | | | | | | | | | | | | | |
| | Three Months Ended |
| | December 31,
2012 | | September 30,
2012 | | June 30,
2012 | | March 31,
2012 | | December 31,
2011 |
| | | | | | | | | | |
| Bank of Oklahoma: | | | | | | | | | |
| Commercial | $ | 3,273,833 |
| | $ | 3,141,217 |
| | $ | 3,098,651 |
| | $ | 3,107,726 |
| | $ | 2,826,649 |
|
| Commercial real estate | 636,398 |
| | 639,156 |
| | 644,761 |
| | 631,891 |
| | 607,030 |
|
| Residential mortgage | 1,501,000 |
| | 1,477,583 |
| | 1,460,173 |
| | 1,426,827 |
| | 1,411,560 |
|
| Consumer | 227,115 |
| | 200,217 |
| | 205,436 |
| | 215,693 |
| | 235,909 |
|
| Total Bank of Oklahoma | 5,638,346 |
| | 5,458,173 |
| | 5,409,021 |
| | 5,382,137 |
| | 5,081,148 |
|
| | | | | | | | | | |
| Bank of Texas: | | | | | | | | | |
| Commercial | 2,654,875 |
| | 2,529,473 |
| | 2,414,824 |
| | 2,354,593 |
| | 2,249,888 |
|
| Commercial real estate | 771,791 |
| | 712,895 |
| | 678,745 |
| | 802,979 |
| | 830,642 |
|
| Residential mortgage | 274,388 |
| | 266,791 |
| | 268,639 |
| | 262,556 |
| | 268,053 |
|
| Consumer | 116,252 |
| | 108,854 |
| | 115,602 |
| | 124,692 |
| | 126,570 |
|
| Total Bank of Texas | 3,817,306 |
| | 3,618,013 |
| | 3,477,810 |
| | 3,544,820 |
| | 3,475,153 |
|
| | | | | | | | | | |
| Bank of Albuquerque: | | | | | | | | | |
| Commercial | 255,382 |
| | 267,469 |
| | 262,144 |
| | 273,284 |
| | 258,668 |
|
| Commercial real estate | 305,049 |
| | 294,731 |
| | 285,871 |
| | 282,834 |
| | 303,500 |
|
| Residential mortgage | 128,201 |
| | 117,783 |
| | 113,987 |
| | 106,754 |
| | 104,695 |
|
| Consumer | 15,456 |
| | 15,883 |
| | 15,828 |
| | 18,378 |
| | 19,369 |
|
| Total Bank of Albuquerque | 704,088 |
| | 695,866 |
| | 677,830 |
| | 681,250 |
| | 686,232 |
|
| | | | | | | | | | |
| Bank of Arkansas: | | | | | | | | | |
| Commercial | 62,049 |
| | 48,097 |
| | 49,305 |
| | 64,595 |
| | 76,199 |
|
| Commercial real estate | 90,821 |
| | 119,305 |
| | 119,895 |
| | 139,670 |
| | 136,170 |
|
| Residential mortgage | 12,684 |
| | 12,408 |
| | 12,513 |
| | 14,557 |
| | 15,772 |
|
| Consumer | 15,421 |
| | 19,720 |
| | 24,270 |
| | 28,783 |
| | 35,911 |
|
| Total Bank of Arkansas | 180,975 |
| | 199,530 |
| | 205,983 |
| | 247,605 |
| | 264,052 |
|
| | | | | | | | | | |
| Colorado State Bank & Trust: | | | | | | | | | |
| Commercial | 649,203 |
| | 616,321 |
| | 610,384 |
| | 541,280 |
| | 544,020 |
|
| Commercial real estate | 160,344 |
| | 145,077 |
| | 149,541 |
| | 144,757 |
| | 156,013 |
|
| Residential mortgage | 57,712 |
| | 57,637 |
| | 60,893 |
| | 61,329 |
| | 64,627 |
|
| Consumer | 19,333 |
| | 19,028 |
| | 20,612 |
| | 19,790 |
| | 21,598 |
|
| Total Colorado State Bank & Trust | 886,592 |
| | 838,063 |
| | 841,430 |
| | 767,156 |
| | 786,258 |
|
| | | | | | | | | | |
| Bank of Arizona: | | | | | | | | | |
| Commercial | 313,294 |
| | 300,557 |
| | 278,119 |
| | 269,099 |
| | 271,914 |
|
| Commercial real estate | 184,290 |
| | 186,553 |
| | 181,513 |
| | 180,830 |
| | 198,160 |
|
| Residential mortgage | 57,559 |
| | 65,234 |
| | 67,822 |
| | 76,699 |
| | 89,315 |
|
| Consumer | 4,686 |
| | 6,150 |
| | 6,227 |
| | 5,381 |
| | 5,633 |
|
| Total Bank of Arizona | 559,829 |
| | 558,494 |
| | 533,681 |
| | 532,009 |
| | 565,022 |
|
| | | | | | | | | | |
| Bank of Kansas City: | | | | | | | | | |
| Commercial | 415,784 |
| | 370,083 |
| | 339,117 |
| | 348,515 |
| | 327,732 |
|
| Commercial real estate | 84,465 |
| | 67,809 |
| | 65,888 |
| | 50,722 |
| | 59,788 |
|
| Residential mortgage | 19,810 |
| | 21,544 |
| | 21,070 |
| | 19,650 |
| | 20,505 |
|
| Consumer | 4,261 |
| | 4,792 |
| | 4,601 |
| | 3,580 |
| | 3,853 |
|
| Total Bank of Kansas City | 524,320 |
| | 464,228 |
| | 430,676 |
| | 422,467 |
| | 411,878 |
|
| | | | | | | | | | |
| TOTAL BOK FINANCIAL | $ | 12,311,456 |
| | $ | 11,832,367 |
| | $ | 11,576,431 |
| | $ | 11,577,444 |
| | $ | 11,269,743 |
|
Loans attributed to a geographical region may not always represent the location of the borrower or the collateral.
DEPOSITS BY PRINCIPAL MARKET AREA -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands) |
| | | | | | | | | | | | | | | | | | | |
| | Three Months Ended |
| | December 31,
2012 | | September 30,
2012 | | June 30,
2012 | | March 31,
2012 | | December 31,
2011 |
| Bank of Oklahoma: | | | | | | | | | |
| Demand | $ | 4,223,923 |
| | $ | 3,734,900 |
| | $ | 3,499,834 |
| | $ | 3,445,424 |
| | $ | 3,223,201 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 6,031,541 |
| | 5,496,724 |
| | 5,412,002 |
| | 5,889,625 |
| | 6,050,986 |
|
| Savings | 163,512 |
| | 155,277 |
| | 150,353 |
| | 148,556 |
| | 126,763 |
|
| Time | 1,267,904 |
| | 1,274,336 |
| | 1,354,148 |
| | 1,370,868 |
| | 1,450,571 |
|
| Total interest-bearing | 7,462,957 |
| | 6,926,337 |
| | 6,916,503 |
| | 7,409,049 |
| | 7,628,320 |
|
| Total Bank of Oklahoma | 11,686,880 |
| | 10,661,237 |
| | 10,416,337 |
| | 10,854,473 |
| | 10,851,521 |
|
| Bank of Texas: | | | | | | | | | |
| Demand | 2,606,176 |
| | 1,983,678 |
| | 1,966,465 |
| | 1,876,133 |
| | 1,808,491 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 2,129,084 |
| | 1,782,296 |
| | 1,813,209 |
| | 1,734,655 |
| | 1,940,819 |
|
| Savings | 58,429 |
| | 52,561 |
| | 51,114 |
| | 50,331 |
| | 45,872 |
|
| Time | 762,233 |
| | 789,725 |
| | 772,809 |
| | 789,860 |
| | 867,664 |
|
| Total interest-bearing | 2,949,746 |
| | 2,624,582 |
| | 2,637,132 |
| | 2,574,846 |
| | 2,854,355 |
|
| Total Bank of Texas | 5,555,922 |
| | 4,608,260 |
| | 4,603,597 |
| | 4,450,979 |
| | 4,662,846 |
|
| Bank of Albuquerque: | | | | | | | | | |
| Demand | 427,510 |
| | 416,796 |
| | 357,367 |
| | 333,707 |
| | 319,269 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 511,593 |
| | 526,029 |
| | 506,165 |
| | 503,015 |
| | 491,068 |
|
| Savings | 31,926 |
| | 31,940 |
| | 31,215 |
| | 32,688 |
| | 27,487 |
|
| Time | 364,928 |
| | 375,611 |
| | 383,350 |
| | 392,234 |
| | 410,722 |
|
| Total interest-bearing | 908,447 |
| | 933,580 |
| | 920,730 |
| | 927,937 |
| | 929,277 |
|
| Total Bank of Albuquerque | 1,335,957 |
| | 1,350,376 |
| | 1,278,097 |
| | 1,261,644 |
| | 1,248,546 |
|
| Bank of Arkansas: | | | | | | | | | |
| Demand | 38,935 |
| | 29,254 |
| | 16,921 |
| | 22,843 |
| | 18,513 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 101,366 |
| | 168,827 |
| | 172,829 |
| | 151,708 |
| | 131,181 |
|
| Savings | 2,239 |
| | 2,246 |
| | 2,220 |
| | 2,358 |
| | 1,727 |
|
| Time | 42,573 |
| | 45,719 |
| | 48,517 |
| | 54,157 |
| | 61,329 |
|
| Total interest-bearing | 146,178 |
| | 216,792 |
| | 223,566 |
| | 208,223 |
| | 194,237 |
|
| Total Bank of Arkansas | 185,113 |
| | 246,046 |
| | 240,487 |
| | 231,066 |
| | 212,750 |
|
| Colorado State Bank & Trust: | | | | | | | | | |
| Demand | 331,157 |
| | 330,641 |
| | 301,646 |
| | 311,057 |
| | 272,565 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 676,140 |
| | 627,015 |
| | 465,276 |
| | 476,718 |
| | 511,993 |
|
| Savings | 25,889 |
| | 24,689 |
| | 24,202 |
| | 23,409 |
| | 22,771 |
|
| Time | 472,305 |
| | 476,564 |
| | 491,280 |
| | 498,124 |
| | 523,969 |
|
| Total interest-bearing | 1,174,334 |
| | 1,128,268 |
| | 980,758 |
| | 998,251 |
| | 1,058,733 |
|
| Total Colorado State Bank & Trust | 1,505,491 |
| | 1,458,909 |
| | 1,282,404 |
| | 1,309,308 |
| | 1,331,298 |
|
| Bank of Arizona: | | | | | | | | | |
| Demand | 161,094 |
| | 151,738 |
| | 137,313 |
| | 131,539 |
| | 106,741 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 360,275 |
| | 298,048 |
| | 113,310 |
| | 95,010 |
| | 104,961 |
|
| Savings | 1,978 |
| | 2,201 |
| | 2,313 |
| | 1,772 |
| | 1,192 |
|
| Time | 31,371 |
| | 33,169 |
| | 31,539 |
| | 34,199 |
| | 37,641 |
|
| Total interest-bearing | 393,624 |
| | 333,418 |
| | 147,162 |
| | 130,981 |
| | 143,794 |
|
| Total Bank of Arizona | 554,718 |
| | 485,156 |
| | 284,475 |
| | 262,520 |
| | 250,535 |
|
| Bank of Kansas City: | | | | | | | | | |
| Demand | 249,491 |
| | 201,393 |
| | 160,829 |
| | 68,469 |
| | 51,004 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 78,039 |
| | 103,628 |
| | 69,083 |
| | 57,666 |
| | 123,449 |
|
| Savings | 771 |
| | 660 |
| | 581 |
| | 505 |
| | 545 |
|
| Time | 26,678 |
| | 27,202 |
| | 26,307 |
| | 26,657 |
| | 30,086 |
|
| Total interest-bearing | 105,488 |
| | 131,490 |
| | 95,971 |
| | 84,828 |
| | 154,080 |
|
| Total Bank of Kansas City | 354,979 |
| | 332,883 |
| | 256,800 |
| | 153,297 |
| | 205,084 |
|
| | | | | | | | | | |
| TOTAL BOK FINANCIAL | $ | 21,179,060 |
| | $ | 19,142,867 |
| | $ | 18,362,197 |
| | $ | 18,523,287 |
| | $ | 18,762,580 |
|
NET INTEREST MARGIN TREND -- UNAUDITED BOK FINANCIAL CORPORATION
|
| | | | | | | | | | | | | | |
| | Three Months Ended |
| | December 31,
2012 | | September 30,
2012 | | June 30,
2012 | | March 31,
2012 | | December 31,
2011 |
| | | | | | | | | | |
| TAX-EQUIVALENT ASSETS YIELDS | | | | | | | | | |
| Funds sold and resell agreements | 0.06 | % | | 0.07 | % | | 0.08 | % | | 0.07 | % | | 0.10 | % |
| Trading securities | 1.06 | % | | 2.12 | % | | 1.53 | % | | 1.88 | % | | 2.79 | % |
| Investment securities: | | | | | | | | | |
Taxable1 | 5.86 | % | | 5.83 | % | | 5.93 | % | | 5.89 | % | | 5.91 | % |
Tax-exempt1 | 2.93 | % | | 4.12 | % | | 4.90 | % | | 4.87 | % | | 4.81 | % |
Total investment securities1 | 4.67 | % | | 5.33 | % | | 5.63 | % | | 5.59 | % | | 5.59 | % |
| Available for sale securities: | | | | | | | | | |
Taxable1 | 2.08 | % | | 2.36 | % | | 2.52 | % | | 2.48 | % | | 2.37 | % |
Tax-exempt1 | 3.80 | % | | 4.70 | % | | 4.69 | % | | 5.17 | % | | 5.14 | % |
Total available for sale securities1 | 2.10 | % | | 2.38 | % | | 2.54 | % | | 2.50 | % | | 2.39 | % |
| Fair value option securities | 1.58 | % | | 2.27 | % | | 2.62 | % | | 2.79 | % | | 2.98 | % |
| Residential mortgage loans held for sale | 3.39 | % | | 3.48 | % | | 3.75 | % | | 3.90 | % | | 4.01 | % |
| Loans | 4.33 | % | | 4.33 | % | | 4.58 | % | | 4.50 | % | | 4.65 | % |
| Less allowance for loan losses | — | % | | — | % | | — | % | | — | % | | — | % |
| Loans, net of allowance | 4.41 | % | | 4.42 | % | | 4.68 | % | | 4.61 | % | | 4.76 | % |
Total tax-equivalent yield on earning assets1 | 3.30 | % | | 3.47 | % | | 3.69 | % | | 3.64 | % | | 3.69 | % |
| | | | | | | | | | |
| COST OF INTEREST-BEARING LIABILITIES | | | | | | | | | |
| Interest-bearing deposits: | | | | | | | | | |
| Interest-bearing transaction | 0.15 | % | | 0.16 | % | | 0.16 | % | | 0.17 | % | | 0.18 | % |
| Savings | 0.18 | % | | 0.19 | % | | 0.23 | % | | 0.24 | % | | 0.26 | % |
| Time | 1.80 | % | | 1.61 | % | | 1.63 | % | | 1.68 | % | | 1.70 | % |
| Total interest-bearing deposits | 0.54 | % | | 0.53 | % | | 0.54 | % | | 0.55 | % | | 0.59 | % |
| Funds purchased | 0.15 | % | | 0.15 | % | | 0.16 | % | | 0.09 | % | | 0.06 | % |
| Repurchase agreements | 0.09 | % | | 0.10 | % | | 0.10 | % | | 0.09 | % | | 0.13 | % |
| Other borrowings | 0.90 | % | | 3.03 | % | | 3.96 | % | | 5.58 | % | | 4.75 | % |
| Subordinated debt | 2.56 | % | | 2.79 | % | | 3.95 | % | | 5.62 | % | | 5.61 | % |
| Total cost of interest-bearing liabilities | 0.54 | % | | 0.52 | % | | 0.56 | % | | 0.63 | % | | 0.66 | % |
| Tax-equivalent net interest revenue spread | 2.76 | % | | 2.95 | % | | 3.13 | % | | 3.01 | % | | 3.03 | % |
| Effect of noninterest-bearing funding sources and other | 0.19 | % | | 0.17 | % | | 0.17 | % | | 0.18 | % | | 0.17 | % |
Tax-equivalent net interest margin1 | 2.95 | % | | 3.12 | % | | 3.30 | % | | 3.19 | % | | 3.20 | % |
| |
1 | Yield calculations exclude security trades that have been recorded on trade date with no corresponding interest income. |
CREDIT QUALITY INDICATORS BOK FINANCIAL CORPORATION (in thousands, except ratios) |
| | | | | | | | | | | | | | | | | | | |
| | Quarter Ended |
| | December 31,
2012 | | September 30,
2012 | | June 30,
2012 | | March 31,
2012 | | December 31,
2011 |
| Nonperforming assets: | | | | | | | | | |
| Nonaccruing loans: | | | | | | | | | |
| Commercial | $ | 24,467 |
| | $ | 21,762 |
| | $ | 34,529 |
| | $ | 61,750 |
| | $ | 68,811 |
|
| Commercial real estate | 60,626 |
| | 75,761 |
| | 80,214 |
| | 86,475 |
| | 99,193 |
|
| Residential mortgage | 46,608 |
| | 29,267 |
| | 22,727 |
| | 27,462 |
| | 29,767 |
|
| Consumer | 2,709 |
| | 5,109 |
| | 7,012 |
| | 7,672 |
| | 3,515 |
|
| Total nonaccruing loans | 134,410 |
| | 131,899 |
| | 144,482 |
| | 183,359 |
| | 201,286 |
|
Renegotiated loans1 | 38,515 |
| | 27,992 |
| | 28,415 |
| | 36,764 |
| | 32,893 |
|
| Real estate and other repossessed assets | 103,791 |
| | 104,128 |
| | 105,708 |
| | 115,790 |
| | 122,753 |
|
| Total nonperforming assets | $ | 276,716 |
| | $ | 264,019 |
| | $ | 278,605 |
| | $ | 335,913 |
| | $ | 356,932 |
|
| | | | | | | | | | |
Nonaccruing loans by principal market2: | | | | | | | | | |
| Bank of Oklahoma | $ | 56,424 |
| | $ | 41,599 |
| | $ | 49,931 |
| | $ | 64,097 |
| | $ | 65,261 |
|
| Bank of Texas | 31,623 |
| | 28,046 |
| | 24,553 |
| | 29,745 |
| | 28,083 |
|
| Bank of Albuquerque | 13,401 |
| | 13,233 |
| | 13,535 |
| | 15,029 |
| | 15,297 |
|
| Bank of Arkansas | 1,132 |
| | 5,958 |
| | 6,865 |
| | 18,066 |
| | 23,450 |
|
| Colorado State Bank & Trust | 14,364 |
| | 22,878 |
| | 28,239 |
| | 28,990 |
| | 33,522 |
|
| Bank of Arizona | 17,407 |
| | 20,145 |
| | 21,326 |
| | 27,397 |
| | 35,673 |
|
| Bank of Kansas City | 59 |
| | 40 |
| | 33 |
| | 35 |
| | — |
|
| Total nonaccruing loans | $ | 134,410 |
| | $ | 131,899 |
| | $ | 144,482 |
| | $ | 183,359 |
| | $ | 201,286 |
|
| | | | | | | | | | |
| Nonaccruing loans by loan portfolio sector: | | | | | | | | | |
| Commercial: | | | | | | | | | |
| Energy | $ | 2,460 |
| | $ | 3,063 |
| | $ | 3,087 |
| | $ | 336 |
| | $ | 336 |
|
| Manufacturing | 2,007 |
| | 2,283 |
| | 12,230 |
| | 23,402 |
| | 23,051 |
|
| Wholesale / retail | 3,077 |
| | 2,007 |
| | 4,175 |
| | 15,388 |
| | 21,180 |
|
| Integrated food services | 684 |
| | — |
| | — |
| | — |
| | — |
|
| Services | 12,090 |
| | 10,099 |
| | 10,123 |
| | 12,890 |
| | 16,968 |
|
| Healthcare | 3,166 |
| | 3,305 |
| | 3,310 |
| | 7,946 |
| | 5,486 |
|
| Other commercial and industrial | 983 |
| | 1,005 |
| | 1,604 |
| | 1,788 |
| | 1,790 |
|
| Total commercial | 24,467 |
| | 21,762 |
| | 34,529 |
| | 61,750 |
| | 68,811 |
|
| | | | | | | | | | |
| Commercial real estate: | | | | | | | | |
|
| Construction and land development | 26,131 |
| | 38,143 |
| | 46,050 |
| | 52,416 |
| | 61,874 |
|
| Retail | 8,117 |
| | 6,692 |
| | 7,908 |
| | 6,193 |
| | 6,863 |
|
| Office | 6,829 |
| | 9,833 |
| | 10,589 |
| | 10,733 |
| | 11,457 |
|
| Multifamily | 2,706 |
| | 3,145 |
| | 3,219 |
| | 3,414 |
| | 3,513 |
|
| Industrial | 3,968 |
| | 4,064 |
| | — |
| | — |
| | — |
|
| Other commercial real estate | 12,875 |
| | 13,884 |
| | 12,448 |
| | 13,719 |
| | 15,486 |
|
| Total commercial real estate | 60,626 |
| | 75,761 |
| | 80,214 |
| | 86,475 |
| | 99,193 |
|
CREDIT QUALITY INDICATORS BOK FINANCIAL CORPORATION (in thousands, except ratios) |
| | | | | | | | | | | | | | | | | | | |
| | Quarter Ended |
| | December 31,
2012 | | September 30,
2012 | | June 30,
2012 | | March 31,
2012 | | December 31,
2011 |
| | | | | | | | | | |
| Residential mortgage: | | | | | | | | |
|
| Permanent mortgage | 39,863 |
| | 23,717 |
| | 18,136 |
| | 22,822 |
| | 25,366 |
|
| Permanent mortgage guaranteed by U.S. government agencies | 489 |
| | — |
| | — |
| | — |
| | — |
|
| Home equity | 6,256 |
| | 5,550 |
| | 4,591 |
| | 4,640 |
| | 4,401 |
|
| Total residential mortgage | 46,608 |
| | 29,267 |
| | 22,727 |
| | 27,462 |
| | 29,767 |
|
| | | | | | | | | | |
| Consumer | 2,709 |
| | 5,109 |
| | 7,012 |
| | 7,672 |
| | 3,515 |
|
| Total nonaccruing loans | $ | 134,410 |
| | $ | 131,899 |
| | $ | 144,482 |
| | $ | 183,359 |
| | $ | 201,286 |
|
| | | | | | | | | | |
Performing loans 90 days past due3 | $ | 3,925 |
| | $ | 1,181 |
| | $ | 691 |
| | $ | 6,140 |
| | $ | 2,496 |
|
| | | | | | | | | | |
| Gross charge-offs | $ | 8,000 |
| | $ | 8,921 |
| | $ | 11,543 |
| | $ | 13,674 |
| | $ | 14,771 |
|
| Recoveries | 3,724 |
| | 3,204 |
| 4 | 6,702 |
| | 5,189 |
| | 5,311 |
|
| Net charge-offs | $ | 4,276 |
| | $ | 5,717 |
| | $ | 4,841 |
| | $ | 8,485 |
| | $ | 9,460 |
|
| | | | | | | | | | |
| Provision for (reduction of) allowances for credit losses | $ | (14,000 | ) | | $ | — |
| | $ | (8,000 | ) | | $ | — |
| | $ | (15,000 | ) |
| | | | | | | | | | |
| Allowance for loan losses to period end loans | 1.75 | % | | 1.98 | % | | 2.00 | % | | 2.11 | % | | 2.25 | % |
| Combined allowance for credit losses to period end loans | 1.77 | % | | 1.99 | % | | 2.09 | % | | 2.20 | % | | 2.33 | % |
| Nonperforming assets to period end loans and repossessed assets | 2.23 | % | | 2.21 | % | | 2.38 | % | | 2.87 | % | | 3.13 | % |
| Net charge-offs (annualized) to average loans | 0.14 | % | | 0.19 | % | 4 | 0.17 | % | | 0.30 | % | | 0.34 | % |
| Allowance for loan losses to nonaccruing loans | 160.34 | % | | 177.22 | % | | 160.34 | % | | 133.19 | % | | 125.93 | % |
| Combined allowance for credit losses to nonaccruing loans | 161.76 | % | | 178.70 | % | | 167.09 | % | | 138.67 | % | | 130.53 | % |
| | | | | | | | | | |
1 Includes residential mortgage loans guaranteed by agencies of the U.S. government. These loans have been modified to extend payment terms and/or reduce interest rates to current market. | $ | 38,515 |
| | $ | 24,590 |
| | $ | 24,760 |
| | $ | 32,770 |
| | $ | 28,974 |
|
| | | | | | | | | | |
2 Nonaccruing loans attributed to a principal market do not always represent the location of the borrower or the collateral. | | | | | | | | | |
| | | | | | | | | | |
3 Excludes residential mortgage loans guaranteed agencies of the U.S. government. | | | | | | | | | |
| | | | | | | | | | |
4 Includes $7.1 million of negative recovery related to a refund of a settlement agreement between BOK Financial and the City of Tulsa invalidated by the Oklahoma Supreme Court. Excluding this refund, BOK Financial had net charge-offs (recoveries) to average loans of (0.05%) on an annualized basis. | | | | | | | | | |
