Exhibit 99 (a)
NASD: BOKF
For Further Information Contact:
Joseph Crivelli Andrea Myers
Investor Relations Corporate Communications
(918) 595-3027 (918) 594-7794
BOK Financial Reports Quarterly Earnings of $76 Million
Board of Directors Approves 2 Cent Increase in Quarterly Dividend
Tenth Consecutive Year of Dividend Increases
TULSA, Okla. (Wednesday, October 29, 2014) - BOK Financial Corporation reported net income of $75.6 million or $1.09 per diluted share for the third quarter of 2014. Net income was $75.9 million or $1.10 per diluted share for the second quarter of 2014 and $75.7 million or $1.10 per diluted share for the third quarter of 2013.
President and Chief Executive Officer Steven G. Bradshaw stated, “Financial performance was solid in the third quarter. We delivered strong profitability while executing on several strategic objectives, including positioning our balance sheet for an expected rising interest rate environment in 2015 and investing in our information technology infrastructure.”
“Loan growth remained robust and revenue from fee generating businesses was up 9.2% compared to last year’s third quarter. Credit quality is strong, as we realized net recoveries for the fourth consecutive quarter, and our balance sheet continues to benefit from industry-leading capital strength and liquidity.”
“Going forward, we believe that our diversified business model, presence in growth markets, and ability to deploy capital in accretive acquisitions will continue to drive long-term shareholder value.”
Highlights of third quarter of 2014 included:
| |
| • | Net interest revenue totaled $166.8 million for the third quarter of 2014, largely unchanged compared to the second quarter of 2014. Net interest margin was 2.67% for the third quarter of 2014 and 2.75% for the second quarter of 2014. The net interest margin decrease resulted from increased deposits at the Federal Reserve Bank funded by Federal Home Loan Bank borrowings and continued pressure on loan pricing. |
| |
| • | Fees and commissions revenue totaled $158.5 million for the third quarter of 2014, compared to $164.1 million for the second quarter. Brokerage and trading revenue decreased $3.8 million and mortgage banking revenue decreased $2.5 million. |
| |
| • | Change in fair value of mortgage servicing rights, net of economic hedges, increased pre-tax net income in the third quarter of 2014 by $4.8 million and decreased pre-tax net income in the second quarter of 2014 by $1.5 million. |
| |
| • | Operating expense was $221.8 million for the third quarter, an increase of $7.1 million over the previous quarter. Personnel expense decreased $671 thousand. Non-personnel expense increased $7.8 million primarily due to increased risk management and compliance expenses. Repossessed asset costs were up due to asset impairment charges. |
| |
| • | No provision for credit losses was recorded in the third or second quarter of 2014. Net recoveries totaled $476 thousand in the third quarter of 2014 and $2.0 million in the previous quarter. |
| |
| • | The combined allowance for credit losses totaled $192 million or 1.41% of outstanding loans at September 30, 2014 compared to $192 million or 1.43% of outstanding loans at June 30, 2014. Nonperforming assets that are not guaranteed by U.S. government agencies totaled $144 million or 1.06% of outstanding loans and repossessed assets (excluding those guaranteed by U.S. government agencies) at September 30, 2014 and $145 million or 1.09% of outstanding loans and repossessed assets (excluding those guaranteed by U.S. government agencies) at June 30, 2014. |
| |
| • | Average loans increased by $254 million over the previous quarter due primarily to growth in commercial and commercial real estate loans. Average commercial loans were up $202 million and average commercial real estate loans increased $68 million. Period-end outstanding loan balances were $13.7 billion at September 30, 2014, a $257 million increase over June 30, 2014. Commercial loan balances increased $204 million and commercial real estate loans increased $69 million. |
| |
| • | Average deposits decreased $270 million compared to the previous quarter. A decrease in interest-bearing transaction accounts was partially offset by an increase in average demand deposit balances. Period-end deposits were $20.3 billion at September 30, 2014, a $283 million decrease from June 30, 2014. Period-end interest-bearing transaction deposit balances decreased, partially offset by an increase in demand deposit balances. |
| |
| • | The Company's Tier 1 common equity ratio, as defined by banking regulations, was 13.54% at September 30, 2014 and 13.46% at June 30, 2014. The Company and its subsidiary bank continue to exceed the regulatory definition of well capitalized. The Company's Tier 1 capital ratio was 13.71% at September 30, 2014 and 13.63% at June 30, 2014. Total capital ratio was 15.09% at September 30, 2014 and 15.38% at June 30, 2014. The Company's leverage ratio was 10.22% at September 30, 2014 and 10.26% at June 30, 2014. |
| |
| • | The Company paid a regular quarterly cash dividend of $28 million or $0.40 per common share during the third quarter of 2014. On October 28, 2014, the board of directors approved an increase in the quarterly cash dividend to $0.42 per common share payable on or about December 1, 2014 to shareholders of record as of November 14, 2014. |
Net Interest Revenue
Net interest revenue was $166.8 million for the third quarter of 2014, largely unchanged compared to the second quarter of 2014. Net interest margin was 2.67% for the third quarter of 2014, a decrease of 8 basis points compared to the second quarter of 2014.
The yield on average earning assets was 2.93%, a decrease of 9 basis points compared to the prior quarter. The loan portfolio yield decreased 7 basis points from the previous quarter to 3.78%, from continued market pricing pressure. The yield on the available for sale securities portfolio decreased 1 basis point to 1.95%. Excess cash flows continue to be reinvested in short-duration securities that yield around 2%. Funding costs were down 1 basis point compared to the prior quarter to 0.41%.
Average earning assets increased $688 million during the third quarter of 2014, primarily related to a $583 million increase in interest-bearing cash and cash equivalents. A $274 million decrease in the available for sale securities portfolio was partially offset by growth in average loan balances of $254 million. The average balance of residential mortgage loans held for sale and restricted equity securities also increased over the prior quarter. Average deposits decreased $270 million compared to the second quarter of 2014. The average balance of borrowed funds increased $897 million primarily due to increased borrowings from the Federal Home Loan Bank.
"We remain on track with our plans to better position the balance sheet for a rising rate environment. Year-to-date, the amortized cost of our securities portfolio decreased by $921 million, while total loans have increased by $891 million. Our goal is to allow normal monthly run-off to decrease the securities portfolio by roughly an additional $300 million by the end of 2014, replacing those securities with high-quality loans to commercial borrowers," Steven Nell, Chief Financial Officer noted. "At the end of August, we increased our borrowings from the Federal Home Loan Bank by approximately $1.5 billion, earning a small spread by depositing the proceeds with the Federal Reserve. While the income impact was not very large, the risk/return trade-off was quite compelling. On a full-quarter basis, pre-tax net income will increase by approximately $800 thousand, net interest margin will decrease by 15 basis points. The Tier 1 leverage ratio will also decline by approximately 50 basis points."
Fees and Commissions Revenue
Fees and commissions revenue totaled $158.5 million for the third quarter of 2014, a decrease of $5.5 million compared to the second quarter of 2014, primarily due to a decrease in brokerage and trading and mortgage banking revenues. All other revenue sources were largely unchanged compared to the previous quarter.
Brokerage and trading revenue totaled $35.3 million, a decrease of $3.8 million compared to the prior quarter. The second quarter included $1.6 million of recoveries received from the Lehman Brothers and MF Global bankruptcies. Excluding these recoveries, customer hedging revenue increased by $2.6 million. Securities trading revenue decreased $2.9 million and retail brokerage fees were $1.9 million lower than the prior quarter, both largely due to lower interest rate volatility. Investment banking continued to perform well, largely unchanged compared to the second quarter.
Mortgage banking revenue totaled $26.8 million for the third quarter of 2014, a decrease of $2.5 million compared to the second quarter of 2014. Revenue from mortgage loan production decreased $3.0 million. Net realized gains from loans funded and sold into the secondary market increased $4.4 million over the second quarter, primarily driven by a $354 million increase in loans sold. Average gains on sale margin decreased 3 basis points compared to the second quarter, primarily due to increased activity in our correspondent origination channel. The valuation on loan commitments and loans that have closed but have not yet been sold, net of forward sales contracts at the end of the third quarter was $7.4 million less than at the end of the second quarter of 2014. Revenue from mortgage loan servicing grew by $518 thousand due to an increase in the volume of loans serviced.
Operating Expense
Total operating expense was $221.8 million for the third quarter of 2014, an increase of $7.1 million over the second quarter of 2014.
Personnel costs decreased by $671 thousand compared to the second quarter of 2014. Regular compensation expense increased $1.6 million, offset by a $2.4 million seasonal decrease in payroll taxes. Incentive compensation expense was unchanged compared to the prior quarter.
Non-personnel expense increased $7.8 million over the second quarter of 2014. Net losses and operating expenses of repossessed assets increased $3.8 million over the prior quarter, primarily due to the write-downs of two properties identified through regularly scheduled annual appraisal updates. Professional fees and services expense increased $3.7 million largely due to increased risk management and regulatory compliance costs.
"We continue to invest in our risk management capabilities," said Chief Risk Officer Don Parker. "Those investments included a one-time, independent assessment of certain capabilities which increased professional fees by $2.2 million in the third quarter."
Loans, Deposits and Capital
Loans
Outstanding loans were $13.7 billion at September 30, 2014, an increase of $257 million over the previous quarter. Commercial, commercial real estate and consumer balances all grew over the prior quarter, partially offset by a decrease in residential mortgage loan balances.
Outstanding commercial loan balances increased $204 million or 2% over June 30, 2014. Energy loans grew by $132 million and service sector loans grew by $111 million over the prior quarter. Manufacturing sector loans increased $27 million over the second quarter. Wholesale/retail sector loans decreased $45 million and healthcare sector loans decreased $12 million. Unfunded energy loan commitments increased by $28 million in the third quarter to $2.8 billion. All other unfunded commercial loan commitments totaled $3.8 billion at September 30, 2014, an increase of $85 million over June 30, 2014.
Commercial real estate loans grew by $69 million or 3% over June 30, 2014. Loans secured by multifamily residential properties were up $62 million. Loans secured by office buildings increased $45 million and loans secured by industrial facilities grew by $29 million. Loans secured by retail facilities decreased $31 million and other commercial real estate loan balances decreased $27 million. Residential construction and land development loan balances decreased $9.6 million from June 30, 2014. Unfunded commercial real estate loan commitments totaled $658 million at September 30, 2014, a $55 million increase over June 30, 2014.
Chief Operating Officer Daniel H. Ellinor added, “Loan growth remained solid in the third quarter. Total loan growth was 2% for the quarter or nearly 8% annualized. Total commercial loans and commercial real estate loans were both up 10% annualized.”
“Our energy portfolio delivered a second consecutive quarter of robust double-digit annualized loan
growth, with a full pipeline of new opportunities heading into the fourth quarter. We also saw strong
growth in the commercial services portfolio. Looking forward, we continue to believe our goal to deliver double-digit loan growth for the year is attainable.”
Deposits
Deposits totaled $20.3 billion at September 30, 2014, a decrease of $283 million compared to June 30, 2014. Interest-bearing transaction account balances decreased $454 million. Demand deposit balances grew by $130 million and time deposits were up $49 million over June 30. Among the lines of business, commercial deposits decreased $227 million and wealth management deposits decreased $54 million. Consumer deposits were up $72 million over June 30.
Capital
The Company and its subsidiary bank exceeded the regulatory definition of well capitalized at September 30, 2014. The Company's Tier 1 capital ratio was 13.71% at September 30, 2014 and 13.63% at June 30, 2014. The total capital ratio was 15.09% at September 30, 2014 and 15.38% at June 30, 2014. In addition, the Company's tangible common equity ratio, a non-GAAP measure, was 9.86% at September 30, 2014 and 10.20% at June 30, 2014. The decrease was primarily due to increased borrowing from the Federal Home Loan Bank deposited with the Federal Reserve to earn a small spread.
In July 2013, banking regulators issued final revised regulatory capital rules for substantially all U.S. banking organizations. The new capital rules, which will be effective for BOK Financial on January 1, 2015, establish a 7% threshold for the Tier 1 common equity ratio. The Company expects to exclude unrealized gains and losses from available for sale securities from its calculation of Tier 1 capital, consistent with the treatment under current capital rules. BOK Financial's Tier 1 common equity ratio based on the existing capital rule was 13.54% as of September 30, 2014. Based on our interpretation of the new capital rule, our estimated Tier 1 common equity ratio on a fully phased-in basis would be 12.60%, 560 basis points above the 7% regulatory threshold.
Credit Quality
Nonperforming assets totaled $265 million or 1.92% of outstanding loans and repossessed assets at September 30, 2014 compared to $255 million or 1.88% of outstanding loans and repossessed assets at June 30, 2014. Nonperforming assets that are not guaranteed by U.S. government agencies totaled $144 million or 1.06% of outstanding loans and repossessed assets (excluding those guaranteed by U.S. government agencies) at September 30, 2014 and $145 million or 1.09% at June 30, 2014, a decrease of $1.3 million.
Nonaccruing loans totaled $97 million or 0.71% of outstanding loans at September 30, 2014 compared to $97 million or 0.72% of outstanding loans at June 30, 2014. New nonaccruing loans identified in the third quarter totaled $19 million, offset by $8.6 million in payments received, $7.4 million in foreclosures and repossessions and $2.6 million in charge-offs. At September 30, 2014, nonaccruing commercial loans totaled $16 million or 0.19% of outstanding commercial loans, nonaccruing commercial real estate loans totaled $31 million or 1.13% of outstanding commercial real estate loans and nonaccruing residential mortgage loans totaled $49 million or 2.47% of outstanding residential mortgage loans.
BOK Financial had net recoveries of $476 thousand for the third quarter of 2014 and $2.0 million for the second quarter of 2014. Gross charge-offs totaled $2.6 million for the third quarter, compared to $3.5 million for the previous quarter. Recoveries totaled $3.1 million for the third quarter of 2014 and $5.5 million for the second quarter of 2014.
After evaluating all credit factors, the Company determined that no provision for credit losses was necessary during the third quarter of 2014. The combined allowance for credit losses totaled $192 million or 1.41% of outstanding loans and 199% of nonaccruing loans at September 30, 2014. The allowance for loan losses was $191 million and the accrual for off-balance sheet credit losses was $1.2 million.
Real estate and other repossessed assets totaled $98 million at September 30, 2014, primarily consisting of $66 million of 1-4 family residential properties (including $47 million guaranteed by U.S. government agencies), $17 million of developed commercial real estate properties, $9.2 million of undeveloped land and $5.3 million of residential land and land development properties.
Securities and Derivatives
The fair value of the available for sale securities portfolio totaled $9.3 billion at September 30, 2014 and $9.7 billion at June 30, 2014. At September 30, 2014, the available for sale portfolio consisted primarily of $6.9 billion of residential mortgage-backed securities fully backed by U.S. government agencies and $2.1 billion of commercial mortgage-backed securities fully backed by U.S. government agencies.
At September 30, 2014 the available for sale securities portfolio had a net unrealized gain of $43 million compared to a net unrealized gain of $85 million at June 30, 2014. Net unrealized gains on residential mortgage-backed securities issued by U.S. government agencies at September 30, 2014 decreased $28 million during the third quarter to $57 million primarily due to changes in interest rates during the quarter. Commercial mortgage-backed securities had a net unrealized loss of $27 million at September 30, 2014, compared to a net unrealized loss of $14 million at June 30, 2014.
In the third quarter of 2014, the Company recognized $146 thousand of net gains from sales of $553 million of available for sale securities. Securities were sold either because they had reached their expected maximum potential return or to move into securities that will perform better in a rising rate environment.
The Company recognized minimal net gains from sales of $800 million of available for sale securities in the second quarter of 2014.
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 fluctuations in residential mortgage interest rates and other factors, the fair value of mortgage servicing rights increased by $5.3 million during the third quarter and decreased $6.4 million during the second quarter. The value of securities and interest rate derivative contracts held as an economic hedge decreased by $434 thousand during the third quarter and increased $4.9 million during the second quarter.
Conference Call and Webcast
The Company will hold a conference call at 9:00 a.m. central time on Wednesday, October 29, 2014 to discuss the financial results with investors. The live audio webcast and presentation slides will be available on the company’s website at www.bokf.com. The conference call can also be accessed by dialing 1-412-902-6611. A conference call and webcast replay will also be available shortly after conclusion of the live call at www.bokf.com or by dialing 1-412-317-0088 and referencing conference ID # 10054546.
About BOK Financial Corporation
BOK Financial Corporation is a $29 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. and The Milestone Group, Inc. BOKF, NA operates TransFund, Cavanal Hill Investment Management, MBM Advisors 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 appropriateness of the allowance for credit losses and asset impairment as of September 30, 2014 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) |
| | | | | | | | | | | | |
| | | September 30,
2014 | | June 30,
2014 | | September 30,
2013 |
| ASSETS | | | | | | |
| Cash and due from banks | | $ | 557,658 |
| | $ | 615,479 |
| | $ | 625,671 |
|
| Interest-bearing cash and cash equivalents | | 2,007,901 |
| | 732,395 |
| | 535,313 |
|
| Trading securities | | 169,712 |
| | 101,097 |
| | 150,887 |
|
| Investment securities | | 655,091 |
| | 649,937 |
| | 644,225 |
|
| Available for sale securities | | 9,306,886 |
| | 9,699,146 |
| | 10,372,903 |
|
| Fair value option securities | | 175,761 |
| | 185,674 |
| | 167,860 |
|
| Restricted equity securities | | 189,587 |
| | 91,213 |
| | 125,540 |
|
| Residential mortgage loans held for sale | | 373,253 |
| | 325,875 |
| | 230,511 |
|
| Loans: | | | | | | |
| Commercial | | 8,572,038 |
| | 8,367,661 |
| | 7,571,075 |
|
| Commercial real estate | | 2,724,199 |
| | 2,654,978 |
| | 2,349,229 |
|
| Residential mortgage | | 1,979,663 |
| | 2,008,215 |
| | 2,034,765 |
|
| Consumer | | 407,839 |
| | 396,004 |
| | 395,031 |
|
| Total loans | | 13,683,739 |
| | 13,426,858 |
| | 12,350,100 |
|
| Allowance for loan losses | | (191,244 | ) | | (190,690 | ) | | (194,325 | ) |
| Loans, net of allowance | | 13,492,495 |
| | 13,236,168 |
| | 12,155,775 |
|
| Premises and equipment, net | | 275,718 |
| | 280,286 |
| | 275,347 |
|
| Receivables | | 114,374 |
| | 115,991 |
| | 108,435 |
|
| Goodwill | | 377,780 |
| | 377,780 |
| | 359,759 |
|
| Intangible assets, net | | 35,476 |
| | 36,576 |
| | 25,407 |
|
| Mortgage servicing rights | | 173,286 |
| | 155,740 |
| | 140,863 |
|
| Real estate and other repossessed assets, net | | 97,871 |
| | 100,111 |
| | 108,122 |
|
| Derivative contracts, net | | 360,809 |
| | 357,680 |
| | 377,325 |
|
| Cash surrender value of bank-owned life insurance | | 291,583 |
| | 289,231 |
| | 282,490 |
|
| Receivable on unsettled securities sales | | 94,881 |
| | 14,025 |
| | 93,020 |
|
| Other assets | | 354,898 |
| | 479,366 |
| | 386,914 |
|
| TOTAL ASSETS | | $ | 29,105,020 |
| | $ | 27,843,770 |
| | $ | 27,166,367 |
|
| | | | | | | |
| LIABILITIES AND EQUITY | | | | | | |
| Deposits: | | | | | | |
| Demand | | $ | 8,038,129 |
| | $ | 7,908,005 |
| | $ | 7,331,976 |
|
| Interest-bearing transaction | | 9,244,709 |
| | 9,698,404 |
| | 9,119,810 |
|
| Savings | | 341,638 |
| | 349,629 |
| | 319,849 |
|
| Time | | 2,664,580 |
| | 2,615,826 |
| | 2,720,020 |
|
| Total deposits | | 20,289,056 |
| | 20,571,864 |
| | 19,491,655 |
|
| Funds purchased | | 85,135 |
| | 705,573 |
| | 992,345 |
|
| Repurchase agreements | | 1,026,009 |
| | 1,072,375 |
| | 782,418 |
|
| Other borrowings | | 3,484,487 |
| | 1,231,662 |
| | 1,837,181 |
|
| Subordinated debentures | | 347,936 |
| | 347,890 |
| | 347,758 |
|
| Accrued interest, taxes, and expense | | 100,664 |
| | 100,227 |
| | 182,076 |
|
| Due on unsettled securities purchases | | 8,126 |
| | 124,537 |
| | 114,259 |
|
| Derivative contracts, net | | 348,687 |
| | 297,851 |
| | 232,544 |
|
| Other liabilities | | 137,608 |
| | 144,145 |
| | 159,157 |
|
| TOTAL LIABILITIES | | 25,827,708 |
| | 24,596,124 |
| | 24,139,393 |
|
| Shareholders' equity: | | | | | | |
| Capital, surplus and retained earnings | | 3,219,798 |
| | 3,163,101 |
| | 2,993,870 |
|
| Accumulated other comprehensive income (loss) | | 23,295 |
| | 49,416 |
| | (2,626 | ) |
| TOTAL SHAREHOLDERS' EQUITY | | 3,243,093 |
| | 3,212,517 |
| | 2,991,244 |
|
| Non-controlling interests | | 34,219 |
| | 35,129 |
| | 35,730 |
|
| TOTAL EQUITY | | 3,277,312 |
| | 3,247,646 |
| | 3,026,974 |
|
| TOTAL LIABILITIES AND EQUITY | | $ | 29,105,020 |
| | $ | 27,843,770 |
| | $ | 27,166,367 |
|
AVERAGE BALANCE SHEETS -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands) |
| | | | | | | | | | | | | | | | | | | |
| | Three Months Ended |
| | September 30,
2014 | | June 30,
2014 | | March 31,
2014 | | December 31,
2013 | | September 30,
2013 |
| ASSETS | | | | | | | | | |
| Interest-bearing cash and cash equivalents | $ | 1,217,942 |
| | $ | 635,140 |
| | $ | 549,473 |
| | $ | 559,918 |
| | $ | 654,591 |
|
| Trading securities | 107,909 |
| | 116,186 |
| | 92,409 |
| | 127,011 |
| | 124,689 |
|
| Investment securities | 641,375 |
| | 658,793 |
| | 671,756 |
| | 672,722 |
| | 621,104 |
|
| Available for sale securities | 9,526,727 |
| | 9,800,934 |
| | 10,076,942 |
| | 10,434,810 |
| | 10,558,677 |
|
| Fair value option securities | 180,268 |
| | 164,684 |
| | 165,515 |
| | 167,490 |
| | 169,299 |
|
| Restricted equity securities | 142,418 |
| | 97,016 |
| | 85,234 |
| | 123,009 |
| | 155,938 |
|
| Residential mortgage loans held for sale | 310,924 |
| | 219,308 |
| | 185,196 |
| | 217,811 |
| | 225,789 |
|
| Loans: | | | | | | | | | |
| Commercial | 8,468,575 |
| | 8,266,455 |
| | 7,971,712 |
| | 7,737,883 |
| | 7,602,950 |
|
| Commercial real estate | 2,691,318 |
| | 2,622,866 |
| | 2,605,264 |
| | 2,352,915 |
| | 2,359,120 |
|
| Residential mortgage | 1,955,769 |
| | 1,983,926 |
| | 1,998,620 |
| | 1,998,980 |
| | 2,043,332 |
|
| Consumer | 402,916 |
| | 391,214 |
| | 372,330 |
| | 371,798 |
| | 396,694 |
|
| Total loans | 13,518,578 |
| | 13,264,461 |
| | 12,947,926 |
| | 12,461,576 |
| | 12,402,096 |
|
| Allowance for loan losses | (191,141 | ) | | (189,329 | ) | | (186,979 | ) | | (193,309 | ) | | (201,616 | ) |
| Total loans, net | 13,327,437 |
| | 13,075,132 |
| | 12,760,947 |
| | 12,268,267 |
| | 12,200,480 |
|
| Total earning assets | 25,455,000 |
| | 24,767,193 |
| | 24,587,472 |
| | 24,571,038 |
| | 24,710,567 |
|
| Cash and due from banks | 493,200 |
| | 481,944 |
| | 473,758 |
| | 324,349 |
| | 386,331 |
|
| Derivative contracts, net | 288,682 |
| | 291,325 |
| | 287,363 |
| | 314,530 |
| | 377,664 |
|
| Cash surrender value of bank-owned life insurance | 290,044 |
| | 287,725 |
| | 285,592 |
| | 283,289 |
| | 280,909 |
|
| Receivable on unsettled securities sales | 63,277 |
| | 108,825 |
| | 114,708 |
| | 83,016 |
| | 90,014 |
|
| Other assets | 1,525,354 |
| | 1,549,809 |
| | 1,489,875 |
| | 1,526,566 |
| | 1,409,247 |
|
| TOTAL ASSETS | $ | 28,115,557 |
| | $ | 27,486,821 |
| | $ | 27,238,768 |
| | $ | 27,102,788 |
| | $ | 27,254,732 |
|
| | | | | | | | | | |
| LIABILITIES AND EQUITY | | | | | | | | | |
| Deposits: | | | | | | | | | |
| Demand | $ | 7,800,350 |
| | $ | 7,654,225 |
| | $ | 7,312,076 |
| | $ | 7,356,063 |
| | $ | 7,110,079 |
|
| Interest-bearing transaction | 9,473,575 |
| | 9,850,991 |
| | 9,900,823 |
| | 9,486,136 |
| | 9,276,136 |
|
| Savings | 342,488 |
| | 355,459 |
| | 336,576 |
| | 323,123 |
| | 317,912 |
|
| Time | 2,610,561 |
| | 2,636,444 |
| | 2,686,041 |
| | 2,710,019 |
| | 2,742,970 |
|
| Total deposits | 20,226,974 |
| | 20,497,119 |
| | 20,235,516 |
| | 19,875,341 |
| | 19,447,097 |
|
| Funds purchased | 320,817 |
| | 574,926 |
| | 1,021,755 |
| | 748,074 |
| | 776,356 |
|
| Repurchase agreements | 1,027,206 |
| | 914,892 |
| | 773,127 |
| | 752,286 |
| | 799,175 |
|
| Other borrowings | 2,333,961 |
| | 1,294,932 |
| | 1,038,747 |
| | 1,551,591 |
| | 2,175,747 |
|
| Subordinated debentures | 347,914 |
| | 347,868 |
| | 347,824 |
| | 347,781 |
| | 347,737 |
|
| Derivative contracts, net | 270,998 |
| | 243,619 |
| | 258,729 |
| | 294,315 |
| | 330,819 |
|
| Due on unsettled securities purchases | 124,952 |
| | 166,521 |
| | 116,295 |
| | 152,078 |
| | 111,998 |
|
| Other liabilities | 214,306 |
| | 270,220 |
| | 341,701 |
| | 327,519 |
| | 300,880 |
|
| TOTAL LIABILITIES | 24,867,128 |
| | 24,310,097 |
| | 24,133,694 |
| | 24,048,985 |
| | 24,289,809 |
|
| Total equity | 3,248,429 |
| | 3,176,724 |
| | 3,105,074 |
| | 3,053,803 |
| | 2,964,923 |
|
| TOTAL LIABILITIES AND EQUITY | $ | 28,115,557 |
| | $ | 27,486,821 |
| | $ | 27,238,768 |
| | $ | 27,102,788 |
| | $ | 27,254,732 |
|
STATEMENTS OF EARNINGS -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands, except per share data) |
| | | | | | | | | | | | | | | |
| | Three Months Ended | | Nine Months Ended |
| | September 30, | | September 30, |
| | 2014 | | 2013 | | 2014 | | 2013 |
| | | | | | | | |
| Interest revenue | $ | 183,868 |
| | $ | 185,428 |
| | $ | 545,619 |
| | $ | 562,251 |
|
| Interest expense | 17,077 |
| | 17,539 |
| | 50,089 |
| | 54,018 |
|
| Net interest revenue | 166,791 |
| | 167,889 |
| | 495,530 |
| | 508,233 |
|
| Provision for credit losses | — |
| | (8,500 | ) | | — |
| | (16,500 | ) |
| Net interest revenue after provision for credit losses | 166,791 |
| | 176,389 |
| | 495,530 |
| | 524,733 |
|
| Other operating revenue: | | | | | | | |
| Brokerage and trading revenue | 35,263 |
| | 32,338 |
| | 103,835 |
| | 96,963 |
|
| Transaction card revenue | 31,578 |
| | 30,055 |
| | 92,222 |
| | 87,689 |
|
| Fiduciary and asset management revenue | 29,738 |
| | 23,892 |
| | 85,003 |
| | 71,008 |
|
| Deposit service charges and fees | 22,508 |
| | 24,742 |
| | 68,330 |
| | 71,670 |
|
| Mortgage banking revenue | 26,814 |
| | 23,486 |
| | 78,988 |
| | 100,058 |
|
| Bank-owned life insurance | 2,326 |
| | 2,408 |
| | 6,706 |
| | 7,870 |
|
| Other revenue | 10,320 |
| | 8,314 |
| | 28,380 |
| | 26,214 |
|
| Total fees and commissions | 158,547 |
| | 145,235 |
| | 463,464 |
| | 461,472 |
|
| Loss on other assets, net | (501 | ) | | (377 | ) | | (4,817 | ) | | (1,576 | ) |
| Gain (loss) on derivatives, net | (93 | ) | | 31 |
| | 1,706 |
| | (3,437 | ) |
| Gain (loss) on fair value option securities, net | (332 | ) | | (80 | ) | | 6,504 |
| | (12,407 | ) |
| Change in fair value of mortgage servicing rights | 5,281 |
| | (346 | ) | | (5,624 | ) | | 16,627 |
|
| Gain on available for sale securities, net | 146 |
| | 478 |
| | 1,390 |
| | 9,086 |
|
| Total other-than-temporary impairment losses | — |
| | (1,436 | ) | | — |
| | (2,574 | ) |
| Portion of loss recognized in (reclassified from) other comprehensive income | — |
| | (73 | ) | | — |
| | 266 |
|
| Net impairment losses recognized in earnings | — |
| | (1,509 | ) | | — |
| | (2,308 | ) |
| Total other operating revenue | 163,048 |
| | 143,432 |
| | 462,623 |
| | 467,457 |
|
| Other operating expense: | | | | | | | |
| Personnel | 123,043 |
| | 125,799 |
| | 351,190 |
| | 379,563 |
|
| Business promotion | 6,160 |
| | 5,355 |
| | 19,151 |
| | 16,578 |
|
| Charitable contributions to BOKF Foundation | — |
| | 2,062 |
| | 2,420 |
| | 2,062 |
|
| Professional fees and services | 14,763 |
| | 7,183 |
| | 33,382 |
| | 22,549 |
|
| Net occupancy and equipment | 18,892 |
| | 17,280 |
| | 54,577 |
| | 50,670 |
|
| Insurance | 4,793 |
| | 3,939 |
| | 13,801 |
| | 11,728 |
|
| Data processing and communications | 29,971 |
| | 25,695 |
| | 86,177 |
| | 77,879 |
|
| Printing, postage and supplies | 3,380 |
| | 3,505 |
| | 10,350 |
| | 10,759 |
|
| Net losses and operating expenses of repossessed assets | 4,966 |
| | 2,014 |
| | 7,516 |
| | 3,542 |
|
| Amortization of intangible assets | 1,100 |
| | 835 |
| | 2,865 |
| | 2,586 |
|
| Mortgage banking costs | 7,734 |
| | 8,753 |
| | 19,328 |
| | 24,017 |
|
| Other expense | 7,032 |
| | 7,878 |
| | 20,888 |
| | 23,268 |
|
| Total other operating expense | 221,834 |
| | 210,298 |
| | 621,645 |
| | 625,201 |
|
| | | | | | | | |
| Net income before taxes | 108,005 |
| | 109,523 |
| | 336,508 |
| | 366,989 |
|
| Federal and state income taxes | 31,879 |
| | 33,461 |
| | 106,610 |
| | 121,980 |
|
| | | | | | | | |
| Net income | 76,126 |
| | 76,062 |
| | 229,898 |
| | 245,009 |
|
| Net income attributable to non-controlling interests | 494 |
| | 324 |
| | 1,781 |
| | 1,376 |
|
| Net income attributable to BOK Financial Corporation shareholders | $ | 75,632 |
| | $ | 75,738 |
| | $ | 228,117 |
| | $ | 243,633 |
|
| | | | | | | | |
| Average shares outstanding: | | | | | | | |
| Basic | 68,455,866 |
| | 68,049,179 |
| | 68,364,549 |
| | 67,953,253 |
|
| Diluted | 68,609,765 |
| | 68,272,861 |
| | 68,520,591 |
| | 68,175,915 |
|
| | | | | | | | |
| Net income per share: | | | | | | | |
| Basic | $ | 1.09 |
| | $ | 1.10 |
| | $ | 3.30 |
| | $ | 3.55 |
|
| Diluted | $ | 1.09 |
| | $ | 1.10 |
| | $ | 3.29 |
| | $ | 3.54 |
|
FINANCIAL HIGHLIGHTS -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands, except ratio and share data) |
| | | | | | | | | | | | | | | | | | | |
| | Three Months Ended |
| | September 30,
2014 | | June 30,
2014 | | March 31,
2014 | | December 31,
2013 | | September 30,
2013 |
| Capital: | | | | | | | | | |
| Period-end shareholders' equity | $ | 3,243,093 |
| | $ | 3,212,517 |
| | $ | 3,109,925 |
| | $ | 3,020,049 |
| | $ | 2,991,244 |
|
| Risk weighted assets | $ | 20,507,015 |
| | $ | 20,216,268 |
| | $ | 19,720,418 |
| | $ | 19,389,381 |
| | $ | 19,366,620 |
|
| Risk-based capital ratios: | | | | | | | | | |
| Tier 1 | 13.71 | % | | 13.63 | % | | 13.77 | % | | 13.77 | % | | 13.51 | % |
| Total capital | 15.09 | % | | 15.38 | % | | 15.55 | % | | 15.56 | % | | 15.35 | % |
| Leverage ratio | 10.22 | % | | 10.26 | % | | 10.17 | % | | 10.05 | % | | 9.80 | % |
Tangible common equity ratio1 | 9.86 | % | | 10.20 | % | | 10.06 | % | | 9.90 | % | | 9.73 | % |
| Tier 1 common equity ratio | 13.54 | % | | 13.46 | % | | 13.59 | % | | 13.59 | % | | 13.33 | % |
| | | | | | | | | | |
| Common stock: | | | | | | | | | |
| Book value per share | $ | 46.77 |
| | $ | 46.39 |
| | $ | 45.00 |
| | $ | 43.88 |
| | $ | 43.49 |
|
| Market value per share: | | | | | | | | | |
| High | $ | 69.56 |
| | $ | 70.66 |
| | $ | 69.69 |
| | $ | 66.32 |
| | $ | 69.36 |
|
| Low | $ | 63.36 |
| | $ | 61.64 |
| | $ | 62.34 |
| | $ | 60.81 |
| | $ | 62.93 |
|
| Cash dividends paid | $ | 27,705 |
| | $ | 27,706 |
| | $ | 27,637 |
| | $ | 27,523 |
| | $ | 26,135 |
|
| Dividend payout ratio | 36.63 | % | | 36.51 | % | | 36.08 | % | | 37.72 | % | | 34.51 | % |
| Shares outstanding, net | 69,344,082 |
| | 69,256,958 |
| | 69,111,167 |
| | 68,829,450 |
| | 68,787,584 |
|
| | | | | | | | | | |
| Performance ratios (quarter annualized): |
| Return on average assets | 1.07 | % | | 1.11 | % | | 1.14 | % | | 1.07 | % | | 1.10 | % |
| Return on average equity | 9.24 | % | | 9.58 | % | | 10.00 | % | | 9.48 | % | | 10.13 | % |
| Net interest margin | 2.67 | % | | 2.75 | % | | 2.71 | % | | 2.74 | % | | 2.75 | % |
| Efficiency ratio | 66.79 | % | | 63.62 | % | | 59.69 | % | | 68.50 | % | | 66.03 | % |
| | | | | | | | | | |
| Reconciliation of non-GAAP measures: |
1 Tangible common equity ratio: | | | | | | | | | |
| Total shareholders' equity | $ | 3,243,093 |
| | $ | 3,212,517 |
| | $ | 3,109,925 |
| | $ | 3,020,049 |
| | $ | 2,991,244 |
|
| Less: Goodwill and intangible assets, net | (413,256 | ) | | (414,356 | ) | | (396,131 | ) | | (384,323 | ) | | (385,166 | ) |
| Tangible common equity | $ | 2,829,837 |
| | $ | 2,798,161 |
| | $ | 2,713,794 |
| | $ | 2,635,726 |
| | $ | 2,606,078 |
|
| | | | | | | | | | |
| Total assets | $ | 29,105,020 |
| | $ | 27,843,770 |
| | $ | 27,364,714 |
| | $ | 27,015,432 |
| | $ | 27,166,367 |
|
| Less: Goodwill and intangible assets, net | (413,256 | ) | | (414,356 | ) | | (396,131 | ) | | (384,323 | ) | | (385,166 | ) |
| Tangible assets | $ | 28,691,764 |
| | $ | 27,429,414 |
| | $ | 26,968,583 |
| | $ | 26,631,109 |
| | $ | 26,781,201 |
|
| | | | | | | | | | |
| Tangible common equity ratio | 9.86 | % | | 10.20 | % | | 10.06 | % | | 9.90 | % | | 9.73 | % |
| | | | | | | | | | |
| Estimated Tier 1 common equity ratio under fully phased-in Basel III: |
| Tier 1 common equity under existing Basel I | $ | 2,777,436 |
| | | | | | | | |
| Estimated adjustments | (33,000 | ) | | | | | | | | |
| Estimated Tier 1 common equity under fully phased-in Basel III | $ | 2,744,436 |
| | | | | | | | |
| | | | | | | | | | |
| Risk weighted assets | $ | 20,507,015 |
| | | | | | | | |
| Estimated adjustments | 1,275,000 |
| | | | | | | | |
| Estimated risk weighted assets under fully phased-in Basel III | $ | 21,782,015 |
| | | | | | | | |
| | | | | | | | | | |
| Estimated Tier 1 common equity under fully phased-in Basel III | 12.60 | % | | | | | | | | |
| | | | | | | | | | |
FINANCIAL HIGHLIGHTS -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands, except ratio and share data) |
| | | | | | | | | | | | | | | | | | | |
| | Three Months Ended |
| | September 30,
2014 | | June 30,
2014 | | March 31,
2014 | | December 31,
2013 | | September 30,
2013 |
| Other data: | | | | | | | | | |
| Fiduciary assets | $ | 34,020,442 |
| | $ | 32,716,648 |
| | $ | 31,296,565 |
| | $ | 30,137,092 |
| | $ | 29,593,140 |
|
| Tax equivalent adjustment | $ | 2,739 |
| | $ | 2,803 |
| | $ | 2,551 |
| | $ | 2,467 |
| | $ | 2,565 |
|
| Net unrealized gain (loss) on available for sale securities | $ | 42,935 |
| | $ | 85,480 |
| | $ | 15,446 |
| | $ | (37,929 | ) | | $ | 7,425 |
|
| | | | | | | | | | |
| Mortgage banking: | | | | | | | | | |
| Mortgage servicing portfolio | $ | 15,499,653 |
| | $ | 14,626,291 |
| | $ | 14,045,642 |
| | $ | 13,718,942 |
| | $ | 13,298,479 |
|
| Mortgage commitments | $ | 537,975 |
| | $ | 546,864 |
| | $ | 387,755 |
| | $ | 258,873 |
| | $ | 351,196 |
|
| Mortgage loans funded for sale | $ | 1,394,211 |
| | $ | 1,090,629 |
| | $ | 727,516 |
| | $ | 848,870 |
| | $ | 1,080,167 |
|
| Mortgage loan refinances to total fundings | 26 | % | | 25 | % | | 32 | % | | 29 | % | | 30 | % |
| | | | | | | | | | |
| Net realized gains on mortgage loans sold | $ | 17,100 |
| | $ | 12,746 |
| | $ | 9,179 |
| | $ | 12,162 |
| | $ | 19,440 |
|
| Change in net unrealized gains on mortgage loans held for sale | (3,110 | ) | | 5,052 |
| | 2,797 |
| | (6,808 | ) | | 11,618 |
|
| Change in fair value of mortgage loan commitments | (5,136 | ) | | 7,581 |
| | 3,379 |
| | (8,292 | ) | | 12,657 |
|
| Change in fair value of forward sales contracts | 5,839 |
| | (7,652 | ) | | (3,903 | ) | | 13,669 |
| | (31,167 | ) |
| Total production revenue | 14,693 |
| | 17,727 |
| | 11,452 |
| | 10,731 |
| | 12,548 |
|
| Servicing revenue | 12,121 |
| | 11,603 |
| | 11,392 |
| | 11,145 |
| | 10,938 |
|
| Total mortgage banking revenue | $ | 26,814 |
| | $ | 29,330 |
| | $ | 22,844 |
| | $ | 21,876 |
| | $ | 23,486 |
|
| | | | | | | | | | |
| Gain (loss) on mortgage servicing rights, net of economic hedge: |
| Gain (loss) on mortgage hedge derivative contracts, net | $ | (93 | ) | | $ | 831 |
| | $ | 968 |
| | $ | (931 | ) | | $ | 31 |
|
| Gain (loss) on fair value option securities, net | (341 | ) | | 4,074 |
| | 2,585 |
| | (3,013 | ) | | (89 | ) |
| Gain (loss) on economic hedge of mortgage servicing rights | (434 | ) | | 4,905 |
| | 3,553 |
| | (3,944 | ) | | (58 | ) |
| Gain (loss) on changes in fair value of mortgage servicing rights | 5,281 |
| | (6,444 | ) | | (4,461 | ) | | 6,093 |
| | (346 | ) |
| Gain (loss) on changes in fair value of mortgage servicing rights, net of economic hedges | $ | 4,847 |
| | $ | (1,539 | ) | | $ | (908 | ) | | $ | 2,149 |
| | $ | (404 | ) |
| | | | | | | | | | |
| Net interest revenue on fair value option securities | $ | 830 |
| | $ | 721 |
| | $ | 790 |
| | $ | 811 |
| | $ | 741 |
|
QUARTERLY EARNINGS TREND -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands, except ratio and per share data) |
| | | | | | | | | | | | | | | | | | | |
| | Three Months Ended |
| | September 30,
2014 | | June 30,
2014 | | March 31,
2014 | | December 31,
2013 | | September 30,
2013 |
| | | | | | | | | | |
| Interest revenue | $ | 183,868 |
| | $ | 182,631 |
| | $ | 179,120 |
| | $ | 183,120 |
| | $ | 185,428 |
|
| Interest expense | 17,077 |
| | 16,534 |
| | 16,478 |
| | 16,876 |
| | 17,539 |
|
| Net interest revenue | 166,791 |
| | 166,097 |
| | 162,642 |
| | 166,244 |
| | 167,889 |
|
| Provision for credit losses | — |
| | — |
| | — |
| | (11,400 | ) | | (8,500 | ) |
| Net interest revenue after provision for credit losses | 166,791 |
| | 166,097 |
| | 162,642 |
| | 177,644 |
| | 176,389 |
|
| Other operating revenue: | | | | | | | | | |
| Brokerage and trading revenue | 35,263 |
| | 39,056 |
| | 29,516 |
| | 28,515 |
| | 32,338 |
|
| Transaction card revenue | 31,578 |
| | 31,510 |
| | 29,134 |
| | 29,134 |
| | 30,055 |
|
| Fiduciary and asset management revenue | 29,738 |
| | 29,543 |
| | 25,722 |
| | 25,074 |
| | 23,892 |
|
| Deposit service charges and fees | 22,508 |
| | 23,133 |
| | 22,689 |
| | 23,440 |
| | 24,742 |
|
| Mortgage banking revenue | 26,814 |
| | 29,330 |
| | 22,844 |
| | 21,876 |
| | 23,486 |
|
| Bank-owned life insurance | 2,326 |
| | 2,274 |
| | 2,106 |
| | 2,285 |
| | 2,408 |
|
| Other revenue | 10,320 |
| | 9,208 |
| | 8,852 |
| | 12,048 |
| | 8,314 |
|
| Total fees and commissions | 158,547 |
| | 164,054 |
| | 140,863 |
| | 142,372 |
| | 145,235 |
|
| Gain (loss) on other assets, net | (501 | ) | | (52 | ) | | (4,264 | ) | | 651 |
| | (377 | ) |
| Gain (loss) on derivatives, net | (93 | ) | | 831 |
| | 968 |
| | (930 | ) | | 31 |
|
| Gain (loss) on fair value option securities, net | (332 | ) | | 4,176 |
| | 2,660 |
| | (2,805 | ) | | (80 | ) |
| Change in fair value of mortgage servicing rights | 5,281 |
| | (6,444 | ) | | (4,461 | ) | | 6,093 |
| | (346 | ) |
| Gain on available for sale securities, net | 146 |
| | 4 |
| | 1,240 |
| | 1,634 |
| | 478 |
|
| Total other-than-temporary impairment losses | — |
| | — |
| | — |
| | — |
| | (1,436 | ) |
| Portion of loss recognized in (reclassified from) other comprehensive income | — |
| | — |
| | — |
| | — |
| | (73 | ) |
| Net impairment losses recognized in earnings | — |
| | — |
| | — |
| | — |
| | (1,509 | ) |
| Total other operating revenue | 163,048 |
| | 162,569 |
| | 137,006 |
| | 147,015 |
| | 143,432 |
|
| Other operating expense: | | | | | | | | | |
| Personnel | 123,043 |
| | 123,714 |
| | 104,433 |
| | 125,662 |
| | 125,799 |
|
| Business promotion | 6,160 |
| | 7,150 |
| | 5,841 |
| | 6,020 |
| | 5,355 |
|
| Charitable contributions to BOKF Foundation | — |
| | — |
| | 2,420 |
| | — |
| | 2,062 |
|
| Professional fees and services | 14,763 |
| | 11,054 |
| | 7,565 |
| | 10,003 |
| | 7,183 |
|
| Net occupancy and equipment | 18,892 |
| | 18,789 |
| | 16,896 |
| | 19,103 |
| | 17,280 |
|
| Insurance | 4,793 |
| | 4,467 |
| | 4,541 |
| | 4,394 |
| | 3,939 |
|
| Data processing and communications | 29,971 |
| | 29,071 |
| | 27,135 |
| | 28,196 |
| | 25,695 |
|
| Printing, postage and supplies | 3,380 |
| | 3,429 |
| | 3,541 |
| | 3,126 |
| | 3,505 |
|
| Net losses and operating expenses of repossessed assets | 4,966 |
| | 1,118 |
| | 1,432 |
| | 1,618 |
| | 2,014 |
|
| Amortization of intangible assets | 1,100 |
| | 949 |
| | 816 |
| | 842 |
| | 835 |
|
| Mortgage banking costs | 7,734 |
| | 7,960 |
| | 3,634 |
| | 7,071 |
| | 8,753 |
|
| Other expense | 7,032 |
| | 7,006 |
| | 6,850 |
| | 9,384 |
| | 7,878 |
|
| Total other operating expense | 221,834 |
| | 214,707 |
| | 185,104 |
| | 215,419 |
| | 210,298 |
|
| Net income before taxes | 108,005 |
| | 113,959 |
| | 114,544 |
| | 109,240 |
| | 109,523 |
|
| Federal and state income taxes | 31,879 |
| | 37,230 |
| | 37,501 |
| | 35,318 |
| | 33,461 |
|
| Net income | 76,126 |
| | 76,729 |
| | 77,043 |
| | 73,922 |
| | 76,062 |
|
| Net income attributable to non-controlling interests | 494 |
| | 834 |
| | 453 |
| | 946 |
| | 324 |
|
| Net income attributable to BOK Financial Corporation shareholders | $ | 75,632 |
| | $ | 75,895 |
| | $ | 76,590 |
| | $ | 72,976 |
| | $ | 75,738 |
|
| | | | | | | | | | |
| Average shares outstanding: | | | | | | | | | |
| Basic | 68,455,866 |
| | 68,359,945 |
| | 68,273,685 |
| | 68,095,254 |
| | 68,049,179 |
|
| Diluted | 68,609,765 |
| | 68,511,378 |
| | 68,436,478 |
| | 68,293,758 |
| | 68,272,861 |
|
| Net income per share: | | | | | | | | | |
| Basic | $ | 1.09 |
| | $ | 1.10 |
| | $ | 1.11 |
| | $ | 1.06 |
| | $ | 1.10 |
|
| Diluted | $ | 1.09 |
| | $ | 1.10 |
| | $ | 1.11 |
| | $ | 1.06 |
| | $ | 1.10 |
|
LOANS TREND -- UNAUDITED BOK FINANCIAL CORPORATION (In thousands) |
| | | | | | | | | | | | | | | | | | | | |
| | | September 30,
2014 | | June 30,
2014 | | March 31,
2014 | | December 31,
2013 | | September 30,
2013 |
| Commercial: | | | | | | | | | | |
| Energy | | $ | 2,551,699 |
| | $ | 2,419,788 |
| | $ | 2,344,072 |
| | $ | 2,351,760 |
| | $ | 2,311,991 |
|
| Services | | 2,487,817 |
| | 2,377,065 |
| | 2,232,471 |
| | 2,282,210 |
| | 2,148,551 |
|
| Wholesale/retail | | 1,273,241 |
| | 1,318,151 |
| | 1,225,990 |
| | 1,201,364 |
| | 1,181,806 |
|
| Manufacturing | | 479,543 |
| | 452,866 |
| | 444,215 |
| | 391,751 |
| | 382,460 |
|
| Healthcare | | 1,382,399 |
| | 1,394,156 |
| | 1,396,562 |
| | 1,274,246 |
| | 1,160,212 |
|
| Other commercial and industrial | | 397,339 |
| | 405,635 |
| | 408,396 |
| | 441,890 |
| | 386,055 |
|
| Total commercial | | 8,572,038 |
| | 8,367,661 |
| | 8,051,706 |
| | 7,943,221 |
| | 7,571,075 |
|
| | | | | | | | | | | |
| Commercial real estate: | | |
| | |
| | |
| | |
| | |
|
| Residential construction and land development | | 175,228 |
| | 184,779 |
| | 184,820 |
| | 206,258 |
| | 216,456 |
|
| Retail | | 611,265 |
| | 642,110 |
| | 640,506 |
| | 586,047 |
| | 556,918 |
|
| Office | | 438,909 |
| | 394,217 |
| | 436,264 |
| | 411,499 |
| | 422,043 |
|
| Multifamily | | 739,757 |
| | 677,403 |
| | 662,674 |
| | 576,502 |
| | 520,454 |
|
| Industrial | | 371,426 |
| | 342,080 |
| | 305,207 |
| | 243,877 |
| | 245,022 |
|
| Other commercial real estate | | 387,614 |
| | 414,389 |
| | 401,936 |
| | 391,170 |
| | 388,336 |
|
| Total commercial real estate | | 2,724,199 |
| | 2,654,978 |
| | 2,631,407 |
| | 2,415,353 |
| | 2,349,229 |
|
| | | | | | | | | | | |
| Residential mortgage: | | |
| | |
| | |
| | |
| | |
|
| Permanent mortgage | | 991,107 |
| | 1,020,928 |
| | 1,033,572 |
| | 1,062,744 |
| | 1,078,661 |
|
| Permanent mortgages guaranteed by U.S. government agencies | | 198,488 |
| | 188,087 |
| | 184,822 |
| | 181,598 |
| | 163,919 |
|
| Home equity | | 790,068 |
| | 799,200 |
| | 800,281 |
| | 807,684 |
| | 792,185 |
|
| Total residential mortgage | | 1,979,663 |
| | 2,008,215 |
| | 2,018,675 |
| | 2,052,026 |
| | 2,034,765 |
|
| | | | | | | | | | | |
| Consumer | | 407,839 |
| | 396,004 |
| | 376,066 |
| | 381,664 |
| | 395,031 |
|
| | | | | | | | | | | |
| Total | | $ | 13,683,739 |
| | $ | 13,426,858 |
| | $ | 13,077,854 |
| | $ | 12,792,264 |
| | $ | 12,350,100 |
|
LOANS BY PRINCIPAL MARKET AREA -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands) |
| | | | | | | | | | | | | | | | | | | |
| | September 30,
2014 | | June 30,
2014 | | March 31,
2014 | | December 31,
2013 | | September 30,
2013 |
| | | | | | | | | | |
| Bank of Oklahoma: | | | | | | | | | |
| Commercial | $ | 3,106,264 |
| | $ | 3,101,513 |
| | $ | 2,782,997 |
| | $ | 2,902,140 |
| | $ | 2,801,979 |
|
| Commercial real estate | 592,865 |
| | 598,790 |
| | 593,282 |
| | 602,010 |
| | 564,141 |
|
| Residential mortgage | 1,481,264 |
| | 1,490,171 |
| | 1,505,702 |
| | 1,524,212 |
| | 1,497,027 |
|
| Consumer | 193,207 |
| | 187,914 |
| | 179,733 |
| | 192,283 |
| | 207,360 |
|
| Total Bank of Oklahoma | 5,373,600 |
| | 5,378,388 |
| | 5,061,714 |
| | 5,220,645 |
| | 5,070,507 |
|
| | | | | | | | | | |
| Bank of Texas: | | | | | | | | | |
| Commercial | 3,169,458 |
| | 3,107,808 |
| | 3,161,203 |
| | 3,052,274 |
| | 2,858,970 |
|
| Commercial real estate | 1,046,322 |
| | 995,182 |
| | 969,804 |
| | 816,574 |
| | 853,857 |
|
| Residential mortgage | 247,117 |
| | 251,290 |
| | 256,332 |
| | 260,544 |
| | 263,945 |
|
| Consumer | 148,965 |
| | 147,322 |
| | 136,782 |
| | 131,297 |
| | 129,144 |
|
| Total Bank of Texas | 4,611,862 |
| | 4,501,602 |
| | 4,524,121 |
| | 4,260,689 |
| | 4,105,916 |
|
| | | | | | | | | | |
| Bank of Albuquerque: | | | | | | | | | |
| Commercial | 378,663 |
| | 381,843 |
| | 351,454 |
| | 342,336 |
| | 325,542 |
|
| Commercial real estate | 313,905 |
| | 309,421 |
| | 305,080 |
| | 308,829 |
| | 306,914 |
|
| Residential mortgage | 130,045 |
| | 137,110 |
| | 131,932 |
| | 133,900 |
| | 131,756 |
|
| Consumer | 11,714 |
| | 12,346 |
| | 12,972 |
| | 13,842 |
| | 14,583 |
|
| Total Bank of Albuquerque | 834,327 |
| | 840,720 |
| | 801,438 |
| | 798,907 |
| | 778,795 |
|
| | | | | | | | | | |
| Bank of Arkansas: | | | | | | | | | |
| Commercial | 74,866 |
| | 71,859 |
| | 73,804 |
| | 81,556 |
| | 73,063 |
|
| Commercial real estate | 96,874 |
| | 85,633 |
| | 81,181 |
| | 78,264 |
| | 84,364 |
|
| Residential mortgage | 7,492 |
| | 8,334 |
| | 7,898 |
| | 7,922 |
| | 10,466 |
|
| Consumer | 5,508 |
| | 6,323 |
| | 6,881 |
| | 8,023 |
| | 9,426 |
|
| Total Bank of Arkansas | 184,740 |
| | 172,149 |
| | 169,764 |
| | 175,765 |
| | 177,319 |
|
| | | | | | | | | | |
| Colorado State Bank & Trust: | | | | | | | | | |
| Commercial | 957,917 |
| | 856,323 |
| | 825,315 |
| | 735,626 |
| | 748,331 |
|
| Commercial real estate | 190,812 |
| | 200,995 |
| | 213,850 |
| | 190,355 |
| | 158,320 |
|
| Residential mortgage | 56,705 |
| | 60,360 |
| | 57,345 |
| | 62,821 |
| | 66,475 |
|
| Consumer | 24,812 |
| | 23,330 |
| | 22,095 |
| | 22,686 |
| | 22,592 |
|
| Total Colorado State Bank & Trust | 1,230,246 |
| | 1,141,008 |
| | 1,118,605 |
| | 1,011,488 |
| | 995,718 |
|
| | | | | | | | | | |
| Bank of Arizona: | | | | | | | | | |
| Commercial | 500,208 |
| | 446,814 |
| | 453,799 |
| | 417,702 |
| | 379,817 |
|
| Commercial real estate | 316,698 |
| | 292,799 |
| | 301,266 |
| | 257,477 |
| | 250,129 |
|
| Residential mortgage | 39,256 |
| | 41,059 |
| | 42,899 |
| | 47,111 |
| | 49,109 |
|
| Consumer | 11,201 |
| | 7,821 |
| | 7,145 |
| | 7,887 |
| | 7,059 |
|
| Total Bank of Arizona | 867,363 |
| | 788,493 |
| | 805,109 |
| | 730,177 |
| | 686,114 |
|
| | | | | | | | | | |
| Bank of Kansas City: | | | | | | | | | |
| Commercial | 384,662 |
| | 401,501 |
| | 403,134 |
| | 411,587 |
| | 383,373 |
|
| Commercial real estate | 166,723 |
| | 172,158 |
| | 166,944 |
| | 161,844 |
| | 131,504 |
|
| Residential mortgage | 17,784 |
| | 19,891 |
| | 16,567 |
| | 15,516 |
| | 15,987 |
|
| Consumer | 12,432 |
| | 10,948 |
| | 10,458 |
| | 5,646 |
| | 4,867 |
|
| Total Bank of Kansas City | 581,601 |
| | 604,498 |
| | 597,103 |
| | 594,593 |
| | 535,731 |
|
| | | | | | | | | | |
| TOTAL BOK FINANCIAL | $ | 13,683,739 |
| | $ | 13,426,858 |
| | $ | 13,077,854 |
| | $ | 12,792,264 |
| | $ | 12,350,100 |
|
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) |
| | | | | | | | | | | | | | | | | | | |
| | September 30,
2014 | | June 30,
2014 | | March 31,
2014 | | December 31,
2013 | | September 30,
2013 |
| Bank of Oklahoma: | | | | | | | | | |
| Demand | $ | 3,915,560 |
| | $ | 3,785,922 |
| | $ | 3,476,876 |
| | $ | 3,432,940 |
| | $ | 3,442,831 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 5,450,692 |
| | 5,997,474 |
| | 6,148,712 |
| | 6,318,045 |
| | 5,565,462 |
|
| Savings | 201,690 |
| | 210,330 |
| | 211,770 |
| | 191,880 |
| | 189,186 |
|
| Time | 1,292,738 |
| | 1,195,586 |
| | 1,209,002 |
| | 1,214,507 |
| | 1,197,617 |
|
| Total interest-bearing | 6,945,120 |
| | 7,403,390 |
| | 7,569,484 |
| | 7,724,432 |
| | 6,952,265 |
|
| Total Bank of Oklahoma | 10,860,680 |
| | 11,189,312 |
| | 11,046,360 |
| | 11,157,372 |
| | 10,395,096 |
|
| | | | | | | | | | |
| Bank of Texas: | | | | | | | | | |
| Demand | 2,636,713 |
| | 2,617,194 |
| | 2,513,729 |
| | 2,481,603 |
| | 2,498,668 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 2,020,737 |
| | 1,957,236 |
| | 1,967,107 |
| | 1,966,580 |
| | 1,853,586 |
|
| Savings | 66,798 |
| | 67,012 |
| | 70,890 |
| | 64,632 |
| | 63,368 |
|
| Time | 569,929 |
| | 606,248 |
| | 621,925 |
| | 638,465 |
| | 667,873 |
|
| Total interest-bearing | 2,657,464 |
| | 2,630,496 |
| | 2,659,922 |
| | 2,669,677 |
| | 2,584,827 |
|
| Total Bank of Texas | 5,294,177 |
| | 5,247,690 |
| | 5,173,651 |
| | 5,151,280 |
| | 5,083,495 |
|
| | | | | | | | | | |
| Bank of Albuquerque: | | | | | | | | | |
| Demand | 480,023 |
| | 515,554 |
| | 524,191 |
| | 502,395 |
| | 491,894 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 502,787 |
| | 489,378 |
| | 516,734 |
| | 529,140 |
| | 541,565 |
|
| Savings | 36,127 |
| | 36,442 |
| | 37,481 |
| | 33,944 |
| | 34,003 |
|
| Time | 303,074 |
| | 309,540 |
| | 320,352 |
| | 327,281 |
| | 334,946 |
|
| Total interest-bearing | 841,988 |
| | 835,360 |
| | 874,567 |
| | 890,365 |
| | 910,514 |
|
| Total Bank of Albuquerque | 1,322,011 |
| | 1,350,914 |
| | 1,398,758 |
| | 1,392,760 |
| | 1,402,408 |
|
| | | | | | | | | | |
| Bank of Arkansas: | | | | | | | | | |
| Demand | 35,075 |
| | 44,471 |
| | 40,026 |
| | 38,566 |
| | 33,378 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 234,063 |
| | 205,216 |
| | 212,144 |
| | 144,018 |
| | 205,891 |
|
| Savings | 2,222 |
| | 2,287 |
| | 2,264 |
| | 1,986 |
| | 1,919 |
|
| Time | 38,811 |
| | 41,155 |
| | 32,312 |
| | 32,949 |
| | 35,184 |
|
| Total interest-bearing | 275,096 |
| | 248,658 |
| | 246,720 |
| | 178,953 |
| | 242,994 |
|
| Total Bank of Arkansas | 310,171 |
| | 293,129 |
| | 286,746 |
| | 217,519 |
| | 276,372 |
|
| | | | | | | | | | |
| Colorado State Bank & Trust: | | | | | | | | | |
| Demand | 422,044 |
| | 396,185 |
| | 399,820 |
| | 409,942 |
| | 375,060 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 571,807 |
| | 566,320 |
| | 536,438 |
| | 541,675 |
| | 536,734 |
|
| Savings | 29,768 |
| | 29,234 |
| | 28,973 |
| | 26,880 |
| | 27,782 |
|
| Time | 372,401 |
| | 385,252 |
| | 399,948 |
| | 407,088 |
| | 424,225 |
|
| Total interest-bearing | 973,976 |
| | 980,806 |
| | 965,359 |
| | 975,643 |
| | 988,741 |
|
| Total Colorado State Bank & Trust | 1,396,020 |
| | 1,376,991 |
| | 1,365,179 |
| | 1,385,585 |
| | 1,363,801 |
|
| | | | | | | | | | |
DEPOSITS BY PRINCIPAL MARKET AREA -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands) |
| | | | | | | | | | | | | | | | | | | |
| | September 30,
2014 | | June 30,
2014 | | March 31,
2014 | | December 31,
2013 | | September 30,
2013 |
| Bank of Arizona: | | | | | | | | | |
| Demand | 279,811 |
| | 293,836 |
| | 265,149 |
| | 204,092 |
| | 188,365 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 336,584 |
| | 379,170 |
| | 409,200 |
| | 364,736 |
| | 339,158 |
|
| Savings | 3,718 |
| | 2,813 |
| | 2,711 |
| | 2,432 |
| | 2,511 |
|
| Time | 38,842 |
| | 37,666 |
| | 37,989 |
| | 34,391 |
| | 36,285 |
|
| Total interest-bearing | 379,144 |
| | 419,649 |
| | 449,900 |
| | 401,559 |
| | 377,954 |
|
| Total Bank of Arizona | 658,955 |
| | 713,485 |
| | 715,049 |
| | 605,651 |
| | 566,319 |
|
| | | | | | | | | | |
| Bank of Kansas City: | | | | | | | | | |
| Demand | 268,903 |
| | 254,843 |
| | 252,496 |
| | 246,739 |
| | 301,780 |
|
| Interest-bearing: | | | | | | | | | |
| Transaction | 128,039 |
| | 103,610 |
| | 109,321 |
| | 69,857 |
| | 77,414 |
|
| Savings | 1,315 |
| | 1,511 |
| | 1,507 |
| | 1,252 |
| | 1,080 |
|
| Time | 48,785 |
| | 40,379 |
| | 40,646 |
| | 41,312 |
| | 23,890 |
|
| Total interest-bearing | 178,139 |
| | 145,500 |
| | 151,474 |
| | 112,421 |
| | 102,384 |
|
| Total Bank of Kansas City | 447,042 |
| | 400,343 |
| | 403,970 |
| | 359,160 |
| | 404,164 |
|
| | | | | | | | | | |
| TOTAL BOK FINANCIAL | $ | 20,289,056 |
| | $ | 20,571,864 |
| | $ | 20,389,713 |
| | $ | 20,269,327 |
| | $ | 19,491,655 |
|
NET INTEREST MARGIN TREND -- UNAUDITED BOK FINANCIAL CORPORATION |
| | | | | | | | | | | | | | |
| | Three Months Ended |
| | September 30,
2014 | | June 30,
2014 | | March 31,
2014 | | December 31,
2013 | | September 30,
2013 |
| | | | | | | | | | |
| TAX-EQUIVALENT ASSETS YIELDS | | | | | | | | | |
| Interest-bearing cash and cash equivalents | 0.20 | % | | 0.24 | % | | 0.20 | % | | 0.18 | % | | 0.22 | % |
| Trading securities | 2.67 | % | | 2.40 | % | | 2.85 | % | | 1.73 | % | | 2.25 | % |
| Investment securities: | | | | | | | | | |
| Taxable | 5.66 | % | | 5.64 | % | | 5.64 | % | | 5.75 | % | | 5.78 | % |
| Tax-exempt | 1.56 | % | | 1.63 | % | | 1.67 | % | | 1.66 | % | | 1.60 | % |
| Total investment securities | 3.03 | % | | 3.01 | % | | 3.04 | % | | 3.12 | % | | 3.22 | % |
| Available for sale securities: | | | | | | | | | |
| Taxable | 1.94 | % | | 1.94 | % | | 1.90 | % | | 1.89 | % | | 1.92 | % |
| Tax-exempt | 3.14 | % | | 4.44 | % | | 3.11 | % | | 2.74 | % | | 2.81 | % |
| Total available for sale securities | 1.95 | % | | 1.96 | % | | 1.91 | % | | 1.89 | % | | 1.93 | % |
| Fair value option securities | 2.05 | % | | 1.94 | % | | 1.99 | % | | 2.06 | % | | 1.80 | % |
| Restricted equity securities | 5.99 | % | | 5.26 | % | | 4.68 | % | | 5.06 | % | | 3.05 | % |
| Residential mortgage loans held for sale | 3.79 | % | | 4.63 | % | | 3.46 | % | | 4.16 | % | | 3.87 | % |
| Loans | 3.78 | % | | 3.85 | % | | 3.89 | % | | 4.01 | % | | 4.06 | % |
| Allowance for loan losses | | | | | | | | | |
| Loans, net of allowance | 3.83 | % | | 3.91 | % | | 3.95 | % | | 4.07 | % | | 4.13 | % |
| Total tax-equivalent yield on earning assets | 2.93 | % | | 3.02 | % | | 2.99 | % | | 3.02 | % | | 3.03 | % |
| | | | | | | | | | |
| COST OF INTEREST-BEARING LIABILITIES | | | | | | | | | |
| Interest-bearing deposits: | | | | | | | | | |
| Interest-bearing transaction | 0.10 | % | | 0.10 | % | | 0.10 | % | | 0.11 | % | | 0.11 | % |
| Savings | 0.12 | % | | 0.12 | % | | 0.12 | % | | 0.12 | % | | 0.13 | % |
| Time | 1.56 | % | | 1.55 | % | | 1.56 | % | | 1.55 | % | | 1.55 | % |
| Total interest-bearing deposits | 0.41 | % | | 0.40 | % | | 0.41 | % | | 0.42 | % | | 0.43 | % |
| Funds purchased | 0.07 | % | | 0.07 | % | | 0.06 | % | | 0.08 | % | | 0.07 | % |
| Repurchase agreements | 0.05 | % | | 0.08 | % | | 0.08 | % | | 0.06 | % | | 0.06 | % |
| Other borrowings | 0.34 | % | | 0.40 | % | | 0.40 | % | | 0.31 | % | | 0.28 | % |
| Subordinated debt | 2.46 | % | | 2.52 | % | | 2.52 | % | | 2.48 | % | | 2.52 | % |
| Total cost of interest-bearing liabilities | 0.41 | % | | 0.42 | % | | 0.41 | % | | 0.42 | % | | 0.42 | % |
| Tax-equivalent net interest revenue spread | 2.52 | % | | 2.60 | % | | 2.58 | % | | 2.60 | % | | 2.61 | % |
| Effect of noninterest-bearing funding sources and other | 0.15 | % | | 0.15 | % | | 0.13 | % | | 0.14 | % | | 0.14 | % |
| Tax-equivalent net interest margin | 2.67 | % | | 2.75 | % | | 2.71 | % | | 2.74 | % | | 2.75 | % |
Yield calculations are shown on a tax equivalent basis at the statutory federal and state rates for the periods presented. The yield calculations exclude security trades that have been recorded on trade date with no corresponding interest income and the unrealized gains and losses. The yield calculation also includes average loan balances for which the accrual of interest has been discontinued and are net of unearned income. Yield/rate calculations are generally based on the conventions that determine how interest income and expense is accrued.
CREDIT QUALITY INDICATORS -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands, except ratios) |
| | | | | | | | | | | | | | | | | | | |
| | Three Months Ended |
| | September 30,
2014 | | June 30,
2014 | | March 31,
2014 | | December 31,
2013 | | September 30,
2013 |
| Nonperforming assets: | | | | | | | | | |
| Nonaccruing loans: | | | | | | | | | |
| Commercial | $ | 16,404 |
| | $ | 17,103 |
| | $ | 19,047 |
| | $ | 16,760 |
| | $ | 19,522 |
|
| Commercial real estate | 30,660 |
| | 34,472 |
| | 39,305 |
| | 40,850 |
| | 52,502 |
|
| Residential mortgage | 48,907 |
| | 44,340 |
| | 45,380 |
| | 42,320 |
| | 39,256 |
|
| Consumer | 580 |
| | 765 |
| | 974 |
| | 1,219 |
| | 1,624 |
|
| Total nonaccruing loans | 96,551 |
| | 96,680 |
| | 104,706 |
| | 101,149 |
| | 112,904 |
|
| Accruing renegotiated loans guaranteed by U.S. government agencies | 70,459 |
| | 57,818 |
| | 55,507 |
| | 54,322 |
| | 50,099 |
|
| Real estate and other repossessed assets: | | | | | | | | | |
| Guaranteed by U.S. government agencies | 46,809 |
| | 49,720 |
| | 45,638 |
| | 37,431 |
| | 37,906 |
|
| Other | 51,062 |
| | 50,391 |
| | 49,877 |
| | 54,841 |
| | 70,216 |
|
| Total real estate and other repossessed assets | 97,871 |
| | 100,111 |
| | 95,515 |
| | 92,272 |
| | 108,122 |
|
| Total nonperforming assets | $ | 264,881 |
| | $ | 254,609 |
| | $ | 255,728 |
| | $ | 247,743 |
| | $ | 271,125 |
|
| Total nonperforming assets excluding those guaranteed by U.S. government agencies | $ | 143,778 |
| | $ | 145,124 |
| | $ | 153,011 |
| | $ | 155,213 |
| | $ | 182,543 |
|
| | | | | | | | | | |
| Nonaccruing loans by loan class: | | | | | | | | | |
| Commercial: | | | | | | | | | |
| Energy | $ | 1,508 |
| | $ | 1,619 |
| | $ | 1,759 |
| | $ | 1,860 |
| | $ | 1,953 |
|
| Services | 3,584 |
| | 3,669 |
| | 4,581 |
| | 4,922 |
| | 6,927 |
|
| Wholesale / retail | 5,502 |
| | 5,885 |
| | 6,854 |
| | 6,969 |
| | 7,223 |
|
| Manufacturing | 3,482 |
| | 3,507 |
| | 3,565 |
| | 592 |
| | 843 |
|
| Healthcare | 1,417 |
| | 1,422 |
| | 1,443 |
| | 1,586 |
| | 1,733 |
|
| Other commercial and industrial | 911 |
| | 1,001 |
| | 845 |
| | 831 |
| | 843 |
|
| Total commercial | 16,404 |
| | 17,103 |
| | 19,047 |
| | 16,760 |
| | 19,522 |
|
| Commercial real estate: | | | | | | | | | |
| Residential construction and land development | 14,634 |
| | 15,146 |
| | 16,547 |
| | 17,377 |
| | 20,784 |
|
| Retail | 4,009 |
| | 4,199 |
| | 4,626 |
| | 4,857 |
| | 7,914 |
|
| Office | 3,499 |
| | 3,591 |
| | 6,301 |
| | 6,391 |
| | 6,838 |
|
| Multifamily | — |
| | — |
| | — |
| | 7 |
| | 4,350 |
|
| Industrial | — |
| | 631 |
| | 886 |
| | 252 |
| | — |
|
| Other commercial real estate | 8,518 |
| | 10,905 |
| | 10,945 |
| | 11,966 |
| | 12,616 |
|
| Total commercial real estate | 30,660 |
| | 34,472 |
| | 39,305 |
| | 40,850 |
| | 52,502 |
|
| Residential mortgage: | | | | | | | | | |
| Permanent mortgage | 35,137 |
| | 32,952 |
| | 36,342 |
| | 34,279 |
| | 31,797 |
|
| Permanent mortgage guaranteed by U.S. government agencies | 3,835 |
| | 1,947 |
| | 1,572 |
| | 777 |
| | 577 |
|
| Home equity | 9,935 |
| | 9,441 |
| | 7,466 |
| | 7,264 |
| | 6,882 |
|
| Total residential mortgage | 48,907 |
| | 44,340 |
| | 45,380 |
| | 42,320 |
| | 39,256 |
|
| Consumer | 580 |
| | 765 |
| | 974 |
| | 1,219 |
| | 1,624 |
|
| Total nonaccruing loans | $ | 96,551 |
| | $ | 96,680 |
| | $ | 104,706 |
| | $ | 101,149 |
| | $ | 112,904 |
|
| | | | | | | | | | |
CREDIT QUALITY INDICATORS -- UNAUDITED BOK FINANCIAL CORPORATION (in thousands, except ratios) |
| | | | | | | | | | | | | | | | | | | |
| | Three Months Ended |
| | September 30,
2014 | | June 30,
2014 | | March 31,
2014 | | December 31,
2013 | | September 30,
2013 |
| | | | | | | | | | |
Performing loans 90 days past due1 | $ | 25 |
| | $ | 67 |
| | $ | 1,991 |
| | $ | 1,415 |
| | $ | 188 |
|
| | | | | | | | | | |
| Gross charge-offs | $ | (2,638 | ) | | $ | (3,522 | ) | | $ | (2,848 | ) | | $ | (3,113 | ) | | $ | (4,708 | ) |
| Recoveries | 3,114 |
| | 5,524 |
| | 5,360 |
| | 6,068 |
| | 4,409 |
|
| Net recoveries (charge-offs) | $ | 476 |
| | $ | 2,002 |
| | $ | 2,512 |
| | $ | 2,955 |
| | $ | (299 | ) |
| | | | | | | | | | |
| Provision for credit losses | $ | — |
| | $ | — |
| | $ | — |
| | $ | (11,400 | ) | | $ | (8,500 | ) |
| | | | | | | | | | |
| Allowance for loan losses to period end loans | 1.40 | % | | 1.42 | % | | 1.44 | % | | 1.45 | % | | 1.57 | % |
| Combined allowance for credit losses to period end loans | 1.41 | % | | 1.43 | % | | 1.45 | % | | 1.47 | % | | 1.59 | % |
| Nonperforming assets to period end loans and repossessed assets | 1.92 | % | | 1.88 | % | | 1.94 | % | | 1.92 | % | | 2.18 | % |
| Net charge-offs (annualized) to average loans | (0.01 | )% | | (0.06 | )% | | (0.08 | )% | | (0.09 | )% | | 0.01 | % |
| Allowance for loan losses to nonaccruing loans | 198.08 | % | | 197.24 | % | | 179.86 | % | | 183.29 | % | | 172.12 | % |
| Combined allowance for credit losses to nonaccruing loans | 199.35 | % | | 198.59 | % | | 181.46 | % | | 185.35 | % | | 173.54 | % |
| | | | | | | | | | |
1 Excludes residential mortgage loans guaranteed by agencies of the U.S. government. |
