For further information:
Dennis Klaeser, CFO
PrivateBancorp, Inc.
312-683-7100
For Immediate Release
PrivateBancorp Reports Fourth Quarter Earnings and Substantial Growth
Resulting from Implementation of its Strategic Growth Plan
Chicago, IL, January 28, 2008 -- PrivateBancorp, Inc. (NASDAQ: PVTB) today reported a net loss for the fourth quarter 2007 of $15.1 million, or $0.68 per diluted share, compared to net income of $9.1 million, or $0.42 per diluted share, for the fourth quarter 2006. The net loss for the quarter was substantially due to costs associated with the implementation of the Company’s previously announced Strategic Growth Plan. As planned, the Company incurred substantial costs related to the recruitment of a significant number of experienced middle-market commercial bankers. Reflecting early success with its Strategic Growth Plan, the Company achieved record loan growth of 12 percent during the quarter. The Company considerably increased its provision for loan losses to reflect this growth and to account for credit quality deterioration in the existing loan portfolio. Net income for the year ended December 31, 2007 was $11.8 million, or $0.53 per diluted share, compared to $37.8 million, or $1.76 per diluted share for the prior year period, a decrease of 69 percent.
“As anticipated, reported quarterly financial results were down considerably as we aggressively implemented our Strategic Growth Plan. We announced the Plan in early November 2007, which sets forth our goal of recruiting experienced middle-market commercial bankers in order to substantially expand our client base and achieve significant balance sheet growth,” commented Ralph B. Mandell, Chairman of PrivateBancorp, Inc., “We have made significant progress towards implementing this Plan, including the hiring of Larry Richman as our new President and CEO as well as a substantial number of senior commercial bankers and other new employees. In fact, we increased the number of Managing Directors at the Company by 33 percent in the fourth quarter alone. The 12 percent loan growth experienced in the fourth quarter further validates the market opportunity,” continued Mr. Mandell.
The Company hired a net total of 56 new Managing Directors during the fourth quarter 2007, and an additional 15 Managing Directors were hired during the first half of January 2008. While the majority of these new hires are based in Chicago, the Company has added commercial bankers and other personnel in all of its offices, and has added three Managing Directors in Cleveland, Ohio, as a result of the establishment of a new business development office in that market during the fourth quarter. At the end of 2007, the total number of Managing Directors was 224, compared to 148 at the end of 2006 and 168 at September 30, 2007. Full-time equivalent (FTE) employees increased 27 percent to 597 from 471 at the end of 2006. The Company expects to hire approximately 15 additional Managing Directors during the first quarter 2008, which includes starting a new business development office in Minneapolis, Minnesota, and approximately an additional 15 during the remainder of 2008. In 2009, the Company anticipates its personnel growth rate to return to historical levels.
“I’m excited about the strong and positive reaction of the marketplace to the Company’s growth initiatives,” said Larry Richman, President and CEO. “Despite a very challenging market, we’ve been growing our client base quickly, as evidenced by the $451.7 million increase in our loan portfolio during the quarter. I’m further encouraged by the strength of our loan pipeline at the end of the quarter. As anticipated, our core deposits have not grown as quickly, though we are optimistic that our new commercial clients will be a key funding source in quarters to come. Each new client relationship we nurture brings new lending, deposit gathering and wealth management opportunities; we are a strong relationship bank and value-added advisor to our clients and that’s what distinguishes us from other banks,” Mr. Richman said.
During the fourth quarter 2007, the Company incurred significant costs associated with the implementation of the Plan, including $13.7 million in sign-on bonus payments to newly hired employees and $2.5 million in professional and legal fees associated with the recruitment and hiring of these employees. The total GAAP value of the equity awards made to new and certain existing employees was in the range of $45 million at December 31, 2007. The cost of these awards will be expensed as they are earned over the five-year period ending December 31, 2012. Compensation costs associated with these awards totaled $2.0 million for the fourth quarter 2007.
Net interest income totaled $31.7 million in the fourth quarter 2007, compared to $29.8 million for the fourth quarter 2006, and $32.3 million for the third quarter 2007. Net interest margin (on a tax equivalent basis) decreased to 2.96 percent for the fourth quarter 2007, compared to 3.25 percent in the fourth quarter 2006, and 3.13 percent in the third quarter 2007. Yields on earning assets decreased by 38 basis points over the prior year quarter while the cost of funds decreased by 11 basis points. During the fourth quarter, the Company reversed approximately $634,000 in accrued interest income due to loans which became non-performing, compared to $296,000 in the third quarter 2007. The interest reversal during the fourth quarter accounted for 6 basis points of margin compression.
Non-performing assets to total assets were 0.96 percent at December 31, 2007, compared to 0.23 percent at December 31, 2006 and 0.80 percent at September 30, 2007. Of $48.3 million in total non-performing assets at the end of 2007, 27 percent are located in the Chicago market, 36 percent are located in the St. Louis market, 14 percent are in Michigan and 23 percent are located in Georgia. Of total non-performing assets, 34 percent are commercial real estate, 36 percent are construction, 20 percent are commercial and industrial, and the remaining 10 percent are classified as residential real estate and personal.
As a result of substantial loan growth and an increase in non-performing assets during the fourth quarter 2007, the provision for loan losses was $10.2 million, compared to $707,000 in the fourth quarter 2006 and $2.4 million in the third quarter 2007.
Net charge offs totaled $3.4 million, or 0.35 percent of average loans, in the fourth quarter 2007, versus net charge offs of $49,000, or 0.01 percent of average loans, in the prior year fourth quarter, and net charge-offs of $1.6 million, or 0.17 percent of average loans, in the third quarter 2007. Net charge offs to average loans for the year-to-date period were 0.17 percent compared to 0.03 percent in the prior year period. The allowance for loan losses as a percentage of total loans was 1.17 percent at December 31, 2007, versus 1.13 percent at September 30, 2007 and 1.09 percent at December 31, 2006.
Wealth management fee income was $4.3 million during the fourth quarter 2007, an increase of 19 percent from $3.6 million in the fourth quarter 2006, and up from $4.0 million in the third quarter 2007. Wealth management assets under management increased 16 percent to $3.4 billion at the end of 2007, from $2.9 billion at the end of 2006, and increased two percent from $3.3 billion at September 30, 2007. Fees paid to third-party investment managers were $925,000 in the fourth quarter 2007, compared to $686,000 in the prior year quarter, and $857,000 in the third quarter 2007.
Non-interest expense increased significantly to $51.8 million in the fourth quarter 2007 from $22.6 million in the fourth quarter 2006 and $23.9 million at the third quarter 2007. The increase was primarily due to increased compensation expenses, professional fees and marketing expenses related to the implementation of the Plan during the quarter. The increase in other operating expenses for the quarter was primarily driven by $1.9 million in operating expenses and disposition costs related to OREO properties.
Total assets were $5.0 billion at December 31, 2007, an increase of 18 percent from $4.3 billion at December 31, 2006. At the end of 2007, total loans were $4.2 billion, versus $3.5 billion at December 31, 2006, an increase of 20 percent. Total deposits were $3.8 billion at December 31, 2007, up from $3.6 billion at December 31, 2006, an increase of 6 percent. Core deposits, defined as total deposits less brokered deposits, were $3.2 billion at quarter’s end, compared to $3.0 billion at December 31, 2006. Brokered deposits were $542.5 million at December 31, 2007, a decrease from $589.3 million at December 31, 2006, but an 8 percent increase from $500.3 at September 30, 2007. Funds borrowed, which include federal funds purchased, FHLB advances, borrowings under the Company’s credit facility, and convertible senior notes, increased to $560.8 million at December 31, 2007 from $281.7 million at December 31, 2006, primarily as a result of the issuance of $115.0 million of contingent convertible senior notes during the first quarter 2007. The Company funded its considerable loan growth in the fourth quarter using funds acquired through core deposit growth, brokered deposits, proceeds from its previously announced $200.0 million equity raise, FHLB advances, and borrowings under the Company’s credit facility.
The Company also announced that it will hold its 2008 annual meeting of stockholders on May 22, 2008 at the Standard Club in Chicago, Illinois.
PrivateBancorp, Inc., through its PrivateBank subsidiaries, provides distinctive, highly personalized, premium financial services to a growing array of successful entrepreneurial and middle market privately held and public businesses, affluent individuals, wealthy families, professionals, entrepreneurs and real estate investors. The PrivateBank uses a European tradition of “private banking” as a model to develop lifetime relationships with its clients. Through a team of highly qualified managing directors, The PrivateBank delivers a sophisticated suite of tailored credit, treasury and wealth management solutions to meet its client's personal and commercial financial needs. The Company, which had assets of $5.0 billion as of December 31, 2007, has 19 offices located in the Atlanta, Chicago, Cleveland, Detroit, Milwaukee, St. Louis, and Kansas City metropolitan areas.
Additional information can be found in the Investor Relations section of PrivateBancorp, Inc.’s website at www.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 in the Company’s market areas, the effect of continued margin pressure on the Company’s earnings, further deterioration in asset quality, insufficient liquidity/funding sources or the inability to obtain on terms acceptable to the Company the funding necessary to fund its loan growth, legislative or regulatory changes, adverse developments in the Company’s loan or investment portfolios, slower than anticipated growth of the Company’s business or unanticipated business declines, failure to get regulatory approval for a de novo federal savings bank in Kansas City or a limited purpose trust-only federal savings bank, competition, unforeseen difficulties in integrating new hires, failure to improve operating efficiencies through expense controls, 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 unless required under the federal securities laws.
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, | |
| | | 2007 | | | 2006 | | | 2007 | | | 2006 | |
| Interest Income | | | | | | | | | | | audited | |
| Interest and fees on loans | | $ | 71,062 | | | $ | 64,418 | | | $ | 282,979 | | | $ | 228,816 | |
| Interest on investment securities | | | 6,264 | | | | 5,274 | | | | 23,934 | | | | 27,773 | |
| Interest on short-term investments | | | 275 | | | | 320 | | | | 1,011 | | | | 722 | |
| Total Interest Income | | | 77,601 | | | | 70,012 | | | | 307,924 | | | | 257,311 | |
| | | | | | | | | | | | | | | | | |
| Interest Expense | | | | | | | | | | | | | | | | |
| Interest on deposits | | | 38,158 | | | | 35,774 | | | | 154,045 | | | | 122,411 | |
| Interest on borrowings | | | 6,087 | | | | 2,840 | | | | 19,393 | | | | 11,093 | |
| Interest on long-term debt - Junior Subordinated deferrable interest Debentures held by trusts that issued guaranteed capital debt securities | | | 1,608 | | | | 1,601 | | | | 6,364 | | | | 6,333 | |
| Total Interest Expense | | | 45,853 | | | | 40,215 | | | | 179,802 | | | | 139,837 | |
| | | | | | | | | | | | | | | | | |
| Net Interest Income | | | 31,748 | | | | 29,797 | | | | 128,122 | | | | 117,474 | |
| Provision for loan losses | | | 10,171 | | | | 707 | | | | 16,934 | | | | 6,836 | |
| Net Interest Income After Provision | | | 21,577 | | | | 29,090 | | | | 111,188 | | | | 110,638 | |
| | | | | | | | | | | | | | | | | |
| Non Interest Income | | | | | | | | | | | | | | | | |
| Wealth management income | | | 4,310 | | | | 3,615 | | | | 16,188 | | | | 13,855 | |
| Mortgage banking income | | | 828 | | | | 807 | | | | 4,528 | | | | 3,339 | |
| Other income | | | 1,066 | | | | 1,172 | | | | 5,210 | | | | 6,278 | |
| Net securities gains (losses) | | | - | | | | (1 | ) | | | 348 | | | | (374 | ) |
| (Losses) Gains on interest rate swap | | | - | | | | - | | | | - | | | | 64 | |
| Total Non Interest Income | | | 6,204 | | | | 5,593 | | | | 26,274 | | | | 23,162 | |
| | | | | | | | | | | | | | | | | |
| Non Interest Expense | | | | | | | | | | | | | | | | |
| Salaries and benefits | | | 31,673 | | | | 12,205 | | | | 71,219 | | | | 43,930 | |
| Occupancy expense | | | 3,918 | | | | 2,733 | | | | 13,204 | | | | 9,755 | |
| Professional fees | | | 6,442 | | | | 1,976 | | | | 11,876 | | | | 6,813 | |
| Wealth management fees | | | 925 | | | | 686 | | | | 3,432 | | | | 2,665 | |
| Marketing | | | 2,422 | | | | 1,137 | | | | 6,099 | | | | 4,291 | |
| Data processing | | | 1,282 | | | | 999 | | | | 4,206 | | | | 3,316 | |
| Amortization of intangibles | | | 240 | | | | 169 | | | | 966 | | | | 628 | |
| Insurance | | | 772 | | | | 337 | | | | 1,937 | | | | 1,319 | |
| Other operating expenses | | | 4,136 | | | | 2,321 | | | | 9,470 | | | | 6,349 | |
| Total Non Interest Expense | | | 51,810 | | | | 22,563 | | | | 122,409 | | | | 79,066 | |
| | | | | | | | | | | | | | | | | |
| Minority interest expense | | | 78 | | | | 82 | | | | 363 | | | | 330 | |
| Income Before Income Taxes | | | (24,107 | ) | | | 12,038 | | | | 14,690 | | | | 54,404 | |
| Income tax expense | | | (8,962 | ) | | | 2,986 | | | | 2,883 | | | | 16,558 | |
| Net Income | | $ | (15,145 | ) | | $ | 9,052 | | | $ | 11,807 | | | $ | 37,846 | |
| Preferred Stock Dividends | | | 107 | | | | - | | | | 107 | | | | - | |
| Net Income available to Common Shareholders | | $ | (15,252 | ) | | $ | 9,052 | | | $ | 11,700 | | | $ | 37,846 | |
| | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | |
| Weighted Average Common Shares Outstanding | | | 22,537,167 | | | | 20,882,759 | | | | 21,571,589 | | | | 20,629,731 | |
| Diluted Average Common Shares Outstanding | | | 22,537,167 | | | | 21,637,210 | | | | 22,286,125 | | | | 21,493,283 | |
| | | | | | | | | | | | | | | | | |
| Per Common Share Information | | | | | | | | | | | | | | | | |
| Basic | | $ | (0.68 | ) | | $ | 0.43 | | | $ | 0.54 | | | $ | 1.83 | |
| Diluted | | $ | (0.68 | ) | | $ | 0.42 | | | $ | 0.53 | | | $ | 1.76 | |
| Dividends | | $ | 0.075 | | | $ | 0.060 | | | $ | 0.300 | | | $ | 0.240 | |
Note 1: Certain reclassifications have been made to prior period financial statements to place them on a basis comparable with the current period financial statements.
Note 2: Diluted shares are equal to Basic shares for the fourth quarter 2007 due to the net loss. The calculation of diluted earnings per share results in anti-dilution.
Consolidated Balance Sheets
(dollars in thousands except per share data)
| | | 12/31/07 | | | 12/31/06 | |
| | | unaudited | | | audited | |
| Assets | | | | | | |
| Cash and due from banks | | $ | 51,331 | | | $ | 42,428 | |
| Short-term investments | | | 13,220 | | | | 36,969 | |
| Investment securities: available-for-sale | | | 538,730 | | | | 496,782 | |
| Loans held for sale | | | 19,358 | | | | 14,515 | |
| | | | | | | | | |
| Loans | | | 4,189,238 | | | | 3,499,988 | |
| Allowance for loan losses | | | (48,891 | ) | | | (38,069 | ) |
| Net loans | | | 4,140,347 | | | | 3,461,919 | |
| | | | | | | | | |
| Premises and equipment, net | | | 25,600 | | | | 21,413 | |
| Goodwill | | | 93,341 | | | | 93,043 | |
| Other assets | | | 139,721 | | | | 97,355 | |
| Total Assets | | $ | 5,021,648 | | | $ | 4,264,424 | |
| | | | | | | | | |
| Liabilities | | | | | | | | |
| Non-interest bearing deposits | | $ | 299,043 | | | $ | 300,689 | |
| Interest bearing deposits | | | 3,462,095 | | | | 3,250,324 | |
| Total deposits | | | 3,761,138 | | | | 3,551,013 | |
| | | | | | | | | |
| Funds borrowed | | | 560,809 | | | | 281,733 | |
| Junior Subordinated deferrable interest Debentures held by trusts that issued guaranteed capital debt securities | | | 101,033 | | | | 101,033 | |
| Other liabilities | | | 97,875 | | | | 33,521 | |
| Total Liabilities | | | 4,520,855 | | | | 3,967,300 | |
| | | | | | | | | |
| Stockholders' Equity | | | | | | | | |
| Preferred stock | | | 41,000 | | | | - | |
| Common stock and additional paid-in-capital | | | 339,214 | | | | 174,968 | |
| Treasury stock | | | (13,559 | ) | | | (5,254 | ) |
| Retained earnings | | | 126,204 | | | | 121,539 | |
| Accumulated other comprehensive income | | | 7,934 | | | | 5,871 | |
| Total Stockholders' Equity | | | 500,793 | | | | 297,124 | |
| | | | | | | | | |
| | | | | | | | | |
| Total Liabilities and Stockholders' Equity | | $ | 5,021,648 | | | $ | 4,264,424 | |
Note 1: Certain reclassifications have been made to prior period financial statements to place them on a basis comparable with the current period financial statements.
Key Financial Data
Unaudited
(dollars in thousands except per share data)
| | | | 4Q07 | | | | 3Q07 | | | | 2Q07 | | | | 1Q07 | | | | 4Q06 | |
| Key Statistics | | | | | | | | | | | | | | | | | | | | |
| Net income | | $ | (15,145 | ) | | $ | 9,165 | | | $ | 8,751 | | | $ | 9,036 | | | $ | 9,052 | |
| Basic earnings per share | | $ | (0.68 | ) | | $ | 0.43 | | | $ | 0.41 | | | $ | 0.42 | | | $ | 0.43 | |
Diluted earnings per share (1) | | $ | (0.68 | ) | | $ | 0.42 | | | $ | 0.40 | | | $ | 0.41 | | | $ | 0.42 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Return on average total assets | | | -1.30 | % | | | 0.82 | % | | | 0.80 | % | | | 0.86 | % | | | 0.91 | % |
| Return on average total equity | | | -16.61 | % | | | 11.80 | % | | | 11.66 | % | | | 12.37 | % | | | 13.61 | % |
| Dividend payout ratio | | | -14.30 | % | | | 17.84 | % | | | 18.64 | % | | | 18.50 | % | | | 14.44 | % |
Fee revenue as a percent of total revenue (2) | | | 16.35 | % | | | 16.54 | % | | | 18.01 | % | | | 16.39 | % | | | 15.81 | % |
| Wealth management assets under management | | | 3,361,171 | | | | 3,281,576 | | | | 3,119,878 | | | | 2,952,227 | | | | 2,902,205 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Non-interest income to average assets | | | 0.53 | % | | | 0.60 | % | | | 0.64 | % | | | 0.60 | % | | | 0.56 | % |
| Non-interest expense to average assets | | | 4.45 | % | | | 2.13 | % | | | 2.13 | % | | | 2.22 | % | | | 2.27 | % |
Net overhead ratio(3) | | | 3.92 | % | | | 1.53 | % | | | 1.49 | % | | | 1.62 | % | | | 1.71 | % |
Efficiency ratio (4) | | | 132.8 | % | | | 59.6 | % | | | 58.1 | % | | | 59.3 | % | | | 61.9 | % |
| | | | | | | | | | | | | | | | | | | | | |
| Net interest margin | | | | | | | | | | | | | | | | | | | | |
| Fed funds sold & other short-term investments | | | 6.02 | % | | | 5.37 | % | | | 5.15 | % | | | 3.26 | % | | | 5.48 | % |
| Investment Securities (taxable) | | | 5.04 | % | | | 4.85 | % | | | 5.16 | % | | | 5.01 | % | | | 4.51 | % |
| Investment Securities (non-taxable) | | | 6.88 | % | | | 6.90 | % | | | 6.89 | % | | | 6.89 | % | | | 6.90 | % |
| Loans, net of unearned discount | | | 7.30 | % | | | 7.69 | % | | | 7.76 | % | | | 7.84 | % | | | 7.78 | % |
| Yield on average earning assets | | | 7.11 | % | | | 7.45 | % | | | 7.53 | % | | | 7.56 | % | | | 7.49 | % |
| Interest bearing deposits | | | 4.54 | % | | | 4.72 | % | | | 4.70 | % | | | 4.67 | % | | | 4.65 | % |
| Funds borrowed | | | 4.80 | % | | | 4.85 | % | | | 4.94 | % | | | 4.87 | % | | | 5.15 | % |
| Trust preferred securities | | | 6.23 | % | | | 6.21 | % | | | 6.20 | % | | | 6.21 | % | | | 6.21 | % |
| Cost of average interest-bearing liabilities | | | 4.62 | % | | | 4.78 | % | | | 4.77 | % | | | 4.73 | % | | | 4.73 | % |
Net interest spread (5) | | | 2.50 | % | | | 2.68 | % | | | 2.76 | % | | | 2.84 | % | | | 2.77 | % |
Net interest margin (6) | | | 2.96 | % | | | 3.13 | % | | | 3.19 | % | | | 3.26 | % | | | 3.25 | % |
| | | | | | | | | | | | | | | | | | | | | |
Tax equivalent adjustment to net interest income (7) | | $ | 1,057 | | | $ | 1,072 | | | $ | 1,072 | | | $ | 1,073 | | | $ | 1,058 | |
| (1) | Diluted shares are equal to Basic shares for the fourth quarter 2007 due to the net loss. The calculation of diluted earnings per share results in anti-dilution. |
| (2) | 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. |
| (3) | Non-interest expense less non-interest income divided by average total assets. |
| (4) | Non-interest expense divided by the sum of net interest income, on a tax equivalent basis, plus non-interest income. |
| (5) | Yield on average interest-earning assets less rate on average interest-bearing liabilities. |
| (6) | Net interest income, on a tax equivalent basis, divided by average interest-earning assets. |
| (7) | 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 | |
| | | | 4Q07 | | | | 3Q07 | | | | 2Q07 | | | | 1Q07 | | | | 4Q06 | |
| Net interest income | | $ | 31,748 | | | $ | 32,288 | | | $ | 32,111 | | | $ | 31,975 | | | $ | 29,797 | |
| Tax equivalent adjustment to net interest income | | | 1,057 | | | | 1,072 | | | | 1,072 | | | | 1,073 | | | | 1,058 | |
| Net interest income, tax equivalent basis | | $ | 32,805 | | | $ | 33,360 | | | $ | 33,183 | | | $ | 33,048 | | | $ | 30,855 | |
Key Financial Data
Unaudited
(dollars in thousands except per share data)
| | | | 4Q07 | | | | 3Q07 | | | | 2Q07 | | | | 1Q07 | | | | 4Q06 | |
| Balance Sheet Ratios | | | | | | | | | | | | | | | | | | | | |
| Loans to Deposits (period end) | | | 111.38 | % | | | 104.17 | % | | | 101.84 | % | | | 99.96 | % | | | 98.56 | % |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
| Average interest-earning assets to average interest-bearing liabilities | | | 111.3 | | | | 110.4 | | | | 109.9 | | | | 109.8 | | | | 111.3 | |
| | | | | | | | | | | | | | | | | | | | | |
| Per Common Share Data | | | | | | | | | | | | | | | | | | | | |
| Dividends | | $ | 0.075 | | | $ | 0.075 | | | $ | 0.075 | | | $ | 0.075 | | | $ | 0.060 | |
| Book value (period end) | | $ | 16.89 | | | $ | 14.73 | | | $ | 14.19 | | | $ | 13.92 | | | $ | 13.83 | |
Tangible book value (period end) (1) | | $ | 13.22 | | | $ | 10.10 | | | $ | 9.56 | | | $ | 9.26 | | | $ | 9.15 | |
| | | | | | | | | | | | | | | | | | | | | |
| Common Share Price Data (period end) | | | | | | | | | | | | | | | | | | | | |
| Closing Price | | $ | 32.65 | | | $ | 34.84 | | | $ | 28.80 | | | $ | 36.56 | | | $ | 41.63 | |
Diluted earnings multiple (2) | | | (12.10 | ) x | | | 20.91 | x | | | 17.95 | x | | | 21.99 | x | | | 24.98 | x |
| Book value multiple | | | 1.93 | x | | | 2.36 | x | | | 2.03 | x | | | 2.63 | x | | | 3.01 | x |
| | | | | | | | | | | | | | | | | | | | | |
| Common Stock Information | | | | | | | | | | | | | | | | | | | | |
| Outstanding shares at end of period | | | 27,224,747 | | | | 21,611,721 | | | | 21,567,545 | | | | 21,531,296 | | | | 21,481,250 | |
| | | | | | | | | | | | | | | | | | | | | |
| Number of common shares used to compute: | | | | | | | | | | | | | | | | | | | | |
| Basic earnings per common share | | | 22,537,167 | | | | 21,223,341 | | | | 21,185,400 | | | | 21,331,021 | | | | 20,882,759 | |
| Diluted earnings per common share | | | 22,537,167 | | | | 21,819,333 | | | | 21,810,173 | | | | 22,018,295 | | | | 21,637,210 | |
| | | | | | | | | | | | | | | | | | | | | |
Capital Ratios (period end) (3): | | | | | | | | | | | | | | | | | | | | |
| Total equity to total assets | | | 9.97 | % | | | 7.08 | % | | | 6.82 | % | | | 6.90 | % | | | 6.97 | % |
| Total risk-based capital ratio | | | 14.09 | % | | | 10.60 | % | | | 10.63 | % | | | 10.45 | % | | | 10.36 | % |
| Tier-1 risk-based capital ratio | | | 11.31 | % | | | 8.07 | % | | | 8.06 | % | | | 7.93 | % | | | 8.06 | % |
| Leverage ratio | | | 10.93 | % | | | 7.20 | % | | | 7.08 | % | | | 6.95 | % | | | 7.51 | % |
| (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. |
| (4) | Diluted shares are equal to Basic shares for the fourth quarter 2007 due to the net loss. The calculation of diluted earnings per share results in anti-dilution. |
Key Financial Data
Unaudited
(dollars in thousands)
| | | | 4Q07 | | | | 3Q07 | | | | 2Q07 | | | | 1Q07 | | | | 4Q06 | |
| Credit Quality Key Ratios: | | | | | | | | | | | | | | | | | | | | |
| Net charge-offs to average loans | | | 0.35 | % | | | 0.17 | % | | | 0.06 | % | | | 0.07 | % | | | 0.01 | % |
| Total non-performing loans to total loans | | | 0.93 | % | | | 0.77 | % | | | 0.72 | % | | | 0.28 | % | | | 0.25 | % |
| Total non-performing assets to total assets | | | 0.96 | % | | | 0.80 | % | | | 0.70 | % | | | 0.34 | % | | | 0.23 | % |
| Nonaccrual loans to: | | | | | | | | | | | | | | | | | | | | |
| total loans | | | 0.93 | % | | | 0.69 | % | | | 0.56 | % | | | 0.13 | % | | | 0.11 | % |
| total assets | | | 0.78 | % | | | 0.57 | % | | | 0.46 | % | | | 0.11 | % | | | 0.09 | % |
| Allowance for loan losses to: | | | | | | | | | | | | | | | | | | | | |
| total loans | | | 1.17 | % | | | 1.13 | % | | | 1.11 | % | | | 1.09 | % | | | 1.09 | % |
| non-performing loans | | | 125 | % | | | 145 | % | | | 155 | % | | | 391 | % | | | 427 | % |
| nonaccrual loans | | | 125 | % | | | 164 | % | | | 199 | % | | | 808 | % | | | 1,010 | % |
| | | | | | | | | | | | | | | | | | | | | |
| Non-performing assets: | | | | | | | | | | | | | | | | | | | | |
| Loans delinquent over 90 days | | $ | 53 | | | $ | 3,294 | | | $ | 5,844 | | | $ | 5,124 | | | $ | 5,137 | |
| Nonaccrual loans | | | 38,983 | | | | 25,657 | | | | 20,731 | | | | 4,816 | | | | 3,770 | |
| OREO | | | 9,265 | | | | 7,044 | | | | 4,683 | | | | 4,831 | | | | 1,101 | |
| Total non-performing assets | | $ | 48,301 | | | $ | 35,995 | | | $ | 31,258 | | | $ | 14,771 | | | $ | 10,008 | |
| | | | | | | | | | | | | | | | | | | | | |
| Net loan charge-offs (recoveries): | | | | | | | | | | | | | | | | | | | | |
| Loans charged off | | $ | 3,435 | | | $ | 1,648 | | | $ | 647 | | | $ | 586 | | | $ | 86 | |
| (Recoveries) | | | (42 | ) | | | (82 | ) | | | (76 | ) | | | (4 | ) | | | (37 | ) |
| Net charge-offs | | $ | 3,393 | | | $ | 1,566 | | | $ | 571 | | | $ | 582 | | | $ | 49 | |
| | | | | | | | | | | | | | | | | | | | | |
| Provision for loan losses | | $ | 10,171 | | | $ | 2,399 | | | $ | 2,958 | | | $ | 1,406 | | | $ | 707 | |
| | | | | | | | | | | | | | | | | | | | | |
| Allowance for Loan Losses Summary | | | | | | | | | | | | | | | | | | | | |
| Balance at beginning of period | | $ | 42,113 | | | $ | 41,280 | | | $ | 38,893 | | | $ | 38,069 | | | $ | 34,693 | |
| Provision | | | 10,171 | | | | 2,399 | | | | 2,958 | | | | 1,406 | | | | 707 | |
| Net charge-offs | | | 3,393 | | | | 1,566 | | | | 571 | | | | 582 | | | | 49 | |
| Addition of The PrivateBank - Georgia allowance | | | - | | | | - | | | | - | | | | - | | | | 2,718 | |
| Balance at end of period | | $ | 48,891 | | | $ | 42,113 | | | $ | 41,280 | | | $ | 38,893 | | | $ | 38,069 | |
| | | | | | | | | | | | | | | | | | | | | |
| Net loan charge-offs (recoveries): | | | | | | | | | | | | | | | | | | | | |
| Commercial real estate | | $ | 1,388 | | | $ | 295 | | | $ | (1 | ) | | $ | 236 | | | | - | |
| Residential real estate | | | - | | | | - | | | | - | | | | (1 | ) | | | - | |
| Commercial | | | 752 | | | | 1,077 | | | | 397 | | | | 273 | | | $ | 29 | |
| Personal | | | 247 | | | | 99 | | | | (1 | ) | | | 3 | | | | 20 | |
| Home equity | | | - | | | | - | | | | - | | | | - | | | | - | |
| Construction | | | 1,006 | | | | 95 | | | | 176 | | | | 71 | | | | - | |
| Total net loan charge-offs | | $ | 3,393 | | | $ | 1,566 | | | $ | 571 | | | $ | 582 | | | $ | 49 | |
Key Financial Data
Unaudited
(dollars in thousands)
| September 30, 2007 |
| | | | | | | | | | | | | | | | |
| | | Non performing Loans | | | NPLs as % of Total Loans (1) | | | Other Real Estate Owned | | | Non performing Assets | | | NPAs as % of Total Assets (2) | |
| Credit Quality | | | | | | | | | | | | | | | |
| Non performing assets | | | | | | | | | | | | | | | |
| Chicago | | $ | 7,779 | | | | 0.32 | % | | $ | 2,290 | | | $ | 10,069 | | | | 0.33 | % |
| St. Louis (3) | | | 8,191 | | | | 2.20 | % | | | 2,356 | | | | 10,547 | | | | 2.37 | % |
| Michigan | | | 6,878 | | | | 1.25 | % | | | 2,398 | | | | 9,276 | | | | 1.48 | % |
| Georgia | | | 6,103 | | | | 2.36 | % | | | - | | | | 6,103 | | | | 1.81 | % |
| Wisconsin | | | - | | | | - | | | | - | | | | - | | | | - | |
| Consolidated non-performing assets | | $ | 28,951 | | | | 0.77 | % | | $ | 7,044 | | | $ | 35,995 | | | | 0.80 | % |
| | | | | | | | | | | | | | | | | | | | | |
| Non-performing assets (4): | | Commercial | | | Commercial Real Estate | | | Construction | | | Residential Real Estate | | | Personal | |
| Chicago | | | 1 | % | | | 13 | % | | | 8 | % | | | 3 | % | | | 4 | % |
| St. Louis (3) | | | 3 | % | | | 12 | % | | | 10 | % | | | 3 | % | | | - | |
| Michigan | | | 4 | % | | | 16 | % | | | 6 | % | | | - | | | | - | |
| Georgia | | | - | | | | - | | | | 17 | % | | | - | | | | - | |
| Wisconsin | | | - | | | | - | | | | - | | | | - | | | | - | |
| Consolidated non-performing assets | | | 8 | % | | | 41 | % | | | 41 | % | | | 6 | % | | | 4 | % |
| | | | | | | | | | | | | | | | | | | | | |
| December 31, 2007 |
| | | | | | | | | | | | | | | | | | | | | |
| | | Non performing Loans | | | NPLs as % of Total Loans (1) | | | Other Real Estate Owned | | | Non performing Assets | | | NPAs as % of Total Assets (2) | |
| Credit Quality | | | | | | | | | | | | | | | | | | | | |
| Non performing assets | | | | | | | | | | | | | | | | | | | | |
| Chicago | | $ | 11,012 | | | | 0.39 | % | | $ | 2,122 | | | $ | 13,134 | | | | 0.39 | % |
| St. Louis (3) | | | 12,413 | | | | 3.30 | % | | | 4,537 | | | | 16,950 | | | | 3.51 | % |
| Michigan | | | 5,266 | | | | 0.88 | % | | | 1,466 | | | | 6,732 | | | | 0.98 | % |
| Georgia | | | 10,345 | | | | 3.93 | % | | | 1,140 | | | | 11,485 | | | | 3.44 | % |
| Wisconsin | | | - | | | | - | | | | - | | | | - | | | | - | |
| Consolidated non-performing assets | | $ | 39,036 | | | | 0.93 | % | | $ | 9,265 | | | $ | 48,301 | | | | 0.96 | % |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Non-performing assets (4): | | Commercial | | | Commercial Real Estate | | | Construction | | | Residential Real Estate | | | Personal | |
| Chicago | | | 1 | % | | | 16 | % | | | 3 | % | | | 3 | % | | | 4 | % |
| St. Louis (3) | | | 7 | % | | | 18 | % | | | 8 | % | | | 2 | % | | | 1 | % |
| Michigan | | | 11 | % | | | - | | | | 3 | % | | | - | | | | - | |
| Georgia | | | 1 | % | | | - | | | | 22 | % | | | - | | | | - | |
| Wisconsin | | | - | | | | - | | | | - | | | | - | | | | - | |
| Consolidated non-performing assets | | | 20 | % | | | 34 | % | | | 36 | % | | | 5 | % | | | 5 | % |
Note: Non performing loans are defined as loans delinquent > 90 days and non accrual loans. Non performing assets are non performing loans and Other Real Estate owned.
| (1) | Non performing loans are presented as a percentage of each entities' gross loans |
| (2) | Non performing assets are presented as a percentage of each entities' total assets |
| (3) | St. Louis loans and total assets includes Kansas City total loans and assets. Kansas City had no non-performing assets at 9/30/07 and 12/31/07. |
| (4) | Non performing assets are presented here as a percentage of consolidated non performing assets |
Key Financial Data
Unaudited
(dollars in thousands)
| | | | 4Q07 | | | | 3Q07 | | | | 2Q07 | | | | 1Q07 | | | | 4Q06 | |
| Summary Income Statement | | | | | | | | | | | | | | | | | | | | |
| Interest Income | | | | | | | | | | | | | | | | | | | | |
| Interest and fees on loans | | $ | 71,062 | | | $ | 72,299 | | | $ | 70,732 | | | $ | 68,886 | | | $ | 64,418 | |
| Interest on investment securities | | | 6,264 | | | | 5,795 | | | | 5,938 | | | | 5,937 | | | | 5,274 | |
| Interest on short-term investments | | | 275 | | | | 259 | | | | 239 | | | | 238 | | | | 320 | |
| Total Interest Income | | | 77,601 | | | | 78,353 | | | | 76,909 | | | | 75,061 | | | | 70,012 | |
| | | | | | | | | | | | | | | | | | | | | |
| Interest Expense | | | 45,853 | | | | 46,065 | | | | 44,798 | | | | 43,086 | | | | 40,215 | |
| | | | | | | | | | | | | | | | | | | | | |
| Net Interest Income | | | 31,748 | | | | 32,288 | | | | 32,111 | | | | 31,975 | | | | 29,797 | |
| Provision for loan losses | | | 10,171 | | | | 2,399 | | | | 2,958 | | | | 1,406 | | | | 707 | |
| Net Interest Income after Provision for Loan Losses | | | 21,577 | | | | 29,889 | | | | 29,153 | | | | 30,569 | | | | 29,090 | |
| | | | | | | | | | | | | | | | | | | | | |
| Non Interest Income | | | | | | | | | | | | | | | | | | | | |
| Wealth management income | | | 4,310 | | | | 4,029 | | | | 4,024 | | | | 3,826 | | | | 3,615 | |
| Mortgage banking income | | | 828 | | | | 1,157 | | | | 1,229 | | | | 1,314 | | | | 807 | |
| Other income | | | 1,066 | | | | 1,214 | | | | 1,803 | | | | 1,126 | | | | 1,172 | |
| Net securities gains (losses) | | | - | | | | 366 | | | | (97 | ) | | | 79 | | | | (1 | ) |
| (Losses) on interest rate swap | | | - | | | | - | | | | - | | | | - | | | | - | |
| Total Non Interest Income | | | 6,204 | | | | 6,766 | | | | 6,959 | | | | 6,345 | | | | 5,593 | |
| | | | | | | | | | | | | | | | | | | | | |
| Non Interest Expense | | | | | | | | | | | | | | | | | | | | |
| Salaries and benefits | | | 31,673 | | | | 13,083 | | | | 12,734 | | | | 13,729 | | | | 12,205 | |
| Occupancy expense | | | 3,918 | | | | 3,336 | | | | 3,160 | | | | 2,790 | | | | 2,733 | |
| Professional fees | | | 6,442 | | | | 2,109 | | | | 1,610 | | | | 1,715 | | | | 1,976 | |
| Wealth management fees | | | 925 | | | | 857 | | | | 868 | | | | 782 | | | | 686 | |
| Marketing | | | 2,422 | | | | 1,058 | | | | 1,330 | | | | 1,289 | | | | 1,137 | |
| Data processing | | | 1,282 | | | | 1,039 | | | | 984 | | | | 901 | | | | 999 | |
| Insurance | | | 772 | | | | 452 | | | | 363 | | | | 352 | | | | 337 | |
| Amortization of intangibles | | | 240 | | | | 241 | | | | 242 | | | | 243 | | | | 169 | |
| Other operating expenses | | | 4,136 | | | | 1,749 | | | | 2,019 | | | | 1,564 | | | | 2,321 | |
| Total Non Interest Expense | | | 51,810 | | | | 23,924 | | | | 23,310 | | | | 23,365 | | | | 22,563 | |
| | | | | | | | | | | | | | | | | | | | | |
| Minority interest expense | | | 78 | | | | 100 | | | | 95 | | | | 90 | | | | 82 | |
| Income Before Income Taxes | | | (24,107 | ) | | | 12,631 | | | | 12,707 | | | | 13,459 | | | | 12,038 | |
| Income tax expense | | | (8,962 | ) | | | 3,466 | | | | 3,956 | | | | 4,423 | | | | 2,986 | |
| Net income | | $ | (15,145 | ) | | $ | 9,165 | | | $ | 8,751 | | | $ | 9,036 | | | $ | 9,052 | |
| Preferred Stock Dividends | | | 107 | | | | - | | | | - | | | | - | | | | - | |
| Net Income available to Common Shareholders | | $ | (15,252 | ) | | $ | 9,165 | | | $ | 8,751 | | | $ | 9,036 | | | $ | 9,052 | |
Note 1: Certain reclassifications have been made to prior period financial statements to place them on a basis comparable with the current period financial statements.
Balance Sheets
(dollars in thousands)
| | | 12/31/07 | | | 09/30/07 | | | 06/30/07 | | | 03/31/07 | | | 12/31/06 | |
| | | unaudited | | | unaudited | | | unaudited | | | unaudited | | | audited | |
Assets | | | | | | | | | | | | | | | |
| Cash and due from banks | | $ | 51,331 | | | $ | 52,922 | | | $ | 63,074 | | | $ | 73,736 | | | $ | 42,428 | |
| Short-term investments | | | 13,220 | | | | 22,117 | | | | 19,672 | | | | 17,535 | | | | 36,969 | |
| Investment securities: available-for-sale | | | 538,730 | | | | 497,948 | | | | 495,854 | | | | 482,024 | | | | 496,782 | |
| Loans held for sale | | | 19,358 | | | | 4,262 | | | | 20,905 | | | | 14,928 | | | | 14,515 | |
| Loans | | | 4,189,238 | | | | 3,737,523 | | | | 3,705,339 | | | | 3,581,398 | | | | 3,499,988 | |
| Less: Allowance for loan losses | | | (48,891 | ) | | | (42,113 | ) | | | (41,280 | ) | | | (38,893 | ) | | | (38,069 | ) |
| Net loans | | | 4,140,347 | | | | 3,695,410 | | | | 3,664,059 | | | | 3,542,505 | | | | 3,461,919 | |
| Premises and equipment, net | | | 25,600 | | | | 24,844 | | | | 23,415 | | | | 21,674 | | | | 21,413 | |
| Goodwill | | | 93,341 | | | | 93,357 | | | | 93,043 | | | | 93,043 | | | | 93,043 | |
| Other assets | | | 139,721 | | | | 107,366 | | | | 105,988 | | | | 98,427 | | | | 97,355 | |
| Total Assets | | $ | 5,021,648 | | | $ | 4,498,226 | | | $ | 4,486,010 | | | $ | 4,343,872 | | | $ | 4,264,424 | |
| | | | | | | | | | | | | | | | | | | | | |
Liabilities and Stockholders' Equity | | | | | | | | | | | | | | | | | | | | |
| Non-interest bearing deposits | | $ | 299,043 | | | $ | 285,003 | | | $ | 303,455 | | | $ | 312,648 | | | $ | 300,689 | |
| Interest bearing demand deposits | | | 157,761 | | | | 134,428 | | | | 150,324 | | | | 144,812 | | | | 152,323 | |
| Savings and money market deposits | | | 1,594,172 | | | | 1,577,930 | | | | 1,505,303 | | | | 1,485,783 | | | | 1,575,080 | |
| Time deposits | | | 1,710,162 | | | | 1,590,701 | | | | 1,679,463 | | | | 1,639,578 | | | | 1,522,921 | |
| Total deposits | | | 3,761,138 | | | | 3,588,062 | | | | 3,638,545 | | | | 3,582,821 | | | | 3,551,013 | |
| Funds borrowed | | | 560,809 | | | | 464,021 | | | | 407,696 | | | | 334,128 | | | | 281,733 | |
| Junior Subordinated deferrable interest Debentures held by trusts that issued guaranteed capital debt securities | | | 101,033 | | | | 101,033 | | | | 101,033 | | | | 101,033 | | | | 101,033 | |
| Other liabilities | | | 97,875 | | | | 26,710 | | | | 32,627 | | | | 26,218 | | | | 33,521 | |
| Total liabilities | | | 4,520,855 | | | | 4,179,826 | | | | 4,179,901 | | | | 4,044,200 | | | | 3,967,300 | |
| Stockholders' equity | | | 500,793 | | | | 318,400 | | | | 306,109 | | | | 299,672 | | | | 297,124 | |
| Total Liabilities and Stockholders' Equity | | $ | 5,021,648 | | | $ | 4,498,226 | | | $ | 4,486,010 | | | $ | 4,343,872 | | | $ | 4,264,424 | |
Average Quarterly Balance Sheets
Unaudited
(dollars in thousands)
| | | 12/31/07 | | | 09/30/07 | | | 06/30/07 | | | 03/31/07 | | | 12/31/06 | |
Assets | | | | | | | | | | | | | | | |
| Cash and due from banks | | $ | 53,603 | | | $ | 50,613 | | | $ | 68,293 | | | $ | 45,656 | | | $ | 48,478 | |
| Short-term investments | | | 14,889 | | | | 15,390 | | | | 14,670 | | | | 29,348 | | | | 21,341 | |
| Investment securities: available-for-sale | | | 519,494 | | | | 487,942 | | | | 485,354 | | | | 490,844 | | | | 464,005 | |
| Loans held for sale | | | 6,247 | | | | 10,005 | | | | 12,891 | | | | 10,493 | | | | 10,891 | |
| Loans | | | 3,841,122 | | | | 3,704,278 | | | | 3,629,839 | | | | 3,528,404 | | | | 3,259,404 | |
| Less: Allowance for loan losses | | | (43,116 | ) | | | (41,174 | ) | | | (39,304 | ) | | | (38,157 | ) | | | (36,175 | ) |
| Net loans | | | 3,798,006 | | | | 3,663,104 | | | | 3,590,535 | | | | 3,490,247 | | | | 3,223,229 | |
| Premises and equipment, net | | | 26,315 | | | | 24,534 | | | | 23,040 | | | | 21,485 | | | | 20,594 | |
| Goodwill | | | 93,346 | | | | 93,057 | | | | 93,044 | | | | 93,043 | | | | 69,344 | |
| Other assets | | | 106,976 | | | | 101,750 | | | | 99,148 | | | | 93,959 | | | | 80,779 | |
| Total Assets | | $ | 4,618,876 | | | $ | 4,446,395 | | | $ | 4,386,975 | | | $ | 4,275,075 | | | $ | 3,938,661 | |
| | | | | | | | | | | | | | | | | | | | | |
Liabilities and Stockholders' Equity | | | | | | | | | | | | | | | | | | | | |
| Non-interest bearing deposits | | $ | 302,864 | | | $ | 299,201 | | | $ | 302,941 | | | $ | 265,914 | | | $ | 273,576 | |
| Interest bearing demand deposits | | | 139,467 | | | | 137,740 | | | | 147,590 | | | | 139,808 | | | | 119,575 | |
| Savings and money market deposits | | | 1,561,038 | | | | 1,566,711 | | | | 1,482,747 | | | | 1,553,254 | | | | 1,445,841 | |
| Time deposits | | | 1,627,669 | | | | 1,657,904 | | | | 1,638,127 | | | | 1,556,657 | | | | 1,490,239 | |
| Total deposits | | | 3,631,038 | | | | 3,661,556 | | | | 3,571,405 | | | | 3,515,633 | | | | 3,329,231 | |
| Funds borrowed | | | 492,198 | | | | 343,820 | | | | 382,991 | | | | 333,312 | | | | 209,039 | |
| Junior Subordinated deferrable interest Debentures held by trusts that issued guaranteed capital debt securities | | | 101,033 | | | | 101,033 | | | | 101,033 | | | | 101,033 | | | | 101,033 | |
| Other liabilities | | | 33,107 | | | | 32,063 | | | | 30,472 | | | | 28,874 | | | | 35,570 | |
| Total liabilities | | | 4,257,376 | | | | 4,138,472 | | | | 4,085,901 | | | | 3,978,852 | | | | 3,674,873 | |
| Stockholders' equity | | | 361,500 | | | | 307,923 | | | | 301,074 | | | | 296,223 | | | | 263,788 | |
| Total Liabilities and Stockholders' Equity | | $ | 4,618,876 | | | $ | 4,446,395 | | | $ | 4,386,975 | | | $ | 4,275,075 | | | $ | 3,938,661 | |
Average Year-To-Date Balance Sheets
Unaudited
(dollars in thousands)
| | | 12/31/07 | | | 09/30/07 | | | 06/30/07 | | | 03/31/07 | | | 12/31/06 | |
Assets | | | | | | | | | | | | | | | |
| Cash and due from banks | | $ | 73,581 | | | $ | 60,250 | | | $ | 62,928 | | | $ | 45,656 | | | $ | 28,848 | |
| Short-term investments | | | 13,774 | | | | 16,229 | | | | 19,423 | | | | 29,348 | | | | 10,696 | |
| Investment securities: available-for-sale | | | 495,965 | | | | 488,037 | | | | 488,084 | | | | 490,844 | | | | 557,696 | |
| Loans held for sale | | | 10,093 | | | | 10,818 | | | | 11,042 | | | | 10,493 | | | | 7,719 | |
| Loans | | | 3,676,558 | | | | 3,621,671 | | | | 3,579,872 | | | | 3,528,404 | | | | 2,959,125 | |
| Less: Allowance for loan losses | | | (40,453 | ) | | | (39,556 | ) | | | (38,733 | ) | | | (38,157 | ) | | | (33,281 | ) |
| Net loans | | | 3,636,105 | | | | 3,582,115 | | | | 3,541,139 | | | | 3,490,247 | | | | 2,925,844 | |
| Premises and equipment, net | | | 24,141 | | | | 23,031 | | | | 22,267 | | | | 21,485 | | | | 18,094 | |
| Goodwill | | | 93,123 | | | | 93,048 | | | | 93,044 | | | | 93,043 | | | | 64,730 | |
| Other assets | | | 100,578 | | | | 97,912 | | | | 96,773 | | | | 93,959 | | | | 81,879 | |
| Total Assets | | $ | 4,447,360 | | | $ | 4,371,440 | | | $ | 4,334,700 | | | $ | 4,275,075 | | | $ | 3,695,506 | |
| | | | | | | | | | | | | | | | | | | | | |
Liabilities and Stockholders' Equity | | | | | | | | | | | | | | | | | | | | |
| Non-interest bearing deposits | | $ | 312,217 | | | $ | 294,980 | | | $ | 290,848 | | | $ | 265,914 | | | $ | 252,338 | |
| Interest bearing demand deposits | | | 141,141 | | | | 141,705 | | | | 143,720 | | | | 139,808 | | | | 123,554 | |
| Savings and money market deposits | | | 1,541,681 | | | | 1,534,094 | | | | 1,517,512 | | | | 1,553,254 | | | | 1,319,457 | |
| Time deposits | | | 1,620,388 | | | | 1,617,933 | | | | 1,597,618 | | | | 1,556,657 | | | | 1,387,214 | |
| Total deposits | | | 3,615,427 | | | | 3,588,712 | | | | 3,549,698 | | | | 3,515,633 | | | | 3,082,563 | |
| Funds borrowed | | | 383,514 | | | | 349,818 | | | | 355,589 | | | | 333,312 | | | | 230,461 | |
| Junior Subordinated deferrable interest Debentures held by trusts that issued guaranteed capital debt securities | | | 101,033 | | | | 101,033 | | | | 101,033 | | | | 101,033 | | | | 101,033 | |
| Other liabilities | | | 30,616 | | | | 30,073 | | | | 29,699 | | | | 28,874 | | | | 36,492 | |
| Total liabilities | | | 4,130,590 | | | | 4,069,636 | | | | 4,036,019 | | | | 3,978,852 | | | | 3,450,549 | |
| Stockholders' equity | | | 316,770 | | | | 301,804 | | | | 298,681 | | | | 296,223 | | | | 244,957 | |
| Total Liabilities and Stockholders' Equity | | $ | 4,447,360 | | | $ | 4,371,440 | | | $ | 4,334,700 | | | $ | 4,275,075 | | | $ | 3,695,506 | |
