For further information:
Dennis Klaeser, CFO
PrivateBancorp, Inc.
312-683-7100
For Immediate Release
PrivateBancorp Reports Record Earnings Per Share of $0.36,
an increase of 29 percent over the prior year fourth quarter
Chicago, IL, January 18, 2005--- PrivateBancorp, Inc. (NASDAQ: PVTB) today reported earnings of $0.36 per diluted share for the fourth quarter of 2004, an increase of 29 percent compared to fourth qu```arter 2003 earnings per diluted share of $0.28. Net income for the fourth quarter was $7.5 million, an increase of 32 percent over fourth quarter 2003 net income of $5.7 million. Earnings per diluted share for the twelve months ended December 31, 2004 was $1.30, an increase of 23 percent from 2003 diluted earnings per share of $1.06. Net income for the twelve months ended December 31, 2004 was $27.0 million compared to net income of $19.1 million for the twelve months ended December 31, 2003. All per share amounts have been adjusted to reflect the two-for-one stock split that occurred on May 31, 2004.
"Increased earnings were fueled by strong growth in our core banking business. Loan demand has been substantial, with total loans outstanding up 35 percent since the prior year-end, and credit quality remaining very high. We have also experienced core deposit growth of 32 percent year over year. Our wealth management business continued its strong performance, with assets under management increasing by 16 percent during the year," said Ralph B. Mandell, Chairman, President and CEO.
Net interest income totaled $20.2 million in the fourth quarter of 2004, an increase of 20 percent over fourth quarter 2003 net interest income of $16.8 million, primarily due to growth in average earning assets. Net interest margin (on a tax equivalent basis) was 3.63 percent in the fourth quarter 2004, down from 3.82 percent in the prior year fourth quarter and up from 3.58 percent in the third quarter of 2004. On a quarter linked basis, yields on earning assets increased by 24 basis points offset by an increase in the cost of funds of 22 basis points. The increase in earning asset yields was primarily due to the increases in the prime interest rate during the fourth quarter. Approximately two-thirds of the loan portfolio floats with prime or is indexed to other short-term interest rates. The increase in cost of funds was primarily due to increased costs of wholesale funds and short-term borrowings.
At the end of the year, the Company had a total of $207.0 million invested in the stock of the Federal Home Loan Bank of Chicago (FHLBC). As a result of strong loan growth and to take advantage of increasing yields available in other earning assets, on January 11, 2005, the Company redeemed $20.0 million of its FHLBC stock, reducing this investment to $187.0 million. The Company’s annualized yield on this investment was 6.0 percent for the fourth quarter 2004, and will be a maximum of 5.5 percent for the first quarter 2005. The Company closely monitors the activities of the FHLBC, and continues to believe the FHLBC stock is a prudent investment for the Company.
The provision for loan losses was $1.5 million for the fourth quarter of 2004, compared to $1.6 million in the prior year fourth quarter and $851,000 in the third quarter of 2004. Net charge-offs totaled $262,000 in the quarter ended December 31, 2004 versus net charge-offs of $360,000 in the prior year quarter and net charge-offs of $404,000 in the third quarter of 2004. At December 31, 2004, nonperforming loans as a percentage of total loans were 0.15 percent, an increase from 0.09 percent in the prior year quarter and a decrease from 0.17 percent at September 30, 2004. Non-performing loans increased to $2.5 million at December 31, 2004 compared to $2.4 million at September 30, 2004, and non-accrual loans increased to $1.1 million from $797, 000 in the third quarter. The increase in non-accrual loans during the fourth quarter 2004 was primarily due to two commercial loans with aggregate exposure of $330,000. The Company believes its overall asset quality remains strong. Additionally, asset quality trends continue to be positive as measured by watch list loans, which decreased year over year. As a result, the Company’s allowance for loan losses as a percentage of total loans decreased to 1.15 percent as of December 31, 2004, from 1.21 percent at September 30, 2004 and 1.23 percent at December 31, 2003.
Non-interest income was $3.7 million in the fourth quarter 2004, reflecting an increase of approximately $710,000 from the fourth quarter 2003, despite a decrease of $134,000 due to the combination of securities losses of $123,000 and fair market loss adjustments on an interest rate swap of $11,000. In the fourth quarter 2003, securities losses of $163,000 combined with $280,000 of gains on the interest rate swap resulted in $117,000 of non-interest income.
Wealth management, mortgage banking and other income increased by $961,000, or 33 percent, from the prior year quarter, and decreased $49,000, or 1 percent, over the third quarter 2004. The growth in non-interest income as compared to the prior year quarter was primarily driven by growth in wealth management fee income, which grew $257,500, or 14 percent, to $2.1 million compared to $1.9 million for the fourth quarter 2003 and was flat with third quarter 2004. Wealth management assets under management increased 16 percent to $1.73 billion at December 31, 2004 compared to $1.49 billion at December 31, 2003 and $1.62 billion at September 30, 2004. Residential mortgage fee income was $834,000 for the fourth quarter 2004, up $383,000 from $451,000 in the fourth quarter 2003 and up from $776,000 in the third quarter 20 04.
Non-interest expense increased 16 percent to $12.0 million in the fourth quarter 2004 from $10.4 million in the prior year quarter and increased 1 percent from $11.9 million in third quarter 2004. Full-time equivalent employees at quarter’s end increased 19 percent to 261 from 219 at December 31, 2003 and increased 3 percent from 253 at September 30, 2004. During 2004, the Company added 17 managing directors, increasing the number of managing directors to 80 compared to 63 at December 31, 2003 and 72 managing directors at September 30, 2004. The efficiency ratio was 49 percent in the fourth quarter 2004 compared to 50 percent in the prior year quarter and in the third quarter 2004.
During the fourth quarter, the Company’s subsidiary, The PrivateBank and Trust Company, announced that it had signed a long-term 67,000 sq. ft. lease at 70 West Madison Street in Chicago. The Company will relocate its headquarters and Loop banking office to that location by mid 2006. The Company and the Bank’s downtown Chicago office have been located at Ten North Dearborn, Chicago, since the Company’s founding in 1989, where it now occupies approximately 42,000 sq. ft. over seven floors.
Total assets were $2.5 billion at December 31, 2004 compared to $2.0 billion at December 31, 2003, an increase of 28 percent. Asset growth was driven primarily by loan growth, which increased 35 percent year over year to $1.7 billion at December 31, 2004 and grew 12 percent from September 30, 2004.
Deposits increased by 21 percent to $1.9 billion during the year as compared to $1.5 billion at December 31, 2003 and increased by 4 percent from $1.8 billion as of September 30, 2004. Core deposits, defined as total deposits less brokered deposits, increased 32 percent during the year to $1.4 billion compared with $1.1 billion at December 31, 2003 and remained unchanged from $1.4 billion at September 30, 2004. Brokered deposits were $423.1 million at December 31, 2004, a decrease of 6 percent, or $24.8 million, from $447.9 million at December 31, 2003 and an increase of 19 percent, or $66.8 million, from $356.4 million at September 30, 2004. Funds borrowed, which include Federal Home Loan Bank advances, increased 89 percent to $414.5 million at December 31, 2004 from $219.6 million at December 31, 2003 and up from $301.6 million at September 30, 2004, an increase of 37 percent.
PrivateBancorp, Inc. was organized in 1989 to provide highly personalized financial services primarily to affluent individuals, professionals, owners of closely held businesses and commercial real estate investors. The Company operates two banking subsidiaries, The PrivateBank and Trust Company and The PrivateBank - St. Louis, and a mortgage company, The PrivateBank Mortgage Company. The PrivateBank and Trust Company subsidiary has a controlling interest in a Chicago-based investment advisor, Lodestar Investment Counsel, LLC. The Company, which had assets of $2.5 billion at December 31, 2004, currently has banking offices in Chicago, Wilmette, Oak Brook, St. Charles, Lake Forest, Winnetka, and Geneva, Illinois, and in St. Louis, Missouri. In April 2004 the Company announced plans to open two new offices -- one on Chicago’s Gold Coast in the historic Palmolive Building at the corner of North Michigan Avenue and Walton Place and one in downtown Milwaukee to be known as The PrivateBank. On December 20, 2004, Wallace L. Head joined the Company as chief executive officer of a new soon-to-be created subsidiary which will include the Company’s wealth management and trust business. This subsidiary will include Lodestar as well as our trust company, both of which are now part of The PrivateBank Chicago.
Additional information can be found in the Investor Relations section of PrivateBancorp, Inc.'s website atwww.pvtb.com.
Forward-Looking Statements: Statements contained in this news release that are not historical facts may constitute forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. The Company’s ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a material adverse effect on the operations and future prospects of the Company include, but are not limited to, fluctuations in market rates of interest and loan and deposit pricing, greater than anticipated deterioration in asset quality due to a prolonged economic downturn in the greater Chicago and St. Louis metropolitan areas, legislative or regulatory changes, adverse developments in the Company’s loan or investment portfolios, chan ges in the current redemption practices of the FHLBC relating to its stock, unexpected difficulties in integrating or operating the mortgage banking business, unanticipated construction or other delays relating to our new offices to be located in Chicago and in Milwaukee, Wisconsin, competition and the possible dilutive effect of potential acquisitions, expansion or future capital raises. These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. The Company assumes no obligation to update publicly any of these statements in light of future events.
Editor’s Note: Financial highlights attached.
Consolidated Statements of Income | ||||||||
(dollars in thousands except per share data) | ||||||||
Three Months Ended | Twelve Months Ended | |||||||
December 31, | December 31, | |||||||
2004 | 2003 | 2004 | 2003 | |||||
unaudited | audited | unaudited | audited | |||||
Interest Income | ||||||||
Interest and fees on loans | $22,802 | $16,588 | $79,499 | $62,793 | ||||
Interest on investment securities | 9,386 | 7,773 | 33,571 | 24,633 | ||||
Interest on short-term investments | 12 | 6 | 40 | 68 | ||||
Total Interest Income | 32,200 | 24,367 | 113,110 | 87,494 | ||||
Interest Expense | ||||||||
Interest on deposits | 9,495 | 6,140 | 30,970 | 23,912 | ||||
Interest on borrowings | 2,049 | 970 | 6,659 | 4,502 | ||||
Interest on long-term debt - trust preferred securities | 484 | 485 | 1,939 | 1,940 | ||||
Total Interest Expense | 12,028 | 7,595 | 39,568 | 30,354 | ||||
Net Interest Income | 20,172 | 16,772 | 73,542 | 57,140 | ||||
Provision for loan losses | 1,498 | 1,595 | 4,399 | 4,373 | ||||
Net Interest Income After Provision | 18,674 | 15,177 | 69,143 | 52,767 | ||||
Non Interest Income | ||||||||
Wealth management income | 2,113 | 1,856 | 8,316 | 6,630 | ||||
Mortgage banking income | 834 | 451 | 2,856 | 3,474 | ||||
Other income | 903 | 582 | 3,029 | 2,324 | ||||
Net securities gains (losses) | (123) | (163) | 968 | 1,759 | ||||
(Losses) gains on interest rate swap | (11) | 280 | (870) | (239) | ||||
Total Non Interest Income | 3,716 | 3,006 | 14,299 | 13,948 | ||||
Non Interest Expense | ||||||||
Salaries and benefits | 7,124 | 5,670 | 26,027 | 20,856 | ||||
Occupancy expense | 1,567 | 1,472 | 5,671 | 5,564 | ||||
Professional fees | 1,082 | 1,189 | 5,054 | 4,672 | ||||
Marketing | 695 | 678 | 2,521 | 2,527 | ||||
Data processing | 529 | 391 | 2,009 | 1,528 | ||||
Amortization of intangibles | 42 | 42 | 168 | 169 | ||||
Insurance | 276 | 200 | 919 | 700 | ||||
Other operating expenses | 717 | 724 | 3,305 | 4,128 | ||||
Total Non Interest Expense | 12,032 | 10,366 | 45,674 | 40,144 | ||||
Minority interest expense | 64 | 52 | 270 | 193 | ||||
Income Before Income Taxes | 10,294 | 7,765 | 37,498 | 26,378 | ||||
Income tax expense | 2,768 | 2,042 | 10,503 | 7,309 | ||||
Net Income | $7,526 | $5,723 | $26,995 | $19,069 | ||||
Weighted Average Shares Outstanding | 19,911,662 | 19,321,310 | 19,725,855 | 16,974,407 | ||||
Diluted Average Shares Outstanding | 20,992,893 | 20,581,020 | 20,706,118 | 17,981,092 | ||||
Earnings Per Share | ||||||||
Basic | $ 0.38 | $ 0.30 | $ 1.37 | $ 1.12 | ||||
Diluted | $ 0.36 | $ 0.28 | $ 1.30 | $ 1.06 | ||||
Note 1: Certain reclassifications have been made to prior period statements to place them on a basis comparable with the current period financial statements. | ||||||||
Note 2:All previously reported share and per share data has been restated to reflect the 2-for-1 stock split, effected in the form of a stock dividend, which occurred on May 31, 2004 |
Consolidated Balance Sheets | ||||||
(dollars in thousands except per share data) | ||||||
12/31/04 | 09/30/04 | 12/31/03 | ||||
unaudited | unaudited | audited | ||||
Assets | ||||||
Cash and due from banks | $49,534 | $44,814 | $49,115 | |||
Short-term investments | 1,120 | 11,004 | 985 | |||
Investment securities: available-for-sale | 763,985 | 759,328 | 669,262 | |||
Loans held for sale | 7,200 | 8,014 | 4,420 | |||
Loans | 1,653,363 | 1,471,083 | 1,224,657 | |||
Allowance for loan losses | (18,986) | (17,751) | (15,100) | |||
Net loans | 1,634,377 | 1,453,332 | 1,209,557 | |||
Premises and equipment, net | 6,486 | 6,013 | 6,233 | |||
Goodwill | 20,547 | 20,547 | 19,242 | |||
Other assets | 52,568 | 49,314 | 26,109 | |||
Total Assets | $2,535,817 | $2,352,366 | $1,984,923 | |||
Liabilities | ||||||
Non-interest bearing deposits | $165,170 | $170,315 | $135,110 | |||
Interest bearing deposits | 1,707,465 | 1,638,217 | 1,412,249 | |||
Total deposits | 1,872,635 | 1,808,532 | 1,547,359 | |||
Funds borrowed | 414,519 | 301,558 | 219,563 | |||
Long-term debt - trust preferred securities | 20,000 | 20,000 | 20,000 | |||
Other liabilities | 34,590 | 35,241 | 31,045 | |||
Total Liabilities | 2,341,744 | 2,165,331 | 1,817,967 | |||
Stockholders' Equity | ||||||
Common stock and additional paid-in-capital less treasury stock | 118,284 | 117,653 | 113,650 | |||
Retained earnings | 73,789 | 64,136 | 46,193 | |||
Accumulated other comprehensive income | 7,056 | 9,842 | 9,909 | |||
Deferred compensation | (5,056) | (4,596) | (2,796) | |||
Total Stockholders' Equity | 194,073 | 187,035 | 166,956 | |||
Total Liabilities and | ||||||
Stockholders' Equity | $2,535,817 | $2,352,366 | $1,984,923 | |||
Book Value Per Share | $9.51 | $9.19 | $8.47 | |||
Note 1: Certain reclassifications have been made to prior period statements to place them on a basis comparable with the current period financial statements. | ||||||
Note 2:All previously reported share and per share data has been restated to reflect the 2-for-1 stock split, effected in the form of a stock dividend, which occurred on May 31, 2004 |
Key Financial Data | |||||||||||
Unaudited | |||||||||||
(dollars in thousands except per share data) | |||||||||||
4Q04 | 3Q04 | 2Q04 | 1Q04 | 4Q03 | |||||||
Key Statistics | |||||||||||
Net income | $7,526 | $7,063 | $6,456 | $5,950 | $5,723 | ||||||
Basic earnings per share | $0.38 | $0.35 | $0.33 | $0.31 | $0.30 | ||||||
Diluted earnings per share | $0.36 | $0.34 | $0.31 | $0.29 | $0.28 | ||||||
Return on average total assets | 1.24% | 1.23% | 1.20% | 1.17% | 1.19% | ||||||
Return on average total equity | 15.65% | 15.29% | 14.86% | 13.87% | 14.03% | ||||||
Dividend payout ratio | 8.11% | 8.63% | 9.42% | 10.03% | 6.89% | ||||||
Fee revenue as a percent of total revenue(1) | 16.03% | 17.41% | 16.69% | 14.51% | 14.69% | ||||||
Non-interest income to average assets | 0.61% | 0.71% | 0.67% | 0.57% | 0.63% | ||||||
Non-interest expense to average assets | 1.98% | 2.08% | 2.08% | 2.08% | 2.16% | ||||||
Net overhead ratio (2) | 1.37% | 1.37% | 1.41% | 1.51% | 1.53% | ||||||
Efficiency ratio (3) | 48.3% | 50.0% | 50.8% | 49.1% | 50.1% | ||||||
Net interest margin(4) | 3.63% | 3.58% | 3.51% | 3.80% | 3.82% | ||||||
Yield on average earning assets | 5.70% | 5.46% | 5.27% | 5.46% | 5.48% | ||||||
Cost of average interest-bearing liabilities | 2.36% | 2.14% | 2.03% | 1.89% | 1.88% | ||||||
Net interest spread(5) | 3.34% | 3.32% | 3.24% | 3.57% | 3.60% | ||||||
Tax equivalent adjustment to net interest income(6) | $1,040 | $1,224 | $1,100 | $1,017 | $925 | ||||||
(1) | Represents wealth management, mortgage banking and other income as a percentage of the sum of net interest income and wealth management, mortgage banking and other income. | ||||||||||
(2) | Non-interest expense less non-interest income divided by average total assets. | ||||||||||
(3) | Non-interest expense divided by the sum of net interest income, on a tax equivalent basis, plus non-interest income. | ||||||||||
(4) | Net interest income, on a tax equivalent basis, divided by average interest-earning assets. | ||||||||||
(5) | Yield on average interest-earning assets less rate on average interest-bearing liabilities. | ||||||||||
(6) | The company adjusts GAAP reported net interest income by the tax equivalent adjustment amount to account for the tax attributes on federally tax exempt municipal securities. For GAAP purposes, tax benefits associated with federally tax exempt municipal securities are recorded as a benefit in income tax expense. The following table reconciles reported net interest income to net interest income on a tax equivalent basis for the periods presented: | ||||||||||
Reconciliation of net interest income to net interest income on a tax equivalent basis | |||||||||||
4Q04 | 3Q04 | 2Q04 | 1Q04 | 4Q03 | |||||||
Net interest income | $ 20,172 | $ 18,485 | $ 17,334 | $ 17,551 | $ 16,772 | ||||||
Tax equivalent adjustment to net interest income | 1,040 | 1,224 | 1,100 | 1,017 | 925 | ||||||
Net interest income, tax equivalent basis | $ 21,212 | $ 19,709 | $ 18,434 | $ 18,568 | $ 17,697 | ||||||
Note: | All previously reported share and per share data has been restated to reflect the 2-for-1 stock split, effected in the form of a stock dividend, which occurred on May 31, 2004 |
Key Financial Data | |||||||||||
Unaudited | |||||||||||
(dollars in thousands except per share data) | |||||||||||
4Q04 | 3Q04 | 2Q04 | 1Q04 | 4Q03 | |||||||
Balance Sheet Ratios | |||||||||||
Loans to Deposits (period end) | 88.29% | 81.34% | 84.12% | 82.86% | 79.14% | ||||||
Average interest-earning assets to average interest-bearing liabilities | 114.1 | 114.0 | 114.9 | 113.5 | 113.9 | ||||||
Per Share Data | |||||||||||
Dividends | $0.03 | $0.03 | $0.03 | $0.03 | $0.02 | ||||||
Book value (period end) | $9.51 | $9.19 | $8.54 | $8.72 | $8.47 | ||||||
Tangible book value (period end)(1) | $8.40 | $8.07 | $7.41 | $7.64 | $7.38 | ||||||
Share Price Data (period end) | |||||||||||
Closing Price | $32.23 | $26.96 | $27.48 | $25.80 | $22.65 | ||||||
Diluted earnings multiple (2) | 22.57 | x | 19.99 | x | 22.10 | x | 22.53 | x | 20.53 | x | |
Book value multiple | 3.39 | x | 2.93 | x | 3.22 | x | 2.96 | x | 2.67 | x | |
Common Stock Information | |||||||||||
Outstanding shares at end of period | 20,400,103 | 20,346,303 | 20,344,073 | 19,954,848 | 19,707,328 | ||||||
Number of shares used to compute: | |||||||||||
Basic earnings per share | 19,911,662 | 19,921,465 | 19,706,993 | 19,461,134 | 19,321,310 | ||||||
Diluted earnings per share | 20,992,893 | 20,947,078 | 20,708,906 | 20,614,694 | 20,581,020 | ||||||
Capital Ratios (period end) (3): | |||||||||||
Total equity to total assets | 7.65% | 7.95% | 7.90% | 8.14% | 8.41% | ||||||
Total risk-based capital ratio | 11.29% | 11.59% | 12.14% | 12.14% | 12.71% | ||||||
Tier-1 risk-based capital ratio | 10.24% | 10.52% | 11.00% | 11.01% | 11.59% | ||||||
Leverage ratio | 7.71% | 7.74% | 7.82% | 8.03% | 8.25% | ||||||
(1)Tangible book value is total capital less goodwill and other intangibles divided by outstanding shares at end of period. | |||||||||||
(2)Period end closing stock price divided by annualized quarterly earnings for the quarter then ended. | |||||||||||
(3) Capital ratios for the most recent period presented in the press release are based on preliminary data. | |||||||||||
Note:All previously reported share and per share data has been restated to reflect the 2-for-1 stock split, effected in the form of a stock dividend, which occurred on May 31, 2004 |
Key Financial Data | |||||||||||
Unaudited | |||||||||||
(dollars in thousands) | |||||||||||
4Q04 | 3Q04 | 2Q04 | 1Q04 | 4Q03 | |||||||
Summary Income Statement | |||||||||||
Interest Income | |||||||||||
Interest and fees on loans | $22,802 | $20,315 | $18,702 | $17,680 | $16,588 | ||||||
Interest on investment securities | 9,386 | 8,436 | 7,820 | 7,929 | 7,773 | ||||||
Interest on short-term investments | 12 | 18 | 4 | 6 | 6 | ||||||
Total Interest Income | 32,200 | 28,769 | 26,526 | 25,615 | 24,367 | ||||||
Interest Expense | 12,028 | 10,284 | 9,192 | 8,064 | 7,595 | ||||||
Net Interest Income | 20,172 | 18,485 | 17,334 | 17,551 | 16,772 | ||||||
Provision for loan losses | 1,498 | 851 | 724 | 1,326 | 1,595 | ||||||
Net Interest Income after Provision for Loan Losses | 18,674 | 17,634 | 16,610 | 16,225 | 15,177 | ||||||
Non Interest Income | |||||||||||
Wealth management income | 2,113 | 2,117 | 2,129 | 1,957 | 1,856 | ||||||
Mortgage banking income | 834 | 776 | 782 | 464 | 451 | ||||||
Other income | 903 | 1,006 | 561 | 559 | 582 | ||||||
Net securities gains (losses) | (123) | 1,259 | (1,166) | 998 | (163) | ||||||
(Losses) gains on interest rate swap | (11) | (1,118) | 1,325 | (1,066) | 280 | ||||||
Total Non Interest Income | 3,716 | 4,040 | 3,631 | 2,912 | 3,006 | ||||||
Non Interest Expense | |||||||||||
Salaries and benefits | 7,124 | 6,811 | 6,057 | 6,035 | 5,670 | ||||||
Occupancy expense | 1,567 | 1,394 | 1,350 | 1,360 | 1,472 | ||||||
Professional fees | 1,082 | 1,407 | 1,451 | 1,114 | 1,189 | ||||||
Marketing | 695 | 628 | 703 | 495 | 678 | ||||||
Data processing | 529 | 520 | 513 | 446 | 391 | ||||||
Insurance | 276 | 221 | 207 | 215 | 200 | ||||||
Amortization of intangibles | 42 | 42 | 42 | 42 | 42 | ||||||
Other operating expenses | 717 | 860 | 897 | 832 | 724 | ||||||
Total Non Interest Expense | 12,032 | 11,883 | 11,220 | 10,539 | 10,366 | ||||||
Minority interest expense | 64 | 74 | 65 | 67 | 52 | ||||||
Income Before Income Taxes | 10,294 | 9,717 | 8,956 | 8,531 | 7,765 | ||||||
Income tax expense | 2,768 | 2,654 | 2,500 | 2,581 | 2,042 | ||||||
Net income | $7,526 | $7,063 | $6,456 | $5,950 | $5,723 | ||||||
Key Financial Data | |||||||||||
Unaudited | |||||||||||
(dollars in thousands) | |||||||||||
4Q04 | 3Q04 | 2Q04 | 1Q04 | 4Q03 | |||||||
Credit Quality | |||||||||||
Key Ratios | |||||||||||
Net charge-offs (recoveries) to average loans | 0.07% | 0.11% | -0.01% | -0.03% | 0.12% | ||||||
Total non-performing loans to total loans | 0.15% | 0.17% | 0.06% | 0.06% | 0.09% | ||||||
Total non-performing assets to total assets | 0.10% | 0.10% | 0.04% | 0.04% | 0.06% | ||||||
Nonaccrual loans to: | |||||||||||
total loans | 0.07% | 0.05% | 0.01% | 0.01% | 0.00% | ||||||
total assets | 0.04% | 0.03% | 0.01% | 0.01% | 0.00% | ||||||
Allowance for loan losses to: | |||||||||||
total loans | 1.15% | 1.21% | 1.23% | 1.23% | 1.23% | ||||||
non-performing loans | 751% | 729% | 2175% | 1954% | 1343% | ||||||
nonaccrual loans | 1742% | 2228% | 11422% | 12626% | 41369% | ||||||
Non-performing assets: | |||||||||||
Loans delinquent over 90 days | $1,438 | $1,638 | $644 | $715 | $1,088 | ||||||
Nonaccrual loans | 1,090 | 797 | 151 | 131 | 36 | ||||||
Total non-performing assets | $2,528 | $2,435 | $795 | $846 | $1,124 | ||||||
Net loan charge-offs (recoveries): | |||||||||||
Loans charged off | $328 | $831 | $0 | $5 | $367 | ||||||
(Recoveries) | (66) | (427) | (51) | (108) | (7) | ||||||
Net charge-offs (recoveries) | $262 | $404 | ($51) | ($103) | $360 | ||||||
Provision for loan losses | $1,498 | $851 | $724 | $1,326 | $1,595 | ||||||
Allowance for Loan Losses Summary | |||||||||||
Balance at beginning of period | $17,751 | $17,304 | $16,529 | $15,100 | $13,865 | ||||||
Provision | 1,498 | 851 | 724 | 1,326 | 1,595 | ||||||
Net charge-offs (recoveries) | 262 | 404 | (51) | (103) | 360 | ||||||
Balance at end of period | $18,987 | $17,751 | $17,304 | $16,529 | $15,100 | ||||||
Net loan charge-offs (recoveries): | |||||||||||
Commercial real estate | - | - | - | - | - | ||||||
Residential real estate | - | - | - | - | - | ||||||
Commercial | $185 | ($314) | ($49) | ($105) | $312 | ||||||
Personal | 77 | 718 | (2) | 2 | 48 | ||||||
Home equity | - | - | - | - | - | ||||||
Construction | - | - | - | - | - | ||||||
Total net loan charge-offs (recoveries) | $262 | $404 | ($51) | ($103) | $360 | ||||||
Balance Sheets | |||||||||||
(dollars in thousands) | |||||||||||
unaudited | unaudited | unaudited | unaudited | audited | |||||||
12/31/04 | 09/30/04 | 06/30/04 | 03/31/04 | 12/31/03 | |||||||
Assets | |||||||||||
Cash and due from banks | $49,534 | $44,814 | $22,414 | $60,047 | $49,115 | ||||||
Short-term investments | 1,120 | 11,004 | 1,779 | 1,224 | 985 | ||||||
Investment securities: available-for-sale | 763,985 | 759,328 | 722,582 | 692,678 | 669,262 | ||||||
Loans held for sale | 7,200 | 8,014 | 6,419 | 4,133 | 4,420 | ||||||
Loans | 1,653,363 | 1,471,083 | 1,407,586 | 1,344,706 | 1,224,657 | ||||||
Less: Allowance for loan losses | (18,986) | (17,751) | (17,304) | (16,529) | (15,100) | ||||||
Net loans | 1,634,377 | 1,453,332 | 1,390,282 | 1,328,177 | 1,209,557 | ||||||
Premises and equipment, net | 6,486 | 6,013 | 5,711 | 5,924 | 6,233 | ||||||
Goodwill | 20,547 | 20,547 | 20,547 | 19,242 | 19,242 | ||||||
Other assets | 52,568 | 49,314 | 29,436 | 27,669 | 26,109 | ||||||
Total Assets | $2,535,817 | $2,352,366 | $2,199,170 | $2,139,094 | $1,984,923 | ||||||
Liabilities and Stockholders' Equity | |||||||||||
Non-interest bearing deposits | $165,170 | $170,315 | $163,543 | $153,197 | $135,110 | ||||||
Interest bearing demand deposits | 106,846 | 89,538 | 89,810 | 79,453 | 85,083 | ||||||
Savings and money market deposits | 854,163 | 864,794 | 683,205 | 646,838 | 562,234 | ||||||
Time deposits | 746,456 | 683,885 | 736,846 | 743,411 | 764,932 | ||||||
Total deposits | 1,872,635 | 1,808,532 | 1,673,404 | 1,622,899 | 1,547,359 | ||||||
Funds borrowed | 414,519 | 301,558 | 306,447 | 297,537 | 219,563 | ||||||
Long-term debt - Trust Preferred Securities | 20,000 | 20,000 | 20,000 | 20,000 | 20,000 | ||||||
Other liabilities | 34,590 | 35,241 | 25,650 | 24,617 | 31,045 | ||||||
Total liabilities | 2,341,744 | 2,165,331 | 2,025,501 | 1,965,053 | 1,817,967 | ||||||
Stockholders' equity | 194,073 | 187,035 | 173,669 | 174,041 | 166,956 | ||||||
Total Liabilities and Stockholders' Equity | $2,535,817 | $2,352,366 | $2,199,170 | $2,139,094 | $1,984,923 |
Average Quarterly Balance Sheets | |||||||||||||
(unaudited, dollars in thousands) | |||||||||||||
12/31/04 | 09/30/04 | 06/30/04 | 03/31/04 | 12/31/03 | |||||||||
Assets | |||||||||||||
Cash and due from banks | $27,459 | $26,706 | $31,788 | $35,533 | $33,812 | ||||||||
Short-term investments | 1,878 | 3,949 | 1,944 | 1,648 | 1,597 | ||||||||
Investment securities: available-for-sale | 775,602 | 744,446 | 713,099 | 690,826 | 652,463 | ||||||||
Loans held for sale | 6,324 | 4,704 | 10,335 | 3,640 | 4,481 | ||||||||
Loans | 1,535,642 | 1,432,003 | 1,370,030 | 1,263,047 | 1,175,718 | ||||||||
Less: Allowance for loan losses | (18,167) | (17,781) | (16,838) | (15,544) | (14,332) | ||||||||
Net loans | 1,517,475 | 1,414,222 | 1,353,192 | 1,247,503 | 1,161,386 | ||||||||
Premises and equipment, net | 6,251 | 5,788 | 5,854 | 6,153 | 6,332 | ||||||||
Goodwill | 20,547 | 20,547 | 19,242 | 21,338 | 19,233 | ||||||||
Other assets | 52,493 | 51,115 | 28,874 | 25,179 | 25,079 | ||||||||
Total Assets | $2,408,029 | $2,271,477 | $2,164,328 | $2,031,820 | $1,904,383 | ||||||||
Liabilities and Stockholders' Equity | |||||||||||||
Non-interest bearing deposits | $168,942 | $157,312 | $152,817 | $127,635 | $122,372 | ||||||||
Interest bearing demand deposits | 99,758 | 89,754 | 88,982 | 84,975 | 82,293 | ||||||||
Savings and money market deposits | 867,787 | 780,746 | 660,324 | 580,663 | 541,432 | ||||||||
Time deposits | 688,156 | 719,528 | 724,794 | 717,282 | 772,564 | ||||||||
Total deposits | 1,824,643 | 1,747,340 | 1,626,917 | 1,510,555 | 1,518,661 | ||||||||
Funds borrowed | 342,184 | 293,942 | 320,766 | 305,930 | 183,290 | ||||||||
Long-term debt - Trust Preferred Securities | 20,000 | 20,000 | 20,000 | 20,000 | 20,000 | ||||||||
Other liabilities | 30,412 | 26,901 | 22,469 | 23,301 | 20,619 | ||||||||
Total liabilities | 2,217,239 | 2,088,183 | 1,990,152 | 1,859,786 | 1,742,570 | ||||||||
Stockholders' equity | 190,790 | 183,294 | 174,176 | 172,034 | 161,813 | ||||||||
Total Liabilities and Stockholders' Equity | $2,408,029 | $2,271,477 | $2,164,328 | $2,031,820 | $1,904,383 |
Average Year-To-Date Balance Sheets | |||||||||||||
(unaudited, dollars in thousands) | |||||||||||||
12/31/04 | 09/30/04 | 06/30/04 | 03/31/04 | 12/31/03 | |||||||||
Assets | |||||||||||||
Cash and due from banks | $30,387 | $31,557 | $33,630 | $35,533 | $36,548 | ||||||||
Short-term investments | 2,358 | 2,468 | 1,797 | 1,648 | 6,348 | ||||||||
Investment securities: available-for-sale | 731,152 | 727,466 | 701,963 | 690,826 | 569,718 | ||||||||
Loans held for sale | 7,028 | 5,350 | 8,842 | 3,640 | 9,359 | ||||||||
Loans | 1,399,849 | 1,365,261 | 1,314,683 | 1,263,047 | 1,075,344 | ||||||||
Less: Allowance for loan losses | (17,087) | (16,844) | (16,191) | (15,544) | (13,109) | ||||||||
Net loans | 1,382,762 | 1,348,417 | 1,298,492 | 1,247,503 | 1,062,235 | ||||||||
Premises and equipment, net | 6,013 | 5,895 | 6,008 | 6,153 | 6,478 | ||||||||
Goodwill | 20,850 | 20,917 | 20,290 | 21,338 | 19,353 | ||||||||
Other assets | 39,735 | 35,278 | 25,929 | 25,179 | 24,531 | ||||||||
Total Assets | $2,220,285 | $2,177,348 | $2,096,951 | $2,031,820 | $1,734,570 | ||||||||
Liabilities and Stockholders' Equity | |||||||||||||
Non-interest bearing deposits | $151,588 | $147,818 | $140,188 | $127,635 | $103,073 | ||||||||
Interest bearing demand deposits | 90,888 | 87,906 | 86,978 | 84,975 | 74,926 | ||||||||
Savings and money market deposits | 722,923 | 683,121 | 620,493 | 580,663 | 496,607 | ||||||||
Time deposits | 712,399 | 734,053 | 721,038 | 717,282 | 722,990 | ||||||||
Total deposits | 1,677,798 | 1,652,898 | 1,568,697 | 1,510,555 | 1,397,596 | ||||||||
Funds borrowed | 315,719 | 302,291 | 313,348 | 305,930 | 175,451 | ||||||||
Long-term debt - Trust Preferred Securities | 20,000 | 20,000 | 20,000 | 20,000 | 20,000 | ||||||||
Other liabilities | 26,370 | 24,646 | 21,459 | 23,301 | 17,924 | ||||||||
Total liabilities | 2,039,887 | 1,999,835 | 1,923,504 | 1,859,786 | 1,610,971 | ||||||||
Stockholders' equity | 180,398 | 177,513 | 173,447 | 172,034 | 123,599 | ||||||||
Total Liabilities and Stockholders' Equity | $2,220,285 | $2,177,348 | $2,096,951 | $2,031,820 | $1,734,570 |